EX-99.1 2 d68405_ex99-1.txt PRESS RELEASE EXHIBIT 99.1 Foodarama Supermarkets, Inc. Building 6, Suite 1 922 Highway 33 Freehold, N.J. 07728 CONTACT: Michael Shapiro Senior Vice President Chief Financial Officer (732) 294-2270 FOR IMMEDIATE RELEASE FOODARAMA SUPERMARKETS, INC. REPORTS SECOND QUARTER AND SIX MONTHS RESULTS Freehold, N.J., June 9, 2006 -- Foodarama Supermarkets, Inc. (ASE-FSM) today announced that sales for the 13 weeks ended April 29, 2006 totaled $297,676,000, compared to $292,035,000 in the prior year period. Same store sales from the twenty-five stores operated in both periods increased 2.9% period to period. Sales for the current quarter included the operations of the location in Pennington, New Jersey purchased from Wakefern Food Corp. in September 2005. In the current quarter net income was $176,000 or $.17 per diluted share. The Company's earnings before interest taxes, depreciation and amortization ("EBITDA") for the second quarter ended April 29, 2006 were $10,090,000. For the thirteen weeks ended April 30, 2005 net income was $54,000 or $.05 per diluted share. The Company's EBITDA for the second quarter ended April 30, 2005 were $10,295,000. Sales for the 26 weeks ended April 29, 2006 were $621,547,000 compared to $609,624,000 in the prior year period. Same store sales from the twenty-five stores in operation in both periods increased 2.6% period to period. Sales for the current 26 week period included the operations of the location in Pennington, New Jersey. In November 2005, a location in Edison, New Jersey was closed at the end of its lease term. For the 26 weeks ended April 29, 2006 the Company reported net income of $789,000 or $.76 per diluted share. The Company's EBITDA for the six months ended April 29, 2006 were $21,071,000. For the 26 weeks ended April 30, 2005 net income was $307,000 or $.29 per diluted share. The Company's EBITDA for the six months ended April 30, 2005 were $21,032,000. EBITDA is presented because management believes that EBITDA is a useful supplement to net income and other measurements under accounting principles generally accepted in the United States since it is a meaningful measure of a company's performance and ability to meet its future debt service requirements, fund capital expenditures and meet working capital requirements. EBITDA is not a measure of financial performance under accounting principles generally accepted in the United States and should not be considered as an alternative to (i) net income (or any other measure of performance under generally accepted accounting principles) as a measure of performance or (ii) cash flows from operating, investing or financing activities as an indicator of cash flows or as a measure of liquidity. The following table reconciles reported net income to EBITDA:
Thirteen Weeks Ended Twenty Six Weeks Ended -------------------- ---------------------- April 29, 2006 April 30, 2005 April 29, 2006 April 30, 2005 -------------- -------------- -------------- -------------- Net income $ 176,000 $ 54,000 $ 789,000 $ 307,000 Add: Interest expense, net 4,430,000 4,606,000 9,022,000 9,230,000 Income tax provision 108,000 34,000 486,000 189,000 Depreciation 5,277,000 5,498,000 10,588,000 10,992,000 Amortization 99,000 103,000 186,000 314,000 ----------- ----------- ----------- ----------- EBITDA $10,090,000 $10,295,000 $21,071,000 $21,032,000 =========== =========== =========== ===========
FOODARAMA SUPERMARKETS, INC. AND SUBSIDIARIES Consolidated Operating Highlights (Unaudited) For the 13 Weeks Ended April 29, 2006 April 30, 2005 ---------------------------- -------------- -------------- Sales ................................ $297,676,000 $292,035,000 Net income ........................... 176,000 54,000 Net income per diluted share ........ $.17 $.05 Average shares outstanding ........... 1,047,013 1,032,098 EBITDA ............................... $ 10,090,000 $ 10,295,000 For the 26 Weeks Ended April 29, 2006 April 30, 2005 ----------------------------- -------------- -------------- Sales ................................ $621,547,000 $609,624,000 Net income ........................... 789,000 307,000 Net income per diluted share ....... $.76 $.29 Average shares outstanding ........... 1,043,681 1,033,451 EBITDA ............................... $ 21,071,000 $ 21,032,000