Central Garden & Pet Company has revealed record financial results for its2020 third quarter, ended June 27.
Total net sales increased 18.0% to $833.5m compared with $706.6m in the thirdquarter a year ago, principally driven by organic strength in both the gardenand pet segments as well as the inorganic contribution of the company’s C&Sacquisition. Total company organic sales increased 16.5% for the quarter.
Operating income increased to $104.6m from $68.9m in the same quarter a yearago. The company’s net income was $68.8m for the quarter compared with $46.2min the third quarter of 2019.
Third quarter net sales for the pet segment rose 18.0% to $413.3m comparedwith the same period a year ago, aided by the company’s C&S acquisition.Organic pet sales increased by 15.0%, with notable strength in petdistribution, dog treats and chews, animal health, and small animal food andsupplies.
These gains were partially offset by a decline in live fish sales due to amajor retailer exiting the category during fiscal 2019 and covid-19-relatedlive animal shipment and supply limitations.
The pet segment’s operating income increased to $50.8m, up 44.8%, andoperating to 12.3%. Pet’s organic operating margin improved to 12.2%. PetEBITDA of $59.1 million increased from $43.1 million in the third quarter ayear ago, primarily driven by volume strength, favourable mix, and overheadefficiencies.
Year-to-date net sales of $2,019.5m increased 9.6% compared with $1,842.3m ayear ago. Organic sales increased 6.4%, driven by strength in both segmentswith the most significant contributions coming from distribution, dog treatsand chews, wild bird feed, and controls and fertilisers. These gains werepartially offset by lower year-to-date sales of pet beds, live fish, and grassseed.
Source: Pets International – first published in Pet Business World
Previous Spring pet care tips from VET Dr Alison Kemp:
Next Pet Fair Asia 2020