Hain Celestial Group fourth quarter profit up on lower costs

Hain Celestial Group 4Q profit up sharply

MELVILLE, N.Y. — Natural foods company Hain Celestial Group reported a sharp increase in fiscal fourth-quarter earnings Wednesday, helped by lower costs and stronger sales in North America and parts of Europe.

The company, which makes Celestial Seasonings tea and other foods, reported net income of $6.69 million, or 16 cents per share, in the quarter ended June 30. That was up from $1.26 million, or 3 cents per share, in the year-ago quarter.

Sales dropped to $222.8 million from $258.8 million in the 2009 fourth quarter. But the company was able to reduce its cost of sales and selling, general and administrative expenses in part due to the effect of layoffs.

Analysts surveyed by Thomson Reuters expected earnings of 24 cents per share on sales of $223 million. The estimates typically exclude one-time items.

For the 2010 fiscal year, Hain Celestial Group earned $28.6 million, or 70 cents per share.

The company said it expects fiscal 2011 earnings of $1.24 to $1.31 per share on sales of $1.025 billion to $1.05 billion.

Analysts foresee $1.22 per share of earnings on sales of $992.9 million.