J&J Snack Foods (JJSF) 10-Q 26 Jan 17 2017 Q1 Quarterly report Financial data

Document And Entity Information

Document And Entity Information - shares	3 Months Ended
	Dec. 24, 2016	Jan. 19, 2017
Document Information [Line Items]
Entity Registrant Name	J&J SNACK FOODS CORP
Entity Central Index Key	785,956
Trading Symbol	jjsf
Current Fiscal Year End Date	--09-30
Entity Filer Category	Large Accelerated Filer
Entity Current Reporting Status	No
Entity Voluntary Filers	No
Entity Well-known Seasoned Issuer	Yes
Entity Common Stock, Shares Outstanding (in shares)		18,709,265
Document Type	10-Q
Document Period End Date	Dec. 24, 2016
Document Fiscal Year Focus	2,017
Document Fiscal Period Focus	Q1
Amendment Flag	false

Consolidated Balance Sheets (Cu

Consolidated Balance Sheets (Current Period Unaudited) - USD ($) $ in Thousands	Dec. 24, 2016	Sep. 24, 2016
Current assets
Cash and cash equivalents	$ 140,966	$ 140,652
Marketable securities held to maturity	26,017	13,539
Accounts receivable, net	92,368	98,325
Inventories	95,359	88,684
Prepaid expenses and other	8,141	13,904
Total current assets	362,851	355,104
Property, plant and equipment, at cost
Property, plant and equipment, gross	610,417	605,045
Less accumulated depreciation and amortization	424,285	420,832
Property, plant and equipment, net	186,132	184,213
Other assets
Goodwill	86,442	86,442
Other intangible assets, net	40,711	41,819
Marketable securities held to maturity	86,025	90,732
Marketable securities available for sale	29,362	29,465
Other	2,650	2,712
Total other assets	245,190	251,170
Total Assets	794,173	790,487
Current Liabilities
Current obligations under capital leases	358	365
Accounts payable	63,149	62,026
Accrued insurance liability	10,286	10,119
Accrued liabilities	6,954	6,161
Accrued compensation expense	11,396	16,340
Dividends payable	7,852	7,280
Total current liabilities	99,995	102,291
Long-term obligations under capital leases	1,151	1,235
Deferred income taxes	48,106	48,186
Other long-term liabilities	738	801
Stockholders' Equity
Preferred stock, $1 par value; authorized 10,000,000 shares; none issued
Common stock, no par value; authorized, 50,000,000 shares; issued and outstanding 18,697,000 and 18,668,000 respectively	27,060	25,332
Accumulated other comprehensive loss	(14,622)	(13,415)
Retained Earnings	631,745	626,057
Total stockholders' equity	644,183	637,974
Total Liabilities and Stockholders' Equity	794,173	790,487
Land [Member]
Property, plant and equipment, at cost
Property, plant and equipment, gross	2,482	2,512
Building [Member]
Property, plant and equipment, at cost
Property, plant and equipment, gross	26,741	26,741
Plant Machinery and Equipment [Member]
Property, plant and equipment, at cost
Property, plant and equipment, gross	228,356	227,614
Marketing Equipment [Member]
Property, plant and equipment, at cost
Property, plant and equipment, gross	279,785	278,299
Transportation Equipment [Member]
Property, plant and equipment, at cost
Property, plant and equipment, gross	7,589	7,637
Office Equipment [Member]
Property, plant and equipment, at cost
Property, plant and equipment, gross	22,618	22,136
Improvements [Member]
Property, plant and equipment, at cost
Property, plant and equipment, gross	34,898	34,750
Construction in Progress [Member]
Property, plant and equipment, at cost
Property, plant and equipment, gross	$ 7,948	$ 5,356

Consolidated Balance Sheets (C3

Consolidated Balance Sheets (Current Period Unaudited) (Parentheticals) - $ / shares	Dec. 24, 2016	Sep. 24, 2016
Preferred stock, par value (in dollars per share)	$ 1	$ 1
Preferred stock, shares authorized (in shares)	10,000,000	10,000,000
Preferred stock, shares issued (in shares)	0	0
Common stock, par value (in dollars per share)	$ 0	$ 0
Common stock, shares authorized (in shares)	50,000,000	50,000,000
Common stock, shares issued (in shares)	18,697,000	18,668,000
Common stock, shares outstanding (in shares)	18,697,000	18,668,000

Consolidated Statements of Earn

Consolidated Statements of Earnings (Unaudited) - USD ($) shares in Thousands, $ in Thousands		3 Months Ended
		Dec. 24, 2016	Dec. 26, 2015
Net Sales		$ 225,570	$ 222,850
Cost of goods sold(1)	[1]	159,675	159,015
Gross Profit		65,895	63,835
Operating expenses
Marketing (2)	[2]	20,335	19,629
Distribution (3)	[3]	18,164	18,256
Administrative (4)	[4]	8,098	7,690
Other general income		(29)	(100)
Total Operating Expenses		46,568	45,475
Operating Income		19,327	18,360
Other income (expense)
Investment income		1,227	1,160
Interest expense & other		(26)	(32)
Earnings before income taxes		20,528	19,488
Income taxes		6,988	6,510
NET EARNINGS		$ 13,540	$ 12,978
Earnings per diluted share (in dollars per share)		$ 0.72	$ 0.69
Weighted average number of diluted shares (in shares)		18,787	18,839
Earnings per basic share (in dollars per share)		$ 0.72	$ 0.69
Weighted average number of basic shares (in shares)		18,686	18,687
[1]	Includes share-based compensation expense of $182 and $133 for the three months ended December 24, 2016 and December 26, 2015, respectively.
[2]	Includes share-based compensation expense of $261 and $201 for the three months ended December 24, 2016 and December 26, 2015, respectively.
[3]	Includes share-based compensation expense of $18 and $11 for the three months ended December 24, 2016 and December 26, 2015, respectively.
[4]	Includes share-based compensation expense of $286 and $173 for the three months ended December 24, 2016 and December 26, 2015, respectively.

Consolidated Statements of Comp

Consolidated Statements of Comprehensive Income (Unaudited) - USD ($) $ in Thousands	3 Months Ended
	Dec. 24, 2016	Dec. 26, 2015
Net earnings	$ 13,540	$ 12,978
Foreign currency translation adjustments	(1,104)	(640)
Unrealized holding loss on marketable securities	(103)	(822)
Total Other Comprehensive(Loss)Income	(1,207)	(1,462)
Comprehensive Income	$ 12,333	$ 11,516

Consolidated Statements of Cash

Consolidated Statements of Cash Flows (Unaudited) - USD ($)	3 Months Ended
	Dec. 24, 2016	Dec. 26, 2015
Operating activities:
Net earnings	$ 13,540,000	$ 12,978,000
Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation of fixed assets	8,728,000	8,170,000
Amortization of intangibles and deferred costs	1,183,000	1,455,000
Share-based compensation	748,000	518,000
Deferred income taxes	(74,000)	(36,000)
Loss on sale of marketable securities		109,000
Other	222,000	89,000
Changes in assets and liabilities net of effects from purchase of companies
Decrease in accounts receivable	5,849,000	10,527,000
Increase in inventories	(6,727,000)	(12,073,000)
Decrease in prepaid expenses	5,747,000	3,141,000
Decrease in accounts payable and accrued liabilities	(2,816,000)	(3,960,000)
Net cash provided by operating activities	26,400,000	20,918,000
Investing activities:
Purchases of property, plant and equipment	(11,399,000)	(13,304,000)
Purchases of marketable securities	(8,550,000)	(21,329,000)
Proceeds from redemption and sales of marketable securities	475,000	1,198,000
Proceeds from disposal of property and equipment	645,000	581,000
Other	(20,000)	(72,000)
Net cash used in investing activities	(18,849,000)	(32,926,000)
Financing activities:
Payments to repurchase common stock		(3,115,000)
Proceeds from issuance of stock	980,000	640,000
Payments on capitalized lease obligations	(90,000)	(67,000)
Payment of cash dividend	(7,280,000)	(6,723,000)
Net cash used in financing activities	(6,390,000)	(9,265,000)
Effect of exchange rate on cash and cash equivalents	(847,000)	(494,000)
Net increase (decrease) in cash and cash equivalents	314,000	(21,767,000)
Cash and cash equivalents at beginning of period	140,652,000	133,689,000
Cash and cash equivalents at end of period	$ 140,966,000	$ 111,922,000

Note 1

Note 1	3 Months Ended
	Dec. 24, 2016
Notes to Financial Statements
Significant Accounting Policies [Text Block]	Note 1 The accompanying unaudited Consolidated Financial Statements have been prepared in accordance with accounting principles generally accepted in the United States for interim financial information and with the instructions to Form 10 10 01 10 September 24, 2016 . In the opinion of management, the accompanying unaudited consolidated financial statements contain all adjustments (consisting of only normal recurring adjustments) necessary to present fairly the financial position and the results of operations and cash flows. The results of operations for the three December 24, 2016 December 26, 2015 third fourth While we believe that the disclosures presented are adequate to make the information not misleading, it is suggested that these consolidated financial statements be read in conjunction with the consolidated financial statements and the notes included in the Company’s Annual Report on Form 10 September 24, 2016.

Note 2

Note 2	3 Months Ended
	Dec. 24, 2016
Notes to Financial Statements
Revenue [Text Block]	Note 2 We recognize revenue from our products when the products are shipped to our customers. Repair and maintenance equipment service revenue is recorded when it is performed provided the customer terms are that the customer is to be charged on a time and material basis or on a straight-line basis over the term of the contract when the customer has signed a service contract. Revenue is recognized only where persuasive evidence of an arrangement exists, our price is fixed or estimable and collectability is reasonably assured. We record offsets to revenue for allowances, end-user pricing adjustments, trade spending, coupon redemption costs and returned product. Customers generally do not have the right to return product unless it is damaged or defective. We provide an allowance for doubtful receivables after taking into consideration historical experience and other factors. The allowance for doubtful receivables was $585,000 $571,000 December 24, 2016 September 24, 2016,

Note 3

Note 3	3 Months Ended
	Dec. 24, 2016
Notes to Financial Statements
Property, Plant and Equipment Disclosure [Text Block]	Note 3 Depreciation of equipment and buildings is provided for by the straight-line method over the assets’ estimated useful lives. Amortization of improvements is provided for by the straight-line method over the term of the lease or the assets’ estimated useful lives, whichever is shorter. Licenses and rights, customer relationships and non-compete agreements arising from acquisitions are amortized by the straight-line method over periods ranging from 3 20 $8,728,000 $8,170,000 three December 24, 2016 December 26, 2015,

Note 4

Note 4	3 Months Ended
	Dec. 24, 2016
Notes to Financial Statements
Earnings Per Share [Text Block]	Note 4 Basic earnings per common share (EPS) excludes dilution and is computed by dividing income available to common shareholders by the weighted average common shares outstanding during the period. Diluted EPS takes into consideration the potential dilution that could occur if securities (stock options) or other contracts to issue common stock were exercised and converted into common stock. Our calculation of EPS is as follows: Three Months Ended December 24, 2016 Income Shares Per Share (Numerator) (Denominator) Amount (in thousands, except per share amounts) Basic EPS Net Earnings available to common stockholders $ 13,540 18,686 $ 0.72 Effect of Dilutive Securities Options - 101 - Diluted EPS Net Earnings available to common stockholders plus assumed conversions $ 13,540 18,787 $ 0.72 Three Months Ended December 26, 2015 Income Shares Per Share (Numerator) (Denominator) Amount (in thousands, except per share amounts) Basic EPS Net Earnings available to common stockholders $ 12,978 18,687 $ 0.69 Effect of Dilutive Securities Options - 152 - Diluted EPS Net Earnings available to common stockholders plus assumed conversions $ 12,978 18,839 $ 0.69

Note 5

Note 5	3 Months Ended
	Dec. 24, 2016
Notes to Financial Statements
Disclosure of Compensation Related Costs, Share-based Payments [Text Block]	Note 5 At December 24, 2016, three Three months ended December 24, December 26, 2016 2015 (in thousands, except per share amounts) Stock Options $ (211 ) $ (249 ) Stock purchase plan 174 92 Restricted stock issued to an employee 1 1 Total share-based compensation $ (36 ) $ (156 ) The above compensation is net of tax benefits $ 783 $ 674 The fair value of each option grant is estimated on the date of grant using the Black-Scholes options-pricing model with the following weighted average assumptions used for grants in fiscal 2017 first three 15.8%; 1.1%; 1.3% 5 During the 2017 three 300 $15.15. The Company did not grant any stock options during the 2016 three Expected volatility is based on the historical volatility of the price of our common shares over the past 51 5 10 10

Note 6

Note 6	3 Months Ended
	Dec. 24, 2016
Notes to Financial Statements
Income Tax Disclosure [Text Block]	Note 6 We account for our income taxes under the liability method. Under the liability method, deferred tax assets and liabilities are determined based on the difference between the financial statement and tax bases of assets and liabilities as measured by the enacted tax rates that will be in effect when these differences reverse. Deferred tax expense is the result of changes in deferred tax assets and liabilities. Additionally, we recognize a liability for income taxes and associated penalties and interest for tax positions taken or expected to be taken in a tax return which are more likely than not to be overturned by taxing authorities (“uncertain tax positions”). We have not recognized a tax benefit in our financial statements for these uncertain tax positions. The total amount of gross unrecognized tax benefits is $359,000 $354,000 December 24, 2016 September 24, 2016, December 24, 2016 September 24, 2016, $224,000 $219,000 three four

Note 7

Note 7	3 Months Ended
	Dec. 24, 2016
Notes to Financial Statements
New Accounting Pronouncements and Changes in Accounting Principles [Text Block]	Note 7 In May 2014, September 2019. In January 2016, September 2019. In February 2016, September 2020. .

Note 8

Note 8	3 Months Ended
	Dec. 24, 2016
Notes to Financial Statements
Inventory Disclosure [Text Block]	Note 8 Inventories consist of the following: December 24, September 24, 2016 2016 (unaudited) (in thousands) Finished goods $ 41,920 $ 38,285 Raw materials 21,030 18,223 Packaging materials 7,251 6,799 Equipment parts and other 25,158 25,377 Total Inventories $ 95,359 $ 88,684

Note 9

Note 9	3 Months Ended
	Dec. 24, 2016
Notes to Financial Statements
Segment Reporting Disclosure [Text Block]	Note 9 We principally sell our products to the food service and retail supermarket industries. Sales and results of our frozen beverages business are monitored separately from the balance of our food service business because of different distribution and capital requirements. We maintain separate and discrete financial information for the three Our three Food Service The primary products sold by the food service group are soft pretzels, frozen juice treats and desserts, churros, dough enrobed handheld products and baked goods. Our customers in the food service industry include snack bars and food stands in chain, department and discount stores; malls and shopping centers; fast food outlets; stadiums and sports arenas; leisure and Retail Supermarkets The primary products sold to the retail supermarket channel are soft pretzel products – including SUPERPRETZEL, frozen juice treats and desserts including LUIGI’S Real Italian Ice, MINUTE MAID Juice Bars and Soft Frozen Lemonade, WHOLE FRUIT frozen fruit bars and sorbet, PHILLY SWIRL cups and sticks, ICEE Squeeze-Up Tubes and dough enrobed handheld products including PATIO burritos. Within the retail supermarket channel, our frozen and prepackaged products are purchased by the consumer for consumption at home. Frozen Beverages We sell frozen beverages and related products to the food service industry primarily under the names ICEE, SLUSH PUPPIE and PARROT ICE in the United States, Mexico and Canada. We also provide repair and maintenance service to customers for customers’ owned equipment. The Chief Operating Decision Maker for Food Service and Retail Supermarkets and the Chief Operating Decision Maker for Frozen Beverages monthly review detailed operating income statements and sales reports in order to assess performance and allocate resources to each individual segment. In addition, the Chief Operating Decision Makers review and evaluate depreciation, capital spending and assets of each segment on a quarterly basis to monitor cash flow and asset needs of each segment. Information regarding the operations in these three Three months ended December 24, December 26, 2016 2015 (unaudited) (in thousands) Sales to External Customers: Food Service Soft pretzels $ 41,494 $ 38,699 Frozen juices and ices 7,479 8,315 Churros 14,438 13,936 Handhelds 7,479 6,146 Bakery 75,279 76,601 Other 4,128 3,055 Total Food Service $ 150,297 $ 146,752 Retail Supermarket Soft pretzels $ 8,944 $ 8,740 Frozen juices and ices 9,851 9,064 Handhelds 3,450 3,875 Coupon redemption (1,259 ) (574 ) Other 633 155 Total Retail Supermarket $ 21,619 $ 21,260 Frozen Beverages Beverages $ 28,276 $ 28,070 Repair and maintenance service 18,091 17,763 Machines sales 7,039 8,732 Other 248 273 Total Frozen Beverages $ 53,654 $ 54,838 Consolidated Sales $ 225,570 $ 222,850 Depreciation and Amortization: Food Service $ 5,732 $ 5,385 Retail Supermarket 278 286 Frozen Beverages 3,901 3,954 Total Depreciation and Amortization $ 9,911 $ 9,625 Operating Income : Food Service $ 17,054 $ 15,902 Retail Supermarket 1,046 1,090 Frozen Beverages 1,227 1,368 Total Operating Income $ 19,327 $ 18,360 Capital Expenditures: Food Service $ 6,587 $ 8,084 Retail Supermarket 82 156 Frozen Beverages 4,730 5,064 Total Capital Expenditures $ 11,399 $ 13,304 Assets: Food Service $ 594,963 $ 546,264 Retail Supermarket 22,128 23,099 Frozen Beverages 177,082 172,275 Total Assets $ 794,173 $ 741,638

Note 10

Note 10	3 Months Ended
	Dec. 24, 2016
Notes to Financial Statements
Intangible Assets Disclosure [Text Block]	Note 10 Our three The carrying amounts of acquired intangible assets for the Food Service, Retail Supermarkets and Frozen Beverage segments as of December 24, 2016 September 24, 2016 December 24, 2016 September 24, 2016 Gross Gross Carrying Accumulated Carrying Accumulated Amount Amortization Amount Amortization (in thousands) FOOD SERVICE Indefinite lived intangible assets Trade Names $ 14,150 $ - $ 14,150 $ - Amortized intangible assets Non compete agreements 592 569 592 563 Customer relationships 40,797 38,058 40,797 37,201 License and rights 3,606 2,912 3,606 2,890 TOTAL FOOD SERVICE $ 59,145 $ 41,539 $ 59,145 $ 40,654 RETAIL SUPERMARKETS Indefinite lived Trade Names $ 7,206 $ - $ 7,206 $ - Amortized Intangible Assets Non compete agreements 160 160 160 160 Customer relationships 7,979 2,221 7,979 2,021 TOTAL RETAIL SUPERMARKETS $ 15,345 $ 2,381 $ 15,345 $ 2,181 FROZEN BEVERAGES Indefinite lived intangible assets Trade Names $ 9,315 $ - $ 9,315 $ - Amortized intangible assets Non compete agreements 198 198 198 198 Customer relationships 6,678 6,511 6,678 6,506 Licenses and rights 1,601 942 1,601 924 TOTAL FROZEN BEVERAGES $ 17,792 $ 7,651 $ 17,792 $ 7,628 CONSOLIDATED $ 92,282 $ 51,571 $ 92,282 $ 50,463 Amortized intangible assets are being amortized by the straight-line method over periods ranging from 3 20 three December 24, 2016. three December 24, 2016 December 26, 2015 $1,108,000 $1,329,000 Estimated amortization expense including the estimated impact from the Hill & Valley purchase described in Note 13 five $3,700,000 2017, $3,300,000 2018, $3,200,000 2019, $2,900,000 2020 $2,500,000 2021. 10.6 Goodwill The carrying amounts of goodwill for the Food Service, Retail Supermarket and Frozen Beverage segments are as follows: Total Food Retail Service Frozen Supermarket Beverages (in thousands) Balance at December 24, 2016 $ 46,832 $ 3,670 $ 35,940 $ 86,442 Balance at September 24, 2016 $ 46,832 $ 3,670 $ 35,940 $ 86,442 There was no goodwill acquired in the three December 24, 2016.

Note 11

Note 11	3 Months Ended
	Dec. 24, 2016
Notes to Financial Statements
Fair Value Disclosures [Text Block]	Note 11 We have classified our investment securities as marketable securities held to maturity and available for sale. The FASB defines fair value as the price that would be received from selling an asset or paid to transfer a liability in an orderly transaction between market participants. As such, fair value is a market-based measurement that should be determined based on assumptions that market participants would use in pricing an asset or liability. As a basis for considering such assumptions, the FASB has established three may Level 1 Observable input such as quoted prices in active markets for identical assets or liabilities; Level 2 Observable inputs, other than Level 1 Level 3 Unobservable inputs for which there is little or no market data, which require the reporting entity to develop its own assumptions. Marketable securities held to maturity and available for sale consist primarily of investments in mutual funds, preferred stock and corporate bonds. The fair values of mutual funds are based on quoted market prices in active markets and are classified within Level 1 2 The amortized cost, unrealized gains and losses, and fair market values of our investment securities held to maturity at December 24, 2016 Gross Gross Fair Amortized Unrealized Unrealized Market Cost Gains Losses Value (in thousands) Corporate Bonds $ 111,082 $ 212 $ 287 $ 111,007 Certificates of Deposit 960 6 - 966 Total investment securities held to maturity $ 112,042 $ 218 $ 287 $ 111,973 The amortized cost, unrealized gains and losses, and fair market values of our investment securities available for sale at December 24, 2016 Gross Gross Fair Amortized Unrealized Unrealized Market Cost Gains Losses Value (in thousands) Mutual Funds $ 13,003 $ - $ 400 $ 12,603 Preferred Stock 16,791 115 147 16,759 Total investment securities available for sale $ 29,794 $ 115 $ 547 $ 29,362 The mutual funds seek current income with an emphasis on maintaining low volatility and overall moderate duration. The unrealized losses of $400,000 4 $12.6 2018, 2019 2025 one may The corporate bonds generate fixed income to maturity dates in 2017 2021, $95 3 The amortized cost, unrealized gains and losses, and fair market values of our investment securities held to maturity at September 24, 2016 Gross Gross Fair Amortized Unrealized Unrealized Market Cost Gains Losses Value (in thousands) Corporate Bonds $ 103,311 $ 734 $ 138 $ 103,907 Certificates of Deposit 960 11 - 971 Total investment securities held to maturity $ 104,271 $ 745 $ 138 $ 104,878 The amortized cost, unrealized gains and losses, and fair market values of our investment securities available for sale at September 24, 2016 Gross Gross Fair Amortized Unrealized Unrealized Market Cost Gains Losses Value (in thousands) Mutual Funds $ 13,003 $ - $ 520 $ 12,483 Preferred Stock 16,791 273 82 16,982 Total investment securities available for sale $ 29,794 $ 273 $ 602 $ 29,465 The amortized cost and fair value of the Company’s held to maturity securities by contractual maturity at December 24, 2016 September 24, 2016 December 24, 2016 September 24, 2016 Fair Fair Amortized Market Amortized Market Cost Value Cost Value (in thousands) Due in one year or less $ 26,017 $ 25,976 $ 13,539 $ 13,552 Due after one year through five years 86,025 85,997 90,732 91,326 Due after five years through ten years - - Total held to $ 112,042 $ 111,973 $ 104,271 $ 104,878 Less current portion 26,017 25,976 13,539 13,552 Long term held to maturity securities $ 86,025 $ 85,997 $ 90,732 $ 91,326 Proceeds from the redemption and sale of marketable securities were $475,000 $1,198,000 three December 24, 2016 December 26, 2015, no three December 24, 2016 $109,000 three December 26, 2015.

Note 12

Note 12	3 Months Ended
	Dec. 24, 2016
Notes to Financial Statements
Comprehensive Income (Loss) Note [Text Block]	Note 12 Changes to the components of other accumulated comprehensive loss are as follows: Three Months ended December 24, 2016 (unaudited) (in thousands) Unrealized Holding Foreign Currency Loss on Translation Adjustments Marketable Securities Total Beginning Balance $ (13,086 ) $ (329 ) $ (13,415 ) Other comprehensive (loss) income before reclassifications (1,104 ) (103 ) (1,207 ) Amounts reclassified from accumulated other comprehensive income - - - Ending Balance $ (14,190 ) $ (432 ) $ (14,622 ) Three Months ended December 26, 2015 (unaudited) (in thousands) Unrealized Holding Foreign Currency Loss on Translation Adjustments Marketable Securities Total Beginning Balance $ (10,021 ) $ (876 ) $ (10,897 ) Other comprehensive (loss) income before reclassifications (640 ) (892 ) (1,532 ) Amounts reclassified - 70 70 Ending Balance $ (10,661 ) $ (1,698 ) $ (12,359 )

Note 13

Note 13	3 Months Ended
	Dec. 24, 2016
Notes to Financial Statements
Subsequent Events [Text Block]	Note 13 On January 3, 2017 $31 $45

Note 4 (Tables)

Note 4 (Tables)	3 Months Ended
	Dec. 24, 2016
Notes Tables
Schedule of Earnings Per Share, Basic and Diluted [Table Text Block]	Three Months Ended December 24, 2016 Income Shares Per Share (Numerator) (Denominator) Amount (in thousands, except per share amounts) Basic EPS Net Earnings available to common stockholders $ 13,540 18,686 $ 0.72 Effect of Dilutive Securities Options - 101 - Diluted EPS Net Earnings available to common stockholders plus assumed conversions $ 13,540 18,787 $ 0.72 Three Months Ended December 26, 2015 Income Shares Per Share (Numerator) (Denominator) Amount (in thousands, except per share amounts) Basic EPS Net Earnings available to common stockholders $ 12,978 18,687 $ 0.69 Effect of Dilutive Securities Options - 152 - Diluted EPS Net Earnings available to common stockholders plus assumed conversions $ 12,978 18,839 $ 0.69

Note 5 (Tables)

Note 5 (Tables)	3 Months Ended
	Dec. 24, 2016
Notes Tables
Disclosure of Share-based Compensation Arrangements by Share-based Payment Award [Table Text Block]	Three months ended December 24, December 26, 2016 2015 (in thousands, except per share amounts) Stock Options $ (211 ) $ (249 ) Stock purchase plan 174 92 Restricted stock issued to an employee 1 1 Total share-based compensation $ (36 ) $ (156 ) The above compensation is net of tax benefits $ 783 $ 674

Note 8 (Tables)

Note 8 (Tables)	3 Months Ended
	Dec. 24, 2016
Notes Tables
Schedule of Inventory, Current [Table Text Block]	December 24, September 24, 2016 2016 (unaudited) (in thousands) Finished goods $ 41,920 $ 38,285 Raw materials 21,030 18,223 Packaging materials 7,251 6,799 Equipment parts and other 25,158 25,377 Total Inventories $ 95,359 $ 88,684

Note 9 (Tables)

Note 9 (Tables)	3 Months Ended
	Dec. 24, 2016
Notes Tables
Schedule of Segment Reporting Information, by Segment [Table Text Block]	Three months ended December 24, December 26, 2016 2015 (unaudited) (in thousands) Sales to External Customers: Food Service Soft pretzels $ 41,494 $ 38,699 Frozen juices and ices 7,479 8,315 Churros 14,438 13,936 Handhelds 7,479 6,146 Bakery 75,279 76,601 Other 4,128 3,055 Total Food Service $ 150,297 $ 146,752 Retail Supermarket Soft pretzels $ 8,944 $ 8,740 Frozen juices and ices 9,851 9,064 Handhelds 3,450 3,875 Coupon redemption (1,259 ) (574 ) Other 633 155 Total Retail Supermarket $ 21,619 $ 21,260 Frozen Beverages Beverages $ 28,276 $ 28,070 Repair and maintenance service 18,091 17,763 Machines sales 7,039 8,732 Other 248 273 Total Frozen Beverages $ 53,654 $ 54,838 Consolidated Sales $ 225,570 $ 222,850 Depreciation and Amortization: Food Service $ 5,732 $ 5,385 Retail Supermarket 278 286 Frozen Beverages 3,901 3,954 Total Depreciation and Amortization $ 9,911 $ 9,625 Operating Income : Food Service $ 17,054 $ 15,902 Retail Supermarket 1,046 1,090 Frozen Beverages 1,227 1,368 Total Operating Income $ 19,327 $ 18,360 Capital Expenditures: Food Service $ 6,587 $ 8,084 Retail Supermarket 82 156 Frozen Beverages 4,730 5,064 Total Capital Expenditures $ 11,399 $ 13,304 Assets: Food Service $ 594,963 $ 546,264 Retail Supermarket 22,128 23,099 Frozen Beverages 177,082 172,275 Total Assets $ 794,173 $ 741,638

Note 10 (Tables)

Note 10 (Tables)	3 Months Ended
	Dec. 24, 2016
Notes Tables
Schedule of Acquired Finite-Lived Intangible Assets by Major Class [Table Text Block]	December 24, 2016 September 24, 2016 Gross Gross Carrying Accumulated Carrying Accumulated Amount Amortization Amount Amortization (in thousands) FOOD SERVICE Indefinite lived intangible assets Trade Names $ 14,150 $ - $ 14,150 $ - Amortized intangible assets Non compete agreements 592 569 592 563 Customer relationships 40,797 38,058 40,797 37,201 License and rights 3,606 2,912 3,606 2,890 TOTAL FOOD SERVICE $ 59,145 $ 41,539 $ 59,145 $ 40,654 RETAIL SUPERMARKETS Indefinite lived Trade Names $ 7,206 $ - $ 7,206 $ - Amortized Intangible Assets Non compete agreements 160 160 160 160 Customer relationships 7,979 2,221 7,979 2,021 TOTAL RETAIL SUPERMARKETS $ 15,345 $ 2,381 $ 15,345 $ 2,181 FROZEN BEVERAGES Indefinite lived intangible assets Trade Names $ 9,315 $ - $ 9,315 $ - Amortized intangible assets Non compete agreements 198 198 198 198 Customer relationships 6,678 6,511 6,678 6,506 Licenses and rights 1,601 942 1,601 924 TOTAL FROZEN BEVERAGES $ 17,792 $ 7,651 $ 17,792 $ 7,628 CONSOLIDATED $ 92,282 $ 51,571 $ 92,282 $ 50,463
Schedule of Goodwill [Table Text Block]	Total Food Retail Service Frozen Supermarket Beverages (in thousands) Balance at December 24, 2016 $ 46,832 $ 3,670 $ 35,940 $ 86,442 Balance at September 24, 2016 $ 46,832 $ 3,670 $ 35,940 $ 86,442

Note 11 (Tables)

Note 11 (Tables)	3 Months Ended
	Dec. 24, 2016
Notes Tables
Unrealized Gain (Loss) on Investments [Table Text Block]	Gross Gross Fair Amortized Unrealized Unrealized Market Cost Gains Losses Value (in thousands) Corporate Bonds $ 111,082 $ 212 $ 287 $ 111,007 Certificates of Deposit 960 6 - 966 Total investment securities held to maturity $ 112,042 $ 218 $ 287 $ 111,973 Gross Gross Fair Amortized Unrealized Unrealized Market Cost Gains Losses Value (in thousands) Mutual Funds $ 13,003 $ - $ 400 $ 12,603 Preferred Stock 16,791 115 147 16,759 Total investment securities available for sale $ 29,794 $ 115 $ 547 $ 29,362 Gross Gross Fair Amortized Unrealized Unrealized Market Cost Gains Losses Value (in thousands) Corporate Bonds $ 103,311 $ 734 $ 138 $ 103,907 Certificates of Deposit 960 11 - 971 Total investment securities held to maturity $ 104,271 $ 745 $ 138 $ 104,878 Gross Gross Fair Amortized Unrealized Unrealized Market Cost Gains Losses Value (in thousands) Mutual Funds $ 13,003 $ - $ 520 $ 12,483 Preferred Stock 16,791 273 82 16,982 Total investment securities available for sale $ 29,794 $ 273 $ 602 $ 29,465
Investments Classified by Contractual Maturity Date [Table Text Block]	December 24, 2016 September 24, 2016 Fair Fair Amortized Market Amortized Market Cost Value Cost Value (in thousands) Due in one year or less $ 26,017 $ 25,976 $ 13,539 $ 13,552 Due after one year through five years 86,025 85,997 90,732 91,326 Due after five years through ten years - - Total held to $ 112,042 $ 111,973 $ 104,271 $ 104,878 Less current portion 26,017 25,976 13,539 13,552 Long term held to maturity securities $ 86,025 $ 85,997 $ 90,732 $ 91,326

Note 12 (Tables)

Note 12 (Tables)	3 Months Ended
	Dec. 24, 2016
Notes Tables
Schedule of Accumulated Other Comprehensive Income (Loss) [Table Text Block]	Three Months ended December 24, 2016 (unaudited) (in thousands) Unrealized Holding Foreign Currency Loss on Translation Adjustments Marketable Securities Total Beginning Balance $ (13,086 ) $ (329 ) $ (13,415 ) Other comprehensive (loss) income before reclassifications (1,104 ) (103 ) (1,207 ) Amounts reclassified from accumulated other comprehensive income - - - Ending Balance $ (14,190 ) $ (432 ) $ (14,622 ) Three Months ended December 26, 2015 (unaudited) (in thousands) Unrealized Holding Foreign Currency Loss on Translation Adjustments Marketable Securities Total Beginning Balance $ (10,021 ) $ (876 ) $ (10,897 ) Other comprehensive (loss) income before reclassifications (640 ) (892 ) (1,532 ) Amounts reclassified - 70 70 Ending Balance $ (10,661 ) $ (1,698 ) $ (12,359 )

Note 2 (Details Textual)

Note 2 (Details Textual) - USD ($)	Dec. 24, 2016	Sep. 24, 2016
Allowance for Doubtful Accounts Receivable	$ 585,000	$ 571,000

Note 3 (Details Textual)

Note 3 (Details Textual) - USD ($)	3 Months Ended
	Dec. 24, 2016	Dec. 26, 2015
Depreciation	$ 8,728,000	$ 8,170,000
Minimum [Member]
Finite-Lived Intangible Asset, Useful Life	3 years
Maximum [Member]
Finite-Lived Intangible Asset, Useful Life	20 years

Note 4 - Calculation of EPS (De

Note 4 - Calculation of EPS (Details) - USD ($) $ / shares in Units, shares in Thousands, $ in Thousands	3 Months Ended
	Dec. 24, 2016	Dec. 26, 2015
Net Earnings available to common stockholders	$ 13,540	$ 12,978
Weighted average number of basic shares (in shares)	18,686	18,687
Earnings per basic share (in dollars per share)	$ 0.72	$ 0.69
Options
Options (in shares)	101	152
Options (in dollars per share)
Net Earnings available to common stockholders plus assumed conversions	$ 13,540	$ 12,978
Weighted average number of diluted shares (in shares)	18,787	18,839
Earnings per diluted share (in dollars per share)	$ 0.72	$ 0.69

Note 5 (Details Textual)

Note 5 (Details Textual) - $ / shares	3 Months Ended
	Dec. 24, 2016	Dec. 26, 2015
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Gross	300	0
Share-based Compensation Arrangement by Share-based Payment Award, Options, Grants in Period, Weighted Average Grant Date Fair Value	$ 15.15
Employee Stock Option [Member]
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Volatility Rate	15.80%
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Risk Free Interest Rate	1.10%
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Dividend Rate	1.30%
Share-based Compensation Arrangement by Share-based Payment Award, Fair Value Assumptions, Expected Term	5 years
Five Year Options [Member]
Share Based Compensation Arrangement by Share Based Payment Award Fair Value Assumptions Volatility Calculation Term	4 years 90 days
Ten Year Options [Member]
Share Based Compensation Arrangement by Share Based Payment Award Fair Value Assumptions Volatility Calculation Term	10 years

Note 5 - Share-based Compensati

Note 5 - Share-based Compensation (Details) - USD ($) $ in Thousands	3 Months Ended
	Dec. 24, 2016	Dec. 26, 2015
Share-based compensation expense	$ (36)	$ (156)
The above compensation is net of tax benefits	783	674
Employee Stock Option [Member]
Share-based compensation expense	(211)	(249)
Stock Purchase Plan [Member]
Share-based compensation expense	174	92
Restricted Stock [Member]
Share-based compensation expense	$ 1	$ 1

Note 6 (Details Textual)

Note 6 (Details Textual) - USD ($)	Dec. 24, 2016	Sep. 24, 2016
Unrecognized Tax Benefits that Would Impact Effective Tax Rate	$ 359,000	$ 354,000
Unrecognized Tax Benefits, Income Tax Penalties and Interest Accrued	$ 224,000	$ 219,000

Note 8 - Inventories (Details)

Note 8 - Inventories (Details) - USD ($) $ in Thousands	Dec. 24, 2016	Sep. 24, 2016
Finished goods	$ 41,920	$ 38,285
Raw materials	21,030	18,223
Packaging materials	7,251	6,799
Equipment parts and other	25,158	25,377
Total Inventories	$ 95,359	$ 88,684

Note 9 (Details Textual)

Note 9 (Details Textual)	3 Months Ended
	Dec. 24, 2016
Number of Operating Segments	3
Number of Reportable Segments	3

Note 9 - Reportable Segments Op

Note 9 - Reportable Segments Operations Information (Details) - USD ($) $ in Thousands	3 Months Ended
	Dec. 24, 2016	Dec. 26, 2015	Sep. 24, 2016
Sales	$ 225,570	$ 222,850
Depreciation and amortization	9,911	9,625
Operating income	19,327	18,360
Capital expenditure	11,399	13,304
Assets	794,173	741,638	$ 790,487
Food Service [Member]
Sales	150,297	146,752
Depreciation and amortization	5,732	5,385
Operating income	17,054	15,902
Capital expenditure	6,587	8,084
Assets	594,963	546,264
Retail Supermarket [Member]
Sales	21,619	21,260
Depreciation and amortization	278	286
Operating income	1,046	1,090
Capital expenditure	82	156
Assets	22,128	23,099
Frozen Beverages [Member]
Sales	53,654	54,838
Depreciation and amortization	3,901	3,954
Operating income	1,227	1,368
Capital expenditure	4,730	5,064
Assets	177,082	172,275
Soft Pretzels [Member] | Food Service [Member]
Sales	41,494	38,699
Soft Pretzels [Member] | Retail Supermarket [Member]
Sales	8,944	8,740
Frozen Juices and Ices [Member] | Food Service [Member]
Sales	7,479	8,315
Frozen Juices and Ices [Member] | Retail Supermarket [Member]
Sales	9,851	9,064
Churros [Member] | Food Service [Member]
Sales	14,438	13,936
Handhelds [Member] | Food Service [Member]
Sales	7,479	6,146
Handhelds [Member] | Retail Supermarket [Member]
Sales	3,450	3,875
Bakery [Member] | Food Service [Member]
Sales	75,279	76,601
Other Products [Member] | Food Service [Member]
Sales	4,128	3,055
Other Products [Member] | Retail Supermarket [Member]
Sales	633	155
Other Products [Member] | Frozen Beverages [Member]
Sales	248	273
Coupon Redemtion [Member] | Retail Supermarket [Member]
Sales	(1,259)	(574)
Beverage [Member] | Frozen Beverages [Member]
Sales	28,276	28,070
Repair and Maintenance Service [Member] | Frozen Beverages [Member]
Sales	18,091	17,763
Machine Sales [Member] | Frozen Beverages [Member]
Sales	$ 7,039	$ 8,732

Note 10 (Details Textual)

Note 10 (Details Textual)	3 Months Ended
	Dec. 24, 2016USD ($)	Dec. 26, 2015USD ($)
Number of Reportable Segments	3
Amortization of Intangible Assets	$ 1,108,000	$ 1,329,000
Finite-Lived Intangible Assets, Amortization Expense, Remainder of Fiscal Year	3,700,000
Finite-Lived Intangible Assets, Amortization Expense, Year Two	3,300,000
Finite-Lived Intangible Assets, Amortization Expense, Year Three	3,200,000
Finite-Lived Intangible Assets, Amortization Expense, Year Four	2,900,000
Finite-Lived Intangible Assets, Amortization Expense, Year Five	$ 2,500,000
Acquired Finite-lived Intangible Assets, Weighted Average Useful Life	10 years 219 days
Minimum [Member]
Number of Reportable Segments	3
Finite-Lived Intangible Asset, Useful Life	3 years
Maximum [Member]
Finite-Lived Intangible Asset, Useful Life	20 years

Note 10 - Intangible Assets By

Note 10 - Intangible Assets By Reporting Segment (Details) - USD ($) $ in Thousands	Dec. 24, 2016	Sep. 24, 2016
Finite lived intangible assets, accumulated amortization	$ 51,571	$ 50,463
Finite lived intangible assets, gross carrying amount	92,282	92,282
Food Service [Member]
Finite lived intangible assets, accumulated amortization	41,539	40,654
Finite lived intangible assets, gross carrying amount	59,145	59,145
Food Service [Member] | Noncompete Agreements [Member]
Finite lived intangible assets, gross carrying amount	592	592
Finite lived intangible assets, accumulated amortization	569	563
Food Service [Member] | Customer Relationships [Member]
Finite lived intangible assets, gross carrying amount	40,797	40,797
Finite lived intangible assets, accumulated amortization	38,058	37,201
Food Service [Member] | License and Rights [Member]
Finite lived intangible assets, gross carrying amount	3,606	3,606
Finite lived intangible assets, accumulated amortization	2,912	2,890
Retail Supermarket [Member]
Finite lived intangible assets, accumulated amortization	2,381	2,181
Finite lived intangible assets, gross carrying amount	15,345	15,345
Retail Supermarket [Member] | Noncompete Agreements [Member]
Finite lived intangible assets, gross carrying amount	160	160
Finite lived intangible assets, accumulated amortization	160	160
Retail Supermarket [Member] | Customer Relationships [Member]
Finite lived intangible assets, gross carrying amount	7,979	7,979
Finite lived intangible assets, accumulated amortization	2,221	2,021
Frozen Beverages [Member]
Finite lived intangible assets, accumulated amortization	7,651	7,628
Finite lived intangible assets, gross carrying amount	17,792	17,792
Frozen Beverages [Member] | Noncompete Agreements [Member]
Finite lived intangible assets, gross carrying amount	198	198
Finite lived intangible assets, accumulated amortization	198	198
Frozen Beverages [Member] | Customer Relationships [Member]
Finite lived intangible assets, gross carrying amount	6,678	6,678
Finite lived intangible assets, accumulated amortization	6,511	6,506
Frozen Beverages [Member] | License and Rights [Member]
Finite lived intangible assets, gross carrying amount	1,601	1,601
Finite lived intangible assets, accumulated amortization	942	924
Trade Names [Member] | Food Service [Member]
Indefinite lived intangible assets	14,150	14,150
Trade Names [Member] | Retail Supermarket [Member]
Indefinite lived intangible assets	7,206	7,206
Trade Names [Member] | Frozen Beverages [Member]
Indefinite lived intangible assets	$ 9,315	$ 9,315

Note 10 - Goodwill By Reporting

Note 10 - Goodwill By Reporting Segment (Details) - USD ($) $ in Thousands	Dec. 24, 2016	Sep. 24, 2016
Goodwill	$ 86,442	$ 86,442
Food Service [Member]
Goodwill	46,832	46,832
Retail Supermarket [Member]
Goodwill	3,670	3,670
Frozen Beverages [Member]
Goodwill	$ 35,940	$ 35,940

Note 11 (Details Textual)

Note 11 (Details Textual)	3 Months Ended
	Dec. 24, 2016USD ($)	Dec. 26, 2015USD ($)	Sep. 24, 2016USD ($)
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	$ 547,000		$ 602,000
Held-to-maturity Securities	112,042,000		104,271,000
Proceeds from Sale and Maturity of Marketable Securities	475,000	$ 1,198,000
Marketable Securities, Gain (Loss)	0	$ (109,000)
Four Mutual Funds [Member]
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	$ 400,000
Number of Funds	4
Marketable Securities	$ 12,600,000
Mutual Funds [Member]
Available-for-sale Securities, Accumulated Gross Unrealized Loss, before Tax	$ 400,000		$ 520,000
Classification Of Noncurrent Asset, Mutual Funds, Period	1 year
Corporate Bond Securities [Member]
Held-to-maturity Securities	$ 95,000,000
Investment Securities Maturity Term	3 years

Note 11 - Summary of Securities

Note 11 - Summary of Securities (Details) - USD ($) $ in Thousands	Dec. 24, 2016	Sep. 24, 2016
Held to Maturity - Amortized Cost	$ 112,042	$ 104,271
Held to Maturity - Gross Unrealized Gains	218	745
Held to Maturity - Gross Unrealized Losses	287	138
Held to Maturity - Fair Market Value	111,973	104,878
Available for Sale - Amortized Cost	29,794	29,794
Available for Sale - Gross Unrealized Gains	115	273
Available for Sale - Gross Unrealized Losses	547	602
Available for Sale - Fair Market Value	29,362	29,465
Corporate Bond Securities [Member]
Held to Maturity - Amortized Cost	111,082	103,311
Held to Maturity - Gross Unrealized Gains	212	734
Held to Maturity - Gross Unrealized Losses	287	138
Held to Maturity - Fair Market Value	111,007	103,907
Mutual Funds [Member]
Available for Sale - Amortized Cost	13,003	13,003
Available for Sale - Gross Unrealized Gains
Available for Sale - Gross Unrealized Losses	400	520
Available for Sale - Fair Market Value	12,603	12,483
Certificates of Deposit [Member]
Held to Maturity - Amortized Cost	960	960
Held to Maturity - Gross Unrealized Gains	6	11
Held to Maturity - Gross Unrealized Losses
Held to Maturity - Fair Market Value	966	971
Preferred Stock [Member]
Available for Sale - Amortized Cost	16,791	16,791
Available for Sale - Gross Unrealized Gains	115	273
Available for Sale - Gross Unrealized Losses	147	82
Available for Sale - Fair Market Value	$ 16,759	$ 16,982

Note 11 - Held to Maturity By C

Note 11 - Held to Maturity By Contractual Maturity (Details) - USD ($) $ in Thousands	Dec. 24, 2016	Sep. 24, 2016
Due in one year or less	$ 26,017	$ 13,539
Due in one year or less	25,976	13,552
Due after one year through five years	86,025	90,732
Due after one year through five years	85,997	91,326
Due after five years through ten years
Due after five years through ten years
Total held to maturity securities	112,042	104,271
Held to Maturity - Fair Market Value	111,973	104,878
Less current portion	26,017	13,539
Less current portion	25,976	13,552
Marketable securities held to maturity	86,025	90,732
Long term held to maturity securities	$ 85,997	$ 91,326

Note 12 - Changes to the Compon

Note 12 - Changes to the Components of Other Comprehensive Loss (Unaudited) (Details) - USD ($) $ in Thousands	3 Months Ended
	Dec. 24, 2016	Dec. 26, 2015
Beginning balance	$ (13,415)	$ (10,897)
Other comprehensive (loss) income before reclassifications	(1,207)	(1,532)
Amounts reclassified from accumulated other comprehensive income		70
Ending balance	(14,622)	(12,359)
Accumulated Foreign Currency Adjustment Attributable to Parent [Member]
Beginning balance	(13,086)	(10,021)
Other comprehensive (loss) income before reclassifications	(1,104)	(640)
Amounts reclassified from accumulated other comprehensive income
Ending balance	(14,190)	(10,661)
Accumulated Net Investment Gain (Loss) Attributable to Parent [Member]
Beginning balance	(329)	(876)
Other comprehensive (loss) income before reclassifications	(103)	(892)
Amounts reclassified from accumulated other comprehensive income		70
Ending balance	$ (432)	$ (1,698)

Note 13 (Details Textual)

Note 13 (Details Textual) - Subsequent Event [Member] $ in Millions	Jan. 03, 2017USD ($)
Hill & Valley Inc. [Member]
Minimum Annual Revenues	$ 45
Hill & Valley Inc. [Member]
Payments to Acquire Businesses, Gross	$ 31