YOCREAM International First Quarter Sales Up 15%
PORTLAND, Ore., March 14 /PRNewswire-FirstCall/ -- YOCREAM International, Inc. (Nasdaq: YOCM), a manufacturer and wholesaler of frozen desserts and smoothies, today reported the financial results for the first quarter ended January 31, 2003. Sales for the three months ended January 31, 2003 were $3.9 million, 15.1% over the same quarter in 2002. The sales increase was primarily the result of new products, which include a soft frozen custard, a gourmet ice cream developed especially for the Tully's Coffee chain and an aseptic coffee latte' freeze rolling out in the Costco Food Courts. Net income was approximately $10,600, compared with $103,500 or $0.05 per share for the same period last year. "Costs associated with introducing the new aseptic coffee latte freeze product was the primary factor for the reduction in gross profit," stated Douglas Caudell, CFO. "Another factor was that sales of our higher margin standard products were affected by the severe winter weather conditions that dominated much of the country. We expect that volume increases during the busier summer months along with the benefit of cost reductions will result in increased earnings for this year over the prior one." The Company recently announced its newest product line -- soy based frozen desserts. "These unique products are dairy free, all natural, vegan, and cultured," said Tyler Bargas, Director of Sales. Mr. Bargas reported that the response to the sampling has been overwhelming and that the line is scheduled for distribution this spring. YOCREAM International, Inc. makes, markets and sells frozen desserts, snacks and smoothies throughout the United States and in several foreign countries. It sells primarily to food distributors and wholesale clubs; and the Company's products are available in restaurants, convenience stores, schools, government and military installations, hospitals, corporate cafeterias and wholesale clubs. This release may contain certain forward-looking statements, which are based on management's current expectations. Factors that could cause future results to vary materially from these expectations include, but are not limited to, change in distribution abilities, level of customer acceptance of new products, change in co-packing relationships and strategic alliances and other economic, competitive, governmental, regulatory and factors affecting the company's operations, pricing, products and service. For a more complete discussion of the risks associated with forward-looking information, refer to the Risk Factors contained in the company's Form 10-K, which was filed with the Securities and Exchange Commission on January 29, 2003. YOCREAM INTERNATIONAL, INC. STATEMENTS OF INCOME Three Months Ended January 31, 2003 2002 Sales $3,869,008 $3,361,716 Cost of goods sold 2,897,099 2,344,704 Gross profit 971,909 1,017,012 Selling, general and administrative expenses 947,970 838,666 Income from operations 23,939 178,346 Other income (expenses), net (6,892) (10,245) Income before income taxes 17,047 168,101 Income tax provision 6,400 64,600 Net income $10,647 $103,501 Earnings per common share - basic $0.00 $0.05 Earnings per common share - diluted $0.00 $0.05 Shares used in basic earnings per share 2,262,657 2,259,101 Shares used in diluted earnings per share 2,271,186 2,264,281 YOCREAM INTERNATIONAL, INC BALANCE SHEETS January 31, October 31, 2003 2002 ASSETS Current assets Cash and cash equivalents $1,247,791 $1,528,818 Trade accounts receivable 872,727 900,996 Inventories 2,364,629 2,654,432 Other current assets 436,750 311,227 Income taxes receivable 93,591 -- Deferred tax asset 34,600 34,600 Total current assets 5,050,088 5,430,073 Fixed assets, net 4,297,911 4,385,900 Intangible and other long-term assets, net 563,904 408,964 $9,911,903 $10,224,937 LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities Current portion of long-term debt $357,831 $360,358 Accounts payable 733,409 1,083,954 Income taxes payable -- 31,709 Other accrued liabilities 97,555 143,754 Total current liabilities 1,188,795 1,619,775 Long-term debt, less current portion 956,667 858,167 Deferred income taxes 244,600 243,800 Total liabilities 2,390,062 2,721,742 Shareholders' equity Preferred stock, no par value, 5,000,000 shares authorized, none issued or outstanding -- -- Common stock, no par value, 30,000,000 shares authorized 4,633,982 4,625,981 Retained earnings 2,887,859 2,877,214 Total shareholders' equity 7,521,841 7,503,195 $9,911,903 $10,224,937SOURCE YOCREAM International, Inc.
Web Site: http://www.yocream.com
For more information, contact Terry Lusetti, YoCream Investor Relations, 503-256-3754