HUNT VALLEY, MD.  — Gross sales for Cholula Scorching Sauce proceed to extend as McCormick & Co. focuses on advertising the model and rising its presence in e-commerce.

The Hunt Valley-based firm achieved web earnings of $755.3 million, equal to $2.83 per share on the frequent inventory, within the fiscal yr ended Nov. 30, 2021, which was up 1.1% from $747.4 million, or $2.80 per share, within the earlier fiscal yr. Gross sales rose 13% to $6.32 billion from $5.60 billion. Gross sales from latest acquisitions Cholula and FONA Worldwide, LLC contributed 4% to the rise.

McCormick & Co.’s inventory on the New York Inventory Alternate closed at $98.20 per share on Jan. 27 (when the corporate introduced its fiscal yr outcomes), which was up greater than 7% from an in depth of $91.94 on Jan. 26.

McCormick & Co. accomplished its acquisition of Cholula in November 2020.

“We executed on initiatives this previous yr (2021), together with optimizing shelf placement and assortment; increasing into new channels; gaining momentum in e-commerce the place Cholula had been under-penetrated; rising consciousness, each by means of model advertising investments and model partnerships equivalent to with DoorDash; and leveraging promotional scale throughout McCormick manufacturers,” mentioned Lawrence E. Kurzius, president and chief govt officer, in a Jan. 27 earnings name. “We’re excited concerning the outcomes our initiatives are yielding. Throughout 2021, we gained important momentum on high of lapping elevated development in 2020, including over 1 million new households and rising Cholula’s consumption 13% in 2021 versus final yr.”

McCormick & Co. ought to meet its synergy targets of $10 million with Cholula in 2022 and $7 million with FONA in 2023, mentioned Michael R. Smith, chief monetary officer. McCormick & Co. accomplished its acquisition of FONA in December 2020.

“The addition of this main North American taste producer is accelerating the expansion of our international flavors platform,” Mr. Kurzius mentioned. “We’re thrilled our first yr of proudly owning FONA has been a document yr for the enterprise with double-digit gross sales development in comparison with final yr.”

Inside McCormick’s Shopper phase, gross sales grew 9% in fiscal 2021 to $3.94 billion from $3.60 billion within the earlier yr. Model advertising, digital engagement, new merchandise and Cholula fueled at-home consuming, Mr. Kurzius mentioned.

The provision chain state of affairs has improved since 2020.

“Demand has remained excessive, and we proceed to appreciate the good thing about our US manufacturing capability enlargement, though some merchandise stay stretched by sustained excessive demand,” Mr. Kurzius mentioned. “Shelf circumstances are bettering as is our share efficiency with one other sequential enchancment within the fourth quarter, as we anticipated.”

Within the Taste Options phase, gross sales for the fiscal yr elevated 19% to $2.38 billion from $2 billion. New at-home merchandise, a restoration in away-from-home merchandise, and contributions from FONA and Cholula drove the expansion, Mr. Kurzius mentioned.

Companywide within the fourth quarter, web earnings of $197.4 million, or 74¢ per share on the frequent inventory, was down 1.6% from $200.7 million, or 75¢ per share within the earlier yr’s fourth quarter. Gross sales elevated 11% to $1.73 billion from $1.56 billion

McCormick & Co. expects gross sales to extend 3% to five% within the present fiscal yr and tasks EPS in a spread of $3.07 to $3.12. The corporate expects inflationary strain within the “mid-teens,” Mr. Smith mentioned. The corporate has set a cost-savings goal of about $85 million in 2022.

“We now have a demonstrated historical past of managing by means of short-term pressures and did so once more within the fourth quarter, and we count on to do the identical by means of this inflationary surroundings utilizing pricing and different levers to completely offset value pressures over time,” Mr. Kurzius mentioned.

Prices associated to COVID-19 ought to ease in 2022 after coming in at $50 million in 2022 and $60 million in 2021, Mr. Smith mentioned.