AMCON Distributing Company (“AMCON” or “the Company”) (NYSE American: DIT), an Omaha, Nebraska based Convenience and Foodservice Distributor, is pleased to announce fully diluted earnings per share of $7.15 on net income available to common shareholders of $4.3 million for the fiscal year ended September 30, 2024.
“We have seen our strategic plan come to full bloom in fiscal 2024. AMCON has grown its footprint geographically, expanded within our existing footprint, and enhanced our foodservice capability. We are now the third largest Convenience Distributor in the United States measured by territory covered. Our new Springfield, Missouri facility is fully operational and provides the infrastructure necessary to advance our foodservice initiatives. AMCON’s long-standing core operating philosophy is providing a superior level of customer service. Our customer-centric approach has guided us through these challenging times and ensured that AMCON’s customers 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 actively seek strategic acquisition opportunities for operators who want to align with our customer focused approach philosophy and further the legacy of their enterprises.”
The wholesale distribution segment reported revenues of $2.7 billion and operating income of $31.3 million for fiscal 2024 and the retail health food segment reported revenues of $42.5 million and operating income of $0.1 million for fiscal 2024.
“We continue to drive the growth of our foodservice business through our Henry’s Foods (“Henry’s”) subsidiary. Henry’s offers a breadth and depth of proprietary foodservice programs and associated store level merchandising that is unparalleled in the convenience distribution industry. Through Henry’s, we now have the capability to offer turn-key solutions that will enable our customer base to compete head-on with the Quick Service Restaurant industry. We are investing heavily in our foodservice and technology platforms and associated staffing for these strategic focus areas as we deploy these capabilities across our entire organization,” said Andrew C. Plummer, AMCON’s President and Chief Operating Officer. Mr. Plummer continued, “In particular, we now have integrated state of the art advertising, design, print and electronic display programs that we believe provide our customers a competitive edge.”
“We continue our relentless daily focus on managing the Company’s balance sheet and maximizing our liquidity position. At September 30, 2024, our shareholders’ equity was $111.7 million,” said Charles J. Schmaderer, AMCON’s Chief Financial Officer. Mr. Schmaderer also added, “We are investing capital to develop our recently acquired 250,000 square foot distribution facility in Colorado City, Colorado, which will support our customers’ growth initiatives in the Intermountain Region.”
AMCON, and its subsidiaries Team Sledd, LLC and Henry’s Foods, Inc., is a leading Convenience and Foodservice Distributor of consumer products, including beverages, candy, tobacco, groceries, foodservice, frozen and refrigerated foods, automotive supplies and health and beauty care products with thirteen (13) distribution centers in Colorado, Illinois, Indiana, Minnesota, Missouri, Nebraska, North Dakota, South Dakota, Tennessee and West Virginia. Through its Healthy Edge Retail Group, AMCON operates fifteen (15) health and natural product retail stores in the Midwest and Florida.
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
|
|
|
|
|
2024
|
|
|
|
2023
|
|
|
ASSETS
|
|
|
|
|
|
Current assets:
|
|
|
|
|
|
Cash
|
|
$
|
672,788
|
|
|
$
|
790,931
|
|
|
Accounts receivable, less allowance for credit losses of $2.3 million at September 2024 and $2.4 million at September 2023
|
|
|
70,653,907
|
|
|
|
70,878,420
|
|
|
Inventories, net
|
|
|
144,254,843
|
|
|
|
158,582,816
|
|
|
Income taxes receivable
|
|
|
718,645
|
|
|
|
1,854,484
|
|
|
Prepaid expenses and other current assets
|
|
|
12,765,088
|
|
|
|
13,564,056
|
|
|
Total current assets
|
|
|
229,065,271
|
|
|
|
245,670,707
|
|
|
|
|
|
|
|
|
Property and equipment, net
|
|
|
106,049,061
|
|
|
|
80,607,451
|
|
|
Operating lease right-of-use assets, net
|
|
|
25,514,731
|
|
|
|
23,173,287
|
|
|
Goodwill
|
|
|
5,778,325
|
|
|
|
5,778,325
|
|
|
Other intangible assets, net
|
|
|
4,747,234
|
|
|
|
5,284,935
|
|
|
Other assets
|
|
|
2,952,688
|
|
|
|
2,914,495
|
|
|
Total assets
|
|
$
|
374,107,310
|
|
|
$
|
363,429,200
|
|
|
|
|
|
|
|
|
LIABILITIES AND SHAREHOLDERS’ EQUITY
|
|
|
|
|
|
Current liabilities:
|
|
|
|
|
|
Accounts payable
|
|
$
|
54,498,225
|
|
|
$
|
43,099,326
|
|
|
Accrued expenses
|
|
|
15,802,727
|
|
|
|
14,922,279
|
|
|
Accrued wages, salaries and bonuses
|
|
|
8,989,355
|
|
|
|
8,886,529
|
|
|
Current operating lease liabilities
|
|
|
7,036,751
|
|
|
|
6,063,048
|
|
|
Current maturities of long-term debt
|
|
|
5,202,443
|
|
|
|
1,955,065
|
|
|
Current mandatorily redeemable non-controlling interest
|
|
|
1,703,604
|
|
|
|
1,703,604
|
|
|
Total current liabilities
|
|
|
93,233,105
|
|
|
|
76,629,851
|
|
|
|
|
|
|
|
|
Credit facilities
|
|
|
121,272,004
|
|
|
|
140,437,989
|
|
|
Deferred income tax liability, net
|
|
|
4,374,316
|
|
|
|
4,917,960
|
|
|
Long-term operating lease liabilities
|
|
|
18,770,001
|
|
|
|
17,408,758
|
|
|
Long-term debt, less current maturities
|
|
|
16,562,908
|
|
|
|
11,675,439
|
|
|
Mandatorily redeemable non-controlling interest, less current portion
|
|
|
6,507,896
|
|
|
|
7,787,227
|
|
|
Other long-term liabilities
|
|
|
1,657,295
|
|
|
|
402,882
|
|
|
|
|
|
|
|
|
Shareholders’ equity:
|
|
|
|
|
|
Preferred stock, $.01 par value, 1,000,000 shares authorized
|
|
|
—
|
|
|
|
—
|
|
|
Common stock, $.01 par value, 3,000,000 shares authorized, 630,362 shares outstanding at September 2024 and 608,689 shares outstanding at September 2023
|
|
|
9,648
|
|
|
|
9,431
|
|
|
Additional paid-in capital
|
|
|
34,439,735
|
|
|
|
30,585,388
|
|
|
Retained earnings
|
|
|
108,552,565
|
|
|
|
104,846,438
|
|
|
Treasury stock at cost
|
|
|
(31,272,163
|
)
|
|
|
(31,272,163
|
)
|
|
Total shareholders’ equity
|
|
|
111,729,785
|
|
|
|
104,169,094
|
|
|
Total liabilities and shareholders’ equity
|
|
$
|
374,107,310
|
|
|
$
|
363,429,200
|
|
|
AMCON Distributing Company and Subsidiaries
CONSOLIDATED STATEMENTS OF OPERATIONS
|
|
|
|
Fiscal Years Ended September
|
|
|
|
|
2024
|
|
|
|
2023
|
|
|
Sales (including excise taxes of $569.5 million and $564.6 million, respectively)
|
|
$
|
2,710,981,108
|
|
|
$
|
2,539,994,999
|
|
|
Cost of sales
|
|
|
2,528,626,652
|
|
|
|
2,369,150,102
|
|
|
Gross profit
|
|
|
182,354,456
|
|
|
|
170,844,897
|
|
|
Selling, general and administrative expenses
|
|
|
154,878,763
|
|
|
|
137,301,668
|
|
|
Depreciation and amortization
|
|
|
9,495,179
|
|
|
|
7,576,646
|
|
|
|
|
|
164,373,942
|
|
|
|
144,878,314
|
|
|
Operating income
|
|
|
17,980,514
|
|
|
|
25,966,583
|
|
|
|
|
|
|
|
|
Other expense (income):
|
|
|
|
|
|
Interest expense
|
|
|
10,413,228
|
|
|
|
8,550,431
|
|
|
Change in fair value of mandatorily redeemable non-controlling interest
|
|
|
1,040,968
|
|
|
|
1,307,599
|
|
|
Other (income), net
|
|
|
(936,171
|
)
|
|
|
(1,193,840
|
)
|
|
|
|
|
10,518,025
|
|
|
|
8,664,190
|
|
|
Income from operations before income taxes
|
|
|
7,462,489
|
|
|
|
17,302,393
|
|
|
Income tax expense
|
|
|
3,126,000
|
|
|
|
5,706,000
|
|
|
Net income available to common shareholders
|
|
$
|
4,336,489
|
|
|
$
|
11,596,393
|
|
|
|
|
|
|
|
|
Basic earnings per share available to common shareholders
|
|
$
|
7.24
|
|
|
$
|
19.85
|
|
|
Diluted earnings per share available to common shareholders
|
|
$
|
7.15
|
|
|
$
|
19.46
|
|
|
|
|
|
|
|
|
Basic weighted average shares outstanding
|
|
|
599,020
|
|
|
|
584,148
|
|
|
Diluted weighted average shares outstanding
|
|
|
606,782
|
|
|
|
595,850
|
|
|
|
|
|
|
|
|
Dividends paid per common share
|
|
$
|
1.00
|
|
|
$
|
5.72
|
|
|
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, 2022
|
|
917,009
|
|
|
$
|
9,168
|
|
|
(332,220
|
)
|
|
$
|
(30,867,287
|
)
|
|
$
|
26,903,201
|
|
|
$
|
96,784,353
|
|
|
$
|
92,829,435
|
|
|
Dividends on common stock, $5.72 per share
|
|
—
|
|
|
|
—
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(3,534,308
|
)
|
|
|
(3,534,308
|
)
|
|
Compensation expense and issuance of stock in connection with equity-based awards
|
|
26,263
|
|
|
|
263
|
|
|
—
|
|
|
|
—
|
|
|
|
3,682,187
|
|
|
|
—
|
|
|
|
3,682,450
|
|
|
Repurchase of common stock
|
|
—
|
|
|
|
—
|
|
|
(2,363
|
)
|
|
|
(404,876
|
)
|
|
|
—
|
|
|
|
—
|
|
|
|
(404,876
|
)
|
|
Net income available to common shareholders
|
|
—
|
|
|
|
—
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
11,596,393
|
|
|
|
11,596,393
|
|
|
Balance, September 30, 2023
|
|
943,272
|
|
|
$
|
9,431
|
|
|
(334,583
|
)
|
|
$
|
(31,272,163
|
)
|
|
$
|
30,585,388
|
|
|
$
|
104,846,438
|
|
|
$
|
104,169,094
|
|
|
Dividends on common stock, $1.00 per share
|
|
—
|
|
|
|
—
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
(630,362
|
)
|
|
|
(630,362
|
)
|
|
Compensation expense and issuance of stock in connection with equity-based awards
|
|
21,673
|
|
|
|
217
|
|
|
—
|
|
|
|
—
|
|
|
|
3,854,347
|
|
|
|
—
|
|
|
|
3,854,564
|
|
|
Net income available to common shareholders
|
|
—
|
|
|
|
—
|
|
|
—
|
|
|
|
—
|
|
|
|
—
|
|
|
|
4,336,489
|
|
|
|
4,336,489
|
|
|
Balance, September 30, 2024
|
|
964,945
|
|
|
$
|
9,648
|
|
|
(334,583
|
)
|
|
$
|
(31,272,163
|
)
|
|
$
|
34,439,735
|
|
|
$
|
108,552,565
|
|
|
$
|
111,729,785
|
|
|
AMCON Distributing Company and Subsidiaries
CONSOLIDATED STATEMENTS OF CASH FLOWS
|
|
|
|
September
|
|
September
|
|
|
|
|
2024
|
|
|
|
2023
|
|
|
CASH FLOWS FROM OPERATING ACTIVITIES:
|
|
|
|
|
|
Net income available to common shareholders
|
|
$
|
4,336,489
|
|
|
$
|
11,596,393
|
|
|
Adjustments to reconcile net income available to common shareholders to net cash flows from (used in) operating activities:
|
|
|
|
|
|
Depreciation
|
|
|
8,957,478
|
|
|
|
7,161,468
|
|
|
Amortization
|
|
|
537,701
|
|
|
|
415,178
|
|
|
(Gain) loss on sales of property and equipment
|
|
|
(177,467
|
)
|
|
|
(133,659
|
)
|
|
Equity-based compensation
|
|
|
2,489,781
|
|
|
|
2,717,370
|
|
|
Deferred income taxes
|
|
|
(543,644
|
)
|
|
|
2,589,372
|
|
|
Provision for credit losses
|
|
|
(64,705
|
)
|
|
|
(133,924
|
)
|
|
Inventory allowance
|
|
|
62,349
|
|
|
|
(138,820
|
)
|
|
Change in fair value of contingent consideration
|
|
|
(124,992
|
)
|
|
|
—
|
|
|
Change in fair value of mandatorily redeemable non-controlling interest
|
|
|
1,040,968
|
|
|
|
1,307,599
|
|
|
Changes in assets and liabilities, net of effects of business combinations:
|
|
|
|
|
|
Accounts receivable
|
|
|
5,900,380
|
|
|
|
(138,956
|
)
|
|
Inventories
|
|
|
29,003,285
|
|
|
|
(7,728,394
|
)
|
|
Prepaid and other current assets
|
|
|
2,227,044
|
|
|
|
(679,229
|
)
|
|
Other assets
|
|
|
(38,193
|
)
|
|
|
(163,340
|
)
|
|
Accounts payable
|
|
|
11,397,485
|
|
|
|
2,213,085
|
|
|
Accrued expenses and accrued wages, salaries and bonuses
|
|
|
1,221,322
|
|
|
|
1,574,050
|
|
|
Other long-term liabilities
|
|
|
511,231
|
|
|
|
298,914
|
|
|
Income taxes payable and receivable
|
|
|
1,135,839
|
|
|
|
(1,034,889
|
)
|
|
Net cash flows from (used in) operating activities
|
|
|
67,872,351
|
|
|
|
19,722,218
|
|
|
|
|
|
|
|
|
CASH FLOWS FROM INVESTING ACTIVITIES:
|
|
|
|
|
|
Purchase of property and equipment
|
|
|
(20,429,805
|
)
|
|
|
(11,561,347
|
)
|
|
Proceeds from sales of property and equipment
|
|
|
416,546
|
|
|
|
151,808
|
|
|
Acquisition of Burklund
|
|
|
(15,464,397
|
)
|
|
|
—
|
|
|
Acquisition of Richmond Master
|
|
|
(6,631,039
|
)
|
|
|
—
|
|
|
Acquisition of Henry's
|
|
|
—
|
|
|
|
(54,865,303
|
)
|
|
Net cash flows from (used in) investing activities
|
|
|
(42,108,695
|
)
|
|
|
(66,274,842
|
)
|
|
|
|
|
|
|
|
CASH FLOWS FROM FINANCING ACTIVITIES:
|
|
|
|
|
|
Borrowings under revolving credit facilities
|
|
|
2,517,192,464
|
|
|
|
2,512,309,723
|
|
|
Repayments under revolving credit facilities
|
|
|
(2,536,358,449
|
)
|
|
|
(2,463,134,172
|
)
|
|
Proceeds from borrowings on long-term debt
|
|
|
—
|
|
|
|
7,000,000
|
|
|
Principal payments on long-term debt
|
|
|
(3,765,153
|
)
|
|
|
(2,349,065
|
)
|
|
Repurchase of common stock
|
|
|
—
|
|
|
|
(404,876
|
)
|
|
Dividends on common stock
|
|
|
(630,362
|
)
|
|
|
(3,534,308
|
)
|
|
Redemption and distributions to non-controlling interest
|
|
|
(2,320,299
|
)
|
|
|
(2,975,323
|
)
|
|
Net cash flows from (used in) financing activities
|
|
|
(25,881,799
|
)
|
|
|
46,911,979
|
|
|
Net change in cash
|
|
|
(118,143
|
)
|
|
|
359,355
|
|
|
Cash, beginning of period
|
|
|
790,931
|
|
|
|
431,576
|
|
|
Cash, end of period
|
|
$
|
672,788
|
|
|
$
|
790,931
|
|
|
|
|
|
|
|
|
Supplemental disclosure of cash flow information:
|
|
|
|
|
|
Cash paid during the period for interest, net of amounts capitalized
|
|
$
|
9,985,313
|
|
|
$
|
8,311,375
|
|
|
Cash paid during the period for income taxes, net of refunds
|
|
|
2,520,127
|
|
|
|
4,141,370
|
|
|
|
|
|
|
|
|
Supplemental disclosure of non-cash information:
|
|
|
|
|
|
Equipment acquisitions classified in accounts payable
|
|
$
|
1,016,948
|
|
|
$
|
1,015,534
|
|
|
Purchase of property financed with promissory note
|
|
|
8,000,000
|
|
|
|
—
|
|
|
Portion of Burklund acquisition financed with promissory note
|
|
|
3,900,000
|
|
|
|
—
|
|
|
Portion of Burklund acquisition financed with contingent consideration
|
|
|
1,578,444
|
|
|
|
—
|
|
|
Issuance of common stock in connection with the vesting of equity-based awards
|
|
|
1,296,372
|
|
|
|
2,044,805
|
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20241108892732/en/