The chart below shows how SVV performed 10 days before and after its earnings report, based on data from the past quarters. Typically, SVV sees a +1.08% change in stock price 10 days leading up to the earnings, and a -6.87% change 10 days following the report. On the earnings day itself, the stock moves by +0.10%. This data can give you a slight idea of what to expect for the next quarter's release.
Positive
Steady Sales Growth: Our U.S. business remained steady and continued to generate positive comps sales growth, driven by increases in both transactions and average basket.
New Store Openings: We opened nine new stores in the quarter, and we are on track to deliver against our target of 29 new stores this year.
New Store Opening Plans: We also gained momentum on our new store opening plans for 2025.
Loyalty Member Sales Increase: Loyalty members accounted for 72% of our total sales in the quarter, up from 70% last year.
Strong EBITDA Margin: We delivered an adjusted EBITDA margin above 20%, which speaks to the resilience of our business model and our team's disciplined focus on execution.
Negative
Canadian Sales Decline: Our Canadian business continues to be impacted by the challenging macro environment with comparable sales declining 7.1% to $152 million and comparable store sales declining 7.5%.
Sales Performance Overview: Total net sales increased 0.5% to $395 million, but comparable store sales decreased 2.4%.
U.S. Segment Profit Decline: U.S. segment profit was $43.8 million, down $8.5 million versus last year due primarily to new stores and pre-opening expenses.
Canada Segment Profit Decline: Canada segment profit was $45.4 million, down $11 million versus last year, primarily due to comp store sales declines, new stores and pre-opening expenses.
Increase in Merchandise Costs: Cost of merchandise sold as a percentage of net sales increased 300 basis points to 43.3%, reflecting the impact of new stores and deleverage on lower comparable store sales.
Savers Value Village, Inc. (SVV) Q3 2024 Earnings Call Transcript
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