Business
PriceSmart Announces Fiscal 2019 Second Quarter Operating Results
SAN DIEGO, April 9, 2019 /PRNewswire/ -- PriceSmart, Inc. (NASDAQ: PSMT), operator of 41 warehouse clubs in 12 countries and one U.S. territory, today
About this update from Pricesmart, Inc.
[{"type":"text","content":"SAN DIEGO, April 9, 2019 /PRNewswire/ -- PriceSmart, Inc. (NASDAQ: PSMT), operator of 41 warehouse clubs in 12 countries and one U.S. territory, today announced its results of operations for the second quarter of fiscal year 2019 which ended on February 28, 2019.\n\n \nTotal revenues for the second quarter of fiscal year 2019 increased 1.8% to $854.4 million compared to $839.6 million in the second quarter of the prior year. For the second quarter of fiscal year 2019, net merchandise sales increased 0.5% to $820.3 million from $816.6 million in the second quarter of fiscal year 2018. Foreign currency exchange rate fluctuations impacted net merchandise sales negatively by $29.9 million or 3.6% versus the same period in the prior year.\nThe Company had 41 clubs in operation as of February 28, 2019, compared to 40 warehouse clubs in operation as of February 28, 2018.\nComparable net merchandise sales, for warehouse clubs that have been open for greater than 13 ½ calendar months, decreased 0.9% for the 13-week period ended March 3, 2019 compared to the same period in the prior year. Foreign currency exchange rate fluctuations impacted comparable net merchandise sales negatively by $29.9 million or 3.7% versus the same period in the prior year.\nThe Company recorded operating income for the second quarter of fiscal year 2019 of $36.5 million, as compared to operating income of $37.3 million in the prior year period. Net income attributable to PriceSmart was $23.8 million, or $0.79 per diluted share, in the second quarter of fiscal year 2019. The second quarter fiscal 2019 earnings were negatively impacted by $4.2 million or $0.14 per share from costs related to investments to expand our omni-channel capabilities, together with net operating results of our marketplace and casillero business. A payment from a credit card processing vendor positively impacted earnings during this quarter by $1.6 million or $0.05 per share. Net income in the second quarter of fiscal year 2018 was $14.1 million, or $0.47 per diluted share. The second quarter fiscal 2018 earnings were negatively impacted by $0.42 per share primarily due to a one-time repatriation tax on unremitted foreign earnings (\"Transition Tax\"). \nThe Company reports comparable net merchandise sales on a \"same week\" basis with 13 weeks in each quarter beginning on a Monday and end...