- 10.8% increase in comparable store sales(1) and
14.8% increase in diluted net earnings per share
- Fiscal 2023 comparable store sales growth assumption increased
to between 9.5% and 10.5% and gross margin guidance narrowed to
between 43.1% and 43.6% of sales
- New long-term store target for Dollarcity increased from 600 to
850 stores by 2029
MONTREAL, Dec. 7, 2022
/PRNewswire/ - Dollarama Inc. (TSX: DOL) ("Dollarama" or the
"Corporation") today reported its financial results for the third
quarter ended October 30, 2022.
Fiscal 2023 Third Quarter
Highlights Compared to Fiscal 2022 Third Quarter Results
- Sales increased by 14.9% to $1,289.6
million
- Comparable store sales increased by 10.8%
- EBITDA(1) increased by 11.3% to $386.2 million, or 29.9% of sales, compared to
30.9%
- Operating income increased by 11.5% to $302.7 million, or 23.5% of sales, compared to
24.2%
- Diluted net earnings per common share increased by 14.8% to
$0.70 from $0.61
- 18 net new stores opened, compared to 16 net new stores
- 972,847 common shares repurchased for cancellation for
$76.3 million
"Our strong performance across our key metrics year to date
speaks to our commitment to providing the best year-round value on
the everyday products we offer, combined with a convenient and
consistent shopping experience. As inflationary pressure on the
consumer persists, we expect strong demand for consumable products
to continue stimulating topline growth through to the end of the
fiscal year. We aim to stay true to our compelling value
proposition and to meet and exceed the expectations of our
customers from coast to coast," said Neil Rossy, President and
CEO.
"Subsequent to quarter end, we were pleased to enter into an
agreement for the purchase of industrial properties adjacent to our
existing centralized logistics operations. This will provide us
with additional flexibility to support our long-term logistics
needs as we pursue our target of 2,000 Dollarama stores in
Canada by 2031," added Mr.
Rossy.
"Growing Latin American value retailer Dollarcity, in which we
have a 50.1% equity interest, also continues to deliver a strong
financial and operational performance. With 395 stores to date,
Dollarcity has increased its long-term store target from 600 to 850
by 2029 in its four markets of operation," concluded Mr.
Neil Rossy.
Explanatory
Notes
|
All comparative figures
that follow are for the third quarter ended October 30, 2022,
compared to the third quarter ended October 31, 2021. All
financial information presented in this press release has been
prepared in accordance with generally accepted accounting
principles in Canada ("GAAP") as set out in the CPA Canada Handbook
– Accounting under Part I, which incorporates International
Financial Reporting Standards ("IFRS") as issued by the
International Accounting Standards Board ("IASB"). For a full
explanation of the Corporation's use of non-GAAP and other
financial measures, please refer to the section entitled "Selected
Consolidated Financial Information" of this press release, under
the heading "Non-GAAP and Other Financial Measures". All references
to "Fiscal 2022" are to the Corporation's fiscal year ended
January 30, 2022, to "Fiscal 2023" are to the Corporation's
fiscal year ending January 29, 2023 and to "Fiscal 2024" are
to the Corporation's fiscal year ending January 28,
2024.
|
|
(1) We refer
the reader to the notes in the section entitled "Selected
Consolidated Financial Information" of this press release for the
definition of these items and, when applicable, their
reconciliation with the most directly comparable GAAP
measure.
|
Fiscal 2023 Third Quarter
Financial Results
Sales for the third quarter of Fiscal 2023 increased by
14.9% to $1,289.6 million,
compared to $1,122.3 million in the corresponding period
of the prior fiscal year. This increase was driven by growth in the
total number of stores over the past 12 months (from 1,397 stores
on October 31, 2021, to 1,462 stores
on October 30, 2022) and in
comparable store sales.
Comparable store sales for the third quarter of Fiscal 2023
increased by 10.8%, consisting of a 10.3% increase in the number of
transactions and a 0.4% increase in average transaction size,
compared to comparable store sales growth of 0.8% in the
corresponding period of the previous fiscal year. The
year-over-year increase in comparable store sales is primarily
attributable to higher sales of consumable products.
EBITDA totalled $386.2 million, or
29.9% of sales, for the third quarter of Fiscal 2023, compared to
$347.0 million, or 30.9% of
sales, in the third quarter of Fiscal 2022.
Gross margin(1) was 43.3% of sales in the third
quarter of Fiscal 2023, compared to 44.4% of sales in the third
quarter of Fiscal 2022. Gross margin was lower due to a change
in the sales mix with stronger sales of lower margin consumable
products and higher logistics and freight costs.
General, administrative and store operating expenses
("SG&A") for the third quarter of Fiscal 2023 increased by
14.3% to $181.8 million, compared to
$159.1 million for the third quarter
of Fiscal 2022. SG&A represented 14.1% of sales for the third
quarter of Fiscal 2023, compared to 14.2% of sales for the third
quarter of Fiscal 2022. This improvement is primarily
attributable to the fact that incremental direct costs related to
COVID-19 measures for the third quarter of Fiscal 2023 were nil,
compared to $1.1 million,
representing a 10 basis-point impact, in the same period last
year.
The Corporation's 50.1% share of Dollarcity's net earnings for
the period from July 1, 2022 to
September 30, 2022 was $9.2
million, compared to $7.3
million for the same period last year, reflecting a strong
financial and operational performance by Dollarcity. The
Corporation's investment in Dollarcity is accounted for as a joint
arrangement using the equity method.
Financing costs increased by $7.3
million, from $23.1 million
for the third quarter of Fiscal 2022 to $30.4 million for the third quarter of
Fiscal 2023. The increase is mainly due to a higher average
borrowing rate, as well as higher average debt levels from
higher US commercial paper activities and the issuance of
additional Senior Unsecured Notes.
Net earnings were $201.6 million,
or $0.70 per diluted common share, in
the third quarter of Fiscal 2023, compared to $183.4 million, or $0.61 per diluted common share, in the third
quarter of Fiscal 2022.
Inventory increased to $1,007.1
million as at October 30, 2022
from $599.2 million on October 31, 2021. The year-over-year increase is
primarily attributable to higher in-transit inventory as the
Corporation rebuilds its inventory, the purchasing of seasonal
goods earlier than historically in the context of global supply
chain disruptions, as well as store network growth and higher
comparable store sales.
Dollarcity Store Growth and New
Long-term Store Target
During its third quarter ended September
30, 2022, Dollarcity opened 18 net new stores, in line
with the same period last year. As at September 30, 2022, Dollarcity had 395 stores,
including 234 locations in Colombia, 83 in Guatemala, 61 in El Salvador and 17 in
Peru. This compares to 350 stores
as at December 31, 2021.
Following a careful evaluation of the market potential for
Dollarcity stores in its current markets of operation, comprised of
El Salvador, Guatemala, Colombia and Peru, Dollarcity's management believes that it
can profitably grow its store network in these four markets to
approximately 850 stores by 2029, up from its previous long-term
store target of 600 stores by 2029. This increase in the number of
stores primarily reflects the inclusion of anticipated store growth
in Peru, as well as additional
store growth in Colombia.
|
(1) We refer
the reader to the notes in the section entitled "Selected
Consolidated Financial Information" of this press release for the
definition of these items and, when applicable, their
reconciliation with the most directly comparable GAAP
measure
|
Dollarama to Acquire Properties
Strategically Located Near Logistics Operations
The Corporation has entered into an agreement to acquire three
contiguous industrial properties in the Town of Mount Royal, Quebec, for a total cash consideration of
$87.3 million, subject to customary
closing adjustments. The properties are strategically situated near
the Corporation's centralized logistics operations and adjacent to
its distribution centre. Dollarama intends to redevelop the site to
support future logistics needs as it pursues its previously
disclosed network growth objective of 2,000 stores in Canada by 2031. Subject to the satisfaction of
certain due diligence and other customary closing conditions, the
transaction is expected to close in the first half of Fiscal
2024.
Normal Course Issuer Bid
On July 5, 2022, the Corporation
announced the renewal of its normal course issuer bid and the
approval from the Toronto Stock Exchange to repurchase for
cancellation up to 18,713,765 common shares, representing 7.5% of
the public float as at the close of markets on
June 30, 2022, during the 12‑month period from
July 7, 2022 to July 6, 2023 (the "2022-2023 NCIB").
During the third quarter of Fiscal 2023, 972,847 common shares
were repurchased for cancellation under the 2022-2023 NCIB, for a
total cash consideration of $76.3
million, at a weighted average price of $78.43 per share. As at October 30, 2022, the Corporation's adjusted
net-debt-to-EBITDA(1) ratio was 2.79x.
Dividend
On December 7, 2022, the
Corporation announced that its Board of Directors had approved a
quarterly cash dividend for holders of common shares of
$0.0553 per common share. This
dividend is payable on February 3,
2023 to shareholders of record at the close of business on
January 6, 2023. The dividend is
designated as an "eligible dividend" for Canadian tax purposes.
Guidance Update
In the fourth quarter of Fiscal 2023, the Corporation expects to
continue to benefit from strong demand for its affordable, everyday
items in the context of inflation, including stronger than
historical demand for lower-margin consumable products. As a
result, the Corporation has increased its comparable store sales
growth assumption for Fiscal 2023 from a range of 6.5% to 7.5% to
the range of 9.5% and 10.5%. Based on gross margin performance to
date and management's visibility on open orders and product margins
through the remainder of the fiscal year, the Corporation has
narrowed its previously disclosed annual gross margin as a
percentage of sales from a range of 42.9% to 43.9% to a range of
43.1% to 43.6%. The remainder of the Corporation's annual guidance
and previously disclosed assumptions on which guidance is based for
Fiscal 2023 and issued on March 30,
2022, remain unchanged.
As of this date, the Corporation expects the following for
Fiscal 2023:
- To open 60 to 70 net new stores
- Gross margin as a percentage of sales of between 43.1% and
43.6%
- SG&A as a percentage of sales of between 13.8% and
14.3%
- To deploy $160 million to
$170 million in capital
expenditures
- To actively repurchase shares under its normal course issuer
bid
|
(1) We refer the
reader to the notes in the section entitled "Selected Consolidated
Financial Information" of this press release for the definition of
these items and, when applicable, their reconciliation with the
most directly comparable GAAP measure.
|
These guidance ranges are based on several assumptions,
including the following:
- The absence of COVID-related restrictions impacting retailers
and consumer shopping patterns
- Comparable store sales growth for Fiscal 2023 increased from a
range of 6.5% and 7.5% to a range of 9.5% and 10.5%
- The continued introduction of additional price points up to
$5.00 throughout the remainder of
Fiscal 2023
- Minimal to nil incremental direct costs related to COVID-19
health and safety measures in stores in Fiscal 2023
- The absence of a significant shift in economic and geopolitical
conditions or material changes in the retail competitive
environment
- Approximately three months of visibility on open orders and
product margins
- The active management of product margins through pricing
strategies and refreshing some of the product offering
- The number of signed offers to lease and store pipeline for the
next three months and the absence of COVID-related impacts on
construction activities in the provinces where new store openings
are planned
- The inclusion of the Corporation's share of net earnings of its
equity-accounted investment
- Positive customer response to our product offering, value
proposition and in-store merchandising
- The entering into of foreign exchange forward contracts to
hedge the majority of forecasted purchases of merchandise in U.S.
dollars against fluctuations of the Canadian dollar against the
U.S. dollar
- The continued execution of in-store productivity initiatives
and the realization of cost savings and benefits aimed at improving
operating expense
- Ongoing cost monitoring
- The capital budget for Fiscal 2023 for new store openings,
maintenance capital expenditures and transformational capital
expenditures (the latter being mainly related to information
technology projects)
- The successful execution of our business strategy
- The absence of unusually adverse weather, especially in peak
seasons around major holidays and celebrations
Many factors could cause actual results, level of activity,
performance or achievements or future events or developments to
differ materially from those expressed or implied by the
forward-looking statements. This guidance, including the various
underlying assumptions, is forward-looking and should be read in
conjunction with the cautionary statement on forward-looking
statements.
Forward-Looking
Statements
Certain statements in this press release about our current and
future plans, expectations and intentions, results, levels of
activity, performance, goals or achievements or any other future
events or developments constitute forward-looking statements. The
words "may", "will", "would", "should", "could", "expects",
"plans", "intends", "trends", "indications", "anticipates",
"believes", "estimates", "predicts", "likely" or "potential" or the
negative or other variations of these words or other comparable
words or phrases, are intended to identify forward-looking
statements.
Forward-looking statements are based on information currently
available to management and on estimates and assumptions made by
management regarding, among other things, general economic and
geopolitical conditions and the competitive environment
within the retail industry in Canada and in Latin
America, in light of its experience and perception of
historical trends, current conditions and expected future
developments, as well as other factors that are believed to be
appropriate and reasonable in the circumstances. However, there can
be no assurance that such estimates and assumptions will prove to
be correct. Many factors could cause actual results, level of
activity, performance or achievements or future events or
developments to differ materially from those expressed or implied
by the forward-looking statements, including the factors which are
outlined in the management's discussion and analysis for the third
quarter of Fiscal 2023 and discussed in greater detail in the
"Risks and Uncertainties" section of the Corporation's annual
management's discussion and analysis for Fiscal 2022, both
available on SEDAR at www.sedar.com and on the Corporation's
website at www.dollarama.com.
These factors are not intended to represent a complete list of
the factors that could affect the Corporation or Dollarcity;
however, they should be considered carefully. The purpose of the
forward-looking statements is to provide the reader with a
description of management's expectations regarding the
Corporation's and Dollarcity's financial performance and may not be
appropriate for other purposes. Readers should not place undue
reliance on forward-looking statements made herein. Furthermore,
unless otherwise stated, the forward-looking statements contained
in this press release are made as at December 7, 2022 and management has no intention
and undertakes no obligation to update or revise any
forward-looking statements, whether as a result of new information,
future events or otherwise, except as required by law. The
forward-looking statements contained in this press release are
expressly qualified by this cautionary statement.
Conference Call
Dollarama will hold a conference call to discuss its
Fiscal 2023 third quarter results today,
December 7, 2022 at 10:30 a.m. (ET). Financial
analysts are invited to ask questions during the call. Other
interested parties may participate in the call on a listen-only
basis. The live audio webcast is accessible through Dollarama's
website at
https://www.dollarama.com/en-CA/corp/events-presentations.
About Dollarama
Dollarama is a recognized Canadian value retailer offering a
broad assortment of consumable products, general merchandise and
seasonal items both in-store and online. Our 1,462 locations across
Canada provide customers with
compelling value in convenient locations, including metropolitan
areas, mid-sized cities and small towns. Select products are also
available, by the full case only, through our online store at
www.dollarama.com. Our quality merchandise is sold at select fixed
price points up to $5.00.
Dollarama also owns a 50.1% interest in Dollarcity, a growing
Latin American value retailer. Dollarcity offers a broad assortment
of consumable products, general merchandise and seasonal items at
select, fixed price points up to US$4.00 (or the equivalent in local currency) in
395 conveniently located stores in El
Salvador, Guatemala,
Colombia and Peru.
Selected Consolidated Financial Information
|
|
13-Week Periods
Ended
|
|
39-Week Periods
Ended
|
(dollars and shares
in thousands, except per share amounts)
|
|
October
30,
2022
|
|
October
31,
2021
|
|
October
30,
2022
|
|
October
31,
2021
|
|
|
$
|
|
$
|
|
$
|
|
$
|
Earnings
Data
|
|
|
|
|
|
|
|
|
Sales
|
|
1,289,574
|
|
1,122,267
|
|
3,579,518
|
|
3,105,861
|
Cost of
sales
|
|
730,812
|
|
623,480
|
|
2,038,832
|
|
1,756,974
|
Gross profit
|
|
558,762
|
|
498,787
|
|
1,540,686
|
|
1,348,887
|
SG&A
|
|
181,754
|
|
159,076
|
|
510,703
|
|
474,841
|
Depreciation and
amortization
|
|
83,563
|
|
75,375
|
|
245,514
|
|
219,962
|
Share of net earnings
of equity-accounted investment
|
|
(9,210)
|
|
(7,311)
|
|
(25,627)
|
|
(14,814)
|
Operating
income
|
|
302,655
|
|
271,647
|
|
810,096
|
|
668,898
|
Financing
costs
|
|
30,357
|
|
23,054
|
|
81,380
|
|
68,056
|
Earnings before income
taxes
|
|
272,298
|
|
248,593
|
|
728,716
|
|
600,842
|
Income taxes
|
|
70,704
|
|
65,192
|
|
188,141
|
|
157,639
|
Net earnings
|
|
201,594
|
|
183,401
|
|
540,575
|
|
443,203
|
|
|
|
|
|
|
|
|
|
Basic net earnings per
common share
|
|
$0.70
|
|
$0.61
|
|
$1.86
|
|
$1.45
|
Diluted net earnings
per common share
|
|
$0.70
|
|
$0.61
|
|
$1.85
|
|
$1.45
|
|
|
|
|
|
|
|
|
|
Weighted average number
of common shares outstanding:
|
|
|
|
|
|
|
|
|
Basic
|
|
287,837
|
|
301,135
|
|
290,347
|
|
305,105
|
Diluted
|
|
289,636
|
|
302,573
|
|
292,105
|
|
306,544
|
|
|
|
|
|
|
|
|
|
Other
Data
|
|
|
|
|
|
|
|
|
Year-over-year sales
growth
|
|
14.9 %
|
|
5.5 %
|
|
15.3 %
|
|
6.3 %
|
Comparable store sales
growth (1)
|
|
10.8 %
|
|
0.8 %
|
|
10.5 %
|
|
0.2 %
|
Gross margin
(1)
|
|
43.3 %
|
|
44.4 %
|
|
43.0 %
|
|
43.4 %
|
SG&A as a % of
sales (1)
|
|
14.1 %
|
|
14.2 %
|
|
14.3 %
|
|
15.3 %
|
Incremental direct
costs related to COVID-19 (1)
|
|
-
|
|
1,080
|
|
1,591
|
|
31,082
|
EBITDA
(1)
|
|
386,218
|
|
347,022
|
|
1,055,610
|
|
888,860
|
Operating margin
(1)
|
|
23.5 %
|
|
24.2 %
|
|
22.6 %
|
|
21.5 %
|
Capital
expenditures
|
|
35,847
|
|
35,228
|
|
104,269
|
|
110,279
|
Number of stores
(2)
|
|
1,462
|
|
1,397
|
|
1,462
|
|
1,397
|
Average store size
(gross square feet) (2)
|
|
10,443
|
|
10,346
|
|
10,443
|
|
10,346
|
Declared dividends per
common share
|
|
$0.0553
|
|
$0.0503
|
|
$0.1659
|
|
$0.1509
|
|
|
|
|
|
|
|
|
|
|
|
|
|
As at
|
|
|
|
October 30,
2022
|
|
January
30,
2022
|
|
|
|
$
|
|
$
|
|
Statement of
Financial Position Data
|
|
|
|
|
|
Cash
|
|
559,159
|
|
71,058
|
|
Inventories
|
|
1,007,108
|
|
590,927
|
|
Total current
assets
|
|
1,657,392
|
|
717,367
|
|
Property, plant and
equipment
|
|
782,540
|
|
761,876
|
|
Right-of-use
assets
|
|
1,588,828
|
|
1,480,255
|
|
Total assets
|
|
5,179,200
|
|
4,063,562
|
|
Total current
liabilities
|
|
1,119,213
|
|
911,891
|
|
Total non-current
liabilities
|
|
4,019,168
|
|
3,217,705
|
|
Total debt
(1)
|
|
2,745,711
|
|
1,886,300
|
|
Net debt
(1)
|
|
2,186,552
|
|
1,815,242
|
|
Shareholders' equity
(deficit)
|
|
40,819
|
|
(66,034)
|
|
|
|
|
|
|
(1)
|
Refer to the section
below entitled "Non-GAAP and Other Financial Measures" for the
definition of these items and, when applicable, their
reconciliation with the most directly comparable GAAP
measure.
|
(2)
|
At the end of the
period.
|
Non-GAAP and Other Financial
Measures
The Corporation prepares its financial information in accordance
with GAAP. We have included non-GAAP and other financial measures
to provide investors with supplemental measures of our operating
and financial performance. We believe that those measures are
important supplemental metrics of operating and financial
performance because they eliminate items that have less bearing on
our operating and financial performance and thus highlight trends
in our core business that may not otherwise be apparent when
relying solely on GAAP measures. We also believe that securities
analysts, investors and other interested parties frequently use
non-GAAP and other financial measures in the evaluation of issuers.
Our management also uses non-GAAP and other financial measures in
order to facilitate operating and financial performance comparisons
from period to period, to prepare annual budgets, and to assess our
ability to meet our future debt service, capital expenditure and
working capital requirements.
The below-described non-GAAP and other financial measures do not
have a standardized meaning prescribed by GAAP and are therefore
unlikely to be comparable to similar measures presented by other
issuers and should be considered as a supplement to, not a
substitute for, or superior to, the comparable measures calculated
in accordance with GAAP.
(A) Non-GAAP Financial
Measures
EBITDA
EBITDA represents operating income plus depreciation and
amortization and includes the Corporation's share of net earnings
of its equity-accounted investment.
|
|
13-Week Periods
Ended
|
|
39-Week Periods
Ended
|
(dollars in
thousands)
|
|
October 30,
2022
|
|
October 31,
2021
|
|
October 30,
2022
|
|
October 31,
2021
|
|
|
$
|
|
$
|
|
$
|
|
$
|
A reconciliation of
operating income to EBITDA is included below:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
income
|
|
302,655
|
|
271,647
|
|
810,096
|
|
668,898
|
Add: Depreciation and
amortization
|
|
83,563
|
|
75,375
|
|
245,514
|
|
219,962
|
EBITDA
|
|
386,218
|
|
347,022
|
|
1,055,610
|
|
888,860
|
|
|
|
|
|
|
|
|
|
Total debt
Total debt represents the sum of long-term debt (including
unamortized debt issue costs, accrued interest and fair value hedge
– basis adjustment), short-term borrowings under the US commercial
paper program and other bank indebtedness (if any).
(dollars in
thousands)
|
As at
|
A reconciliation of
long-term debt to total debt is included below:
|
October 30,
2022
|
|
January
30,
2022
|
Senior unsecured notes
bearing interest at:
|
$
|
|
$
|
Fixed annual rate of
5.165% payable in equal semi-annual instalments,
maturing April 26,
2030
|
450,000
|
|
-
|
Fixed annual rate of
2.443% payable in equal semi-annual instalments,
maturing July
9, 2029
|
375,000
|
|
375,000
|
Fixed annual rate of
1.505% payable in equal semi-annual instalments,
maturing September 20,
2027
|
300,000
|
|
300,000
|
Fixed annual rate of
1.871% payable in equal semi-annual instalments,
maturing July 8,
2026
|
375,000
|
|
375,000
|
Fixed annual rate of
5.084% payable in equal semi-annual instalments,
maturing October 27,
2025
|
250,000
|
|
-
|
Fixed annual rate of
3.55% payable in equal semi-annual instalments,
maturing
November 6, 2023
|
500,000
|
|
500,000
|
Fixed annual rate of
2.203% payable in equal semi-annual instalments,
maturing
November 10, 2022
|
250,000
|
|
250,000
|
|
|
|
|
|
|
|
|
|
|
|
|
Unamortized debt issue
costs, including $1,872 (January 30, 2022 – $1,632) for the credit
facility
|
(9,940)
|
|
(8,009)
|
Accrued interest on
senior unsecured notes
|
18,815
|
|
7,850
|
Fair value hedge –
basis adjustment on interest rate swap
|
(7,444)
|
|
(2,927)
|
Total long-term
debt
|
2,501,431
|
|
1,796,914
|
USCP Notes issued under
US commercial paper program
|
244,280
|
|
89,386
|
Total
debt
|
2,745,711
|
|
1,886,300
|
Net debt
Net debt represents total debt minus cash.
(dollars in
thousands)
|
|
As at
|
|
|
October 30,
2022
|
|
January 30,
2022
|
|
|
$
|
|
$
|
A reconciliation of
total debt to net debt is included below:
|
|
|
|
|
Total debt
|
|
2,745,711
|
|
1,886,300
|
Cash
|
|
(559,159)
|
|
(71,058)
|
Net
debt
|
|
2,186,552
|
|
1,815,242
|
(B) Non-GAAP
Ratios
Adjusted net debt to EBITDA ratio
Adjusted net debt to EBITDA ratio is a ratio calculated using
adjusted net debt over consolidated EBITDA for the last twelve
months.
(dollars in
thousands)
|
|
As at
|
|
|
October 30,
2022
|
|
January 30,
2022
|
|
|
$
|
|
$
|
A calculation of
adjusted net debt to EBITDA ratio is included below:
|
|
|
|
|
Net debt
|
|
2,186,552
|
|
1,815,242
|
Lease
liabilities
|
|
1,843,142
|
|
1,727,428
|
Unamortized debt issue
costs, including $1,872 (January 30, 2022 – $1,632) for the credit
facility
|
|
9,940
|
|
8,009
|
Fair value hedge -
basis adjustment on interest rate swap
|
|
7,444
|
|
2,927
|
Adjusted net
debt
|
|
4,047,078
|
|
3,553,606
|
|
|
|
|
|
EBITDA for the last
twelve-month period
|
|
1,449,327
|
|
1,282,577
|
Adjusted net debt to
EBITDA ratio
|
|
2.79x
|
|
2.77x
|
|
|
|
|
|
EBITDA margin
EBITDA margin represents EBITDA divided by sales.
|
|
13-Week Periods
Ended
|
|
39-Week Periods
Ended
|
(dollars in
thousands)
|
|
October 30,
2022
|
|
October 31,
2021
|
|
October 30,
2022
|
|
October 31,
2021
|
|
|
|
$
|
|
$
|
|
$
|
|
$
|
|
A reconciliation
of EBITDA to
EBITDA margin is included below:
|
|
|
|
|
|
|
|
|
|
EBITDA
|
|
386,218
|
|
347,022
|
|
1,055,610
|
|
888,860
|
|
Sales
|
|
1,289,574
|
|
1,122,267
|
|
3,579,518
|
|
3,105,861
|
|
EBITDA
margin
|
|
29.9 %
|
|
30.9 %
|
|
29.5 %
|
|
28.6 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(C) Supplementary Financial
Measures
Gross
margin
|
Represents gross profit
divided by sales.
|
|
|
Operating
margin
|
Represents operating
income divided by sales.
|
|
|
SG&A as a % of
sales
|
Represents SG&A
divided by sales.
|
|
|
Comparable store
sales
|
Represent sales of
Dollarama stores, including relocated and expanded stores, open for
at least 13 complete fiscal months relative to the same period in
the prior fiscal year.
|
|
|
Comparable store
sales growth
|
Represents the
percentage increase or decrease, as applicable, of comparable store
sales relative to the same period in the prior fiscal year. For the
first and second quarter of Fiscal 2022, the calculation of
comparable store sales growth excludes stores that were temporarily
closed, either in Fiscal 2022 or in the same period in the
prior fiscal year, in the context of the COVID-19
pandemic.
|
|
|
Incremental direct
costs related to COVID-19
|
Represents costs
incurred for the implementation and execution of health and safety
measures in stores and in logistic operations in response to the
pandemic, including costs associated with additional labor hours
for the execution of sanitization and crowd control protocols and
with the procurement of personal protection equipment for employees
and cleaning supplies and equipment.
|
www.dollarama.com
View original
content:https://www.prnewswire.com/news-releases/dollarama-reports-fiscal-2023-third-quarter-results-301696668.html
SOURCE Dollarama Inc.