Printer Friendly

MEGAFOODS STORES INC. ANNOUNCES SECOND QUARTER EARNINGS

 MESA, Ariz., Aug. 11 /PRNewswire/ -- Megafoods Stores Inc. (NASDAQ: MEGF) today reported increased net income and sales for the second quarter 1993.
 Sales for the second quarter ended July 3, 1993, totaled $92.8 million, compared to $68.2 million during the same quarter last year, an increase of 36 percent. Year-to-date sales increased 42 percent to $184.2 million from $129.4 million in the prior year. Same store sales were flat for the quarter while remaining positive for the first six months of 1993.
 Net income for the quarter increased to $967,000, or $0.11 per share, compared to $239,000, or $0.06 per share, for the same quarter last year. The company reported year-to-date net income of $2,116,000, or $0.25 per share.
 Dean G. Miller, president and chief executive officer, stated, "We are extremely pleased with the second quarter results achieved despite the impact upon earnings resulting from expenses incurred in connection with the proposed Furr's acquisition and the relocation of our Mesa store. We are seeing a rebound in same store sales after a sluggish second quarter. During the first four weeks of the third quarter, same store sales increased 1.5 percent."
 Miller also commented upon the company's just completed acquisition of 15 San Antonio stores, stating, "We are excited about the acquisition of these stores, but the consequence of opening 15 additional stores, on top of the 10-12 stores already scheduled for opening this year, will result in a significant impact on third and fourth quarter earnings. The pre-opening and post-opening costs associated with 25-27 new stores, on an existing base of 23, will have a dramatic effect on short-term earnings." Miller said he is confident that these stores will provide a strong base for 1994 growth.
 The company will hold an investors teleconference hosted by Miller and Jack Walker, chief financial officer, on Thursday, Aug. 12, 1993.
 MEGAFOODS STORES INC.
 Financial Summary
 (In thousands, except per share amounts)
 13 weeks ended 26 weeks ended
 July 3, June 27, July 3, June 27,
 1993 1992 1993 1992
 Sales $92,809 $68,226 $184,210 $129,390
 Gross profit 15,490 10,841 30,786 20,224
 Net income (loss) 967 239 2,116 (341)
 Net income (loss)
 per share 0.11 0.06 0.25 (0.09)
 Weighted average
 number of shares
 outstanding 8,466 4,000 8,456 4,000
 -0- 8/11/93
 /CONTACT: Jack J. Walker, CFO, 602-957-3152, or Sondra L. Mize, investor relations, 602-545-3235, both of Megafoods Stores/
 (MEGF)


CO: Megafoods Stores Inc. ST: Arizona IN: REA SU: ERN

JL-LM -- LA040 -- 1928 08/11/93 19:49 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 11, 1993
Words:443
Previous Article:UNISEA TO BEGIN PROCESSING SEAFOOD IN PRIBILOFS
Next Article:BARRETT BUSINESS SERVICES EARNINGS
Topics:

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