YOCREAM International Reports Second Quarter Results
PORTLAND, Ore., June 15, 2001 /PRNewswire/ -- YOCREAM International, Inc. (NASDAQ:YOCM), a manufacturer and wholesaler of frozen desserts and smoothies, today reported the financial results for the second quarter and six months ended April 30, 2001.
YOCREAM's second quarter 2001 sales were $3.6 million, compared with $3.7 million for the same quarter in 2000. Net income was approximately $93,000 or $.04 per share, compared to $237,000 or $.10 per share for the same period in 2000.
For the six months ended April 30, 2001 sales were $6.4 million, compared with $6.6 million for the same period in 2000. Net income was approximately $163,000 or $.07 per share, compared to $313,000 or $.13 per share for the same period in 2000.
"Like many companies, our sales are affected by the general downturn in the economy," said John Hanna, CEO. "Distributors tend to reduce inventories because of uncertainties. However, we are investing more than we ever have in the market place, because of new opportunities."
Hanna was referring to the recent alliance between YOCREAM International, Inc. and the Dannon Company, Inc. "We expect sales from the alliance to kick in by July, through a number of new brokers and distributors in new markets. We are also accessing national and international accounts through the alliances that we could not penetrate in the past."
Douglas Caudell, CFO, said that increased investment spending was necessary to seize the present opportunity. "We have added field sales personnel and incurred significant sales and travel expenses that have impacted net income. But, we are convinced that the opportunities merit the spending."
The Company also reported that while food service sales nationally only increased less than 1% in May, YOCREAM food service sales increased over 14% in the same period.
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, 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, 2001.
YOCREAM INTERNATIONAL, INC. STATEMENTS OF INCOME (Unaudited) Three Months Ended Six Months Ended April 30, April 30, 2001 2000 2001 2000 Sales $3,589,885 $3,736,716 $6,364,042 $6,574,740 Cost of goods sold 2,527,159 2,539,756 4,401,520 4,505,509 Gross profit 1,062,726 1,196,960 1,962,522 2,069,231 Selling, general and administrative expenses 900,911 806,961 1,697,413 1,555,325 Income from operations 161,815 389,999 265,109 513,906 Other expenses, net (10,586) (5,284) (322) (5,766) Income before income taxes 151,229 384,715 264,787 508,140 Income tax provision 58,100 147,700 101,700 195,100 Net income $93,129 $237,015 $163,087 $313,040 Earnings per common share -- basic $0.04 $0.10 $0.07 $0.14 Earnings per common share -- diluted $0.04 $0.10 $0.07 $0.13 Shares used in basic earnings per share 2,262,191 2,288,860 2,262,269 2,293,625 Shares used in diluted earnings per share 2,268,045 2,307,397 2,272,598 2,321,908 YOCREAM INTERNATIONAL, INC BALANCE SHEETS April 30, October 31, 2001 2000 (Unaudited) ASSETS Current assets Cash and cash equivalents $112,156 $719,139 Trade accounts receivable, net 937,941 997,076 Inventories 2,440,168 2,497,413 Other current assets 315,134 159,176 Total current assets 3,805,399 4,372,804 Fixed assets, net 4,589,745 2,706,420 Deferred income taxes 57,100 54,000 Intangible and other long-term assets, net 301,153 293,351 $8,753,397 $7,426,575 LIABILITIES AND SHAREHOLDERS' EQUITY Current liabilities Note payable to bank $140,000 $-- Current portion of long-term debt 134,563 106,675 Accounts payable 1,525,280 880,882 Other accrued liabilities 162,995 183,453 Total current liabilities 1,962,838 1,171,010 Long-term debt, less current portion 541,506 125,073 Total liabilities 2,504,344 1,296,083 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 4,818,017 4,862,541 Retained earnings 1,431,036 1,267,951 Total shareholders' equity 6,249,053 6,130,492 $8,753,397 $7,426,575SOURCE YOCREAM International, Inc.
Web Site: http://www.yocream.com
For more information, contact Terry Lusetti, YoCream Investor Relations, 503-256-3754