Post Holdings pet portfolio hits yearly sales of $680 million
The American consumer packaged goods holding attributes the positive trend to the recently acquired J.M. Smucker pet food brands.
The firm’s pet food portfolio contributed to $679.8 million (€622.2M) in sales from a total of $3 billion (€2.7B) in global net sales during the 2023 fiscal year (FY) ending 30 September.
“We had a very strong start to our entry in the pet food category and recaptured some profit margin in our domestic retail businesses through pricing, significant improvement in labor availability and supply chain performance,” CEO Jeff Zadoks said to investors.
Zadoks added that Q4 was “the culmination of an exceptional fiscal year.” The pet business registered sales of $404.5 million (€370.2M) during that period.
Acquisitions
Earlier in the year, Post Holdings acquired some pet brands from J.M. Smucker for $1.2 billion (€1B) and, more recently, private label manufacturer Perfection Pet Foods.
According to management, these latest business deals “have been contributing to [the company’s] success by enabling the expansion of its customer base.”
“The acquisition of Perfection Pet, which we expect will close later in our first fiscal quarter, will enhance our flexibility through its capabilities, geography and capacity and greater exposure to private label and co-manufacturing,” added Zadoks.
The company predicts spending $90–$100 million (€82.3M–€91.5M) on “pet food quality, safety, capacity, pilot plant and distribution network investments” in FY 2024.
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