INDIANAPOLIS, Aug. 7, 2001 (PRIMEZONE) -- Marsh Supermarkets, Inc. (Nasdaq:MARSA) (Nasdaq:MARSB) reports results of operations for the 12 weeks ended June 23, 2001.
Sales and other revenues for the first quarter were $437,674,000 compared to $436,609,000 last year. Revenues in retail businesses increased $33,100,000, or 9.7% above last year's comparable quarter, but wholesale distribution sales were $32,000,000 below last year. Retail sales in comparable stores increased 2.7% -- an improvement from the 1.2% reported last quarter.
First quarter operating income was $11,314,000 compared to $10,971,000 last year, a 3.1% increase. "Our comparable store sales growth demonstrates our ability to succeed in a highly competitive retail market," said Don E. Marsh, Chairman and Chief Executive Officer. "We are aggressively pursuing potential new customers in order to improve our returns in our wholesale business."
Net income for the quarter was $3,911,000 compared to $3,477,000 last year, a 12.5% increase. As a percentage of revenues, net income improved to 0.9% -- up from 0.8% in last year's comparable quarter. Diluted earnings per common share were $0.44 compared to $0.38 last year.
During the first quarter, the Company opened one new Village Pantry convenience store and three replacement stores -- a Marsh supermarket, a LoBill Foods, and a Village Pantry. Crystal Food Services also opened a new banquet facility. Two Marsh supermarkets were converted to LoBill Foods and three other locations were converted after quarter end.
Marsh is a leading regional chain operating 67 Marsh(r) and 32 LoBill Foods(r) supermarkets, 188 Village Pantry(r) convenience stores and 2 Savin*$(r) limited selection every day low price stores, in central Indiana and western Ohio. The Company also operates Convenience Store Distributing Company(r), a wholesale distributor serving 960 non-affiliated stores in seven states, Crystal Food Services(r), a specialist in catering, business cafeteria management, vending and concessions, and McNamara(r) Florist and Enflora -- Flowers for Business(r), the leading upscale traditional florist in Indianapolis.
MARSH SUPERMARKETS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
(in thousands except per share amounts)
(Unaudited)
12 Weeks Ended
June 23, June 24,
2001 2000
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Sales and other revenues $437,674 $436,609
Cost of merchandise sold, including
warehousing and transportation 322,800 329,769
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Gross profit 114,874 106,840
Selling, general and administrative 98,633 89,774
Depreciation 4,927 6,096
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Operating income 11,314 10,970
Interest and debt expense 5,410 5,771
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Income before income taxes 5,904 5,199
Income taxes 1,993 1,722
-------- --------
Net income $ 3,911 $ 3,477
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Basic earnings per common share $ .49 $ .42
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Diluted earnings per common share $ .44 $ .38
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Dividends per share $ .11 $ .11
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MARSH SUPERMARKETS, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(in thousands)
June 23, June 24,
2001 2000
--------- ---------
(Unaudited)
Assets
Current assets:
Cash and equivalents $ 30,383 $ 38,813
Accounts receivable 49,619 45,694
Inventories, less LIFO reserve;
June 23, 2001 - $8,678;
June 24, 2000 - $8,418 134,892 125,376
Prepaid expenses 7,018 5,203
Recoverable income taxes -- 598
--------- ---------
Total current assets 221,912 215,684
Property and equipment, less
allowances for depreciation 312,005 303,179
Other assets 61,087 61,755
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$ 595,004 $ 580,618
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Liabilities and Shareholders' Equity
Current liabilities:
Notes payable to bank $ 1,100 $ 3,880
Accounts payable 90,764 80,120
Accrued liabilities 51,832 49,108
Current maturities of
long-term liabilities 2,413 3,344
--------- ---------
Total current liabilities 146,109 136,452
Long-term liabilities:
Long-term debt 259,157 265,446
Capital lease obligations 15,415 14,156
--------- ---------
Total long-term
liabilities 274,572 279,602
Deferred items:
Income taxes 13,222 12,794
Other 21,233 16,591
--------- ---------
Total deferred items 34,455 29,385
Shareholders' Equity:
Common stock, Classes A and B 26,148 25,459
Retained earnings 128,679 119,927
Cost of common stock in
treasury (13,263) (8,352)
Deferred cost - restricted
stock (655) (1,379)
Notes receivable -
stock options (1,041) (476)
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Total shareholders'
equity 139,868 135,179
--------- ---------
$ 595,004 $ 580,618
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