Seneca Foods Reports Sales and Earnings for the Quarter and Twelve Months Ended March 31, 2024

Core Viewpoint - Seneca Foods Corporation reported a decrease in net sales for the fiscal year 2024 compared to the previous year, primarily due to lower sales volumes, although this was partially offset by higher selling prices [2][18]. Company Overview - Seneca Foods is a leading provider of packaged fruits and vegetables in North America, sourcing products from over 1,200 American farms and distributing to approximately 55 countries. The company holds significant market shares in various segments, including retail private label and food service [4][5]. Financial Performance - For the twelve months ended March 31, 2024, net sales totaled $1,458.6 million, down from $1,509.4 million in the previous year, reflecting a year-over-year decrease of $50.8 million [2]. - The gross margin as a percentage of net sales improved to 12.9% for the twelve months ended March 31, 2024, compared to 6.9% for the same period in 2023 [17]. - The company reported a net loss of $2.2 million for the fourth quarter of fiscal 2024, compared to a net loss of $33.1 million in the same quarter of the previous year [13][14]. Quarterly Results - In the fourth quarter of fiscal 2024, net sales were $308.0 million, down from $331.1 million in the fourth quarter of fiscal 2023, marking a decrease of $23.1 million [18]. - The operating income for the fourth quarter was $2.5 million, a significant improvement from a loss of $36.9 million in the same quarter of the previous year [13][14]. Cost and Operational Insights - The company faced challenges related to rising costs of raw materials, including fruits, vegetables, and packaging, which impacted overall profitability [10]. - Minimal restructuring charges were incurred during fiscal year 2024, primarily related to ceasing Northeast trucking fleet operations [14]. Earnings Metrics - Adjusted net earnings for the twelve months ended March 31, 2024, were $80.2 million, compared to $107.8 million for the previous year [16][21]. - EBITDA for the twelve months ended March 31, 2024, was reported at $167.3 million, an increase from $80.4 million in the previous year [21].