Maple Leaf Foods Records Loss06 August 2013
CANADA - Maple Leaf Foods has recorded a net loss of C$14.7 million in the first six months of the year compared to net earnings of C$20.2 million last year.
Adjusted Operating Earnings for the second quarter was $22.8 million compared to $63.1 million last year.
Year-to-date Adjusted Operating Earnings were $30.4 million compared $94.8 million last year.
Net earnings for the second quarter stood a zero, compared to $26.0 million last year.
For the first six months, Adjusted Earnings per Sharewas $0.02 compared to $0.23 last year.
Year-to-date Adjusted Earnings per Share was a loss of $0.04 compared to $0.29 last year.
"Market conditions which affected first quarter results continued into the second quarter, although there was material improvement in important areas", said Michael H. McCain, President & CEO.
"Hog production returns, global pork markets and volatile raw material markets all contributed to a material year-over-year earnings decline.
“This was compounded by the costs of transition and start-ups in our new prepared meat manufacturing and distribution network.
“These factors more than offset strong growth in prepared meats volumes from earlier in the year and solid improvement in the Bakery segment, which we expect will accelerate.
“Market conditions are expected to improve and our commercial fundamentals are good.
“Overall, we are satisfied with our strategic progress, although we are now at the peak of change and expect earnings volatility through this transition."
TheCattleSite News Desk