Pesto maker Armanino invested in promotions to boost sales but still reported record profits

Pesto maker Armanino invested in promotions to boost sales but still reported record profits

US pasta-to-pesto manufacturer Armanino Foods of Distinction has reported "record" first-quarter sales and profits.

The company reported "very strong" sales on the West Coast and to international customers for the three months to the end of March.

Armanino said poor weather had hit sales on the US East Coast and in the Mid West in the first part of the quarter.

However, sales recovered and Armanino was able to post improved year-on-year sales from the regions. In total, net sales were up 10% at US$7.3m.

Income from operations rose 15% to $1.4m. Net income climbed 14.9% to $857,443 $746,419.

President and CEO Edmond Pera said: "We invested in higher than normal promotional expenses which helped fuel our sales increase, but these expenditures did affect our first quarter bottom line. We expect that these strategic expenditures will support the generation of additional sales and overall profitability for future quarters. Armanino is cautiously optimistic about its prospects for continued gains in revenue and profitability for the remainder of the year."

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Armanino Foods of Distinction, Inc., Announces Record Sales and Earnings for the First Quarter of 2014

April 16, 2014 11:00 AM Eastern Daylight Time

HAYWARD, Calif.--(BUSINESS WIRE)--Armanino Foods of Distinction, Inc. (OTC Pink: AMNF) today reported record sales and profits for the first quarter ending March 31, 2014.

“Both our sales pipeline and our cash position currently remain strong. Armanino is cautiously optimistic about its prospects for continued gains in revenue and profitability for the remainder of the year.”

Net sales for the first quarter ended March 31, 2014 were $7,306,325 compared to $6,699,072 for the first quarter of 2012, an increase of 10%. Income from operations for the first quarter of 2014 was $1,398,268 compared to $1,216,261 for the comparable quarter a year ago, an increase of 15%. Earnings per share for the first quarter of 2014 was $0.0267, compared to $0.0233 for the same quarter a year ago, an increase of 15%.

Edmond J. Pera, President and CEO of Armanino Foods said, “Our first quarter sales in the western part of the United States and to our international customers were very strong. Even though first quarter sales in the eastern and mid-western parts of the U.S. initially started out slow because of inclement weather, revenue had rebounded significantly by the end of the quarter to make up enough ground to result in higher year over year sales in those territories.”

Pera continued, “We invested in higher than normal promotional expenses which helped fuel our sales increase, but these expenditures did affect our first quarter bottom line. We expect that these strategic expenditures will support the generation of additional sales and overall profitability for future quarters.”

Pera concluded, “Both our sales pipeline and our cash position currently remain strong. Armanino is cautiously optimistic about its prospects for continued gains in revenue and profitability for the remainder of the year.”

Armanino Foods of Distinction, Inc. is an international food company that manufactures and markets frozen Italian specialty food items such as pestos, sauces and filled pastas to the foodservice, retail, and industrial markets. In addition to a classic Basil Pesto Armanino offers other flavors such as Cilantro, Dried Tomato & Garlic, Roasted Red Bell Pepper, Southwest Chipotle, Artichoke, Roasted Garlic, Light Basil Pesto, Alfredo sauce, and Bolognese sauce. Armanino’s Organic line includes classic Basil Pesto. Frozen pastas and meatballs are also offered by Armanino Foods.

 

Armanino Foods of Distinction, Inc.
Results for the Quarter Ended 3/31/14 (Unaudited)

 
     

2014

 

2013

Net Sales     $7,306,325   $6,669,072
Income From Cont. Operations Before Taxes     $1,398,268   $1,216,261
Net Income     $857,443   $746,419
Basic Income Per Common Share     $0.0267   $0.0233
Weighted Average Common Shares Outstanding     32,065,645   32,015,381
Diluted Income/(Loss) Per Common Share     $0.0267   $0.0233
Diluted Weighted Average Common Shares Outstanding     32,065,645   32,088,320
           

Original source: Armanino Foods of Distinction