Business
Ingles Markets, Incorporated Reports Sales and Net Income for Second Quarter and First Six Months of Fiscal 2020
ASHEVILLE, N.C.--(BUSINESS WIRE)-- Ingles Markets, Incorporated (NASDAQ: IMKTA) today reported increased sales and pretax income for the three and six months
About this update from Ingles Markets, Incorporated
[{"type":"text","content":" ASHEVILLE, N.C.--(BUSINESS WIRE)--\nIngles Markets, Incorporated (NASDAQ: IMKTA) today reported increased sales and pretax income for the three and six months ended March 28, 2020.\n\n\nThe coronavirus (COVID-19) pandemic was declared a national emergency on March 13, 2020 and the Company was classified as an essential business. At this time the Company cannot predict the impact of the pandemic on future periods.\n\n\nRobert P. Ingle II, Chairman of the Board, stated, “We are very appreciative of all our store and warehouse associates that have continued to serve our customers during the COVID-19 pandemic. We remain focused on our tremendous obligation to provide food and other products during this unprecedented time.”\n\n\nSecond Quarter Results\n\n\nSecond quarter fiscal 2020 net sales totaled $1.14 billion compared with $1.00 billion for the second quarter of fiscal 2019. Retail comparable store sales, excluding gasoline increased 17.5%.\n\n\nGross profit for the March 2020 quarter totaled $291.6 million, or 25.5% of sales. Gross profit for the March 2019 quarter was $244.3 million, or 24.4% of sales.\n\n\nOperating and administrative expenses for the March 2020 quarter totaled $228.4 million, compared with $216.5 million for the March 2019 quarter. Increased labor and personnel costs accounted for most of the increase.\n\n\nOver the past twelve months, the Company has paid down debt and refinanced certain debt at lower interest rates. Interest expense totaled $10.2 million for the three-month period ended March 28, 2020, and $12.0 million for the three-month period ended March 30, 2019. Total debt at the end of March 2020 was $842.1 million, compared with $857.5 million at the end of March 2019.\n\n\nThe Company’s effective tax rate was 24.4% for the March 2020 quarter, compared with 21.9% for the March 2019 quarter.\n\n\nNet income totaled $40.3 million for the three-month period ended March 28, 2020, compared with $15.0 million for the three-month period ended March 30, 2019. Basic and diluted earnings per share for Class A Common Stock were $2.04 and $1.99, respectively, for the quarter ended March 28, 2020, compared with $0.76 and $0.74, respectively, for the quarter ended March 30, 2019. Basic and diluted earnings per share for Class B Common Stock were $1.86 for the quarter ended March 28, 2020, and $0.69 for the quar...