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AMCON Distributing Company Reports Operating Results (10-Q)

July 19, 2012 | About:
10qk

10qk

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AMCON Distributing Company (DIT) filed Quarterly Report for the period ended 2012-06-30.

Amcon Distributing Co. has a market cap of $37.3 million; its shares were traded at around $63.15 with a P/E ratio of 6.3. The dividend yield of Amcon Distributing Co. stocks is 1.2%. Amcon Distributing Co. had an annual average earning growth of 15% over the past 10 years.

Highlight of Business Operations:

Sales in our Wholesale Segment increased $43.3 million during Q3 2012 as compared to Q3 2011. Significant items impacting sales during Q3 2012 included a $29.3 million increase in sales related to our acquisition of LPS in May 2011, a $7.2 million increase in sales related to price increases implemented by cigarette manufacturers, a $2.9 million increase in sales related to the volume and mix of cigarette cartons sold, and a $3.9 million increase in sales in our tobacco, beverage, snacks, candy, grocery, health & beauty products, automotive, foodservice, and store supplies categories (Other Products).

Sales in our Retail Segment were substantially unchanged in Q3 2012 as compared to Q3 2011. Significant items impacting sales during the period were a $0.5 million increase in our Chamberlins retail stores, offset by a $0.5 million decrease in sales in our Akins retail stores. Sales in our Chamberlins stores continue to show improved results coming off the depths of the severe recession in the Florida region, while sales in our Akins retail stores have been impacted by increased competition from the expansion of national and regional health food chains in our markets.

Gross profit in our Wholesale Segment increased $1.7 million in Q3 2012 as compared to Q3 2011. Of this increase, approximately $1.5 million related to our acquisition of LPS and $0.9 million related to the benefit from cigarette manufacturer price increases and the impact of increases in cigarette excise taxes. These increases were partially offset up a $0.7 million decrease in gross profit related to the volume and mix of sales in our cigarette and Other Product categories. Gross profit in our Retail Segment was substantially unchanged in Q3 2012 as compared to Q3 2011.

Sales in our Wholesale Segment increased $141.5 million for the nine months ended June 2012 as compared to the same prior year period. Significant items impacting our Wholesale Segment sales for the nine months ended June 2012 included a $120.0 million increase in sales related to the acquisition of LPS, a $19.2 million increase in sales related to price increases implemented by cigarette manufacturers, and a $8.0 million increase in our Other Product categories sales. These increases were partially offset by a $5.7 million reduction in sales related to the volume and mix of cigarette cartons sold.

Gross profit in our Wholesale Segment increased $5.7 million for the nine month period ended June 2012 as compared to the same prior year period. Of this increase, approximately $6.5 million related to our acquisition of LPS and $0.9 million related to the benefit from cigarette manufacturer price increases and the impact of increases in cigarette excise taxes. Partially offsetting this was a $1.7 million reduction in gross profit related to the volume and mix of sales in our cigarette and Other Product categories.

Read the The complete Report

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10qk
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