Charlotte / NC. (li) Snyder´s-Lance Inc. reported results for its third quarter of 2013. Net revenue for the third quarter ended September 28, 2013 was 453 million USD, an increase of 11,4 percent compared to prior year net revenue of 407 million USD. Net income excluding special items in the third quarter of 2013 was 22,4 million USD or 0,32 USD per diluted share, as compared to third quarter 2012 net income excluding special items of 19,2 million USD or 0,28 USD per diluted share. Net income was 22,9 million USD for the third quarter of 2013 or 0,33 USD per diluted share, compared to a net income of 17,8 million USD for the third quarter of 2012 or 0,26 USD per diluted share. Special items for the third quarter of 2013 were 0,5 million USD in after-tax income primarily from the gain on the sale of assets associated with the consolidation of our Canadian manufacturing facilities. Special items for the third quarter of 2012 were 1,4 million USD in after-tax expense which included expenses associated with the acquisition of Snack Factory and other merger related costs.
Net income excluding special items for the first nine months of 2013 was 59,1 million USD or 0,84 USD per diluted share, a gain of 27 percent as compared to net income excluding special items of 45,7 million USD or 0,66 USD per diluted share, for the first nine months of 2012. Net income was 55,7 million USD for the first nine months of 2013 or 0,80 USD per diluted share, compared to net income of 51,3 million USD for the first nine months of 2012 or 0,74 USD per diluted share. Special items for 2013 include after-tax income from the gain on the sale of assets, impairment charges and a substantial self-funded medical expense. Special items for 2012 include after-tax gains on the sale of route businesses from the merger integration and after-tax expenses for other merger related expenses.
«Net revenue for core branded products was up 20 percent, driven by Snack Factory and core brand market share gains that were supported with increased advertising and social media marketing efforts, including a movie tie-in promotion», commented Carl E. Lee, Junior, President and Chief Executive Officer. «We are pleased with our EPS performance in the third quarter of 2013 as we focus on finishing the year strong and building momentum as we head into 2014. With our continued focus on emphasizing core brands and widening margins, our team delivered solid results including continued benefits from our acquisition of Snack Factory Pretzel Crisps which posted significant year over year sales. In the third quarter, we were able to improve our gross margin as a percentage of net revenue on a higher mix of branded products, supported by good overall performance from our private brands team».
Lee continued, «Looking ahead, we are excited about our product line-up for next year. We have a number of great new items and flavours in our core brands along with improvements in several of our more regional allied brands. This pipeline of innovation is very robust and we anticipate solid growth as we move into 2014. We also continue to grow our independent business owner (IBO) based distribution network and have recently acquired additional routes in a key geography. Snyder´s-Lance is making progress on a number of fronts and I want to thank everyone involved and especially our associates for their hard work and dedication that drives this company forward every day».
The Company also announced the declaration of a quarterly cash dividend of 0,16 USD per share on the Company´s common stock. The dividend is payable on November 29, 2013 to stockholders of record at the close of business on November 19, 2013.
The Company has updated its estimates for the full year 2013. The Company estimates that its net revenue for the full year 2013 will be up nine percent to ten percent and earnings per diluted share will increase between 25 percent and 30 percent, excluding special items, compared to 2012. Capital expenditures for 2013 are projected to be between 73 and 75 million USD.