EAGLE, IDAHO — Powerful functionality from the company’s base company in North America and Asia helped offset softer benefits in Europe at Lamb Weston Holdings, Inc. throughout the third quarter of fiscal 2019.
Net earnings in the third quarter ended Feb. 24 totaled $141.four million, equal to 96c per share on the widespread stock, down 10% from $156.eight million, or $1.07 per share, in the identical period a year ago. Earnings ahead of earnings taxes and equity approach earnings, meanwhile, improved 19% to $166.eight million from $140.7 million.
Net sales improved 7% to $926.eight million, up from $863.four million in the identical period a year ago.
“In the third quarter, we delivered strong benefits regardless of facing challenging year-ago comparisons and a difficult operating atmosphere in Europe,” Thomas P. Werner, president and chief executive officer, stated throughout an April two conference get in touch with with analysts. “Our top rated-line development of 7% was driven by a strong mix of volume and price tag/mix in our International and Foodservice segments. Adjusted EBITDA, like unconsolidated joint ventures, was also up 7%. And by means of the initially nine months of the year, we generated about $445 million of money flow from operations. Since we delivered an additional strong quarter and have constructed great operating momentum, we’ve once more raised our fiscal 2019 outlook.”
Mr. Werner stated Lamb Weston now expects sales to boost higher single digits and EBITDA, like unconsolidated joint ventures, to be $895 million to $905 million.
In Lamb Weston’s International company unit, which sells to the top rated 100 U.S.-primarily based restaurant chains, sales rose 11% to $498.two million throughout the quarter. Volume rose 9% driven by development in sales to strategic prospects in the United States and important international markets, as effectively as the advantage of restricted-time solution offerings.
In the Foodservice segment, which incorporates North American meals service distributors and restaurant chains outdoors the top rated 100, sales rose five% to $265.five million. Volume improved 1%, led by development in branded merchandise, according to the corporation.
In Retail, sales fell 1% to $129 million throughout the quarter. Volume decreased two%, mostly due to the timing of private label solution shipments in the prior year period.
For the initially nine months of fiscal 2019, Lamb Weston net earnings rose to $368.two million, equal to $two.44 per share, up from $316.eight million, or $two.15 per share, the year prior.
Sales for the period rose to $two,753.1 million from $two,505.five million.