de cotation: TORONTO
Furniture Limited (Leon’s) is a retailer of home furnishings across
Canada from Alberta to Newfoundland and Labrador. As of December 31,
2010, the Company owned a chain of 37 retail furniture stores operating
as Leon’s Furniture Home Super Stores and two retail stores under the
brand Appliance Canada. The Company has 25 franchisees operating 30
franchise stores. Leon’s operates two showrooms in the Province of
Ontario under the banner Appliance Canada, which sell appliances and
electronics to home builders and landlords, as well as merchandise to
the public. Leon’s also owns commercial real estate, which it leases to
third parties. Its main product lines consists of home furnishings,
major appliances and home electronics, which include accessories,
dining rooms, occasional furniture, microwaves, dryers, satellite
systems and home theaters. The Company’s subsidiaries include Murlee
Holdings Limited, Leon Holdings (1967) Limited and Ablan Insurance
Leon's Furniture Limited Releases Financial
Results for the Third Quarter Ended September 30, 2017
TORONTO, Nov. 14, 2017 /CNW/ - Leon's Furniture Limited ("Leon's" or
the "Company") (TSX: LNF), today announced financial results for the
third quarter 2017.
Highlights – Q3 2017
Total system wide sales1 grew 4.7% to $705,683,000 in Q3-2017 compared
to $673,897,000 in Q3-2016.
Revenue grew 3.3% to $594,589,000 in Q3-2017 compared to $575,724,000
Adjusted net income1 increased by 9.9% to $34,392,000 in Q3-2017
compared to $31,300,000 in Q3-2016.
Adjusted EBITDA1 increased 5.0% to $59,029,000 in Q3-2017 compared to
$56,202,000 in Q3-2016.
Adjusted diluted earnings per share1 grew 7.7% to $0.42 in Q3-2017
compared to $0.39 in Q3-2016.
Highlights – nine months ended September 30th
Total system wide sales1 grew 4.9% to $1,915,831,000 year to date
September 2017 compared to $1,826,832,000 year to date September 2016.
Revenue grew 3.9% to $1,616,361,000 year to date September 2017
compared to $1,555,355,000 year to date September 2016.
Adjusted net income1 increased by 20.9% to $62,902,000 year to date
September 2017 compared to $52,017,000 year to date September 2016.
Adjusted EBITDA1 increased 9.4% to $123,198,000 year to date September
2017 compared to $112,661,000 year to date September 2016.
Adjusted diluted earnings per share1 grew 20.0% to $0.78 year to date
September 2017 compared to $0.65 year to date September 2016.
1Refer to the non-IFRS financial measures section of this press release
"We are very proud of our management team and associates for generating
outstanding operating performance," said Edward Leon, President and
Chief Operating Officer. "Our proven strategy drove record sales in Q3,
while a focus on cost control once again produced strong bottom-line
growth over a solid 2016 comparison quarter. Leon's has a track record
of generating results for shareholders. In over 100 years of operation,
through various economic conditions, Leon's has consistently
produced profits. We are even more pleased that our profits in Q3, as
well as in the first nine months of 2017, are at record levels for the
Company. We are well-positioned for the future with a dominant,
national bricks and mortar presence (304 stores), an industry-leading
distribution network and rapidly growing ecommerce business. Our
home service subsidiary, Trans Global Service (TGS), with technicians
from coast to coast, are well positioned to serve the current and
future in-home service needs of all Canadian consumers. We have further
room to grow and drive cost savings throughout our network. In October,
we announced the opening of a state-of-the-art 432,000 sq. ft.
distribution centre in Delta, British Columbia which we expect will
generate further efficiencies as we grow our west coast presence and
serve as a model for the rest of our network."
The Company also announced today the retirement of Mr. Dominic
Scarangella, the current Chief Financial Officer and Executive Vice
President of The Company, effective December 31, 2017. We wish to
sincerely thank Dominic for thirty (30) years of service and
friendship. Mr. Constantine (Costa) Pefanis, who has worked under
Dominic for the past thirteen (13) years has been appointed to replace
him as Chief Financial Officer effective January 1, 2018.