INVENTURE FOODS, INC.

CIK:0000944508|SEC Filings

CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS - USD ($) shares in Thousands, $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2017	Sep. 24, 2016	Sep. 30, 2017	Sep. 24, 2016
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS
Net revenues	$ 27,428	$ 28,587	$ 84,248	$ 80,956
Cost of revenues	23,951	23,534	70,493	65,988
Gross profit	3,477	5,053	13,755	14,968
Operating expenses:
Selling, general and administrative expenses	7,100	6,706	20,156	18,678
Operating loss	(3,623)	(1,653)	(6,401)	(3,710)
Non-operating expense:
Interest expense	1,839	1,376	5,221	4,010
Loss from continuing operations before income tax expense	(5,462)	(3,029)	(11,622)	(7,720)
Income tax expense (benefit)	10	(1,298)	31	(2,783)
Net loss from continuing operations	(5,472)	(1,731)	(11,653)	(4,937)
Net income (loss) from discontinued operations	(19,900)	(833)	(28,775)	1,077
Net loss	$ (25,372)	$ (2,564)	$ (40,428)	$ (3,860)
Income (loss) per common share:
Basic loss from continuing operations (in dollars per share)	$ (0.28)	$ (0.09)	$ (0.59)	$ (0.25)
Basic income (loss) from discontinued operations (in dollars per share)	(1.00)	(0.04)	(1.46)	0.05
Basic loss (in dollars per share)	(1.28)	(0.13)	(2.05)	(0.20)
Diluted loss from continuing operations (In dollars per share)	(0.28)	(0.09)	(0.59)	(0.25)
Diluted income ( loss) from discontinued operations (in dollars per share)	(1.00)	(0.04)	(1.46)	0.05
Diluted loss (in dollars per share)	$ (1.28)	$ (0.13)	$ (2.05)	$ (0.20)
Weighted average number of common shares:
Basic (in shares)	19,790	19,671	19,735	19,634
Diluted (in shares)	19,790	19,671	19,735	19,634

CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2017	Sep. 24, 2016
Cash flows from operating activities:
Net loss	$ (40,428)	$ (3,860)
Net income (loss) from discontinued operations	(28,775)	1,077
Net loss from continuing operations	(11,653)	(4,937)
Adjustments to reconcile net loss from continuing operations to net cash provided by (used in) operating activities:
Depreciation	2,340	2,351
Deferred financing fee amortization	1,360	1,030
Provision for bad debts	(12)	64
Deferred income taxes	583	(2,072)
Stock-based compensation expense	1,297	1,217
Gain on disposition of equipment	5
Changes in assets and liabilities:
Accounts receivable	(2,279)	(705)
Inventories	(211)	(1,826)
Other assets and liabilities	(2,095)	2,870
Accounts payable and accrued liabilities	383	(4,872)
Net cash used in operating activities - continuing operations	(10,282)	(6,880)
Net cash provided by operating activities - discontinued operations	12,060	13,193
Net cash provided by operating activities	1,778	6,313
Cash flows from investing activities:
Purchase of property and equipment	(749)	(8,549)
Net cash used in investing activities - continuing operations	(749)	(8,549)
Net cash provided by (used in) investing activities - discontinued operations	59,687	(3,458)
Net cash provided by (used in) investing activities	58,938	(12,007)
Cash flows from financing activities:
Net borrowings on Wells Fargo line of credit	(32,761)	5,680
Payments made on capital lease obligations	(14)	(15)
Borrowings on term loans	5,031	1,097
Repayments made on long term debt	(30,710)	(1,283)
Payment of loan financing fees	(579)	(1,107)
Proceeds from issuance of common stock under equity award plans		187
Payment of payroll taxes on stock-based compensation through shares withheld	(300)	(228)
Net cash provided by (used in) financing activities - continuing operations	(59,333)	4,331
Net cash provided by (used in) financing activities	(59,333)	4,331
Net increase (decrease) in cash and cash equivalents	1,383	(1,363)
Cash and cash equivalents at beginning of year period	776	2,319
Cash and cash equivalents at end of year period	2,159	956
Supplemental disclosure of cash flow information:
Cash paid during the period for interest	6,431	6,090
Cash paid (refunded) during the period for income taxes	$ 61	$ (3,503)

CONDENSED CONSOLIDATED BALANCE SHEETS - USD ($) $ in Thousands	Sep. 30, 2017	Dec. 31, 2016
Current assets:
Cash and cash equivalents	$ 2,159	$ 776
Accounts receivable, net of allowance for doubtful accounts of $108 and $120 at September 30, 2017 and December 31, 2016, respectively	8,834	8,941
Inventories	13,608	13,398
Other current assets	4,712	2,578
Current assets held for sale		66,821
Total current assets	29,313	92,514
Property and equipment, net of accumulated depreciation of $32,713 and $30,396 at September 30, 2017 and December 31, 2016, respectively	32,352	34,367
Goodwill	5,986	5,986
Trademarks	896	896
Other assets	797	785
Noncurrent assets held for sale		46,932
Total assets	69,344	181,480
Current liabilities:
Accounts payable	16,720	18,725
Accrued liabilities	4,596	6,190
Line of credit		32,761
Current portion of term debt	60,608	79,883
Current liabilities held for sale		16,576
Total current liabilities	81,924	154,135
Deferred income tax liability	1,959	1,376
Other liabilities	810	759
Noncurrent liabilities held for sale		1,521
Total liabilities	84,693	157,791
Commitments and contingencies (see Note 7)
Stockholders' equity:
Common stock, $.01 par value; 50,000 shares authorized; 20,194 and 20,040 shares issued and outstanding at September 30, 2017 and December 31, 2016, respectively	202	200
Additional paid-in capital	37,109	35,721
Accumulated deficit	(52,189)	(11,761)
Total stockholders' equity before treasury stock	(14,878)	24,160
Less: treasury stock, at cost: 368 shares at September 30, 2017 and December 31, 2016	(471)	(471)
Total stockholders' equity	(15,349)	23,689
Total liabilities and stockholders' equity	$ 69,344	$ 181,480