Company reports $54 million year-over-year earnings increase
Land O’Lakes, Inc. today reported net sales of $2.9 billion and net earnings of $66 million for the third quarter ending September 30, 2020, compared with net sales of $3.0 billion and net earnings of $12 million during the third quarter of 2019. Every business unit performed better this quarter than in the previous year. Year-to-date net sales totaled $10.3 billion with net earnings of $184 million compared to net sales of $10.3 billion and net earnings of $151 million during the same period in the prior year.
“I am grateful for the engagement, agility and commitment of the Land O’Lakes team that delivered remarkable performance in the face of the most rapidly changing market dynamics in recent memory,” said Beth Ford, president and CEO of Land O’Lakes, Inc. “While the health and safety of our employees and members remains our first priority, strong performance like this enables us to innovate and expand beyond the traditional boundaries of food and ag.”
Earnings improved by $54 million in the third quarter due to strong performance across the portfolio. Dairy Foods earnings were higher due to continued strength in Retail, which more than offset lower volumes in Foodservice and commodity market volatility due to impacts of COVID-19. Animal Nutrition earnings improved due to higher sales and favorable product mix in our Lifestyle segment. Crop Inputs earnings were also higher for the quarter due to improved Seed performance, lower working capital resulting in lower debt financing costs and other targeted cost reductions. Ending liquidity was $847 million, up 70% from prior year levels.
More information about the company’s 2020 performance can be found at www.landolakesinc.com/investors.
About Land O’Lakes, Inc.
Land O’Lakes, Inc., one of America’s premier agribusiness and food companies, is a member-owned cooperative with industry-leading operations that span the spectrum from agricultural production to consumer foods. With 2019 annual sales of $14 billion, Land O’Lakes is one of the nation’s largest cooperatives, ranking 232 on the Fortune 500. Building on a legacy of more than 99 years of operation, Land O’Lakes today operates some of the most respected brands in agribusiness and food production including Land O’Lakes Dairy Foods, Purina Animal Nutrition, WinField United and Truterra. The company does business in all 50 states and more than 60 countries. Land O’Lakes, Inc. corporate headquarters are located in Arden Hills, Minnesota.