MONTREAL, May 11, 2017
/CNW Telbec/ -
Results
For the quarter ended March 31st,
2017, the Company's revenues increased by $7,055,000 to $161,998,000, compared to $154,943,000 recorded in the corresponding 2016
period, a 4.6% increase. Same store revenues grew by 4.1% during
the same period. Net earnings for the quarter ended March 31st, 2017, amounted to $57,000 compared to a net loss of ($958,000) for the corresponding 2016 period.
Basic net earnings per share amounted to $0.00 compared to a net loss of ($0.02) in 2016.
The effect of the cost of options had no impact on basic net
earnings per share for the quarter ended March 31st, 2017 and 2016.
For quarter ended March 31st,
2017, the share repurchase program contributed to an
increase in basic net earnings per share of $0.01.
Excluding all these effects, the variation to the adjusted net
earnings would have been $945,000 or
$0.03 per basic share for the quarter
ended March 31st, 2017.
The $945,000 variation in adjusted
net earnings for the first quarter of 2017 is as follows:
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(Unaudited and $ in
thousands)
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|
|
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|
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2017
|
|
2016
|
|
|
|
|
|
Net (loss)
earnings
|
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57
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(958)
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Variation of cost of
options (after-tax)
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(30)
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40
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Adjusted net (loss)
earnings
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27
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(918)
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Minus: Adjusted net
loss for 2016
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(918)
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|
|
|
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Variation
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945
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This variation in adjusted after-tax income is allocated
throughout the quarters as follows:
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(Unaudited and $ in
thousands)
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|
|
|
|
|
|
|
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Increase
|
|
Increase
|
|
Increase
|
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|
(decrease)
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(decrease)
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(decrease)
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|
retail
operating
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|
investment
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adjusted
|
|
|
earnings
|
|
income
|
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operating
earnings
|
|
|
|
|
|
|
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1st quarter
2017
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(1
506)
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2
451
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|
945
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Annual Financial
Information
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($ in thousands,
except for per share amounts)
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2016
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2015
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$
|
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$
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Revenue
|
746
649
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717 338
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Net
Earnings
|
43
830
|
|
41 528
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Total
Assets
|
309
483
|
|
274 022
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Net Earnings Per
Share
|
|
|
|
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Basic
|
1,17
|
|
0,99
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Diluted
|
1,17
|
|
0,99
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Dividends Per
Share
|
0,24
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|
0,24
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Financial Position and Dividends
Cash and investments increased by $702,000 during the quarter ended March 31st, 2017. Investments consist primarily
of bank notes and common shares, which at the close of the quarter
had a market value of $85,619,000
(including cash).
As of March 31st, 2017, the
working capital showed a surplus of $12,212,000 a decrease of $1,524,000 compared to December 31st, 2016. The Company's shareholders'
equity decreased from $199,681,000 as
at December 31st, 2016 to
$198,685,000 as at March 31st, 2017. As of March 31st, 2017, the book value per share stood
at $5.40, compared to $5.42 as at December 31st,
2016.
Pursuant to the normal course issuer bid put in place on
March 14th, 2016, and renewed on
March 23rd 2017, accordingly, 82,600
Common Shares were repurchased and cancelled by the Company. As a
result of this change, the Company had as of March 31st, 2017, 36,777,400 Common Shares issued
and outstanding.
During the quarter ended March 31st,
2017, no options were granted or exercises. As at
March 31st, 2017, options for 219,000
Common Shares, representing 0.60% of the Company's outstanding
shares remain issued and 5,710,864 authorized share options,
representing approximately 15.53% of the Company's outstanding
shares, may still be granted pursuant to the Plan. The issued and
outstanding options may be exercised at a price of $17.85 per Common Shares.
Quarterly
Results
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(Unaudited and $ in
thousands, except for per share amounts)
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March 31st
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June 30th
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2017
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2016
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2016
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2015
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$
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$
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$
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$
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Revenue
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161
998
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|
154 943
|
|
197
043
|
|
188 373
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Net (Loss)
Earnings
|
57
|
|
(958)
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|
12
407
|
|
12 196
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Net (Loss) Earnings
Per Share
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|
|
|
|
|
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Basic
|
-
|
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(0,02)
|
|
0,32
|
|
0,27
|
|
Diluted
|
-
|
|
(0,02)
|
|
0,32
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|
0,27
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|
|
|
|
|
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|
|
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September
30th
|
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December
31st
|
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2016
|
|
2015
|
|
2016
|
|
2015
|
|
$
|
|
$
|
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$
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|
$
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Revenue
|
197
612
|
|
189 385
|
|
197
051
|
|
190 300
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Net
Earnings
|
14
708
|
|
13 037
|
|
17
673
|
|
16 236
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Net Earnings Per
Share
|
|
|
|
|
|
|
|
|
Basic
|
0,31
|
|
0,31
|
|
0,41
|
|
0,41
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|
Diluted
|
0,31
|
|
0,31
|
|
0,41
|
|
0,41
|
Operations
BMTC Inc.
The Company has started the restructuration of all of its
websites. The first phase of the implementation of a distinct
e-commerce platform for its banner Brault & Martineau is now
completed and operational since November, 2015. The process of
implementation will continue throughout 2017 and 2018 for the
following phases as well as the restructuring for all the other
banners of the Company. The Company is also reviewing its IT
systems in order standardise them throughout the banners, as well
as to allow them to be more aligned with our e-commerce strategies.
Following this evaluation, the Corporation decided to invest and to
modify its existing IT systems, the integration and implementation
will continue for a 3 to 5 year period. As at September 30th, 2016, the Company had to
re-evaluate its costs related to these modifications, which are now
estimated to be $17,000,000. A
portion of these costs, $6,500,000
were incurred during 2015 and 2016 and the balance will be recorded
in the subsequent years.
Brault & Martineau Division
The Company concluded the purchase of land at the junction of
the Highway 15 and route 117, for the construction of the new
80,000 square foot Brault & Martineau prototype store that will
replace the Ste-Thérèse store and set the standard for all
remaining stores. The construction of the new Ste-Thérèse store
will begin in the spring of 2017.
Caution regarding forward-looking statements
This Quarterly Management Report contains certain
forward-looking statements with respect to the Company. These
forward-looking statements are identified by the use of terms and
phrases such as "anticipate", "believe", "estimate", expect",
"intend", "may", "plan", "predict", "project", "will", "would", as
well as the negative of these terms and similar terminology,
including references to assumptions.
Forward-looking statements, by their nature, necessarily involve
risks and uncertainties that could cause actual results to differ
materially from those contemplated by these forward-looking
statements. Results indicated in forward-looking statements may
differ materially from actual results for a number of reasons which
the Company has identified in the 2015 Annual Information Form
under "Narrative Description of the Business - Risk Factors", and
other risks detailed from time to time in the Company's continuous
disclosure documents.
The reader is cautioned that the factors we refer above are not
exhaustive of the factors that may affect any of the Company's
forward-looking statements. The reader is also cautioned to
consider these and other factors carefully and not to put undue
reliance on forward-looking statements.
The Company made a number of assumptions in making
forward-looking statements in this Quarterly Management Report. The
Company considers the assumptions on which these forward-looking
statements are based to be reasonable.
These statements reflect current expectations regarding future
events and operating performance and speak only as of the date of
release of this Quarterly Management Report, and represent the
Company's expectations as of that date. The Company disclaims any
intention or obligation to update or revise any forward-looking
statements, whether as a result of new information, future events
or otherwise, other than as required by law.
Non International Financial Reporting Standards (IFRS)
financial measures
The Company discloses adjusted net earnings, which includes or
excludes certain amounts that are not considered representative of
performance measures and financial recurrence of the Company.
Management believes that this measure is useful in understanding
and analysing the operational performance of the Company and more
appropriate to provide additional information.
The Company also discloses same store revenues, which have been
realised in stores opened for more than a 12 month period. This
measure is used by management and is a similar measures presented
by other issuers in our industry.
Adjusted net earnings, adjusted operating earnings, adjusted
administrative expenses as well as same store revenues are not an
earnings measure recognised by IFRS and does not have a
standardised meaning prescribed by IFRS. Therefore, adjusted net
earnings and same store revenues as discussed in this MD&A may
not be compared to similar measures presented by other issuers.
This measure of performance should not be considered as an
alternative as an indicator of performance calculated according to
IFRS, but rather as additional information.
The Company discloses in this MD&A under the section
"Results" a reconciliation between net earnings and adjusted net
earnings.
BMTC Group Inc.'s Common Shares are listed on the Toronto Stock
Exchange and through its subsidiary Ameublements Tanguay Inc., and
its two divisions, Brault & Martineau and EconoMax, the Company
is a major retailer of furniture, electronic goods and household
appliances operating in the province of Quebec.
SOURCE BMTC Group Inc.