Pinnacle Foods reports rise in Q3 net sales

US-based food company Pinnacle Foods reported a 6% increase in net sales to $575m for the third quarter ended 25 September 2011, compared to $542m during the same period in 2010.

Net earnings were $13m, compared to a loss of $12m in 2010.

Pinnacle CEO Bob Gamgort said the company’s increased investment in consumer marketing and innovation delivered strong sales growth in the quarter.

"Further, we began to realize the benefits of retail pricing actions previously implemented and have made sequential improvement in our year-on-year gross margin comparisons," Gamgort added.

The net sales in the company’s North American retail businesses rose 7%, excluding the impact of exiting from meals business, which included brands such as Birds Eye Steamfresh and US Swanson.

The company witnessed strong growth in brands such as Birds Eye Voila! bagged meals, Hungryman frozen dinners, Armour canned meats and Nalley chili.

For the first nine months of 2011, net sales increased 0.5% to $1.78bn, compared to $1.77bn in the same period in 2010.

Net earnings were $41m, compared to $6m in the previous year.

Pinnacle Foods manufactures convenience food products in North America and operates through three segments: Birds Eye Frozen, Duncan Hines Grocery and Specialty Foods.