Heinz Profit Rises 62% on Cost-Cutting

H.J. Heinz Co. said its fiscal fourth-quarter profit rose 62% as cost cuts more than offset revenue lost in divestitures and currency translations. The packaged-foods company also said it agreed to buy the College Inn line of canned broth from Nabisco Holdings Corp. and Vidalia O’s frozen onion rings brand from Vidalia Frozen Foods Inc., both under undisclosed terms. Pittsburgh-based Heinz said it earned $196.2 million, or 53 cents a diluted share, in the period ended April 29, up from $121.4 million, or 32 cents, a year ago. Sales rose 1.2% to $2.48 billion. The results exclude restructuring charges of $15 million, or 4 cents, in the latest quarter and exclude a charge of $395.8 million and a gain of $44 million in the year-earlier period. Heinz shares rose 88 cents to close at $54.13 on the New York Stock Exchange.