Ingles Markets, Incorporated Reports Sales and Net Income for Fourth Quarter and Fiscal Year 2017

Company Reports Sales and Net Income for Fourth Quarter and Fiscal Year 2017

ASHEVILLE, N.C., 2017-Dec-11 — /EPR Retail News/ — Ingles Markets, Incorporated (NASDAQ: IMKTA) today reported total sales of $4.00 billion for fiscal year 2017 compared with $3.79 billion in fiscal year 2016. For the fiscal years ended September 2017 and 2016, net income totaled $53.9 million in 2017 compared with $54.2 million in 2016.

Total sales for the fourth quarter of fiscal 2017 were $1.09 billion compared with $962.4 million for the fourth quarter of fiscal 2016. Net income for the fourth quarter of fiscal 2017 totaled $19.4 million, compared with net income of $14.2 million for the fourth quarter of fiscal 2016.

The fiscal year and quarter ended September 2017 contained 53 weeks and 14 weeks, respectively. This is one extra week compared with the fiscal year and quarter ended September 2016.

Commenting on the results, Robert P. Ingle II, Chairman of the Board, said, “Our Company achieved strong results due to the hard work and dedication of our associates. We will continue to bring our customers products they desire and flawless service in our stores.”

Fourth Quarter Results

Net sales totaled $1.09 billion for the quarter ended September 30, 2017, compared with $962.4 million for the comparable quarter in fiscal 2016. Comparable store sales increased 3.6%, excluding gasoline, and adjusted to reflect the same number of weeks in each fourth quarter. Hurricane activity provided a positive benefit in the current-year quarter.

Gross profit for the fourth quarter of fiscal 2017 increased to $261.3 million, compared with $237.2 million for the fourth quarter of fiscal 2016. Gross profit as a percentage of sales was 24.0% and 24.7% for the 2017 and 2016 fourth quarters, respectively.

Operating and administrative expenses for the September 2017 quarter totaled $220.2 million. Operating and administrative expenses as a percentage of sales were 20.2% for the fourth quarter of fiscal 2017, compared with $204.9 million or 21.3% of sales for the fourth quarter of fiscal 2016. Labor cost increases represented most of the total operating expense increase.

Interest expense totaled $12.7 million for the fourth quarter of fiscal 2017, compared with $11.9 million for the fourth quarter of fiscal 2016. Total debt was $877.9 million at the end of fiscal 2017 compared with $876.5 million at the end of fiscal 2016.

Net income for the September 2017 fourteen week quarter increased to $19.4 million, compared with net income of $14.2 million for the thirteen week September 2016 quarter. Basic and diluted earnings per share for the Company’s publicly traded Class A common stock were $0.99 and $0.96 per share, respectively, for the September 2017 quarter, compared with $0.72 and $0.70 per share, respectively, for the September 2016 quarter.

Annual Results

Net sales were $4.00 billion for the fiscal year ended September 2017, compared with $3.79 billion for the fiscal year ended September 2016. Comparable store sales in fiscal year 2017 increased 1.5% over fiscal 2016, excluding gasoline, and adjusted to reflect the same number of weeks in each fiscal year. The number of transactions and the average transaction size were both higher in fiscal year 2017 compared with the prior year.

Gross profit for the fiscal year ended September 30, 2017, increased $39.2 million, or 4.2%, to $963.6 million, or 24.1% of sales, compared with $924.4 million, or 24.4% of sales, for the fiscal year ended September 24, 2016.

Operating expenses totaled $837.1 million in fiscal 2017, compared with $794.6 million in fiscal 2016, and were 20.9% of sales for both fiscal years 2017 and 2016. Labor cost increases represented most of the total operating expense increase.

Gains on asset disposals totaled $1.5 million for fiscal 2017, compared with losses of $1.2 million for fiscal 2016. During fiscal 2016, the Company wrote off buildings demolished in advance of rebuilding new stores in future periods.

Interest expense increased $1.1 million for the year ended September 30, 2017, to $47.5 million, compared with $46.3 million for the year ended September 24, 2016. Interest rates on the Company’s floating rate debt increased during fiscal year 2017, while overall debt levels did not change significantly over the past twelve months.

Income tax expense as a percentage of pre-tax income was 36.1% for fiscal 2017 compared with 36.0% for fiscal 2016. There were no individually significant tax items in either fiscal year.

Net income for fiscal 2017 totaled $53.9 million, compared with net income of $54.2 million for fiscal 2016. Basic and diluted earnings per share for the Company’s publicly traded Class A common stock were $2.74 and $2.66 per share, respectively, for the year ended September 30, 2017, compared with $2.75 and $2.68 per share, respectively, for the year ended September 24, 2016.

Capital expenditures totaled $127.7 million and $137.6 million for fiscal years 2017 and 2016, respectively. During fiscal 2017, the Company opened two new store buildings and closed four stores, one of which is being rebuilt and will reopen in December 2017. The Company’s other store improvement capital projects in fiscal 2017 focused on improved merchandising, convenience and the range of products offered to our customers.

The Company has a line of credit facility totaling $175.0 million with $165.5 million available (after deducting letters of credit) at September 30, 2017. The Company is in compliance with all of its debt agreements and has significant unencumbered assets at September 30, 2017.

View Unaudited Financial Highlights

The comments in this press release contain certain forward-looking statements. Ingles undertakes no obligation to publicly release any revisions to any forward-looking statements contained herein to reflect events or circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events, except as required by law. Ingles’ actual results may differ materially from those projected in forward-looking statements made by, or on behalf of, Ingles. Factors that may affect results include changes in business and economic conditions generally in Ingles’ operating area, pricing pressures, increased competitive efforts by others in Ingles’ marketing areas and the availability of financing for capital improvements. A more detailed discussion of these factors may be found in reports filed by the Company with the Securities and Exchange Commission including its 2016 Form 10-K and 2017 Forms 10-Q.

Ingles Markets, Incorporated is a leading supermarket chain with operations in six southeastern states. Headquartered in Asheville, North Carolina, the Company operates 199 supermarkets. In conjunction with its supermarket operations, the Company operates neighborhood shopping centers, most of which contain an Ingles supermarket. The Company also owns a fluid dairy facility that supplies Company supermarkets and unaffiliated customers. The Company’s Class A Common Stock is traded on The NASDAQ Stock Market’s Global Select Market under the symbol IMKTA. For more information, visit Ingles’ website at www.ingles-markets.com.

SOURCE:  Ingles Markets Inc.

Contact:
Ron Freeman
Chief Financial Officer
(828) 669-2941 (Ext. 223)

Ingles Markets First Quarter FY 2017 Results: Net sales increase of $31.7 million vS same period the previous year

ASHEVILLE, N.C., 2017-Feb-03 — /EPR Retail News/ — Ingles Markets, Incorporated (NASDAQ: IMKTA) today (February 2, 2017) reported higher sales and net income for the three months ended December 24, 2016, compared with the three months ended December 26, 2015. Total sales rose 3.3% over the comparative quarters. Net income totaled $13.8 million for the quarter ended December 24, 2016, compared with $13.0 million for the quarter ended December 26, 2015.

Robert P. Ingle II, Chairman of the Board, stated, “We are off to a good start this year with increased sales and net income, and have planned improvements to our store base in 2017 that we believe our customers will appreciate.”

First Quarter Results

Net sales totaled $982.8 million for the quarter ended December 24, 2016, compared with $951.1 million for the quarter ending December 26, 2015, an increase of $31.7 million. Comparable store sales, excluding gasoline, increased 1.8%. Gasoline gallons sold and the average price per gallon both increased comparing the December 2016 quarter with the December 2015 quarter. The number of customer transactions (excluding gasoline) increased 2.2%, while the comparable average transaction size (excluding gasoline) increased slightly compared with the same quarter last year.

Gross profit for the December 2016 quarter rose to $237.1 million, or 24.1% of sales. Retail gross margin (excluding gasoline) increased 50 basis points comparing the December 2016 quarter with the December 2015 quarter. Gross profit for the December 2015 quarter was $225.6 million, or 23.7% of sales.

Operating and administrative expenses for the December 2016 quarter totaled $206.3 million, compared with $194.1 million for the December 2015 quarter. Increased personnel costs accounted for much of the increase, as well as higher maintenance costs and bank charges.

Interest expense totaled $11.3 million for the three-month period ended December 24, 2016, compared with $12.0 million for the three-month period ended December 26, 2015. Total debt at the end of December 2016 was $900.2 million compared with $924.8 million at the end of December 2015.

Basic and diluted earnings per share for Class A Common Stock were $0.70 and $0.68, respectively, for the quarter ended December 24, 2016, compared with $0.66 and $0.64 per share, respectively, for the quarter ended December 26, 2015. Basic and diluted earnings per share for Class B Common Stock were each $0.64 for the quarter ended December 24, 2016, compared with $0.60 per basic and diluted Class B share for the quarter ended December 26, 2015.

Capital expenditures totaled $29.3 million for the December 2016 quarter, compared with $40.6 million for the December 2015 quarter. The decrease was primarily attributable to the timing of larger development projects and sites purchased in the previous year for future store development. During the twelve months ended December 2016, the Company opened two new stores, and closed one store that is currently being rebuilt. Total fiscal 2017 capital expenditures are expected to be between $100 million and $140 million.

The Company currently has a line of credit totaling $175.0 million, of which $140 million is currently available. The Company believes its financial resources, including this line of credit and other internal and anticipated external sources of funds, will be sufficient to meet planned capital expenditures, debt service and working capital requirements for the foreseeable future.

The comments in this press release contain certain forward-looking statements. Ingles undertakes no obligation to publicly release any revisions to any forward-looking statements contained herein to reflect events or circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events, except as required by law. Ingles’ actual results may differ materially from those projected in forward-looking statements made by, or on behalf of, Ingles. Factors that may affect results include changes in business and economic conditions generally in Ingles’ operating area, pricing pressures, increased competitive efforts by others in Ingles’ marketing areas and the availability of financing for capital improvements. A more detailed discussion of these factors may be found in reports filed by the Company with the Securities and Exchange Commission including its 2016 Form 10-K.

Ingles Markets, Incorporated is a leading supermarket chain with operations in six southeastern states. Headquartered in Asheville, North Carolina, the Company operates 202 supermarkets. In conjunction with its supermarket operations, the Company operates neighborhood shopping centers, most of which contain an Ingles supermarket. The Company also owns a fluid dairy facility that supplies Company supermarkets and unaffiliated customers. The Company’s Class A Common Stock is traded on The NASDAQ Stock Market’s Global Select Market under the symbol IMKTA. For more information, visit Ingles’ website www.ingles-markets.com.

Contact:
Ron Freeman
Chief Financial Officer
(828) 669-2941 (Ext. 223)

Source: Ingles Markets, Incorporated

Ingles Markets reports higher sales for the three months ended June 25, 2016 vs. same period last year

ASHEVILLE, N.C., 2016-Aug-05 — /EPR Retail News/ — Ingles Markets, Incorporated (NASDAQ:IMKTA) today reported higher sales for the three months ended June 25, 2016, compared with the three months ended June 27, 2015. Net sales increased despite significantly lower retail gasoline prices compared with the third quarter of last year and despite extra Easter sales in the third quarter of last fiscal year. Easter occurred in the second quarter of the current fiscal year. Net income totaled $12.7 million for the quarter ended June 25, 2016, compared with $13.8 million for the third quarter of fiscal year 2015.

For the nine months ended June 25, 2016, net income totaled $40.0 million compared with $43.1 million for the nine months ended June 27, 2015.

During fiscal year 2016, the Company incurred expenses related to preparing certain properties for redevelopment into new stores in future periods, including costs to tear down and write-off these properties. These expenses adversely affected net income comparisons between the current year three- and nine-month periods and those of the prior year.

Robert P. Ingle II, Chairman of the Board, stated, “We are pleased with this quarter’s sales growth and our store base capital investments that will benefit future periods.”

Third Quarter Results
Net sales increased by $11.2 million, or 1.2%, to $957.2 million for the three months ended June 25, 2016, from $946.0 million for the three months ended June 27, 2015. Lower gasoline sales due to a decline in the average sales price per gallon were offset by higher sales in other products. Excluding gasoline sales and the effect of extra Easter sales in last year’s quarter, retail grocery comparable store sales increased 2.6% over the comparative fiscal third quarter.

Gross profit for the June 2016 quarter increased 4.8% to $232.9 million, compared with $222.2 million for the third quarter of last fiscal year. Gross profit, as a percentage of sales, was 24.3% for the June 2016 quarter compared with 23.5% for the June 2015 quarter. Excluding gasoline sales, retail grocery gross margin increased 39 basis points comparing the June 2016 and June 2015 fiscal quarters.

Operating and administrative expenses for the June 2016 quarter totaled $199.4­ million, compared with $190.7 million for the June 2015 quarter. Most of the increase was due to higher personnel and other costs incurred to increase sales. Losses from asset disposals totaled $1.6 million during the current third quarter, compared with $0.3 million during last year’s third quarter.

Interest expense totaled $11.2 million for the three-month period ended June 25, 2016, and $10.6 million for the three-month period ended June 27, 2015. Total debt at the end of June 2016 was $898.2 million compared with $918.2 million at the end of June 2015.

Net income totaled $12.7 million for the three-month period ended June 25, 2016, compared with $13.8 million for the three-month period ended June 27, 2015. Net income, as a percentage of sales, was 1.3% for the June 2016 quarter and 1.5% for the June 2015 quarter. Basic and diluted earnings per share for Class A Common Stock were $0.64 and $0.63, respectively, for the quarter ended June 25, 2016, compared with $0.70 and $0.68, respectively, for the quarter ended June 27, 2015. Basic and diluted earnings per share for Class B Common Stock were each $0.59 for the quarter ended June 25, 2016, and $0.63 for the quarter ended June 27, 2015.

Nine Month Results
Nine month fiscal 2016 and 2015 sales each totaled $2.83 billion. Retail grocery comparable store sales, excluding the effect of gasoline increased 2.1%. Lower retail gasoline and fluid dairy prices were offset by increased sales of other products.

Gross profit for the nine months ended June 25, 2016, increased 3.3% and totaled $687.2 million compared with $665.2 million for the first nine months of last fiscal year. Gross profit, as a percentage of sales, was 24.3% for the June 2016 nine-month period compared with 23.5% for the June 2015 nine-month period. Retail grocery segment gross profit as a percentage of sales, excluding gasoline sales, increased 18 basis points comparing the first nine months of fiscal 2016 with the same fiscal 2015 period.

Operating and administrative expenses totaled $589.7 million for the nine months ended June 25, 2016, and $563.3 million for the nine months ended June 27, 2015. Losses from asset disposals totaled $0.9 million during the current nine-month period, compared with a gain of $0.3 million during last year’s nine-month period. Interest expense increased $0.2 million to $34.4 million for the nine-month period ended June 25, 2016, compared with $34.2 million for the nine-month period ended June 27, 2015.

Net income totaled $40.0 million for the nine-month period ended June 25, 2016, compared with $43.1 million for the nine-month period ended June 27, 2015. Net income, as a percentage of sales, was 1.4% for the nine months ended June 25, 2016, compared with 1.5% for the nine months ended June 27, 2015. Basic and diluted earnings per share for Class A Common Stock were $2.03 and $1.98, respectively, for the nine months ended June 25, 2016, compared with $2.19 and $2.13, respectively, for the nine months ended June 27, 2015. Basic and diluted earnings per share for Class B Common Stock were each $1.85 for the nine months ended June 25, 2016, compared with $1.99 of basic and diluted earnings per share for the nine months ended June 27, 2015.

Capital expenditures for the June 2016 nine-month period totaled $107.8 million, compared with $73.5 million for the June 2015 nine-month period. The increased capital expenditures this year are focused on store buildings opened this year (and scheduled to open early next year) as well as ongoing improvements to the existing store base. Capital expenditures for the entire fiscal year are expected to be approximately $120 million to $145 million.

The Company currently has $143.1 million available under its $175.0 million line of credit. The Company believes its financial resources, including the line of credit and other internal and anticipated external sources of funds, will be sufficient to meet planned capital expenditures, debt service and working capital requirements for the foreseeable future.

The comments in this press release contain certain forward-looking statements. Ingles undertakes no obligation to publicly release any revisions to any forward-looking statements contained herein to reflect events or circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events, except as required by law.  Ingles’ actual results may differ materially from those projected in forward-looking statements made by, or on behalf of, Ingles.  Factors that may affect results include changes in business and economic conditions generally in Ingles’ operating area, pricing pressures, increased competitive efforts by others in Ingles’ marketing areas and the availability of financing for capital improvements.  A more detailed discussion of these factors may be found in reports filed by the Company with the Securities and Exchange Commission including its 2015 Form 10-K and 2016 Forms 10-Q.

Ingles Markets, Incorporated is a leading supermarket chain with operations in six southeastern states. Headquartered in Asheville, North Carolina, the Company operates 201 supermarkets. In conjunction with its supermarket operations, the Company operates neighborhood shopping centers, most of which contain an Ingles supermarket. The Company also owns a fluid dairy facility that supplies Company supermarkets and unaffiliated customers. The Company’s Class A Common Stock is traded on The NASDAQ Stock Market’s Global Select Market under the symbol IMKTA. For more information, visit Ingles’ website www.ingles-markets.com.

Contact:

Telephone: (828) 669-2941
Fax: (828) 669-3678

Source: Ingles

Ingles Markets, Incorporated declares cash dividend on both Class A and Class B Common Stock

ASHEVILLE, N.C., 2016-Jun-29 — /EPR Retail News/ — Ingles Markets, Incorporated (NASDAQ: IMKTA) today announced that its Board of Directors has declared a cash dividend of $0.165 (sixteen and one-half cents) per share on all its Class A Common Stock and $0.15 (fifteen cents) per share on all its Class B Common Stock. This is an annual rate of $0.66 and $0.60 per share, respectively. Dividends on both the Class A and Class B Common Stock are payable July 14, 2016, to all shareholders of record on July 7, 2016.

Ingles Markets, Incorporated is a leading supermarket chain with operations in six southeastern states. Headquartered in Asheville, North Carolina, the Company operates 201 supermarkets. In conjunction with its supermarket operations, the Company operates neighborhood shopping centers, most of which contain an Ingles supermarket. The Company also owns a fluid dairy facility that supplies Company supermarkets and unaffiliated customers. The Company’s Class A Common Stock is traded on The NASDAQ Stock Market’s Global Select Market under the symbol IMKTA. For more information, visit Ingles’ website www.ingles-markets.com.

Source: Ingles

Ingles Markets Q1-2016: Higher sales and net income vs. the three months ended March 28, 2015

INGLES MARKETS, INCORPORATED REPORTS HIGHER SALES AND NET INCOME FOR SECOND QUARTER OF FISCAL 2016

ASHEVILLE, N.C., 2016-May-16 — /EPR Retail News/ — Ingles Markets, Incorporated (NASDAQ: IMKTA) today reported higher sales and net income for the three months ended March 26, 2016 compared with the three months ended March 28, 2015.  Net income totaled $14.4 million for the quarter ended March 26, 2016 compared with $14.3 million for the second quarter of fiscal year 2015.  Net sales also increased despite significantly lower retail gasoline prices compared with the second quarter of last year.

For the six months ended March 26, 2016 net income totaled $27.3 million compared with $29.3 million for the six months ended March 28, 2015.  Gasoline gross profits were significantly higher during the fiscal 2015 six month period compared with the current fiscal six month period.

The three and six month periods ended March 2016 benefitted from extra Easter sales.  Easter occurred in March 2016, but did not occur until the third quarter of last fiscal year.

Robert P. Ingle II, Chairman of the Board, stated, “We are pleased with this quarter’s sales growth, which also helped our net income for the quarter.”

Second Quarter Results

Net sales increased by $9.0 million, or 1.0%, to $924.3 million for the three months ended March 26, 2016 from $915.3 million for the three months ended March 28, 2015.  Lower gasoline sales were offset by higher sales in other products and by the positive effect of Easter sales.  Excluding gasoline sales and the effect of extra Easter sales, retail grocery comparable store sales increased 1.6% over the comparative fiscal second quarters.

Gross profit for the March 2016 quarter increased 4.6% to $228.7 million, compared with $218.7 million for the second quarter of last fiscal year.  Gross profit, as a percentage of sales, was 24.7% for the March 2016 quarter compared with 23.9% for the March 2015 quarter.  Excluding gasoline sales, retail grocery gross margin increased 23 basis points comparing the March 2016 and March 2015 fiscal quarters.

Operating and administrative expenses for the March 2016 quarter totaled $196.2­ million, compared with $185.6 million for the March 2015 quarter.  Interest expense totaled $11.2 million for the three-month period ended March 26, 2016 and $11.6 million for the three-month period ended March 28, 2015.  Total debt at the end of March 2016 was $907.7 million compared with $928.5 million at the end of March 2015.

Net income totaled $14.4 million for the three-month period ended March 26, 2016, compared with $14.3 million for the three-month period ended March 28, 2015.  Net income, as a percentage of sales, was 1.6% for both the March 2016 and March 2015 quarters.  Basic and diluted earnings per share for Class A Common Stock were $0.73 and $0.71, respectively, for the quarter ended March 26, 2016, compared with $0.72 and $0.71, respectively, for the quarter ended March 28, 2015.  Basic and diluted earnings per share for Class B Common Stock were each $0.66 for the quarter ended March 26, 2016, and the quarter ended March 28, 2015.

First Half Results

First half fiscal 2016 and 2015 sales each totaled $1.88 billion.  Retail grocery comparable store sales, excluding the effect of gasoline and extra Easter sales increased 1.5%.

Gross profit for the six months ended March 26, 2016, increased 2.5% and totaled $454.4 million compared with $443.1 million for the first six months of last fiscal year.  Gross profit, as a percentage of sales, was 24.2% for the March 2016 six-month period compared with 23.6% for the March 2015 six-month period.  Retail grocery segment gross profit as a percentage of sales, excluding gasoline sales, increased 8 basis points comparing the first half of fiscal 2016 with the same fiscal 2015 period.

Operating and administrative expenses totaled $390.2 million for the six months ended March 26, 2016, and $372.6 million for the six months ended March 28, 2015.  Interest expense decreased 1.7% to $23.2 million for the six-month period ended March 26, 2016 compared with $23.6 million for the six-month period ended March 28, 2015.

Net income totaled $27.3 million for the six-month period ended March 26, 2016, compared with $29.3 million for the six-month period ended March 28, 2015.   Net income, as a percentage of sales, was 1.5% for the six months ended March 26, 2016, compared with 1.6% for the six months ended March 28, 2015.  Basic and diluted earnings per share for Class A Common Stock were $1.39 and $1.35, respectively, for the six months ended March 26, 2016, compared with $1.49 and $1.45, respectively, for the six months ended March 28, 2015.  Basic and diluted earnings per share for Class B Common Stock were each $1.26 for the six months ended March 26, 2016, compared with $1.36 of basic and diluted earnings per share for the six months ended March 28, 2015.

Capital expenditures for the March 2016 six-month period totaled $71.2 million, compared with $44.3 million for the March 2015 six-month period.  The increased capital expenditures this year are focused on stores scheduled to open later this year as well as ongoing improvements to the existing store base.  Capital expenditures for the entire fiscal year are expected to be approximately $125 million to $145 million.

The Company currently has $135.9 million available under its $175.0 million line of credit.  The Company believes its financial resources, including the line of credit and other internal and anticipated external sources of funds, will be sufficient to meet planned capital expenditures, debt service and working capital requirements for the foreseeable future.

View Unaudited Financial Highlights

The comments in this press release contain certain forward-looking statements. Ingles undertakes no obligation to publicly release any revisions to any forward-looking statements contained herein to reflect events or circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events, except as required by law.  Ingles’ actual results may differ materially from those projected in forward-looking statements made by, or on behalf of, Ingles.  Factors that may affect results include changes in business and economic conditions generally in Ingles’ operating area, pricing pressures, increased competitive efforts by others in Ingles’ marketing areas and the availability of financing for capital improvements.  A more detailed discussion of these factors may be found in reports filed by the Company with the Securities and Exchange Commission including its 2015 Form 10-K and 2016 Forms 10-Q.

Ingles Markets, Incorporated is a leading supermarket chain with operations in six southeastern states. Headquartered in Asheville, North Carolina, the Company operates 202 supermarkets. In conjunction with its supermarket operations, the Company operates neighborhood shopping centers, most of which contain an Ingles supermarket. The Company also owns a fluid dairy facility that supplies Company supermarkets and unaffiliated customers. The Company’s Class A Common Stock is traded on The NASDAQ Stock Market’s Global Select Market under the symbol IMKTA. For more information, visit Ingles’ website www.ingles-markets.com.

Ingles Markets, Incorporated – Post Office Box 6676, Asheville, NC 28816

Ingles Markets, Incorporated to provide webcast of its second quarter earnings conference call on May 9, 2016

ASHEVILLE, N.C., 2016-May-04 — /EPR Retail News/ — Ingles Markets, Incorporated (NASDAQ: IMKTA) will provide an online, real-time webcast and rebroadcast of its second quarter earnings conference call on May 9, 2016. Ingles plans to release earnings for its second quarter ended March 26, 2016, on May 9, 2016.

The live broadcast of Ingles Markets’ quarterly conference call will be available on-line at:  www.ingles-markets.com on May 9, 2016 beginning at 10:00 a.m. (Eastern Time).  The online replay will follow immediately and continue for 90 days.  To hear the Company’s conference call live, dial 719-325-2463. A replay will be available from 12:00 p.m. (Eastern Time) on May 9, 2016 until 12:00 p.m. (Eastern Time) on May 18, 2016.  To listen to the playback, call 719-457-0820, reservation number 5968424.

About Ingles Markets, Incorporated

Ingles Markets, Incorporated is a leading supermarket chain with operations in six southeastern states. Headquartered in Asheville, North Carolina, the Company operates 202 supermarkets. In conjunction with its supermarket operations, the Company operates neighborhood shopping centers, most of which contain an Ingles supermarket. The Company also owns a fluid dairy facility that supplies Company supermarkets and unaffiliated customers. The Company’s Class A Common Stock is traded on The NASDAQ Stock Market’s Global Select Market under the symbol IMKTA. For more information, visit Ingles’ website www.ingles-markets.com.

Contact:
Ron Freeman
Chief Financial Officer
(828) 669-2941 (Ext. 223)

Source: Ingles


Ingles Markets shifts its own egg sales to cage-free

ASHEVILLE, N.C., 2016-Apr-06 — /EPR Retail News/ — Ingles Markets, Incorporated (NASDAQ: IMKTA) today announced it will support the industry-wide transition to cage-free hen housing by shifting its own egg sales to cage-free, joining a growing list retailers, restaurants, food manufacturers and egg producers that have announced similar plans.

Under the company’s new plan, Ingles’ goal is to have 100% of both the shell and liquid eggs it sells come from cage-free hens by 2025.

“Ingles supports the industry’s cage-free trajectory, and looks forward to working with our suppliers to achieve a cage-free supply chain,” said Ron Freeman, Ingles’ Chief Financial Officer. “This shift represents a natural part of Ingles’ ongoing work to ensure animals in our supply chain are provided with the ‘Five Freedoms’ of animal welfare, including the ability to engage in their natural behaviors.”

The Humane Society of the United States supports Ingles’ move.

“We applaud Ingles for addressing this important animal welfare issue,” said Matthew Prescott, senior food policy director for The Humane Society of the United States. “This commitment to offer products that come at a value and align with consumers’ values is a positive move for animals and customers alike.”

About Ingles Markets, Incorporated
Ingles Markets, Incorporated is a leading supermarket chain with operations in six southeastern states. Headquartered in Asheville, North Carolina, the Company operates 202 supermarkets. In conjunction with its supermarket operations, the Company operates neighborhood shopping centers, most of which contain an Ingles supermarket. The Company also owns a fluid dairy facility that supplies Company supermarkets and unaffiliated customers. The Company’s Class A Common Stock is traded on The NASDAQ Stock Market’s Global Select Market under the symbol IMKTA. For more information, visit Ingles’ website www.ingles-markets.com.


Ingles Markets, Incorporated – Post Office Box 6676, Asheville, NC 28816

Jim Lanning appointed CEO/President of Ingles Markets, Inc.

ASHEVILLE, N.C., 2016-Mar-29 — /EPR Retail News/ — Ingles Markets, Incorporated (NASDAQ: IMKTA) announced that effective today, Robert P. Ingle, II and the Company’s Board of Directors appointed Jim Lanning as CEO/President of Ingles Markets, Inc.  Mr. Lanning will continue to work with and report to Mr. Ingle, who will retain the title of Chairman of the Board (which he has held since 2004) and continue his day-to-day active operational role in the executive leadership of the Company.

Mr. Lanning joined Ingles as a student in 1975 and has served as President of the Company since 2003.  As CEO/President, he will continue his leadership role within the Company.

“Jim has shown outstanding leadership qualities as President for the past 13 years.  I am proud at this time to expand his role for the Company’s future growth, flexibility and development,” said Mr. Ingle.

About Ingles Markets, Incorporated
Ingles Markets, Incorporated is a leading supermarket chain with operations in six southeastern states. Headquartered in Asheville, North Carolina, the Company operates 202 supermarkets. In conjunction with its supermarket operations, the Company operates neighborhood shopping centers, most of which contain an Ingles supermarket. The Company also owns a fluid dairy facility that supplies Company supermarkets and unaffiliated customers. The Company’s Class A Common Stock is traded on The NASDAQ Stock Market’s Global Select Market under the symbol IMKTA. For more information, visit Ingles’ website www.ingles-markets.com.

Ingles Markets, Incorporated – Post Office Box 6676, Asheville, NC 28816

Ingles Markets, Incorporated announces the appointment of Jim Lanning as CEO/President

ASHEVILLE, N.C., 2016-Mar-28 — /EPR Retail News/ — Ingles Markets, Incorporated (NASDAQ: IMKTA) announced that effective today, Robert P. Ingle, II and the Company’s Board of Directors appointed Jim Lanning as CEO/President of Ingles Markets, Inc.  Mr. Lanning will continue to work with and report to Mr. Ingle, who will retain the title of Chairman of the Board (which he has held since 2004) and continue his day-to-day active operational role in the executive leadership of the Company.

Mr. Lanning joined Ingles as a student in 1975 and has served as President of the Company since 2003.  As CEO/President, he will continue his leadership role within the Company.

“Jim has shown outstanding leadership qualities as President for the past 13 years.  I am proud at this time to expand his role for the Company’s future growth, flexibility and development,” said Mr. Ingle.

About Ingles Markets, Incorporated
Ingles Markets, Incorporated is a leading supermarket chain with operations in six southeastern states. Headquartered in Asheville, North Carolina, the Company operates 202 supermarkets. In conjunction with its supermarket operations, the Company operates neighborhood shopping centers, most of which contain an Ingles supermarket. The Company also owns a fluid dairy facility that supplies Company supermarkets and unaffiliated customers. The Company’s Class A Common Stock is traded on The NASDAQ Stock Market’s Global Select Market under the symbol IMKTA. For more information, visit Ingles’ website www.ingles-markets.com.

Ingles Markets, Incorporated – Post Office Box 6676, Asheville, NC 28816

Ingles Markets, Incorporated to webcast its first quarter earnings conference call on February 8, 2016

ASHEVILLE, N.C., 2016-Feb-03 — /EPR Retail News/ — Ingles Markets, Incorporated (NASDAQ: IMKTA) will provide an online, real-time webcast and rebroadcast of its first quarter earnings conference call on February 8, 2016. Ingles plans to release earnings for its first quarter ended December 26, 2015, on February 8, 2016.

The live broadcast of Ingles Markets’ quarterly conference call will be available on-line at:  www.ingles-markets.com on February 8, 2016 beginning at 9:00 a.m. (Eastern Time).  The online replay will follow immediately and continue for 90 days.  To hear the Company’s conference call live, dial 719-325-2361. A replay will be available from 12:00 p.m. (Eastern Time) on February 8, 2016 until 12:00 p.m. (Eastern Time) on February 16, 2016.  To listen to the playback, call 719-457-0820, reservation number 4624999.

About Ingles Markets, Incorporated
Ingles Markets, Incorporated is a leading supermarket chain with operations in six southeastern states. Headquartered in Asheville, North Carolina, the Company operates 201 supermarkets. In conjunction with its supermarket operations, the Company operates neighborhood shopping centers, most of which contain an Ingles supermarket. The Company also owns a fluid dairy facility that supplies Company supermarkets and unaffiliated customers. The Company’s Class A Common Stock is traded on The NASDAQ Stock Market’s Global Select Market under the symbol IMKTA. For more information, visit Ingles’ website www.ingles-markets.com.

Ingles Markets, Incorporated – Post Office Box 6676, Asheville, NC 28816 – http://www.ingles-markets.com

Ingles Markets to pay quarterly cash dividend on both the Class A and Class B Common Stock

ASHEVILLE, N.C., 2015-12-30 — /EPR Retail News/ — Ingles Markets, Incorporated (NASDAQ: IMKTA) today announced that its Board of Directors has declared a cash dividend of $0.165 (sixteen and one-half cents) per share on all its Class A Common Stock and $0.15 (fifteen cents) per share on all its Class B Common Stock. This is an annual rate of $0.66 and $0.60 per share, respectively. Dividends on both the Class A and Class B Common Stock are payable January 21, 2016, to all shareholders of record on January 7, 2016.

About Ingles Markets, Incorporated
Ingles Markets, Incorporated is a leading supermarket chain with operations in six southeastern states. Headquartered in Asheville, North Carolina, the Company operates 201 supermarkets. In conjunction with its supermarket operations, the Company operates neighborhood shopping centers, most of which contain an Ingles supermarket. The Company also owns a fluid dairy facility that supplies Company supermarkets and unaffiliated customers. The Company’s Class A Common Stock is traded on The NASDAQ Stock Market’s Global Select Market under the symbol IMKTA. For more information, visit Ingles’ website www.ingles-markets.com.

Ingles Markets, Incorporated – Post Office Box 6676, Asheville, NC 28816 – http://www.ingles-markets.com

SOURCE: Ingles Markets Inc.

Ingles Markets Reports Record Core Grocery Sales and Net Income for Fiscal 2015

ASHEVILLE, N.C., 2015-12-11 — /EPR Retail News/ — Ingles Markets, Incorporated (NASDAQ: IMKTA) today reported record core grocery sales and record net income for fiscal 2015.  Core grocery sales exclude gasoline.  Total sales were $3.78 billion for fiscal 2015 compared with $3.84 billion in fiscal 2014.  For the full fiscal years ended September 2015 and 2014, net income rose to $59.4 million in 2015 compared with $51.4 million in 2014.

The growth in core grocery sales for the fourth quarter and fiscal 2015 were offset by lower gasoline prices compared with the prior year.  Ingles sold a record number of gallons of gasoline in fiscal 2015, but the average sales price per gallon was 94 cents lower in fiscal 2015 compared with fiscal 2014.

Net income for the fourth quarter of fiscal 2015 totaled $16.2 million, compared with net income of $17.6 million for the fourth quarter of fiscal 2014.  Total core grocery sales increased 2.8% in the fourth quarter of fiscal 2015 and 1.9% for fiscal 2015 compared with the comparable periods in fiscal 2014.

Commenting on the results, Robert P. Ingle II, Chief Executive Officer, said, “We are pleased with our core grocery sales growth, which drove a strong increase in net income for the year.”

Fourth Quarter Results

Net sales totaled $952.8 million for the quarter ended September 26, 2015, compared with $964.8 million for the comparable quarter in fiscal 2014.  Comparable store sales, excluding gasoline, increased 3.1%. Gallons of gasoline sold increased while the average per gallon sales price was substantially lower for the fourth quarter of the current year compared with the fourth quarter of the prior fiscal year.

Gross profit for the fourth quarter of fiscal 2015 increased to $228.1 million, compared with $220.4 million for the fourth quarter of fiscal 2014.  Gross profit as a percentage of sales was 23.9% and 22.8% for the 2015 and 2014 fourth quarters, respectively.  Core grocery gross margin increased 2 basis points comparing the fourth quarter of fiscal 2015 with the fourth quarter of fiscal 2014.

Operating and administrative expenses for the September 2015 quarter totaled $193.0 million.  Operating and administrative expenses as a percentage of sales were 20.3% for the fourth quarter of fiscal 2015, compared with $184.1 million or 19.1% of sales for the fourth quarter of fiscal 2014.  Ingles operated 201 stores and approximately 11.0 million square feet of store space at the end of fiscal 2015 and 202 stores and approximately 11.1 million square feet of store space at the end of fiscal 2014.  During fiscal 2015, the Company opened one new store and closed two stores that are being rebuilt and will reopen in the future.  The Company’s other store improvement capital projects this year focused on improved merchandising, convenience and the range of products offered to our customers.

Interest expense totaled $12.8 million for the fourth quarter of fiscal 2015, compared with $11.5 million for the fourth quarter of fiscal 2014.  Total debt was $895.3 million at the end of fiscal 2015 compared with $937.3 million at the end of fiscal 2014.

The Company’s effective tax rate was 34.3% for the fourth quarter of fiscal 2015, compared with 30.2% for the fourth quarter of fiscal 2014.  The unusually low effective tax rate for the fourth quarter of 2014 reflects certain discrete items in fiscal 2014 which were not expected to recur in future periods.

Net income for the September 2015 quarter decreased to $16.2 million, compared with net income of $17.6 million for the September 2014 quarter.  Basic and diluted earnings per share for the Company’s publicly traded Class A common stock increased to $0.83 and $0.80 per share, respectively, for the September 2015 quarter, compared with $0.82 and $0.79 per share, respectively, for the September 2014 quarter. The increase in earnings per share benefited from a decrease in average weighted shares outstanding due to the Company’s now-concluded stock repurchase program.

Annual Results

Net sales were $3.78 billion for the fiscal year ended September 2015, a decrease of $57.3 million, or 1.5%, from $3.84 billion for the fiscal year ended September 2014.  The Company achieved record core grocery sales in fiscal 2015.  Comparing fiscal 2015 with the previous year, comparable store sales increased 2.1%, excluding gasoline sales.

Gross profit for the fiscal year ended September 26, 2015, increased $48.1 million, or 5.7%, to $893.3 million, or 23.6% of sales, compared with $845.2 million, or 22.0% of sales, for the fiscal year ended September 27, 2014.  Core grocery gross profit as a percentage of total sales increased 64 basis points comparing fiscal 2015 with fiscal 2014.

Operating expenses increased $33.7 million in fiscal 2015, compared with fiscal 2014, and were 20.0% of sales for fiscal 2015 and 18.8% of sales for fiscal 2014.  Excluding gasoline sales and associated gasoline operating expenses (primarily payroll), operating expenses were 22.9% of sales for fiscal 2015, compared with 22.3% for fiscal 2014.

Gains on asset disposals totaled $2.2 million for fiscal 2015, compared with $0.8 million for fiscal 2014.  During fiscal 2015, the Company sold outparcels and wrote off buildings demolished in advance of rebuilding new stores in future periods.

Interest expense increased $0.4 million for the year ended September 26, 2015 to $47.0 million, compared with $46.6 million for the year ended September 27, 2014. Interest rates were stable across both fiscal periods.  Over the course of fiscal 2015, net debt repayments totaled $41.9 million.

Income tax expense as a percentage of pre-tax income was 37.2% for fiscal 2015 compared with 35.5% for fiscal 2014.  The increase in the effective tax rate is primarily attributable to certain discrete items in fiscal 2014 which are not expected to recur in future periods.

Net income for fiscal 2015 totaled $59.4 million, compared with net income of $51.4 million for fiscal 2014.  Basic and diluted earnings per share for the Company’s publicly traded Class A common stock were $3.02 and $2.93 per share, respectively, for the year ended September 26, 2015, compared with $2.36 and $2.28 per share, respectively, for the year ended September 27, 2014.

Capital expenditures totaled $104.1 million and $108.3 million for fiscal 2015 and 2014, respectively.   Major capital expenditures for fiscal 2015 included a new store, store remodels and the opening of five fuel stations.

The Company has a line of credit facility totaling $175.0 million with $164.1 million available (after deducting outstanding borrowings and letters of credit) at September 26, 2015.  The Company is in compliance with all of its debt agreements and has significant unencumbered assets at September 26, 2015.

View Unaudited Financial Highlights

The comments in this press release contain certain forward-looking statements. Ingles undertakes no obligation to publicly release any revisions to any forward-looking statements contained herein to reflect events or circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events, except as required by law.  Ingles’ actual results may differ materially from those projected in forward-looking statements made by, or on behalf of, Ingles.  Factors that may affect results include changes in business and economic conditions generally in Ingles’ operating area, pricing pressures, increased competitive efforts by others in Ingles’ marketing areas and the availability of financing for capital improvements.  A more detailed discussion of these factors may be found in reports filed by the Company with the Securities and Exchange Commission including its 2015 Form 10-K and Forms 10-Q.

Ingles Markets, Incorporated is a leading supermarket chain with operations in six southeastern states. Headquartered in Asheville, North Carolina, the Company operates 201 supermarkets. In conjunction with its supermarket operations, the Company operates neighborhood shopping centers, most of which contain an Ingles supermarket. The Company also owns a fluid dairy facility that supplies Company supermarkets and unaffiliated customers. The Company’s Class A Common Stock is traded on The NASDAQ Stock Market’s Global Select Market under the symbol IMKTA. For more information, visit Ingles’ website www.ingles-markets.com.

Ingles Markets, Incorporated – Post Office Box 6676, Asheville, NC 28816 – http://www.ingles-markets.com

SOURCE: Ingles Markets Inc.

Ingles Markets to webcast its fourth quarter earnings conference call on December 10, 2015

ASHEVILLE, N.C., 2015-12-4 — /EPR Retail News/ — Ingles Markets, Incorporated (NASDAQ: IMKTA) will provide an online, real-time webcast and rebroadcast of its fourth quarter earnings conference call on December 10, 2015. Ingles plans to release earnings for its fourth quarter ended September 26, 2015, on December 10, 2015.

The live broadcast of Ingles Markets’ quarterly conference call will be available on-line at: www.ingles-markets.com on December 10, 2015 beginning at 9:00 a.m. (Eastern Time).  The online replay will follow immediately and continue for 90 days.  To hear the Company’s conference call live, dial 719-325-2494. A replay will be available from 12:00 p.m. (Eastern Time) on December 10, 2015 until 12:00 p.m. (Eastern Time) on December 18, 2015.  To listen to the playback, call 719-457-0820, reservation number 6472319.

Ingles Markets, Incorporated is a leading supermarket chain with operations in six southeastern states. Headquartered in Asheville, North Carolina, the Company operates 201 supermarkets. In conjunction with its supermarket operations, the Company operates neighborhood shopping centers, most of which contain an Ingles supermarket. The Company also owns a fluid dairy facility that supplies Company supermarkets and unaffiliated customers. The Company’s Class A Common Stock is traded on The NASDAQ Stock Market’s Global Select Market under the symbol IMKTA. For more information, visit Ingles’ website www.ingles-markets.com.

Ingles Markets, Incorporated – Post Office Box 6676, Asheville, NC 28816 – http://www.ingles-markets.com

Contact:
Ron Freeman
Chief Financial Officer
(828) 669-2941 (Ext. 223)

SOURCE:  Ingles Markets Inc.

Ingles Markets declared quarterly cash dividend

ASHEVILLE, N.C., 2015-9-29 — /EPR Retail News/ — Ingles Markets, Incorporated (NASDAQ: IMKTA) today announced that its Board of Directors has declared a cash dividend of $0.165 (sixteen and one-half cents) per share on all its Class A Common Stock and $0.15 (fifteen cents) per share on all its Class B Common Stock.  This is an annual rate of $0.66 and $0.60 per share, respectively.  Dividends on both the Class A and Class B Common Stock are payable October 22, 2015, to all shareholders of record on October 8, 2015.

Ingles Markets, Incorporated is a leading supermarket chain with operations in six southeastern states. Headquartered in Asheville, North Carolina, the Company operates 201 supermarkets. In conjunction with its supermarket operations, the Company operates neighborhood shopping centers, most of which contain an Ingles supermarket. The Company also owns a fluid dairy facility that supplies Company supermarkets and unaffiliated customers. The Company’s Class A Common Stock is traded on The NASDAQ Stock Market’s Global Select Market under the symbol IMKTA. For more information, visit Ingles’ website www.ingles-markets.com.

Ingles Markets, Incorporated – Post Office Box 6676, Asheville, NC 28816 – http://www.ingles-markets.com

SOURCE: Ingles Markets Inc.

Ingles Markets to provide an online, real-time webcast and rebroadcast of its third quarter earnings conference call on August 3, 2015

ASHEVILLE, N.C.,  2015-7-30 — /EPR Retail News/ — Ingles Markets, Incorporated (NASDAQ: IMKTA) will provide an online, real-time webcast and rebroadcast of its third quarter earnings conference call on August 3, 2015. Ingles plans to release earnings for its third quarter ended June 27, 2015, on August 3, 2015.

The live broadcast of Ingles Markets’ quarterly conference call will be available on-line at:  www.ingles-markets.com on August 3, 2015 beginning at 9:00 a.m. (Eastern Time).  The online replay will follow immediately and continue for 90 days.  To hear the Company’s conference call live, dial 719-325-2495. A replay will be available from 12:00 p.m. (Eastern Time) on August 3, 2015 until 12:00 p.m. (Eastern Time) on August 11, 2015.  To listen to the playback, call 719-457-0820, reservation number 1906650.

Ingles Markets, Incorporated is a leading supermarket chain with operations in six southeastern states. Headquartered in Asheville, North Carolina, the Company operates 201 supermarkets. In conjunction with its supermarket operations, the Company operates neighborhood shopping centers, most of which contain an Ingles supermarket. The Company also owns a fluid dairy facility that supplies Company supermarkets and unaffiliated customers. The Company’s Class A Common Stock is traded on The NASDAQ Stock Market’s Global Select Market under the symbol IMKTA. For more information, visit Ingles’ website www.ingles-markets.com.

Ingles Markets, Incorporated – Post Office Box 6676, Asheville, NC 28816 – http://www.ingles-markets.com

Ingles Markets, Incorporated announces cash dividend of $0.165 per share on all its Class A Common Stock

ASHEVILLE, N.C., 2015-4-1 — /EPR Retail News/ — Ingles Markets, Incorporated (NASDAQ: IMKTA) today announced that its Board of Directors has declared a cash dividend of $0.165 (sixteen and one-half cents) per share on all its Class A Common Stock and $0.15 (fifteen cents) per share on all its Class B Common Stock.  This is an annual rate of $0.66 and $0.60 per share, respectively.  Dividends on both the Class A and Class B Common Stock are payable April 23, 2015, to all shareholders of record on April 9, 2015.

Ingles Markets, Incorporated is a leading supermarket chain with operations in six southeastern states. Headquartered in Asheville, North Carolina, the Company operates 202 supermarkets. In conjunction with its supermarket operations, the Company operates neighborhood shopping centers, most of which contain an Ingles supermarket. The Company also owns a fluid dairy facility that supplies Company supermarkets and unaffiliated customers. The Company’s Class A Common Stock is traded on The NASDAQ Stock Market’s Global Select Market under the symbol IMKTA. For more information, visit Ingles’ website www.ingles-markets.com.

Contact:
Ron Freeman
Chief Financial Officer
(828) 669-2941 (Ext. 223)

Ingles Markets, Incorporated reported record sales of $3.84 billion for fiscal 2014, its 50th consecutive year of sales growth

ASHEVILLE, N.C., 2014-12-8 — /EPR Retail News/ — Ingles Markets, Incorporated (NASDAQ: IMKTA) today reported record sales of $3.84 billion for fiscal 2014, its 50th consecutive year of sales growth.  For the full fiscal years, net income rose to $51.4 million in 2014 compared with $20.8 million in 2013. Fiscal 2013 included a $26.2 million after tax charge for debt extinguishment costs incurred during the third quarter of fiscal 2013.  These costs were incurred as part of a refinancing of the Company’s major credit arrangements on more favorable terms.

Net income for the fourth quarter totaled $17.6 million, 13.1% higher than net income of $15.6 million for the fourth quarter of fiscal 2013.  Total sales increased 1.7% in the fourth quarter of fiscal 2014 and 2.6% for the fiscal 2014 compared with the comparable periods in fiscal 2013.

Commenting on the results, Robert P. Ingle II, Chief Executive Officer, said, “Fifty years of sales growth is quite an accomplishment for the Company, and we are grateful for our loyal customer base. We will continue to improve our customer experience through providing a great selection of products delivered with convenience and value.”

Fourth Quarter Results

Net sales rose to $964.8 million for the quarter ended September 27, 2014, compared with $948.9 million for the comparable quarter in fiscal 2013.  Comparable store sales, excluding gasoline, increased 0.9%. Gallons and dollars of gasoline sold increased while the average per gallon sales price was substantially the same for both fourth quarter periods.

Gross profit for the fourth quarter of fiscal 2014 increased to $220.4 million, compared with $210.3 million for the fourth quarter of fiscal 2013.  Gross profit as a percentage of sales was 22.8% and 22.2% for the 2014 and 2013 fourth quarters, respectively.  Grocery segment gross margins, excluding gasoline, increased 84 basis points comparing the fourth quarter of fiscal 2014 with the fourth quarter of fiscal 2013.

Operating and administrative expenses for the September 2014 quarter totaled $184.1 million.  Operating and administrative expenses as a percentage of sales were 19.1% for the fourth quarter of fiscal 2014, compared with $178.9 million or 18.9% of sales for the fourth quarter of fiscal 2013.  Ingles operated 202 stores and approximately 11.1 million square feet of store space at the end of fiscal 2014 and 203 stores and approximately 11.1 million square feet of store space at the end of fiscal 2013.  During fiscal 2014, the Company opened one new store and closed two stores.  The Company’s other store improvement capital projects this year focused on improved merchandising, convenience and the range of products offered to our customers.

Interest expense totaled $11.5 million for the fourth quarter of fiscal 2014, compared with $11.9 million for the fourth quarter of fiscal 2013.  Total debt was $937.3 million at the end of fiscal 2014 compared with $912.5 million at the end of fiscal 2013.

The Company’s effective tax rate was 30.2% for the fourth quarter of fiscal 2014, compared with 23.8% for the fourth quarter of fiscal 2013.  The unusually low effective tax rate for the fourth quarter of 2013 reflects the full year impact of 2013’s decrease in certain state tax rates and to the greater influence of tax credits on pretax income compared with the current fiscal year.

Net income for the September 2014 quarter rose to $17.6 million, compared with net income of $15.6 million for the September 2013 quarter.  Basic and diluted earnings per share for the Company’s publicly traded Class A common stock increased to $0.82 and $0.79 per share, respectively, for the September 2014 quarter, compared with $0.71 and $0.68 per share, respectively, for the September 2013 quarter.

Annual Results  

Net sales were a record $3.84 billion for the fiscal year ended September 2014, an increase of $97.4 million, or 2.6%, from $3.74 billion for the fiscal year ended September 2013.  Fiscal year 2014 was Ingles’ 50thconsecutive year of record sales.  Comparing fiscal 2014 with the previous year, comparable store sales increased 0.9%, excluding gasoline sales. Gallons and dollars of gasoline sold increased while the average per gallon sales price decreased slightly comparing fiscal 2014 with fiscal 2013.

Gross profit for the fiscal year ended September 27, 2014, increased $17.4 million, or 2.1%, to $845.2 million, or 22.0% of sales, compared with $827.8 million, or 22.1% of sales, for the fiscal year ended September 28, 2013.  Grocery segment gross profit as a percentage of total sales, excluding gasoline, increased 36 basis points comparing fiscal 2014 with fiscal 2013.

Operating expenses increased $16.1 million in fiscal 2014, compared with fiscal 2013, and were 18.9% of sales for fiscal 2014 and for fiscal 2013.  Excluding gasoline sales and associated gasoline operating expenses (primarily payroll), operating expenses were 22.3% of sales for fiscal 2014, compared with 22.1% for fiscal 2013.

Gains/losses on asset disposals and other income totaled $3.8 million for fiscal 2014, compared with $7.2 million for fiscal 2013.  The decrease is attributable to a $3.9 million gain on the sale of a former store property in fiscal 2013.

Interest expense decreased $12.5 million for the year ended September 27, 2014 to $46.6 million, compared with $59.1 million for the year ended September 28, 2013. Interest expense decreased due to the refinancing of existing debt at lower rates.

In June 2013, the Company issued $700 million of Senior Notes due 2023 at a rate of 5.75%.  Proceeds were used to repay $575 million of Senior Notes due 2017 that had an effective rate of 9.5%, repay certain other debt, and pay the costs of the transaction, including prepayment penalties on the 9.5% notes.  These prepayment penalties and the write off of other costs on repaid debt totaled $26.2 million after tax and were charged to earnings during the June 2013 quarter.

Income tax expense as a percentage of pre-tax income was 35.5% for fiscal 2014 compared with 20.8% for fiscal 2013.  The previously mentioned debt extinguishment costs resulted in 2013 tax credits offsetting a greater portion of fiscal 2013 income, resulting in a lower fiscal 2013 effective tax rate.

Net income for fiscal 2014 totaled $51.4 million, compared with net income of $20.8 million for fiscal 2013.  Basic and diluted earnings per share for the Company’s publicly traded Class A common stock were $2.36 and $2.28 per share, respectively, for the year ended September 27, 2014, compared with $0.89 and $0.87 per share, respectively, for the year ended September 28, 2013.

Capital expenditures totaled $110.1 million and $101.5 million for fiscal 2014 and 2013, respectively.   Major capital expenditures for fiscal 2014 included a new store, store remodels and the opening of 9 fuel stations.

The Company has a line of credit facility totaling $175.0 million with $134.1 million available (after deducting outstanding borrowings and letters of credit) at September 27, 2014.  The Company is in compliance with all of its debt agreements and has significant unencumbered assets at September 27, 2014.

View Unaudited Financial Highlights

The comments in this press release contain certain forward-looking statements.  Ingles undertakes no obligation to publicly release any revisions to any forward-looking statements contained herein to reflect events or circumstances occurring after the date hereof or to reflect the occurrence of unanticipated events, except as required by law.  Ingles’ actual results may differ materially from those projected in forward-looking statements made by, or on behalf of, Ingles. Factors that may affect results include changes in business and economic conditions generally in Ingles’ operating area, pricing pressures, increased competitive efforts by others in Ingles’ marketing areas and the availability of financing for capital improvements. A more detailed discussion of these factors may be found in reports filed by the Company with the Securities and Exchange Commission including its 2014 Form 10-K and Forms 10-Q.

Ingles Markets, Incorporated is a leading supermarket chain with operations in six southeastern states. Headquartered in Asheville, North Carolina, the Company operates 202 supermarkets. In conjunction with its supermarket operations, the Company operates neighborhood shopping centers, most of which contain an Ingles supermarket. The Company also owns a fluid dairy facility that supplies Company supermarkets and unaffiliated customers. The Company’s Class A Common Stock is traded on The NASDAQ Stock Market’s Global Select Market under the symbol IMKTA. For more information, visit Ingles’ website www.ingles-markets.com.

Ingles Markets, Incorporated – Post Office Box 6676, Asheville, NC 28816 – http://www.ingles-markets.com

Ingles Markets, Incorporated declares $0.165 cash dividend per share on its Class A Common Stock and $0.15 per share on its Class B Common Stock

ASHEVILLE, N.C., 2014-9-30— /EPR Retail News/ — Ingles Markets, Incorporated (NASDAQ: IMKTA) today announced that its Board of Directors has declared a cash dividend of $0.165 (sixteen and one-half cents) per share on all its Class A Common Stock and $0.15 (fifteen cents) per share on all its Class B Common Stock.  This is an annual rate of $0.66 and $0.60 per share, respectively.  Dividends on both the Class A and Class B Common Stock are payable October 23, 2014, to all shareholders of record on October 9, 2014.

Ingles Markets, Incorporated is a leading supermarket chain with operations in six southeastern states. Headquartered in Asheville, North Carolina, the Company operates 202 supermarkets. In conjunction with its supermarket operations, the Company operates neighborhood shopping centers, most of which contain an Ingles supermarket. The Company also owns a fluid dairy facility that supplies Company supermarkets and unaffiliated customers. The Company’s Class A Common Stock is traded on The NASDAQ Stock Market’s Global Select Market under the symbol IMKTA. For more information, visit Ingles’ website www.ingles-markets.com.

Ingles Markets, Incorporated – Post Office Box 6676, Asheville, NC 28816 – http://www.ingles-markets.com