Lancaster Colony Reports Fourth Quarter and Fiscal Year Results
Lancaster Colony (Nasdaq: LANC) reported results for Q4 and fiscal year 2024. Q4 highlights:
- Net sales declined 0.4% to $452.8 million
- Gross profit increased $4.4 million to $97.6 million
- Operating income rose $30.2 million to $41.7 million
- Net income was $1.26 per diluted share vs $0.33 last year
Fiscal year 2024: Net sales increased 2.7% to $1.87 billion, with net income of $158.6 million ($5.76 per diluted share). The company anticipates continued growth in fiscal 2025, driven by licensing programs and new product introductions in the Retail segment, and growth from select quick-service restaurant customers in the Foodservice segment.
Lancaster Colony (Nasdaq: LANC) ha riportato i risultati per il Q4 e l'anno fiscale 2024. Risultati del Q4:
- Le vendite nette sono diminuite dello 0,4% a 452,8 milioni di dollari
- Il profitto lordo è aumentato di 4,4 milioni di dollari a 97,6 milioni di dollari
- Il reddito operativo è salito di 30,2 milioni di dollari a 41,7 milioni di dollari
- Il reddito netto era di 1,26 dollari per azione diluita rispetto a 0,33 dollari dell'anno precedente
Anno fiscale 2024: Le vendite nette sono aumentate del 2,7% a 1,87 miliardi di dollari, con un reddito netto di 158,6 milioni di dollari (5,76 dollari per azione diluita). L'azienda prevede una continua crescita nel 2025, sostenuta dai programmi di licenza e dal lancio di nuovi prodotti nel segmento Retail, e dalla crescita di alcuni clienti nel segmento Foodservice.
Lancaster Colony (Nasdaq: LANC) reportó resultados para el cuarto trimestre y el año fiscal 2024. Aspectos destacados del cuarto trimestre:
- Las ventas netas disminuyeron un 0,4% a 452,8 millones de dólares
- La ganancia bruta aumentó 4,4 millones de dólares a 97,6 millones de dólares
- El ingreso operativo creció 30,2 millones de dólares a 41,7 millones de dólares
- El ingreso neto fue de 1,26 dólares por acción diluida frente a 0,33 dólares del año pasado
Año fiscal 2024: Las ventas netas aumentaron un 2,7% a 1,87 mil millones de dólares, con un ingreso neto de 158,6 millones de dólares (5,76 dólares por acción diluida). La empresa anticipa un crecimiento continuo en el año fiscal 2025, impulsado por programas de licencias y nuevas presentaciones de productos en el segmento Retail, y crecimiento de ciertos clientes de restaurantes de servicio rápido en el segmento de servicios de alimentos.
랜캐스터 식민지 (Nasdaq: LANC)가 2024 회계연도 4분기 및 연간 실적을 발표했습니다. 4분기 하이라이트:
- 순매출이 0.4% 감소하여 4억 5천 280만 달러입니다
- 총 이익이 440만 달러 증가하여 9천 760만 달러입니다
- 영업 이익이 3천 200만 달러 증가하여 4천 170만 달러입니다
- 순이익은 희석 주당 1.26 달러로, 지난해의 0.33 달러와 비교됩니다
2024 회계연도: 순매출이 2.7% 증가하여 18억 7천만 달러에 도달하였고, 순이익은 1억 5천 860만 달러(희석 주당 5.76 달러)였습니다. 이 회사는 2025 회계연도의 지속적인 성장을 예상하고 있으며, 이는 라이선스 프로그램과 소매 부문의 신제품 출시에 의해 추진되며, 식음료 서비스 부문에서 특정 패스트푸드 고객의 성장도 포함됩니다.
Lancaster Colony (Nasdaq: LANC) a publié ses résultats pour le 4ème trimestre et l'année fiscale 2024. Points forts du 4ème trimestre :
- Les ventes nettes ont diminué de 0,4% pour atteindre 452,8 millions de dollars
- Le bénéfice brut a augmenté de 4,4 millions de dollars pour atteindre 97,6 millions de dollars
- Le résultat d'exploitation a augmenté de 30,2 millions de dollars pour atteindre 41,7 millions de dollars
- Le résultat net était de 1,26 dollar par action diluée contre 0,33 dollar l'année dernière
Année fiscale 2024 : Les ventes nettes ont augmenté de 2,7% pour atteindre 1,87 milliard de dollars, avec un résultat net de 158,6 millions de dollars (5,76 dollars par action diluée). L'entreprise s'attend à une croissance continue pour l'année fiscale 2025, soutenue par des programmes de licences et le lancement de nouveaux produits dans le segment du commerce de détail, ainsi que par la croissance de certains clients de restauration rapide dans le segment des services alimentaires.
Lancaster Colony (Nasdaq: LANC) hat die Ergebnisse für das 4. Quartal und das Geschäftsjahr 2024 veröffentlicht. Höhepunkte des 4. Quartals:
- Der Nettoumsatz ging um 0,4% auf 452,8 Millionen Dollar zurück
- Der Bruttogewinn stieg um 4,4 Millionen Dollar auf 97,6 Millionen Dollar
- Das Betriebsergebnis stieg um 30,2 Millionen Dollar auf 41,7 Millionen Dollar
- Der Nettogewinn betrug 1,26 Dollar pro verwässerter Aktie im Vergleich zu 0,33 Dollar im Vorjahr
Geschäftsjahr 2024: Der Nettoumsatz stieg um 2,7% auf 1,87 Milliarden Dollar, der Nettogewinn betrug 158,6 Millionen Dollar (5,76 Dollar pro verwässerter Aktie). Das Unternehmen erwartet ein weiteres Wachstum im Geschäftsjahr 2025, das durch Lizenzprogramme und die Einführung neuer Produkte im Einzelhandel sowie durch das Wachstum ausgewählter Schnellrestaurants im Bereich Foodservice vorangetrieben wird.
- Gross profit increased by 4.8% in Q4 despite sales decline
- Retail sales volume increased 1.2% excluding exited product lines
- Foodservice sales volume improved 4.2% in Q4
- Fiscal year 2024 net sales increased 2.7% to $1.87 billion
- Net income for fiscal 2024 rose to $158.6 million ($5.76 per diluted share) from $111.3 million ($4.04 per diluted share) in 2023
- Cost savings programs drove margin improvement
- Q4 consolidated net sales declined 0.4% to $452.8 million
- Retail segment net sales declined 0.8% in Q4
- Deflationary pricing offset volume growth in Foodservice segment
- Restructuring and impairment charges of $2.7 million in Q4 due to exiting perimeter-of-store bakery product lines
Insights
Lancaster Colony's Q4 results show resilience amidst challenges. The 0.4% decline in consolidated net sales to
Lancaster Colony's strategic decisions are aligning well with market trends. The success of licensed items like Subway® sandwich sauces and Texas Roadhouse® steak sauces demonstrates the company's ability to leverage popular brands. The expansion into Texas Roadhouse dinner rolls shows further potential in this strategy. The introduction of gluten-free garlic bread caters to the growing demand for allergen-free products. In the Foodservice segment, the 4.2% increase in sales volume despite flat net sales indicates strong demand from national chain restaurants. This could position Lancaster Colony well if economic conditions improve. However, the company's acknowledgment of potential impacts from U.S. economic performance and consumer behavior in fiscal 2025 suggests cautious optimism.
Lancaster Colony's supply chain management deserves attention. Despite inflationary pressures, the company managed to improve gross margins through cost-saving programs. The strategic exit from perimeter-of-store bakery products, while impacting sales, likely streamlined operations. The company's ability to increase sales volume in the Foodservice segment by
Fourth Quarter Summary
-
Consolidated fourth quarter net sales declined
0.4% to . Retail segment net sales declined$452.8 million 0.8% in the quarter to , driven by the impact of our tactical decision to exit our perimeter-of-the-store bakery product lines this past March. Foodservice segment net sales were essentially flat at$234.2 million as deflationary pricing offset volume growth.$218.6 million -
Consolidated gross profit increased
to$4.4 million .$97.6 million -
Consolidated operating income increased
to$30.2 million . Restructuring and impairment charges reduced this year’s fourth quarter operating income by$41.7 million while impairment charges reduced last year’s fourth quarter operating income by$2.7 million .$25.0 million -
Fourth quarter net income was
per diluted share versus$1.26 per diluted share last year. Restructuring and impairment charges reduced this year’s fourth quarter net income by$0.33 per diluted share whereas impairment charges reduced last year’s fourth quarter net income by$0.08 per diluted share.$0.70
CEO David A. Ciesinski commented, “We were pleased to report gross profit growth of
“The
Fourth Quarter Results
Consolidated net sales decreased
Consolidated gross profit increased
SG&A expenses decreased
Restructuring and impairment charges of
Consolidated operating income increased
Net income increased
Fiscal Year Results
For the fiscal year ended June 30, 2024, net sales increased
Fiscal 2025 Outlook
Mr. Ciesinski commented, “Looking ahead to fiscal 2025, we anticipate Retail segment sales will continue to benefit from volume growth led by our licensing program, including increased sales from the new products, flavors and sizes we introduced in fiscal 2024. We are also excited to share that our partnership with Texas Roadhouse has expanded beyond steak sauces to include their popular dinner rolls, which we introduced with a regional pilot test in June. In addition, we anticipate continued positive sales momentum for our New York BRAND® Bakery frozen garlic bread products in fiscal 2025 driven by the introduction of a great-tasting gluten-free garlic bread, along with volume growth for our Marzetti® refrigerated dressings. In the Foodservice segment, we expect sales volume to be led by growth from select quick-service restaurant customers in our mix of national chain restaurant accounts, while external factors, including
Conference Call on the Web
The company’s fourth quarter and fiscal year-end conference call is scheduled for this morning, August 22, at 10:00 a.m. ET. Access to a live webcast of the call is available through a link on the company’s Internet home page at www.lancastercolony.com. A replay of the webcast will also be made available on the company’s website.
About the Company
Lancaster Colony Corporation is a manufacturer and marketer of specialty food products for the retail and foodservice channels.
Forward-Looking Statements
We desire to take advantage of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995 (the “PSLRA”). This news release contains various “forward-looking statements” within the meaning of the PSLRA and other applicable securities laws. Such statements can be identified by the use of the forward-looking words “anticipate,” “estimate,” “project,” “believe,” “intend,” “plan,” “expect,” “hope” or similar words. These statements discuss future expectations; contain projections regarding future developments, operations or financial conditions; or state other forward-looking information. Such statements are based upon assumptions and assessments made by us in light of our experience and perception of historical trends, current conditions, expected future developments; and other factors we believe to be appropriate. These forward-looking statements involve various important risks, uncertainties and other factors, many of which are beyond our control, which could cause our actual results to differ materially from those expressed in the forward-looking statements. Some of the key factors that could cause actual results to differ materially from those expressed in the forward-looking statements include:
- efficiencies in plant operations and our overall supply chain network;
- price and product competition;
- changes in demand for our products, which may result from changes in consumer behavior or loss of brand reputation or customer goodwill;
- the impact of customer store brands on our branded retail volumes;
- adequate supply of labor for our manufacturing facilities;
- stability of labor relations;
- adverse changes in freight, energy or other costs of producing, distributing or transporting our products;
- the reaction of customers or consumers to pricing actions we take to offset inflationary costs;
- inflationary pressures resulting in higher input costs;
- fluctuations in the cost and availability of ingredients and packaging;
- capacity constraints that may affect our ability to meet demand or may increase our costs;
- dependence on contract manufacturers, distributors and freight transporters, including their operational capacity and financial strength in continuing to support our business;
- the impact of any regulatory matters affecting our food business, including any additional requirements imposed by the FDA or any state or local government;
- dependence on key personnel and changes in key personnel;
- cyber-security incidents, information technology disruptions, and data breaches;
- the potential for loss of larger programs or key customer relationships;
- failure to maintain or renew license agreements;
- geopolitical events that could create unforeseen business disruptions and impact the cost or availability of raw materials and energy;
- significant shifts in consumer demand and disruptions to our employees, communities, customers, supply chains, production planning, operations, and production processes resulting from the impacts of epidemics, pandemics or similar widespread public health concerns and disease outbreaks;
- the possible occurrence of product recalls or other defective or mislabeled product costs;
- the success and cost of new product development efforts;
- the lack of market acceptance of new products;
- the extent to which good-fitting business acquisitions are identified, acceptably integrated, and achieve operational and financial performance objectives;
- the effect of consolidation of customers within key market channels;
- maintenance of competitive position with respect to other manufacturers;
- the outcome of any litigation or arbitration;
- changes in estimates in critical accounting judgments;
- the impact of fluctuations in our pension plan asset values on funding levels, contributions required and benefit costs; and
- risks related to other factors described under “Risk Factors” in other reports and statements filed by us with the Securities and Exchange Commission, including without limitation our Annual Report on Form 10-K and Quarterly Reports on Form 10-Q (available at www.sec.gov).
Forward-looking statements speak only as of the date they are made, and we undertake no obligation to update such forward-looking statements, except as required by law. Management believes these forward-looking statements to be reasonable; however, you should not place undue reliance on statements that are based on current expectations.
LANCASTER COLONY CORPORATION |
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CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited) |
|||||||||||
(In thousands except per-share amounts) |
|||||||||||
|
|
|
|
||||||||
|
Three Months Ended
|
|
Fiscal Year Ended
|
||||||||
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||
Net sales |
$ |
452,825 |
|
$ |
454,661 |
|
$ |
1,871,759 |
|
$ |
1,822,527 |
Cost of sales |
|
355,207 |
|
|
361,487 |
|
|
1,439,457 |
|
|
1,433,959 |
Gross profit |
|
97,618 |
|
|
93,174 |
|
|
432,302 |
|
|
388,568 |
Selling, general & administrative expenses |
|
53,193 |
|
|
56,730 |
|
|
218,065 |
|
|
222,091 |
Restructuring and impairment charges |
|
2,737 |
|
|
24,969 |
|
|
14,874 |
|
|
24,969 |
Operating income |
|
41,688 |
|
|
11,475 |
|
|
199,363 |
|
|
141,508 |
Other, net |
|
2,122 |
|
|
974 |
|
|
6,152 |
|
|
1,789 |
Income before income taxes |
|
43,810 |
|
|
12,449 |
|
|
205,515 |
|
|
143,297 |
Taxes based on income |
|
8,982 |
|
|
3,283 |
|
|
46,902 |
|
|
32,011 |
Net income |
$ |
34,828 |
|
$ |
9,166 |
|
$ |
158,613 |
|
$ |
111,286 |
|
|
|
|
|
|
|
|
||||
Net income per common share: (a) |
|
|
|
|
|
|
|
||||
Basic |
$ |
1.27 |
|
$ |
0.33 |
|
$ |
5.77 |
|
$ |
4.04 |
Diluted |
$ |
1.26 |
|
$ |
0.33 |
|
$ |
5.76 |
|
$ |
4.04 |
|
|
|
|
|
|
|
|
||||
Cash dividends per common share |
$ |
0.90 |
|
$ |
0.85 |
|
$ |
3.55 |
|
$ |
3.35 |
|
|
|
|
|
|
|
|
||||
Weighted average common shares outstanding: |
|
|
|
|
|
|
|
||||
Basic |
|
27,447 |
|
|
27,461 |
|
|
27,440 |
|
|
27,462 |
Diluted |
|
27,482 |
|
|
27,490 |
|
|
27,461 |
|
|
27,482 |
(a) Based on the weighted average number of shares outstanding during each period. | |||||||||||
LANCASTER COLONY CORPORATION |
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BUSINESS SEGMENT INFORMATION (Unaudited) |
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(In thousands) |
|||||||||||||||
|
Three Months Ended
|
|
Fiscal Year Ended
|
||||||||||||
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||||
NET SALES |
|
|
|
|
|
|
|
||||||||
Retail |
$ |
234,194 |
|
|
$ |
236,183 |
|
|
$ |
988,424 |
|
|
$ |
965,370 |
|
Foodservice |
|
218,631 |
|
|
|
218,478 |
|
|
|
883,335 |
|
|
|
857,157 |
|
Total Net Sales |
$ |
452,825 |
|
|
$ |
454,661 |
|
|
$ |
1,871,759 |
|
|
$ |
1,822,527 |
|
|
|
|
|
|
|
|
|
||||||||
OPERATING INCOME |
|
|
|
|
|
|
|
||||||||
Retail |
$ |
47,702 |
|
|
$ |
10,269 |
|
|
$ |
207,660 |
|
|
$ |
139,464 |
|
Foodservice |
|
18,982 |
|
|
|
25,319 |
|
|
|
97,094 |
|
|
|
106,349 |
|
Nonallocated Restructuring and Impairment Charges |
|
(2,737 |
) |
|
|
— |
|
|
|
(14,874 |
) |
|
|
— |
|
Corporate Expenses |
|
(22,259 |
) |
|
|
(24,113 |
) |
|
|
(90,517 |
) |
|
|
(104,305 |
) |
Total Operating Income |
$ |
41,688 |
|
|
$ |
11,475 |
|
|
$ |
199,363 |
|
|
$ |
141,508 |
|
LANCASTER COLONY CORPORATION |
|||||
CONDENSED CONSOLIDATED BALANCE SHEETS (Unaudited) |
|||||
(In thousands) |
|||||
|
|
|
|
||
|
June 30,
|
|
June 30,
|
||
ASSETS |
|
|
|
||
Current assets: |
|
|
|
||
Cash and equivalents |
$ |
163,443 |
|
$ |
88,473 |
Receivables |
|
95,560 |
|
|
114,967 |
Inventories |
|
173,252 |
|
|
158,265 |
Other current assets |
|
11,738 |
|
|
12,758 |
Total current assets |
|
443,993 |
|
|
374,463 |
Net property, plant and equipment |
|
477,696 |
|
|
482,206 |
Other assets |
|
285,242 |
|
|
256,325 |
Total assets |
$ |
1,206,931 |
|
$ |
1,112,994 |
LIABILITIES AND SHAREHOLDERS’ EQUITY |
|||||
Current liabilities: |
|
|
|
||
Accounts payable |
$ |
118,811 |
|
$ |
111,758 |
Accrued liabilities |
|
65,158 |
|
|
56,994 |
Total current liabilities |
|
183,969 |
|
|
168,752 |
Noncurrent liabilities and deferred income taxes |
|
97,190 |
|
|
81,975 |
Shareholders’ equity |
|
925,772 |
|
|
862,267 |
Total liabilities and shareholders’ equity |
$ |
1,206,931 |
|
$ |
1,112,994 |
View source version on businesswire.com: https://www.businesswire.com/news/home/20240821150384/en/
Dale N. Ganobsik
Vice President, Corporate Finance and Investor Relations
Lancaster Colony Corporation
Phone: 614/224-7141
Email: ir@lancastercolony.com
Source: Lancaster Colony Corporation
FAQ
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