McCormick & Co. Inc. (Sparks, MD) have announced a sales increase for the first quarter of 2007 of 7%, totaling US$652.6 million. Higher volume from Simply Asia Foods acquired in mid-2006, new products, ethnic items and convenience items contributed to this increase, as well as pricing actions. Cost savings and a more favorable business mix were cited as factors in gross profit margin reaching 40.5% (a rise of 1.3% over the same period 2006).
Of the results, McCormick & Co. chairman and CEO Robert Lawless said, “With our first quarter financial results, fiscal year 2007 is off to a great start. The restructuring actions begun in late 2005 are delivering significant cost savings and sustainable margin improvement. Initiatives to grow our business are driving sales in a number of our regions around the world. This added up to an outstanding quarter and gives us increased confidence that 2007 will be another record year for McCormick.”