North West Company Inc T.NWC

Comments > Earnings Fall / Dividend Increase ;>O

[TimeBuilder]

Update: The North West Company Down 10% as Q2 Adjusted Net Earnings Fall, Sales Up 2.4%; Increases Dividend

10:59 AM EDT, 09/08/2022 (MT Newswires) -- The North West Company Inc. (NWC.TO) was down almost 10% at last look on Thursday after overnight Wednesday saying Q2 adjusted net earnings fell to $33.96 million from $44.75 million a year earlier, missing the $36.40 million estimate of analysts polled by Capital IQ.

Net earnings attributable to shareholders for the quarter ended July 31 were $31.4 million, or $0.64 per diluted share, compared with $41.9 million, or $0.86 per share, a year earlier. Analysts polled by Capital IQ expected EPS at $0.67.

North West, a retailer of food and everyday products in Canada, Alaska, the South Pacific and the Caribbean, said Q2 consolidated sales increased 2.4% from a year earlier to $578.9 million led by sales gains in international operations and the impact of foreign exchange on the translation of international operations sales.

Analysts surveyed by Capital IQ expected revenue at $577.7 million.

The company also said its board of directors declared a dividend of $0.38 per share, an increase of $0.01 per share. The dividend will be paid on Oct. 14 to shareholders of record on Sept. 30.

"Our business remains strong, especially when compared to pre-pandemic sales and earnings levels," said President and CEO Dan McConnell.

North West also announced the appointment of Rachel Huckle to its board effective Sept. 7. Huckle has been the Chief Retail Officer at Staples Canada ULC since 2019. Prior to that she worked with Loblaw Companies Ltd. and Shoppers Drug Mart beginning in 1996.

Price: 30.66, Change: -3.39, Percent Change: -9.96