Flowers Foods, the nation's second-largest producer and marketer of fresh packaged bakery foods, reported results for its 16-week first quarter ended April 19, 2014.
First quarter sales increased 2.6% compared to the first quarter last year, reflecting positive net price/mix of 2.9%, an acquisition contribution of 1.2%, partially offset by decreased volume of 1.5%.
Net income for the quarter was $61.1 million, or $0.29 per diluted share, including the negative impact of $0.03 per share of acquired facilities' carrying costs and interest expense to fund the acquisition.
Sales of the reintroduced Hostess bread brands Wonder, Home Pride, Merita, and Butternut were approximately $41.8 million in the quarter.
Increased Flowers' bread, bun, and roll branded market share to 14.1 dollar share from 12.8 dollar share in the year-ago quarter, as per IRi market data.
Announced goal for direct-store-delivery ("DSD") segment to reach 90% of the U.S. population by 2018 and achieve a 20 share of bread, buns, and rolls and a 12 share in snack cake in the IRi U.S. market, driven by market expansion and future strategic acquisitions.
Allen L. Shiver, president and chief executive officer, said, "The results reported for the quarter reflect the underlying strength of our company. The DSD segment delivered solid sales growth and operating results, despite added costs associated with the Hostess acquisition, start-up of added production capacity, and new market expansion."
