Pinnacle Foods Inc. Reports Q4 and Full-Year 2013 Results at the Top of its Guidance Range
Company Expects Another Year of Double-Digit EPS Growth in 2014
Parsippany, NJ, March 6, 2014 - Pinnacle Foods Inc. (NYSE: PF) today reported double-digit growth in net earnings for both the fourth quarter and full year of fiscal 2013 ended December 29, 2013, achieving the top of its EPS guidance range. The Company also provided its outlook for fiscal 2014, calling for another year of double-digit growth in net earnings and EPS.
Highlights of 2013 include:
Grew consolidated net sales by approximately 0.6% and North America Retail net sales by 2.1%, excluding the impact of a 53rd week in 2012
Expanded adjusted gross margin by 190 basis points through continued strong productivity and favorable product mix
Delivered double-digit growth in EBIT and grew Adjusted EBITDA to $460 million, excluding items affecting comparability
Grew pro forma diluted EPS by 39% to $1.57, representing the top of the Company’s $1.53 to $1.57 guidance range, excluding items affecting comparability
Delivered cash flow from operations of $262 million, an improvement of approximately $60 million versus year-ago
In addition, Pinnacle took significant steps during 2013 to position the Company for future growth and value creation, including the highly-accretive acquisition of Wish-Bone in the fourth quarter. Wish-Bone contributed $38 million to net sales and $0.02 to diluted EPS, excluding items affecting comparability, in 2013. The Company also reduced its ongoing annual interest expense significantly, due to debt pay-down associated with its March 2013 IPO and refinancing actions taken in both 2012 and 2013. The Company also initiated a quarterly dividend program during the first half of 2013 and announced a 17% increase in the dividend rate, beginning with the quarterly payment in January 2014.
Commenting on the results, Pinnacle Foods Chief Executive Officer Bob Gamgort stated, “Our solid finish to the fourth quarter capped off an outstanding first year as a public company. Our ability to outpace the performance of our composite categories, combined with strong productivity and product mix, enabled us to deliver financial results that exceeded our long-term growth targets. In addition, our acquisition of the Wish-Bone business in the fourth quarter provides us with an important catalyst for growth in 2014 and beyond.”
Items affecting comparability and pro forma adjustments are described and reconciled to GAAP financial metrics in the accompanying reconciliation tables.
Full Year Fiscal 2013 Results Summary
Consolidated net sales for the year declined 0.6% to $2.46 billion versus $2.48 billion in fiscal 2012. The 2012 period included the benefit of a 53rd week, which contributed approximately $28 million in incremental net sales. Excluding the 53rd week, net sales in fiscal 2013 advanced 0.6%, reflecting a 1.6% benefit from the Wish-Bone acquisition, partially offset by lower volume/mix of 0.9% on the base business, largely due to the planned exit of low-margin, unbranded businesses in the Company’s Specialty Foods segment. Also impacting the year-over-year comparison was unfavorable foreign currency translation of 0.1%.
The following information was filed by Pinnacle Foods Inc. (PF) on Thursday, March 6, 2014 as an 8K 2.02 statement, which is an earnings press release pertaining to results of operations and financial condition. It may be helpful to assess the quality of management by comparing the information in the press release to the information in the accompanying 10-K Annual Report statement of earnings and operation as management may choose to highlight particular information in the press release.
View differences made from one year to another to evaluate Pinnacle Foods Inc.'s financial trajectory
Compare this 10-K Annual Report to its predecessor by reading our highlights to see what text and tables were removed, and by Pinnacle Foods Inc..
Ticker: PF CIK: 1564822 Form Type:10-K Annual Report Accession Number: 0001564822-14-000013 Submitted to the SEC: Thu Mar 06 2014 12:42:37 PM EST Accepted by the SEC: Thu Mar 06 2014 Period: Sunday, December 29, 2013 Industry: Food And Kindred Products