Coca-Cola Bottling Co. Consolidated announced it earned $4.9 million, or basic net income per share of $.53, on net sales of $383.6 million for the first quarter of 2013, compared to net income of $4.6 million, or basic net income per share of $.50, on net sales of $377.2 million for the first quarter of 2012. The results for the first quarter of 2013 included $0.3 million of after-tax losses ($0.5 million on a pre-tax basis) due to mark-to-market adjustments on commodity hedges and a $0.4 million decrease to tax expense due to certain favorable tax items associated with the American Taxpayer Relief Act (H.R.8) enacted on January 2, 2013 and other income tax changes. The results for the first quarter of 2012 included a $0.9 million increase in income tax expense due to the recording of valuation allowance for certain deferred tax assets and other income tax changes.
On a comparable basis, the company earned $4.7 million in the first quarter of 2013, or comparable basic net income per share of $.51, versus $5.5 million in the first quarter of 2012, or comparable basic net income per share of $.60.
J. Frank Harrison, III, chairman and CEO, said in a prepared statement, “Our announcement on April 16 of our signing of a Letter of Intent with the Coca-Cola Co. was a very significant event for the company. We have been focused on growing our business in many ways over the years, and this opportunity with the Coca-Cola Co. provides for growth in contiguous territories, allowing us to leverage our current infrastructure and operational capabilities.”
Hank Flint, president and COO, added, “The first quarter was challenging with a cautious consumer impacted by higher taxes and fuel prices as well as cooler than average weather across most of our franchise territory. We were pleased that even in a tough operating environment, we were able to grow revenue and continue to diligently manage our operating expenses. With the seasonal nature of our business, our focus will be on our peak revenue months in the second and third quarters and creating value for our customers, consumers and shareholders.”