Pending double.BMTC is operating in the plus once again. The Company has been expensing significant one time costs. 15.5 million this year. So underlying income is much higher than indicated. Further, they have closed 5 stores, they have redevelopment plans on one location, and the 2 other none leased locations have surplus values to be realized.
Balance sheet is very strong, 385 million in financial assets. Just shy of 12$ a share.
Real estate is not levered and sits at nominal values.
Net earnings for the three month period ended January 31, 2024, amounted to $14,496,000 compared to $11,938,000 recorded for the corresponding 2023 period. The improvement of net earnings during the last quarter is mainly explained by the reduction in administrative expenses and operating costs thanks to the operational and commercial restructuring undertaken by the company last May. Basic net earnings per share increased to $0.44 compared to $0.36 for the corresponding 2023 period. The Company noted an overall improvement of in store traffic in its points of sale during the last quarter.
The Company has decided to make significant changes to transform its former Brault & Martineau and EconoMax stores into Tanguay store in order to provide a better product and service offering and a unique customer experience in its market. These renovations across our entire network were initially estimated at $28,000,000, but as of January 31, 2024, the amount was reassessed downward to $20,000,000. During the 2024 financial year, $15,500,000 of these costs were recorded in selling expenses in the Consolidated Statements of Earnings and Other Comprehensive Income, the balance of the costs will be incurred during the next financial year.