| For Immediate Release 5:15 PM EDT April 20, 1998 |
Contact: Frances Rathke, Chief Financial Officer (802) 651-9600 Ext. 7500 |
BEN & JERRY'S HOMEMADE, INC. ANNOUNCES 1998 FIRST QUARTER RESULTS
SOUTH BURLINGTON, VT -- April 20, 1998 -- Ben & Jerry's Homemade, Inc., (NASDAQ Symbol: BJICA) today reported financial results for the Company's first quarter ended March 28, 1998.
Consolidated net sales for the quarter ended March 28, 1998 increased by 15% to $41,556,000 compared to $36,148,000 for the same period in 1997. Net income for the quarter totaled $380,000 as compared to a net loss of $1,059,000 for the same period in 1997. Diluted net income per common share was $0.05 in the first quarter of 1998 compared to a diluted net loss per common share of $0.15 in the first quarter of 1997.
The Company's profitability improved over last year's first quarter due primarily to a strong increase in net sales and significant improvement in the gross profit margin. Sales of the Company's domestic pint products increased 12% with Ben & Jerry's Original Ice Cream providing the majority of the increase. Also contributing to the increase in sales this quarter was the launch of Ben & Jerry's in Japan and the introduction of a new line of premium plus ice cream under the name of our licensee, Newman's Own ™ All Natural Ice cream. The Company's gross profit margin increased to 33.6% as compared to 27.7% in the same period last year. Improvements in gross profit margin are primarily the result of increases in selling prices effective in April 1997 and better plant utilization due to higher volumes.
The company introduced fourteen new products in the first quarter. The product launches featured the newest original ice cream flavor for 1998, Dilbert's World™
Totally Nuts™. The flavor is distributed in both a pint container and as a novelty ice cream bar on a stick. Also new to the novelty line-up is Phish Stick™,
a single serve version of the popular pint flavor Phish Food™.
The newly designed product packaging, created to build on the considerable brand equity and improve shelf appearance, rolled out nationally in the first quarter.
The Company also announced that its Annual Meeting of Shareholders will be held on Saturday, June 27, 1998 at 10:00 AM at the Sugarbush Country Club in Warren VT, followed by the Ben & Jerry's One World One Heart ™ Festival to be held that day at the Sugarbush Resort.
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 | ||
| Mar 28, 1998 | Mar 29, 1997 | |
| Net sales | $41,556 | $36,148 |
| Gross profit | 13,964 | 10,003 |
| Selling, general & administrative expense | 13,423 | 11,560 |
| Operating income (loss) | 541 | (1,557) |
| Other income (expense) | 52 | (151) |
| Income (loss) before income taxes | 593 | (1,708) |
| Net income (loss) | 380 | (1,059) |
| Earnings per share - diluted | $0.05 | ($0.15) |
| Shares outstanding - diluted | 7,451 | 7,264 |
| Mar 28, 1998 | Dec 27, 1997 | |
| Cash and cash equivalents | $ 48,076 | $ 47,318 |
| Accounts receivable, net - trade | 14,179 | 12,710 |
| Inventories | 15,523 | 11,122 |
| Total assets | 154,173 | 146,471 |
| Current liabilities | 35,758 | 28,668 |
| Long-term debt and capital lease obligations | 25,541 | 25,676 |
| Stockholders' equity | 87,666 | 86,919 |