Libbey Q3 Net Income Rises, Sales Decrease

Libbey Inc., in reporting its third quarter results noted that its net sales were $201.8 million, compared to $216 million for the third quarter of 2014, a decrease of 6.6%.

The company’s net income for the third quarter of 2015 was $16.7 million, compared to net income of $13.8 million in the prior-year third quarter.

“Our core foodservice channel continues to be very strong around the globe in the face of declining restaurant traffic trends, said Stephanie Streeter, CEO, Libbey Inc. “This is the sixth consecutive quarter of growth in foodservice for the company. Unfortunately, that was offset in the third quarter by weakness in our retail and business-to-business channels.”

The company reported that its net sales in the Americas segment were $139.5 million, compared to $149.4 million in the third quarter of 2014, a decrease of 6.6%. While foodservice sales remained strong, the reduction in net sales in the Americas was primarily the result of softness in the retail channel, company officials said.

Libbey’s net sales for the first nine months of 2015 were $603.2 million, compared to $621.1 million for the first nine months of 2014, a decrease of 2.9%. During the first nine months, foodservice net sales for the company were up 6%.

Company net income for the first nine months of 2015 was $34.2 million, compared to a net loss of $14.8 million for the first nine months of 2014. The net loss for the first nine months of 2014 included a $47.2 million charge for the retirement of debt during the period, the company noted.

Libbey reported that net sales in the Americas segment for the first nine months of 2015 were $417.3 million, compared to $425.7 in the first nine months in 2014, a decrease of 2%. Sales performance was led by a 4.5% increase in sales within its foodservice channel. Partially offsetting this increase is a decrease in its retail channel of 6.5%.