Sun-Rype reports Q2 2010 financial results
TSX: SRF
KELOWNA, BC, July 28 /CNW/ - Sun-Rype Products Ltd. (TSX:SRF) ("Sun-Rype" or the "Company") today released its financial results for the quarter ended June 26, 2010.
Financial Highlights
Sun-Rype's net sales in the second quarter of 2010 were $32.1 million compared to $35.4 million in the second quarter of 2009. The Company's net income in the second quarter of 2010 was $1.5 million or $0.14 per share, compared to net income of $2.7 million or $0.25 per share in the second quarter of 2009.
Sun-Rype's net sales in the first half of 2010 were $66.6 million compared to $76.5 million in the first half of 2009. The Company's net income in the first half of 2010 was $1.8 million or $0.16 per share, compared to net income of $5.5 million or $0.51 per share in the first half of 2009.
"Lower sales of both beverage and food products in the first half of 2010 compared to record sales in the first half of 2009, combined with increased investment in marketing contributed to lower earnings in 2010 compared to the same periods in 2009", says Dave McAnerney, President & CEO. "The Company's cash flows in 2010 allowed repayment of $4.8 million of long-term debt and, with this payment, the Company has fully repaid $15 million of long-term debt that was outstanding at June 30, 2008."
Sun-Rype Products Ltd., based in Kelowna, BC, is a manufacturer and marketer of fruit-based juices and snacks. Sun-Rype is a publicly traded Canadian company with its common shares listed on the Toronto Stock Exchange under the symbol SRF.
Additional Information
The foregoing are financial highlights only. The full first quarter interim management's discussion and analysis, financial statements and accompanying notes of Sun-Rype Products Ltd. for the period ended June 26, 2010, are available on the Canadian Securities Administrator's website at www.sedar.com and on the Company's website at www.sunrype.com. Additional information relating to Sun-Rype's operations can be found in the Company's Annual Information Form, filed with all applicable Canadian securities commissions and available for viewing on the Canadian Securities Administrator's website at www.sedar.com and on the Company's website at www.sunrype.com.
Forward Looking Statements
Statements contained in this press release, which are not based on historical fact, including without limitation, statements containing the words "may", "will", "plans", "intends", "expects", "anticipates", "believes", "estimate", "continue" and similar expressions, constitute "forward looking information" within the meaning of applicable Canadian securities laws. Forward looking statements contained in this document may involve, but are not limited to, statements relating to the Company's objectives, priorities, strategies, actions, targets, expectations and outlook. Forward looking statements are necessarily based upon assumptions and predictions with respect to the future, including but not limited to the factors referred to below. As a result, forward looking statements are subject to known and unknown risks, uncertainties and other factors that may cause the actual results, events or developments to be materially different from any future results, events or developments expressed or implied thereby. These risks, uncertainties and other factors include, but are not limited to, changes in the consumer packaged goods industry and external market factors, as well as the factors referred to in the Company's Annual Information Form dated March 4, 2010, and its other filings with the applicable Canadian securities regulatory authorities. In light of these uncertainties, assumptions and risks, readers are cautioned not to place undue reliance on such forward looking statements. Except as required by law, the Company assumes no obligation to update or revise such information to reflect later events or developments.
Sun-Rype Products Ltd.
Statements of Operations and Comprehensive Income
(Unaudited)
(in thousands of dollars, except per share amounts)
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For the quarters ended For the six months ended
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June 26, June 27, June 26, June 27,
2010 2009 2010 2009
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Net sales $ 32,092 $ 35,410 $ 66,557 $ 76,450
Cost of sales 23,279 24,916 49,568 54,552
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Gross profit 8,813 10,494 16,989 21,898
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Expenses
Selling, general,
and administrative 6,552 6,524 14,313 13,295
Amortization 99 135 202 270
Interest 27 119 64 341
Foreign exchange gain (35) (319) (102) (167)
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6,643 6,459 14,477 13,739
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Income before income
taxes 2,170 4,035 2,512 8,159
Income tax expense 621 1,353 711 2,661
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Net income and
comprehensive income $ 1,549 $ 2,682 $ 1,801 $ 5,498
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Earnings per share
Basic and diluted $ 0.14 $ 0.25 $ 0.16 $ 0.51
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%SEDAR: 00001572E
For further information: Don VanderZwaag, CA, Director, Finance & Information Services, Sun-Rype Products Ltd., 1165 Ethel Street, Kelowna, BC, V1Y 2W4, Tel: (250) 860-7973, Fax: (250) 762-3611, [email protected]; or Dave McAnerney, President & Chief Executive Officer, Sun-Rype Products Ltd., 1165 Ethel Street, Kelowna, BC, V1Y 2W4, Tel: (250) 860-7973, Fax: (250) 762-3611, [email protected]; www.sunrype.com
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