Hain Celestial's stock price rose 4.19% to $19.13 after the company reported fiscal fourth-quarter earnings of 21 cents a share. That was a penny off from the estimate of analysts surveyed by Zacks Investment Research and a decline from 27 cents a year ago.
Net sales fell 10% to $557.7 million, a drop that was also considerably steeper than that predicted by Zacks, with analysts having estimated a smaller 6.2% decline to $581.07.
The jump in the Lake Success, N.Y.-based Hain Celestial's stock price comes as the company takes steps to insulate its bottom line from potentially large trade and economic disruptions in the United Kingdom, its largest market, amid turbulence over the country's looming departure from the European Union.
Hain Celestial on Wednesday completed the "strategic sale" of its basmati and specialty rice brand Tilda to Ebro Foods for $342 million in cash. Tilda had been a major seller for Hain Celestial in the U.K.
"In addition, this divestiture will enable us to reduce our exposure to marketplace disruption associated with the uncertainty of Brexit and additional future potential foreign currency fluctuations," said Mark L. Schiller, Hain Celestial's president and CEO, in a press release.
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