Business
Central Garden & Pet Company Announces Record Fiscal Year 2021 Operating Results
Fiscal 2021 net sales increased 23% to $3.3 billion Fiscal 2021 diluted EPS of $2.75 vs. $2.20 for fiscal 2020 Initial outlook for fiscal 2022 EPS of $3.10
About this update from Central Garden & Pet Company
[{"type":"text","content":"\nFiscal 2021 net sales increased 23% to $3.3 billion\nFiscal 2021 diluted EPS of $2.75 vs. $2.20 for fiscal 2020\nInitial outlook for fiscal 2022 EPS of $3.10 or better\n\n WALNUT CREEK, Calif.--(BUSINESS WIRE)--\nCentral Garden & Pet Company (NASDAQ: CENT) (NASDAQ: CENTA) (\"Central\"), a market leader in the Garden and Pet industries, today announced results for its fourth quarter and fiscal year 2021 ended September 25, 2021.\n\n“Central delivered another year of record results, thanks to the continued strength of the Garden and Pet industries and our teams' relentless execution as they adapt to the ever-changing dynamics of the pandemic. We made meaningful progress against our Central to Home strategy, investing in capabilities such as consumer insights, digital marketing and innovation, to drive our organic growth. Moreover, we added four acquisitions to the Central portfolio,” said Tim Cofer, CEO of Central Garden & Pet. “As we look to fiscal 2022, we expect to face continued inflationary pressures and supply chain disruption. However, I am confident in the dedication of our people and their ability to perform in this challenging environment.”\n\nFiscal 2021 Results\n\nNet sales of $3.3 billion increased 23% from $2.7 billion in the prior year, driven by the Company's four recent acquisitions, Hopewell Nursery, Green Garden, DoMyOwn and D&D, as well as organic growth in both the Garden and Pet segments. Organic net sales increased 13%, with the most significant contributions coming from dog treats and chews, distribution, wild bird feed, small animal supplies and outdoor cushions.\n\nNet sales for the Pet segment for fiscal 2021 increased 13% to $1.9 billion compared to $1.7 billion a year ago, and net sales for the Garden segment increased 38% to $1.4 billion compared to $1.0 billion in the prior year.\n\nDespite significant inflationary headwinds and the impact of inventory-related purchase accounting, gross margin was largely in line with the prior year, decreasing 20 basis points to 29.4%. The Company was able to mostly offset these headwinds through a combination of pricing actions and gross productivity efforts as well as favorable product mix.\n\nOperating income of $254 million increased 29% from $198 million in fiscal 2020. Operating margin increased 40 basis points to 7.7% compared to 7.3% a year ago, due to imp...