In the second quarter of 2013, Groupe Bikini Village inc.'s sales declined compared to the second quarter of 2012. Market conditions remained difficult during the quarter, despite a favourable shift in the timing of the quarter caused by the 53rd week in the Corporation's fiscal 2012.
2013 second quarter and first six-month period results
Net sales for the second quarter and the first six-month period of fiscal 2013 were $11.4 million and $19.9 million, respectively, compared to $13.6 million and $23.3 million in the corresponding periods the previous year.
Sales decreased 14.7% in the first half of 2013. Due to the 53rd week in fiscal 2012, the comparable sales results (which compares sales from the same number of stores year-over-year) for the second quarter and the first half of fiscal 2013 are compared to 13- and 26-week periods ending August 4, 2012 as opposed to July 28, 2012.
Comparable sales, which compare the sales from the same number of stores year-over-year, decreased by 18.8% for the quarter and 13.4% for the six-month period, due to difficult market conditions for a swimwear retailer - in particular, unfavourable weather conditions and aggressive competition.
The Corporation reports an operating margin (EBITDA(1)) for the second quarter of $256,000 and an operating loss (EBITDA(1)) of $489,000 for the first six-month period of 2013, compared to operating margins (EBITDA(1)) of $1.5 million for the second quarter and $1.7 million for the first half of the previous year.
The decrease in the operating margin is due to lower sales volume caused by unfavourable weather conditions, and a decrease in gross margins owing to increased promotional activities.
For the quarter ended August 3, 2013, the Corporation's net loss was $133,000 (($0.07) per share, basic and diluted), as compared to net earnings of $748,000 ($0.39 per share, basic and diluted) for the same quarter in the previous year. For the six-month period ended on that date, net loss totalled $992,000 (($0.52) per share, basic and diluted), as compared to net earnings of $448,000 ($0.23 per share, basic and diluted) in the same period in 2012.
Groupe Bikini Village
Groupe Bikini Village inc., serving Canadians for more than a quarter-century, is a leader in the retail sale of beachwear products, with a network of new and renovated boutiques across Eastern Canada.
In its bright and inviting stores with comfortable change rooms and knowledgeable staff, Groupe Bikini Village helps its customers choose from among Canada's widest selection of swimsuits, beach and cruise wear and accessories, in the most popular brands the industry has to offer and in styles to suit every figure. Headquartered in Sainte-Julie, Quebec, Groupe Bikini Village operates 55 stores and employs approximately 450 people; its securities trade on the Toronto Stock Exchange under the stock symbol GBV.