Hain Celestial has reported another quarter of falling sales and net losses as president and CEO Alison Lewis pursues her “turnaround strategy”.
Lewis, who took the helm permanently in December, has embarked on a plan to cut 30% of the US food and drink group’s portfolio in North America
The sale of snacks, including the brands Garden Veggie, Terra chips and Garden of Eatin’, was announced in February to Canada-based Snackruptors for $115m. That disposal amounted to a pre-tax loss of $51m in the third quarter to 31 March of the total net losses of $106m delivered for the three months, Hain Celestial reported today (11 May). The loss was, however, trimmed from the $135m a year earlier.
Another impairment charge was also recorded as part of the losses. Hain Celestial said the $46m of pre-tax non-cash charges “related to goodwill and certain intangible assets, as well as assets held for sale”. Adjusted for the snacks business sale, the bottom-line loss was $1m compared to a $6m profit in the corresponding period.