ARDEN HILLS, Minn. — Land O’Lakes had net sales of $5.8 billion and net earnings of $164.1 million for the first six months of 2009.
While net sales were down from $6.6 billion for the first half of last year, the $164.1 million in net earnings matched the same period one year ago, despite 2009’s difficult economy.
The company reported net sales of $2.8 billion and net earnings of $81.5 million for the second quarter, versus $3.3 billion in net sales and $102.8 million in net earnings for the same period one year ago.
“While Land O’Lakes is not immune to the stresses and challenges of a difficult economy, we are solidly positioned to deal with the challenges ahead,” said Land O’Lakes President and CEO Chris Policinski.
Among the factors Policinski cited in Land O’Lakes positioning were a sound and stable balance sheet, strong market positions and leading brands, an organization-wide commitment to best cost discipline and well-developed strategic plans.
Company officials indicated business unit results were mixed, with Dairy Foods and Layers/Eggs particularly affected by declining commodity markets and the impact of economic conditions on consumer purchasing decisions; strong performance in Seed and Crop Protection Products; and Feed realizing a volume decline in the livestock segment (due to financial stress among beef cattle and dairy producers), but seeing increased volume in the lifestyle feed and ingredients segments.
The company’s Total EBITDA (Earnings Before Interest, Taxes, Depreciation and Amortization) was $141.3 million for the quarter and $254.1 million year to date, versus $163.8 million and $273.1 million for the same periods in 2008.
