March 23, 2016, Vancouver — Village Farms International recorded higher sales and profitability for the year ended and quarter ended Dec. 31, 2015.
• Sales increased four per cent to US $141.9 million in 2015 compared to $136.6 million in 2014.
• Net income increased by $2.2 million to $2.1 million in 2015 compared to a loss of $0.1 million in 2014.
• EBITDA increased 18 per cent to $10.2 million in 2015 compared to $8.7 million in 2014.
“Our 2015 results continue to demonstrate our upward trend to normalized revenue and cash flows since the hail storm setback in Marfa, Texas, during 2012,” said CEO Michael DeGiglio.
“Our successful industry leading product and packaging innovations that have taken root over the last year, coupled with the addition of another significant grower partner who united with Village Farms after leaving a competitor, is having a beneficial impact that will drive significant growth in top and bottom line results in 2016.”
The enhancement of the company’s product mix, including multiple exclusive varieties through the fourth quarter of 2015, coupled with launching the initial winter production from new partner grower Great Northern Hydroponics of Kingsville, Ontario, has been well received by retail customers.
“While market pricing for TOVs was lower in the fourth quarter of 2015 versus the fourth quarter of 2014, we maintained a stable year over year overall tomato price due to the increased mix of our new and exciting exclusive tomatoes varieties,” said DeGiglio.
“For calendar year 2016, we will continue to concentrate on further penetration and expansion of our retail relationships and new channel expansion to drive increased market penetration. The additional supply will be attained by increased partner volumes, new partner grower alliances and perhaps additional greenhouse expansion.”
NEW PRODUCT LAUNCHES
The strong market interests in Village Farm’s recent new product launches (including the launch of certified organic tomatoes) supports their confidence in the new and unique varieties they continue to trial and plan to launch in the future.
“Our short and long-term strategies combining our industry leading technology initiatives on sustainable energy developments, our GATES® greenhouse advances and possible future non-traditional greenhouse product additions continue to progress.”
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