- McCormick & Company, Inc. saw its profits take a slight dip in the second quarter from $84.5 billion last year to $84.3 billion, hurt in part by special charges to operating income. That is, however, significantly better than last quarter's profit decrease of 15%. Sales also fell 1% to $1.02 billion from $1.03 billion in last year's second quarter, due in part to unfavorable currency exchange rates.
- McCormick has turned to acquisitions for some of its successes worldwide, including Drogheria & Alimentari and Brand Aromatics as well as its most recent announced acquisition, the U.S.'s leading premium barbecue sauce brand Stubb's, which the company feels will complement its existing lineup of products like Grill Mates and other grilling flavors.
- McCormick is seeing successes in the U.S. through the company's "grilling campaign, further share gains in recipe mixes and increased sales of Zatarain's," said McCormick Chairman and CEO Alan D. Wilson in a statement.
Thanks in part to the successes of its acquisition strategy, McCormick has "greater confidence in achieving the upper end of our 4% to 6% projected constant currency sales growth for 2015," Wilson said in a statement. Wilson was also pleased by strong sales growth in the company's leading emerging markets, including China, Mexico, Eastern Europe, and Russia.
Like other companies, McCormick is also looking to cost-cutting measures to draw in additional profits, and its efforts this year are predicted to total at least $85 million in cost savings.