The Brick Group Posts Year-End Results

March 21, 2006  by in UnCategorized   

By Home Furnishings Business in on March 2006 The Brick Group Income Fund, whose subsidiaries sell furniture, mattresses, appliances and electronics, is reporting lower earnings and same-store sales revenue for its fourth quarter.

The Edmonton, Alberta-based company said its adjusted earnings, before interest charges, taxes, depreciation and amortization, fell to $24.8 million from a year-earlier $26.4 million.

Retail sales for the quarter ended Dec. 31 declined $2.3 million.

"2005 was a year of many accomplishments," said Kim Yost, chief executive officer. "Consolidated adjusted sales and operating revenue of $1.23 billion was up $47.3 million, compared to 2004."

He also said the Brick Group expanded in the Quebec, opening an eighth store, rolled out its third HomeShow location and launched a specialty mattress chain, Sleep Better, with 11 new stores in the Toronto area.

In the fourth quarter, total same-store sales were down 1.8 percent.

Same-store sales declined 1.7 per cent for the year after adjusting for the decision to discontinue low-margin computer sales in late 2004.

"Same-store sales in Eastern Canada were down as a result of increased competition and a decline in the Quebec market, which experienced strong grand opening sales in 2004," Yost said.

The company announced a rebranding strategy earlier this year in which several United Furniture locations will be converted to Brick stores during the first half of this year.