Easyhome 4Q revenues up 9.3%
By Furniture Today Staff -- Furniture Today, March 7, 2004
EDMONTON, Alberta — Easyhome, this country's largest rent-to-own furniture, bedding and appliance merchant, said fourth-quarter revenues were up 9.3% to C$20.7 million, as same-store revenues rose 7.7%.
Net income for the former RTO Enterprises surged 94.9% over the previous year's final quarter to C$1.7 million. Much of the increase was attributed to changes in the Ontario tax rate.
For the year, revenues were C$78.7 million, up 8.7% from C$72.4 million in 2002. Year-over-year same-store revenue increased 5.9%. Net income advanced 57.3% to C$4.1 million.
"The second half of 2003 included the first two full quarters operating under the Easyhome brand, and they have been the most successful quarters in the company's history," said David Ingram, president and CEO.
"We have achieved year-over-year revenue growth for nine successive quarters and continued the trend of improved income before taxes that began 11 quarters ago," he said. "Since our single-brand transition, these growth trends have accelerated. Our operational leadership combined with our new national brand make us well poised to take advantage of improving demand and under-capacity that exists across Canada."
With the conversion to the Easyhome banner complete, the company shifted its focus to strategic expansion in the fourth quarter, opening three new stores in November.
The company will continue its steady growth, with plans to open 12 stores this year, Ingram said.
During the fourth quarter, Easyhome completed an equity offering of 1.6 million common shares at $8.50 each for gross proceeds of $13.9 million, which was used to redeem all outstanding preferred shares and reduce its line of credit. Easyhome said its debt-to-equity ratio is now less than 10%.
| • Easyhome(a) | |||
|---|---|---|---|
| Earnings per share are fully diluted. | |||
| Quarter ended 12/31 | 2003 | 2002 | Change |
| (a) In Canadian dollars. (b) Includes non-rental revenues of C$3.4 million in the 2003 quarter, C$3 million in the 2002 quarter, C$12.6 million in the 2003 year and C$10.4 million in the 2002 year. (c) Revenues minus salaries and benefits, SG&A, occupancy costs, automotive and travel and amortization of rental assets. (d) Excludes preferred dividends of C$83,000 in the 2003 quarter and C$308,000 in the 2003 year. |
|||
| Revenues (b) | C$20,664,000 | C$18,914,000 | 9.3% |
| Operating income (c) | 2,813,000 | 1,942,000 | 44.9% |
| Net income | (d)1,659,000 | 851,000 | 94.9% |
| Earnings per share | 0.30 | 0.18 | 66.7% |
| Year ended 12/31 | 2003 | 2002 | Change |
| Revenues (b) | C$78,718,000 | C$72,437,000 | 8.7% |
| Operating income (c) | 9,409,000 | 6,929,000 | 35.8% |
| Net income | (d)4,118,000 | 2,618,000 | 57.3% |
| Earnings per share | 0.76 | 0.54 | 40.7% |
-
Easyhome's 2Q profits skyrocket 215.4%
Sep 19, 2004 -
Easyhome 3Q revenues up 14%, profits soar 243.6%
Dec 19, 2004 -
Easyhome keeps growing with 17.6% 3Q gain
Dec 10, 2006 -
Easyhome sales up 16.4%, but profit dips
Dec 18, 2005 -
Easyhome doubles profit in '04
Apr 3, 2005
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