SunOpta Inc., a manufacturer of private label plant- and fruit-based foods and beverages, has shared its financial results from the first quarter, highlighted by increased plant-based revenue.
For the period ended April 1, 2023 SunOpta’s plant-based foods and beverages revenues increased by 9.3%, partially offset by a 9.7% decline in fruit-based foods and beverages revenues. Growth in the sector was led by a 25% increase in plant-based milk products, partially offset by declines in lower margin broth and ingredients.
In the quarter, SunOpta’s revenues were $223.9 million, up 0.4% from the prior year period, excluding its divested sunflower product business. Gross profit margin was up 80 basis points on a reported basis and improved 320 basis points to 15.2% adjusted for startup costs related to its new Texas manufacturing plant.
“We delivered another quarter of significant increase in profitability as margin-focused portfolio optimization and revenue expansion initiatives continue to flow through to profit,” said CEO Joe Ennen. “We continue to have strong momentum in our businesses by leveraging our value proposition of operating expertise, available capacity and strong R&D and innovation capabilities.”
SunOpta has reaffirmed its 2023 outlook, expecting 7-12% revenue growth and 16-23% adjusted EBITDA for the year.
“To that point, production start-up at our new plant in Texas continues to be on schedule, setting the stage for strong second half growth. We remain well positioned competitively, confident in our outlook for 2023, and steadfast in our focus on Fueling the Future of Food."