Dollarama Hits $1.12 Billion In Revenue, Positive Net Earnings In Fiscal Q3 2022

Dollarama Inc (TSX: DOL) announced today the financial results for the fiscal third quarter 2022 ended October 31, 2021. The company reported quarterly revenue of $1.12 billion, up from Q3 2021’s $1.06 billion.

The company is attributing the increase to the growth in its number of stores in the past 12 months, from 1,333 to 1,397 stores. The firm is also acknowledging the strong sales performance tied to the Halloween celebration.

The gross margin for the quarter came in at 44.4%, also an increase from last year’s 44.0%, attributable to a higher proportion of sales of high-margin seasonal products.

The firm ended the quarter with $183.4 million in net earnings compared to $161.9 million last year. This translates to $0.61 earnings per share.

At quarter’s end, the company’s cash balance ended at $97.0 million coming from a starting balance of $131.5 million at the beginning of the quarter, with the cash burn mainly attributable to the ongoing share buyback program. During Q3 2022, the firm repurchased 5.3 million shares at an average of $55.92 per share for a total of $294.5 million.

The balances of the current assets and current liabilities came in at $736.2 million and $558.7 million, respectively. The company also reported non-current liabilities worth $3.42 billion compared to total assets of $4.00 billion.

Dollarama last traded at $57.51 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.

Leave a Reply