NORTHLAKE, Texas, Nov. 07, 2017 (GLOBE NEWSWIRE) -- Farmer Bros. Co. (NASDAQ:FARM) (the "Company") today reported financial results for its first fiscal quarter ended September 30, 2017.
First Quarter Fiscal 2018 Highlights:
- Volume of green coffee pounds processed and sold decreased 0.4% over the prior year period;
- Gross profit decreased $2.2 million and gross margin decreased 200 basis points to 37.2%, over the prior year period;
- Net loss was $(1.0) million compared to net income of $1.6 million in the prior year period;
- Adjusted EBITDA was $9.3 million, and Adjusted EBITDA Margin was 7.1%, a decrease of 130 basis points over the prior year period*
- Increased coffee production at Northlake, Texas facility with production levels expected to reach 6 million pounds by end of fiscal 2018, on an annual run rate basis;
- Entered into an agreement in August to acquire substantially all of the assets of Boyd Coffee Company and subsequently completed the acquisition with a combination of cash and stock in October;
- Made progress on the roll-out of Smart Touch selling platform to help drive efficiency and revenue; and
- Maintained strong customer service in face of natural disasters;
“Overall growth was soft in the quarter as we experienced slower than expected demand from some of our larger customers and dealt with the impact of Hurricanes Harvey and Irma, however, the organization performed very well in these challenging circumstances, maintaining strong customer service. Moreover, we secured a number of new business wins which will assist our growth initiatives,” said Mike Keown, President and CEO. “We are also pleased with the progress made during the quarter towards certification of our Northlake, Texas roasting facility and the roll-out of our DSD channel-based sales strategy. Finally, while very early in the integration process, we remain bullish for the potential opportunities resulting from the acquisition of the Boyd Coffee Company business.”
