- 9.0% increase in sales and 4.7% increase in comparable store sales
- 50 basis-point increase in full-year comparable store sales assumption to range of 3.5% to 4.5%
- Narrowing of gross margin as a percentage of sales annual guidance to range of 43.25% to 43.75%
- Closing of previously announced acquisition of 50.1% interest in Latin American value retailer Dollarcity subsequent to quarter-end, establishing second growth platform in complement to Canadian growth strategy
MONTREAL, Sept. 12, 2019 /CNW Telbec/ - Dollarama Inc. (TSX: DOL) ("Dollarama" or the "Corporation") today reported increases in sales, net earnings and earnings per common share for the second quarter ended August 4, 2019. Diluted net earnings per common share rose 7.1% to $0.45.
Financial and Operating Highlights
All comparative figures that follow are for the second quarter ended August 4, 2019 compared to the second quarter ended July 29, 2018. 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").
These results and the Corporation's unaudited condensed interim consolidated financial statements reflect the adoption of IFRS 16, "Leases", on February 4, 2019, and all comparative figures for the corresponding period of the prior fiscal year have been restated (see table on page 4 for more information).
Throughout this press release, EBITDA, EBITDA margin, total debt and net debt, which are referred to as "non-GAAP measures", are used to provide a better understanding of the Corporation's financial results. For a full explanation of the Corporation's use of non-GAAP measures, please refer to footnote 1 of the "Selected Consolidated Financial Information" section of this press release.
Throughout this press release, all references to "Fiscal 2019" are to the Corporation's fiscal year ended February 3, 2019, and to "Fiscal 2020" are to the Corporation's fiscal year ending February 2, 2020. The Corporation's fiscal year ends on the Sunday closest to January 31 of each year and usually has 52 weeks. However, as is traditional with the retail calendar, every five or six years, a week is added to the fiscal year. Fiscal 2019 was comprised of 53 weeks.
Compared to the second quarter of Fiscal 2019:
- Sales increased by 9.0% to $946.4 million;
- Comparable store sales(1) grew 4.7%, over and above a 2.6% growth the previous year;
- Gross margin(1) was 43.7% of sales, compared to 45.0%(2) of sales;
- EBITDA(1) grew 3.5% to $281.6 million, or 29.8% of sales, compared to 31.3%(2) of sales;
- Operating income grew 2.7% to $221.6 million, or 23.4% of sales, compared to 24.9%(2) of sales; and
- Diluted net earnings per common share increased by 7.1%, to $0.45 from $0.42(2).
__________________________
|
(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.
|
(2)
| Comparative financial information and ratios have been restated to reflect the full retrospective application of IFRS 16 for lease accounting.
|
During the second quarter of Fiscal 2020, the Corporation opened 14 net new stores, compared to 8 net new stores during the corresponding period of the previous fiscal year.
"Customers are responding positively to our compelling product offering and various merchandising tactics, as demonstrated by our strong top line performance for a second consecutive quarter. Based on our performance to date, we are increasing our full-year comparable store sales growth assumption to a range of 3.5% to 4.5%," said President and Chief Executive Officer, Neil Rossy.
"Looking at the bottom line, we expect margins to be in the lower half of our previously disclosed full-year guidance range, which we have narrowed accordingly. We are confident that our sustained focus on stimulating top line growth -- while still maintaining industry-leading margins -- is the right approach in what continues to be a competitive retail environment."
Financial Results
Sales for the second quarter of Fiscal 2020 increased by 9.0% to $946.4 million, compared to $868.5 million in the corresponding period of the prior fiscal year. Continued organic sales growth was fuelled by balanced growth in both comparable store sales and in the total number of stores over the past 12 months, from 1,178 stores on July 29, 2018 to 1,250 stores on August 4, 2019.
Comparable store sales grew 4.7% in the second quarter of Fiscal 2020, over and above comparable store sales growth of 2.6% in the same quarter a year ago. Comparable store sales growth for the second quarter of Fiscal 2020 consisted of a 3.8% increase in average transaction size, primarily driven by an increase in the number of units per basket, and a 0.9% increase in the number of transactions. The expansion of the Corporation's product offering across all merchandising categories through the addition of new stock keeping units (SKUs) contributed to comparable store sales growth.
Gross margin was 43.7% of sales in the second quarter of Fiscal 2020, compared to 45.0% of sales in the second quarter of Fiscal 2019. Gross margin is lower due to a slight decrease in the product margin, higher sales of lower margin items and higher logistics costs.
General, administrative and store operating expenses ("SG&A") for the second quarter of Fiscal 2020 was $131.7 million, compared to $118.3 million for the second quarter of Fiscal 2019. This increase is primarily related to the continued growth in the total number of stores. SG&A for the second quarter of Fiscal 2020 represented 13.9% of sales, compared to 13.6% of sales for the second quarter of Fiscal 2019. The 0.3% increase is mainly the result of the timing of expenditures.
Net financing costs increased by $2.0 million, from $22.6 million for the second quarter of Fiscal 2019 to $24.6 million for the second quarter of Fiscal 2020. The increase is mainly due to increased borrowings on long-term debt, and net financing costs now include costs related to lease liabilities as calculated under IFRS 16 for both periods.
Net earnings increased to $143.2 million, or $0.45 per diluted common share, in the second quarter of Fiscal 2020, compared to $140.3 million, or $0.42 per diluted common share, in the second quarter of Fiscal 2019. This increase in net earnings is mainly the result of a 9.0% increase in sales, partially offset by lower margins and slightly higher SG&A as a percentage of sales. Earnings per common share were also positively impacted by the repurchase of shares through the Corporation's normal course issuer bid over the past 12 months.
Acquisition of a 50.1% Interest in Dollarcity
On July 2, 2019, the Corporation announced that it entered into a definitive stock purchase agreement to acquire a 50.1% interest in Latin American value retailer Dollarcity, thereby creating a second growth platform in complement to its Canadian growth strategy. On August 14, 2019, the Corporation completed this acquisition, and made an upfront payment of US$40 million ($52.8 million).
The total purchase price is currently estimated at between US$85 million and US$95 million, representing 50.1% of a five times multiple of Dollarcity's estimated EBITDA for the 12-month period ending June 30, 2020, minus net debt and subject to other adjustments. The current purchase price estimate is based on financial projections, whereas the final purchase price will be based on audited financial statements.
The balance of the purchase price, currently estimated at between US$45 million and US$55 million, will be recorded as a liability in the Corporation's unaudited condensed interim consolidated financial statements for the third quarter of Fiscal 2020 and will be due in the third quarter of the Corporation's next fiscal year ending January 31, 2021.
As per the terms of the stockholders agreement dated August 14, 2019, certain strategic and operational decisions of Dollarcity are subject to 100% stockholder approval. As a result, Dollarcity will be treated as an equity investee, and the Corporation will account for this investment as a joint arrangement using the equity method. The upfront payment of $52.8 million, as well as the Corporation's 50.1% share of Dollarcity's net income for the period of August 14, 2019 to September 30, 2019, the end of Dollarcity's third quarter, will be reflected in the Corporation's results for the third quarter of Fiscal 2020.
At its latest quarter ended June 30, 2019, Dollarcity operated 192 stores, with 91 locations in Colombia, 45 in El Salvador and 56 in Guatemala. This compares to a total of 169 stores as at December 31, 2018.
Normal Course Issuer Bid
On July 3, 2019, 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 15,737,468 common shares, representing 5.0% of the common shares issued and outstanding as at the close of markets on July 2, 2019, during the 12‑month period from July 5, 2019 to July 4, 2020 (the "2019-2020 NCIB").
During the quarter ended August 4, 2019, a total of 314,223 common shares were repurchased for cancellation under the 2019-2020 NCIB, for a total cash consideration of $15.5 million.
Dividend
On September 12, 2019, the Corporation announced that its board of directors had approved a quarterly cash dividend for holders of its common shares of $0.044 per common share. The Corporation's quarterly cash dividend will be paid on November 8, 2019 to shareholders of record at the close of business on October 11, 2019 and is designated as an "eligible dividend" for Canadian tax purposes.
Distribution Capacity Expansion Update
The expansion of the Corporation's Montreal-area distribution centre, underway since March 2018, continues to proceed on time and on budget, with no disruptions to distribution centre operations. As previously confirmed, the building extension was completed earlier this year and the next phase of the project, which is comprised of the integration of the new facility with the existing facility, is underway and expected to be completed before the end of calendar 2019.
Significant Accounting Standard Adopted – IFRS 16
In January of 2016, the IASB issued IFRS 16, "Leases", which replaces IAS 17, "Leases". The new standard is effective for fiscal years beginning on or after January 1, 2019. The Corporation has applied IFRS 16 to the Fiscal 2020 quarterly unaudited condensed interim consolidated financial statements using the full retrospective approach and has therefore restated comparative information for Fiscal 2019, as if IFRS 16 had always been in effect.
The Corporation's financial reporting is impacted by the adoption of IFRS 16. Certain lease-related expenses previously recorded in occupancy costs are now recorded as a depreciation expense for right–of-use assets and as an interest expense for related lease liabilities. The depreciation expense is recognized on a straight-line basis over the term of the lease, while the interest expense declines over the life of the lease, as the liability is paid off.
|
| IFRS 16
|
|
|
| IAS 17
|
|
| 13-Week Periods Ended
|
| 13-Week Periods Ended
|
(dollars in millions, except per share amounts)
| August 4, 2019
| July 29, 2018(i)
| Change
|
| August 4, 2019(ii)
| July 29, 2018
| Change
|
|
|
|
|
|
|
|
|
Gross margin
| $413.2
| $390.5
| $22.7
|
| $362.2
| $344.4
| $17.8
|
As a percentage of sales
| 43.7%
| 45.0%
| (1.3%)
|
| 38.3%
| 39.7%
| (1.4%)
|
|
|
|
|
|
|
|
|
SG&A
| $131.7
| $118.3
| $13.4
|
| $132.2
| $118.6
| $13.6
|
As a percentage of sales
| 13.9%
| 13.6%
| 0.3%
|
| 14.0%
| 13.7%
| 0.3%
|
|
|
|
|
|
|
|
|
EBITDA
| $281.6
| $272.2
| $9.4
|
| $230.0
| $225.8
| $4.2
|
As a percentage of sales
| 29.8%
| 31.3%
| (1.5%)
|
| 24.3%
| 26.0%
| (1.7%)
|
|
|
|
|
|
|
|
|
Diluted net earnings per common share
| $0.45
| $0.42
| $0.03
|
| $0.45
| $0.43
| $0.02
|
|
|
(i)
| Restated to reflect the adoption of IFRS 16.
|
(ii)
| Presented as if IFRS 16 had not been adopted, for illustration purposes only.
|
Outlook
The outlook below sets out guidance ranges for Fiscal 2020, restated to reflect the adoption of IFRS 16 effective February 4, 2019, and also presented under IAS 17, for illustration purposes only.
|
|
|
|
(as a percentage of sales except net new store openings in units and capital expenditures in millions of dollars)
|
| Fiscal 2020 Guidance
Provided June 13, 2019
| Revised Fiscal 2020 Guidance
|
|
|
Under IFRS 16
| Under IFRS 16
|
|
|
|
|
|
|
|
|
Net new store openings
| 60 to 70
| unchanged
|
Gross margin
| 43.25% to 44.25%
| 43.25% to 43.75%(ii)
|
SG&A
| 14.25% to 14.75%
| unchanged
|
EBITDA margin
| 28.50% to 30.00%
| 28.50% to 29.50%(iii)
|
Capital expenditures(i)
| $130.0 to $140.0
| unchanged
|
|
|
|
|
(as a percentage of sales except net new store openings in units and capital expenditures in millions of dollars)
|
| Fiscal 2020 Guidance
Provided June 13, 2019
| Revised Fiscal 2020 Guidance
|
|
|
Under IAS 17
For illustration purposes only
| Under IAS 17
For illustration purposes
only
|
|
|
|
|
|
|
|
|
Net new store openings
|
| 60 to 70
| unchanged
|
Gross margin
| 38.0% to 39.0%
| 38.0% to 38.5%(ii)
|
SG&A
| 14.25% to 14.75%
| unchanged
|
EBITDA margin
| 23.25% to 24.75%
| 23.25% to 24.25%(iii)
|
Capital expenditures(i)
| $130.0 to $140.0
| unchanged
|
|
|
(i)
| Includes additions to property, plant and equipment, computer hardware and software.
|
(ii)
| Based on results for the first six months of Fiscal 2020 and on the visibility on open orders and product margins for the next three months, management is narrowing the previously disclosed guidance range for gross margin as a percentage of sales to focus on the lower half of such range.
|
(iii)
| EBITDA margin has been revised for Fiscal 2020 as a result of the narrowing of the guidance range for gross margin as a percentage of sales.
|
The guidance ranges for Fiscal 2020 are based on a number of assumptions, including the following:
- comparable store sales growth in the range of 3.5% to 4.5%, revised upwards from the previous range of 3.0% to 4.0% disclosed on June 13, 2019, based on the comparable store sales trend for the year to date;
- the number of signed offers to lease and store pipeline for the next six months;
- positive customer response to our product offering, value proposition and in-store merchandising;
- the active management of product margins, including by refreshing 25% to 30% of the offering on an annual basis;
- approximately three months of visibility on open orders and product margins;
- 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, including, without limitation, the efficient use of advanced scheduling and the realization of cost savings and benefits aimed at improving operating expenses;
- ongoing cost monitoring;
- the capital budget for Fiscal 2020 for new store openings, maintenance capital expenditures, and transformational capital expenditures (the latter being mainly related to information technology projects) as well as the remaining costs to be incurred for the expansion of distribution capacity;
- the successful execution of our business strategy;
- the absence of a significant shift in economic conditions or material changes in the retail competitive environment; and
- 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, including risks related to: future increases in operating costs (including increases in statutory minimum wages), future increases in merchandise costs (including as a result of tariff disputes), inability to sustain assortment and replenishment of merchandise, increase in the cost or a disruption in the flow of imported goods, failure to maintain brand image and reputation, disruption of distribution infrastructure, inventory shrinkage, inability to renew store, warehouse and head office leases on favourable terms, inability to increase warehouse and distribution centre capacity in a timely manner, seasonality, market acceptance of private brands, foreign exchange rate fluctuations, competition in the retail industry, current economic conditions, failure to attract and retain quality employees, disruption in information technology systems, unsuccessful execution of the growth strategy, adverse weather including any related impact on sales, product liability claims and product recalls, litigation and regulatory compliance.
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 include, without limitation, statements relating to the financial performance of Dollarcity and the estimated purchase price to be paid by the Corporation for a 50.1% interest in Dollarcity.
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 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 discussed in greater detail in the "Risks and Uncertainties" section of the Corporation's annual management's discussion and analysis and its annual information form for Fiscal 2019, both available on SEDAR at www.sedar.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 September 12, 2019 and we have no intention and undertake 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 financial outlook for Dollarcity for the 12‑month period ending June 30, 2020 used specifically to calculate the estimated purchase price range for the Dollarcity transaction constitutes a forward-looking statement. It is based on financial projections and is subject to risks and uncertainties similar to those identified above.
The forward-looking statements contained in this press release are expressly qualified by this cautionary statement.
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 1,250 locations across Canada provide customers with compelling value in convenient locations, including metropolitan areas, mid-sized cities and small towns. Select consumable and general merchandise 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 $4.00.
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$3.00 (or the equivalent in local currency) through its 192 conveniently-located stores in Colombia, El Salvador and Guatemala.
Selected Consolidated Financial Information
|
|
|
|
|
|
|
|
|
|
|
| 13-Week Periods Ended
|
| 26-Week Periods Ended
|
(dollars and shares in thousands, except per share amounts)
|
| August 4,
2019
|
| July 29,
2018
|
| August 4,
2019
|
| July 29,
2018
|
|
| $
|
| $
Restated(i)
|
| $
|
| $
Restated(i)
|
Earnings Data
|
|
|
|
|
|
|
|
|
Sales
|
| 946,405
|
| 868,453
|
| 1,774,441
|
| 1,624,522
|
Cost of sales
|
| 533,162
|
| 477,950
|
| 1,012,307
|
| 902,935
|
Gross profit
|
| 413,243
|
| 390,503
|
| 762,134
|
| 721,587
|
SG&A
|
| 131,651
|
| 118,270
|
| 253,774
|
| 231,417
|
Depreciation and amortization
|
| 59,965
|
| 56,330
|
| 118,164
|
| 111,776
|
Operating income
|
| 221,627
|
| 215,903
|
| 390,196
|
| 378,394
|
Net financing costs
|
| 24,618
|
| 22,559
|
| 50,176
|
| 44,999
|
Earnings before income taxes
|
| 197,009
|
| 193,344
|
| 340,020
|
| 333,395
|
Income taxes
|
| 53,826
|
| 52,994
|
| 93,325
|
| 91,508
|
Net earnings
|
| 143,183
|
| 140,350
|
| 246,695
|
| 241,887
|
|
|
|
|
|
|
|
|
|
Basic net earnings per common share
|
| $0.45
|
| $0.43
|
| $0.78
|
| $0.74
|
Diluted net earnings per common share
|
| $0.45
|
| $0.42
|
| $0.78
|
| $0.73
|
|
|
|
|
|
|
|
|
|
Weighted average number of common shares outstanding:
|
|
|
|
|
|
|
|
|
Basic
|
| 314,757
|
| 327,314
|
| 314,729
|
| 327,612
|
Diluted
|
| 318,533
|
| 331,645
|
| 318,220
|
| 332,024
|
|
|
|
|
|
|
|
|
|
Other Data
|
|
|
|
|
|
|
|
|
Year-over-year sales growth
|
| 9.0%
|
| 6.9%
|
| 9.2%
|
| 7.1%
|
Comparable store sales growth (2)
|
| 4.7%
|
| 2.6%
|
| 5.2%
|
| 2.6%
|
Gross margin (3)
|
| 43.7%
|
| 45.0%
|
| 43.0%
|
| 44.4%
|
SG&A as a % of sales (3)
|
| 13.9%
|
| 13.6%
|
| 14.3%
|
| 14.2%
|
EBITDA (1)
|
| 281,592
|
| 272,233
|
| 508,360
|
| 490,170
|
Operating margin (3)
|
| 23.4%
|
| 24.9%
|
| 22.0%
|
| 23.3%
|
Capital expenditures
|
| 30,362
|
| 26,834
|
| 61,042
|
| 91,108
|
Number of stores (4)
|
| 1,250
|
| 1,178
|
| 1,250
|
| 1,178
|
Average store size (gross square feet)(4)
|
| 10,262
|
| 10,164
|
| 10,262
|
| 10,164
|
Declared dividends per common share
|
| $0.044
|
| $0.040
|
| $0.088
|
| $0.080
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| As at
|
|
|
|
|
|
| August 4,
2019
|
| February 3,
2019
|
|
|
|
|
|
| $
|
| $
Restated(i)
|
Statement of Financial Position Data
|
|
|
|
|
|
|
|
|
Cash
|
|
|
|
|
| 139,052
|
| 50,371
|
Inventories
|
|
|
|
|
| 601,723
|
| 581,241
|
Total current assets
|
|
|
|
|
| 806,660
|
| 688,520
|
Property, plant and equipment
|
|
|
|
|
| 607,282
|
| 586,027
|
Right-of-use assets
|
|
|
|
|
| 1,243,549
|
| 1,208,461
|
Total assets
|
|
|
|
|
| 3,535,832
|
| 3,359,669
|
Total current liabilities
|
|
|
|
|
| 680,808
|
| 443,234
|
Total non-current liabilities
|
|
|
|
|
| 2,961,037
|
| 3,233,819
|
Total debt (1)
|
|
|
|
|
| 1,882,291
|
| 1,907,383
|
Net debt (1)
|
|
|
|
|
| 1,743,239
|
| 1,857,012
|
Shareholders' deficit
|
|
|
|
|
| (106,013)
|
| (317,384)
|
|
|
|
|
|
|
|
|
|
(1)
| In this press release, EBITDA, EBITDA margin, total debt and net debt are referred to as "non-GAAP measures". Non-GAAP measures are not generally accepted measures under GAAP and do not have a standardized meaning under GAAP. EBITDA, EBITDA margin, total debt and net debt are reconciled below. The non-GAAP measures, as calculated by the Corporation, may not be comparable to those of 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.
|
|
|
| We have included non-GAAP measures to provide investors with supplemental measures of our operating and financial performance. We believe that non-GAAP 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 measures in the evaluation of issuers, many of which present non-GAAP measures when reporting their results. Our management also uses non-GAAP 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.
|
|
|
| 13-Week Periods Ended
|
| 26-Week Periods Ended
|
(dollars in thousands)
| August 4,
2019
|
| July 29,
2018
|
| August 4,
2019
|
| July 29,
2018
|
| $
|
| $
Restated(i)
|
| $
|
| $
Restated(i)
|
A reconciliation of operating income to EBITDA is included below:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income
| 221,627
|
| 215,903
|
| 390,196
|
| 378,394
|
Add: Depreciation and amortization
| 59,965
|
| 56,330
|
| 118,164
|
| 111,776
|
EBITDA
| 281,592
|
| 272,233
|
| 508,360
|
| 490,170
|
EBITDA margin (1)(3)
| 29.8%
|
| 31.3%
|
| 28.6%
|
| 30.2%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
A reconciliation of long-term debt to total debt is included below:
|
|
|
|
| As at
|
|
|
|
|
| August 4,
2019
|
| February 3,
2019
|
|
|
|
|
| $
|
| $
Restated(i)
|
Senior unsecured notes bearing interest at:
|
|
|
|
|
|
|
|
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
|
Fixed annual rate of 2.337% payable in equal semi-annual instalments, maturing July 22, 2021
|
|
|
|
| 525,000
|
| 525,000
|
Variable rate equal to 3‑month bankers' acceptance rate (CDOR) plus 27 basis points payable quarterly, maturing February 1, 2021
|
|
|
|
| 300,000
|
| 300,000
|
Variable rate equal to 3‑month bankers' acceptance rate (CDOR) plus 59 basis points payable quarterly, maturing March 16, 2020
|
|
|
|
| 300,000
|
| 300,000
|
Unsecured revolving credit facility maturing September 27, 2024
|
|
|
|
| -
|
| 25,000
|
Accrued interest on senior unsecured notes
|
|
|
|
| 7,291
|
| 7,383
|
Total debt
|
|
|
|
| 1,882,291
|
| 1,907,383
|
|
|
|
|
|
|
|
|
A reconciliation of total debt to net debt is included below:
|
|
|
|
|
|
|
|
Total debt
|
|
|
|
| 1,882,291
|
| 1,907,383
|
Cash
|
|
|
|
| (139,052)
|
| (50,371)
|
Net debt
|
|
|
|
| 1,743,239
|
| 1,857,012
|
|
|
|
|
|
|
|
|
|
|
(2)
| Comparable store sales growth is a measure of the percentage increase or decrease, as applicable, of the sales of stores, including relocated and expanded stores, open for at least 13 complete fiscal months relative to the same period in the prior fiscal year.
|
(3)
| Gross margin represents gross profit divided by sales. SG&A as a percentage of sales represents SG&A divided by sales. Operating margin represents operating income divided by sales. EBITDA margin represents EBITDA divided by sales.
|
(4)
| At the end of the period.
|
|
|
(i)
| Restated to reflect the adoption of IFRS 16.
|
View original content:http://www.prnewswire.com/news-releases/dollarama-reports-fiscal-2020-second-quarter-results-300916835.html
SOURCE Dollarama Inc.
View original content: http://www.newswire.ca/en/releases/archive/September2019/12/c1053.html
Investors: Michael Ross, FCPA, FCA, Chief Financial Officer, (514) 737-1006 x1237, michael.ross@dollarama.com; Media: Lyla Radmanovich, PELICAN Public Relations, (514) 845-8763, media@rppelican.ca; www.dollarama.comCopyright CNW Group 2019