Investor Information
News Releases - 2004
Home > Investors > News Releases > 2004 >Liquidation World Increases Annual Revenue By 7.9%
Calgary, October 8, 2004
(LQW: TSX) – Liquidation World Inc. announces that revenue for the fourth quarter of fiscal 2004 totaled $44.8 million, an increase of 6.7% from the same period last year.
Revenue for fiscal 2004, the 52 weeks ending October 3, 2004, is $184.0 million, an increase of 7.9% from fiscal 2003. Complete financial results for fiscal 2004 will be announced in mid-December.
“We’re pleased with these results,” says Senior Executive Vice-President and Co-CEO Darren Gillespie.
“An annual revenue increase of 7.9% shows that our strategy of concentrating on our retail operations is starting to pay off, and it puts us in a great position to go forward and really build on that momentum.”
Liquidation World also announces the divestiture of its 50% interest in Product Management Corporation (PMC), a Brampton, Ont., company that provides reverse logistics, processing and secure destruction services. PMC acquired Liquidation World’s interest for $725,000, creating a nominal loss for Liquidation World Inc. in the fourth quarter.
“We announced in August that we intended to focus on our retail operations, and the sale of our interest in PMC completes our divestiture goals and will enable us to focus on increasing revenue on a same-store basis, expanding our markets, enhancing our customers’ shopping experience and improving the operational excellence of our core business,” says Gillespie.
As part of Liquidation World’s new focus, it opened in two new outlets this past September in Aldergrove, BC, and Brantford, Ont. An outlet in Wallaceburg, Ont., will open in November 2004 and leverage off the Company’s existing infrastructure in southwestern Ontario.
About Liquidation World
Liquidation World Inc. offers a uniquely diversified menu of solutions for organizations with asset recovery issues. Services include auctions, store closure sales management and retail liquidations of consumer merchandise through 102 outlets across Canada and the United States. Liquidation World solves asset recovery problems in a professional manner for the financial services industry, insurance companies, manufacturers and other organizations. Liquidation World opened its first retail outlet in 1986 and is now the largest liquidator in Canada, with more than 1,600 employees.
This release includes forward-looking statements and potential future circumstances and developments. Forward-looking statements regarding future performance are subject to risks and uncertainties, and actual results may differ materially. Due to fluctuations in gross margins and other expenses, an increase in revenue does not necessarily lead to an increase in net earnings.
For more information, please contact:
Mr. Darren Gillespie, Senior Executive Vice President & Co-C.E.O.
E-mail: darreng@liquidationworld.com
Website: www.liquidationworld.com
Telephone (604) 589-7111, ext. 223
Fax: (604) 583-2255
Mr. Andrew Searby, C.A., Executive Vice President and CFO
E-mail: investorinfo@liquidationworld.com
Website: www.liquidationworld.com
Telephone (403) 250-1222
Fax: (403) 291-1306