This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Farmer Bros. Co. Reports First Quarter Results

Farmer Bros. Co. (NASDAQ:FARM) today reported a net loss of $9.9 million, or $0.66 per share, for its fiscal first quarter ended September 30, 2010, compared with net income of $2.2 million, or $0.15 per share, for its prior year fiscal first quarter.

Net sales for the first quarter of fiscal 2011 decreased $3.4 million, or 3%, to $108.7 million from $112.1 million in the first quarter of the prior fiscal year, primarily due to a modest reduction in the number of customers who purchased products and a slight decline in the amount of products sold to those customers who have been with the Company for more than one year.

Cost of goods sold in the first quarter of fiscal 2011 increased $7.0 million, or 12%, to $64.8 million, or 60% of sales, from $57.8 million, or 52% of sales, in the first quarter of the prior fiscal year, primarily due to higher total coffee brewing equipment and service costs, increased raw material costs and changes in the mix of our customers and the products we sell to them.

Gross profit in the first quarter of fiscal 2011 decreased $10.4 million, or 19%, to $43.9 million from $54.3 million in the first quarter of fiscal 2010. Gross margin decreased to 40% in the first quarter of fiscal 2011 from 48% during the same period in the prior fiscal year.

Operating expenses in the first quarter of fiscal 2011 decreased $0.8 million, or 1%, to $56.0 million, or 51% of sales, from $56.8 million, or 51% of sales, in the comparable period of fiscal 2010.

Total other income, net in the fiscal quarter ended September 30, 2010 was $2.5 million compared to $5.1 million in the fiscal quarter ended September 30, 2009. This was primarily due to lower net unrealized gains in our preferred stock portfolio during the fiscal quarter ended September 30, 2010 as compared to the fiscal quarter ended September 30, 2009. Interest expense of $0.4 million in the first fiscal quarter of 2011 compared to $0.1 million in the first fiscal quarter of 2010 also contributed to this decrease. Lower net unrealized gains in our preferred stock portfolio resulted in part from a reduced portfolio balance due to the sale of a portion of our preferred stock portfolio during the fiscal quarter ended September 30, 2010.

1 of 3

Check Out Our Best Services for Investors

Action Alerts PLUS

Jim Cramer and Stephanie Link reveal their investment tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
Quant Ratings

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
Stocks Under $10

Jim Cramer's protégé, David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
Try it NOW
Try it NOW
Try it NOW

Check Out Our Best Services for Investors

Dividend Stock Advisor

Jim Cramer's protégé, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Updates with exact steps to take - BUY, HOLD, SELL
Trifecta Stocks

Every recommendation goes through 3 layers of intense scrutiny—quantitative, fundamental and technical analysis—to maximize profit potential and minimize risk.

Product Features:
  • Model Portfolio
  • Intra Day Trade alerts
  • Access to Quant Ratings
Options Profits

Our options trading pros provide over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • Actionable options commentary and news
  • Real-time trading community
Try it NOW
Try it NOW
Try it NOW
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!

Markets

DOW 17,672.60 -141.38 -0.79%
S&P 500 2,051.82 -11.33 -0.55%
NASDAQ 4,757.8790 +7.4820 0.16%

Partners Compare Online Brokers

Free Reports

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs