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Farmer Bros. Co. Reports Fourth Quarter and Fiscal 2017 Financial Results
CoffeeNetwork (New York) - Farmer Bros. Co. (NASDAQ:FARM) today reported financial results for its fourth quarter and fiscal year ended June 30, 2017.
Fourth Quarter Fiscal 2017 Highlights:
· Volume of green coffee pounds processed and sold increased 0.9%;
· Gross profit increased $1.2 million and gross margin increased 100 basis points to 40.1%, year-over-year;
· Income from operations declined by $1.4 million to $1.7 million due to higher one-time costs and fewer one-time benefits;
· Net income decreased to $1.1 million from $84.2 million primarily due to the non-cash income tax benefit of $80.3 million from the release of valuation allowance on deferred tax assets in the fourth quarter of the prior fiscal year; and
· Adjusted EBITDA increased 30.7% to $11.6 million, and Adjusted EBITDA Margin was 8.7%, an increase of 210 basis points.*
Fiscal 2017 Highlights:
· Volume of green coffee pounds processed and sold increased 5.3%;
· Gross profit increased $5.3 million and gross margin increased 120 basis points to 39.5%;
· Income from operations increased 415.5% to $42.2 million from $8.2 million, including $37.4 million in net gain from the sale of our Torrance facility in fiscal 2017;
· Net income was $24.4 million, or $1.45 per common share—diluted, compared to $89.9 million, or $5.41 per common share—diluted, last year, including non-cash income tax benefit of $80.3 million from the release of valuation allowance on deferred tax assets in fiscal 2016; and
· Adjusted EBITDA increased 11.1% to $46.0 million and Adjusted EBITDA Margin was 8.5%, an increase of 90 basis points.
Starbucks Extends Licensing Agreement to Accelerate Growth in Singapore
CoffeeNetwork (New York) - Starbucks Coffee Company (NASDAQ:SBUX) announced it has entered into an agreement with its long-time strategic partner Maxim’s Caterers Limited – a leading restaurant operator of multiple brands across Asia – to fully license Starbucks operations in Singapore. Under the agreement, Maxim’s Caterers Limited will have the exclusive rights to operate and develop Starbucks stores in Singapore. The move further accelerates Starbucks operations in this important market and aligns with Starbucks growth agenda.
Starbucks entered Singapore in 1996 with the opening of its first store at Liat Towers, centrally located along the renowned Orchard Road shopping belt. Since then, Starbucks has built the brand by delivering a consistent, authentic in-store experience to more than 130 Starbucks stores today in Singapore.
The partnership between Starbucks and Maxim’s Caterers Limited started in 2000 in Hong Kong. Currently, there are more than 210 Starbucks stores in Cambodia, Hong Kong, Macau and Vietnam, employing nearly 2,900 partners (employees) across the four key markets.