|By Marketwired .||
|January 9, 2014 04:00 PM EST||
SAN DIEGO, CA -- (Marketwired) -- 01/09/14 -- PriceSmart, Inc. (NASDAQ: PSMT) today announced its results of operations for the first quarter of fiscal year 2014 which ended on November 30, 2013.
For the first quarter of fiscal year 2014, net warehouse club sales increased 12.6% to $589.7 million from $523.6 million in the first quarter of fiscal year 2013. Total revenues for the first quarter of fiscal year 2014 was $605.6 million compared to $535.3 million in the first quarter of the prior year. The Company had 32 clubs in operation as of November 30, 2013, compared to 30 warehouse clubs in operation as of November 30, 2012.
The Company recorded operating income for the first quarter of $32.4 million, compared to operating income of $29.7 million for the first quarter of the prior year. Net income was $21.4 million, or $0.71 per diluted share, in the first quarter of fiscal year 2014. Net income in the first quarter of fiscal year 2013 was $20.0 million, or $0.66 per diluted share.
For the month of December 2013, net sales increased 10.7% to $280.8 million from $253.7 million in December a year earlier. For the four months ended December 31, 2013, net sales increased 12.0% to $870.5 million from $777.3 million in the same period last year. There were 32 warehouse clubs in operation at the end of December 2013 compared to 30 warehouse clubs in operation in December 2012.
For the four weeks ended December 29, 2013, comparable warehouse sales for the 29 warehouse clubs open at least 13 1/2 full months increased 6.7% compared to the same four-week period last year. For the seventeen-week period ended December 29, 2013, comparable warehouse sales increased 7.5% compared to the comparable seventeen-week period a year ago.
PriceSmart Inc. also announced that on January 8, 2014, it acquired approximately 128,600 usable square feet (11,947 usable square meters) of land in the southern area of Pereira, Colombia, upon which the Company plans to construct a new warehouse club that is currently planned to open in November 2014. This additional club will be the fourth PriceSmart warehouse club operating in Colombia.
PriceSmart management plans to host a conference call at 12:00 p.m. Eastern time (9:00 a.m. Pacific time) on Friday, January 10, 2014, to discuss the financial results.
Individuals interested in participating in the conference call may do so by dialing (877) 627-6581 toll free, or (719) 325-4893 for international callers, and entering participant code 8610355.
A digital replay will be available through January 31, 2014, following the conclusion of the call by dialing (888) 203-1112 for domestic callers, or (719) 457-0820 for international callers, and entering relay passcode 8610355.
PriceSmart, headquartered in San Diego, owns and operates U.S.-style membership shopping warehouse clubs in Latin America and the Caribbean, selling high quality merchandise at low prices to PriceSmart members. PriceSmart now operates 32 warehouse clubs in 12 countries and one U.S. territory (six in Costa Rica; four each in Panama and Trinidad; three each in Guatemala, the Dominican Republic and Colombia; two each in El Salvador and Honduras; and one each in Aruba, Barbados, Jamaica, Nicaragua and the United States Virgin Islands).
This press release may contain forward-looking statements concerning the Company's anticipated future revenues and earnings, adequacy of future cash flow and related matters. These forward-looking statements include, but are not limited to, statements containing the words "expect," "believe," "will," "may," "should," "project," "estimate," "anticipated," "scheduled," and like expressions, and the negative thereof. These statements are subject to risks and uncertainties that could cause actual results to differ materially, including the following risks: the Company's financial performance is dependent on international operations, which exposes the Company to various risks; any failure by the Company to manage its widely dispersed operations could adversely affect its business; the Company faces significant competition; future sales growth depends, in part, on the Company's ability to successfully open new warehouse clubs; the Company might not identify in a timely manner or effectively respond to changes in consumer trends and changes in consumer preferences for merchandise and shopping modalities, which could adversely affect its relationship with members, demand for its products and market share; the Company faces difficulties in the shipment of, and risks inherent in the importation of, merchandise to its warehouse clubs; the Company is exposed to weather and other natural disaster risks; general economic conditions could adversely impact the Company's business in various respects; the Company is subject to changes in relationships and agreements with third parties with which the Company does business and/or from which the Company acquires merchandise; the Company relies extensively on computer systems to process transactions, summarize results and manage its business and a failure to adequately maintain the Company's systems and disruptions in its systems could harm its business and adversely affect its results of operations; the Company could be subject to additional tax liabilities; a few of the Company's stockholders own approximately 28.3% of the Company's voting stock, which may make it difficult to complete some corporate transactions without their support and may impede a change in control; the loss of key personnel could harm the Company's business; the Company is subject to volatility in foreign currency exchange rates; the Company faces the risk of exposure to product liability claims, a product recall and adverse publicity; potential future impairments of long lived assets could adversely affect the Company's future results of operations and financial position; write-offs of goodwill and other intangible assets could adversely affect the Company's future results of operations and financial position; the Company faces increased public company compliance risks and compliance risks related to the Company's international operations; the Company faces increased compliance risks associated with compliance with Section 404 of the Sarbanes-Oxley Act of 2002; if remediation costs or hazardous substance contamination levels at certain properties for which the Company maintains financial responsibility exceed management's current expectations, the Company's financial condition and results of operations could be adversely impacted. The risks described above as well as the other risks detailed in the Company's U.S. Securities and Exchange Commission ("SEC") reports, including the Company's Annual Report on Form 10-K filed for the fiscal year ended August 31, 2013 filed on October 30, 2013 pursuant to the Securities Exchange Act of 1934. We assume no obligation and expressly disclaim any duty to update any forward-looking statement to reflect events or circumstances after the date of this presentation or to reflect the occurrence of unanticipated events.
PRICESMART, INC. CONSOLIDATED STATEMENTS OF INCOME (UNAUDITED -- AMOUNTS IN THOUSANDS, EXCEPT PER SHARE DATA) Three Months Ended November 30, ------------------------------ 2013 2012 -------------- -------------- Revenues: Net warehouse club sales $ 589,694 $ 523,599 Export sales 5,721 3,073 Membership income 9,268 7,673 Other income 918 941 -------------- -------------- Total revenues 605,601 535,286 -------------- -------------- Operating expenses: Cost of goods sold: Net warehouse club 504,287 444,944 Export 5,441 2,835 Selling, general and administrative: Warehouse club operations 51,772 45,842 General and administrative 11,184 11,158 Pre-opening expenses 474 737 Loss/(gain) on disposal of assets 84 57 -------------- -------------- Total operating expenses 573,242 505,573 -------------- -------------- Operating income 32,359 29,713 Other income (expense): Interest income 181 294 Interest expense (1,038) (1,218) Other income (expense), net 311 (1) -------------- -------------- Total other expense (546) (925) -------------- -------------- Income before provision for income taxes and income (loss) of unconsolidated affiliates 31,813 28,788 Provision for income taxes (10,385) (8,779) Income (loss) of unconsolidated affiliates 4 (4) -------------- -------------- Net income $ 21,432 $ 20,005 ============== ============== Net income per share available for distribution: Basic net income per share $ 0.71 $ 0.66 ============== ============== Diluted net income per share $ 0.71 $ 0.66 ============== ============== Shares used in per share computations: Basic 29,690 29,592 ============== ============== Diluted 29,702 29,604 ============== ============== Dividends per share $ -- $ 0.60 ============== ============== PRICESMART, INC. CONSOLIDATED BALANCE SHEETS (AMOUNTS IN THOUSANDS, EXCEPT SHARE DATA) November 30, 2013 August 31, (Unaudited) 2013 -------------- -------------- ASSETS Current Assets: Cash and cash equivalents $ 77,226 $ 121,874 Short-term restricted cash 3,100 5,984 Receivables, net of allowance for doubtful accounts of $7 and $0 as of November 30, 2013 and August 31, 2013, respectively 3,481 3,130 Merchandise inventories 298,721 217,413 Deferred tax assets - current 7,126 6,290 Prepaid expenses and other current assets 30,717 20,890 -------------- -------------- Total current assets 420,371 375,581 Long-term restricted cash 26,759 34,775 Property and equipment, net 351,210 338,478 Goodwill 36,289 36,364 Deferred tax assets - long term 12,038 12,871 Other non-current assets (includes $1,324 and $1,505 as of November 30, 2013 and August 31, 2013, respectively, for the fair value of derivative instruments) 25,787 19,866 Investment in unconsolidated affiliates 8,108 8,104 -------------- -------------- Total Assets $ 880,562 $ 826,039 ============== ============== LIABILITIES AND EQUITY Current Liabilities: Short-term borrowings $ 13,000 $ -- Accounts payable 230,890 199,425 Accrued salaries and benefits 16,171 17,862 Deferred membership income 17,231 16,528 Income taxes payable 7,455 8,059 Other accrued expenses 17,646 20,136 Long-term debt, current portion 16,375 12,757 Deferred tax liability - current 128 111 -------------- -------------- Total current liabilities 318,896 274,878 Deferred tax liability - long-term 2,603 2,622 Long-term portion of deferred rent 4,452 4,440 Long-term income taxes payable, net of current portion 2,014 2,184 Long-term debt, net of current portion 46,907 60,263 Other long-term liabilities (includes $9 and $14 for the fair value of derivative instruments and $621 and $589 for the defined benefit plans as of November 30, 2013 and August 31, 2013, respectively) 630 603 -------------- -------------- Total liabilities 375,502 344,990 Equity: Common stock, $0.0001 par value, 45,000,000 shares authorized; 30,923,393 and 30,924,392 shares issued and 30,233,507 and 30,234,506 shares outstanding (net of treasury shares) as of November 30, 2013 and August 31, 2013, respectively 3 3 Additional paid-in capital 392,011 390,581 Tax benefit from stock-based compensation 8,016 8,016 Accumulated other comprehensive loss (40,326) (41,475) Retained earnings 165,303 143,871 Less: treasury stock at cost; 689,886 shares as of November 30, 2013 and August 31, 2013, respectively (19,947) (19,947) -------------- -------------- Total equity 505,060 481,049 -------------- -------------- Total Liabilities and Equity $ 880,562 $ 826,039 ============== ==============
For further information, please contact
John M. Heffner
Principal Financial Officer and Principal Accounting Officer
Things are changing so quickly in IoT that it would take a wizard to predict which ecosystem will gain the most traction. In order for IoT to reach its potential, smart devices must be able to work together. Today, there are a slew of interoperability standards being promoted by big names to make this happen: HomeKit, Brillo and Alljoyn. In his session at @ThingsExpo, Adam Justice, vice president and general manager of Grid Connect, will review what happens when smart devices don’t work togethe...
Jan. 21, 2017 02:30 PM EST Reads: 677
"There's a growing demand from users for things to be faster. When you think about all the transactions or interactions users will have with your product and everything that is between those transactions and interactions - what drives us at Catchpoint Systems is the idea to measure that and to analyze it," explained Leo Vasiliou, Director of Web Performance Engineering at Catchpoint Systems, in this SYS-CON.tv interview at 18th Cloud Expo, held June 7-9, 2016, at the Javits Center in New York Ci...
Jan. 21, 2017 01:45 PM EST Reads: 5,774
The 20th International Cloud Expo has announced that its Call for Papers is open. Cloud Expo, to be held June 6-8, 2017, at the Javits Center in New York City, brings together Cloud Computing, Big Data, Internet of Things, DevOps, Containers, Microservices and WebRTC to one location. With cloud computing driving a higher percentage of enterprise IT budgets every year, it becomes increasingly important to plant your flag in this fast-expanding business opportunity. Submit your speaking proposal ...
Jan. 21, 2017 01:45 PM EST Reads: 5,267
@DevOpsSummit taking place June 6-8, 2017 at Javits Center, New York City, is co-located with the 20th International Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. @DevOpsSummit at Cloud Expo New York Call for Papers is now open.
Jan. 21, 2017 01:45 PM EST Reads: 3,620
SYS-CON Events announced today that Dataloop.IO, an innovator in cloud IT-monitoring whose products help organizations save time and money, has been named “Bronze Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Dataloop.IO is an emerging software company on the cutting edge of major IT-infrastructure trends including cloud computing and microservices. The company, founded in the UK but now based in San Fran...
Jan. 21, 2017 01:15 PM EST Reads: 2,607
20th Cloud Expo, taking place June 6-8, 2017, at the Javits Center in New York City, NY, will feature technical sessions from a rock star conference faculty and the leading industry players in the world. Cloud computing is now being embraced by a majority of enterprises of all sizes. Yesterday's debate about public vs. private has transformed into the reality of hybrid cloud: a recent survey shows that 74% of enterprises have a hybrid cloud strategy.
Jan. 21, 2017 12:45 PM EST Reads: 4,378
In the next five to ten years, millions, if not billions of things will become smarter. This smartness goes beyond connected things in our homes like the fridge, thermostat and fancy lighting, and into heavily regulated industries including aerospace, pharmaceutical/medical devices and energy. “Smartness” will embed itself within individual products that are part of our daily lives. We will engage with smart products - learning from them, informing them, and communicating with them. Smart produc...
Jan. 21, 2017 12:15 PM EST Reads: 1,768
Internet of @ThingsExpo, taking place June 6-8, 2017 at the Javits Center in New York City, New York, is co-located with the 20th International Cloud Expo and will feature technical sessions from a rock star conference faculty and the leading industry players in the world. @ThingsExpo New York Call for Papers is now open.
Jan. 21, 2017 12:15 PM EST Reads: 3,737
Providing the needed data for application development and testing is a huge headache for most organizations. The problems are often the same across companies - speed, quality, cost, and control. Provisioning data can take days or weeks, every time a refresh is required. Using dummy data leads to quality problems. Creating physical copies of large data sets and sending them to distributed teams of developers eats up expensive storage and bandwidth resources. And, all of these copies proliferating...
Jan. 21, 2017 11:45 AM EST Reads: 4,135
SYS-CON Events announced today that Catchpoint, a leading digital experience intelligence company, has been named “Silver Sponsor” of SYS-CON's 20th International Cloud Expo®, which will take place on June 6-8, 2017, at the Javits Center in New York City, NY. Catchpoint Systems is a leading Digital Performance Analytics company that provides unparalleled insight into your customer-critical services to help you consistently deliver an amazing customer experience. Designed for digital business, C...
Jan. 21, 2017 11:45 AM EST Reads: 1,847
SYS-CON Events announced today that Catchpoint Systems, Inc., a provider of innovative web and infrastructure monitoring solutions, has been named “Silver Sponsor” of SYS-CON's DevOps Summit at 18th Cloud Expo New York, which will take place June 7-9, 2016, at the Javits Center in New York City, NY. Catchpoint is a leading Digital Performance Analytics company that provides unparalleled insight into customer-critical services to help consistently deliver an amazing customer experience. Designed ...
Jan. 21, 2017 11:30 AM EST Reads: 6,435
More and more brands have jumped on the IoT bandwagon. We have an excess of wearables – activity trackers, smartwatches, smart glasses and sneakers, and more that track seemingly endless datapoints. However, most consumers have no idea what “IoT” means. Creating more wearables that track data shouldn't be the aim of brands; delivering meaningful, tangible relevance to their users should be. We're in a period in which the IoT pendulum is still swinging. Initially, it swung toward "smart for smart...
Jan. 21, 2017 11:30 AM EST Reads: 2,806
“DevOps is really about the business. The business is under pressure today, competitively in the marketplace to respond to the expectations of the customer. The business is driving IT and the problem is that IT isn't responding fast enough," explained Mark Levy, Senior Product Marketing Manager at Serena Software, in this SYS-CON.tv interview at DevOps Summit, held Nov 4–6, 2014, at the Santa Clara Convention Center in Santa Clara, CA.
Jan. 21, 2017 11:30 AM EST Reads: 11,599
WebRTC sits at the intersection between VoIP and the Web. As such, it poses some interesting challenges for those developing services on top of it, but also for those who need to test and monitor these services. In his session at WebRTC Summit, Tsahi Levent-Levi, co-founder of testRTC, reviewed the various challenges posed by WebRTC when it comes to testing and monitoring and on ways to overcome them.
Jan. 21, 2017 11:15 AM EST Reads: 6,119
The emerging Internet of Everything creates tremendous new opportunities for customer engagement and business model innovation. However, enterprises must overcome a number of critical challenges to bring these new solutions to market. In his session at @ThingsExpo, Michael Martin, CTO/CIO at nfrastructure, outlined these key challenges and recommended approaches for overcoming them to achieve speed and agility in the design, development and implementation of Internet of Everything solutions with...
Jan. 21, 2017 10:00 AM EST Reads: 5,675