Annual sales at commercial coffee roaster Farmer Bros. Co.
have slipped below the $200-million mark for the first time in 10 years.
The Torrance-based company, one of California's largest publicly traded food
processors, said Tuesday that its revenue for the fiscal year ended June 30
fell 4% to $193.6 million. Profit dipped to $12.7 million, or 81 cents a
share, compared with $23.6 million, or $1.30 a share, in the previous fiscal
year.
The company's sales have suffered a long-term slide since peaking at $240
million in 1998, hurt by the growth of the gourmet coffee business and the
penetration of companies such as Starbucks Corp. into the
coffee service industry. Farmer Bros. revenue is now at its lowest point
since 1993.
In a statement, Farmer Bros. said it was working to reinvigorate sales by
upgrading its computer system and launching a "back-to-the-basics" training
program for its sales team.
Last month the company promoted Michael King to vice president of sales,
replacing Ken Carson, who retired after 39 years with Farmer Bros.
For the fourth quarter, sales were essentially flat at $47 million. Profit
fell 65% to $2 million, or 11 cents a share, from $5.8 million, or 32 cents,
a year earlier.
Farmer Bros. shares rose 3 cents to $25.01 on Nasdaq on Tuesday. They are
down 20% this year.
Copyright 2004 Los Angeles Times
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