AMCON Distributing Company (“AMCON”) (NYSE American: DIT), an Omaha, Nebraska based consumer products company, is pleased to announce fully diluted earnings per share of $27.36 on net income available to common shareholders of $15.5 million for the fiscal year ended September 30, 2021. AMCON earned $11.00 per fully diluted share on net income available to common shareholders of $6.3 million for the fourth fiscal quarter ended September 30, 2021.
“We are pleased with our fiscal 2021 results. AMCON’s associates and management did an outstanding job of securing the products and staffing necessary for success in the convenience distribution industry. We have a long-standing tradition of providing a superior level of customer service. This core operating philosophy has guided us through these difficult times and helped ensure that AMCON’s customers have received a consistent and timely flow of goods and services,” said Christopher H. Atayan, AMCON’s Chairman and Chief Executive Officer. He further noted, “We continue to seek strategic acquisition opportunities for operators who want to align with our customer centric management philosophy.”
The wholesale distribution segment reported revenues of $1.6 billion and operating income of $24.5 million for fiscal 2021, and revenues and operating income of $438.7 million and $7.9 million, respectively, for the fourth fiscal quarter of fiscal 2021. The retail health food segment reported revenues of $47.3 million and operating income of $1.8 million for fiscal 2021, and revenues of $12.1 million and operating income of $0.6 million for the fourth fiscal quarter of fiscal 2021.
“We remain committed to making the requisite capital expenditures in the coming years to support the Company’s investments in its foodservice and technology platforms, expand its geographic reach, and the continued redevelopment of its retail health food store portfolio. We continue to expand the territories we serve as our customers grow their store footprint,” said Andrew C. Plummer, AMCON’s President and Chief Operating Officer.
Charles J. Schmaderer, AMCON’s Chief Financial Officer said, “At September 30, 2021, our shareholders’ equity was $77.6 million, resulting in adjusted book value per share of $139.27. During fiscal 2021, we turned our inventory 20 times and ended the year with $49.3 million of consolidated debt. At its lowest point during fiscal 2021, the Company’s consolidated debt was approximately $28.8 million.” Mr. Schmaderer also added, “We are pleased with the results of our investment in Team Sledd, LLC.”
AMCON’s Healthy Edge Retail Group plays an important role in the health and wellness of the communities it serves. Throughout the pandemic, our management team has worked diligently to offer a continuous and safe shopping experience for customers. Our long term relationship with the organic/natural products vendor community has enabled our stores to meet the demands of our customers for total wellness solutions. Our strategy is to offer a broad selection of the highest quality organic and natural merchandise available supported by a high degree of customer service not found at other big box retailers within our industry.
AMCON is a leading wholesale distributor of consumer products, including beverages, candy, tobacco, groceries, foodservice, frozen and chilled foods, and health and beauty care products with locations in Illinois, Missouri, Nebraska, North Dakota, South Dakota and Tennessee. AMCON also operates twenty (20) health and natural product retail stores in the Midwest and Florida. The retail stores operate under the names Akin’s Natural Foods www.akins.com in its Midwest market, and Chamberlin's Natural Foods www.chamberlins.com and Earth Origins Market www.earthoriginsmarket.com in its Florida market.
This news release contains forward-looking statements that are subject to risks and uncertainties and which reflect management's current beliefs and estimates of future economic circumstances, industry conditions, Company performance and financial results. A number of factors could affect the future results of the Company and could cause those results to differ materially from those expressed in the Company's forward-looking statements including, without limitation, availability of sufficient cash resources to conduct its business and meet its capital expenditures needs and the other factors described under Item 1.A. of the Company’s Annual Report on Form 10-K. Moreover, past financial performance should not be considered a reliable indicator of future performance. Accordingly, the Company claims the protection of the safe harbor for forward-looking statements contained in the Private Securities Litigation Reform Act of 1995 with respect to all such forward-looking statements.
Visit AMCON Distributing Company's web site at: www.amcon.com
|
AMCON Distributing Company and Subsidiaries
|
|
CONSOLIDATED BALANCE SHEETS
|
|
|
|
|
|
|
|
|
|
|
|
September
|
|
September
|
|
|
|
2021
|
|
2020
|
|
ASSETS
|
|
|
|
|
|
|
|
Current assets:
|
|
|
|
|
|
|
|
Cash
|
|
$
|
519,591
|
|
|
$
|
661,195
|
|
|
Accounts receivable, less allowance for doubtful accounts of $0.9 million at September 2021 and September 2020
|
|
|
35,844,163
|
|
|
|
34,278,429
|
|
|
Inventories, net
|
|
|
95,212,085
|
|
|
|
98,971,773
|
|
|
Prepaid expenses and other current assets
|
|
|
4,999,125
|
|
|
|
2,091,645
|
|
|
Total current assets
|
|
|
136,574,964
|
|
|
|
136,003,042
|
|
|
|
|
|
|
|
|
|
|
Property and equipment, net
|
|
|
16,012,524
|
|
|
|
17,497,274
|
|
|
Operating lease right-of-use assets, net
|
|
|
17,846,529
|
|
|
|
18,936,126
|
|
|
Note receivable, net of current portion
|
|
|
3,325,000
|
|
|
|
3,500,000
|
|
|
Goodwill
|
|
|
4,436,950
|
|
|
|
4,436,950
|
|
|
Other intangible assets, net
|
|
|
500,000
|
|
|
|
500,000
|
|
|
Equity method investment
|
|
|
9,380,343
|
|
|
|
6,744,095
|
|
|
Other assets
|
|
|
334,819
|
|
|
|
383,786
|
|
|
Total assets
|
|
$
|
188,411,129
|
|
|
$
|
188,001,273
|
|
|
|
|
|
|
|
|
|
|
LIABILITIES AND SHAREHOLDERS’ EQUITY
|
|
|
|
|
|
|
|
Current liabilities:
|
|
|
|
|
|
|
|
Accounts payable
|
|
$
|
24,235,042
|
|
|
$
|
22,108,299
|
|
|
Accrued expenses
|
|
|
11,468,955
|
|
|
|
8,306,160
|
|
|
Accrued wages, salaries and bonuses
|
|
|
4,489,852
|
|
|
|
4,761,020
|
|
|
Income taxes payable
|
|
|
867,160
|
|
|
|
567,408
|
|
|
Current operating lease liabilities
|
|
|
5,513,390
|
|
|
|
5,607,098
|
|
|
Current maturities of long-term debt
|
|
|
561,202
|
|
|
|
516,850
|
|
|
Total current liabilities
|
|
|
47,135,601
|
|
|
|
41,866,835
|
|
|
|
|
|
|
|
|
|
|
Credit facility
|
|
|
43,650,865
|
|
|
|
61,971,682
|
|
|
Deferred income tax liability, net
|
|
|
1,531,228
|
|
|
|
1,806,575
|
|
|
Long-term operating lease liabilities
|
|
|
12,669,157
|
|
|
|
14,028,606
|
|
|
Long-term debt, less current maturities
|
|
|
5,054,265
|
|
|
|
2,608,794
|
|
|
Other long-term liabilities
|
|
|
757,387
|
|
|
|
927,241
|
|
|
|
|
|
|
|
|
|
|
Shareholders’ equity:
|
|
|
|
|
|
|
|
Preferred stock, $.01 par value, 1,000,000 shares authorized
|
|
|
—
|
|
|
|
—
|
|
|
Common stock, $.01 par value, 3,000,000 shares authorized, 551,369 shares outstanding at September 2021 and 537,715 shares outstanding at September 2020
|
|
|
8,834
|
|
|
|
8,697
|
|
|
Additional paid-in capital
|
|
|
24,918,781
|
|
|
|
24,282,058
|
|
|
Retained earnings
|
|
|
83,552,298
|
|
|
|
71,362,334
|
|
|
Treasury stock at cost
|
|
|
(30,867,287
|
)
|
|
|
(30,861,549
|
)
|
|
Total shareholders’ equity
|
|
|
77,612,626
|
|
|
|
64,791,540
|
|
|
Total liabilities and shareholders’ equity
|
|
$
|
188,411,129
|
|
|
$
|
188,001,273
|
|
|
AMCON Distributing Company and Subsidiaries
|
|
CONSOLIDATED STATEMENTS OF OPERATIONS
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal Years Ended September
|
|
|
|
2021
|
|
2020
|
|
Sales (including excise taxes of $403.9 million and $393.3 million, respectively)
|
|
$
|
1,672,378,581
|
|
|
$
|
1,521,278,763
|
|
|
Cost of sales
|
|
|
1,571,829,805
|
|
|
|
1,433,544,831
|
|
|
Gross profit
|
|
|
100,548,776
|
|
|
|
87,733,932
|
|
|
Selling, general and administrative expenses
|
|
|
79,631,140
|
|
|
|
75,051,227
|
|
|
Depreciation
|
|
|
3,093,017
|
|
|
|
3,116,449
|
|
|
Impairment charges
|
|
|
—
|
|
|
|
485,270
|
|
|
|
|
|
82,724,157
|
|
|
|
78,652,946
|
|
|
Operating income
|
|
|
17,824,619
|
|
|
|
9,080,986
|
|
|
|
|
|
|
|
|
|
|
Other expense (income):
|
|
|
|
|
|
|
|
Interest expense
|
|
|
1,339,560
|
|
|
|
1,693,251
|
|
|
Other (income), net
|
|
|
(203,228
|
)
|
|
|
(114,276
|
)
|
|
|
|
|
1,136,332
|
|
|
|
1,578,975
|
|
|
Income from operations before income taxes
|
|
|
16,688,287
|
|
|
|
7,502,011
|
|
|
Income tax expense
|
|
|
4,501,000
|
|
|
|
2,143,000
|
|
|
Equity method investment earnings, net of tax
|
|
|
3,357,978
|
|
|
|
183,579
|
|
|
Net income available to common shareholders
|
|
$
|
15,545,265
|
|
|
$
|
5,542,590
|
|
|
|
|
|
|
|
|
|
|
Basic earnings per share available to common shareholders
|
|
$
|
28.24
|
|
|
$
|
9.88
|
|
|
Diluted earnings per share available to common shareholders
|
|
$
|
27.36
|
|
|
$
|
9.76
|
|
|
|
|
|
|
|
|
|
|
Basic weighted average shares outstanding
|
|
|
550,551
|
|
|
|
561,166
|
|
|
Diluted weighted average shares outstanding
|
|
|
568,103
|
|
|
|
567,961
|
|
|
|
|
|
|
|
|
|
|
Dividends declared and paid per common share
|
|
$
|
5.72
|
|
|
$
|
1.00
|
|
|
AMCON Distributing Company and Subsidiaries
|
|
CONSOLIDATED STATEMENTS OF SHAREHOLDERS’ EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Additional
|
|
|
|
|
|
|
|
|
|
Common Stock
|
|
Treasury Stock
|
|
Paid-in
|
|
Retained
|
|
|
|
|
|
|
Shares
|
|
Amount
|
|
Shares
|
|
Amount
|
|
Capital
|
|
Earnings
|
|
Total
|
|
Balance, October 1, 2019
|
|
856,039
|
|
$
|
8,561
|
|
(303,425
|
)
|
|
$
|
(28,831,855
|
)
|
|
$
|
23,165,639
|
|
$
|
66,414,397
|
|
|
$
|
60,756,742
|
|
|
Dividends on common stock, $1.00 per share
|
|
—
|
|
|
—
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
(594,653
|
)
|
|
|
(594,653
|
)
|
|
Compensation expense and issuance of stock in connection with equity-based awards
|
|
13,828
|
|
|
136
|
|
—
|
|
|
|
—
|
|
|
|
1,116,419
|
|
|
—
|
|
|
|
1,116,555
|
|
|
Repurchase of common stock
|
|
—
|
|
|
—
|
|
(28,727
|
)
|
|
|
(2,029,694
|
)
|
|
|
—
|
|
|
—
|
|
|
|
(2,029,694
|
)
|
|
Net income
|
|
—
|
|
|
—
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
5,542,590
|
|
|
|
5,542,590
|
|
|
Balance September 30, 2020
|
|
869,867
|
|
$
|
8,697
|
|
(332,152
|
)
|
|
$
|
(30,861,549
|
)
|
|
$
|
24,282,058
|
|
$
|
71,362,334
|
|
|
$
|
64,791,540
|
|
|
Dividends on common stock, $5.72 per share
|
|
—
|
|
|
—
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
(3,355,301
|
)
|
|
|
(3,355,301
|
)
|
|
Compensation expense and issuance of stock in connection with equity-based awards
|
|
13,722
|
|
|
137
|
|
—
|
|
|
|
—
|
|
|
|
636,723
|
|
|
—
|
|
|
|
636,860
|
|
|
Repurchase of common stock
|
|
—
|
|
|
—
|
|
(68
|
)
|
|
|
(5,738
|
)
|
|
|
—
|
|
|
—
|
|
|
|
(5,738
|
)
|
|
Net income
|
|
—
|
|
|
—
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
15,545,265
|
|
|
|
15,545,265
|
|
|
Balance, September 30, 2021
|
|
883,589
|
|
$
|
8,834
|
|
(332,220
|
)
|
|
$
|
(30,867,287
|
)
|
|
$
|
24,918,781
|
|
$
|
83,552,298
|
|
|
$
|
77,612,626
|
|
|
AMCON Distributing Company and Subsidiaries
|
|
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
|
|
|
|
|
|
|
|
|
|
September
|
|
September
|
|
|
|
2021
|
|
2020
|
|
CASH FLOWS FROM OPERATING ACTIVITIES:
|
|
|
|
|
|
|
|
Net income
|
|
$
|
15,545,265
|
|
|
$
|
5,542,590
|
|
|
Adjustments to reconcile net income from operations to net cash flows from (used in)
operating activities:
|
|
|
|
|
|
|
|
Depreciation
|
|
|
3,093,017
|
|
|
|
3,116,449
|
|
|
Equity method investment earnings, net of tax
|
|
|
(3,357,978
|
)
|
|
|
(183,579
|
)
|
|
Impairment charges
|
|
|
—
|
|
|
|
485,270
|
|
|
(Gain) loss on sales of property and equipment
|
|
|
(9,864
|
)
|
|
|
105,039
|
|
|
Equity-based compensation
|
|
|
2,415,156
|
|
|
|
1,085,287
|
|
|
Deferred income taxes
|
|
|
(275,347
|
)
|
|
|
(16,798
|
)
|
|
Provision for losses on doubtful accounts
|
|
|
50,000
|
|
|
|
(21,000
|
)
|
|
Inventory allowance
|
|
|
37,708
|
|
|
|
(322,240
|
)
|
|
Changes in assets and liabilities:
|
|
|
|
|
|
|
|
Accounts receivable
|
|
|
(1,615,734
|
)
|
|
|
(9,591,809
|
)
|
|
Inventories
|
|
|
3,721,980
|
|
|
|
3,693,984
|
|
|
Prepaid and other current assets
|
|
|
(2,732,480
|
)
|
|
|
4,794,469
|
|
|
Equity method investment distributions
|
|
|
1,392,730
|
|
|
|
—
|
|
|
Other assets
|
|
|
48,967
|
|
|
|
(110,207
|
)
|
|
Accounts payable
|
|
|
1,998,494
|
|
|
|
3,529,980
|
|
|
Accrued expenses and accrued wages, salaries and bonuses
|
|
|
1,164,828
|
|
|
|
1,353,113
|
|
|
Other long-term liabilities
|
|
|
(169,854
|
)
|
|
|
885,230
|
|
|
Income taxes payable and receivable
|
|
|
(371,248
|
)
|
|
|
857,270
|
|
|
Net cash flows from (used in) operating activities
|
|
|
20,935,640
|
|
|
|
15,203,048
|
|
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM INVESTING ACTIVITIES:
|
|
|
|
|
|
|
|
Purchase of property and equipment
|
|
|
(1,525,882
|
)
|
|
|
(3,356,573
|
)
|
|
Proceeds from sales of property and equipment
|
|
|
55,728
|
|
|
|
43,600
|
|
|
Investment in equity method investee
|
|
|
—
|
|
|
|
(6,500,000
|
)
|
|
Issuance of note receivable
|
|
|
—
|
|
|
|
(3,500,000
|
)
|
|
Net cash flows from (used in) investing activities
|
|
|
(1,470,154
|
)
|
|
|
(13,312,973
|
)
|
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM FINANCING ACTIVITIES:
|
|
|
|
|
|
|
|
Borrowings under revolving credit facility
|
|
|
1,663,751,276
|
|
|
|
1,515,476,055
|
|
|
Repayments under revolving credit facility
|
|
|
(1,682,072,093
|
)
|
|
|
(1,513,881,087
|
)
|
|
Proceeds from borrowings on long-term debt
|
|
|
3,000,000
|
|
|
|
—
|
|
|
Principal payments on long-term debt
|
|
|
(510,177
|
)
|
|
|
(532,747
|
)
|
|
Proceeds from exercise of stock options
|
|
|
—
|
|
|
|
25,750
|
|
|
Repurchase of common stock
|
|
|
(5,738
|
)
|
|
|
(2,029,694
|
)
|
|
Dividends on common stock
|
|
|
(3,355,301
|
)
|
|
|
(594,653
|
)
|
|
Settlement and withholdings of equity-based awards
|
|
|
(415,057
|
)
|
|
|
(30,208
|
)
|
|
Net cash flows from (used in) financing activities
|
|
|
(19,607,090
|
)
|
|
|
(1,566,584
|
)
|
|
Net change in cash
|
|
|
(141,604
|
)
|
|
|
323,491
|
|
|
Cash, beginning of period
|
|
|
661,195
|
|
|
|
337,704
|
|
|
Cash, end of period
|
|
$
|
519,591
|
|
|
$
|
661,195
|
|
|
|
|
|
|
|
|
|
|
Supplemental disclosure of cash flow information:
|
|
|
|
|
|
|
|
Cash paid during the period for interest
|
|
$
|
1,353,985
|
|
|
$
|
1,743,098
|
|
|
Cash paid during the period for income taxes
|
|
|
5,138,454
|
|
|
|
1,302,528
|
|
|
|
|
|
|
|
|
|
|
Supplemental disclosure of non-cash information:
|
|
|
|
|
|
|
|
Equipment acquisitions classified in accounts payable
|
|
$
|
128,249
|
|
|
$
|
—
|
|
|
Issuance of common stock in connection with the vesting and exercise of
equity-based awards
|
|
|
949,812
|
|
|
|
990,653
|
|
|
AMCON Distributing Company and Subsidiaries
|
|
|
|
|
|
|
|
|
|
FISCAL YEAR 2021
|
|
|
|
|
|
|
|
|
|
|
(dollars in thousands, except per share data)
|
First
|
|
Second
|
|
Third
|
|
Fourth
|
|
|
|
|
|
|
|
|
|
|
Sales
|
$
|
404,745
|
|
$
|
378,513
|
|
$
|
438,313
|
|
$
|
450,807
|
|
Gross profit
|
|
23,462
|
|
|
22,973
|
|
|
25,542
|
|
|
28,572
|
|
Income from operations before income taxes
|
|
3,753
|
|
|
2,944
|
|
|
4,013
|
|
|
5,978
|
|
Net income available to common shareholders
|
$
|
3,078
|
|
$
|
2,429
|
|
$
|
3,691
|
|
$
|
6,348
|
|
|
|
|
|
|
|
|
|
|
Basic earnings per share available to common shareholders
|
$
|
5.61
|
|
$
|
4.41
|
|
$
|
6.69
|
|
$
|
11.51
|
|
Diluted earnings per share available to common shareholders
|
$
|
5.57
|
|
$
|
4.33
|
|
$
|
6.48
|
|
$
|
11.00
|
|
|
|
|
|
|
|
|
|
FISCAL YEAR 2020
|
|
|
|
|
|
|
|
|
|
(dollars in thousands, except per share data)
|
First
|
|
Second
|
|
Third
|
|
Fourth
|
|
|
|
|
|
|
|
|
|
|
Sales
|
$
|
360,101
|
|
$
|
337,887
|
|
$
|
396,854
|
|
$
|
426,437
|
|
Gross profit
|
|
20,845
|
|
|
20,693
|
|
|
21,652
|
|
|
24,543
|
|
Income from operations before income taxes
|
|
701
|
|
|
1,032
|
|
|
2,054
|
|
|
3,715
|
|
Net income available to common shareholders
|
$
|
452
|
|
$
|
699
|
|
$
|
1,580
|
|
$
|
2,812
|
|
|
|
|
|
|
|
|
|
|
Basic earnings per share available to common shareholders
|
$
|
.80
|
|
$
|
1.24
|
|
$
|
2.79
|
|
$
|
5.10
|
|
Diluted earnings per share available to common shareholders
|
$
|
.80
|
|
$
|
1.22
|
|
$
|
2.77
|
|
$
|
5.00
|
|
|
|
|
|
|
|
|
|
The Company’s quarterly earnings per share are based on weighted average shares outstanding for the quarter; therefore the sum of the quarters may not equal the full year earnings per share amount.
AMCON Distributing Company and Subsidiaries
GAAP Reconciliation and Management Explanation of Non-GAAP Financial Measures
The financial measure of adjusted book value per share included in this press release (“adjusted book value per share”) has been determined by methods other than in accordance with U.S. generally accepted accounting principles (“GAAP”). Management believes that this non-GAAP financial measurement reflects an additional way of viewing aspects of the Company’s business that, when viewed together with its financial results computed in accordance with GAAP, provides a more complete understanding of factors affecting historical financial performance of the Company. This measure is important to investors interested in determining the amount of book value per share if all potentially dilutive shares were exercised or vested and outstanding. This non-GAAP financial measurement is not intended to be a substitute for the comparable GAAP measurements and should be read only in conjunction with our consolidated financial statements prepared in accordance with GAAP.
The Company has defined the non-GAAP financial measure of adjusted book value per share as follows:
- “Adjusted book value per share” is defined as total shareholders’ equity increased by the impact of proceeds from the exercise of all stock options and vesting of restricted stock units divided by total common shares outstanding plus common shares issuable upon the exercise of all stock options and vesting of restricted stock units.”
|
|
|
September 2021
|
|
Number of common shares outstanding at September 30, 2021
|
|
|
551,369
|
|
Total shareholders’ equity at September 30, 2021
|
|
$
|
77,612,626
|
|
|
|
|
|
Book value per share at September 30, 2021
|
|
$
|
140.76
|
|
|
|
September 2021
|
|
Number of common shares outstanding at September 30, 2021
|
|
|
551,369
|
|
Add: common shares potentially issuable for stock options and unvested restricted stock units /1/
|
|
|
57,470
|
|
|
|
|
608,839
|
|
|
|
|
|
Total shareholders’ equity at September 30, 2021
|
|
$
|
77,612,626
|
|
Equity impact if all potential common shares were exercised or vested /1/
|
|
|
7,177,416
|
|
|
|
$
|
84,790,042
|
|
|
|
|
|
Adjusted book value per share at September 30, 2021
|
|
$
|
139.27
|
____________
|
/1/
|
Assumes the exercise of all vested and unvested stock options and vesting of all outstanding restricted stock units at September 30, 2021.
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20211108006076/en/