US food company Hillshire Brands has reported that its net income decreased by 86.1% to $65m for the second quarter ended 29 December 2012, compared to $470m for the corresponding period in the last year.
The company's net sales increased slightly by 0.7% to $1.06bn, compared to $1.05bn for the same period in 2011.
Net sales in the Retail segment increased 2.2% over the prior year quarter behind higher volumes and
favorable mix. The Foodservice/Other segment net sales increased by 2.8% behind volume gains in both commodity meats and Foodservice meats.
For the six months, net sales decreased by 0.3% to $2.03bn from $2.04bn a year earlier, while net income decreased by 53.2% to $118m, compared to $252m in 2011.
Hillshire Brands president and CEO Sean Connolly said that the company's investment in MAP is strengthening its core brands, innovation pipeline, and allowing it to remain highly focused on managing costs.
"Based on our strong first half results, and taking into account our outlook for the rest of the year, we are raising full year EPS guidance," Connolly added.
Hillshire Brands updated its fiscal 2013 guidance for adjusted diluted EPS to $1.60 - $1.70, with slightly positive sales growth for the year. In addition it expects commodity input costs to become more challenging as the year 2013 progresses.
The Hillshire Brands, formerly Sara Lee, focuses on meat-centric food products and foodservice operations and offers several consumer brands, such as Jimmy Dean, Hillshire Farm, Ball Park, Aidells, Gallo Salame and State Fair.