-----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, O7gOAoxStgy6C24niZ+Glbl/JB1pYiXcSYo2I2OsXltStOJEhv/N8hzjENDOxB7D Hb3TaJVnPlKJ8zOo3wh9iQ== 0000081061-96-000038.txt : 19961113 0000081061-96-000038.hdr.sgml : 19961113 ACCESSION NUMBER: 0000081061-96-000038 CONFORMED SUBMISSION TYPE: 10-Q PUBLIC DOCUMENT COUNT: 2 CONFORMED PERIOD OF REPORT: 19960928 FILED AS OF DATE: 19961112 SROS: NONE FILER: COMPANY DATA: COMPANY CONFORMED NAME: PUBLIX SUPER MARKETS INC CENTRAL INDEX KEY: 0000081061 STANDARD INDUSTRIAL CLASSIFICATION: RETAIL-GROCERY STORES [5411] IRS NUMBER: 590324412 STATE OF INCORPORATION: FL FISCAL YEAR END: 1231 FILING VALUES: FORM TYPE: 10-Q SEC ACT: 1934 Act SEC FILE NUMBER: 000-00981 FILM NUMBER: 96657808 BUSINESS ADDRESS: STREET 1: PO BOX 407 CITY: LAKELAND STATE: FL ZIP: 33802-0407 BUSINESS PHONE: 9416887407 MAIL ADDRESS: STREET 2: P O BOX 407 CITY: LAKELAND STATE: FL ZIP: 33802 10-Q 1 1 UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 FORM 10-Q (X) QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d)OF THE SECURITIES EXCHANGE ACT OF 1934 for the quarterly period ended September 28, 1996 ------------------ 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 0-981 ---------------------------- PUBLIX SUPER MARKETS, INC. ------------------------------------------------------ (Exact name of Registrant as specified in its charter) Florida 59-0324412 - ------------------------------- ------------------------------------ (State or other jurisdiction of (I.R.S. Employer Identification No.) incorporation or organization) 1936 George Jenkins Blvd. Lakeland, Florida 33815 - ---------------------------------------- --------------------------- (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code (941) 688-1188 -------------- 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 ---------- ---------- The number of shares outstanding of the Registrant's common stock, $1.00 par value, as of November 1, 1996 was 218,862,671. Page 1 of 9 pages 2 PART I. FINANCIAL INFORMATION Item 1. Financial Statements PUBLIX SUPER MARKETS, INC.
CONDENSED CONSOLIDATED BALANCE SHEETS (Amounts in thousands) ASSETS September 28, 1996 December 30,1995 ------------------ ---------------- (Unaudited) Current Assets - -------------- Cash and cash equivalents $ 422,304 $ 276,700 Short-term investments 65,543 74,292 Accounts receivable 48,353 44,492 Merchandise inventories 520,761 542,886 Deferred tax assets 37,915 36,475 Prepaid expenses 3,676 3,269 ---------- ---------- Total Current Assets 1,098,552 978,114 ---------- ---------- Long-term investments 166,818 119,412 Investment in joint ventures 4,880 4,888 Other noncurrent assets 1,991 4,203 Property, plant and equipment 2,671,136 2,540,205 Accumulated depreciation (1,183,844) (1,087,457) ---------- ---------- Total Assets $2,759,533 $2,559,365 ========== ========== LIABILITIES AND STOCKHOLDERS' EQUITY Current Liabilities - ------------------- Current installments of long-term debt $ 701 $ 1,265 Accounts payable 469,430 500,399 Accrued contributions to retirement plans 115,549 67,348 Accrued salaries and wages 68,059 41,276 Accrued self-insurance reserves 58,423 58,442 Federal and state income taxes 6,304 1,318 Other 98,124 75,496 ---------- ---------- Total Current Liabilities 816,590 745,544 ---------- ---------- Long-term debt, excluding current installments 1,312 1,765 Deferred tax liabilities, net 103,261 103,707 Self-insurance reserves 65,255 60,435 Accrued postretirement benefit cost 36,255 33,197 Other noncurrent liabilities 48,997 --- Stockholders' Equity - -------------------- Common stock of $1 par value. Authorized 300,000,000 shares; issued 225,746,454 shares at September 28, 1996 and December 30, 1995 225,746 225,746 Additional paid-in capital 85,442 85,280 Reinvested earnings 1,498,383 1,303,287 ---------- ---------- 1,809,571 1,614,313 Less treasury shares of 6,808,046 at September 28, 1996, at cost (121,508) --- Unrealized gain (loss) on investment securities available-for-sale, net (200) 404 ---------- ---------- Total Stockholders' Equity 1,687,863 1,614,717 ---------- ---------- Total Liabilities and Stockholders' Equity $2,759,533 $2,559,365 ========== ==========
See accompanying notes to condensed consolidated financial statements. -2- 3 PUBLIX SUPER MARKETS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS (Amounts in thousands except per share amounts) Three Months Ended September 28, 1996 September 30, 1995 ------------------ ------------------ (Unaudited) Revenues - -------- Sales $ 2,515,915 $ 2,254,387 Other income, net 25,138 19,736 ------------ ------------ Total revenues 2,541,053 2,274,123 ------------ ------------ Costs and expenses - ------------------ Cost of merchandise sold, including store occupancy, warehousing and delivery expenses 1,921,211 1,727,744 Operating and administrative expenses 509,843 462,469 Interest expense 52 34 ------------ ------------ Total costs and expenses 2,431,106 2,190,247 ------------ ------------ Earnings before income tax expense 109,947 83,876 Income tax expense 40,787 31,105 ------------ ------------ Net earnings $ 69,160 $ 52,771 ============ ============ Weighted average number of common shares outstanding 219,377,612 223,538,918 ============ ============ Net earnings per common share $ .32 $ .24 ============ ============ Cash dividends per common share none none
See accompanying notes to condensed consolidated financial statements. -3- 4 PUBLIX SUPER MARKETS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS (Amounts in thousands except per share amounts) Nine Months Ended September 28, 1996 September 30, 1995 ------------------ ------------------ (Unaudited) Revenues - -------- Sales $ 7,722,844 $ 6,899,325 Other income, net 72,114 60,890 ------------ ------------ Total revenues 7,794,958 6,960,215 ------------ ------------ Costs and expenses - ------------------ Cost of merchandise sold, including store occupancy, warehousing and delivery expenses 5,953,754 5,288,477 Operating and administrative expenses 1,483,665 1,372,164 Interest expense 177 298 ------------ ------------ Total costs and expenses 7,437,596 6,660,939 ------------ ------------ Earnings before income tax expense 357,362 299,276 Income tax expense 133,082 111,638 ------------ ------------ Net earnings $ 224,280 $ 187,638 ============ ============ Weighted average number of common shares outstanding 221,885,211 226,559,124 ============ ============ Net earnings per common share $ 1.01 $ .83 ============ ============ Cash dividends per common share $ .13 $ .11 ============ ============
See accompanying notes to condensed consolidated financial statements. -4- 5 PUBLIX SUPER MARKETS, INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (Amounts in thousands) Nine Months Ended September 28, 1996 September 30,1995 ------------------ ----------------- (Unaudited) Cash Flows From Operating Activities - ------------------------------------ Cash received from customers $7,768,719 $6,947,502 Cash paid to employees and suppliers (7,083,677) (6,412,922) Income taxes paid (129,602) (113,435) Payment for self-insured claims (76,913) (70,677) Other, net 15,968 11,048 ---------- ---------- Net Cash Provided by Operating Activities 494,495 361,516 ---------- ---------- Cash Flows From Investing Activities - ------------------------------------ Payment for property, plant and equipment (155,150) (184,757) Payment for investment securities - available-for-sale (328,573) (197,766) Proceeds from sale of investment securities - available-for-sale 287,727 201,768 Other, net 4,093 3,161 ---------- ---------- Net Cash Used in Investing Activities (191,903) (177,594) ---------- ---------- Cash Flows From Financing Activities - ------------------------------------ Payment of long-term debt (1,017) (1,231) Proceeds from sale of common stock 26,677 21,990 Payment for acquisition of common stock (153,464) (139,840) Dividends paid (29,184) (25,250) ---------- ---------- Net Cash Used in Financing Activities (156,988) (144,331) ---------- ---------- Net increase in cash and cash equivalents 145,604 39,591 Cash and cash equivalents at beginning of period 276,700 188,885 ---------- ---------- Cash and cash equivalents at end of period $ 422,304 $ 228,476 ========== ==========
See accompanying notes to condensed consolidated financial statements. -5- 6 PUBLIX SUPER MARKETS, INC. NOTES TO CONDENSED CONSOLIDATED FINANCIAL STATEMENTS 1. In the opinion of management, the accompanying condensed consolidated financial statements include all adjustments deemed necessary to fairly reflect the financial position, results of operations and changes in cash flows of the Company for the interim periods presented. 2. Due to the seasonal nature of the Company's business, the results for the three months and nine months ended September 28, 1996 are not necessarily indicative of the results for the entire 1996 fiscal year. 3. Certain 1995 amounts have been reclassified to conform with the 1996 presentation. 4. The condensed consolidated financial statements include the financial position, results of operations and cash flows of the Company and its wholly owned subsidiary. All material intercompany balances have been eliminated. -6- 7 PUBLIX SUPER MARKETS, INC. Item 2. Management's Discussion and Analysis of Financial Condition - ------------------------------------------------------------------------ and Results of Operations - ------------------------- Liquidity and Capital Resources - ------------------------------- Operating activities continue to be the Company's primary source of liquidity. Net cash provided by operating activities was approximately $494.5 million in the nine months ended September 28, 1996, as compared with $361.5 million in the nine months ended September 30, 1995. Cash and cash equivalents totaled $422.3 million as of September 28, 1996. Capital expenditures totaled $155.1 million in the nine months ended September 28, 1996. These expenditures were primarily incurred in connection with the opening of 24 new stores and the remodeling or enlarging of seven stores which added .97 million square feet. In addition, the Company closed eight stores. Capital expenditures in the nine months ended September 30, 1995, were approximately $184.8 million. These expenditures were primarily incurred in connection with the opening of 32 new stores and the remodeling or enlarging of 19 stores which added 1.5 million square feet. Construction was completed on a new distribution center and dairy processing plant in Lawrenceville, Georgia. In addition, the Company closed three stores. The Company has budgeted approximately $69.9 million for the remainder of 1996 for new store construction and the remodeling or enlarging of several existing stores. The capital budget is subject to continuing change and review. The remaining capital expenditures are expected to be financed by internally generated funds and current liquid assets. As of September 28, 1996 the Company has committed lines of credit for $100.0 million and one uncommitted line of credit for $25.0 million. These lines are reviewed annually by the banks. The interest rate for these lines is at or below the prime rate. No amounts were outstanding as of September 28, 1996. Cash generated in excess of the amount needed for current operations and capital expenditures is invested in short-term and long-term investments. Management believes the Company's liquidity will continue to be strong. Operating Results - ----------------- Sales increased 11.6% in the third quarter of 1996 to $2,515.9 million, an increase of $261.5 million compared to the same quarter in 1995. This represents an increase of $137.5 million or 6.1% in additional sales from stores that were open for all of both quarters (comparable stores) and additional sales of $124.0 million or 5.5% from the net impact of new and closed stores since July 1, 1995. Other income increased $5.4 million or 27.4% in the third quarter of 1996 as compared to the same quarter in 1995. Sales increased 11.9% in the nine months ended September 28, 1996, to $7,722.8 million, an increase of $823.5 million over the nine months ended September 30, 1995. This reflects an increase of $420.1 or 6.1% in sales from comparable stores and sales of $403.4 or 5.8% from the net impact of new and closed stores since July 1, 1995. Other revenue increased $11.2 million or 18.4% in the first nine months of 1996 as compared to the first nine months of 1995. Cost of merchandise sold including store occupancy, warehousing and delivery expenses, as a percentage of sales, was approximately 76.4% and 76.6% in the quarters ended September 28, 1996 and September 30, 1995, respectively. These cost of sales percentages were 77.1% and 76.7% for the nine months ended September 28, 1996 and September 30, 1995, respectively. -7- 8 PUBLIX SUPER MARKETS, INC. Operating and administrative expenses, as a percentage of sales, were approximately 20.3% and 20.5% for the quarters ended September 28, 1996, and September 30, 1995, respectively. The operating and administrative expenses, as a percentage of sales, were 19.2% and 19.9% for the nine months ended September 28, 1996 and September 30, 1995, respectively. The significant components of operating and administrative expenses are payroll costs, employee benefits and depreciation. PART II. OTHER INFORMATION Item 1. Legal Proceedings - -------------------------- In Item 3 of the Company's Form 10-K for the fiscal year ended December 30, 1995, the Company described class action litigation against the Company (the "Shores" case) involving alleged violations of the Federal Civil Rights Act and Florida law with respect to certain of the Company's retail employees. On April 23, 1996, the Company sought reconsideration of the Court's class certification order or, in the alternative, a right to an immediate appeal of that order. This motion remains pending, and the Company is in the process of taking additional steps to secure review of the Court's order. As reported in the Company's Form 10-Q for the quarter ended March 30, 1996, a suit seeking class action status was filed on March 28, 1996 against the Company by Kathy Watkins (the "Watkins" case). In her Complaint, the plaintiff alleged that the Company violated Federal and Florida Civil Rights Acts with respect to women in its manufacturing and supply facilities. As reported in the Company's Form 10-Q for the quarter ended June 29, 1996, the Court on August 7, 1996, dismissed the plaintiff's class action claims. The individual claims of alleged discrimination made by Mrs. Watkins remain. The Company continues to vigorously defend the claims in the Shores and Watkins cases, as well as those in the EEOC Charge that were also described in the Form 10-K for the fiscal year ended December 30, 1995. Item 6(a). Exhibits - -------------------- 27. Financial Data Schedule for the nine months ended September 28, 1996. Item 6(b). Reports on Form 8-K - ------------------------------- No reports on Form 8-K were filed during the three months ended September 28, 1996. -8- 9 SIGNATURES Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed in its behalf by the undersigned thereunto duly authorized. PUBLIX SUPER MARKETS, INC. Date: November 8, 1996 /s/ S. Keith Billups ------------------------------------------- S. Keith Billups, Secretary Date: November 8, 1996 /s/ William H. Vass ------------------------------------------- William H. Vass, Executive Vice President (Principal Financial Officer) -9- EX-27 2 FINANCIAL DATA SCHEDULE
5 This schedule contains summary financial information extracted from the financial statements for the nine months ended September 28, 1996, and is qualified in its entirety by reference to such financial statements. 1,000 US DOLLARS 9-MOS DEC-28-1996 DEC-31-1995 SEP-28-1996 1 422,304 65,543 48,353 0 520,761 1,098,552 2,671,136 (1,183,844) 2,759,533 816,590 1,312 0 0 225,746 1,462,117 2,759,533 7,722,844 7,794,958 5,953,754 7,437,419 0 0 177 357,362 133,082 224,280 0 0 0 224,280 1.01 1.01
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