| For Immediate Release 6:15 AM EDT, January 27, 1998 |
Contact: Frances G. Rathke, Chief Financial Officer 802-651-9600 ext: 7500 |
Consolidated net sales for the quarter ended December 27, 1997 increased by 7% to $37,401,000 compared to $35,080,000 for the same period in 1996. Net income for the quarter totaled $686,000 as compared to a net loss of $1,201,000 for the same period in 1996. Diluted net income per common share was $0.09 in the fourth quarter of 1997 compared to a diluted net loss per common share of $0.17 in the fourth quarter of 1996.
Consolidated net sales for the year ended December 27, 1997 increased by 4% to $174,206,000, compared to 1996 sales of $167,155,000. Net income was $3,896,000 for 1997, compared to $3,926,000 for 1996. Diluted net income per common share for 1997 was $0.53 compared to $0.54 in 1996.
The Company's profitability improved over last year's fourth quarter due primarily to a solid increase in net sales and significant improvement in the gross profit margin. Gross profit for the fourth quarter increased by $2,567,000 and the Company's gross profit margin increased to 31.2% as compared to 25.9% in the same period last year. Improvements in gross profit margin are the result of increases in selling prices and decreases in commodity costs.
Marketing programs for 1998 highlight the Company's 20th year in business and build on the momentum set in 1997. While it's too early to release the detail specific flavors and programs, the Company plans to release another flavor innovation designed to capture the energy of last years hit, Phish Food. The brand will be supported with a build up of the advertising schedule established in 1997 as well as the Company's long standing tradition of special events, public relations and product sampling.
Ben & Jerry's produces superpremium ice cream, ice cream novelties, lowfat ice cream, lowfat and non-fat yogurt, and sorbet using Vermont dairy products, Vermont spring water, and high quality natural ingredients. Ben & Jerry's products are distributed nationwide and in selected foreign countries in supermarkets, grocery stores, convenience stores, scoop shops, restaurants and other venues.
| Thirteen weeks ended | Year ended | ||||
| Dec 27, 1997 | Dec 28, 1996 | Dec 27, 1997 | Dec 28, 1996 | ||
| Net sales | $37,401 | $35,080 | $174,206 | $167,155 | |
| Gross profit | 11,651 | 9,084 | 59,922 | 51,943 | |
| Selling, general & administrative expense | 10,956 | 10,632 | 53,520 | 45,531 | Operating income (loss) | 695 | (1,548) | 6,402 | 6,412 |
| Other income (expense) | 416 | (387) | (118) | (77) | |
| Income (loss) before income taxes | 1,111 | (1,935) | 6,284 | 6,335 | |
| Net income (loss) | 686 | (1,201) | 3,896 | 3,926 | |
| Earnings per share - diluted | $0.09 | ($0.17) | $0.53 | $0.54 | |
| Shares outstanding - diluted | 7,394 | 7,205 | 7,334 | 7,230 | |
Selected Balance Sheet Data
| Year ended Dec 27, 1997 | Year ended Dec 28, 1996 |
|
| Cash and cash equivalents | $ 47,318 | $ 36,104 |
| Accounts receivable, net - trade | 12,710 | 8,684 |
| Inventories | 11,122 | 15,365 |
| Total assets | 146,471 | 136,665 |
| Current liabilities | 28,579 | 18,058 |
| Long-term liabilities | 30,973 | 35,922 |
| Stockholders' equity | 86,919 | 82,685 |
(End)