Savers Value Village(US:SVV)2025-10-30 20:06Sales Performance - Total net sales increased by 8.1% to $426.9 million, with comparable store sales rising by 5.8%[5] - U.S. net sales grew by 10.5%, while comparable store sales increased by 7.1%; Canadian net sales rose by 5.1% with comparable store sales up by 3.9%[5] - Net sales for the thirteen weeks ended September 27, 2025, were $426,935,000, representing an increase from $394,797,000 for the same period in 2024, a growth of 8.9%[26] - Total net sales for the thirteen weeks ended September 27, 2025, increased by 8.1% to $426,935,000 from $394,797,000 in the prior year[36] - U.S. Retail segment net sales rose by 10.5% to $234,712,000, while Canada Retail segment net sales increased by 5.1% to $159,608,000 for the same period[36] - The company’s Canada Retail segment saw a net sales increase of 6.1% to $159,608,000 for the thirteen weeks ended September 27, 2025[52] - The company’s total net sales for the thirty-nine weeks ended September 27, 2025, were $1,214,288,000, reflecting an increase of $92,156,000 or 8.1% from $1,135,632,000 in the prior year[54] Financial Performance - Net loss was $14.0 million, or $0.09 per diluted share, impacted by a $32.6 million pre-tax loss on debt extinguishment[5] - Adjusted net income was $22.5 million, or $0.14 per diluted share, with Adjusted EBITDA at $70.0 million and a margin of 16.4%[5] - Operating income decreased to $36,341,000 for the thirteen weeks ended September 27, 2025, down from $48,638,000 in the prior year, reflecting a decline of 25.3%[26] - The net loss for the thirteen weeks ended September 27, 2025, was $14,003,000, compared to a net income of $21,681,000 for the same period in 2024, marking a significant shift in performance[26] - Adjusted net income for the thirteen weeks ended September 27, 2025, was $22,476,000, compared to $30,257,000 for the same period in 2024[39] - The company expects adjusted net income for the fiscal year ending January 3, 2026, to be between $71,000,000 and $75,000,000[42] - The diluted adjusted net income per share for the fiscal year ending January 3, 2026, is projected to be between $0.44 and $0.46[42] - The company reported a net income margin of (3.3)% for the thirteen weeks ended September 27, 2025, compared to 5.5% in the prior year[46] Debt and Financial Stability - Debt refinancing is expected to reduce annual interest expenses by approximately $17 million, enhancing financial stability[6] - The company incurred a loss on extinguishment of debt amounting to $35,339,000 during the thirty-nine weeks ended September 27, 2025, compared to $4,088,000 in the prior year[30] - The company incurred a loss on extinguishment of debt amounting to $32,621,000 for the thirteen weeks ended September 27, 2025[39] Assets and Liabilities - Total current assets decreased to $194,255,000 as of September 27, 2025, down from $230,224,000 at the end of December 2024, a decline of 15.6%[28] - Total liabilities increased to $1,545,663,000 as of September 27, 2025, compared to $1,463,815,000 at the end of December 2024, an increase of 5.6%[28] - The company’s accumulated deficit increased to $285,864,000 as of September 27, 2025, compared to $250,451,000 at the end of December 2024, an increase of 14.1%[28] - The company’s total assets grew to $1,960,286,000 as of September 27, 2025, up from $1,885,495,000 at the end of December 2024, an increase of 4.0%[28] Future Outlook - The fiscal 2025 outlook projects net sales between $1.67 billion and $1.68 billion, with adjusted net income expected to be between $71 million and $75 million[10] - Comparable store sales growth for fiscal 2025 is now estimated at 4.0% to 4.5%[10] - The company expects adjusted EBITDA for the fiscal year ending January 3, 2026, to be between $252 million and $257 million[49] Shareholder Actions - A new share repurchase program of up to $50 million has been authorized, effective from November 9, 2025[7] Operational Metrics - The company processed 282 million pounds in the thirteen weeks ended September 27, 2025, up from 261 million pounds in the same period of 2024[56] - The cost of merchandise sold per pound processed was $0.67 for the thirteen weeks ended September 27, 2025, compared to $0.65 in the same period of 2024[56]