GMCR reports $869 million in net sales for third quarter

Vermont-based Green Mountain Coffee Roasters (GMCR) saw a 21 per cent increase in their quarterly net sales over 2011, largely on the back of its single-serve packs.  The company reported total net sales of US$869.2 million, with $638 million coming in from sales of single-serve packs. Both their brewers and single serve packs saw a 30 per cent increase in sales figures, the result of a a 28 per cent increase in sales volume and 3 per cent increase in net price. GMCR upped the price of their packs in fiscal 2011 to offset higher green coffee and other input costs. “Our third quarter results demonstrate continued business strength and solid fundamentals, particularly in light of the robust comparable quarter we reported in the year ago period,” said GMCR President and CEO Lawrence Blanford in a statement. “Our Keurig Single Cup Brewing system continues to revolutionise the way North Americans prepare and consume their single-serve beverages and our proven ability to grow consumer awareness and demand for the system has enabled us to deliver extraordinary results over the past five years.” With impressive growth rates of the last few years, Blanford said that they expect their growth to moderate in the near future. He said he expects annual sales growth rates will likely settle to between 15 and 20 per cent, with annual earnings growth settling in the mid-teens over the longer term.