For the second quarter ended June 30, 2001, Vita Food Products, Inc. (Amex: VSF) yesterday announced net income of $53,000, or $0.01 per share, compared with a net loss of $110,000 or $0.03 per share in the second quarter of 2000, an improvement of $163,000 or $0.04 per share. The increase in quarterly earnings was due primarily to increased sales through targeted promotional programs and margin improvement.
Net sales for the second quarter were $5.0 million, compared with $4.8 million in the second quarter of 2000. Sales of salmon products increased 5% and sales of herring products increased 3% in the quarter.
Go deeper with GlobalData
Gross margin for the quarter increased to 30.6% from 26.5% in the prior year. The operating expense margin remained flat at 28%. The resulting operating profit improvement was $203,000.
“Vita again has executed in delivering improved results. This is our third quarter in a row and eleven of the last twelve that have shown profit improvement over the prior year. These are results to get excited about. We are building momentum prior to the closing of our acquisition of the Virginia Honey Company, Inc., which is scheduled for completion this month. The management team is very focused on strengthening the Vita brand name and implementing our strategy to grow Virginia Honey,” said Stephen Rubin, President. “With the healthy results of Vita and the pending acquisition, we remain positive regarding our outlook for the fiscal year.”
Six-Months Results
For the six months ended June 30, 2001, Vita had net income of $112,000, or $0.03 per share, compared with a net loss of $67,000, or $0.02 per share for the six months ended June 30, 2000. The profit improvement was primarily due to increased net sales and margin improvement.
How well do you really know your competitors?
Access the most comprehensive Company Profiles on the market, powered by GlobalData. Save hours of research. Gain competitive edge.
Thank you!
Your download email will arrive shortly
Not ready to buy yet? Download a free sample
We are confident about the unique quality of our Company Profiles. However, we want you to make the most beneficial decision for your business, so we offer a free sample that you can download by submitting the below form
By GlobalDataOn June 29, 2001 the company entered into a definitive Stock Purchase Agreement to acquire all of the outstanding shares of capital stock of Virginia Honey Company, Inc. from Terry W. Hess. Virginia Honey is a manufacturer and distributor of honey, salad dressings, including its’ award- winning Vidalia® Onion Vinegarette salad dressing, sauces, jams & jellies, and gift baskets. Virginia Honey operates two manufacturing facilities in Inwood, West Virginia and Berryville, Virginia. Simultaneously with the Agreement, Terry W. Hess has entered into an employment agreement to serve as the Chief Executive Officer of Virginia Honey.
This release contains forward-looking statements about the Company’s future growth, profitability and competitive position. Any such statements are subject to risks and uncertainties, including changes in economic and market conditions, industry competition, raw material prices, the success of new product introductions, management of growth and other risks noted in the Company’s filings with the Securities and Exchange Commission. Readers are cautioned not to place undue reliance on forward-looking statements, which reflect management’s analysis only as of the date hereof.
Vita Food Products, Inc. is the U.S. leader in the herring and retail packaged salmon markets, and is engaged in several other food segments, including cream cheese, cocktail sauce and horseradish. More than 95% of Vita’s sales are in kosher foods. Vita’s common stock is currently traded on the American Stock Exchange and Chicago Stock Exchange under the ticker symbol VSF.
Statements of Operations Vita Food Products, Inc.
for three months ended for six months ended
June 30, June 30,
2001 2000 2001 2000
(Unaudited) (Unaudited) (Unaudited) (Unaudited)
Net Sales $5,026,645 $4,757,217 $11,246,397 $10,975,620
Cost of Goods Sold 3,487,874 3,496,719 8,014,908 $8,016,578
Gross Margin 1,538,771 1,260,498 3,231,489 2,959,042
Selling and
Administrative Expenses
Selling, Marketing &
Distribution 890,381 900,711 1,894,000 $1,956,781
Administrative 518,987 433,147 1,036,598 $952,626
Total 1,409,368 1,333,858 2,930,598 2,909,407
Operating Profit (Loss) 129,403 (73,360) 300,891 49,635
Interest Expense 76,169 89,026 189,042 190,133
Income (Loss) before
Income Tax Expense
(Benefit) 53,234 (162,386) 111,849 (140,498)
Income Tax Expense
(Benefit) 0 (51,984) 0 (73,984)
Net Income (Loss) $53,234 ($110,402) $111,849 ($66,514)
Basic Earnings (Loss)
Per Share $0.01 ($0.03) $0.03 ($0.02)
Weighted Average Common
Shares Outstanding 3,724,546 3,712,471 3,724,546 3,712,471
Diluted Earnings (Loss)
Per Share $0.01 ($0.03) $0.03 ($0.02)
Weighted Average Common
Shares Outstanding 3,746,010 3,712,471 3,737,590 3,712,471
