J&J Snack Foods Corp. Announces Consolidated Unaudited Earnings Results for the Third Quarter and Nine Months Ended June 30, 2018; Provides Effective Tax Rate Guidance for the Fourth Quarter and Earnings Results for the Fiscal Year of 2019
July 30, 2018 at 09:00 pm
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J&J Snack Foods Corp. announced consolidated unaudited earnings results for the third quarter and nine months ended June 30, 2018. For the quarter, the company reported net sales of $306,239,000 as compared to $295,415,000 a year ago. Operating Income was $34,869,000 as compared to $37,800,000 a year ago. Earnings before income taxes was $36,365,000 as compared to $39,142,000 a year ago. Net Earnings was $26,129,000 as compared to $25,304,000 a year ago. Earnings per basic share were $1.40 as compared to $1.35 a year ago. Capital spending was $17 million in the quarter as the company continues to invest in plant efficiencies and growing business for now and the future.
For the nine months, the company reported net sales of $837,550,000 as compared to $767,498,000 a year ago. Operating Income was $79,638,000 as compared to $81,238,000 a year ago. Earnings before income taxes was $84,592,000 as compared to $84,411,000 a year ago. Net Earnings was $80,211,000 as compared to $54,831,000 a year ago. Earnings per basic share were $4.29 as compared to $2.93 a year ago. Net cash provided by operating activities was $85,287,000 as compared to $83,338,000 a year ago. Purchases of property, plant and equipment was $43,344,000 as compared to $57,151,000 a year ago. Purchases of marketable securities was $65,227,000 as compared to $27,269,000 a year ago. Net earnings for the nine months ended June 30, 2018 benefited from a $20.9 million, or $1.11 per diluted share, gain on the remeasurement of deferred tax liabilities and a $7.4 million, or $0.40 per diluted share, reduction in income taxes related primarily to the lower corporate tax rate enacted under the Tax Cuts and Jobs Act in December 2017.
The company expects an effective tax rate of 28% to 29% for the fourth quarter of 2019.
The company estimates capital spending for the fiscal year 2019 to be about $55 million as several onetime manufacturing projects have been or will shortly be completed. The company expects an effective tax rate of 27% for fiscal year 2019.
J & J Snack Foods Corp. manufactures snack foods and distributes frozen beverages which it markets nationally to the foodservice and retail supermarket industries. The Company operates through three segments: Food Service, Retail Supermarkets and Frozen Beverages. The primary products sold by the Food Service segment are soft pretzels, frozen novelties, churros, handheld products and baked goods. The primary products sold to the retail supermarket channel are soft pretzel products including SUPERPRETZEL and AUNTIE ANNEâS, frozen novelties including LUIGIâS Real Italian Ice, MINUTE MAID Juice Bars and Soft Frozen Lemonade, WHOLE FRUIT frozen fruit bars and sorbet, DOGSTERS ice cream style treats for dogs, PHILLY SWIRL cups and sticks, ICEE Squeeze-Up Tubes and handheld products. This segment also offers Thinsters. The Company sells Frozen Beverages to the foodservice industry primarily under the names ICEE, SLUSH PUPPIE and PARROT ICE in the United States, Mexico and Canada.
J&J Snack Foods Corp. Announces Consolidated Unaudited Earnings Results for the Third Quarter and Nine Months Ended June 30, 2018; Provides Effective Tax Rate Guidance for the Fourth Quarter and Earnings Results for the Fiscal Year of 2019