Snyder's-Lance hints at innovation agenda
Snyder’s-Lance is promising an innovation filled product pipeline for 2015 that includes meal-replacement snacks to drive growth for retailers following a pivotal second quarter for the company.
Snyder’s-Lance president and CEO Carl E. Lee Jr., said the second quarter was a key turning point for the company because it completed the sale of its private brands business and acquired Baptista Bakery, a provider of products positioned as better-for-you. Both deals fit with the company’s strategy of offering a differentiated assortment and being more innovative.
“A number of exciting new products in our pipeline are being driven by the Baptista's team and will come to market as we move into 2015. Our company is uniquely positioned to deliver what consumers are expecting when it comes to snacks that serve as a meal replacement, fuel a busy day or are part of healthy eating occasions,” Lee said. “By staying focused on execution, we have launched a number of strategic initiatives to meet consumer trends and retailer expectations, while ensuring we stay ahead of the changing landscape.”
The innovation commitment was made in conjunction with the release of second quarter results that saw sales advance 4.8% to $460 million and adjusted net income increased to $20.6 million, or 29 cents a share, compared to $16.9 million, or 24 cents a share.
"Over the next 12 months, we'll complete the transition and integration of our recent transactions while reducing costs by $22 to $25 million through our margin enhancement and restructuring initiative. At the same time, we will continue to invest in our core branded products with advertising and marketing plans that are focused on driving top line and building long-term equity with consumers,” Lee said. “The result will be expanded margins as we continue to drive growth with innovative new products, distribution gains and enhanced retail visibility. We'll continue to expand our better-for-you product offerings and leverage the manufacturing capabilities and innovation skills of the team at Baptista's, as well as other facilities and R&D Center.”
Snyder's-Lance's manufactures brands such as Snyder's of Hanover, Lance, Cape Cod, Snack Factory Pretzel Crisps, Krunchers!, Tom's, Archway, Jays, Stella D'oro, Eatsmart, O-Ke-Doke and Quitos.