Lancaster Colony Q2 EPS $1.45, sales up 11.4% to record $477.4M on pricing gains

LANCASTER COLONY REPORTS SECOND QUARTER SALES AND EARNINGS WESTERVILLE , Ohio, February 2 - Lancaster Colony Corporation (Nasdaq: LANC) today reported results for the company’s fiscal second quarter ended December 31, 2022. Summary • Consolidated net sales increased 11.4% to a second quarter record $477.4 million versus $428.4 million last year. Retail net sales grew 5.6% to $258.8 million while Foodservice net sales advanced 19.2% to $218.6 million. • Consolidated gross profit increased $5.5 million, or 5.7%, to $102.1 million. • Consolidated operating income increased $6.0 million, or 13.3%, to $51.3 million. • Net income was $1.45 per diluted share versus $1.25 per diluted share last year.

For the six months ended December 31, 2022, net sales increased 10.0% to $902.9 million compared to $820.5 million a year ago. Net income for the six-month period totaled $77.6 million, or $2.81 per diluted share, versus the prior-year amount of $65.0 million, or $2.36 per diluted share. In the current-year period, spend for Project Ascent decreased net income by $12.8 million, or $0.47 per diluted share. In the prior-year period, spend for Project Ascent decreased net income by $13.7 million, or $0.50 per diluted share, the change in contingent consideration increased net income by $1.7 million, or $0.06 per diluted share, and restructuring and impairment charges reduced net income by $1.5 million, or $0.05 per diluted share. Net income and earnings per diluted share in the current-year period benefited from a lower overall effective tax rate.