Core-Mark Reports First Quarter 2007 Results & Reiterates Revenue Guidance

Core-Mark Reports First Quarter 2007 Results & Reiterates Revenue Guidance

Core-Mark Holding Company, Inc. (Nasdaq:CORE) announced today its financial results for the first quarter of 2007.

First Quarter 2007 Highlights – 1Q 2007 vs. 1Q 2006
* Sales increased 8% to $1.287 billion from $1.182 billion.
* Gross profit increased 17% to $75.5 million from $64.5 million.
* Income from operations decreased to $3.8 million from $3.9 million.
* Net income was $2.1 million compared to $1.7 million.
* EPS was $0.19 per diluted share compared to $0.16.

“I am pleased that we have made progress in pursuing our growth strategy in the first quarter, as evidenced by our recent announcement of the new Toronto division,” said Michael Walsh, President and Chief Executive Officer of Core-Mark. “While the first quarter did exhibit some weakness in the cigarette category, we are covering this through strong growth in fresh and other food product lines. We exited the first quarter with more wind in our sails than we entered it.”

Sales

Sales increased 8% for the quarter from $1.182 billion to $1.287 billion. The increases were due primarily to sales generated from the acquisition of Klein Candy Co. L.P. and from organic growth, partially offset by Imperial Tobacco’s decision in 2006 to deliver products directly to retailers.

Included in sales was $303 million of excise taxes for the first quarter 2007, compared to $280 million in the first quarter of 2006.