TORONTO — Sleep Country Canada Holdings Inc. says its net income surged in the first quarter as sales grew even though its stores were closed for more days than a year ago.
The Toronto-based retailer says it earned $8.7 million or 24 cents per share for the period ended March 31, up from $5 million or 14 cents per share a year earlier.
Adjusted profits increased 57.5 per cent to $9.6 million or 26 cents per diluted share, compared with $6.1 million or 17 cents per share in the first quarter of 2020.
Revenues were $183 million, up 20.7 per cent from $151.6 million, as same-store sales increased almost 20 per cent.
Stores were closed for 33 per cent of operating days due to government-mandated closures, up from 10.2 per cent in the same quarter of 2020.
Sleep Country, Dormez-vous and Endy posted its fourth consecutive quarter of triple-digit e-commerce sale growth as online sales represented 29 per cent of total sales.
The company was expected to report 21 cents per share in adjusted profits on $158.1 million of revenues, according to financial data firm Refinitiv.
"This quarter again demonstrated the power and efficacy of our strategy in delivering sustained, profitable growth and serving Canadians' sleep needs, as illustrated by our impressive increases in revenue and net income," stated CEO Dave Friesema.
Sleep Country added two stores, bringing its total to 283 across the country.
This report by The Canadian Press was first published May 10, 2021.
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The Canadian Press