- The Duckhorn Portfolio, Inc. (NYSE: NAPA) stock price rose 1.27% after hours today. That is why.
The Duckhorn Portfolio, Inc. (NYSE: NAPA) stock price rose 1.27% after hours today. Investors are reacting positively to the company’s financial results for the 3 months ended January 31, 2022.
Q2 2022 Highlights
— Net sales amounted to $98.7 million, an increase of $15.1 million, or 18.0%, over the prior year period.
— Gross profit was $49.5 million, an increase of $7.7 million, or 18.5%, over the prior year period. Adjusted gross profit was $49.7 million, an increase of $7.1 million, or 16.5%, over the prior year period.
— Net income was $17.9 million, or $0.16 per diluted share, compared to $22.0 million, or $0.22 per diluted share, in the prior year period ; adjusted net income was $19.5 million, or $0.17 per diluted share, compared to $16.8 million, or $0.17 per diluted share, in the prior year period. Adjusted net earnings increased $3.7 million, or 23.6%, over the prior year period, and adjusted earnings per share would have been $0.14 per diluted share during the prior year period had it also been burdened by public company costs and using the diluted 2022 fiscal year number of shares.
— Adjusted EBITDA amounted to $34.3 million, an increase of $2.1 million, or 6.6%, compared to the corresponding period of the previous fiscal year. The most recent period calculation includes public company costs that did not exist in the prior year period when the company was private. And Adjusted EBITDA increased $3.5 million, or 11.5%, from the prior year period when comparing second quarter Adjusted EBITDA to the prior year period, also burdened by the costs of public companies.
— Cash stood at $4.8 million as of January 31, 2022, with a gearing ratio of 2.0x net debt (net of deferred financing costs) to trailing twelve-month adjusted EBITDA.
The Duckhorn Portfolio also announced that Gayle Bartscherer will join the company as its next Executive Vice President, Chief Marketing Officer and Director of DTC and will assume the role in the coming weeks. Bartscherer brings to The Duckhorn Portfolio more than 20 years of experience focused on the wine industry, having held key leadership positions in business development, winery operations, brand management, marketing and marketing and international sales.
Most recently, Bartscherer spent the last few years managing a team of 60 as SVP International Sales, Marketing and Business Development at Jackson Family Wines (JFW). And during his 14 years at JFW, Bartscherer held several key positions, including chief brand officer, chief marketing officer, and vice president of international marketing and business development. After starting out in the accounting industry, Bartscherer began her wine career at Blue Lifestyle, where she worked alongside James Beard Award-winning author, columnist and TV personality Anthony Dias Blue as a vice-president. president of business development and events. Bartscherer has also worked for Bon Appétit Magazine and Santa Barbara-based Beckmen Vineyards in marketing and operations.
“We are pleased with our impressive second quarter results as we achieved double-digit organic sales and volume growth and continued to outperform the fast-growing luxury wine industry. Our flagship winery brands, Duckhorn Vineyards and Decoy, led growth in the quarter as they appeal to a broad group of consumers given their exceptional quality and affordable prices as luxury wines. The brands continued to see growth in distribution across a variety of demographics and their ability to expand to new price points gives us confidence that they will deliver peak results over the long term.
“Given our strong first half performance and our proven ability to gain market share at an accelerated pace, we are raising our guidance for fiscal year 2022. We believe the power of our brand, our differentiated strategic plan and our highly flexible supply chain positions us well to maintain momentum in 2022 and generate profitable growth for years to come.
— Alex Ryan, President, CEO and Chairman of the Board
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