Blue Buffalo Pet Products Inc. recorded net sales of $302 million in the first quarter, a 7.9 percent increase, with net income of $44 million, up 18.1 percent.
Net sales increased $22.1 million, or 7.9 percent, to $302 million, driven primarily by volume growth. Net sales of dry foods increased $14.7 million, or 6.4 percent, to $245.2 million while net sales of wet foods, treats and other products increased $7.5 million, or 15.1 percent, to $56.8 million.
Gross profit at the Wilton company increased $15.4 million, or 12.5 percent, to $138.7 million and gross margin was 45.9 percent, up 190 bps compared with 44 percent in the first quarter of 2016. The increase in gross margin was driven primarily by supply chain efficiencies including lower input costs, as well as a benefit from net pricing.
For the full year 2017, the firm expects to deliver net sales between $1.24 billion to $1.27 billion, with capital expenditures expected to be in the $150 million to $170 million range.
