Groupe Bikini Village inc. Reports Its Results for the Third Quarter of 2013
(firmenpresse) - SAINTE-JULIE, QUEBEC -- (Marketwired) -- 12/12/13 -- In the third quarter of 2013, sales at Groupe Bikini Village inc. (TSX: GBV) ("Groupe Bikini Village" or the "Corporation") declined compared to the third quarter of 2012, due primarily to a shift in weeks resulting from a 53rd week in fiscal 2012. With the support of the Board of Directors, the management team implemented a reorganization plan following the departure of the former President and CEO, to improve the Corporation's operational and financial performance.
2013 third quarter results
Net sales for the third quarter of fiscal 2013, which ended November 2, 2013, were $5.4 million, compared to $6.2 million in the corresponding period the previous year. The comparable sales decreased by 1.6% for the quarter. For comparison purposes, comparable sales results (which compare sales from the same number of stores year-over-year) for the third quarter of 2013 are compared to a 13-week period ending November 3rd, 2012 as opposed to the actual quarter-end date of October 27, 2012, due to the 53rd week in fiscal 2012.
The Corporation shows an operating loss (EBITDA(1)) for the third quarter of $2.2 million (excluding reorganization fees of $254,000), compared to operating loss (EBITDA(1)) of $1.9 million for the third quarter of the previous year. The increase in the operating loss is due to a reduction in marginal contribution due mainly to lower sales volume and a decrease in gross margins caused by increased promotional activities aimed at stimulating sales. The Company's reorganization plan reduced operating expenses by approximately $100,000, principally in salaries, in the third quarter.
For the quarter ended November 2, 2013, the Corporation's net loss was $2.2 million (($1.14) per share, basic and diluted), as compared to net loss of $1.8 million (($0.93) per share, basic and diluted) for the same quarter in the previous year.
The Corporation's activities are seasonal, and merchandise sales are generally higher in the second and fourth quarters. As a result, the operating loss for the quarter ended November 2, 2013 is not necessarily indicative of the operating results for a full year.
Results for the first nine months of 2013
Net sales for the first nine-month period of fiscal 2013 were $25.3 million, compared to $29.6 million in the corresponding period the previous year. As mentioned above, the comparable sales results (which compare sales from the same number of stores year-over-year) for the first nine-month period of 2013 are compared to the 39-week period ending November 3rd, 2012 as opposed to October 27, 2012. The comparable sales decreased by 10.7% due to difficult market conditions - in particular, unfavourable weather conditions in the second quarter, and aggressive competition which necessitated increased promotional activities.
The Corporation shows an operating loss (EBITDA(1)) of $2.7 million for the first nine-month period of 2013 (excluding reorganization fees of $254,000), compared to operating loss (EBITDA(1)) of $259,000 for the first nine-month period of the previous year. The increase in the operating loss is due to a reduction in marginal contribution mainly due to lower sales volume caused by unfavourable weather conditions, especially in the second quarter, and a decrease in gross margins owing to increased promotional activities throughout the period.
For the nine-month period ended on that date, net loss totalled $3.2 million (($1.66) per share, basic and diluted), as compared to net loss of $1.3 million (($0.70) per share, basic and diluted) in the similar period in 2012.
Outlook(2)
"Our management team will continue to focus on revenue generation, efficiencies, and nurturing a customer-focused culture that will position the Corporation for future growth," said Scott Leckie, Chairman of the Board of Groupe Bikini Village inc.. Mr. Leckie also indicated the Corporation will undertake a range of activities aimed at stimulating sales, including a complete website re-design, transforming our site into an e-commerce platform allowing us to engage and transact business with our customers online. Concurrent with these efforts, the Corporation will continue to seek out and leverage additional opportunities to create value for shareholders.
Groupe Bikini Village inc.'s full third quarter 2013 report, as well as previous shareholder reports and other information of interest to investors, are available on SEDAR at , and on the Corporation's website at .
Groupe Bikini Village
Groupe Bikini Village inc., serving Canadians for more than a quarter-century, is a leader in the retail sale of beachwear products, with a network of boutiques across Eastern Canada. In its bright and inviting stores with comfortable change rooms and knowledgeable staff, Groupe Bikini Village helps its customers choose from among Canada's widest selection of swimsuits, beach and cruise wear and accessories, in the most popular brands the industry has to offer and in styles to suit every figure. Headquartered in Sainte-Julie, Quebec, Groupe Bikini Village operates 53 stores and employs approximately 425 people; its securities trade on the Toronto Stock Exchange under the stock symbol GBV. For more information about Groupe Bikini Village, please visit our website at .
Notes
( 1 ) The term EBITDA (earnings before net finance costs, income taxes, depreciation, amortization, net impairment loss, reorganization fees and unusual items) does not have any standardized meaning prescribed by Canadian Generally Accepted Accounting Principles applicable to publicly accountable enterprises ("GAAP") and may not be comparable to similarly-titled measures presented by other companies. Please refer to the section of Groupe Bikini Village inc.'s MD&A for the for the nine-month period ended November 2, 2013, dated December 12, 2013, entitled "Non-GAAP Financial Measures." It is available on SEDAR at
(2) To be read in conjunction with "Forward-looking statements" below.
Forward-looking statements
This news release contains certain forward-looking statements concerning Groupe Bikini Village inc.'s future operations, economic performance, financial conditions and financing plans. These statements are based on certain assumptions and analyses made by management in light of their experience and their perception of historical trends, current conditions and expected future developments, as well as other factors they believe are appropriate under the circumstances. However, whether actual results and developments will conform to management's expectations and predictions is subject to a number of risks, uncertainties and assumptions. Consequently, all of the forward-looking statements made in this news release are qualified by these cautionary statements, and there can be no assurance that the results or developments anticipated by management will be realized or, even if substantially realized, that they will have the expected consequences or effects on the Corporation. Management undertakes no obligation and does not intend to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise, except as may be required under applicable law.
Contacts:
Chantal Letourneau
Interim President and Chief Executive Officer
(450) 449-1310 ext 4335
Themen in dieser Pressemitteilung:
Unternehmensinformation / Kurzprofil:
Datum: 12.12.2013 - 15:05 Uhr
Sprache: Deutsch
News-ID 1290670
Anzahl Zeichen: 0
contact information:
Contact person:
Town:
SAINTE-JULIE, QUEBEC
Phone:
Kategorie:
Fashion
Anmerkungen:
Diese Pressemitteilung wurde bisher 120 mal aufgerufen.
Die Pressemitteilung mit dem Titel:
"Groupe Bikini Village inc. Reports Its Results for the Third Quarter of 2013
"
steht unter der journalistisch-redaktionellen Verantwortung von
Groupe Bikini Village inc. (Nachricht senden)
Beachten Sie bitte die weiteren Informationen zum Haftungsauschluß (gemäß TMG - TeleMedianGesetz) und dem Datenschutz (gemäß der DSGVO).
