The COVID-19 pandemic definitely made an impact on industry companies, as was shown through the recent financial results for Boyd Group Services Inc. The company, which owns, Gerber Collision and Glass and Glass America, issued its financial results for the three and six month periods ended June 30, 2020. Still, the company’s CEO says the company and its team is resilient and is “well prepared to navigate through this challenging environment.”
The company reports sales decreased by 25.5% to $426.5 million from $572.5 million in the same period of 2019. Net earnings decreased 151.4% to a net loss of $7.1 million, compared with $13.7 million of net earnings in the same period of 2019.
“The proactive steps our team has taken throughout the second quarter of 2020 have allowed us to continuously adapt to the COVID-19 pandemic impacted environment in which we are currently operating and thereby demonstrate our resilience as a business and as a team,” said Tim O’Day, president and CEO of the Boyd Group. “Our efforts delivered positive operating cash flow, notwithstanding the substantial decline in the revenues caused by COVID-19.”
He reports that continual adjustments are necessary as demand changes and that the company is “beginning to evaluate growth opportunities as they emerge.”
“Boyd team members have continued to demonstrate exceptional perseverance and entrepreneurial spirit throughout these challenging times,” O’Day added. “I am extremely pleased that recent demand levels have allowed us to reinstate many of those who were laid off. As we return closer to normal levels of demand and many of our workforce and customers return to our locations, our priorities remain taking care of the health and safety of both our team members and our customers and preparing for the future that lies ahead.”
The COVID-19 pandemic continues to impact Boyd’s business. Thus far in the third quarter of 2020, same-store sales activity has continued below normal levels, approximately 14-16% below the same period of the prior year, according to the financial results.
“Our team has demonstrated that Boyd is well prepared to navigate through this challenging environment, scaling our business according to fluctuating levels of demand,” said O’Day. “Our capital raise, together with our revised credit agreement provides Boyd with available dry powder of over $1 billion. Boyd’s ample liquidity combined with our scalable operating model, will continue to allow us to adjust and adapt, and take advantage of market opportunities as they present themselves.”