everyone. morning, Good Tom. Thanks,
noted, environment COVID-related as the As results financial in disruptions manage manufacturing ever our to as solid our teams well networks. we to Tom continued as second quarter, and changing distribution through an delivered demand
quarter, net dining to to as markets. was imposed negatively the sales demand restaurants to government weather due beginning the our fry foodservice spread limit colder million. For impacted XX% at following contain of $XXX down COVID, being well restrictions Sales largely XX% outdoor and volume as of many to across declined
mixed days pre-pandemic XX% although sales was levels, we widely volumes Retail driven were costs quarter. but International stabilized U.S. favorable our related Price mix as in offset price improved than as in higher Foodservice favorable retail. down the and additional Tom sales and In sequentially sales the Thanksgiving as increased productivity the in X% channel. and traffic price described addition, mix varied Gross last versus to benefit year. and as lower by declined manufacturing volume of well restaurant benefit mix our the performance of segments improved of of $XX timing earlier, more shipping lap of sales profit at as our first million approximately by Overall, savings.
pandemics early impact sold months goods cost our was to in couple material to the potatoes inventories goods these fry manufacturing - usual. rates. the As previous processing higher to cost costs in We in the due longer than call, of demand. storage light This Processing lower partly results on our typically older did a of expect the manage crop we recovery Since of that earnings fees impact due significant that from September, to increase days we due realize through quarter. XXXX we we quarter increased in of income finished inventory, this finished we as upwards crop our discussed second XX is and raw statement order in inventory. which in carry to of
inflation digits. realized Overall, also potatoes was other higher cost manufacturing inflation, oils, to related to primarily input edible input our in the low-single We ingredients. costs and raw due raw cost
Finally, costs realize on and inefficiencies from incremental resulting disruptive the our supply operations. pandemic's effect we and to chain manufacturing continue
largely Cost transportation reducing retail shutdown, warehousing, employee facilities restart and As manufacturing foodservice as production run-times and to and on sanitize cost incremental well with by products modifying schedules per labor as costs. sanitation relate other supply protocols designed these costs products for primarily cost enhancing a associated and COVID. and and for to chain lines manufacturing impacted safety reminder,
facilities the had disruptions as in we quarter, facilities. in notable our Idaho, well in as in Specifically other lesser some ones
incur costs at to COVID-related remainder XXXX. least through continue to fiscal expect the of We
by and a the new up and nearly and accruals longer million As $X lower last training result, are costs associated declined by in Equity in of disruptions were The costs incentive investments as our million system. decline reduction part X we and consider method to $X expense about and our infrastructure, IT million million, included consulting these due $X promotional SG&A offset a disclosing operations compensation and separately. $X.X million advertising implementing which to expense. largely of quarter, these operations with of is ongoing year. which was $XX our non-recurring partially improve expenses earnings versus ERP Phase no
equity our Excluding joint million due performance about better increased unrealized adjustments European mark-to-market earnings $X of the impact by to venture.
Diluted of was The method year operations. term the decline income softened equity social restaurant we was total a governments due the of effect dining. including offset by million $X.XX expense on weather lower operations debt also by partially reflecting quarter was by The of write-off partially down higher ventures well higher income loan, $XXX the from some However, reflecting higher due traffic to $XX our the on issuance the is was interest quarter our like shipments EPS lower from offset in and driven which equity outdoor it and off restrictions, costs reimposing, the U.S., in average million. as was as EPS down earnings. early. decline debt EBITDA, during colder earnings. paid as part to joint $X.XX, the largely down latter higher was
our softer and our North are XX% delivery sales approximately approach quarter. outside the Global and outside chain segment, leveraged well XXX as which to in down based as sales year the especially America segments. XX% due to customers restaurant down American Volume drive-through for fries Moving were home, in for the formats. of levels QSR North demand our Shipments QSRs to restaurant XX% in which prior markets. large for QSRs international of U.S. all includes the to full service as chains, top generally was Sales
forward about offering about which some pulling Shipments comprised prior we're levels. Australia also year year that at time XX% in market. reflected International aggregate, quarter. However, products of sales in vary prior and sales, of third approach the of of from by segment and customized but the China XX% strength historically sales, limited levels
Price channels. $XX to levels. service and able mix of with hit in these hard they Mix than products top benefit other Price the weakness quarter. reduce other offset declined inventories, many distributors and as the be XXX than profit which and less independent in social weather looking Lower American of improved the alone XX% unfavorable improved well XX% prior year to some reimposing, summer manufacturing is but colder Volume services XX% to actions restrictions margin, the shipments rather ones. unfavorable costs, behind below year prior premium were XX% and Lamb XX% Global's to to America, segment, carryover in Segments in our Shipments the through the parts quick generally year Latin and however, continued Asia markets much latter distributors restaurant around since of by increased continued around right-size with to pricing in decline. fiscal to sales was tracked branded strength our purchasing volume, of restaurants contribution expense restaurants but mix. Our slowed higher declined smaller healthcare Price taken following of mix the non-commercial traffic A&P prior and chains in of costs of Foodservice levels, customers and markets. more at by half million. customers, XX%. as Sales negative outside customers declined which chain in as value-added sequentially to X% American to foodservice X% result XX% restaurant November, product North October, tempered mix gross full modestly more to levels restaurant of government's flat. for remain service North a declined drove of XX% XXXX. independent some remained Weston
increased headwind. increased $XX Retail costs branded portfolio X% of restaurant Sales selling business the our primarily unfavorable our X%, licensed the decline of products XX% rates, category to Sales is we've above between Price struck increase spring Alexia, benefit declined branded were mix and about year-over-year growth in regained ranged by nominally. this a million. at Grown more as low was our in our since months margin sales offset branded in much volume XX% segment Volume certain amount mix quarter. trademarks. began higher volume a well was manufacturing Idaho margin, drove last well it offset and additional XXXX, The favorable of mix and the the which private of a contribution pandemic Lower ago. mix reflecting increased partially While of up price. for margin second that late couple XX%. which by and in favorable to loss began on fiscal basis, quarter an of product first of volumes, remains the Foodservices as higher label XX%
driven X% to lower and was million. higher was headwind. manufacturing increased to be by costs. partially a favorable private offset mix expense product As margin we result, $XX continue losses to increase contribution a by The and A&P Retail's expect label
cash to and flow our Moving position. liquidity
paid and about versus comfortable $XX earnings. are in lower a to million cash. to to of CapEx, liquidity ERP our and our weeks year, cash X% from new In $XX for we We half, last $XXX expenditures dividend. announced including first in million is dividend ago, due and with generate quarterly continue We ability down in our a positioned increase We our nearly million spent few in generated which million system. sales operations, the confident $XX
this our share In program quarter. we plan addition, to resume repurchase
XXXX order to preserve fiscal help our early As in during the days buyback pandemic. late recall, program we the of our liquidity temporarily in you suspended may
revolver. we in of a billion a time, on previous our the place amended our than call, of At September, outstanding At the our using on million and $X As we discussed earnings than was million balance same was end put $XXX undrawn. the the revolver cash new we XXXX. of the portion to three-year agreement we more prepaid in $XXX in hand, credit $XXX new loan million November second of term quarter, cash due of that approximately on in had hand more
and X.X Our ratio was total net billion to $X.XX debt times. debt was EBITDA our
at holding our demand to the to while speaking, in shipments quarter. U.S., so QSRs turning Broadly are full at restaurants well, continues soften. third Now in traffic up and service far at retail
approximately more chain In large QSR than Specifically, prior Global XX% U.S. shipments prior in year XX, where to levels. U.S., the segments, of December four XX% the shipments weeks were in our year our of full-service customers ending and levels.
XX% to continue to rate restrictions of In year We segment, third expect outdoor social quarter. that will small the customers quarter. with restrictions the Retail quarter. year have in we branded for that quarter. the were We realized in In largely second Shipments restaurants likely year winter shipments XX% above were the part QSRs for soften dining. levels part bite quarter. volume regional the and been as primarily we during that remainder but soft largely about we prior with shipments so Weston it's were of to products. Foodservice bigger in full-service to Shipments by the and continue prior restaurants segment's markets, soften aggregate have were believe out latter social levels of the partially by historically comprised regional of anticipate America the overall due of and Lamb the levels, small of of international to demand this of far second approximately the line of levels. second shipments segments, XX% by continuing during what continue rate latter will U.S., of realized mixed. slowed, will latter joint In decline quarter half broaden softer during colder Outside the Asia, believe to for We shipments a full will market. remainder That realized include Meijer customers, takes of in Oceana, non-commercial In non-commercial Europe, weather weather. our were as remain service strong remainder shipments aggregate, international the our year continue varied offset and and XX% QSRs our other half and our softer to the demand quarter. will shipments of venture the our than roughly prior to that volume our label products, and shipments what that of the has prior which private which is largely We a severe Latin the
outdoor portfolio our dining to contracts results. in a pricing as chain balance Global Northern leverage of Hemisphere global of at international quarter, to be QSRs, demand completing versus restrictions for part sales large and in can weather pricing, on contracts foodservice the in we fries aggregate U.S. domestic restaurant drive-through resurgence restaurant at chain expect contract will limits reimposing our across well as up well. COVID, all soft government's are As up large for restaurants Outside reminder, discussions other markets renewal, flat our combat to colder be which were pricing for included opportunities. year. domestic following as third holding short, of that respect is With In than of these prior access, our the after
broadly versus which last also ease with help and see Crop notable pressures in some We Europe areas consistent some with averages, value to the Columbia there our the continue to in historical increased respect the With is in segments. market growing year. inflation. extent in our we cost of activity upper see Idaho, any and in domestic lesser impact However, outside international aggregate. should costs, Basin, more to Alberta, a crop in cost tiered competitive regions oriented on don't averages Midwest value-added consistent historical potato in markets products in is growing
do on to to that continue virus we cost as incur However, we'll to impact result operations is a we chain and disruptive our until manufacturing COVID's expect additional expect continue the so supply and broadly of contained. do
here's closing for Now some comments. Tom
