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Tag: Birks Group

  • Here is why Birks Group Inc. (BGI) stock rallied on Wednesday?

    Here is why Birks Group Inc. (BGI) stock rallied on Wednesday?

    Birks Group Inc. (BGI) shares surged 70.21% in after-hours on Wednesday, June 30, 2021, and closed the day at $4.00 per share. Earlier, BGI’s stock remained unchanged in the morning session at $2.35. BGI shares have risen 201.36% over the last 12 months, and they have moved down by 9.62% in the past week. Over the past three months, the stock has lost 29.64%, while over the past six months, it has declined 161.11%.

    Recent business update

    On June 30, 2021, Birks Group Inc announced that its all stores across Canada are now open for in-person shopping and serving clients per the directives of local government and public health officials.

    Recent financial results announcement

    On June 17, 2021, Birks Group Inc released its financial results for the fiscal year ended March 27, 2021.

    FY-2021 financial highlights

    • For FY 2021, Birks Group Inc net sales were $143.1 million compared to $169.4 million for FY 2020.
      The gross profit was $ 56.4 million in FY 2021 compared to $64.5 million in FY 2020.
    • Total operating expenses were $59.2 million in the fiscal year ended March 27, 2021, compared to $71.02 million for FY 2020.
    • The company suffered a net loss of 8 million, or $0.32per share in FY 2021 compared to a net loss of $12.8 million, or $0.71 per share for fiscal 2020.
    • EBITDA was $2.6 million in FY 2021 compared to EBITDA of negative $1.7 million for fiscal 2020.
    • Adjusted EBITDA was $2.6 million for FY 2021 compared to a negative $1.4 million for FY 2020.

    FY2021 Holiday Period Sales Results

    On January 15, 2021, Birks Group Inc reported its sales results for the interim holiday sales period from November 1, 2020, through December 26, 2021.

    • Due to the current pandemic, net sales were 0.2% lower than last year in FY 2021 holiday period.
    • People did more online shopping which resulted in a 176% increase in e-commerce sales for the company during the holiday season.

    New Term Loan with Investissement Québec

    On July 9, 2021, Birks Group Inc closed a CAD$10 million subordinated secured term loan with Investissement Québec (“IQ”) on July 8, 2020. This new term loan was used to support the working capital needs of the Company following the impacts of COVID-19 and increases the Company’s borrowing capacity.

    Conclusion

    Well, the news of opening all of BGI stores across Canada took the BGI stock to new heights and it can resume its surge when the market will open on Thursday.

  • Why The Birks Group (BGI) Stock Was Up In Afterhours Trades?

    Birks Group Inc. (BGI) gained 6.84% to $2.50 during after-hours trading Friday. Shares of BGI were down 3.31 percent at $2.34 during the previous trading session. During the period, the company’s shares ranged from $2.19 to $2.49. The firm traded 0.29 million shares, below the daily average of 1.07 million equity shares it traded over the past hundred days. As of the last five days, BGI’s shares fell by 17.02 percent, but in the previous month they went down by 15.52 percent.

    What happened at BGI?

    Birks Group manufactures jewelry in addition to operating jewellery stores. They are a leading manufacturer and retailer of fine jewellery, watches, and gifts in Canada. In 2021, BGI plans to have 26 stores operating under the Maison Birks banner in most Canadian metropolitan areas, as well as a retail location in Calgary operating under the Brinkhaus banner, one in Vancouver operating under Graff and one in Vancouver operating under the Patek Philippe banner.

    The On Thursday, the Birks Group released its financial results for the fiscal year that ended on March 27, 2021.

    • The figures presented here are all in Canadian dollars.
    • Because the BGI had to close numerous stores at intermittent times throughout the year due to government restrictions, its financial results were significantly impacted by the COVID-19 pandemic during the fiscal year ended March 27, 2021.
    • Birks Group’s net sales dropped to $143.1 million with a decrease of $26.3 million, or 15.5%, compared to the fiscal year 2020.
    • COVID-19 negatively impacted BGI’s gross profit of $56.4 million, a decrease of $8.1 million, or 12.6%, compared to fiscal 2020.
    • For BGI, a gross profit percentage of 39.4% represents an increase of 130 basis points over fiscal 2020’s gross profit percentage of 38.1%.
    • As a result of its proactive management of the pandemic, Birks Group effectively controlled costs despite declining sales and gross profits volumes.
    • In fiscal 2021, total operating expenses fell by $11.8 million 16.6% over fiscal 2020 to $59.2 million.

    What’s still impacting BGI?

    Birks Group (BGI)’s fiscal 2021 EBITDA totaled $2.6 million, an increase of $4.3 million over the $1.7 million negative EBITDA for fiscal 2020. In June 2021, 20 of the BGI’s 29 stores were open, albeit with reduced hours of operation. As a result of a government order, BGI’s nine remaining stores in Ontario will be closed until at least July 6, 2021.