Opta sees black
healthy 24 per cent increase in revenue for the third quarter with
the demand for fibre products largely fuelling the growth and
catapulting the company into the black.
Food ingredients company Opta Food Ingredients this week boasted a healthy 24 per cent increase in revenue for the third quarter with the demand for fibre products largely fuelling the growth and catapulting the company into the black.
Revenue rose to $7.2 million (€7.4m) for the third quarter ended 30 September 2002 compared with $5.8 million for the third quarter of 2001. Net income for the quarter was $236,000, or $.02 per share, compared with a net loss of $1.3 million, or $.12 per share, for the same period in 2001.
Arthur J. McEvily, president and chief executive officer, said the increase in Opta's revenue was primarily attributable to the growth in sales of Canadian Harvest fibre products as well as ingredient systems.
"During the quarter we saw strong demand for our fibre products both domestically and in certain international markets. In addition, we realised a significant increase in ingredient systems sales due to the introduction of a new product application related to a major quick service restaurant customer," he said.
McEvily attributed the company's improved financial performance to higher gross margins and a reduction in overall expenses. "We are pleased with our financial results for the first nine months of 2002 toward our goal of achieving operating profitability.
Key contributors to our improved financial performance in 2002 continue to be higher gross margins, 26 per cent of revenue as compared with 21 per cent for the same period last year, as well as a reduction in expense levels due to our corporate restructuring programme," he said."We remain focused on increasing sales in seven key product application areas and are encouraged by the pipeline of potential new business opportunities for 2003," continued McEvily.