MARION, N.Y. — Seneca Foods Corp. returned to profitability in fiscal 2019, posting net income of $5,747,000, equal to 59c per share on the common stock, in the year ended March 31. This compared with a loss of $8,480,000 in fiscal 2018. Seneca recorded a pre-tax cash gain of $56.4 million in fiscal 2019 related to the sale of its Modesto, Calif., plant and equipment.
Net sales also improved, climbing 3% to $1,199,581,000 from $1,162,894,000.
“Fiscal year 2019 was challenging for a variety of reasons,” said Kraig Kayser, president and chief executive officer. “We exited some unprofitable business operations and cut future costs with strategic plant rationalization.
“The operating loss from continuing operations of $38.1 million included a non-cash pre-tax LIFO charge of $40.5 million. We were able to offset these losses with gains primarily from the sale of assets. We are looking forward to an improved year ahead.”
Seneca Foods provides packaged fruits and vegetables, with facilities located throughout the United States. The company holds the largest share of the retail private label, food service and export canned vegetable markets, distributing to over 90 countries. Products are also sold under the brands of Libby’s, Aunt Nellie’s, Green Valley, CherryMan, READ and Seneca labels, including Seneca snack chips. In addition, Seneca provides vegetable products under a contract packing agreement with B&G Foods North America, under the Green Giant label.