Armanino Foods of Distinction, Inc. (NASDAQ Small Cap Symbol: ARMF) announced yesterday net sales, operating and net income, and earnings per share for the fourth quarter and year ended December 31, 2000.
Net sales for the fourth quarter ended December 31, 2000 were $3,117,781, compared to $3,488,949 for the fourth quarter of 1999, a decrease of 11%. This quarterly sales decrease is attributable to a major sales promotion in December a year ago which was not duplicated in 2000. Net sales for the year ended December 31, 2000 were $13,459,478 compared to 1999 sales of $12,155,719, an increase of 11%. All product lines, with the exception of meatballs, showed double digit increases for the year.
Income from continuing operations before income taxes for the fourth quarter ended December 31, 2000 was $307,031 compared to $320,177 for the fourth quarter of 1999. Lower sales, offset by a better product mix, accounted for the decrease. Income from continuing operations before income taxes for the year ended December 31, 2000 was $1,381,382 compared to $890,408 for the year ending in 1999. This increase in operating profits of 55% is due to the higher sales; margin increases due to production efficiencies and better controls over operating expenses.
Net income for the year ended December 31, 2000 amounted to $763,341 compared to $509,872 for the same period in 1999, an increase of 50%. The company reported basic and diluted net earnings per share for the fourth quarter ended December 31, 2000 of $0.08 and $0.07 respectively, compared to $0.09 for both basic and diluted net earnings per share for the same period of 1999. Basic and diluted net earnings per share for the year ended December 31, 2000 were $0.46 and $0.45 respectively, compared to $0.26 for both in the year 1999.
William J. Armanino, President and CEO of Armanino Foods said, “Our sales and earnings increases in 2000 are a direct result of the marketing and sales strategies we implemented during the year. Our fourth quarter sales results, although less than a year ago, are not indicative of the growth we anticipate in 2001.”
Armanino continued, “We accomplished almost everything we set out to do during 2000. Some of the highlights include broadening our international presence; introducing new and innovative incentive programs for our brokers and our own sales force; utilizing a portion of our cash reserves to repurchase our common stock as well as pay dividends and initiating a broadening of our product lines as well as in-house production efficiencies which raised margins. The sum total of all of this resulted in almost doubling our per share earnings for the year. In addition, we have established a quarterly dividend program so that our shareholders can share in the company’s success. We believe that this program will not deter us from continuing to make strategic investments in programs which fit our focused business plan. The Company’s current cash position is very strong.”
Armanino concluded, “We anticipate that our success in the past year will continue throughout the coming year as we are constantly implementing new strategies identified in our business plan. We are positive about our ability to execute our 2001 plan.”
Armanino is an international food company that manufactures and markets frozen pestos, filled pasta products, sauced entrees, meatballs and focaccia to the retail, food service, club stores, institutional, and industrial food industry segments.
Armanino Foods of Distinction, Inc.
Results for the Quarter Ended 12/31/00
Quarter Ended 12/31/00
Net Sales $3,117,781 $3,488,949
Net Income/(Loss) From Cont.
Oper. Before Taxes $ 307,031 $ 320,177
Net Income $ 118,730 $ 167,733
Basic Income Per Common Share $ 0.08 $ 0.09
Weighted Average Common Shares
Outstanding 1,566,130 1,928,624
Diluted Income Per Common Share $ 0.07 $ 0.09
Weighted Average Shares Outstanding 1,586,104 1,934,050
Twelve Months ended 12/31/00
Net Sales $13,459,478 $12,155,719
Net Income From Cont. Oper. Before Taxes $ 1,381,382 $ 890,408
Net Income $ 763,341 $ 509,872
Basic Income Per Common Share $ 0.46 $ 0.26
Weighted Average Common Shares
Outstanding 1,657,679 1,942,676
Diluted Income Per Common Share $ 0.45 $ 0.26
Weighted Average Shares Outstanding 1,712,868 1,950,834
This press release contains forward-looking statements within the meaning of U.S. securities laws, including statements regarding the Company’s goals and growth prospects. These forward looking statements are subject to certain risks and uncertainties that could cause the actual results to differ materially from those projected, including general economic conditions, fluctuations in customer demand, competitive factors such as pricing pressures on existing products, and the timing and market acceptance of new product introductions, the Company’s ability to achieve manufacturing efficiencies necessary for profitable sales at current pricing, and the risk factors listed from time-to-time in the Company’s annual and quarterly SEC reports. The Company assumes no obligation to update the information included in this press release.