Land O’Lakes Profits Rebound, Sales Up in Q3

President and CEO Chris Policinski said in a prepared statement that the co-op’s strong third-quarter results were driven by its dairy foods and animal feed businesses—and he expects to end the year strong.

Land O’Lakes, Inc., profits rebounded and sales increased in the third quarter of 2012.
 
The Arden Hills-based cooperative reported earnings of $18 million for the third quarter that ended in September—representing a substantial improvement from the $30 million loss that it experienced during the same period last year. (Last year’s third-quarter loss was attributed, in part, to “investments in growth, recent declines in dairy markets, and the timing of administrative expenses. . .”)
 
Meanwhile, revenue for the third quarter of this year totaled $3 billion, up 11.1 percent from $2.7 billion during the same period in 2011.
 
Land O’Lakes President and CEO Chris Policinski said in a prepared statement that the co-op’s strong third-quarter results were driven by its dairy foods and animal feed businesses.
 
Year-to-date, the co-op’s sales totaled $10.4 billion, up from $9.7 billion during the first nine months of 2011. Earnings for the first three quarters of the year, meanwhile, totaled $150 million compared with $138 million in 2011.
 
Policinski added that the holiday season tends to have a positive impact on the co-op’s financials and said he expects to end the year strong. Land O’Lakes’ pesticide and herbicide business, WinField, is on track for “a record year,” he added.
 
With $12.8 billion in 2011 revenue, Land O’Lakes is among the nation’s top-grossing U.S. co-ops. It is perhaps best known as a marketer of dairy-based food products for consumers. But it also offers local cooperatives and agricultural producers across the nation various agricultural supplies, along with production and business services.