Originally published at www.seclive.com
Zep, Inc. (NYSE:ZEP) announced its financial results for the first fiscal quarter of 2014, reporting profits that declined from a year ago. The consumable packaged goods company posted a 4.3% improvement in its net sales from $158.0M to $164.9M due largely to increased business in its transportation segment. The results include $16.1M from its Zep Vehicle Care business. The company's gross margin improved 70 basis points from last year to 48.1%, due largely to the aforementioned Zep Vehicle Care inclusion. Zep earnings declined from $3.48M and $0.16 per share a year ago to $3.10M and $0.14 per share this quarter. Zep undertook some restructuring actions in the fourth quarter in an effort to improve profitability, which included the consolidation of facilities and resources, as well as efforts to streamline the business and its processes. The company intends to save, as a result of these actions, around $9M in fiscal year 2014.
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