Revenue during the quarter dropped 10.62 percent to $249.38 million from $279 million in the previous year period. Gross margin for the quarter expanded 127 basis points over the previous year period to 17.40 percent. Total expenses were 92.08 percent of quarterly revenues, down from 92.94 percent for the same period last year. This has led to an improvement of 86 basis points in operating margin to 7.92 percent.

Operating income for the quarter was $19.74 million, compared with $19.69 million in the previous year period.

“Net income and diluted earnings per share reached record levels for any second fiscal quarter,” stated Jeffrey T. Sanfilippo, Chief Executive Officer. “As was the case in the first quarter of fiscal 2017, sales volume growth for our Fisher recipe nut and produce brands continues to outpace sales volume growth for our private brand products,” Mr. Sanfilippo noted. “At retail, both our Fisher recipe nut and our Orchard Valley Harvest brands performed well in the quarterly comparison according to IRi market data. Fisher recipe nut pound volume increased by approximately 21%, while the total recipe nut category pound volume declined by approximately 4%. At the end of the current second quarter, Fisher recipe nut pound share rose to a record 30% according to IRi market data, continuing Fisher recipe’s position as the market share leader in recipe nuts.

Cash conversion cycle (CCC) has decreased to 31 days for the quarter from 68 days for the last year period. Days sales outstanding went up to 26 days for the quarter compared with 24 days for the same period last year.

Days inventory outstanding has decreased to 40 days for the quarter compared with 73 days for the previous year period. At the same time, days payable outstanding went up to 35 days for the quarter from 29 for the same period last year.