J & J Snack Foods Corp. (NASDAQ-JJSF) today announced record sales and lower earnings for its second quarter and six months ended March 26, 2011.

Sales increased 3% to $162.7 million from $157.4 million in last year's second quarter. Net earnings decreased 4% to $8.7 million from $9.0 million last year. Earnings per diluted share were $.46 for the March quarter compared to $.48 last year. Operating income decreased 6% to $14.0 million this year from $14.8 million in the year ago period.

For the six months ended March 26, 2011, sales increased 4% to $318.4 million from $306.5 million in last year’s first half. Net earnings decreased 2% to $15.8 million in the six months from $16.1 million last year. Earnings per diluted share were $.84 for the six months compared to $.86 last year. Operating income decreased 5% to $24.9 million from $26.3 million in the year ago period.

Gerald B. Shreiber, J & J’s President and Chief Executive Officer, commented, "Although our overall sales grew modestly, higher input costs and operating expenses impacted our profitability for the period and the six months."

J & J Snack Foods Corp.’s principal products include SUPERPRETZEL, PRETZEL FILLERS and other soft pretzels, ICEE, SLUSH PUPPIE and ARCTIC BLAST frozen beverages, LUIGI’S, MAMA TISH’S, SHAPE UPS, MINUTE MAID* and BARQ’S** frozen juice bars and ices, WHOLE FRUIT sorbet and frozen fruit bars, MARY B’S biscuits and dumplings, DADDY RAY’S fig and fruit bars, TIO PEPE’S and CALIFORNIA CHURROS churros, THE FUNNEL CAKE FACTORY funnel cakes, and MRS. GOODCOOKIE, CAMDEN CREEK, COUNTRY HOME and READI-BAKE cookies. J & J has manufacturing facilities in Pennsauken, Bridgeport and Bellmawr, New Jersey; Scranton, Hatfield and Chambersburg, Pennsylvania; Carrollton, Texas; Atlanta, Georgia; Moscow Mills, Missouri; Pensacola, Florida and Colton, Vernon and Norwalk, California.

*MINUTE MAID is a registered trademark of The Coca-Cola Company.

**BARQ’S is a registered trademark of Barq’s Inc.

   

Consolidated Statement of Operations

Three Months Ended
   

Six Months Ended
March 26,     March 27, March 26,     March 27,

2011

2010

2011

2010
(unaudited)
(in thousands)
 
Net sales $ 162,731 $ 157,361 $ 318,363 $ 306,463
Cost of goods sold   113,709   107,564   223,240   210,647
Gross profit 49,022 49,797 95,123 95,816
Operating expenses   35,068   34,977   70,196   69,505
Operating income 13,954 14,820 24,927 26,311
Other income   171   198   371   481
Earnings before income taxes 14,125 15,018 25,298 26,792
Income taxes   5,466   6,018   9,545   10,701
Net earnings $ 8,659 $ 9,000 $ 15,753 $ 16,091
 
Earnings per diluted share $ .46 $ .48 $ .84 $ .86
Earnings per basic share $ .46 $ .49 $ .85 $ .87
Weighted average number of diluted shares 18,767 18,666 18,734 18,691
Weighted average number of basic shares 18,638 18,477 18,608 18,510
 
 
 

Consolidated Balance Sheets

March 26, 2011

September 25, 2010
(unaudited)
(in thousands)
 
Cash & cash equivalents $ 96,436 $ 74,665
Current marketable securities held to maturity 25,550 15,481
Other current assets 128,294 130,385
Property, plant & equipment, net 108,316 110,092
Goodwill 70,070 70,070
Other intangible assets, net 52,735 55,284
Marketable securities held to maturity 10,998 26,300
Other   2,239   1,717
Total $ 494,638 $ 483,994
 
Current liabilities $ 67,498 $ 71,081
Long-term obligations under capital leases 493 619
Deferred income taxes 30,401 30,401
Other long-term obligations 1,167 1,318
Stockholders’ equity   395,079   380,575
Total $ 494,638 $ 483,994
 

The forward-looking statements contained herein are subject to certain risks and uncertainties that could cause actual results to differ materially from those projected in the forward-looking statements. Readers are cautioned not to place undue reliance on these forward-looking statements, which reflect management’s analysis only as of the date hereof. The Company undertakes no obligation to publicly revise or update these forward-looking statements to reflect events or circumstances that arise after the date hereof.

Copyright Business Wire 2010