Canadian meat and poultry company Maple Leaf Foods reported a net loss of CA$2.8 million (US$2.31 million) for the first quarter of fiscal year 2015. The loss was narrowed substantially, however, when compared to the net loss of CA$124.6 million when compared to the first quarter of fiscal year 2014.
The company has faced a net loss in each of the past eight quarters as the company has been undergoing a transformation by replacing outdated processing plants with newer, more efficient ones. With the last of those old plants shutting down on April 30, Maple Leaf Foods CEO Michael H. McCain sees brighter times ahead.
“We had a very strong quarter, returning to profitability in adjusted earnings per share (EPS),” said McCain, referring to a CA$0.05 adjusted EPS, compared to a adjusted EPS loss of CA$0.25 during the previous quarter.
“We recorded a $40 million improvement in our adjusted operating earnings year over year, restored our margins and made excellent progress in recovering our prepared meats volume from last year’s unprecedented environment. We were able to reduce our operating costs as we come to the final stage of our network transition, and today, with the last production run at our last legacy plant, we are bringing an end to our duplicative supply chain. Our final phase is to bring our new state-of-the-art facilities to full operational effectiveness. All of this keeps us on track to reach our strategic financial target.”