-----BEGIN PRIVACY-ENHANCED MESSAGE----- Proc-Type: 2001,MIC-CLEAR Originator-Name: webmaster@www.sec.gov Originator-Key-Asymmetric: MFgwCgYEVQgBAQICAf8DSgAwRwJAW2sNKK9AVtBzYZmr6aGjlWyK3XmZv3dTINen TWSM7vrzLADbmYQaionwg5sDW3P6oaM5D3tdezXMm7z1T+B+twIDAQAB MIC-Info: RSA-MD5,RSA, PpMF3yj9YtYw6qVg1yEUBnjDvuuXoKS7CL34/xBoMyP/Y/AplxiVorZjx0efoU8z hNRxER/0pmUk4QWQcVhEIA== 0000913738-97-000052.txt : 19971014 0000913738-97-000052.hdr.sgml : 19971014 ACCESSION NUMBER: 0000913738-97-000052 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19970831 FILED AS OF DATE: 19971010 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: GOLDEN ENTERPRISES INC CENTRAL INDEX KEY: 0000042228 STANDARD INDUSTRIAL CLASSIFICATION: MISCELLANEOUS FOOD PREPARATIONS & KINDRED PRODUCTS [2090] IRS NUMBER: 630250005 STATE OF INCORPORATION: DE FISCAL YEAR END: 0531 FILING VALUES: FORM TYPE: 10-Q SEC ACT: SEC FILE NUMBER: 000-04339 FILM NUMBER: 97693464 BUSINESS ADDRESS: STREET 1: 2101 MAGNOLIA AVE STE 212 STREET 2: SOUTH CITY: BIRMINGHAM STATE: AL ZIP: 35205 BUSINESS PHONE: 2053266101 MAIL ADDRESS: STREET 1: 2101 MAGNOLIA AVE SOUTH STREET 2: STE 212 CITY: BIRMINGHAM STATE: AL ZIP: 35205 FORMER COMPANY: FORMER CONFORMED NAME: GOLDEN FLAKE INC DATE OF NAME CHANGE: 19761019 FORMER COMPANY: FORMER CONFORMED NAME: MAGIC CITY FOOD PRODUCTS INC DATE OF NAME CHANGE: 19700805 10-Q 1 UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, D. C. 20549 FORM 10-Q (Mark One) (X) QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the quarterly period ended August 31, 1997 OR ( ) TRANSITION REPORT PURSUANT TO SECTION 13 OR 15 (d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the transition period from _________________ to___________ Commission file number 0-4339 GOLDEN ENTERPRISES, INC. ______________________________________________________ (Exact name of registrant as specified in its charter) DELAWARE 63-0250005 ________________________________ __________________________ (State or other jurisdiction of (I. R. S. Employer incorporation or organization) Identification No.) Suite 212, 2101 Magnolia Avenue, South Birmingham, Alabama 35205 ________________________________________ ____________ (Address of Principal Executive Offices) (Zip Code) (205) 326-6101 ____________________________________________________ (Registrant's telephone number, including area code) Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days. Yes X No ___ ____ Indicate the number of shares outstanding of each of the issuer's classes of common stock, as of September 30, 1997. Outstanding at Class September 30, 1997 _________________________________ __________________ Common Stock, Par Value $0.66 2/3 12,205,950 GOLDEN ENTERPRISES, INC. INDEX Part I. Financial Information Page No. Consolidated Condensed Balance Sheets - August 31, 1997 and May 31, 1997 3 Consolidated Condensed Statements of Income - Three Months Ended August 31, 1997 and 1996 4 Consolidated Condensed Statements of Cash Flows - Three Months Ended August 31, 1997 and 1996 5 Notes to Consolidated Condensed Financial Statements 6 Management's Discussion and Analysis of Financial Condition and Results of Operations 7 Part II. Other Information 8 PART 1. FINANCIAL INFORMATION GOLDEN ENTERPRISES, INC. AND SUBSIDIARIES CONSOLIDATED CONDENSED BALANCE SHEETS August 31, May 31, 1997 1997 ____________ _________ (Unaudited) (Audited) ASSETS Cash and cash equivalents $ 804,657 $ 670,974 Investment Securities $ 5,209,495 $ 4,012,813 Receivables, net $10,741,293 $11,978,467 Inventories: Raw material and supplies $ 2,481,312 $ 2,495,815 Finished goods $ 2,815,424 $ 2,901,025 ___________ ___________ $ 5,296,736 $ 5,396,840 ___________ ___________ Current assets: Prepaid expenses $ 1,885,196 $ 2,200,582 ___________ ___________ Total current assets $23,937,377 $24,259,676 ___________ ___________ Property, plant and equipment, net $23,123,317 $22,490,304 Other assets $ 2,818,918 $ 2,818,918 ___________ ___________ $49,879,612 $49,568,898 ___________ ___________ ___________ ___________ LIABILITIES AND STOCKHOLDERS' EQUITY Current Liabilities: Notes payable, principally to banks $ 0 $ 0 Accounts payable & checks outstanding in excess of bank balance $ 6,864,009 $ 6,621,083 Accrued and deferred income taxes $ 1,019,426 $ 491,040 Other accrued expenses $ 1,011,015 $ 1,261,035 Current installments of long-term debt $ 0 $ 0 ___________ ___________ Total current Liabilities $ 8,894,450 $ 8,373,158 ___________ ___________ Long-term debt less current maturities $ 1,108,017 $ 1,049,175 ___________ ___________ Deferred income taxes $ 1,916,081 $ 1,893,772 ___________ ___________ Stockholder's Equity: Common Stock - $.66 - 2/3 par value: 35,000,000 shares Authorized Issued 13,828,793 shares $ 9,219,195 $ 9,219,195 Additional paid-in capital $ 6,504,927 $ 6,504,927 Retained earnings $31,538,475 $31,830,204 ___________ ___________ $47,262,597 $47,554,326 Less: Cost of common shares in treasury (1,566,843 shares at August 31, 1997 and 1,566,843 shares at May 31, 1997) $-9,301,533 $-9,301,533 ___________ ___________ Total stockholders' equity $37,961,064 $38,252,793 ___________ ___________ Total $49,879,612 $49,568,898 ___________ ___________ ___________ ___________ See Accompanying Notes to Consolidated Condensed Financial Statements GOLDEN ENTERPRISES, INC. & SUBSIDIARIES CONSOLIDATED CONDENSED STATEMENTS OF INCOME (UNAUDITED) Three Months Ended August 31, ___________________________ 1997 1996 ___________ ___________ REVENUES: Net Sales $32,384,378 $34,084,223 Other operating revenues $ 163,986 $ 176,761 Investment income $ 59,843 $ 84,743 ___________ ___________ Total revenues $32,608,207 $34,345,727 ___________ ___________ COSTS AND EXPENSES: Cost of sales $14,620,416 $15,262,154 Selling, general and administrative expense $16,145,498 $17,226,330 Interest $ 0 $ 0 ___________ ___________ Total costs and expenses $30,765,914 $32,488,484 ___________ ___________ Income before income taxes $ 1,842,293 $ 1,857,243 Income taxes $ 669,307 $ 658,269 ___________ ___________ Net income $ 1,172,986 $ 1,198,974 ___________ ___________ ___________ ___________ PER SHARE OF COMMON STOCK: Net income $ .10 $ .10 ___________ ___________ ___________ ___________ Weighted average number of common shares outstanding 12,205,950 12,205,950 ___________ ___________ ___________ ___________ Cash dividend paid per share of common stock $ .12 $ .1175 ___________ ___________ ___________ ___________ See Accompanying Notes to Consolidated Condensed Financial Statements. GOLDEN ENTERPRISES, INC. AND SUBSIDIARIES CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOWS (UNAUDITED) THREE MONTHS ENDED August 31, ___________________________ 1997 1996 ___________ ___________ Cash flows from operating activities: Net income $ 1,172,986 $ 1,198,974 Adjustment to reconcile net income to net cash provided by operating activities: Depreciation and amortization $ 754,752 $ 727,842 Compensation related to stock plan $ 0 $ 0 Salary Continuation Benefits $ 58,842 $ 56,487 Deferred income taxes $ 22,309 $ 19,446 Gain on sale of equipment $ -127,390 $ -149,890 Changes in operating assets and liabilities: Decrease (increase) in accounts receivable $ 1,237,174 $ -383,652 Decrease (increase) in inventories $ 100,104 $ -7,114 Decrease (increase) in prepaid expenses $ 315,386 $ 218,892 Decrease (increase) in other assets-long term $ 0 $ 0 Increase (decrease) in accounts payable and checks outstanding in excess of bank balances $ 242,926 $ 2,539,637 Increase (decrease) in accrued income taxes $ 528,386 $ 189,722 Increase (decrease) in accrued expenses $ -250,020 $ -277,685 ___________ ___________ $ 4,055,455 $ 4,132,659 ___________ ___________ Cash flows from investing activities: Purchase of property, plant and equipment $-1,395,265 $ -943,100 Proceeds from sale of equipment $ 134,889 $ 115,373 Net decrease (increase) in investment securities $-1,196,682 $-1,060,444 ___________ ___________ Net cash provided by (used in) investing activities $-2,457,058 $-1,888,171 ___________ ___________ Cash flows from financing activities: Payments of current installments of long-term debt $ 0 $ 0 Purchase of treasury stock $ 0 $ 0 Proceeds from sale of treasury stock $ 0 $ 0 Cash dividend paid $-1,464,714 $-1,434,202 ___________ __________ Net cash used in financing activities $-1,464,714 $-1,434,202 ___________ ___________ Net (decrease) increase in cash and cash equivalents $ 133,683 $ 810,286 Cash and cash equivalents at beginning of year $ 670,974 $ 227,173 ___________ ___________ Cash and cash equivalents at end of quarter $ 804,657 $ 1,037,459 ___________ ___________ ___________ ___________ Supplemental information: Cash paid during the year for: Income taxes $ 118,612 $ 14,739 Interest $ 0 $ 0 See Accompanying Notes to Consolidated Condensed Financial Statements. GOLDEN ENTERPRISES, INC. AND SUBSIDIARIES NOTES TO CONSOLIDATED CONDENSED FINANCIAL STATEMENTS 1. In the opinion of management, the accompanying unaudited consolidated condensed financial statements contain all adjustments (consisting of only normal recurring accruals) necessary to present fairly its financial position as of August 31, 1997 and May 31, 1997, and its results of operations for the three months ended August 31, 1997 and 1996 and its cash flow for the three months ended August 31, 1997 and 1996. The accounting policies followed by the Company are set forth in note 1 to the Company's financial statements in the Annual Report to stockholders for fiscal year ended May 31, 1997 which is incorporated by reference in Form 10-K. 2. The results of operations for the three months ended August 31, 1997 and 1996 are not necessarily indicative of the results to be expected for the full year. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATIONS Liquidity and Capital Resources Working Capital was $15.9 million at June 1, 1997 and $15.0 million at the end of the first quarter. Net cash provided by operating activities amounted to $4.1 million for the quarter this year compared to $4.1 million for last year's first quarter. Additions to property, plant and equipment, net of disposals, were $1.39 million this year and $0.98 million last year. Cash dividends of $1.46 million were paid during this year's first quarter compared to $1.43 million last year. No cash was used to purchase treasury stock this year or last year, and $1.20 million of cash was used to increase investment securities this year compared to $1.06 million last year. The Company's current ratio was 2.60 to 1.00 at August 31, 1997. Operating Results For the three months ended August 31, 1997, total revenues decreased 5.1% from the comparable period in fiscal 1997. Cost of sales was 45.1% of net sales compared to 44.8% last year. Selling, general and administrative expenses were 49.9% of net sales this year and 50.5% last year. The improvement in this percentage was due to a significant decrease in advertising and promotional expense. The Company's investment income as a percentage of pre-tax income was 3.2% this year compared to 4.6% last year. This was due to an actual dollar decrease in investment income of 29.4%. The Company's effective tax rate for the first quarter was 36.3% compared to 35.4% for last year's first quarter. PART II. OTHER INFORMATION Item 6. Exhibits and Reports on Form 8-K (b) Reports on Form 8-K - There were no reports on form 8-K filed for the three months ended August 31, 1997. SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the registrant has duly caused this report to be signed on its behalf by the undersigned thereunto duly authorized. GOLDEN ENTERPRISES, INC. ________________________ (Registrant) Dated: October 10, 1997 /s/ John S. Stein ____________________________ John S. Stein Chairman, President and Chief Executive Officer Dated: October 10, 1997 /s/ John H. Shannon _____________________________ John H. Shannon Vice President/Controller (Principal Accounting Officer) EX-27 2
5 3-MOS MAY-31-1998 AUG-31-1997 804,657 5,209,495 10,760,293 19,000 5,296,736 23,937,377 80,686,970 57,563,653 49,879,612 8,894,450 0 0 0 9,219,195 28,741,869 49,879,612 32,384,378 32,608,207 14,626,416 30,765,914 0 9,000 0 1,842,293 669,307 1,172,986 0 0 0 1,172,986 .10 .10
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