MERIDIAN, ID, Nov. 5, 2009 (Marketwire) --

MERIDIAN, ID -- (Marketwire) -- 11/05/09 -- MWI Veterinary Supply, Inc. (NASDAQ: MWIV) (the "Company") announced financial results today for its fourth quarter and fiscal year ended September 30, 2009.

Highlights:

--  Total revenues were $247.5 million for the quarter, 10.1% higher than
    revenues for the same period in the prior fiscal year.  Total revenues were
    $941.3 million for fiscal year 2009, 13.2% higher than revenues for fiscal
    year 2008.
--  Selling, general and administrative ("SG&A") expenses as a percentage
    of total revenues were 9.5% for the quarter, compared to 9.6% for the same
    period in the prior fiscal year.  SG&A expenses as a percentage of total
    revenues were 9.6% for fiscal year 2009, compared to 10.1% for fiscal year
    2008.
--  Operating income was $10.6 million for the quarter, 21.2% higher than
    operating income for the same period in the prior fiscal year.  Operating
    income was $40.5 million for fiscal year 2009, 25.1% higher than operating
    income for fiscal year 2008.
--  Net income was $6.6 million for the quarter, 20.9% higher than net
    income for the same period in the prior fiscal year.  Net income was $24.9
    million for fiscal year 2009, 25.0% higher than net income for fiscal year
    2008. Diluted earnings per share were $0.53 for the quarter, compared to
    $0.44 for the same period in the prior fiscal year.  Diluted earnings per
    share were $2.02 for fiscal year 2009, compared to $1.62 for fiscal year
    2008.
--  Internet sales to independent veterinary practices and producers grew
    by approximately 32% for the quarter compared to the same period in the
    prior fiscal year, and 39% for fiscal year 2009 compared to fiscal year
    2008.  Our product sales from the internet as a percentage of sales
    improved to 32% for the quarter as compared to 28% for the same period in
    the prior fiscal year, and 31% for fiscal year 2009 as compared to 27% for
    fiscal year 2008.
--  We completed fiscal year 2009 with $14.3 million of cash and no
    outstanding borrowings on our $70 million credit line.  Net cash provided
    by operations for the quarter was $9.1 million and for fiscal year 2009 was
    $11.9 million.
--  We successfully moved our distribution center from Holland, Michigan
    to a larger facility near Indianapolis, Indiana in September 2009, which
    will enable us to continue to grow in that geographic region.
    

"I am very pleased by the performance and results delivered by the MWI team during the quarter and 2009 fiscal year, in spite of the challenging environment," said Jim Cleary, President and Chief Executive Officer. "We continued strong organic growth of our revenues, earnings and value-added services, while investing in our infrastructure and reducing operating expenses as a percent of sales. While there will be challenges in fiscal year 2010, as there have been in fiscal year 2009, MWI's plan is to continue our growth. MWI's team enables this growth through the outstanding service and value which we provide to our customers and vendors."

Quarter ended September 30, 2009 compared to quarter ended September 30, 2008

Total revenues grew 10.1% to $247.5 million for the quarter ended September 30, 2009, compared to $224.8 million for the quarter ended September 30, 2008. Revenues attributable to new customers represented approximately 60% of the growth in total revenues during the quarter ended September 30, 2009. Commissions grew 24.3% to $4.0 million for the quarter ended September 30, 2009, compared to $3.2 million for the quarter ended September 30, 2008.

Gross profit increased by 11.8% to $34.9 million for the quarter ended September 30, 2009, compared to $31.2 million for the quarter ended September 30, 2008. Gross profit as a percentage of total revenues was 14.1% for the quarter ended September 30, 2009, compared to 13.9% for the quarter ended September 30, 2008. Vendor rebates for the quarter ended September 30, 2009 decreased by approximately $250,000 compared to the quarter ended September 30, 2008. This decrease was less than we previously expected due to a strong performance on a significant vendor rebate program offered from a certain vendor. Our gross profit also benefited from an improvement in freight costs as a percentage of total revenues compared to the same period in the prior fiscal year.

Operating income increased 21.2% to $10.6 million for the quarter ended September 30, 2009, compared to $8.8 million for the quarter ended September 30, 2008. SG&A expenses as a percentage of total revenues were 9.5% for the quarter ended September 30, 2009, compared to 9.6% for the quarter ended September 30, 2008. SG&A expenses increased 8.5% to $23.4 million for the quarter ended September 30, 2009, compared to $21.6 million for the quarter ended September 30, 2008. The dollar increase in SG&A expenses was primarily due to increased compensation costs and an increase in our allowance for doubtful accounts, partially offset by a decrease in travel expenses.

Net income increased 20.9% to $6.6 million for the quarter ended September 30, 2009, compared to $5.4 million for the quarter ended September 30, 2008. Diluted earnings per share were $0.53 and $0.44 for the quarters ended September 30, 2009 and 2008, respectively, an increase of 20.5%.

Fiscal year ended September 30, 2009 compared to fiscal year ended September 30, 2008

Total revenues grew 13.2% to $941.3 million for the fiscal year ended September 30, 2009, compared to $831.4 million in the fiscal year ended September 30, 2008. Revenues attributable to new customers represented approximately 65% of the growth in total revenues during the fiscal year ended September 30, 2009.