Snyder’s-Lance posts 65.3% decline in Q4 net earnings

US-based snack food company Snyder’s-Lance has reported a 65.3% decline in net earnings to $7.78m for the fourth quarter of 2012, compared to $22.43m for the same period in 2011, due to increased impairment charges.

For the quarter ended on 29 December, the company posted a 1.86% increase in net revenue to $419.83m, compared to $412.13m in fiscal 2011.

For the full-year 2012, Snyder’s-Lance reported a 54.4% increase in net earnings to $59.09m, compared to $38.26m in 2011, while net revenue decreased 1.2% to $1.62bn, compared to $1.64bn in the previous year.

Snyder’s-Lance chief executive officer David Singer said that during 2012 the company increased earnings by more than 35%, excluding special items, and grew sales by 2.2% when the impact of its IBO conversion is excluded.

The company completed its merger integration, and also rolled out and began to implement its strategic plan, Singer said.

"In line with this plan, we delivered strong growth in our core branded items of Snyder’s of Hanover®, Lance® and Cape Cod®, and we acquired Snack Factory® and the fast-growing Pretzel Crisps® brand," Singer added.

For fiscal 2013, the company expects 10% to 12% increase in net revenues, and an increase between 22% and 32% for earnings per diluted share, compared to 2012, excluding special items.

Meanwhile, the company announced that its president and COO Carl Lee will be taking over as the new CEO replacing David Singer, who will retire in May.

Snyder’s-Lance, headquartered in Charlotte, North Carolina, produces pretzels, sandwich and restaurant style crackers, potato chips, cookies, tortilla chips, nuts and other snacks.

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Image: For the full-year 2012, Snyder’s-Lance reported a 54.4% increase in net earnings to $59.09m. Photo courtesy of PRNewsFoto/Snyder’s-Lance, Inc.