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
TheStreet Open House

B&G Foods Reports Third Quarter 2013 Financial Results

B&G Foods, Inc. (NYSE:BGS) today announced financial results for the third quarter and first three quarters of 2013.

Highlights (vs. year-ago quarter where applicable):

  • Net sales increased 17.6% to $181.4 million
  • Net income decreased 9.2% to $15.4 million due to loss on extinguishment of debt and acquisition related transaction costs of $3.4 million, net of tax
  • Adjusted net income * increased 10.8% to $18.7 million
  • Adjusted EBITDA * increased 7.3% to $46.0 million
  • Adjusted EBITDA guidance remains at $187.0 million to $191.0 million for the full year

David L. Wenner, President and Chief Executive Officer of B&G Foods, stated, “Our business saw continued strong growth in net sales, net income and adjusted EBITDA during the third quarter. Putting acquisition growth aside, our base business net sales followed industry trends and declined for the quarter. Given current trends in the packaged foods industry, we expect growth in our base business to be challenging during the fourth quarter of 2013. We are taking actions to improve sales trends in our base business through new product introductions and selected pricing adjustments and are confident base business net sales will rebound and return to our more typical modest growth during 2014. Meanwhile, our recent acquisitions in snacks appear to be more on trend with changing consumer consumption patterns and we expect significant growth from Pirate’s Booty, Rickland Orchards, New York Style and TrueNorth in fourth quarter 2013 and beyond.”

_____________________

 

*   Please see “About Non-GAAP Financial Measures and Items Affecting Comparability” below for the definition of the terms adjusted net income, adjusted diluted earnings per share, EBITDA and adjusted EBITDA, as well as information concerning certain items affecting comparability and reconciliations of the non-GAAP terms adjusted net income, adjusted diluted earnings per share, EBITDA and adjusted EBITDA to the most comparable GAAP financial measures.
 

Financial Results for the Third Quarter of 2013

Net sales for the third quarter of 2013 increased 17.6% to $181.4 million from $154.2 million for the third quarter of 2012. Net sales of Pirate Brands, which B&G Foods acquired at the beginning of July 2013, contributed $16.5 million to the overall increase, net sales of the New York Style and Old London brands, which B&G Foods acquired at the end of October 2012, contributed $11.4 million to the overall increase, and net sales of the TrueNorth brand, which B&G Foods acquired at the beginning of May 2013, contributed $5.4 million to the overall increase. Net sales for B&G Foods’ base business decreased $6.1 million, or 3.9%, attributable to a net price decrease of $3.5 million and a unit volume decrease of $2.6 million.

Gross profit for the third quarter of 2013 increased 10.8% to $61.3 million from $55.3 million in the third quarter of 2012. Gross profit expressed as a percentage of net sales decreased 2.1 percentage points to 33.8% for the third quarter of 2013 from 35.9% in the third quarter of 2012. The decrease in gross profit expressed as a percentage of net sales was primarily attributable to a net price decrease of $3.5 million, and a sales mix shift to lower margin products. Operating income decreased 1.9% to $37.6 million for the third quarter of 2013, from $38.3 million in the third quarter of 2012.

1 of 6

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

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
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

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
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, 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
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

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

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
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!
DOW 17,279.74 +13.75 0.08%
S&P 500 2,010.40 -0.96 -0.05%
NASDAQ 4,579.7890 -13.6380 -0.30%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

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