J&J Snack Foods is still struggling with the pandemic, but it sees better days ahead.
Sales for the company’s second fiscal quarter, ended March 27, were $256.2 million, a 6% drop from the same quarter last year. Net earnings were $6.1 million, down 16% year-over-year.
The losses were driven by the effect of the pandemic on J&J’s foodservice business, which includes pretzels, frozen beverages, and other snacks often sold in entertainment venues. Foodservice sales were down 1% in the quarter, while retail products were up 17%.
While the pandemic is still affecting J&J’s sales, the rate of decline is decreasing. Sales in the first quarter had been down 15% year-over-year. Company executives say they expect further improvements as vaccines are distributed and the pandemic eases.
“I am starting to see some momentum in our business as key venues like theaters, amusement parks, sports arenas and schools start to open and increase capacity,” Dan Fachner, J&J’s president, said in a statement. “Consumers are starting to get out of their homes with more confidence and enjoying experiences they have missed over the last year. Our products are well positioned for these encouraging trends, and we are excited about the opportunities ahead of us.”
In other J&J news, the company has hired a former Coca-Cola executive as its chief marketing officer. Lynwood Mallard had been Coca-Cola’s vice president of category strategy and innovation.
