Weis Markets Reports Results For 2019 And Fourth Quarter

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Mar 09, 2020, 17:17 ET

SUNBURY, Pa., March 9, 2020 /PRNewswire/ -- Weis Markets, Inc. (NYSE: WMK) today reported total sales of over $3.5 billion for the 52-week period ended December 28, 2019, up 1.0 percent compared to the same period a year ago, while annual comparable store sales increased 1.5 percent. Income from operations increased $2.0 million, or 2.4 percent to $84.6 million over the same period in 2018.

The Company's net income for fiscal year 2019 increased 8.4 percent to $68.0 million compared to $62.7 million in 2018 while earnings per share for the same period increased $0.20 to $2.53 per share.

The Company's 2019 sales and comparable-store sales continued to benefit from investments in its Low, Low Price (LLP) program which offers price reductions on 7,000 private-brand items. The Company's sales also benefited from targeted loyalty marketing programs, varied promotions and advertising in key markets.

"We made significant forward progress in 2019 by driving sales with targeted merchandising and marketing programs, significant price investments and improved in-store execution, which sustains our growth program," said Weis Markets Chairman and CEO Jonathan Weis. "The result was a 1.5 percent increase in annual comparable store sales in 2019. During the year, we also expanded online ordering with in-store pickup and home delivery to 184 stores which resulted in more than 250,000 orders and a 115.4 percent increase in online sales."

Fourth Quarter Results:

During the thirteen-week period ended December 28, 2019, the Company's sales increased 1.1 percent to $902.4 million compared to the same period in 2018, while fourth quarter comparable store sales increased 1.4 percent.

Income from operations in the fourth quarter totaled $23.0 million compared to $15.5 million in the same period in 2018. The Company's fourth quarter net income increased 42.6 percent to $18.9 million compared to $13.2 million in 2018, while earnings per share totaled $0.70 compared to $0.49 per share for the same period in 2018.

The Company attributed its increases in fourth quarter 2019 sales and comparable store sales to targeted holiday promotions through its loyalty marketing program and continuing improvements in store level efficiencies and price optimization.

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About Weis Markets
Founded in 1912, Weis Markets, Inc. is a Mid Atlantic food retailer operating 197 stores in Pennsylvania, Maryland, Delaware, New Jersey, New York, West Virginia and Virginia. For more information, please visit: WeisMarkets.com or Facebook.com/WeisMarkets.

In addition to historical information, this news release may contain forward-looking statements, which are included pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Any forward-looking statements contained herein are subject to certain risks and uncertainties that could cause actual results to differ materially from those projected. For example, risks and uncertainties can arise with changes in: general economic conditions, including their impact on capital expenditures; business conditions in the retail industry; the regulatory environment; rapidly changing technology and competitive factors, including increased competition with regional and national retailers; and price pressures. Readers are cautioned not to place undue reliance on forward-looking statements, which reflect management's analysis only as of the date hereof. The Company undertakes no obligation to publicly revise or update these forward-looking statements to reflect events or circumstances that arise after the date hereof. Readers should carefully review the risk factors described in other documents the Company files periodically with the Securities and Exchange Commission.

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WEIS MARKETS, INC
COMPARATIVE SUMMARY OF SALES & EARNINGS


Fourth Quarter — 2019
(Unaudited)



	13 Weeks Ended					Increase
	December 28, 2019		December 29, 2018			(Decrease)
Net sales	$	902,392,000	$	892,988,000		1.1	%

Income from operations		22,977,000		15,508,000		48.2	%

Income before provision for income taxes	$	23,850,000	$	15,049,000		58.5	%
Provision for income taxes		4,965,000		1,804,000		175.2	%
Net income	$	18,885,000	$	13,245,000		42.6	%

Weighted-average shares outstanding		26,898,443		26,898,443		—
Basic and diluted earnings per share	$	0.70	$	0.49	$	0.21



	52 Weeks Ended					Increase
	December 28, 2019		December 29, 2018			(Decrease)
Net sales	$	3,543,299,000	$	3,509,270,000		1.0	%

Income from operations		84,639,000		82,671,000		2.4	%

Income before provision for income taxes	$	88,644,000	$	82,136,000		7.9	%
Provision for income taxes		20,661,000		19,398,000		6.5	%
Net income	$	67,983,000	$	62,738,000		8.4	%

Weighted-average shares outstanding		26,898,443		26,898,443		—
Basic and diluted earnings per share	$	2.53	$	2.33	$	0.20