AML Foods Limited announced today the results for its second quarter ending July 31, 2013, recording a net profit of $171k, compared to $448k for the same period in the previous year. Key indicators include:

• Sales growth of $5,513k or 18.0%;
• Increase in net margin dollars generated of 16.0% or $1,443k but a decrease in net margin percentage from 29.5% to 29.0%.

Mr. Dionisio D’Aguilar, Chairman AML Foods Limited says, “We are disappointed in our results for this quarter as we have set much higher expectations for our performance. Our results are reflective of both internal and external factors, which combined to produce the sub-par results of this quarter.”

Mr. D’Aguilar went on to say “We were generally optimistic regarding our performance until mid-Summer. However, since then we have seen a definite decline in consumer confidence, which we believe is impacting average spend.” He noted that the increased levels of taxation, particularly the introduction of the 1% customs processing fee had materially impacted margins since its introduction and would continue to do so for at least another quarter as management made the necessary adjustments to compensate for it. Adding to this impact was the corresponding cost increases as suppliers reacted to their increased taxation and business license fees.

Despite the reduced profits, AML Foods Limited has continued its program of profit distribution to its shareholders, paying a final 2012 dividend of $0.04 per share on May 3rd, 2013 and a dividend of $0.02 per share on July 8th, 2013. A dividend of $0.02 per share will be paid on October 8th 2013 to shareholders on record at October 1st, 2013. Mr. D’Aguilar noted that the Company would not be making any immediate changes to its current dividend policy, adding that the Company’s cashflow remained healthy and he expected the changes that management were implementing to record improved performance by the Company’s 4th quarter.

About AML Foods Limited: AML Foods Limited was incorporated in 1989 in The Bahamas and is listed on the Bahamas International Securities Exchange. The Company and its subsidiaries are primarily engaged in the operations of retail and club stores offering dry and perishable food items and other consumer products, and the operation of a food franchise business. AML Foods Limited Food Distribution includes its retail division - Solomon’s Super Center Nassau, Solomon’s Fresh Market, and Solomon’s Freeport Neighborhood Stores – and its club division - Cost Right Nassau and Cost Right Freeport; the Company’s Franchise Division consists of eleven Domino’s Pizza locations in Nassau and Freeport. The registered office of the Company is at One Millars Court, off Shirley Street, Nassau, New Providence, Bahamas and the corporate office is at Town Centre Mall, Upper Level, Blue Hill Road, Nassau, New Providence, Bahamas, Tel: 242.677.7200.

About this report: This report may include “forward-looking statements.” While AML Foods Limited believes that the expectations reflected in such statements are reasonable, it can give no assurance that such expectations will prove to be correct. Important factors that could cause actual results to differ materially from AML Foods’ expectations include external economic conditions, changes in the marketplace, changes in interest rates and operating costs and other unforeseen events or conditions that affect the Group’s performance.

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