Organic and natural products firm Hain Celestial Group has reported a 1.4% increase in net sales in the fourth quarter of its financial year, however full-year sales dropped 4.0%.
Commenting on the group's performance, Mark L. Schiller, president and chief executive, said that both the fourth quarter and full year were marked by "unprecedented volatility and numerous challenges".
In its North America operating segment, net sales rose 17% to $296.9 million (€298.2 million) in the fourth quarter, which was up 17% on the previous year's period, or +6% if adjusted for foreign exchange, acquisitions, divestitures and discontinued brands.
Full-year sales in North America were up 5%, or 4% on an adjusted basis.
Net Sales Performance
Net sales in its International segment were $160.2 million (€160.1 million) in the fourth quarter, a 19% decrease compared to the prior year period, or a 10% decline on an adjusted basis.
International sales were 16% lower for the full-year, or down 6% on an adjusted basis.
The group said that the net sales decrease in the Europe operating segment was 'primarily due to the loss of a large non-dairy co-manufacturing customer', while in the UK, lower sales volumes were driven by a combination of high inflation and lower consumer confidence.
"While our results have been below our expectations and we still face challenges, especially in Europe, we exit the year with strong topline momentum in North America, improving supply chain performance, additional pricing and stabilising total store revenues in the UK," Schiller added.
Hain Celestial's brands include Ella's Kitchen, Cully & Sully, Hartley's, Sun-Pat, recent acquisitions Parm Crisps and Thinsters, and many others.
Looking ahead to the coming financial year, Schiller noted that the group remains "confident in our strategy and are poised to restore net sales and EBITDA growth as the year progresses".
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