PriceSmart(PSMT) - 2025 Q1 - Quarterly Results

Financial Performance - Total revenues for Q1 FY2025 increased by 7.8% to $1.26 billion compared to $1.17 billion in the same period last year[3] - Net merchandise sales grew by 7.8% to $1.22 billion from $1.14 billion in Q1 FY2024, with a constant currency increase of 8.2%[3] - Operating income for Q1 FY2025 was $58.3 million, slightly up from $58.2 million in the prior year[6] - Net income decreased by 1.6% to $37.4 million, or $1.21 per diluted share, compared to $38.0 million, or $1.24 per diluted share, in Q1 FY2024[6] - Adjusted EBITDA for Q1 FY2025 was $79.1 million, an increase from $77.8 million in the same period last year[6] - Membership income increased to $20.2 million from $17.7 million year-over-year[13] - Adjusted EBITDA for the three months ended November 30, 2024, was $79,117,000, compared to $77,770,000 for the same period in 2023, reflecting an increase[17] - Net merchandise sales for the three months ended November 30, 2024, reached $1,223,859,000, representing a growth rate of 7.8%[19] - On a constant currency basis, net merchandise sales increased to $1,228,528,000, with a growth rate of 8.2%[19] - Comparable net merchandise sales growth for the thirteen weeks ended December 1, 2024, was 5.7%, with a constant currency growth rate of 6.1%[20] Currency Impact - Foreign currency exchange rate fluctuations negatively impacted net merchandise sales by $4.7 million, or 0.4%[3] - The unfavorable impact of foreign currency exchange on net merchandise sales was $(4,669,000), equating to a decrease of 0.4%[19] - The company highlighted the impact of transaction costs related to currency conversion and foreign currency revaluation on financial results[17] Operational Metrics - The company operated 54 warehouse clubs as of November 30, 2024, up from 53 clubs a year earlier[4] - PriceSmart plans to open two new warehouse clubs in Costa Rica and Guatemala in 2025, increasing total clubs to 56[9] Expenses and Adjustments - Adjustments to net income included interest expense of $2,695,000 and a provision for income taxes of $13,496,000 for the three months ended November 30, 2024[17] - Depreciation and amortization for the same period amounted to $20,862,000, up from $19,494,000 in 2023[17] - Interest income for the three months ended November 30, 2024, was $(2,220,000), compared to $(2,866,000) in 2023[17] - Other net expenses for the period were $6,856,000, significantly higher than $2,126,000 in the previous year[17]