Sabra, the leading U.S. brand of hummus, is still reeling from product recalls and restrictions on its production plant in Virginia.
The plant, in South Chesterfield, Va., was partially shut down in December. Discovery of salmonella in a tub of hummus had led to a voluntary recall in March 2021, and subsequent FDA inspection found food safety violations. Under an adjustment plan, the Virginia plant was made to operate at a reduced capacity.
As a result of that lower production capacity, Sabra posted a 32% drop in sales for the first quarter compared to last year, and an operating loss of about $9 million, according to a statement from Strauss Group. Israel-based Strauss co-owns Sabra in a joint venture with PepsiCo.
The drop in sales meant a decline in U.S. market share for Sabra from 62% to 46%. Strauss says that it expects production to resume fully by the second half of this year.
Sabra has had contamination problems before, with recalls in 2015 and 2016.
