SALINAS, Calif., July 21, 2021 / PRNewswire / – Scheid Vineyards Inc. (dba Scheid Family Wines) (OTC Markets: SVIN) today announced its financial results for the quarter ended May 31st, 2021 (1st quarter of fiscal year 2022).
Financial results – Results for the first quarter of fiscal 2022 (March 1, 2021 – May 31, 2021)
Three months ended May 31
Sale of products at checkout
Bulk wine sales
Processing and cellar storage income
Direct sales revenue
Turnover from vineyard management
General and administrative expenses
Sales and marketing costs
Interest expense, net
Loss on investment in Gifft Wine Venture
Capital gain on the sale of vines and equipment
INCOME (LOSS) BEFORE (PROVISION FOR)
BENEFIT FROM INCOME TAX
(PROVISION FOR) INCOME TAX BENEFITS
NET PROFIT (LOSS)
NET PROFIT (LOSS) PER SHARE
(amounts in thousands, except for per share data)
Sir. Scott scheid, President and Chief Executive Officer of the Company, said: “In April 2021, the Company sold three of its vineyard plots for $ 33 million in return, which included the assumption by the buyer of $ 20 million in real estate loans guaranteed by buildings. The divestiture of these plots, which consisted of 1,193 acres of vineyards, of which about two-thirds is on leased land and the rest on company-owned land, is part of Scheid Family Wines’ overall strategy to better align its assets and debt on its growing premium. bottled wine business. The Company recognized a gain on the sale of these properties of $ 23.8 million in the first quarter of fiscal 2022. ”
Sir. Mike thomsen, Chief Financial Officer of the Company, commented on the first quarter results, stating: “Our sales of luggage items continue to increase, mainly due to sales of the Company’s products. Sunny with a chance of flowers the brand, which launched in fall 2021, and airline sales that were limited the previous year due to travel restrictions linked to COVID-19. Overall, total revenues increased 24% from the prior year and gross profit margins increased from 22% to 24%. Sales and marketing expenses increased by 30% from $ 2.1 at $ 2.8 millionbecause the Company has invested in the marketing of new brands and new territories. Due to the debt reduction after the sale of the wine properties, the interest charges decreased by $ 1.2 million at $ 0.9 million. After the gain on the sale of wine properties, the Company recorded a net profit of $ 15.1 million in the first quarter of fiscal 2022 compared to a net loss $ 2.4 million during fiscal year 2021.
About the wines of the Scheid family
Scheid Family Wines is a family winery founded in 1972. Based in Monterey County, California, Scheid is uniquely integrated to bring to market high quality wines from its certified sustainable vineyards and innovative luxury winery. Scheid’s winery and bottling operations are powered by 100% renewable wind power generated by a 400-foot-high wind turbine, which also supplies power to many homes in the local community. Scheid Family Wines ‘global portfolio includes Scheid Vineyards, Sunny with a Chance of Flowers, District 7, Ryder Estate, Metz Road, VDR and Stokes’ Ghost. Scheid Family Wines also produces many brands distributed in the region for specific customers and distributors.
Please visit www.scheidfamilywines.com and www.otcmarkets.com/stock/SVIN/quote for more information.
Scott Scheid, President and CEO
Mike Thomsen, Chief Financial Officer
SOURCE Wines of the Scheid family