Willamette Valley Vineyards Posts a Profit for 2015

Mar 10, 2016, 16:52 ET from Willamette Valley Vineyards

SALEM, Ore., March 10, 2016 /PRNewswire/ -- Willamette Valley Vineyards (NASDAQ: WVVI), a leading Oregon producer of Pinot Noir, generated income applicable to common shareholders of $1,844,221, or $0.37 cents per share, for 2015, down from $2,161,340, or $0.45 cents per share, for the prior year, representing a $317,119, or 14.7%, decrease in income applicable to common shareholders when compared to 2014. 

Income from operations was $3,268,577 for 2015, up from $2,806,222 for the prior year, representing an increase of $462,355, or 16.5%, when compared to 2014. 

The Company produced revenue of $17,938,872 and $15,156,159 in the years of 2015 and 2014, respectively, an increase of $2,782,713, or 18.4%, in the current year compared to the prior year.  The reasons for this increase include increased sales in all categories; most notably retail sales but also in-state sales, out-of state sales and sales of bulk products.

Gross profit margin was 60.5% and 59.5% for 2015 and 2014, respectively.

Selling, general and administrative expenses were $7,578,184 and $6,210,384 for 2015 and 2014, respectively, an increase of $1,367,800 or 22.0%.

Income tax provision was $1,275,416 for 2015, up from $775,999 for the prior year, representing an increase of $499,417 or 64.4% when compared to 2014.  This increase was the result of tax deductions and credits in 2014, primarily from a major remodel in 2014, which did not exist in 2015.

Jim Bernau, Founder and President of the winery, said "This was our most productive year ever, with substantial Pinot Noir plantings in the Eola Hills AVA, building a stronger winemaking team and an oversubscribed Preferred Stock Offering adding 4,000 more wine enthusiasts to our ownership base - what a year!"

Willamette Valley Vineyards, Inc. is headquartered at its Estate Vineyard near Salem, Oregon.  The Company's common stock is traded on NASDAQ (WVVI). 

Forward-looking statements in this release are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995, and are identified by such words and phrases as "expects,", "thinks," "believes," "anticipates" and words of similar import.  Such forward-looking statements are subject to risks and uncertainties and actual results could differ materially from those projected.  Such risks and uncertainties include, but are not limited to:  availability of financing for growth, availability of adequate supply of high quality grapes, successful performance of internal operations, impact of competition, changes in wine broker or distributor relations or performance, impact of possible adverse weather conditions, impact of reduction in grape quality or supply due to disease, impact of governmental regulatory decisions and other risks.   

 






Twelve months ended
December 31,






2015


2014









SALES, NET


$   17,938,872


$   15,156,159

COST OF SALES

7,092,111


6,139,553









GROSS PROFIT

10,846,761


9,016,606









SELLING, GENERAL & ADMINISTRATIVE EXPENSES

7,578,184


6,210,384









INCOME FROM OPERATIONS

3,268,577


2,806,222









OTHER INCOME (EXPENSE)




      Interest income

2,237


1,031

      Interest expense

(306,805)


(289,020)

      Other income, net

213,239


419,106









INCOME BEFORE INCOME TAXES

3,177,248


2,937,339









INCOME TAX PROVISION 

(1,275,416)


(775,999)









NET INCOME


1,901,832


2,161,340









Preferred stock dividends

(57,611)


-









INCOME APPLICABLE TO COMMON SHAREHOLDERS

$      1,844,221


$      2,161,340









Basic income per common share after preferred dividends

$               0.37


$               0.45









Diluted income per common share after preferred dividends

$               0.37


$               0.44









Weighted average number of basic common shares outstanding

4,928,712


4,849,614









Weighted average number of diluted common shares outstanding

4,963,999


4,930,494

 

SOURCE Willamette Valley Vineyards