Organto Announces Third Quarter 2022 Financial Results

About this update from Organto Foods, Inc.

[{"type":"text","content":"Organto Announces Third Quarter 2022 Financial ResultsVANCOUVER, BC and BREDA, NETHERLANDS / ACCESSWIRE / November 29, 2022 / Organto Foods Inc. (TSXV:OGO), (OTCQB:OGOFF), (FSE:OGF) (\"Organto\" or \"the Company\"), an integrated provider of organic and value-added organic fruit and vegetable products today announced its financial results for the three and nine month periods ended September 30, 2022. All amounts are expressed in Canadian dollars and in accordance with International Financial Reporting Standards (IFRS), except as noted.Highlights:Third Quarter 2022 Operating ResultsThird quarter sales of $4,574,574 versus sales of $4,298,282 in the prior year. Adjusting for the decline in the Euro versus the Canadian dollar, when measured in Euros sales increased by approximately 17%, representing the largest third quarter sales in the history of the Company and thirteenth consecutive quarter of record sales growth versus the same quarter in the prior year.Gross profit of $166,126 or 3.7% of sales versus $529,018 or 12.3% of sales in the prior year. When adjusted for the realized gain on derivative assets of $107,038 which is from currency hedging directly related to product purchases, adjusted gross profit(1)was $273,164 or approximately 6.0% of sales.Cash overhead costs for the quarter were 35.5% of sales, or approximately 27.0% after adjusting for non-recurring and investment spending, versus costs of 33.6% in the prior year. The increase in costs reflects investments in infrastructure and resources to support current and future growth initiatives which are expected to position the Company for future growth. These costs include expenditures of $385,839 related to retail branded product development and digital transformation activities, acquisition activities and corporate development costs, all of which are expected to generate positive future benefits.Year-to-Date 2022 Operating ResultsNine month sales of $16,657,387 versus sales of $14,443,506 in the prior year, an increase of 15.3%. Adjusting for the year over year decline in the Euro versus the Canadian dollar for the nine-month period, sales increased by approximately 24% when measured in Euros.Gross profit of $1,044,812 or 6.3% of sales versus $1,635,820 or 11.3% of sales in the prior year. When adjusted for the realized gain on derivative assets of $189,077 which is fro...

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