OilDri Corp. of America (ODC, Financial) filed Quarterly Report for the period ended 2009-04-30.
OIL-DRI CORP. OF AMERICA develops manufactures and markets sorbent products and related services for the consumer industrial environmental agricultural and fluid purification markets throughout the U.S. and foreign countries. OilDri Corp. of America has a market cap of $91.8 million; its shares were traded at around $17.83 with a P/E ratio of 14.2 and P/S ratio of 0.4. The dividend yield of OilDri Corp. of America stocks is 3.2%. OilDri Corp. of America had an annual average earning growth of 5% over the past 5 years.
The Business to Business Products Group s segment operating income increased 4% from $11,561,000 in the first nine months of fiscal 2008 to $11,991,000 in the first nine months of fiscal 2009. Higher net selling prices offset decreased tons sold and an approximately 11% increase in combined freight, materials and packaging costs. Freight costs increased approximately 14%. Although overall international freight costs and domestic diesel fuel prices declined during the later part of the first nine months of fiscal 2009, on average our freight costs were higher compared to the first nine months of fiscal 2008. Material costs were impacted by increased costs for fuel used to dry our clay-based products which resulted in approximately a 13% cost increase. See the discussion of manufacturing costs under Consolidated Results below. Conversely, packaging costs decreased approximately 7% due primarily to lower costs for resin. Selling, general and administrative expenses for the Group were up approximately 26% due primarily to increased product development and marketing costs associated with the launch of new animal health and nutrition products.
Net sales of the Retail and Wholesale Products Group for the first nine months of fiscal 2009 were $121,470,000, an increase of $4,418,000 from net sales of $117,052,000 reported in the first nine months of fiscal 2008. The net sales growth was driven by increased average net selling prices that more than offset a 2% decline in tons sold. The decline in total tons sold was driven by reductions in tons sold by our foreign subsidiaries and in sales of our industrial absorbents, while domestic cat litter tons sold were flat. Net sales of private label cat litter increased 9% due primarily to 3% more tons sold and a higher net selling price. The higher tons sold was the result of expanded distribution to existing customers, as well as distribution to new customers. Net sales of branded cat litter also increased 6% due to higher net selling prices that more than offset a 6% decline in tons sold. Our branded coarse cat litter tons sold declined; however, our branded scoopable cat litter tons sold increased as a result of new products and marketing programs. Net sales of domestic industrial absorbents also increased 4% due to a higher net selling price while tons sold were 2% lower due to poor economic conditions in the domestic manufacturing and automotive industries. Net sales of our foreign subsidiaries decreased 23% with a 14% decline in tons sold. Both our United Kingdom and Canadian subsidiaries have been negatively impacted by weak local currencies compared to the U.S. Dollar and the worldwide economic slowdown. See Foreign Operations below for further information regarding our foreign subsidiaries results.
Net sales of the Business to Business Products Group for the third quarter of fiscal 2009 were $19,992,000, a decrease of $330,000 or 2% from net sales of $20,322,000 in the third quarter of fiscal 2008. This decrease was due primarily to a 14% decline in tons sold which prevailed over higher net selling prices. Net sales were down for sports products, bleaching earth and fluid filtration products. Net sales of sports products declined 24% with 26% lower tons sold. Sales of our baseball products declined due to the negative impact of economic conditions on municipalities and other recreational baseball customers. Sales of golf products decreased upon the loss of a distributor. Net sales of bleaching earth and fluid purification products were down 10% from the third quarter last year as a 17% decline in tons sold outweighed a higher net selling price. The lower tons sold for bleaching earth products were the result of a weak global economy and a good quality soybean crop, which requires less bleaching clay to process the oil. Net sales of our flowability aid product decreased 11% with 25% lower tons sold. The demand for flowability aid products used in animal feed was reduced due to the protein content of the soybean crop which is a determining factor in feed formulations. Net sales increased for agricultural chemical carriers, co-packaged products and animal health and nutrition products. Net sales of agricultural chemical carriers were up 15% due primarily to a higher net selling price that more than offset a 7% decrease in tons sold. Agricultural chemical carriers tons sold declined primarily in the lawn and garden market due to the increased use of engineered granules and the poor economy. A higher net selling price for our co-packaged traditional coarse cat litter and a 5% increase in tons sold resulted in an 11% net sales increase; however, under the terms of the agreement with our co-packaging partner, the net selling price was reduced at the end of the third quarter of fiscal 2009. Net sales of animal health and nutrition products were up 14% due primarily to increased net selling prices and the sales of new products.
Net sales of the Retail and Wholesale Products Group for the third quarter of fiscal 2009 were $38,061,000, a decrease of $1,160,000 or 3% from net sales of $39,221,000 reported in the third quarter of fiscal 2008. The net sales decline was driven by a 9% decrease in tons sold that outweighed increased net selling prices. Domestic industrial absorbents and cat litter products, as well as our foreign subsidiaries all experienced a reduction in tons sold. Net sales of our foreign subsidiaries decreased 31% with a 17% decline in tons sold. Both our United Kingdom and Canadian subsidiaries have been negatively impacted by weak local currencies compared to the U.S. Dollar and the worldwide economic slowdown. See Foreign Operations below for further information regarding our foreign subsidiaries results. Total cat litter net sales were up 1% as a higher net selling price offset a decrease in tons sold of approximately 6%. Net sales of private label cat litter increased 1% due a higher net selling price that offset 4% lower tons sold. Net sales of branded cat litter also increased 1% due primarily to higher net selling prices that offset a 10% decline in tons sold. Sales of our branded coarse cat litter declined in dollars and tons sold; however, sales of our branded scoopable cat litter increased in dollars and tons sold due to improved sales to existing customers. Our industrial absorbents net sales were flat for the quarter with 7% lower tons sold. The continuing poor economic conditions in the manufacturing and automotive industries had a negative impact on industrial absorbent sales.
Net sales by our foreign subsidiaries during the first nine months of fiscal 2009 were $10,206,000 or 6% of our consolidated net sales. This represents a decrease of 23% compared to foreign subsidiary net sales from the first nine months of fiscal 2008 of $13,186,000 or 8% of our consolidated net sales. Net sales and tons sold decreased in both our Canadian and United Kingdom subsidiaries. Industrial absorbent sales were down for both subsidiaries as the worldwide economic slowdown impacted sales through reduced orders. In addition, the British Pound was approximately 21% weaker and the Canadian Dollar was approximately 15% weaker against the U.S. Dollar for the first nine months of fiscal 2009 compared to the first nine months of fiscal 2008, which resulted in lower sales values after translation to U.S. Dollars for the first nine months of fiscal 2009. For the first nine months of fiscal 2009, our foreign subsidiaries reported a net loss of $496,000, a decrease of $1,432,000 from the $936,000 net income reported in the first nine months of fiscal 2008. The lower tons sold and currency impacts described above contributed to the net loss, alonRead the The complete Report
OIL-DRI CORP. OF AMERICA develops manufactures and markets sorbent products and related services for the consumer industrial environmental agricultural and fluid purification markets throughout the U.S. and foreign countries. OilDri Corp. of America has a market cap of $91.8 million; its shares were traded at around $17.83 with a P/E ratio of 14.2 and P/S ratio of 0.4. The dividend yield of OilDri Corp. of America stocks is 3.2%. OilDri Corp. of America had an annual average earning growth of 5% over the past 5 years.
Highlight of Business Operations:
Net sales of the Business to Business Products Group for the first nine months of fiscal 2009 were $58,841,000, an increase of $3,039,000 from net sales of $55,802,000 in the first nine months of fiscal 2008. The net sales increase was attributed primarily to higher net selling prices that more than offset an overall 8% decrease in tons sold. Tons sold were down for all products, except for co-packaged cat litter products. Our co-packaged traditional coarse cat litter net sales increased 13% due primarily to an increase in net selling price accompanied by a 4% increase in tons sold. Net sales of agricultural chemical carriers increased 15% due primarily to higher net selling prices that overcame a 9% decrease in tons sold. Fewer tons were sold in the crop protection market due to greater use of genetically modified seed and in the lawn and garden market due to the weak economy and the increased use of engineered granules. Net sales of our flowability aid product increased 5% while tons sold decreased 21%. The demand for flowability aid products used in animal feed was reduced due to the protein content of the soybean crop which is a determining factor in feed formulations. Net sales of bleaching earth and fluid purification products increased 4% due primarily to a higher net selling price while tons sold declined 6%. A good quality soybean crop, which requires less bleaching clay to process the oil, a weak global economy and high export freight costs resulted in lower tons sold for bleaching earth products. Animal health and nutrition products reported a 10% increase in net sales with a 21% decline in tons sold. The increase in net sales of animal health and nutrition products was due primarily to increased net selling prices and the initial sales of new products. Tons sold declined during the first nine months of fiscal 2009 in part due to the transition of customers to these new products. Sports products experienced a 19% decline in net sales along with a 23% decline in tons sold. Sales of our baseball products suffered from the impact of the economic downturn on municipalities and other recreational baseball customers. Sales of golf products declined upon the loss of a golf products distributor.The Business to Business Products Group s segment operating income increased 4% from $11,561,000 in the first nine months of fiscal 2008 to $11,991,000 in the first nine months of fiscal 2009. Higher net selling prices offset decreased tons sold and an approximately 11% increase in combined freight, materials and packaging costs. Freight costs increased approximately 14%. Although overall international freight costs and domestic diesel fuel prices declined during the later part of the first nine months of fiscal 2009, on average our freight costs were higher compared to the first nine months of fiscal 2008. Material costs were impacted by increased costs for fuel used to dry our clay-based products which resulted in approximately a 13% cost increase. See the discussion of manufacturing costs under Consolidated Results below. Conversely, packaging costs decreased approximately 7% due primarily to lower costs for resin. Selling, general and administrative expenses for the Group were up approximately 26% due primarily to increased product development and marketing costs associated with the launch of new animal health and nutrition products.
Net sales of the Retail and Wholesale Products Group for the first nine months of fiscal 2009 were $121,470,000, an increase of $4,418,000 from net sales of $117,052,000 reported in the first nine months of fiscal 2008. The net sales growth was driven by increased average net selling prices that more than offset a 2% decline in tons sold. The decline in total tons sold was driven by reductions in tons sold by our foreign subsidiaries and in sales of our industrial absorbents, while domestic cat litter tons sold were flat. Net sales of private label cat litter increased 9% due primarily to 3% more tons sold and a higher net selling price. The higher tons sold was the result of expanded distribution to existing customers, as well as distribution to new customers. Net sales of branded cat litter also increased 6% due to higher net selling prices that more than offset a 6% decline in tons sold. Our branded coarse cat litter tons sold declined; however, our branded scoopable cat litter tons sold increased as a result of new products and marketing programs. Net sales of domestic industrial absorbents also increased 4% due to a higher net selling price while tons sold were 2% lower due to poor economic conditions in the domestic manufacturing and automotive industries. Net sales of our foreign subsidiaries decreased 23% with a 14% decline in tons sold. Both our United Kingdom and Canadian subsidiaries have been negatively impacted by weak local currencies compared to the U.S. Dollar and the worldwide economic slowdown. See Foreign Operations below for further information regarding our foreign subsidiaries results.
Net sales of the Business to Business Products Group for the third quarter of fiscal 2009 were $19,992,000, a decrease of $330,000 or 2% from net sales of $20,322,000 in the third quarter of fiscal 2008. This decrease was due primarily to a 14% decline in tons sold which prevailed over higher net selling prices. Net sales were down for sports products, bleaching earth and fluid filtration products. Net sales of sports products declined 24% with 26% lower tons sold. Sales of our baseball products declined due to the negative impact of economic conditions on municipalities and other recreational baseball customers. Sales of golf products decreased upon the loss of a distributor. Net sales of bleaching earth and fluid purification products were down 10% from the third quarter last year as a 17% decline in tons sold outweighed a higher net selling price. The lower tons sold for bleaching earth products were the result of a weak global economy and a good quality soybean crop, which requires less bleaching clay to process the oil. Net sales of our flowability aid product decreased 11% with 25% lower tons sold. The demand for flowability aid products used in animal feed was reduced due to the protein content of the soybean crop which is a determining factor in feed formulations. Net sales increased for agricultural chemical carriers, co-packaged products and animal health and nutrition products. Net sales of agricultural chemical carriers were up 15% due primarily to a higher net selling price that more than offset a 7% decrease in tons sold. Agricultural chemical carriers tons sold declined primarily in the lawn and garden market due to the increased use of engineered granules and the poor economy. A higher net selling price for our co-packaged traditional coarse cat litter and a 5% increase in tons sold resulted in an 11% net sales increase; however, under the terms of the agreement with our co-packaging partner, the net selling price was reduced at the end of the third quarter of fiscal 2009. Net sales of animal health and nutrition products were up 14% due primarily to increased net selling prices and the sales of new products.
Net sales of the Retail and Wholesale Products Group for the third quarter of fiscal 2009 were $38,061,000, a decrease of $1,160,000 or 3% from net sales of $39,221,000 reported in the third quarter of fiscal 2008. The net sales decline was driven by a 9% decrease in tons sold that outweighed increased net selling prices. Domestic industrial absorbents and cat litter products, as well as our foreign subsidiaries all experienced a reduction in tons sold. Net sales of our foreign subsidiaries decreased 31% with a 17% decline in tons sold. Both our United Kingdom and Canadian subsidiaries have been negatively impacted by weak local currencies compared to the U.S. Dollar and the worldwide economic slowdown. See Foreign Operations below for further information regarding our foreign subsidiaries results. Total cat litter net sales were up 1% as a higher net selling price offset a decrease in tons sold of approximately 6%. Net sales of private label cat litter increased 1% due a higher net selling price that offset 4% lower tons sold. Net sales of branded cat litter also increased 1% due primarily to higher net selling prices that offset a 10% decline in tons sold. Sales of our branded coarse cat litter declined in dollars and tons sold; however, sales of our branded scoopable cat litter increased in dollars and tons sold due to improved sales to existing customers. Our industrial absorbents net sales were flat for the quarter with 7% lower tons sold. The continuing poor economic conditions in the manufacturing and automotive industries had a negative impact on industrial absorbent sales.
Net sales by our foreign subsidiaries during the first nine months of fiscal 2009 were $10,206,000 or 6% of our consolidated net sales. This represents a decrease of 23% compared to foreign subsidiary net sales from the first nine months of fiscal 2008 of $13,186,000 or 8% of our consolidated net sales. Net sales and tons sold decreased in both our Canadian and United Kingdom subsidiaries. Industrial absorbent sales were down for both subsidiaries as the worldwide economic slowdown impacted sales through reduced orders. In addition, the British Pound was approximately 21% weaker and the Canadian Dollar was approximately 15% weaker against the U.S. Dollar for the first nine months of fiscal 2009 compared to the first nine months of fiscal 2008, which resulted in lower sales values after translation to U.S. Dollars for the first nine months of fiscal 2009. For the first nine months of fiscal 2009, our foreign subsidiaries reported a net loss of $496,000, a decrease of $1,432,000 from the $936,000 net income reported in the first nine months of fiscal 2008. The lower tons sold and currency impacts described above contributed to the net loss, alonRead the The complete Report
