The Hain Celestial Group, Inc., a leading natural and organic products company providing consumers with A Healthier Way of Life™, reported its results for the third quarter ended March 31, 2013.
Worldwide net sales for the third quarter of fiscal year 2013 were a record $456.1 million, an increase of 21.4 percent compared to net sales of $375.8 million in the prior year period. Hain Celestial U.S. reported net sales of $277.6 million. In the United Kingdom, Hain Daniels' net sales were $121.2 million. For the company's Rest of World segment, consisting of the operations of Hain Celestial Canada and Hain Celestial Europe, net sales were $57.3 million. The company had strong brand contribution across various sales channels led by Earth's Best®, MaraNatha®, Spectrum®, The Greek Gods®, Imagine®, Health Valley®, Westbrae®, Hain Pure Foods®, Jason®, Europe's Best® and Linda McCartney® as well as brands acquired during the most recent 12 months including Cully & Sully®, Hartley's® and BluePrint®.
The company earned income from continuing operations of $41.8 million in the third quarter of fiscal year 2013 compared to $24.8 million in the prior year period, a 68.5 percent increase, and reported earnings per diluted share from continuing operations of $0.87 compared to $0.54 in the prior year third quarter. Income from continuing operations includes a tax benefit of $13.2 million, or $0.28 per diluted share, resulting from a worthless stock tax deduction for our investment in one of our UK subsidiaries. Adjusted income from continuing operations was $34.3 million compared to $25.7 million in the prior year, a 33.8 percent increase, and adjusted earnings per diluted share from continuing operations was $0.72 compared to $0.56 in the prior year third quarter. Adjusted amounts exclude the aforementioned tax benefit, acquisition-related expenses, integration and restructuring charges, factory start-up costs, unrealized currency losses and a reserve for litigation settlements. Adjusted earnings before interest, taxes, depreciation and amortization (EBITDA) reached a new high of $216.0 million during the 12-trailing month period ended March 31, 2013.
"I am extremely pleased to report the strongest sales in the company's history led by Hain Celestial U.S. and its continuing consumption gains and increased profitability during the third quarter. In the UK, we are pleased with the contributions of the ambient grocery brands as our team focused on higher margin brand growth and the elimination of unprofitable private label sales, while integrating the acquired business. Hain Daniels also benefitted from the sales and profitability of Cully & Sully in Ireland. Our businesses in Canada and Europe also delivered strong sales and profitable growth," said Irwin D. Simon, founder, president and chief executive officer of Hain Celestial in a prepared statement.
