Alimentation Couche-Tard Exceeds Analysts Estimates With US$1.4 Billion EBITDA In Fiscal Q1 2022

Alimentation Couche-Tard Inc. (TSX: ATD.B) reported on Tuesday its financial performance for the fiscal first quarter ending July 18, 2021. The results highlighted a quarterly EBITDA of US$1.359 billion, exceeding analysts’ estimates and beating by a hairline margin its Q1 2021 EBITDA of US$1.357 billion.

Quarterly topline revenue figure ended at US$13.6 billion, up from Q1 2021’s revenue of US$9.7 billion. The company relayed that the revenue boost is mainly attributable to a higher average road transportation fuel price, higher fuel demand, as well as the net positive impact of translating its revenues to US dollars.

However, the operating profit margin came in at 7.7%, marginally down from last year’s 10.9%. This is mainly due to an 11.3% year-on-year increase in total expenses brought by an increased level of marketing activities and other discretionary expenses.

Corollary, net earnings for the quarter ended at US$764.4 million compared to US$777.1 million for the same period last year. This translates to US$0.71 earnings per share, also exceeding analysts’ estimates.

Calibrating for financial items, adjusted EBITDA for the quarter came in at US$1.360 billion, marginally down from last year’s US$1.361 billion.

The company ended the quarter with a cash and cash equivalents balance of US$3.4 billion coming from a starting balance of US$3.0 billion. This led to a current assets balance of US$7.9 billion while its current liabilities ended at US$5.3 billion.

Alimentation Couche-Tard last traded at $50.98 on the TSX.

Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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