Landec Corporation has reported on its financial results for fiscal 2011, with revenues up 16 per cent to US$276.7m on the US$238.2m recorded in the same period of 2010, and net income down slightly from US$4m to US$3.9m.
According to Landec, net income was negatively impacted by US$5m due to weather-related increased costs for produce sourcing in Apio's value-added vegetable business, and by a one-time US$4.8m non-cash, non-tax deductible impairment charge for the write-off of Landec Ag's goodwill.
However, revenue growth was aided by a US$31m increase in revenues from Lifecore and a US$7.4m increase in revenues from Apio.
For the fourth quarter specifically, revenues increased US$9.9m, or 17 per cent, to US$68.1m, primarily due to a US$4.1m increase in revenues at Lifecore which was acquired on 30 April, 2010.
In addition, revenues in Apio's value-added vegetable business increased US$3.9m or 9 per cent to US$46.8 million, and Apio export revenues increased US$1.7m, or 15 per cent, to US$13.4m, compared with the fourth quarter last year.
'Although March was a wet month in California, weather conditions improved in April and May and as a result revenues in our value-added vegetable business grew 9 per cent during the fourth quarter of fiscal year 2011 compared to the fourth quarter last year, and the gross profit from these increased revenues offset increased produce sourcing costs due to weather-related sourcing issues in March,' said Apio CEO Ron Midyett.
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