RE:Upbeat Conference CallDanielDarden wrote: Understandable as sales and margins improve simultaneously. It’s normally difficult to accomplish both in the food business but management continues to deliver impressively. With the forthcoming expansion into western Quebec further improvements should follow next year. The CEO indicated that they are working on contracts for the 1st. semester of ‘24 and should be reflected then from the new facility.
Despite the carnage in the market, this has held up really well. Buyers are likely sensing the optimism and sellers are diminishing. More coverage by analysts should be forthcoming and could be a huge catalyst.
Enthusiasm remains despite a flat Q2. Coverage by Desjardin should create more exposure and hence, wider interest. Debt is reduced more and margins are expanding. Restaurants don’t do well when the economy slows so no surprise there. Patience will b required short term but the potential returns far outweigh the risks so will be adding on weakness.