Printer Friendly

F&M RELEASES SECOND-QUARTER EARNINGS

 WARREN, Mich., Aug. 24 /PRNewswire/ -- F&M Distributors, Inc. (NASDAQ-NMS: FMDD) announced today its earnings for the second quarter and six months ended July 31, 1993.
 Earnings for the second quarter of fiscal 1994 were $1.3 million or $.14 per share, in line with the company's previously announced earnings expectations for the quarter. Second-quarter earnings are equal to the first-quarter results of $.14 per share and represent a decrease from the $2.2 million or $.23 per share earned in the comparable second quarter of the prior year. Sales for the second quarter were $178.7 million as compared to $182.3 million in the prior year.
 For the six months ended July 31, 1993, earnings were $2.7 million or $.28 per share as compared to $3.6 million or $.37 per share during the comparable period in the prior year. Sales during the first six months of fiscal 1994 were $353.3 million as compared to $359.3 million in the prior year.
 Earnings and earnings per share for the comparable periods in the prior year are stated on a pro forma basis reflecting the public offering of the company's common stock on Sept. 24, 1992 and its conversion from an S corporation to a C corporation at that date for federal income tax purposes.
 Earl Weissert, chief executive officer, noting that the company's total sales had declined 2 percent from the comparable periods in the prior year, commented that general poor economic conditions coupled with noncomparable promotional programs between years has resulted in lower sales levels. However, the company has been able to maintain its gross margins as a percentage of sales and continues to contain expenses which declined on a per-store basis in the second quarter.
 F&M Distributors currently operates 116 F&M deep discount superstores in 10 states, offering a wide selection of branded health and beauty aids, cosmetics and fragrances and household supplies at everyday low prices. In addition, the company operates three PartiGiant deep discount party supply superstores in Michigan.
 F & M DISTRIBUTORS, INC.
 CONDENSED STATEMENTS OF INCOME


(Dollars in thousands, except share and per-share amounts; unaudited)
 Second quarter ended, Six months ended,
 July 31, Aug. 1, July 31, Aug. 1,
 1993 1992 1993 1992
 Financial data:
 Net sales $178,726 $182,279 $353,301 $359,265
 Cost of sales and
 occupancy expenses 145,155 147,841 286,748 293,621
 Gross profit 33,751 34,438 66,553 65,644
 18.9 pct 18.9 pct 18.8 pct 18.3 pct
 Selling, general and
 administrative
 expenses 28,986 28,657 57,160 55,709
 16.2 pct 15.7 pct 16.2 pct 15.5 pct
 Operating income 4,585 5,781 9,393 9,935
 2.7 pct 3.2 pct 2.6 pct 2.8 pct
 Interest expense,
 net (2,482) (2,394) (5,102) (4,544)
 (1.5 pct) (1.3 pct) (1.4 pct) (1.3 pct)
 Earnings before
 provision for
 income taxes 2,103 3,387 4,291 5,391
 1.2 pct 1.9 pct 1.2 pct 1.5 pct
 Pro forma
 adjustments(a) --- 78 --- 253
 Earnings before
 provision for income
 taxes(a) 2,103 3,465 4,291 5,644
 1.2 pct 1.9 pct 1.2 pct 1.6 pct
 Provision for
 income taxes(a) 777 1,282 1,587 2,088
 Net income $1,326 $2,183 $2,704 $3,556
 Net income per
 common share(a) $0.14 $0.23 $0.28 $0.37
 Weighted average
 common shares
 outstanding (a) 9,614,799 --- 9,617,054 ---
 Selected Data:
 Beginning store count 118 113 118 108
 New store openings 2 0 1 5
 Store closings (1) 0 0 0
 119 113 119 113
 Total selling
 square footage 2,372,287 2,203,118 --- ---
 Capital expenditures,
 net $1,474 $1,747 $3,170 $5,025
 Depreciation and
 amortization $1,756 &1,803 $3,484 $3,500
 (a) The quarter and six months ended Aug. 1, 1992, reflects pro forma adjustments for a reduction in interest income and interest expense as a result of the company's initial public offering, income taxes at 37 percent and 9,619,310 shares of common stock outstanding.
 -0- 8/24/93
 /CONTACT: Laura Kendall, CFO/Senior Vice President of F&M Distributors, 313-758-1400, Ext. 251/
 (FMDD)


CO: F&M Distributors, Inc. ST: Michigan IN: REA SU: ERN

ML -- DE005 -- 5362 08/24/93 09:40 EDT
COPYRIGHT 1993 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1993 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Aug 24, 1993
Words:742
Previous Article:LUCAS WINS $1 MILLION CONTRACT FROM JETSTREAM LIMITED
Next Article:CELLEX BIOSCIENCES HOLDS ANNUAL MEETING OF SHAREHOLDERS; UPDATES INVESTMENT COMMUNITY ON RECENT DEVELOPMENTS
Topics:

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters