Maple Leaf Foods saw its net earnings from continuing operations rise to CA$18.7 million (US$1.43 million) during the third quarter of fiscal year 2015, rebounding well after experiencing a loss of CA$26.7 million during the third quarter of fiscal year 2014.
The Canadian meat, poultry and food company also reported for the quarter an adjusted earnings per share of CA$0.16, compared to a loss of CA$0.12 during the same quarter of fiscal year 2014.
Maple Leaf Foods is enjoying a return to profitability after nine consecutive quarters of losses as it replaced outdated processing facilities with modern, more efficient ones. Maple Leaf Foods’ last outdated processing plant went offline on April 30.
“We are making meaningful progress on eliminating inefficiencies driven by the ramp-up of our new facilities, though not at the pace we had hoped for,” said Michael McCain, president and CEO of Maple Leaf Foods. “Delivering on our strategic margin goal of consistent double digits will be achieved through reaching stable end-state production in our network, which we expect will extend into 2016. Along with efficiency gains, we are launching a number of exciting initiatives, including a strong platform for more sustainable meat production, to deliver ongoing profitable growth.
The company had shown a move toward profitability during its second quarter of fiscal year 2015, ending with a net loss of CA$7.5 million, a year-over-year improvement of CA$32 million.