Business

News Spotlight: Lancaster Colony Corporation (NASDAQ:LANC)

Lancaster Colony Corporation (NASDAQ:LANC) stock observed trading -27.88% off 52-week high price. On the other end, the stock has been noted -0.58% away from low price over the last 52-weeks. The stock disclosed a move of -7.02% away from 50 day moving average and -11.86% away from 200 day moving average. Moving closer, we can see that shares have been trading -8.73% off 20-day moving average. It has market cap of $3950.55M and dividend yield of 1.85%.

 On Aug. 27, 2019, Lancaster Colony Corporation (NASDAQ:LANC) revealed results for the fourth quarter and fiscal year ended June 30, 2019.  Highlights are as follows:

Fourth Quarter Results

  • Consolidated net sales increased 5.0% to a fourth quarter record $323.7 million versus $308.2 million last year. Excluding net sales attributed to Bantam Bagels and Omni Baking Company, both of which were acquired during our fiscal second quarter, consolidated net sales increased 1.3%.
  • Retail net sales declined 1.4% to $154.5 million. Excluding the incremental contribution from Bantam Bagels, Retail net sales declined 2.2%. Reduced sales volumes were driven by declines in flatbread wraps, refrigerated dips and the ongoing impact of our decision to selectively exit some low-margin private-label business. Partial offsets to the sales decline included volume gains for our frozen dinner rolls which benefited from this year’s later Easter holiday and continued growth for shelf-stable dressings and sauces sold under license agreements along with improved net price realization.
  • Foodservice net sales grew 11.7% to $169.1 million. Excluding the impact from the Bantam Bagels and Omni Baking acquisitions, Foodservice net sales increased 4.8%. The segment’s 4.8% gain in organic net sales follows the strong growth of 11.6% achieved in last year’s fourth quarter. Higher Foodservice sales resulted from volume gains throughout the segment including national chain restaurant accounts, branded products and frozen pasta products. The incremental net sales from the Bantam Bagels and Omni Baking acquisitions totaled $2.8 millionand $7.7 million, respectively. The sales for Omni Baking are attributed to a temporary supply agreement that is expected to end no later than November 2020.
  • Consolidated gross profit improved $2.0 million to $78.2 million driven by the increased sales volumes in Foodservice, lean six sigma program cost savings in transportation, manufacturing and procurement, and improved net price realization in Retail. Gross profit was unfavorably impacted by costs attributed to the Omni Baking operations in addition to investments to support expanding retail distribution of Bantam Bagels.
  • SG&A expenses increased $7.0 million including $1.8 million in spend for our ERP initiative, increased investments in personnel, incremental costs attributed to Bantam Bagels and startup costs for our newly-opened innovation center.

 The USA based company Lancaster Colony Corporation moved with change of -9.02% to $140.19 with the total traded volume of 380067 shares in recent session versus to an average volume of 98.31K. The stock was observed in the 5 days activity at -9.23%. The one month performance of stock was -8.46%. LANC’s shares are at -2.53% for the quarter and driving a -8.77% return over the course of the past year and is now at -20.73% since this point in 2018.  Right now the stock beta is 0.29. The average volatility for the week and month was at 3.54% and 2.67% respectively. There are 28.18M shares outstanding and 19.11M shares are floated in market.

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