Seneca Foods’ net sales flat in latest quarter, up in last year

PHOTO CREDIT: SENECAFOODS.COM

FAIRPORT, N.Y. — Seneca Foods Corp. (NASDAQ: SENEA, SENEB) recently reported net sales of $331.1 million for the three-month period ending March 31, virtually unchanged from $332.4 million in the year-prior quarter. The company — a Finger Lakes–based provider of packaged fruits and vegetables, with facilities across the U.S., including Geneva and Penn Yan — […]

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FAIRPORT, N.Y. — Seneca Foods Corp. (NASDAQ: SENEA, SENEB) recently reported net sales of $331.1 million for the three-month period ending March 31, virtually unchanged from $332.4 million in the year-prior quarter.

The company — a Finger Lakes–based provider of packaged fruits and vegetables, with facilities across the U.S., including Geneva and Penn Yan — said the slight sales decrease was mainly due to lower sales volumes, mostly offset by higher selling prices.

Gross margin as a percentage of net sales in the latest quarter was 5.3 percent, down from 8 percent in the prior year. The year-over-year decrease was mainly due to a $15.6 million rise in the firm’s LIFO (last in/last out) charge.

Seneca Foods said its net sales for the one-year fiscal period ending March 31, totaled $1.51 billion, up almost 9 percent from $1.39 billion in the previous fiscal year. The year-over-year increase mainly resulted from higher selling prices, partially offset by lower sales volumes.

“Seneca Foods had an excellent fiscal 2023, delivering record sales and FIFO EBITDA, despite continued cost pressures for labor and raw materials which led to an unprecedented non-cash LIFO charge of $100 [million],” Paul Palmby, president and CEO of Seneca Foods, said in the company’s June 13 earnings report. “Significant past investments in our operating facilities paid off as our supply chain operated admirably this year amid a challenging environment. Entering fiscal 2024, we have replenished our inventory levels, which were depleted during the pandemic, and are in position to serve our customers’ needs.”

Seneca Foods says it is one of North America’s leading providers of packaged fruits and vegetables. Its products are primarily sourced from more than 1,400 American farms and are distributed to about 60 countries. The firm’s corporate office is in Fairport, near Rochester. Seneca says it holds a large share of the market for retail private label, food service, restaurant chains, international, contracting packaging, industrial, chips, and cherry products. Products are also sold under the brands of Libby’s, Aunt Nellie’s, Green Valley, CherryMan, READ, and Seneca.

Jornal Staff: