February 11, 2021
THOMASVILLE, Ga., Feb. 11, 2021 /PRNewswire/ — Flowers Foods, Inc. (NYSE: FLO), producer of Nature’s Own, Dave’s Killer Bread, Wonder, Canyon Bakehouse, Tastykake, and other bakery foods, today reported financial results for the company’s 53-week fiscal 2020 and 13-week fiscal fourth quarter ended January 2, 2021.
Fiscal 2020 Summary:
Compared to the prior year where applicable
- Sales increased 6.4% to $4.388 billion. The additional week contributed 1.8%.
- Net income decreased 7.4% to $152.3 million. Adjusted net income increased 36.1% to $278.0 million.
- Adjusted EBITDA(1) increased 23.4% to $521.7 million, representing 11.9% of sales, a 160-basis point increase.
- Diluted EPS decreased $0.06 to $0.72. Adjusted diluted EPS(1) increased $0.35 to $1.31. The additional week contributed $0.02.
Fourth Quarter Summary:
Compared to the prior year fourth quarter where applicable
- Sales increased 11.5% to $1.023 billion. The additional week contributed 8.2%.
- Net income increased $53.6 million to $55.8 million. Adjusted net income increased 55.3% to $59.1 million.
- Adjusted EBITDA(1) increased 34.3% to $113.5 million, representing 11.1% of sales, a 190-basis point increase.
- Diluted EPS increased $0.25 to $0.26. Adjusted diluted EPS(1) increased $0.10 to $0.28. The additional week contributed $0.02.
(1) Adjusted for items affecting comparability. See reconciliations of non-GAAP measures in the financial statements following this release.
“Our record results in this uncertain environment demonstrate the strength of our leading brands and the resiliency of our team,” said Ryals McMullian, Flowers Foods’ president and CEO. “I am pleased to report fiscal 2020 adjusted earnings above the high end of our guidance. The positive mix shift and the extra week boosted results, and our team leveraged those tailwinds by taking steps to maximize our performance in the near-term and beyond.
“We begin 2021 in a position of strength and expect to build upon our momentum by focusing on our four strategic pillars – developing our team, focusing on brands, prioritizing margins, and smart M&A,” he continued. “Our digital initiative will be essential to enabling these priorities. This transformational effort will increase our operational agility, improve engagement with consumers, customers, and employees, and maximize the effectiveness of our business strategies.”
McMullian added, “Our guidance for fiscal 2021 incorporates our expectation of some mix reversion during the year as the impact of the pandemic dissipates, as well as the potential for a higher promotional environment, back-half commodity headwinds, and investment to implement our digital initiative. Partly offsetting those factors are expected benefits from our brand investments and continued savings from portfolio optimization and operational efficiencies. We are investing in our business at a time when visibility may be more limited than normal, but it is clear that we are on the right path. Regardless of the demand environment in the coming years, our team is determined to drive performance in-line with our long-term financial targets.”