Farmer Bros. Co. narrowed its fiscal fourth quarter loss by 18 percent, despite lower net sales, and reported an even better fiscal 2010 due to contributions from an acquisition.

The Torrance coffee roaster and culinary product delivery service on Tuesday reported a net loss of $21 million (-$1.40 per share) for the quarter ended June 30, compared with a net loss of $25.6 million (-$1.76) a year earlier. Net sales fell 5.4 percent to less than $107 million.

For the full fiscal year the company reported a net loss of $24 million (-$1.61) compared with a loss of $33.3 million (-$2.29) the previous year. Net sales rose 32 percent to more than $450 million, primarily due to the addition of DSD Coffee sales in March 2009. Gross profit rose 23 percent to $37.3 million, also due to DSD Coffee.

The company’s cost of goods sold rose 39 percent $71.2 million and cost of coffee brewing equipment and related service jumped 64 percent, with Farmer Bros. saying it made the investments to adapt to DSD Coffee business customers who require a different mix of products.

Shares were up 5 cents, or less than 1 percent, to $17.11 on midday trading on the Nasdaq.