Boyd Group Reports 13.6 Percent Decrease in First-Quarter Sales

May 19, 2010

The Boyd Group, which owns Boyd Autobody and Glass, Gerber National Glass Services and Gerber Collision and Glass, saw a 13.6 percent drop in sales for the first quarter of 2010, when compared with the same period of 2009, according to its first-quarter report, released this week. Sales for the first quarter of 2010 were $54.7 million, compared with $63.3 million in the same period of 2009.

The company reported an adjusted EBITDA of $3.4 million for the quarter, down from last year’s $3.5 million—a decrease of 2.9 percent.

Net earnings were $1.9 million, down 5 percent from $2.0 million in 2009.

"We are pleased to report stable net earnings and EBITDA, as well as increased cash available for distribution to begin 2010, despite the negative impact of the weakening U.S. dollar on our U.S. operations and the continuing negative impact of the economy combined with extremely mild and dry winter weather in many of our northern markets during the quarter," says Brock Bulbuck, president and chief executive officer of the Boyd Group. "As a result of our operational efficiencies and cash flow strength, we have announced a further 4.8 percent increase in our monthly distributions, which represents the tenth consecutive quarterly increase."

He adds, "In addition to posting good results in a challenging market environment in the first quarter, we are also pleased with our progress in advancing both our operational and growth initiatives. In May 2010 we opened a new start-up facility in Georgia and acquired the assets and business of a collision repair facility in Oklahoma. We believe that, despite current market challenges, we are well positioned to benefit from long-term opportunities in our highly fragmented industry through consolidation and economies of scale."

Sales in the United States totaled $35.7 million in the first quarter of 2010, a decrease of $7.7 million, or 17.7 percent, over the same period in 2009. Same-store sales in the United States declined by $3.1 million (7.1 percent) when compared with the first quarter of 2009. The company attributes this drop to weak market conditions as well as mild and dry winter weather in the Northern markets.

CLICK HERE for full text of results.


Boyd Group's First-Quarter Results

 

2009

2010

Percent Change

Sales

$63.3 million

$54.7 million

-13.6 percent

EBITDA

$3.5 million

$3.4 million

-2.9 percent

Net Earnings

$2.0 million

$1.9 million

-5.0 percent

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