Premium Brands Holdings reports Q1 net earnings of C$1.2M, unchanged from year-ago period; revenue rises 5.9% to record C$229.2M
VANCOUVER, British Columbia
May 9, 2013
– Premium Brands Holdings Corporation (TSX:PBH), a leading producer, marketer and distributor of branded specialty food products, announced today its results for the first quarter of 2013.
Revenue for the quarter increased by 5.9% to a record $229.2 million from $216.4 million in the first quarter of 2012.
Record Adjusted EBITDA for the quarter of $12.8 million as compared to $11.6 million in the first quarter of 2012.
A quarterly dividend of $6.2 million or $0.294 per share.
Rolling four quarters free cash flow of $47.8 million or $2.30 per share resulting in a dividend to free cash flow ratio of 51.4%.
The purchase of certain segments of the business of Harbour Marine Products Inc., namely its salmon and high grade sushi tuna processing businesses, for $2.0 million.
The acquisition of Freybe Gourmet Foods Ltd., one of western Canada's leading manufacturers of premium gourmet deli meats, for $55.0 million.
An increase in its quarterly dividend to $0.3125 per share from the previous rate of $0.294 per share. The increase will commence for the dividend period ended June 28, 2013 with the first dividend under the new rate being payable on July 15, 2013.
SUMMARY FINANCIAL INFORMATION
"Although we are pleased with our overall performance for the quarter, we still have some work to do," said Mr. George Paleologou, President and CEO.
"We have made significant capital investments in many of our businesses over the last year and a half and expect to start generating solid returns on these initiatives in the coming quarters. This, combined with our recent Freybe acquisition, which we expect to be very synergistic, and the significant progress being made on the restructuring of our NDSD business, positions us for a strong second half of 2013.
"In the meantime, our diversified group of businesses and their focus on selling premium, branded specialty products continues to deliver consistent growth and earnings. This is despite the range of issues currently facing the food industry and the constant economic headwinds that are challenging all businesses.
"Our recently announced 6.3% dividend increase reflects our confidence in our business model and the competitive strength of the many entrepreneurial businesses under the Premium Brands umbrella.
"In terms of acquisitions, we are working on a number of exciting opportunities and expect that 2013 will be another eventful year," said Mr. Paleologou.
About Premium Brands
Premium Brands owns a broad range of leading specialty food manufacturing and differentiated food distribution businesses with operations in British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, Quebec, Nevada and Washington State. The Company services over 22,000 customers and its family of brands and businesses include Grimm's, Harvest, McSweeney's, Bread Garden Go, Hygaard, Hempler's, Quality Fast Foods, Gloria's Best of Fresh, Direct Plus, National Direct-to-Store Distribution (NDSD), Harlan Fairbanks, Creekside Bakehouse, Centennial Foodservice, B&C Food Distributors, Shahir, Wescadia, Duso's, Maximum Seafood, SK Food Group, OvenPride, Hub City Fisheries, Audrey's, Deli Chef, Piller's and Freybe.
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