FDBusiness.com

McCormick Reports Record 2017 Financial Results

 Breaking News
  • Year of Considerable Progress For Dairy Crest Dairy Crest, the UK dairy group, increased revenue by 10% to £456.8 million and adjusted profit before tax increased by 2.8% to £62.3 million for the year ended 31 March 2018, compared with the previous year. Dairy Crest’s Cheese & Functional Ingredients business increased revenue by 8.8% to £277.2 million while revenue at the Butters, [...]...
  • Edrington Unveils the New Home of The Macallan Edrington, the international premium spirits company, has revealed the new distillery and visitor experience for The Macallan brand. The new distillery and visitor experience is located on the stunning Easter Elchies estate in Scotland, which has been home to the leading luxury single malt since 1824. From humble beginnings, the brand has risen to become [...]...
  • Nestlé Strengthens its Research Capabilities in Switzerland Nestlé has announced changes that further strengthen its research and development operations, the largest of any food company worldwide. Nestlé will bring together its two scientific discovery units, the Nestlé Research Center and the Nestlé Institute of Health Sciences, to build one impactful organization, Nestlé Research. The combination of two world-renowned research facilities with highly [...]...
  • Algaia Receives €4 Million Boost Algaia, will accelerate development and install a new specialty seaweed extract production unit at its Lannilis (Brittany-France) manufacturing facility dedicated to specialty algae extracts. The company’s main shareholder, Maabarot Products, has injected an additional €4 million in equity to support further expansion of the production facility and innovation center located in Saint-Lo (Normandy-France). Algaia works with local [...]...
  • Smarter Factories – Safer Working In food produce environments and packhouses, the benefits of automation when it comes to workforce health and safety are uncontended. From eliminating arduous and repetitive tasks to working uninterrupted within inhospitable chilled settings, robots are most certainly the future. Case loading specialist Brillopak and industrial automation pioneer Omron explore how smart robots, hardware and software can [...]...

McCormick Reports Record 2017 Financial Results

McCormick Reports Record 2017 Financial Results
January 29
09:21 2018

McCormick & Company, a global leader in flavours, has reported record results for its fiscal year ended November 30, 2017. Sales rose 10% from the prior year with minimal impact from currency. Incremental sales from acquisitions, which included RB Foods and Giotti as well as Gourmet Garden, acquired in April 2016, contributed 6% to the sales increase. The remaining increase was driven by new products and growth in the base business through brand marketing support, expanded distribution, and pricing actions taken to offset material cost inflation.

Operating income was $702 million compared to $641 million in fiscal 2016. Adjusted operating income was $786 million, a 20% increase from $657 million for fiscal 2016, and a 21% increase in constant currency. Earnings per share increased to $3.72 from $3.69 in fiscal year 2016, and adjusted earnings per share rose 13% to $4.26 from $3.78.

Lawrence E Kurzius, chairman, president and chief executive, comments: “Our broad global flavor portfolio continues to drive growth and differentiate McCormick. In 2017, we delivered another year of record financial results with strong core business performance and the incremental impact of acquisitions. Our performance reflects the effectiveness of our strategies and engagement of employees around the world.”

He continues: “In addition to our strong base business and new product growth, the acquisitions of RB Foods, Giotti and Gourmet Garden contributed to higher sales as valuable additions to our global portfolio of flavors.  Through our Comprehensive Continuous Improvement (CCI) program, we are generating fuel for growth.  Led by this program, we achieved $117 million in cost savings in 2017 and are well on our way to achieving our four-year $400 million goal of cost savings by 2019.  Through the combination of our CCI program and our strategy to shift our portfolio to more value-added products, we expanded our adjusted operating margin.”

For the 2018 fiscal year, McCormick expects to increase sales year-on-year by 12% to 14%, which includes a one percentage point favorable currency impact. The company expects to achieve earnings per share of $6.89 to $7.14 in fiscal year 2018, including the non-recurring net favorable impact of the recent U.S. tax legislation, compared to $3.72 in 2017.

About Author

mike

mike

Related Articles



Food & Drink Business Conference & Exhibition 2016

Upcoming Events

  • June 1, 2018Gluten Free Expo Slovakia
  • June 3, 2018Vinoble
  • June 4, 20188th WSO World Congress on Stevia Tasteful 2018
  • June 17, 2018The Excellence of Italian Food and Wine (Bellavita Expo)
AEC v1.0.4

find food jobs

The Magazine

F&D Business Preferred Suppliers

New Subscriber





Subscribe Here



Advertisements