Feb 28, 2022

Pricesmart Q2 2022 Earnings Report

Achieved record second quarter with net merchandise sales exceeding $1 billion, driven by sales growth and comparable sales growth.

Key Takeaways

PriceSmart reported a record second quarter in fiscal year 2022, with net merchandise sales surpassing $1 billion for the first time. The company saw a 12.6% increase in net merchandise sales and a 10.3% increase in comparable net merchandise sales compared to the previous year. The membership base and renewal rate reached all-time highs, and operating income increased by 7.4%.

Net merchandise sales exceeded $1 billion, a company record.

Net merchandise sales grew by 12.6% compared to the same period last year.

Comparable net merchandise sales increased by 10.3%.

Membership base and renewal rate reached record levels.

Total Revenue
$1.04B
Previous year: $938M
+10.8%
EPS
$1.03
Previous year: $0.92
+12.0%
Gross Profit
$177M
Previous year: $167M
+5.9%
Cash and Equivalents
$179M
Previous year: $180M
-0.8%
Free Cash Flow
-$25.3M
Previous year: $21.5M
-217.8%
Total Assets
$1.77B
Previous year: $1.63B
+8.7%

Pricesmart

Pricesmart

Forward Guidance

PriceSmart plans to open its second club in Jamaica and is investing in enhancing membership benefits and PriceSmart.com to drive growth and engagement.

Positive Outlook

  • Expanding real estate footprint with a new club in Jamaica.
  • Enhancing member benefits through Wellness and other initiatives.
  • Increasing incremental sales through PriceSmart.com.
  • Growing engagement with members through their digital presence.
  • Investments in growth drivers providing positive momentum and results.

Challenges Ahead

  • Facing supply chain issues.
  • Adverse changes in economic conditions in the Company’s markets.
  • Volatility in currency exchange rates and illiquidity of certain local currencies in our markets.
  • Competition and consumer spending patterns.
  • Political instability.