Acquisitions a win-loss for Pierre

Two subsidiaries acquired by Pierre Foods Inc. last year boosted revenues in the second quarter and first half of its 2008 fiscal year, but related expenses threw the company into the loss column.
Pierre posted second-quarter revenue of $151.5 million, up 53 percent from $98.9 million in the second quarter of 2006. The net loss was $8.2 million versus net income of $130,000 a year ago. Earnings before interest, taxes, depreciation and amortization (EBIDTA) were $5.5 million versus $12.7 million in the year-ago period.
The company doesn't provide earnings-per-share figures, and its stock doesn't trade publicly.
Year to date, Pierre reported revenue of $309 million, up 51 percent from $204.7 million in the same fiscal 2007 period. The net loss was $12.5 million compared to net income of $810,000 a year ago. and EBIDTA was $16.4 million, down from $26 million.
Pierre said in a news release that the net loss was due to higher costs for goods, sales, administration, interest and depreciation, all the result of its purchases of food companies Zartic and Clovervale in 2006.
The expenses were partially offset by higher revenues and lower income tax expenses of about $4.7 million.
The company also said it had one-time expenses of about $1 million related to downtime at its Rome, Ga., plant, and integration and administrative costs of about $900,000.
Pierre Foods, headquartered in Cincinnati, manufactures, markets and distributes pre-cooked and ready-to-cook foods, meals and convenience sandwiches.
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