TreeHouse Sales, Profitability Up

Nov. 7, 2022

Net loss reflects poor performance of newly divested units.

TreeHouse Foods posted increases in sales and gross profit in the most recent quarter, pointing the way toward profitability in the wake of its divestiture of a large part of its business.

Net sales for the quarter ending Sept. 30 were $875 million, a 16% increase from the same quarter last year, while gross profit was $129.3 million, up 2.7% from last year.

TreeHouse showed a net loss for the quarter of $90.5 million, compared with net income of $6.7 million in the same quarter last year. Much of the loss was attributed to the portion of TreeHouse’s Meal Preparation business that got divested in a $950 million deal effective Oct. 3. Earnings per share came out to 18 cents, beating analysts’ estimates of 13 cents.

"I'm confident that our portfolio of private label snacking and beverage products is poised to benefit from increasing consumer demand for snacking and beverages as well as broader trends driving private label demand," CEO Steve Oakland said in a statement.

About the Author

Pan Demetrakakes | Senior Editor

Pan has written about the food and beverage industry for more than 25 years. His areas of coverage have included formulations, processing, packaging, marketing and retailing. Pan worked for Food Processing Magazine for six years in the 1990s, where he was operations editor (his current role), touring dozens of food plants of every description. He has also worked for Packaging and Food & Beverage Packaging magazines, the latter as chief editor, during which he won three ASBPE awards. He is a graduate of Stanford University with a BA in communications.