Financial Performance - Net sales for Q2 fiscal 2025 increased by $9.8 million, or 3.4%, to $301.1 million, driven by a 7.1% increase in sales volume [3] - Sales volume increased by 6.4 million pounds, or 7.1%, totaling 96.3 million pounds, with bars sales volume up approximately 28% year-over-year [4] - Gross profit decreased by $5.7 million to $52.3 million, resulting in a gross profit margin decline to 17.4% from 19.9% in the prior year [8] - Diluted EPS decreased by 29.3% to $1.16 per share [4] - Total operating expenses increased by $2.5 million, with operating expenses as a percentage of net sales rising to 10.9% from 10.4% [9] Inventory and Costs - The value of total inventories increased by $8.5 million, or 4.3%, primarily due to higher commodity acquisition costs [10] - The weighted average cost per pound of raw nut and dried fruit input stock increased by 33.7% year-over-year [10] - Inventories increased to $205.842 million in December 2024, compared to $196.563 million in June 2024, representing a rise of 4.1% [22] Operational Changes - The company plans to consolidate distribution operations into a new location in Huntley, Illinois, and add manufacturing equipment to increase production capabilities [13] - The company remains focused on enhancing profitability through operational efficiencies and optimized pricing strategies [2] Sales Growth - The company reported a 14.9% increase in sales volume for the first six months of fiscal 2025, attributed mainly to the impact of the Lakeville Acquisition [16] Assets and Liabilities - Total assets increased to $545.253 billion in December 2024, up from $515.575 billion in June 2024, representing a growth of 5.3% [22] - Cash decreased significantly to $336 million in December 2024 from $1.975 billion in December 2023, indicating a decline of 83.0% [22] - Accounts receivable increased to $81.2 million in December 2024, compared to $77.416 million in December 2023, reflecting a growth of 4.6% [22] - Current liabilities rose to $150.062 million in December 2024, up from $125.940 million in June 2024, marking an increase of 19.2% [22] - Long-term debt, less current maturities, decreased slightly to $5.969 million in December 2024 from $6.365 million in June 2024, a reduction of 6.2% [22] - Stockholders' equity increased to $325.631 million in December 2024, up from $322.613 million in June 2024, showing a growth of 0.6% [22] - Accrued expenses decreased to $32.937 million in December 2024 from $50.802 million in June 2024, a decline of 35.2% [22] - The company reported a total of $64.426 million in other long-term assets in December 2024, up from $56.396 million in June 2024, indicating a growth of 14.4% [22] - The company maintained its Class A Common Stock at 26 million shares, unchanged from previous periods [22]
John B. Sanfilippo & Son(JBSS) - 2025 Q2 - Quarterly Results