Business
The Simply Good Foods Company Reports Fiscal First Quarter 2023 Financial Results and Reaffirms Full Fiscal Year 2023 Net Sales and Adjusted EBITDA Outlook
DENVER, Jan. 05, 2023 (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, Jan. 05, 2023 (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 reported financial results for the thirteen weeks ended November 26, 2022. First Quarter Summary:(1) Net sales increased 7.0%Net income(2) of $35.9 million versus $21.2 millionEarnings per diluted share (“EPS”)(2) of $0.36 versus $0.22Adjusted Diluted EPS(3) of $0.42 versus $0.43Adjusted EBITDA(4) of $60.8 million versus $65.6 million Reaffirm fiscal year 2023 Net Sales and Adjusted EBITDA(4) outlook: Net sales expected to increase slightly greater than the Company’s long-term algorithm of 4-6%, including a headwind of almost 1 percentage point related to the frozen pizza licensingAdjusted EBITDA(4,5) anticipated to increase in line with the net sales growth rate “We are pleased with our fiscal first quarter financial and marketplace results in a challenging cost and operating environment,” said Joseph E. Scalzo, President and Chief Executive Officer of Simply Goods Foods. “Simply Good Foods retail takeaway in the first quarter of fiscal 2023, in the combined measured and unmeasured channels, was solid and increased about 14%, driven by strong retailer programming, new product success and marketing investments that increased household penetration of our brands. As expected, retail takeaway outpaced net sales growth of 7.0%. Ingredient and packaging cost inflation, as well as trade investment, was largely in line with expectations. However, logistics and contract manufacturer costs were greater than estimates. While early, we are seeing signs of an improving outlook related to ingredient and packaging costs in the second half of fiscal year 2023, as such, there is no change to our full year fiscal 2023 gross margin outlook. We believe the Company is uniquely positioned within the nutritional snacking category to succeed in a challenging economic environment and continue to expect that in fiscal year 2023 net sales will increase slightly greater than our 4-6% long-term algorithm and that Adjusted EBITDA will increase in line with the net sales growth rate.” Fiscal First Quarter 2023 Results Net sales increased $19.6 million, or 7.0%, to $300.9 million versus the year ago period. Net price realization was about a 9.8...