The Hain Celestial Group, Inc. Earnings: Profits Climb By Double Figures Again

The Hain Celestial Group, Inc. (NASDAQ:HAIN) reported net income above Wall Street’s expectations for the fourth quarter. Hain Celestial Group, Inc. manufactures, markets, distributes and sells natural and organic specialty and snack food products and natural personal care products.

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The Hain Celestial Group Earnings Cheat Sheet for the Fourth Quarter

Results: Net income for the processed and packaged goods company rose to $12.8 million (28 cents per share) vs. $6.7 million (16 cents per share) in the same quarter a year earlier. This marks a rise of 92% from the year earlier quarter.

Revenue: Rose 31.1% to $292 million from the year earlier quarter.

Actual vs. Wall St. Expectations: HAIN reported adjusted net income of 35 cents per share. By that measure, the company beat the mean estimate of 33 cents per share. It beat the average revenue estimate of $270.3 million.

Quoting Management: “Our fourth quarter results complete a strong year across our business with solid top- and bottom-line performance by the Company,” said Irwin D. Simon, President and Chief Executive Officer of Hain Celestial. “Indications are that despite ongoing challenges in the economy, consumers continue to seek out healthful products from our natural and organic brands.”

Key Stats:

Last quarter marked the fifth consecutive quarter of gross margins expanding as the company’s gross margin expanded 1.9 percentage points to 27.9% from the year earlier quarter. Over that span, margins have grown on average two percentage points per quarter on a year-over-year basis.

The company has now seen net income rise in three straight quarters. In the third quarter, net income rose more than sixfold and in the second quarter, the figure rose 45.5%.

Revenue has risen the past four quarters. Revenue increased 29.8% to $288.4 million in the third quarter. The figure rose 20.6% in the second quarter from the year earlier and climbed 11.9% in the first quarter from the year-ago quarter.

The company has now topped analyst estimates for the last three quarters. It beat the mark by 2 cents in the third quarter and by 2 cents in the second quarter.

Competitors to Watch: General Mills, Inc. (NYSE:GIS), Campbell Soup Company (NYSE:CPB), Kraft Foods Inc. (NYSE:KFT), The J.M. Smucker Company (NYSE:SJM), TreeHouse Foods Inc. (NYSE:THS), H.J. Heinz Company (NYSE:HNZ) and Coca-Cola (NYSE:KO) and PepsiCo, Inc. (NYSE:PEP).

Investing Insights: Steve Jobs Prepares to Deliver a New Catalyst for Apple’s Stock.

(Source: Xignite Financials)