US rendering company Darling International Inc. reported net income of $36.2 million for the second quarter ended June 30, 2012.
For Q2 of 2012, the company reported net sales of $436.7 million, as compared to $470.6 million for Q2 of 2011.
The $33.9 million decrease in sales is primarily attributable to lower raw material volumes and lower selling prices for the company's finished products.
Net income for Q2 of 2012 decreased to $36.2 million as compared to $52.2 million for the 2011 comparable period.
The $16.0 million decrease in net income resulted primarily from lower selling prices for the company's finished products and lower raw material volumes due to cutbacks from packers, processors and commercial bakeries as compared to second quarter 2011.
Darling International Chairman and CEO Randall Stuewe said, " Finished product pricing for fats, greases and bakery by-products lagged behind a year ago with protein markets selling at slightly higher prices. The finished product price for ruminant meat and bone meal was impacted by the closure of the Indonesian markets in the second quarter of 2012. Finished product prices for fats and greases remained lower year over year due to reduced demand from Europe narrowing the premiums at our export facilities. Both rendering raw material and bakery volumes improved modestly as compared to first quarter of fiscal 2012 with commercial bakeries beginning to increase production late in the quarter."
Darling International Inc. is the largest and only publicly traded provider of rendering and bakery waste recycling solutions to the US' food industry.