1. News
June 29, 2022

Couche-Tard records 37.3% full-year revenue growth in FY22

The company suspended operations at its 38 stores in Russia in April due to the country's invasion of Ukraine.

Canadian convenience store operator Alimentation Couche-Tard has reported a C$17.0bn ($13.2bn) increase in revenue for the fiscal year 2022 (FY22), up by 37.3% year-on-year.

During the year, the retailer’s merchandise and service revenues grew by C$730.8m compared with the fiscal year 2021 (FY21).

Its net earnings for FY22 dropped by C$22.2m to C$2.7bn, representing a 0.8% decrease from the prior year, while its adjusted earnings increased by 2.0% to C$2.8bn.

Couche-Tard’s net earnings per diluted share (EPS) rose to C$2.52 from C$2.44 in FY21.

For the fourth quarter (Q4), which ended on 24 April, the retailer’s revenue increased by C$4.2bn, or 34.3%, to C$16.4bn year-on-year.

During this period, its total merchandise and service revenues for the company increased to C$3.8bn.

Couche-Tard’s same-store merchandise revenues increased by 6.2% in Europe and ‘other regions’, rising by 2.3% and 0.1% in the US and Canada respectively.

The company’s Q4 net earnings were C$477.7m, down 15.3% from C$563.9m in the same period of FY21.

Its EPS also decreased to C$0.46 in the quarter, against C$0.52 in Q4 2021.

Couche-Tard chief financial officer Claude Tessier said: “Our results for both the fourth quarter and FY22 have exceeded our expectations on many fronts, especially in light of a challenging global environment.

“Inflation was particularly notable during the fourth quarter, impacting all aspects of our business.

“We, once again, diligently managed through these challenging conditions and were able to mitigate the impacts from a higher inflation level and continued pressure on wages.

“As we look ahead to fiscal 2023, our healthy financial position and strong capital structure, including our newly implemented US Commercial Paper Programme, position us well to continue delivering strong results and return further value to our shareholders as we remain focused on our ambitious double-again strategy.”

In April, Couche-Tard suspended operations at its 38 stores in Russia in response to the country’s aggression against Ukraine.