Inventure Foods Earnings: Here’s Why Investors are Buying Shares Now

Inventure Foods, Inc. (NASDAQ:SNAK) delivered a profit and missed Wall Street’s expectations, BUT beat the revenue expectation. The revenue beat is a positive sign to shareholders seeking high growth out of the company. Shares are up 4.28%.

Inventure Foods, Inc. Earnings Cheat Sheet

Results: Adjusted Earnings Per Share decreased 12.5% to $0.07 in the quarter versus EPS of $0.08 in the year-earlier quarter.

Revenue: Rose 11.83% to $53.7 million from the year-earlier quarter.

Actual vs. Wall St. Expectations: Inventure Foods, Inc. reported adjusted EPS income of $0.07 per share. By that measure, the company missed the mean analyst estimate of $0.08. It beat the average revenue estimate of $51.95 million.

Quoting Management: “We are pleased with double-digit net revenue growth across the vast majority of our brand portfolio during the second quarter,” said Terry McDaniel, Chief Executive Officer of Inventure Foods, Inc. “Our healthy/natural portfolio continues to track strongly in the marketplace and provided for 65% of net revenues during the quarter. In addition, the healthy/natural portfolio net revenues increased 16.9% in the quarter versus the prior year, attributable to strong performance in our frozen fruit products, continued increases in our Boulder Canyon brand, as well as favorable results in our frozen beverage businesses. Our Jamba® At-Home smoothies benefited from the successful launch of the Green Fusion flavor, and our market share in the category continues to increase. During its first full quarter in the market, our new Seattle’s Best Coffee Frozen Coffee Blends contributed $2.0 million in gross revenue, with increased distribution slated for the second half of the year. Additionally, this quarter marked the third consecutive quarter of increased net revenues for our Boulder Canyon brand as we continued to execute our product and channel growth plan.”

Key Stats (on next page)…

Revenue increased 10.63% from $48.54 million in the previous quarter. EPS increased 40% from $0.05 in the previous quarter.

Looking Forward: Analysts have a neutral outlook for the company’s next-quarter performance. Over the past three months, the average estimate for next quarter’s earnings is a profit of $0.11 and has not changed. For the current year, the average estimate has moved down from a profit of $0.36 to a profit of $0.34 over the last ninety days.

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(Company fundamentals provided by Xignite Financials. Email any earnings discrepancies to earnings [at] wallstcheatsheet.com)