Maple Leaf Foods has reported a smaller quarterly loss as it works through a plan to close older packing plants.
The company, which is one of Canada’s biggest pork processors, is nearing the end of a multi-year program to upgrade its meat operations as it seeks to boost profits and better compete with U.S. rivals.
The company last week closed a large plant in Kitchener, Ont., leaving only one plant in Toronto left to shut.
Chief executive officer Michael McCain said 2014 was a pivotal year for the company.
Read Also
Land crash warning rejected
A technical analyst believes that Saskatchewan land values could be due for a correction, but land owners and FCC say supply/demand fundamentals drive land prices – not mathematical models
“Our seven year journey of investment and development headlined by the rebuilding of our supply network, is nearing its end.”
The fourth quarter net loss from continuing operations narrowed to $23 million from $47.9 million a year ago.
The adjusted loss was $13.7 million, compared to $56 million a year earlier. Revenue increased six percent to $794 million because of price increases. The net loss from continuing operations for the full year was $213.8 million, compared to a net loss of $141.4 million in 2013.
For the year, the meat products group had an adjusted operating loss of $80.381 million, an improvement over the loss of $86.192 million in 2013.
The agribusiness group had adjusting operating earnings of $8.642 million, an improvement over a loss of $38.258 million.
Since beginning the transition in 2010, Maple Leaf has completed seven of eight planned plant closures and completed the expansion of three plants. It consolidated 17 distribution centres into two and built a 400,000 square foot state-of the-art processing facility in Hamilton, Ont.
It has also sold its bread business, its Rothsay rendering business, Olivieri Foods and Ontario turkey and chicken breeding operations.
