McCormick & Co. is continuing to see a boost from the pandemic, with sales up 22% and net income up 12% for the most recent quarter over last year.
Sales rose from $1.21 billion to $1.48 billion in the quarter ending in February. When adjusted for the cost of recent acquisitions like Cholula hot sauce, earnings rose 33%, to 72 cents a share.
CEO Lawrence Kurzius noted that the increase in dollar sales outpaced the increase in unit sales. He attributed this to both retailers and consumers continuing to stock up pantries depleted of spices and seasonings, as the ongoing pandemic forced consumers to cook more at home. Meanwhile, a streamlined supply chain and enhanced manufacturing capacity have helped McCormick avoid sourcing problems, even though its spices come from all over the world.
Acquiring Cholula and ingredients manufacturer Fona International late last year helped McCormick’s Flavor Solutions segment, which markets to food processors and foodservice. That segment increased sales 3%, to $535 million.
