Green Mountain Coffee 1Q profit drops 13 percent, but revenue soars on single-cup pack sales

Green Mountain Coffee 1Q profit declines

WATERBURY, Vt. — Green Mountain Coffee Roasters Inc. said late Wednesday its fiscal first-quarter profit declined 13 percent from a year ago, when the coffee distributor’s results benefited from a patent litigation settlement.

The company also raised its fiscal 2010 earnings forecast.

Green Mountain earned $12.5 million, or 27 cents a share, in the three months ended Dec. 31. That compares with a profit of $14.4 million, or 37 cents a share, in the same quarter a year earlier, which included a $17 million pretax gain from the settlement.

Sales soared 77 percent from the prior-year period to $349.4 million, from $197 million, fueled by sales of the company’s Keurig single-cup portion packs, Keurig brewer and accessories.

Analysts polled by Thomson Reuters forecast a profit of 16 cents a share on revenue of $330 million.

Green Mountain said sales of the Keurig single-cup portion packs more than doubled in the quarter, while sales of its Keurig brewer and accessories rose by more than 86 percent.

The company hiked its earnings estimates for fiscal 2010. It expects earnings per share of $1.95 to $2.05, up from a previous estimate of $1.85 to $1.95 per share.

Analysts expect $1.91 per share.

Green Mountain shares closed Wednesday at $80.02.