J&J Snack Foods (JJSF) 8-K J & J Snack Foods Reports Record Fiscal Third Quarter Revenue of $440.0 Million

Exhibit 99.1

J & J SNACK FOODS REPORTS RECORD FISCAL THIRD QUARTER REVENUE OF $440.0 MILLION

Gross Margin of 33.6% Leads to Net Earnings of $36.3 Million, and EPS of $1.87 and Adjusted EPS of $1.98

Mount Laurel, NJ, August 5, 2024 - J&J Snack Foods Corp. (NASDAQ: JJSF) (the “Company”) today reported financial results for the third quarter ended June 29, 2024.

		Third Quarter
	Actuals	$ vs. LY	% vs. LY
Net Sales	$440.0M	$14.2M	3.3%
Operating Income	$50.1M	$1.8M	3.8%
Net Earnings	$36.3M	$1.3M	3.8%
Earnings per Diluted Share	$1.87	$0.06	3.3%
Adjusted Operating Income	$53.1M	$2.0M	3.9%
Adjusted EBITDA	$70.9M	$4.2M	6.3%
Adjusted Earnings per Diluted Share	$1.98	$0.06	3.1%

This press release contains non-GAAP financial measures. Please refer to the Non-GAAP Financial Measures section below for reconciliations to the most comparable GAAP measures.

Dan Fachner, J&J Snack Foods Chairman, President, and CEO, commented, “J&J Snack Foods delivered excellent third quarter financial results, including the second-highest quarterly net sales performance in our Company’s history and record quarterly earnings per diluted share. Top-line growth was driven by higher volumes across most of our core products and brands, as well as strong new business performance in our Food Service and Retail segments, partially offset by temporary challenges in the theater channel. Our continued success in improving operating efficiencies led to a healthy 33.6% gross margin, flat versus the prior year, despite a less favorable sales mix. This resulted in adjusted operating income growth of 3.9% and adjusted EBITDA growth of 6.3%, building on our solid momentum from the first two quarters of our fiscal year.

“Food Service sales increased 3.7%, led by strong growth in handhelds, frozen novelties and bakery. Retail sales increased 12.4% largely reflecting strong sales of handhelds, frozen novelties and soft pretzels, partially offset by a single-digit decline in biscuits. We experienced healthy demand across our frozen novelties, including Luigi’s, Icee and Dogsters, as well as continued strong performance for Superpretzel-branded products, including Bavarian sticks. As we had anticipated, the effect of the 2023 actors strike on this summer’s film slate resulted in a significant year-over-year decline in movie theater attendance, impacting fiscal third quarter sales of frozen beverages, soft pretzels and churros. Despite these challenges, the depth and breadth of our customer channel combined with the success of our marketing and sales strategies enabled us to deliver record third quarter net sales.

“For example, the recent churros launch with one of the three largest QSR customers continues to exceed our expectations and helped partially offset softer churros sales in the theater and club channels during the quarter. Dippin Dots net sales also increased 5.3% and were less impacted by these challenges given the diverse customer base and improving trends in outdoor amusement. We are actively rolling out Dippin Dots at AMC, Cinemark and Marcus Theaters and expect to complete this process over the next three months. With a much stronger film slate in the back half of 2024 and into 2025, we remain excited about the growth opportunity of Dippin Dots in this channel and expect sales of our other products to improve as attendance trends recover to more normalized levels.

“In summary, we are executing our strategy, driving record sales and leveraging expenses to grow profits faster than sales. While we expect our 2024 fiscal fourth quarter results to be impacted by one less sales week versus the comparable prior year period, it is clear that our strategies to maximize sales across our customer channels and improve operating efficiencies are working. Looking ahead, we have a strong portfolio of beloved products and brands, with tremendous growth opportunities ahead of us. Our robust balance sheet and liquidity position, combined with a world-class team gives us confidence in our plans and ability to deliver long-term value to our employees, partners, and shareholders.”

Third Quarter Highlights

Net sales increased 3.3% to $440.0 million in Q3 of fiscal 2024, compared to Q3 of fiscal 2023.

Key highlights include:

● Food Service segment sales increased 3.7% to $264.4 million versus Q3 ’23.

● Retail segment sales increased 12.4% to $68.7 million versus Q3 ’23.

● Frozen Beverage segment sales declined 2.6% to 106.8 million versus Q3 ’23.

● Frozen Novelties, including Dippin Dots, Handhelds and Bakery in Food Service; Soft Pretzels, Handhelds and Frozen Novelties in Retail all delivered sales increases in the quarter. This was partially offset by softer sales of Soft Pretzels and Churros in Food Service; a decline in Biscuit sales in Retail and declines in Beverage, Maintenance and Machine revenue in Frozen Beverages.

● Dippin’ Dots sales increased 5.3%, compared to Q3 ’23.

Gross profit as a percentage of sales was 33.6% in Q3 ’24, flat versus Q3 ’23, reflecting the positive impact from improved product and pricing mix along with ongoing productivity improvements. Across our portfolio of raw materials, we saw net low-mid single-digit inflationary increases, with the net increase primarily driven by increases in the cost of cocoa/chocolate, and to a lesser extent, increases in the cost of sugar/sweeteners. Those increases were somewhat offset by deflationary trends seen in flour, cheese and dairy, mixes, and eggs. Pricing adjustments and contractual cost true-ups helped minimize the majority of the impact of the net inflationary increases in costs of raw materials on our gross margins in the quarter.

Total operating expenses of $97.7 million represented 22.2% of sales for the quarter, flat compared to Q3 ’23.

● Distribution costs of $45.1 million represented 10.2% of sales in the quarter, versus 10.4% in the prior year period, as investments in improving our supply chain network continue to drive expenses savings and distribution efficiencies.

● Marketing and selling expenses of $32.6 million represented 7.4% of sales, flat versus the prior year period and continue to drive innovation, promote our brands and launch new selling opportunities.

● Administrative expenses of $19.9 million represented 4.5% of sales in Q3 ’24, compared to 4.4% in Q3 ’23.

Adjusted operating income was $53.1 million in the third quarter of fiscal 2024, compared to $51.1 million in the prior year period, with the increase driven by sales growth, strong gross margins and added operational efficiencies. This led to net earnings in Q3 ’24 of $36.3 million, favorably comparing to $35.0 million in Q3 ’23. Our effective tax rate was 27.9% in Q3 ’24.         

Food Service Segment Third Quarter Highlights

● Q3 ’24 food service sales totaled $264.4 million, or an increase of 3.7%, compared to Q3 ’23 sales of $255.0 million.

● Churros sales were relatively flat, down 0.7% to $30.3 million reflecting lower theater and club channel sales, partially offset by new business growth with a major QSR customer. Bakery and Frozen Novelties sales increased by 6.8% and 9.1%, respectively, driven by unit volume growth in cookies and a 5.3% increase in Dippin’ Dots sales. Growth across the segment also reflected a 25.3% increase in Handheld sales. These increases were partially offset by a decrease in Soft Pretzel of 6.3% driven primarily by soft theater sales.

● Sales of new products and added placement with new customers totaled approximately $6.4 million, driven primarily by the addition of churros to the menu of a major QSR customer.

● Q3 ’24 operating income decreased 2.6% to $20.2 million, versus the prior year period with the decrease primarily driven by a slight change in product mix.

Retail Segment Third Quarter Highlights

● Q23’24 retail sales totaled $68.7 million, or an increase of 12.4%, compared to Q3 ’23.

● Handheld sales grew by 69.9% driven by expanded placement of product with a major mass merchant. Frozen Novelties sales increased 10.9% led by growth of Dogsters and Icee novelties, as well as higher shipments as customers build inventory for the peak spring and summer seasons. Soft Pretzel sales increased 8.2% led by our continued expansion of Superpretzel products in retail, while Biscuit sales decreased 5.8% in the quarter.

● New product innovation and incremental distribution contributed approximately $3.1 million in the quarter driven primarily by the growth of Superpretzel Bavarian sticks into the Retail segment.

● Operating income for the quarter was $7.8 million, an increase of $3.6 million versus the prior year period driven by sales growth, product mix and higher gross margins.

Frozen Beverages Segment Third Quarter Highlights      

● Frozen beverages segment sales totaled $106.8 million, a 2.6% decrease compared to a record Q3 ’23.

● Beverage sales were down 1.1%, or $0.8 million below Q3’23 led by weakness across the theater channel as the industry recovers from the impacts of last years actors strike which led to fewer strong releases and lower attendance. The theater industry expects significant improvement in the back half of the calendar year and next year as the schedule of new releases is much stronger.

● Repair and Maintenance revenues declined 1.6%, versus the prior year period reflecting weaker maintenance call volumes, while Machine sales were down 15.4% in the quarter as a result of lapping a significant QSR rollout last year. Machine sales exceeded our internal plans for the quarter.

● Q3 ’24 operating income decreased 5.5% to $22.1 million for the quarter, compared to a Q3 ’23 operating income of $23.3 million, driven by weaker top-line sales and mix impacts on gross margin.

Conference Call

J & J Snack Foods Corp. will host a conference call to discuss results and business outlook on August 6, 2024, at 10:00 a.m. Eastern Time. Conference call participants should register by clicking on this Registration Link to receive the dial-in number and a personal PIN, which are required to access the conference call. A live audio webcast of the conference call will also be available on the Investors homepage at https://www.jjsnack.com/investors/.

About J & J Snack Foods Corp.

J & J Snack Foods Corp. (NASDAQ: JJSF) is a leader and innovator in the snack food industry, providing innovative, niche, and affordable branded snack foods and beverages to foodservice and retail supermarket outlets. Manufactured and distributed nationwide, our principal products include SUPERPRETZEL, the #1 soft pretzel brand in the world, as well as internationally known ICEE and SLUSH PUPPIE frozen beverages, DIPPIN’ DOTS ice cream, LUIGI’S Real Italian Ice, MINUTE MAID* frozen ices, WHOLE FRUIT sorbet and frozen fruit bars, HOLA! CHURROS, and THE FUNNEL CAKE FACTORY funnel cakes and several bakery brands within DADDY RAY’S, COUNTRY HOME BAKERS and HILL & VALLEY. For more information, please visit http://www.jjsnack.com.

*MINUTE MAID is a registered trademark of The Coca-Cola Company.

Cautionary Statement Regarding Forward-Looking Information

This press release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. All statements regarding the Company’s expected future financial position, results of operations, revenue growth and profit levels, cash flows, business strategy, budgets, projected costs, capital expenditures, products, competitive positions, growth opportunities, plans and objectives of management for future operations, as well as statements that include words such as “anticipate,” “if,” “believe,” “plan,” “goals,” “estimate,” “expect,” “intend,” “may,” “could,” “should,” “will,” and other similar expressions are forward-looking statements. This includes, without limitation, our statements, and expectations regarding any current or future recovery in our industry (or the industries of our customers) and the future impact of our operational efficiency projects. Such forward-looking statements are inherently uncertain, and readers must recognize that actual results may differ materially from the expectations of management. We do not undertake a duty to update such forward-looking statements. Factors that may cause actual results to differ materially from those in the forward-looking statements include consumer spending, price competition, acceptance of new products, the pricing and availability of raw materials, transportation costs, changes in the competitive marketplace the uncertainty and ultimate economic impact of the COVID-19 pandemic or similar health outbreaks, and other risks identified in our annual report on Form 10-K, and our other filings with the Securities and Exchange Commission. Many of these factors are outside of the Company’s control.

Non-GAAP Financial Measures

Adjusted EBITDA consists of net earnings adjusted to exclude: income taxes (benefit); investment income; interest expense; depreciation and amortization; share-based compensation expense; net (gain) loss on sale or disposal of assets; impairment charges, restructuring costs, merger and acquisition costs, acquisition related inventory adjustments, strategic business transformation costs, and integration costs.

Adjusted Operating Income consists of operating income adjusted to exclude: impairment charges, restructuring costs, merger and acquisition costs, acquisition related amortization expenses and inventory adjustments, strategic business transformation costs, and integration costs.

Adjusted Earnings per Diluted Share consists of net earnings adjusted to exclude: impairment charges, restructuring costs, merger and acquisition costs, acquisition related amortization expenses and inventory adjustment, strategic business transformation costs, and integration costs. For purposes of comparability, the income tax effect of pre-tax adjustments is determined using statutory tax rates.

This press release contains certain non-GAAP financial measures; Adjusted EBITDA, Adjusted Operating Income, and Adjusted Earnings per Diluted Share. A "non-GAAP financial measure" is a numerical measure of a company's financial performance that excludes or includes amounts so as to be different than the most directly comparable measure calculated and presented in accordance with U.S. generally accepted accounting principles ("GAAP") in the statements of income, balance sheets, or statements of cash flow of the company. Pursuant to applicable reporting requirements, the company has provided reconciliations below of non-GAAP financial measures to the most directly comparable GAAP measure.

The non-GAAP financial measures presented within the Company's earnings release are not indicators of our financial performance under GAAP and should not be considered as an alternative to the applicable GAAP measure. These non-GAAP measures have limitations as analytical tools, and you should not consider them in isolation or as a substitute for analysis of our results as reported under GAAP. In addition, in evaluating these non-GAAP measures, you should be aware that in the future we may incur income, expenses, gains and losses, similar to the adjustments in this press release. Our presentation of these non-GAAP measures should not be construed as an inference that our future results will be unaffected by unusual or infrequent items. We compensate for these limitations by providing equal prominence to our GAAP results and using non-GAAP measures only as supplemental presentations.

The non-GAAP measures presented are utilized by management to evaluate the Company's business performance and profitability by excluding certain items that may not be indicative of our recurring core business operating results. The Company believes that these measures provide additional clarity for investors by excluding specific income, expenses, gains, and losses, in an effort to show comparable business operating results for the periods presented. Similarly, Management believes these adjusted measures are useful performance measures because certain items included in the calculations may either mask or exaggerate trends in the Company’s ongoing operating performance. See the reconciliation of Non-GAAP Financial Measures below.

Investor Contact:

Joseph Jaffoni, Norberto Aja, or Jennifer Neuman

JCIR

(212) 835-8500

jjsf@jcir.com

J & J SNACK FOODS CORP. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF EARNINGS

(Unaudited)

(in thousands, except per share amounts)

	Three months ended						Nine months ended
	June 29,			June 24,			June 29,			June 24,
	2024			2023			2024			2023
Net sales	$	439,957		$	425,769		$	1,147,999		$	1,114,966
Cost of goods sold		292,191			282,887			797,405			790,845
Gross profit		147,766			142,882			350,594			324,121
Operating expenses
Marketing		32,598			31,308			87,720			79,024
Distribution		45,074			44,485			129,626			124,722
Administrative		19,880			18,740			56,600			53,050
Other general expense		98			55			(1,055	)		(490	)
Total operating expenses		97,650			94,588			272,891			256,306
Operating income		50,116			48,294			77,703			67,815
Other income (expense)
Investment income		783			633			2,265			1,719
Interest expense		(543	)		(1,314	)		(1,532	)		(3,697	)
Earnings before income taxes		50,356			47,613			78,436			65,837
Income tax expense		14,057			12,632			21,526			17,352
NET EARNINGS	$	36,299		$	34,981		$	56,910		$	48,485
Earnings per diluted share	$	1.87		$	1.81		$	2.93		$	2.51
Weighted average number of diluted shares		19,456			19,327			19,423			19,299
Earnings per basic share	$	1.87		$	1.82		$	2.94		$	2.52
Weighted average number of basic shares		19,396			19,257			19,373			19,239

J & J SNACK FOODS CORP. AND SUBSIDIARIES

CONSOLIDATED BALANCE SHEETS

(in thousands, except share amounts)

	June 29,
	2024			September 30,
	(unaudited)			2023
Assets
Current assets
Cash and cash equivalents	$	64,047		$	49,581
Accounts receivable, net		208,665			198,129
Inventories		179,696			171,539
Prepaid expenses and other		8,736			10,963
Total current assets		461,144			430,212
Property, plant and equipment, at cost
Land		3,684			3,684
Buildings		54,996			45,538
Plant machinery and equipment		471,235			445,299
Marketing equipment		313,103			296,482
Transportation equipment		15,737			14,367
Office equipment		48,454			47,393
Improvements		67,565			51,319
Construction in progress		28,986			56,116
Total Property, plant and equipment, at cost		1,003,760			960,198
Less accumulated depreciation and amortization		609,601			574,295
Property, plant and equipment, net		394,159			385,903
Other assets
Goodwill		185,070			185,070
Other intangible assets, net		184,203			183,529
Operating lease right-of-use assets		152,712			88,868
Other		3,387			3,654
Total other assets		525,372			461,121
Total Assets	$	1,380,675		$	1,277,236
Liabilities and Stockholders' Equity
Current Liabilities
Current finance lease liabilities	$	221		$	201
Accounts payable		108,642			90,758
Accrued insurance liability		18,084			15,743
Accrued liabilities		20,956			14,214
Current operating lease liabilities		19,104			16,478
Accrued compensation expense		21,919			23,341
Dividends payable		14,264			14,209
Total current liabilities		203,190			174,944
Long-term debt		12,000			27,000
Noncurrent finance lease liabilities		441			600
Noncurrent operating lease liabilities		140,724			77,631
Deferred income taxes		81,652			81,310
Other long-term liabilities		4,752			4,233
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 19,408,000 and 19,332,000 respectively
		129,054			114,556
Accumulated other comprehensive loss		(12,429	)		(10,166	)
Retained Earnings		821,291			807,128
Total stockholders' equity		937,916			911,518
Total Liabilities and Stockholders' Equity	$	1,380,675		$	1,277,236

J & J SNACK FOODS CORP. AND SUBSIDIARIES

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited) (in thousands)

	Nine months ended
	June 29,			June 24,
	2024			2023
Operating activities:
Net earnings	$	56,910		$	48,485
Adjustments to reconcile net earnings to net cash provided by operating activities
Depreciation of fixed assets		47,141			41,319
Amortization of intangibles and deferred costs		5,244			5,065
(Gain) from disposals of property & equipment		(23	)		(255	)
Share-based compensation		4,841			3,935
Deferred income taxes		310			(937	)
(Gain) on marketable securities		-			(105	)
Other		268			(237	)
Changes in assets and liabilities, net of effects from purchase of companies
(Increase) in accounts receivable		(10,949	)		(7,680	)
(Increase) decrease in inventories		(7,264	)		4,875
Decrease in prepaid expenses		2,187			8,487
Increase in accounts payable and accrued liabilities		28,081			2,992
Net cash provided by operating activities		126,746			105,944
Investing activities:
Payments for asset acquisitions		(7,014	)		-
Purchases of property, plant and equipment		(56,371	)		(76,472	)
Proceeds from redemption and sales of marketable securities		-			5,300
Proceeds from disposal of property and equipment		484			774
Net cash (used in) investing activities		(62,901	)		(70,398	)
Financing activities:
Proceeds from issuance of stock		9,657			6,289
Borrowings under credit facility		57,000			102,000
Repayment of borrowings under credit facility		(72,000	)		(74,000	)
Payments on finance lease obligations		(120	)		(150	)
Payment of cash dividend		(42,693	)		(40,389	)
Net cash (used in) financing activities		(48,156	)		(6,250	)
Effect of exchange rates on cash and cash equivalents		(1,223	)		1,166
Net increase in cash and cash equivalents		14,466			30,462
Cash and cash equivalents at beginning of period		49,581			35,181
Cash and cash equivalents at end of period	$	64,047		$	65,643

J & J SNACK FOODS CORP. AND SUBSIDIARIES

NOTES TO CONSOLIDATED FINANCIAL STATEMENTS

(Unaudited) (in thousands)

	Three months ended						Nine months ended
	June 29,			June 24,			June 29,			June 24,
	2024			2023			2024			2023
Sales to external customers:
Food Service
Soft pretzels	$	59,529		$	63,527		$	163,985		$	171,242
Frozen novelties		51,701			47,410			100,464			95,782
Churros		30,269			30,470			89,155			81,147
Handhelds		21,300			17,003			62,851			60,884
Bakery		93,566			87,582			287,455			281,830
Other		8,081			8,988			19,135			20,673
Total Food Service	$	264,446		$	254,980		$	723,045		$	711,558
Retail Supermarket
Soft pretzels	$	11,110		$	10,269		$	46,010		$	40,767
Frozen novelties		46,210			41,684			82,747			80,423
Biscuits		4,839			5,135			18,078			18,906
Handhelds		7,562			4,452			20,266			11,443
Coupon redemption		(931	)		(385	)		(2,032	)		(936	)
Other		(67	)		(5	)		303			(20	)
Total Retail Supermarket	$	68,723		$	61,150		$	165,372		$	150,583
Frozen Beverages
Beverages	$	72,092		$	72,878		$	158,708		$	153,336
Repair and maintenance service		23,748			24,144			71,538			70,556
Machines revenue		9,769			11,554			26,879			26,817
Other		1,179			1,063			2,457			2,116
Total Frozen Beverages	$	106,788		$	109,639		$	259,582		$	252,825
Consolidated sales	$	439,957		$	425,769		$	1,147,999		$	1,114,966
Depreciation and amortization:
Food Service	$	12,130		$	9,797		$	33,976		$	28,852
Retail Supermarket		396			540			1,448			1,423
Frozen Beverages		5,667			5,426			16,961			16,109
Total depreciation and amortization	$	18,193		$	15,763		$	52,385		$	46,384
Operating Income:
Food Service	$	20,247		$	20,786		$	34,194		$	32,306
Retail Supermarket		7,812			4,168			13,374			5,766
Frozen Beverages		22,057			23,340			30,135			29,743
Total operating income	$	50,116		$	48,294		$	77,703		$	67,815
Capital expenditures:
Food Service	$	12,717		$	20,015		$	33,946		$	58,621
Retail Supermarket		0			345			2			1,824
Frozen Beverages		7,028			6,988			22,423			16,027
Total capital expenditures	$	19,745		$	27,348		$	56,371		$	76,472
Assets:
Food Service	$	991,815		$	959,657		$	991,815		$	959,657
Retail Supermarket		36,719			12,327			36,719			12,327
Frozen Beverages		352,141			332,113			352,141			332,113
Total assets	$	1,380,675		$	1,304,097		$	1,380,675		$	1,304,097

 J & J SNACK FOODS CORP. AND SUBSIDIARIES 

 NON-GAAP FINANCIAL MEASURES

 (Unaudited) (in thousands)

	Three months ended						Nine months ended
	June 29,			June 24,			June 29,			June 24,
	2024			2023			2024			2023
Reconciliation of GAAP Net Earnings to Adjusted EBITDA
Net Earnings	$	36,299		$	34,981		$	56,910		$	48,485
Income Taxes		14,057			12,632			21,526			17,352
Investment Income		(783	)		(633	)		(2,265	)		(1,719	)
Interest Expense		543			1,314			1,532			3,697
Depreciation and Amortization		18,193			15,763			52,385			46,384
Share-Based Compensation		1,634			1,383			4,842			3,935
Strategic Business Transformation Costs (2)		295			951			4,848			951
Net (Gain) Loss on Sale or Disposal of Assets		(6	)		99			(23	)		(255	)
Acquisition Related Inventory Adjustment		183			-			183			-
Merger and Acquisition Costs		250			-			250
Integration Costs		205			153			205			570
Adjusted EBITDA	$	70,870		$	66,643		$	140,393		$	119,400
Reconciliation of GAAP Operating Income to Adjusted Operating Income
Operating Income		50,116			48,294			77,703			67,815
Strategic Business Transformation Costs (2)		295			951			4,848			951
Acquisition Related Amortization Expenses		2,012			1,679			5,244			5,037
Acquisition Related Inventory Adjustment		183			-			183			-
Merger and Acquisition Costs		250			-			250			-
Integration Costs		205			153			205			570
Adjusted Operating Income	$	53,061		$	51,077		$	88,433		$	74,373
Reconciliation of GAAP Earnings per Diluted Share to Adjusted Earnings per Diluted Share
Earnings per Diluted Share	$	1.87		$	1.81		$	2.93		$	2.51
Strategic Business Transformation Costs (2)		0.02			0.05			0.25			0.05
Acquisition Related Amortization Expenses		0.10			0.09			0.27			0.26
Acquisition Related Inventory Adjustment		0.01			-			0.01			-
Merger and Acquisition Costs		0.01			-			0.01			-
Integration Costs		0.01			0.01			0.01			0.03
Tax Effect of Non-GAAP Adjustments (1)		(0.04	)		(0.04	)		(0.15	)		(0.09	)
Adjusted Earnings per Diluted Share	$	1.98		$	1.92		$	3.33		$	2.76

(1)	Income taxes associated with pre-tax adjustments determined using statutory tax rates
(2)	Strategic business transformation costs are start-up costs related to our regional distribution center supply chain transformation.