Dollarama Inc. reported consolidated earnings results for the fourth quarter and full year ended February 3, 2013. For the quarter, the company reported sales increased by 19.9% to CAD 562 million from CAD 469 million in prior year. The increase in sales was fueled by the opening of 81 net new stores since January 29, 2012, bringing the total number of stores across Canada to 785 compared to 704 at the end of last year. Same-store sales increased by 4.6%, reflecting increased consumer demand for the higher price point items. Operating income was CAD 108,305,000 compared to CAD 91,383,000 last year. Earnings before income taxes were CAD 105,611,000 compared to CAD 88,331,000 last year. Net earnings were CAD 77,130,000 or CAD 1.04 per diluted share compared to CAD 63,607,000 or CAD 0.84 per diluted share last year. Normalized EBITDA was CAD 120,873,000 compared to CAD 100,104,000 last year. Normalized net earnings were CAD 78,407,000 compared to CAD 63,607,000 last year. Capital expenditures were CAD 22,524,000 compared to CAD 17,323,000 last year. Normalized diluted net earnings per share were increased by 26.2%, from CAD 0.84 to CAD 1.06. For the year, the company reported sales of CAD 1,858,818,000 compared to sales of CAD 1,602,827,000 for the same period a year ago. Operating income was CAD 315,893,000 compared to CAD 261,883,000 last year. Earnings before income taxes were CAD 305,054,000 compared to CAD 245,328,000 last year. Net earnings was CAD 220,985,000 or CAD 2.94 per diluted share compared to CAD 173,474,000 or CAD 2.30 per diluted share last year. Normalized EBITDA was CAD 360,011,000 compared to CAD 295,219,000 last year. Normalized net earnings were CAD 224,490,000 compared to CAD 173,474,000 last year. Capital expenditures were CAD 75,007,000 compared to CAD 52,957,000 last year. The company achieved a 6.5% increase in same-store sales for the full year, including a 2.1% increase in the number of customer transactions. Normalized diluted earnings per share increased 30% to CAD 2.99 from CAD 2.30 last year. Net debt was CAD 211,854,000 as on February 03, 2013 compared to CAD 204,726,000 last year. Cash flows from operating activities generated CAD 256.3 million in liquidity in fiscal 2013 representing an increase of CAD 83.2 million over fiscal 2012. This increase is mainly attributable to greater profitability and lower use of working capital through improved inventory management in fiscal 2013.

Dollarama Inc. announced that the Board of Directors approved a 27% increase of the quarterly dividend for holders of its common shares, from CAD 0.11 per common share to CAD 0.14 per common share. The increased dividend will be paid on May 7, 2013 to shareholders of record at the close of business on April 30, 2013 and is designated as an eligible dividend for Canadian tax purposes. The dividend is expected to remain at this new level subject to the Board of Directors' ongoing assessment of Dollarama's future requirements, financial performance, liquidity and outlook.

Dollarama Inc., Q4 2013 Earnings Call, Apr 12, 2013