Willamette Valley Vineyards Posts a Profit for the Third Quarter 2009
Willamette Valley Vineyards Posts a Profit for the Third Quarter 2009
SALEM, Ore., Nov. 16 - Willamette Valley Vineyards (NASDAQ:WVVI), a leading producer of Pinot Noir, generated a profit of $248,021 or $0.05 cents per share. Comparable results for the prior year include profit of $243,629 and $0.05 cents per share.
The quarterly 7.9% increase in sales revenue and 7.5% increase in gross profit resulting from national chain placements were mostly offset by increases in sales labor and accounting support.
Jim Bernau, Founder and President of the winery said, “the economy is weak but there are more placement opportunities to be found, through increased sales staffing. The additional accounting expense is to help improve our inventory controls and financial reporting.”
For the nine months of 2009, the winery generated net earnings of $666,961 or $0.14 cents per share, a 45% and 40% increase respectively, over the prior year.
Willamette Valley Vineyards, Inc. is headquartered at its Estate Vineyard near Salem, Oregon. The Company’s common stock is traded on NASDAQ (WVVI).
Forward-looking statements in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, and are identified by such words and phrases as “expects,”, “thinks,” “believes,” “anticipates” and words of similar import. Such forward-looking statements are subject to risks and uncertainties and actual results could differ materially from those projected. Such risks and uncertainties include, but are not limited to: availability of financing for growth, availability of adequate supply of high quality grapes, successful performance of internal operations, impact of competition, changes in wine broker or distributor relations or performance, impact of possible adverse weather conditions, impact of reduction in grape quality or supply due to disease, impact of governmental regulatory decisions and other risks.
WILLAMETTE VEY VINEYARDS, INC.
Statement of Operations
(unaudited)
Three months ended Nine months ended
September 30, September 30,
2009 2008 2009 2008
—- —- —- —-
Net revenues
Case revenue $4,360,206 $4,056,522 $12,052,828 $11,344,179
—- —- —- —-
Total net
revenues 4,360,206 4,056,522 12,052,828 11,344,179
Cost of sales
Case 2,231,411 2,075,400 6,051,242 5,803,078
—- —- —- —-
Total cost
of sales 2,231,411 2,075,400 6,051,242 5,803,078
Gross profit 2,128,795 1,981,122 6,001,586 5,541,101
Selling, general
and administrative
expenses 1,668,935 1,519,417 4,768,443 4,693,892
—- —- —- —-
Net operating
income 459,860 461,705 1,233,143 847,209
Other income
(expense)
Interest income - - - 17,193
Interest expense (42,135) (34,906) (111,013) (74,949)
Other income
(expense) 895 - 2,818 56
—- —- —- —-
Net income
before
income taxes 418,620 426,799 1,124,948 789,509
Income tax
expense 170,599 183,170 457,987 328,255
—- —- —- —-
Net income 248,021 243,629 666,961 461,254
Retained earnings
beginning of
period 6,218,841 5,308,932 5,799,901 5,091,307
—- —- —- —-
Retained earnings
end of period $6,466,862 $5,552,561 $6,466,862 $5,552,561
========== ========== ========== ==========
Basic earnings
per common
share $.05 $.05 $.14 $.10
Diluted earnings
per common share $.05 $.05 $.14 $.09
Source: Willamette Valley Vineyards
CONTACT: Jim Bernau of Willamette Valley Vineyards, 1-800-344-9463
Web Site: http://www.wvv.com/