Exceptionally strong U.S. profit growth has cheese and
snack maker Saputo Inc. considering an expansion of its operations in
the challenging America market.
Exceptionally strong U.S. profit growth has cheese and snack maker Saputo Inc. considering an expansion of its operations in the challenging America market.
The Montreal-based company overcame weakened commodity cheese prices, lower sales and revenue decreases to boost profits at its U.S. division by 50 per cent to $24 million. The improvement resulted from cutting costs, raising selling prices and improving operational efficiencies, the company reported last month.
Earnings before interest, taxes and other charges in U.S. dairy products rose by $9 million as efficiencies offset lower American cheese prices and the stronger Canadian dollar.
Quarterly net earnings increased by 42 per cent on flat sales as pre-tax operating profit at its Canadian dairy products sector increased by $20 million. Revenue edged up by a bare $2.2 million to $1.02 billion, mainly thanks to the Canadian dairy products sector as a result of higher selling prices in line with the increase in the cost of milk, and increased sales volumes of Canadian fluid milk.
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