Marsh Supermarkets Reports Sharply Higher Third-Quarter Results
INDIANAPOLIS - Marsh Supermarkets, Inc. here said its net income for its third quarter ended Jan. 3 jumped 89 percent to $2.3 million from $1.3 million a year ago. Diluted earnings per common share were 29 cents, compared with 15 cents last year.
Total revenues for the third quarter were $388,771,000, compared with $382,711,000 last year -- a 1.6 percent increase. Total sales in comparable supermarkets and convenience stores were slightly better than last year, up 0.04 percent. Comparable-store merchandise sales, which exclude gasoline, decreased 0.8 percent. The comparabl- store merchandise sales decline is believed to be attributable to a weak economy, high unemployment, and competitive new supermarket square footage. The company excludes gasoline sales from its analysis of comparable-store merchandise sales because retail gasoline prices fluctuate widely and frequently.
During the third quarter, the company opened one new Marsh supermarket and acquired one supermarket that's being operated under the LoBill Foods banner. One Village Pantry convenience store was closed. Subsequent to the end of the quarter, another new Marsh supermarket opened, and two Village Pantry convenience stores were closed.
"The new Marsh stores are Lifestyle stores and have a new innovative design and layout based on our customers' lifestyles and shopping behavior. Our vision for the future is reflected in these stores," said Don E. Marsh, chairman and c.e.o. "Currently Marsh stock has a strong dividend yield of approximately 3.9 percent."
In a separate release the company also announced today that it had amended its Form 10-K for the year ended March 29 and the Forms 10-Q for the quarters ended June 21 and Oct. 11, in connection with its reconsideration of Emerging Issues Task Force Issue No. 02-16, Accounting by a Customer (Including a Reseller) for Certain Consideration Received from a Vendor. The amendments resulted in a noncash charge of $3.6 million net of income taxes for the year ended March 29 and additional net income of $0.4 million and $0.3 million for the quarters ended June 21 and Oct. 11, respectively. There was no material impact from this accounting change for the quarter ended Jan. 3.
Total revenues for the third quarter were $388,771,000, compared with $382,711,000 last year -- a 1.6 percent increase. Total sales in comparable supermarkets and convenience stores were slightly better than last year, up 0.04 percent. Comparable-store merchandise sales, which exclude gasoline, decreased 0.8 percent. The comparabl- store merchandise sales decline is believed to be attributable to a weak economy, high unemployment, and competitive new supermarket square footage. The company excludes gasoline sales from its analysis of comparable-store merchandise sales because retail gasoline prices fluctuate widely and frequently.
During the third quarter, the company opened one new Marsh supermarket and acquired one supermarket that's being operated under the LoBill Foods banner. One Village Pantry convenience store was closed. Subsequent to the end of the quarter, another new Marsh supermarket opened, and two Village Pantry convenience stores were closed.
"The new Marsh stores are Lifestyle stores and have a new innovative design and layout based on our customers' lifestyles and shopping behavior. Our vision for the future is reflected in these stores," said Don E. Marsh, chairman and c.e.o. "Currently Marsh stock has a strong dividend yield of approximately 3.9 percent."
In a separate release the company also announced today that it had amended its Form 10-K for the year ended March 29 and the Forms 10-Q for the quarters ended June 21 and Oct. 11, in connection with its reconsideration of Emerging Issues Task Force Issue No. 02-16, Accounting by a Customer (Including a Reseller) for Certain Consideration Received from a Vendor. The amendments resulted in a noncash charge of $3.6 million net of income taxes for the year ended March 29 and additional net income of $0.4 million and $0.3 million for the quarters ended June 21 and Oct. 11, respectively. There was no material impact from this accounting change for the quarter ended Jan. 3.