Printer Friendly

A&W BRANDS REPORTS RECORD FOURTH QUARTER EARNINGS

 A&W BRANDS REPORTS RECORD FOURTH QUARTER EARNINGS
 WHITE PLAINS, N.Y., Jan. 23 /PRNewswire/ -- A&W Brands, Inc.


(NASDAQ: SODA) today announced record fourth quarter net earnings of $4,382,000 or $.48 per share, on net sales of $27,161,000 for the three- month period ended December 31, 1991. In the fourth quarter of 1990, A&W reported net earnings of $3,879,000 or $.43 per share before extraordinary charges of $.13 per share, on net sales of $24,007,000. Net earnings after extraordinary charges were $2,693,000 or $.30 per share. Operating cash flow for the fourth quarter of 1991 was $8,280,000 compared with $7,928,000 in the fourth quarter of last year.
 For the full year 1991, A&W reported net earnings of $13,996,000 or $1.53 per share, on net sales of $123,099,000. For the full year 1990, A&W reported net income of $12,661,000 or $1.39 per share before extraordinary charges, on net sales of $118,623,000.
 Net earnings after extraordinary charges were $11,475,000 or $1.26 per share. Operating cash flow for the full year 1991 was $28,220,000 compared with $29,160,000 in 1990.
 "1991 was a solid year for A&W," said M.L. Lowenkron, chairman and chief executive officer, "with fourth quarter earnings the highest in the company's history. Net earnings in the quarter, before and after prior year's extraordinary charges, were up 13 percent and 63 percent, respectively. Our full year 1991 results were also impressive as net earnings before and after prior year's extraordinary charges, were up 11 percent and 22 percent, respectively."
 Lowenkron continued, "After a very soft first quarter, our domestic unit sales averaged 5 percent growth over the next three quarters, with the fourth quarter being particularly strong at 9 percent, resulting in a total year unit growth of 2 percent. International shipments declined 5 percent in 1991 primarily due to the severe recession in Canada; however, fourth quarter shipments were 43 percent higher. It is notable that despite recessionary pressures, our latest quarterly unit sales trends were strong and set the stage for what we are confident will be another record year in 1992."
 "We clearly demonstrated our ability," Lowenkron added, "to continue our positive sales momentum through aggressive marketing of our brands, resulting in record-setting sales and earnings in 1991."
 "We accomplished a number of financial milestones in 1991," Lowenkron said, "that continue to strengthen our balance sheet and enhance shareholder value. In the first quarter we initiated payment of a regular quarterly dividend and in the second quarter we repaid the final balance on our 12-3/4 percent subordinates notes five years ahead of schedule. Our net cash flow after dividend payments enabled us to reduce debt by $15,345,000. These financial achievements are attributable to A&W's solid operating results and strong cash flows."
 Lowenkron concluded, "A&W's 1991 financial results clearly demonstrate the strength of our core businesses. All our brands are leaders in their flavor categories and well positioned for solid growth in 1992. To support this growth, we have planned an exciting array of creative marketing programs, tailored to each brand. Our goal remains to improve shareholder value through profitable growth in our existing businesses and to continue to seek opportunities to acquire or license products that fit within our business strategies."
 A&W Brands, Inc., headquartered in White Plains, markets nine soft drinks in five flavor categories. The brands include A&W Root Beer, diet A&W Root Beer, A&W Cream Soda, diet A&W Cream Soda, Squirt, Diet Squirt, Vernors, diet Vernors and Country Time Lemonade in ready-to- drink form.
 A&W BRANDS, INC.
 Actual Operating Results
 (in thousands, except per share data -- unaudited)
 Oct. 1 to Jan. 1 to
 Dec. 31 Dec. 31
 Fourth quarter Twelve months
 1991 1990 1991 1990
 Net Sales $27,161 $24,007 $123,099 $118,623
 Cost of Sales 4,347 4,387 21,081 22,545
 Gross Profit 22,814 19,620 102,018 96,078
 Marketing Expenses 12,500 9,498 63,704 56,813
 Gen. & Admin. 2,224 2,347 10,847 10,706
 Amort. of Intangibles 788 890 3,155 3,831
 Total Operating
 Expenses 15,512 12,735 77,706 71,350
 Operating Income 7,302 6,885 24,312 24,728
 Interest Expense 193 579 1,456 3,320
 Other (Inc.) Exp., Net 29 (84) (59) 550
 Earnings Before Taxes and
 Extraordinary Charge 7,080 6,390 22,915 20,858
 Income Taxes Before
 Extraordinary Charge 2,698 2,511 8,919 8,197
 Net Earnings Before
 Extraord. Charge 4,382 3,879 13,996 12,661
 Extraord. Charge -
 Premium on Notes Retired
 (After Tax) -- (1,186) -- (1,186)
 Net Earnings 4,382 2,693 13,996 11,475
 Preferred Stock Divs. -- -- -- 60
 Net Income Available to
 Common Shareholders $ 4,382 $ 2,693 $13,996 $ 11,415
 Net Inc. Before Extraord.
 Charge per
 Common Share $ 0.48 $ 0.43 $ 1.53 $ 1.39
 Net Inc. After Extraord.
 Charge per
 Common Share $ 0.48 $ 0.30 $ 1.53 $ 1.26
 Average Common Shares
 Outstanding 9,188 9,098 9,165 9,079
 Operating Cash Flow:
 Operating Income $ 7,302 $ 6,885 $24,312 $ 24,728
 Amortization 788 890 3,155 3,831
 Depreciation 190 153 753 601
 Operating Cash Flow $ 8,280 $ 7,928 $28,220 $ 29,160
 -0- 1/23/92
 /CONTACT: Ernest J. Cavallo of A&W Brands, 914-397-1700/
 (SODA) CO: A&W Brands Inc. ST: New York IN: FOD SU: ERN SH -- NY017 -- 2641 01/23/92 09:13 EST
COPYRIGHT 1992 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1992 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Jan 23, 1992
Words:949
Previous Article:CHICAGO BOARD OPTIONS EXCHANGE INITIATES TRADING IN OPTIONS FOR RIBI COMMON STOCK
Next Article:AMERICAN PRESIDENT COMPANIES ANNOUNCES FINANCIAL RESULTS FOR 1991
Topics:


Related Articles
HELENE CURTIS REPORTS RECORD SALES OF $1.02 BILLION AND RECORD EARNINGS PER SHARE OF $2.04 FOR FISCAL YEAR '92
A&W BRANDS ANNOUNCES A STOCK SPLIT AND A STOCK REPURCHASE PROGRAM AND COMMENTS ON FOURTH QUARTER RESULTS
A&W BRANDS, INC. REPORTS RECORD FOURTH QUARTER EARNINGS
WEIRTON STEEL CORPORATION REPORTS EARNINGS
THE PROMUS COMPANIES REPORTS RECORD YEAR AND FOURTH QUARTER
DEL LABORATORIES, INC. REPORTS RESULTS FOR YEAR, FOURTH QUARTER
DEL LABORATORIES REPORTS RESULTS
Astronics Corporation Reports Record Results for 1996
Dean Foods Reports Record Sales and Earnings for The Fourth Quarter and Fiscal Year
Masco Corporation Expects to Report Record Earnings for 1997

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