GNC announced this morning in 2013 the company raised $3.4 million through contributions from customers and employees for St. Jude Children’s Research Hospital® Thanks and Giving Campaign. The company has participated for ten years with contributions of over $13 million. The campaign’s objective is to build awareness to the education and treatment of childhood cancers and other deadly diseases. The money goes toward supporting children and their families as they seek treatment at St. Jude for pediatric healthcare.
“For 10 years, the incredible generosity of our employees and customers has helped so many children who are in need of treatment at St. Jude,” said Joe Fortunato, President and CEO of GNC. “I would like to personally thank GNC staff and customers for their efforts and support in continuing to drive the success of this important St. Jude’s Thanks and Giving campaign – one of GNC’s most important corporate philanthropy partnerships. Giving to help others – particularly children in need – is truly one of the best ways to Live Well!”
Last Thursday GNC released their 2013 results, and 2012 to 2013 comparison showed increases. Adjusted earnings per share (EPS) increased 26 percent rising from $0.50 to $0.63. Consolidated revenue of their business segments retail, franchise and manufacturing /wholesale increased 8.2 percent rising from 2,430M to 2,630.3M. Net income increased from 240.2M to $265M.
In 2013, the Company generated net cash from operating activities of $238.1 million, increased its term loan by $252.5 million, incurred capital expenditures of $50.2 million, repurchased $310.6 million in common stock, paid $57.4 million in cash dividends on common stock and used $27.6 million for the acquisition of Discount Supplements. The Company generated $186.3 million in free cash flow (cash provided by operating activities less cash used in investing activities excluding acquisitions) and at the end of the year, the Company’s cash balance was $226.2 million.
GNC expects to continue their momentum in international expansion with reaching an agreement for market entry in Russia and continuing its growth in China. In 2013, the company opened its first stand alone store in China. The company has entered into a market franchise agreement with Rusvit in Moscow for market entry in 2014. In 2013, the Company opened 149 new domestic company-owned stores, 192 new international franchise locations, 63 new domestic franchise locations, 34 new Rite Aid franchise store-within-a-store locations, 5 new company-owned stores in Canada, and 2 new company-owned stores in China. The Company now operates 8,593 stores worldwide.