J&J Snack Foods Corp. (NASDAQ: JJSF) (the “Company”) today
reported financial results for the second quarter ended March 30,
2024.
|
|
Second Quarter |
Actuals |
$ vs. LY |
% vs. LY |
Net Sales |
$359.7M |
$21.9M |
6.5% |
Operating Income |
$17.9M |
$7.7M |
75.6% |
Net Earnings |
$13.3M |
$6.5M |
94.0% |
Earnings per Diluted Share |
$0.69 |
$0.33 |
91.7% |
|
|
|
|
Adjusted Operating Income |
$21.8M |
$9.8M |
81.0% |
Adjusted EBITDA |
$39.3M |
$11.9M |
43.1% |
Adjusted Earnings per Diluted Share |
$0.84 |
$0.41 |
95.3% |
This press release contains non-GAAP financial
measures. Please refer to the Non-GAAP Financial Measures section
below for reconciliations to the most comparable GAAP measures.
Dan Fachner, J&J Snack Foods Chairman,
President, and CEO, commented, “J&J Snack Foods delivered
another period of strong financial results, including the highest
fiscal second quarter net sales in our company’s history -topping
our previous record achieved in the prior year. Top line
performance was driven by higher volumes of our core products and
brands, as well as strong new business performance in our Food
Service and Retail channels. Our investments over the last two
years to increase production capacity in churros and pretzels have
positioned us to pursue new sales opportunities. Also, the ongoing
success of our initiatives to enhance profit margins and drive
efficiency across our business led to a 330-basis point improvement
in gross margin to 30.1%. This resulted in adjusted operating
income and adjusted EBITDA growth of 81.0% and 43.1%, respectively,
and a more than 90% increase in net earnings, EPS, and adjusted
EPS.”
“Food Service sales increased 5.4%, led by
strong growth in churros, bakery, and frozen novelties. Our
churros’ partnership with Subway has enjoyed phenomenal success and
we remain excited about the opportunity ahead of us. Retail sales
increased 14.1%, led by healthy year-over-year growth across all
our product categories, including 75% growth in handhelds and 14%
growth in frozen novelties. Our Superpretzel branded products,
including Bavarian sticks, mini dogs, and bites, continue to
perform well and we are making progress expanding our Hola! Churros
brand in Retail. The Frozen Beverage segment continues its growth
trajectory, with sales growing by 5% versus the prior year period,
driven by strong beverage sales.”
“During the quarter, we opened the third
regional distribution center (“RDC”) in Arizona completing our
strategic supply chain transformation, which is projected to drive
significant benefits in how we warehouse and distribute product. As
planned, we incurred $2.3 million in one-time incremental expenses
in the quarter as we transitioned from our prior warehouse
structure to the new facility. Today, all three RDCs are in
operation with over 80% of sales orders now shipped from our new
distribution network. This completes a critical initiative for our
business, and we are confident in our ability to drive further
productivity improvements in our supply chain.”
“In summary, our second quarter performance,
together with our robust balance sheet and liquidity position, has
us well positioned to continue driving growth across our brand
portfolio and customer channels. Looking ahead, we remain focused
on executing our strategy, including maximizing every sales and new
business opportunity to further grow our core brands, while
investing in our capabilities and resources to improve our overall
operations. While we are closely monitoring consumer and
inflationary trends, we expect to build momentum through the second
half of fiscal 2024 and remain excited about the many opportunities
ahead of us to deliver long-term value to our employees, partners,
and shareholders.”
Second Quarter HighlightsNet sales increased
6.5% to $359.7 million in Q2 of fiscal 2024, compared to Q2 of
fiscal 2023.
Key highlights include:
- Food Service segment sales were
5.4% above Q2 ’23.
- Retail segment sales were 14.1%
above Q2 ’23.
- Frozen Beverage segment sales were
5.0% above Q2 ’23.
- Churros, Bakery and Frozen
Novelties in Food Service; Soft Pretzels, Handhelds, Frozen
Novelties and Biscuits in Retail; and Beverages and Maintenance
Services in Frozen Beverages all delivered sales increases in the
quarter. This was slightly offset by softer sales of Handhelds and
Soft Pretzels in Food Service and relatively flat Machine revenue
in Frozen Beverages.
- Dippin’ Dots sales increased 5.1%
compared to Q2 ’23.
Gross profit as a percentage of sales was 30.1%
in Q2 ’24, comparing favorably to 26.8% in Q2 ’23, reflecting the
impact of improved product and pricing mix along with ongoing
productivity improvements and a stabilization of inflationary
pressures across the majority of our input costs. While we
experienced deflation in some raw materials for the quarter led by
flour, oils, dairy, and eggs, this was offset by continued
double-digit inflation in chocolates and mid-single digit increases
in sugar/sweeteners, mixes, and meats.
Total operating expenses of $90.3 million
represented 25.1% of sales for the quarter, compared to 23.7% in Q2
’23.
- Distribution costs of $44.2 million
represented 12.3% of sales in the quarter, versus 11.3% in the
prior year period, largely driven by $2.3 million of one-time
transition expenses related to opening the Glendale distribution
center in Arizona and higher shipment volume.
- Marketing and selling expenses of
$27.7 million represented 7.7% of sales, versus 7.1% in the prior
year period, reflecting incremental licensing fees on new churros
business, and additional strategic promotional and marketing spend
to support our core brands and new product launches.
- Administrative expenses of $18.5
million represented 5.1% of sales in Q2 ’24, compared to 5.3% in Q2
’23, with the year-over-year decrease largely attributable to tight
management of payroll cost and discretionary spend.
Adjusted operating income was $21.8 million in
the second quarter of fiscal 2024, compared to $12.1 million in the
prior year period, with the increase driven by sales growth,
improved gross margins and operational efficiencies. This led to
net earnings in Q2 ’24 of $13.3 million, favorably comparing to
$6.9 million in Q2 ’23. Our effective tax rate was 26.6% in Q2
’24.
Food Service Segment Second Quarter
Highlights
- Q2 ’24 food service sales totaled
$230.0 million, or an increase of 5.4%, compared to Q2 ’23 sales of
$218.3 million.
- Churros sales continued their
strong growth momentum as sales increased 23.7% to over $30.8
million led by new business growth with a major QSR customer.
Bakery and Frozen Novelties sales also increased, by 7.7% and 4.2%,
respectively, driven by unit volume growth in cookies and over 5%
increase in Dippin’ Dots sales. Growth across the segment was
offset by a decrease in Soft Pretzel and Handheld sales of 2.1% and
4.0%, respectively, driven primarily by soft consumer trends.
Volume sales for core food service handhelds increased for the
quarter.
- Sales of new products and added
placement with new customers totaled approximately $13.7 million,
driven primarily by the addition of churros to the menu of a major
QSR customer.
- Q2 ’24 operating income increased
54.5% to $7.9 million, versus the prior year period reflecting the
top-line growth and improved gross margins.
Retail Segment Second Quarter
Highlights
- Q2 ’24 retail sales totaled $52.9
million, or an increase of 14.1%, compared to Q1 ’23.
- Handheld sales grew by 75.5% driven
by expanded placement of product with a major mass merchant. Frozen
Novelties sales increased 14% led by growth of Dogsters and Icee
novelties, as well as higher shipments as customers build inventory
for the peak spring and summer seasons. Biscuit sales increased
6.0% in the quarter and Soft Pretzel sales increased 2.7% led by
our continued expansion of Superpretzel products in retail.
- New product innovation contributed
approximately $2.0 million in the quarter driven primarily by the
growth of Superpretzel Bavarian sticks into the Retail segment
.
- Operating income for the quarter
was $5.1 million, an increase of $4.6 million versus the prior year
period driven by sales growth, product mix and higher gross
margins.
Frozen Beverages Segment Second Quarter
Highlights
- Frozen beverages segment sales were
$76.9 million and beat Q2 ’23 sales by 5.0%.
- Beverage sales grew 6.9%, or $2.9
million higher than in Q2’23 led by consistent consumer trends
across most customer channels.
- Repair and Maintenance revenues
increased 2.9%, versus the prior year period reflecting strong
maintenance call volumes, while Machine sales were relatively flat
down 0.4%.
- Q2 ’24 operating income increased
6.3% to $4.9 million for the quarter, compared to a Q2 ’23
operating income of $4.6 million, and was driven by both sales
growth and gross margin performance.
Conference CallJ&J Snack
Foods Corp. will host a conference call to discuss results and
business outlook on May 7, 2024, at 10:00 a.m. Eastern Time.
Conference call participants should register by clicking on
this Registration Link to receive the dial-in number and
a personal PIN, which are required to access the conference call. A
live audio webcast of the conference call will also be available on
the Investors homepage at https://www.jjsnack.com/investors/.
About J & J Snack Foods
Corp.J & J Snack Foods Corp. (NASDAQ: JJSF) is a
leader and innovator in the snack food industry, providing
innovative, niche, and affordable branded snack foods and beverages
to foodservice and retail supermarket outlets. Manufactured and
distributed nationwide, our principal products include
SUPERPRETZEL, the #1 soft pretzel brand in the world, as well as
internationally known ICEE and SLUSH PUPPIE frozen beverages,
DIPPIN’ DOTS ice cream, LUIGI’S Real Italian Ice, MINUTE MAID*
frozen ices, WHOLE FRUIT sorbet and frozen fruit bars, HOLA!
CHURROS, and THE FUNNEL CAKE FACTORY funnel cakes and several
bakery brands within DADDY RAY’S, COUNTRY HOME BAKERS and HILL
& VALLEY. For more information, please visit
http://www.jjsnack.com.
*MINUTE MAID is a registered trademark of The
Coca-Cola Company.
Cautionary Statement Regarding
Forward-Looking Information This press release includes
forward-looking statements within the meaning of Section 27A of the
Securities Act of 1933, as amended, and Section 21E of the
Securities Exchange Act of 1934, as amended. All statements
regarding the Company’s expected future financial position, results
of operations, revenue growth and profit levels, cash flows,
business strategy, budgets, projected costs, capital expenditures,
products, competitive positions, growth opportunities, plans and
objectives of management for future operations, as well as
statements that include words such as “anticipate,” “if,”
“believe,” “plan,” “goals,” “estimate,” “expect,” “intend,” “may,”
“could,” “should,” “will,” and other similar expressions are
forward-looking statements. This includes, without limitation, our
statements, and expectations regarding any current or future
recovery in our industry and the future impact of our operational
efficiency projects. Such forward-looking statements are inherently
uncertain, and readers must recognize that actual results may
differ materially from the expectations of management. We do not
undertake a duty to update such forward-looking statements. Factors
that may cause actual results to differ materially from those in
the forward-looking statements include consumer spending, price
competition, acceptance of new products, the pricing and
availability of raw materials, transportation costs, changes in the
competitive marketplace the uncertainty and ultimate economic
impact of the COVID-19 pandemic or similar health outbreaks, and
other risks identified in our annual report on Form 10-K, and our
other filings with the Securities and Exchange Commission. Many of
these factors are outside of the Company’s control.
Non-GAAP Financial Measures
Adjusted EBITDA consists of net earnings adjusted to exclude:
income taxes (benefit); investment income; interest expense;
depreciation and amortization; share-based compensation expense;
net (gain) loss on sale or disposal of assets; impairment charges,
restructuring costs, merger and acquisition costs, acquisition
related inventory adjustments, strategic business transformation
costs, and integration costs.
Adjusted Operating Income consists of operating
income adjusted to exclude: impairment charges, restructuring
costs, merger and acquisition costs, acquisition related
amortization expenses and inventory adjustments, strategic business
transformation costs, and integration costs.
Adjusted Earnings per Diluted Share consists of
net earnings adjusted to exclude: impairment charges, restructuring
costs, merger and acquisition costs, acquisition related
amortization expenses and inventory adjustment, strategic business
transformation costs, and integration costs. For purposes of
comparability, the income tax effect of pre-tax adjustments is
determined using statutory tax rates.
This press release contains certain non-GAAP
financial measures; Adjusted EBITDA, Adjusted Operating Income, and
Adjusted Earnings per Diluted Share. A "non-GAAP financial measure"
is a numerical measure of a company's financial performance that
excludes or includes amounts so as to be different than the most
directly comparable measure calculated and presented in accordance
with U.S. generally accepted accounting principles ("GAAP") in the
statements of income, balance sheets, or statements of cash flow of
the company. Pursuant to applicable reporting requirements, the
company has provided reconciliations below of non-GAAP financial
measures to the most directly comparable GAAP measure.
The non-GAAP financial measures presented within
the Company's earnings release are not indicators of our financial
performance under GAAP and should not be considered as an
alternative to the applicable GAAP measure. These non-GAAP measures
have limitations as analytical tools, and you should not consider
them in isolation or as a substitute for analysis of our results as
reported under GAAP. In addition, in evaluating these non-GAAP
measures, you should be aware that in the future we may incur
income, expenses, gains and losses, similar to the adjustments in
this press release. Our presentation of these non-GAAP measures
should not be construed as an inference that our future results
will be unaffected by unusual or infrequent items. We compensate
for these limitations by providing equal prominence to our GAAP
results and using non-GAAP measures only as supplemental
presentations.
The non-GAAP measures presented are utilized by
management to evaluate the Company's business performance and
profitability by excluding certain items that may not be indicative
of our recurring core business operating results. The Company
believes that these measures provide additional clarity for
investors by excluding specific income, expenses, gains, and
losses, in an effort to show comparable business operating results
for the periods presented. Similarly, Management believes these
adjusted measures are useful performance measures because certain
items included in the calculations may either mask or exaggerate
trends in the Company’s ongoing operating performance. See the
reconciliation of Non-GAAP Financial Measures below.
Investor Contact:Joseph
Jaffoni, Norberto Aja, or Jennifer NeumanJCIR(212)
835-8500jjsf@jcir.com
J & J
SNACK FOODS CORP. AND SUBSIDIARIES |
CONSOLIDATED
STATEMENTS OF EARNINGS |
(Unaudited) |
(in
thousands, except per share amounts) |
|
|
|
|
|
|
|
|
|
Three months ended |
|
Six months ended |
|
March
30, |
|
March
25, |
|
March
30, |
|
March
25, |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
|
|
|
|
|
|
|
|
Net sales |
$ |
359,734 |
|
|
$ |
337,854 |
|
|
$ |
708,042 |
|
|
$ |
689,197 |
|
|
|
|
|
|
|
|
|
Cost of
goods sold |
|
251,491 |
|
|
|
247,470 |
|
|
|
505,214 |
|
|
|
507,958 |
|
Gross profit |
|
108,243 |
|
|
|
90,384 |
|
|
|
202,828 |
|
|
|
181,239 |
|
|
|
|
|
|
|
|
|
Operating
expenses |
|
|
|
|
|
|
|
Marketing |
|
27,650 |
|
|
|
24,017 |
|
|
|
55,122 |
|
|
|
47,716 |
|
Distribution |
|
44,249 |
|
|
|
38,188 |
|
|
|
84,552 |
|
|
|
80,237 |
|
Administrative |
|
18,521 |
|
|
|
17,919 |
|
|
|
36,720 |
|
|
|
34,310 |
|
Other general expense |
|
(81 |
) |
|
|
67 |
|
|
|
(1,153 |
) |
|
|
(545 |
) |
Total operating expenses |
|
90,339 |
|
|
|
80,191 |
|
|
|
175,241 |
|
|
|
161,718 |
|
|
|
|
|
|
|
|
|
Operating
income |
|
17,904 |
|
|
|
10,193 |
|
|
|
27,587 |
|
|
|
19,521 |
|
|
|
|
|
|
|
|
|
Other income
(expense) |
|
|
|
|
|
|
|
Investment income |
|
684 |
|
|
|
401 |
|
|
|
1,482 |
|
|
|
1,086 |
|
Interest expense |
|
(429 |
) |
|
|
(1,334 |
) |
|
|
(989 |
) |
|
|
(2,383 |
) |
|
|
|
|
|
|
|
|
Earnings
before income taxes |
|
18,159 |
|
|
|
9,260 |
|
|
|
28,080 |
|
|
|
18,224 |
|
|
|
|
|
|
|
|
|
Income tax
expense |
|
4,830 |
|
|
|
2,389 |
|
|
|
7,469 |
|
|
|
4,720 |
|
|
|
|
|
|
|
|
|
NET EARNINGS |
$ |
13,329 |
|
|
$ |
6,871 |
|
|
$ |
20,611 |
|
|
$ |
13,504 |
|
|
|
|
|
|
|
|
|
Earnings per
diluted share |
$ |
0.69 |
|
|
$ |
0.36 |
|
|
$ |
1.06 |
|
|
$ |
0.70 |
|
|
|
|
|
|
|
|
|
Weighted
average number of diluted shares |
|
19,418 |
|
|
|
19,295 |
|
|
|
19,411 |
|
|
|
19,285 |
|
|
|
|
|
|
|
|
|
Earnings per
basic share |
$ |
0.69 |
|
|
$ |
0.36 |
|
|
$ |
1.06 |
|
|
$ |
0.70 |
|
|
|
|
|
|
|
|
|
Weighted
average number of basic shares |
|
19,380 |
|
|
|
19,238 |
|
|
|
19,362 |
|
|
|
19,230 |
|
|
|
|
|
|
|
|
|
J & J
SNACK FOODS CORP. AND SUBSIDIARIES |
CONSOLIDATED
BALANCE SHEETS |
(in
thousands, except share amounts) |
|
|
|
|
|
March
30, |
|
|
|
2024 |
|
September
30, |
|
(unaudited) |
|
2023 |
Assets |
|
|
|
Current
assets |
|
|
|
Cash and cash equivalents |
$ |
43,645 |
|
|
$ |
49,581 |
|
Accounts receivable, net |
|
178,312 |
|
|
|
198,129 |
|
Inventories |
|
188,709 |
|
|
|
171,539 |
|
Prepaid expenses and other |
|
9,944 |
|
|
|
10,963 |
|
Total current assets |
|
420,610 |
|
|
|
430,212 |
|
|
|
|
|
Property,
plant and equipment, at cost |
|
|
|
Land |
|
3,684 |
|
|
|
3,684 |
|
Buildings |
|
50,075 |
|
|
|
45,538 |
|
Plant machinery and equipment |
|
470,836 |
|
|
|
445,299 |
|
Marketing equipment |
|
310,799 |
|
|
|
296,482 |
|
Transportation equipment |
|
15,078 |
|
|
|
14,367 |
|
Office equipment |
|
48,265 |
|
|
|
47,393 |
|
Improvements |
|
64,823 |
|
|
|
51,319 |
|
Construction in progress |
|
30,346 |
|
|
|
56,116 |
|
Total Property, plant and equipment, at cost |
|
993,906 |
|
|
|
960,198 |
|
Less accumulated depreciation and amortization |
|
601,876 |
|
|
|
574,295 |
|
Property, plant and equipment, net |
|
392,030 |
|
|
|
385,903 |
|
|
|
|
|
Other
assets |
|
|
|
Goodwill |
|
185,070 |
|
|
|
185,070 |
|
Other intangible assets, net |
|
180,298 |
|
|
|
183,529 |
|
Operating lease right-of-use assets |
|
154,104 |
|
|
|
88,868 |
|
Other |
|
3,494 |
|
|
|
3,654 |
|
Total other assets |
|
522,966 |
|
|
|
461,121 |
|
Total Assets |
$ |
1,335,606 |
|
|
$ |
1,277,236 |
|
|
|
|
|
Liabilities and Stockholders' Equity |
|
|
|
Current
Liabilities |
|
|
|
Current finance lease liabilities |
$ |
170 |
|
|
$ |
201 |
|
Accounts payable |
|
95,844 |
|
|
|
90,758 |
|
Accrued insurance liability |
|
16,980 |
|
|
|
15,743 |
|
Accrued liabilities |
|
8,955 |
|
|
|
14,214 |
|
Current operating lease liabilities |
|
19,179 |
|
|
|
16,478 |
|
Accrued compensation expense |
|
19,218 |
|
|
|
23,341 |
|
Dividends payable |
|
14,249 |
|
|
|
14,209 |
|
Total current liabilities |
|
174,595 |
|
|
|
174,944 |
|
|
|
|
|
Long-term
debt |
|
17,000 |
|
|
|
27,000 |
|
Noncurrent
finance lease liabilities |
|
506 |
|
|
|
600 |
|
Noncurrent
operating lease liabilities |
|
141,726 |
|
|
|
77,631 |
|
Deferred
income taxes |
|
81,665 |
|
|
|
81,310 |
|
Other
long-term liabilities |
|
4,462 |
|
|
|
4,233 |
|
|
|
|
|
Stockholders' Equity |
|
|
|
Preferred
stock, $1 par value; authorized 10,000,000 shares; none issued |
|
- |
|
|
|
- |
|
Common stock, no par value;
authorized, 50,000,000 shares; issued and outstanding 19,386,000
and 19,332,000 respectively |
|
124,280 |
|
|
|
114,556 |
|
Accumulated
other comprehensive loss |
|
(7,883 |
) |
|
|
(10,166 |
) |
Retained
Earnings |
|
799,255 |
|
|
|
807,128 |
|
Total stockholders' equity |
|
915,652 |
|
|
|
911,518 |
|
Total Liabilities and Stockholders' Equity |
$ |
1,335,606 |
|
|
$ |
1,277,236 |
|
|
|
|
|
J & J
SNACK FOODS CORP. AND SUBSIDIARIES |
CONSOLIDATED
STATEMENTS OF CASH FLOWS |
(Unaudited)
(in thousands) |
|
|
|
|
|
Six months ended |
|
March
30, |
|
March
25, |
|
2024 |
|
2023 |
Operating activities: |
|
|
|
Net earnings |
$ |
20,611 |
|
|
$ |
13,504 |
|
Adjustments to reconcile net earnings to net cash provided by
operating activities |
|
|
|
Depreciation of fixed assets |
|
30,960 |
|
|
|
27,236 |
|
Amortization of intangibles and deferred costs |
|
3,232 |
|
|
|
3,385 |
|
(Gain) loss from disposals of property & equipment |
|
(17 |
) |
|
|
(354 |
) |
Share-based compensation |
|
3,208 |
|
|
|
2,552 |
|
Deferred income taxes |
|
377 |
|
|
|
(787 |
) |
(Gain) loss on marketable securities |
|
- |
|
|
|
(22 |
) |
Other |
|
160 |
|
|
|
(255 |
) |
Changes in assets and liabilities, net of effects from purchase of
companies |
|
|
|
Decrease in accounts receivable |
|
20,110 |
|
|
|
10,541 |
|
Decrease (Increase) in inventories |
|
(17,027 |
) |
|
|
823 |
|
Decrease in prepaid expenses |
|
1,046 |
|
|
|
4,787 |
|
(Decrease) in accounts payable and accrued liabilities |
|
(962 |
) |
|
|
(25,739 |
) |
Net cash provided by operating activities |
|
61,698 |
|
|
|
35,671 |
|
|
|
|
|
Investing activities: |
|
|
|
Purchases of property, plant and equipment |
|
(36,626 |
) |
|
|
(49,124 |
) |
Proceeds from redemption and sales of marketable securities |
|
- |
|
|
|
5,300 |
|
Proceeds from disposal of property and equipment |
|
152 |
|
|
|
797 |
|
Net cash (used in) investing activities |
|
(36,474 |
) |
|
|
(43,027 |
) |
|
|
|
|
Financing activities: |
|
|
|
Proceeds from issuance of stock |
|
6,516 |
|
|
|
4,059 |
|
Borrowings under credit facility |
|
35,000 |
|
|
|
92,000 |
|
Repayment of borrowings under credit facility |
|
(45,000 |
) |
|
|
(55,000 |
) |
Payments on finance lease obligations |
|
(110 |
) |
|
|
(71 |
) |
Payment of cash dividend |
|
(28,444 |
) |
|
|
(26,914 |
) |
Net cash provided by (used in) financing activities |
|
(32,038 |
) |
|
|
14,074 |
|
|
|
|
|
Effect of
exchange rates on cash and cash equivalents |
|
878 |
|
|
|
1,384 |
|
|
|
|
|
Net increase
(decrease) in cash and cash equivalents |
|
(5,936 |
) |
|
|
8,102 |
|
Cash and
cash equivalents at beginning of period |
|
49,581 |
|
|
|
35,181 |
|
Cash and
cash equivalents at end of period |
$ |
43,645 |
|
|
$ |
43,283 |
|
|
|
|
|
J & J
SNACK FOODS CORP. AND SUBSIDIARIES |
NOTES TO
CONSOLIDATED FINANCIAL STATEMENTS |
(Unaudited)
(in thousands) |
|
|
|
|
|
|
|
|
|
Three months ended |
|
Six months ended |
|
March
30, |
|
March
25, |
|
March
30, |
|
March
25, |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
|
(unaudited) |
|
(unaudited) |
|
(in
thousands) |
|
(in
thousands) |
Sales to
external customers: |
|
|
|
|
|
|
|
Food Service |
|
|
|
|
|
|
|
Soft pretzels |
$ |
54,328 |
|
|
$ |
55,492 |
|
|
$ |
104,456 |
|
|
$ |
107,715 |
|
Frozen novelties |
|
27,713 |
|
|
|
26,607 |
|
|
|
48,763 |
|
|
|
48,372 |
|
Churros |
|
30,825 |
|
|
|
24,920 |
|
|
|
58,886 |
|
|
|
50,677 |
|
Handhelds |
|
19,504 |
|
|
|
20,309 |
|
|
|
41,551 |
|
|
|
43,881 |
|
Bakery |
|
91,907 |
|
|
|
85,300 |
|
|
|
193,889 |
|
|
|
194,248 |
|
Other |
|
5,713 |
|
|
|
5,653 |
|
|
|
11,054 |
|
|
|
11,685 |
|
Total Food Service |
$ |
229,990 |
|
|
$ |
218,281 |
|
|
$ |
458,599 |
|
|
$ |
456,578 |
|
|
|
|
|
|
|
|
|
Retail Supermarket |
|
|
|
|
|
|
|
Soft pretzels |
$ |
16,453 |
|
|
$ |
16,013 |
|
|
$ |
34,900 |
|
|
$ |
30,498 |
|
Frozen novelties |
|
23,676 |
|
|
|
20,770 |
|
|
|
36,537 |
|
|
|
38,739 |
|
Biscuits |
|
6,207 |
|
|
|
5,858 |
|
|
|
13,239 |
|
|
|
13,771 |
|
Handhelds |
|
7,194 |
|
|
|
4,099 |
|
|
|
12,704 |
|
|
|
6,991 |
|
Coupon redemption |
|
(769 |
) |
|
|
(375 |
) |
|
|
(1,101 |
) |
|
|
(551 |
) |
Other |
|
129 |
|
|
|
(5 |
) |
|
|
370 |
|
|
|
(15 |
) |
Total Retail Supermarket |
$ |
52,890 |
|
|
$ |
46,360 |
|
|
$ |
96,649 |
|
|
$ |
89,433 |
|
|
|
|
|
|
|
|
|
Frozen Beverages |
|
|
|
|
|
|
|
Beverages |
$ |
44,666 |
|
|
$ |
41,799 |
|
|
$ |
86,616 |
|
|
$ |
80,458 |
|
Repair and maintenance service |
|
23,231 |
|
|
|
22,585 |
|
|
|
47,790 |
|
|
|
46,412 |
|
Machines revenue |
|
8,221 |
|
|
|
8,252 |
|
|
|
17,110 |
|
|
|
15,263 |
|
Other |
|
736 |
|
|
|
577 |
|
|
|
1,278 |
|
|
|
1,053 |
|
Total Frozen Beverages |
$ |
76,854 |
|
|
$ |
73,213 |
|
|
$ |
152,794 |
|
|
$ |
143,186 |
|
|
|
|
|
|
|
|
|
Consolidated
sales |
$ |
359,734 |
|
|
$ |
337,854 |
|
|
$ |
708,042 |
|
|
$ |
689,197 |
|
|
|
|
|
|
|
|
|
Depreciation
and amortization: |
|
|
|
|
|
|
|
Food Service |
$ |
11,173 |
|
|
$ |
9,597 |
|
|
$ |
21,846 |
|
|
$ |
19,055 |
|
Retail Supermarket |
|
525 |
|
|
|
492 |
|
|
|
1,052 |
|
|
|
883 |
|
Frozen Beverages |
|
5,702 |
|
|
|
5,351 |
|
|
|
11,294 |
|
|
|
10,683 |
|
Total
depreciation and amortization |
$ |
17,400 |
|
|
$ |
15,440 |
|
|
$ |
34,192 |
|
|
$ |
30,621 |
|
|
|
|
|
|
|
|
|
Operating
Income: |
|
|
|
|
|
|
|
Food Service |
$ |
7,931 |
|
|
$ |
5,133 |
|
|
$ |
13,947 |
|
|
$ |
11,520 |
|
Retail Supermarket |
|
5,110 |
|
|
|
487 |
|
|
|
5,562 |
|
|
|
1,598 |
|
Frozen Beverages |
|
4,863 |
|
|
|
4,573 |
|
|
|
8,078 |
|
|
|
6,403 |
|
Total
operating income |
$ |
17,904 |
|
|
$ |
10,193 |
|
|
$ |
27,587 |
|
|
$ |
19,521 |
|
|
|
|
|
|
|
|
|
Capital
expenditures: |
|
|
|
|
|
|
|
Food Service |
$ |
9,364 |
|
|
$ |
13,744 |
|
|
$ |
21,229 |
|
|
$ |
38,606 |
|
Retail Supermarket |
|
0 |
|
|
|
105 |
|
|
|
2 |
|
|
|
1,479 |
|
Frozen Beverages |
|
7,332 |
|
|
|
4,365 |
|
|
|
15,395 |
|
|
|
9,039 |
|
Total
capital expenditures |
$ |
16,696 |
|
|
$ |
18,214 |
|
|
$ |
36,626 |
|
|
$ |
49,124 |
|
|
|
|
|
|
|
|
|
Assets: |
|
|
|
|
|
|
|
Food Service |
$ |
963,870 |
|
|
$ |
910,573 |
|
|
$ |
963,870 |
|
|
$ |
910,573 |
|
Retail Supermarket |
|
36,650 |
|
|
|
12,162 |
|
|
|
36,650 |
|
|
|
12,162 |
|
Frozen Beverages |
|
335,086 |
|
|
|
302,222 |
|
|
|
335,086 |
|
|
|
302,222 |
|
Total
assets |
$ |
1,335,606 |
|
|
$ |
1,224,957 |
|
|
$ |
1,335,606 |
|
|
$ |
1,224,957 |
|
|
|
|
|
|
|
|
|
J & J
SNACK FOODS CORP. AND SUBSIDIARIES |
NON-GAAP
FINANCIAL MEASURES |
(Unaudited)
(in thousands) |
|
|
|
|
|
|
|
|
|
|
|
Three months ended |
|
Six months ended |
|
|
|
|
|
|
|
|
|
|
|
March
30, |
|
March
25, |
|
March
30, |
|
March
25, |
|
|
2024 |
|
2023 |
|
2024 |
|
2023 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of GAAP Net Earnings to Adjusted
EBITDA |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Earnings |
|
$ |
13,329 |
|
|
$ |
6,871 |
|
|
$ |
20,611 |
|
|
$ |
13,504 |
|
Income Taxes |
|
|
4,830 |
|
|
|
2,389 |
|
|
|
7,469 |
|
|
|
4,720 |
|
Investment Income |
|
|
(684 |
) |
|
|
(401 |
) |
|
|
(1,482 |
) |
|
|
(1,086 |
) |
Interest Expense |
|
|
429 |
|
|
|
1,334 |
|
|
|
989 |
|
|
|
2,383 |
|
Depreciation and Amortization |
|
|
17,400 |
|
|
|
15,440 |
|
|
|
34,192 |
|
|
|
30,621 |
|
Share-Based Compensation |
|
|
1,728 |
|
|
|
1,313 |
|
|
|
3,208 |
|
|
|
2,552 |
|
Strategic Business Transformation Costs (2) |
|
|
2,307 |
|
|
|
- |
|
|
|
4,553 |
|
|
|
- |
|
Net (Gain) Loss on Sale or Disposal of Assets |
|
|
6 |
|
|
|
357 |
|
|
|
(17 |
) |
|
|
(354 |
) |
Integration Costs |
|
|
- |
|
|
|
188 |
|
|
|
- |
|
|
|
417 |
|
Adjusted EBITDA |
|
$ |
39,345 |
|
|
$ |
27,491 |
|
|
$ |
69,523 |
|
|
$ |
52,757 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of GAAP Operating Income to Adjusted
Operating Income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Income |
|
|
17,904 |
|
|
|
10,193 |
|
|
|
27,587 |
|
|
|
19,521 |
|
Strategic Business Transformation Costs (2) |
|
|
2,307 |
|
|
|
- |
|
|
|
4,553 |
|
|
|
- |
|
Acquisition Related Amortization Expenses |
|
|
1,616 |
|
|
|
1,679 |
|
|
|
3,232 |
|
|
|
3,358 |
|
Integration Costs |
|
|
- |
|
|
|
188 |
|
|
|
- |
|
|
|
417 |
|
Adjusted Operating Income |
|
$ |
21,827 |
|
|
$ |
12,060 |
|
|
$ |
35,372 |
|
|
$ |
23,296 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of GAAP Earnings per Diluted Share to
Adjusted Earnings per Diluted Share |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per
Diluted Share |
|
$ |
0.69 |
|
|
$ |
0.36 |
|
|
$ |
1.06 |
|
|
$ |
0.70 |
|
Strategic Business Transformation Costs (2) |
|
|
0.12 |
|
|
|
- |
|
|
|
0.23 |
|
|
|
- |
|
Acquisition Related Amortization Expenses |
|
|
0.08 |
|
|
|
0.09 |
|
|
|
0.17 |
|
|
|
0.17 |
|
Integration Costs |
|
|
- |
|
|
|
0.01 |
|
|
|
- |
|
|
|
0.02 |
|
|
|
|
|
|
|
|
|
|
Tax Effect of Non-GAAP Adjustments (1) |
|
|
(0.05 |
) |
|
|
(0.03 |
) |
|
|
(0.11 |
) |
|
|
(0.05 |
) |
|
|
|
|
|
|
|
|
|
Adjusted Earnings per Diluted Share |
|
$ |
0.84 |
|
|
$ |
0.43 |
|
|
$ |
1.35 |
|
|
$ |
0.84 |
|
|
|
|
|
|
|
|
|
|
(1) Income taxes
associated with pre-tax adjustments determined using statutory tax
rates |
(2) Strategic business
transformation costs are start-up costs related to our regional
distribution center supply chain
transformation. |
J and J Snack Foods (NASDAQ:JJSF)
Historical Stock Chart
From May 2024 to Jun 2024
J and J Snack Foods (NASDAQ:JJSF)
Historical Stock Chart
From Jun 2023 to Jun 2024