Pantry beats Street with Q4 profit, misses on revenue

Cary, N.C. – The Pantry Inc. beat Wall Street expectations with net income but missed on revenue in the fourth quarter of fiscal 2014. Net income dramatically shot up to $14.7 million from $1 million in the same period a year earlier, aided by costs and expenses that remained level or dropped.



Revenue fell 3% to $1.95 billion from $2.02 billion, with declining fuel sales offsetting rising merchandising sales.



"We were pleased with our fourth quarter as we grew merchandise and fuel gross profit while controlling expenses,” said Dennis G. Hatchell, president and CEO. “We have now had positive same-store merchandise sales in 11 out of our last 12 quarters. Overall fuel performance was encouraging as our balanced approach led to an increase in fuel gross profit. Our team is working to build on all of these results in fiscal 2015."



For the full fiscal year, The Pantry reported net income of $13.2 million, compared to a net loss of $3 million in the prior fiscal year. Total revenue dropped 3% to $7.54 million from $7.82 million.