Business
The Simply Good Foods Company Increases Share Repurchase Authorization
DENVER, April 13, 2022 (GLOBE NEWSWIRE) -- The Simply Good Foods Company (Nasdaq: SMPL) (“Simply Good Foods” or the “Company”), a developer, marketer and
About this update from The Simply Good Foods Company
[{"type":"text","content":"DENVER, April 13, 2022 (GLOBE NEWSWIRE) -- The Simply Good Foods Company (Nasdaq: SMPL) (“Simply Good Foods” or the “Company”), a developer, marketer and seller of branded nutritional foods and snacking products, today announced that its Board of Directors has approved the addition of $50 million to its existing stock repurchase program, which was first adopted in November 2018. As of April 13, 2022, an aggregate of approximately $76.2 million is available under Company’s stock repurchase authorization. The Company will remain focused on organic growth and value enhancing M&A opportunities and intends to continue to prioritize use of its cash for these purposes. The primary goal of the repurchase program is to allow the Company to opportunistically repurchase its shares to reduce its outstanding share count. The Company continues to generate steady cash flow and has a strong balance sheet. As of the second fiscal quarter ended February 26, 2022, the Company had cash and cash equivalents of $51.5 million and anticipates its full year fiscal 2022 cash flow from operations to be about the same as last year. At the end of the second quarter, the outstanding principal balance of the Company's term loan debt was $431.5 million and the trailing twelve-month Net Debt to Adjusted EBITDA ratio was 1.6x. “This stock repurchase program reflects our confidence in Simply Good Foods marketplace position and long-term growth potential,\" said Todd E. Cunfer, Chief Financial Officer. \"We retain the financial flexibility to invest in our business and participate in M&A opportunities to increase long-term shareholder value.\" Under the stock repurchase program, the Company may repurchase shares from time to time in the open market or in privately negotiated transactions. Repurchases may also be made under a Rule 10b5-1 plan, which would permit shares to be repurchased when the Company might otherwise be precluded from doing so under insider trading laws. The timing, volume and nature of stock repurchases, if any, will be at the Company’s sole discretion and will be dependent on market conditions, applicable securities laws, and other factors. The stock repurchase program may be suspended or discontinued at any time. About The Simply Good Foods CompanyThe Simply Good Foods Company (Nasdaq: SMPL), headquartered in Denver, Colorado, is a consumer pa...