JJSF J and J Snack Foods Corporation

J & J Snack Foods Corp. (NASDAQ:JJSF) today announced record sales and earnings for its third quarter and nine months ended June 26, 2010.

Sales for the third quarter increased 6% to $189.7 million from $179.8 million in last year's third quarter. Net earnings increased 6% to $15.9 million from $14.9 million last year. Earnings per diluted share were $.85 for the June quarter compared to $.80 last year. Operating income increased 7% to $26.1 million this year from $24.4 million in the year ago period.

For the nine months ended June 26, 2010, sales increased 6% to $496.2 million from $470.3 million in last year's nine months. Net earnings increased 21% to $32.0 million in the nine months from $26.5 million last year. Earnings per diluted share were $1.71 for the nine months compared to $1.42 last year. Operating income increased 22% to $52.4 million from $43.1 million in the year ago period.

Gerald B. Shreiber, J & J’s President and Chief Executive Officer, commented: “All of our business groups, led by our ICEE beverage and supermarket businesses, contributed to our record setting sales performance. In a difficult economy, we were able to continue to grow our business.”

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, FRUIT-A-FREEZE 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 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.

 

 

Unaudited Consolidated Statement of Operations

Three Months Ended

   

Nine Months Ended

June 26,   June 27, June 26,   June 27,

2010

2009

2010

2009

(in thousands) Net sales $ 189,729 $ 179,761 $ 496,192 $ 470,255 Cost of goods sold   124,698   118,727   335,345   323,162 Gross profit 65,031 61,034 160,847 147,093 Operating expenses   38,969   36,654   108,474   104,002 Operating income 26,062 24,380 52,373 43,091 Other income   236   263   717   965 Earnings before income taxes 26,298 24,643 53,090 44,056 Income taxes   10,437   9,714   21,138   17,564 Net earnings $ 15,861 $ 14,929 $ 31,952 $ 26,492   Earnings per diluted share $ .85 $ .80 $ 1.71 $ 1.42 Earnings per basic share $ .86 $ .81 $ 1.73 $ 1.43 Weighted average number of diluted shares 18,731 18,698 18,705 18,697 Weighted average number of basic shares 18,529 18,480 18,516 18,507  

Consolidated Balance Sheets

June 26, 2010

September 26, 2009

(Unaudited)

(in thousands)   Cash & cash equivalents $ 54,293 $ 60,343 Current marketable securities held to maturity 26,865 38,653 Other current assets 125,504 112,115 Property, plant & equipment, net 103,718 97,173 Goodwill 70,070 60,314 Other intangible assets, net 56,577 49,125 Long-term marketable securities held to maturity 28,322 19,994 Other   1,893   2,110 Total $ 467,242 $ 439,827   Current liabilities $ 72,689 $ 67,679 Long-term obligations under capital leases 211 285 Deferred income taxes 27,033 27,033 Other long-term liabilities 1,983 1,986 Stockholders’ equity   365,326   342,844 Total $ 467,242 $ 439,827  

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.