SunOpta Reports Record Third Quarter and Year-to-Date Revenues
6 Nov 2013 --- SunOpta Inc., has reported that revenues increased 8.4% to a record $302.7 million in the third quarter of 2013 compared to $279.3 million in the third quarter of 2012.
The increase in consolidated revenues was driven by continued growth in consumer packaged categories including re-sealable pouch products and aseptic beverages, increased demand and prices for internationally sourced organic raw materials, and higher sales volumes of industrial and food service fruit-based ingredients. Excluding the impact of a number of factors including commodity, currency and product rationalizations, revenues in SunOpta Foods increased approximately 10.4% and consolidated revenues increased approximately 8.0% versus the prior year.
Operating income was $9.8 million, or 3.2% of revenues, compared to $12.7 million, or 4.5% of revenues in 2012. Operating income was negatively impacted by facility start-up and expansion costs within the International Foods Group and Consumer Products Group, low sunflower processing yields and by-product values in the Grains and Foods Group, as well as Opta Minerals which continued to face cyclical weakness in both the steel and infrastructure sectors and the cost of integrating recent acquisitions.
The Company reported earnings from continuing operations of $2.9 million, or $0.04 per diluted common share, compared to earnings from continuing operations of $5.7 million, or $0.09 per diluted common share for the third quarter of 2012. Included in the results for the third quarter is a non-cash charge of approximately $1.5 million after tax, or $0.02 per diluted common share, related to an impairment of goodwill recognized in the Company's Opta Minerals operating segment. The third quarter also included other expenses related to severance, facility restructuring and long-lived asset write-downs of approximately $0.4 million after tax, or $0.01 per diluted common share.
Excluding the goodwill impairment and other expenses, adjusted earnings from continuing operations¹ in the third quarter of 2013 were $4.8 million, or $0.07 per diluted common share. In addition, earnings for the third quarter include the impact of approximately $2.6 million in pre-tax start-up, expansion and integration costs, or approximately $1.7 million after-tax and minority interest.
