SAN DIEGO, July 6, 2017 /PRNewswire/ -- PriceSmart,
Inc. (NASDAQ: PSMT) today announced that for the month of
June 2017, net warehouse club sales
increased 4.1% to $230.1 million,
from $221.1 million in June a year
earlier. For the ten months ended June 30,
2017, net warehouse club sales increased 3.1% to
$2,429.2 million, from $2,355.4 million for the ten months ended
June 30, 2016. There were 39
warehouse clubs in operation at the end of June 2017 and 38 warehouse clubs in operation at
the end of June 2016.
For the four weeks ended July 2,
2017, comparable warehouse sales for the 38 warehouse clubs
open at least 13 1/2 full months increased 1.5%, compared to the
same four-week period last year. For the forty-three week period
ended July 2, 2017, comparable
warehouse sales increased 1.4%, compared to the comparable
forty-three week period a year ago.
The Company also announced that in June
2017, the Company acquired land in Santo Domingo, Dominican Republic. The Company
plans to construct a warehouse club on this site, which it expects
to open in the spring of calendar year 2018. This will bring the
number of PriceSmart warehouse clubs operating in the Dominican Republic to four.
About PriceSmart
PriceSmart, headquartered in San
Diego, owns and operates U.S.-style membership shopping
warehouse clubs in Latin America
and the Caribbean, selling high
quality merchandise at low prices to PriceSmart members. PriceSmart
now operates 39 warehouse clubs in 12 countries and one U.S.
territory (seven in Colombia; six
in Costa Rica; five in
Panama; four in Trinidad; three each in Guatemala, the Dominican Republic and Honduras; two each in El Salvador and Nicaragua; and one each in Aruba, Barbados, Jamaica and the United States Virgin Islands).
This press release may contain forward-looking statements
concerning the Company's anticipated future revenues and earnings,
adequacy of future cash flow, proposed warehouse club openings, the
Company's performance relative to competitors, the outcome of tax
proceedings and related matters. These forward-looking statements
include, but are not limited to, statements containing the words
"expect," "believe," "will," "may," "should," "project,"
"estimate," "anticipated," "scheduled," and like expressions, and
the negative thereof. These statements are subject to risks and
uncertainties that could cause actual results to differ materially,
including the following risks: our financial performance is
dependent on international operations, which exposes us to various
risks; any failure by us to manage our widely dispersed operations
could adversely affect our business; we face significant
competition; future sales growth depends, in part, on our ability
to successfully open new warehouse clubs and grow sales in our
existing locations; we might not identify in a timely manner or
effectively respond to changes in consumer preferences for
merchandise, which could adversely affect our relationship
with members, demand for our products and
market share; although we have begun to offer limited online
shopping to our members, our sales could be adversely affected if
one or more major international online retailers were to enter our
markets or if other competitors were to offer a superior online
experience; our profitability is vulnerable to cost increases; we
face difficulties in the shipment of and risks inherent in the
importation of, merchandise to our warehouse clubs; we are exposed
to weather and other natural disaster risks that might not be
adequately compensated by insurance; general economic conditions
could adversely impact our business in various respects; our
failure to maintain our brand and reputation could adversely affect
our results of operations; we are subject to risks associated with
possible changes in our relationships with third parties with which
we do business, as well as the performance of such third parties;
we rely extensively on computer systems to process transactions,
summarize results and manage our business, and failure to
adequately maintain our systems and disruptions in our systems
could harm our business and adversely affect our results of
operations; we could be subject to additional tax liabilities or
subject to reserves on the recoverability of tax receivables; a few
of our stockholders own approximately 25.3% of our voting stock as
of August 31, 2016, which may make it
difficult to complete some corporate transactions without their
support and may impede a change in control; failure to attract and
retain qualified employees, increases in wage and benefit costs,
changes in laws and other labor issues could materially adversely
affect our financial performance; we face the possibility of
operational interruptions related to union work stoppages; we are
subject to volatility in foreign currency exchange rates and limits
on our ability to convert foreign currencies into U.S. dollars; we
face the risk of exposure to product liability claims, a product
recall and adverse publicity; any failure to maintain the security
of the information relating to our company, members, employees and
vendors that we hold, whether as a result of cybersecurity attacks
on our information systems, failure of internal controls, employee
negligence or malfeasance or otherwise, could damage our reputation
with members, employees, vendors and others, could disrupt
our operations, could cause us to incur substantial additional
costs and to become subject to litigation and could materially
adversely affect our operating results; we are subject to payment
related risks; changes in accounting standards and assumptions,
projections, estimates and judgments by management related to
complex accounting matters could significantly affect our financial
condition and results of operations; we face compliance risks
related to our international operations; if remediation costs
or hazardous substance contamination levels at certain
properties for which we maintain financial responsibility exceed
management's current expectations, our financial condition and
results of operations could be adversely impacted. The risks
described above as well as the other risks detailed in
the Company's U.S. Securities and Exchange Commission ("SEC")
reports, including the Company's Annual Report on Form 10- K
filed for the fiscal year ended August 31,
2016 filed on October 27, 2016
pursuant to the Securities Exchange Act of 1934. We assume no
obligation and expressly disclaim any duty to update any
forward-looking statement to reflect events or circumstances after
the date of this presentation or to reflect the occurrence of
unanticipated events.
For further information, please contact John M. Heffner, Principal Financial Officer and
Principal Accounting Officer (858) 404-8826.
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SOURCE PriceSmart, Inc.