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LFL, Canada's Largest Home Retailer, Releases Financial Results for the Second Quarter Ended June 30, 2023
Toronto, Ontario--(Newsfile Corp. - August 9, 2023) - Leon's Furniture Limited  (TSX: LNF) ...
About this update from Leon's Furniture Limited
[{"type":"text","content":"LFL, Canada's Largest Home Retailer, Releases Financial Results for the Second Quarter Ended June 30, 2023Toronto, Ontario--(Newsfile Corp. - August 9, 2023) - Leon's Furniture Limited (TSX: LNF) (\"LFL\" or the \"Company\"), today announced financial results for the quarter ended June 30, 2023.Financial Highlights - Q2-2023 (All comparisons are made to Q2-2022 unless otherwise indicated)Total system sales in the quarter were $717.6 million, a decrease of 8.5%.Revenue for the quarter was $593.8 million, a decrease of 8.2%.Gross profit margin in the quarter increased 12 basis points to 43.94% due to a favorable product mix and reduced inbound freight.Adjusted EBITDA(1) decreased from $95.9 million to $68.1 million in the period, primarily due to lower sales.Adjusted net income(1) for the quarter totaled $28.0 million, a decrease of 41.1%.Adjusted diluted earnings per share(1) decreased by 41.4% to $0.41 in Q2 2023.Cash provided by operating activities was $54.7 million for the second quarter in comparison to a cash outflow of $13.2 million.The Company repaid $14.4 million in long-term debt during the period, resulting in a net debt balance of $26.9 million as at June 30, 2023.At June 30, 2023, unrestricted liquidity was $306.2 million, comprised of cash, cash equivalents, debt and equity instruments and the undrawn revolving credit facility.Subsequent to the quarter ended June 30, 2023, the Company completed an amendment to its existing credit agreement to improve various terms and extend the term to May 31, 2025.Second Quarter - 5 Year Financial Performance of LFLTo view an enhanced version of this graphic, please visit:https://images.newsfilecorp.com/files/4576/176520_chart1.jpg(1) For a full explanation of the Company's use of non-IFRS and supplementary financial measures, please refer to the sections of this press release with the headings \"Non-IFRS Financial Measures\" and \"Supplementary Financial Measures\".Mike Walsh, President and CEO of LFL, commented, \"While macro-pressures remain and have impacted our results in the quarter including lower sales and higher financing costs, they seem to be stabilizing. Exiting Q2 we began to see some improvement in consumer demand, which has carried over into early Q3, giving us a more positive outlook for the second half of the year. LFL is very well positioned going into the b...