Thursday, 10 November 2011 17:25

Boyd-Gerber-True2Form Group Reports 41% Sales Increase

Boyd Group Income Fund, operator of 166 auto body shops, reported its financial results for the three-month and nine-month periods ended September 30, 2011


  • Record sales and Adjusted EBITDA when compared to previous third quarter results
  • Sales increased by 41.1% to $97.3 million from $69.0 million in Q3 2010; True2Form Collision Repair Centers, Inc. ("True2Form"), Cars Collision Center of Colorado, LLC and Cars Collision Center, LLC, (collectively "Cars Collision"), and seven other new locations contributed $26.3 million of sales
  • Same-store sales increased by 8.7%, excluding the impact of foreign exchange translation
  • Gross margin increased to $43.5 million or 44.7% compared with $31.5 million or 45.7% in Q3 2010
  • Adjusted EBITDA1 totalled $6.4 million compared with $5.0 million in Q3 2010
  • Payout ratio was 24.9% compared with 16.9% in Q3 2010, due in part, to a higher level of distributions
  • The Fund completed a bought deal public offering, issuing 1,300,000 units out of treasury at a price of $10.75
  • On September 16, 2011, the Fund was added to the S&P/TSX SmallCap Index
  • Fund Trustees approved a 7.1% increase in distributions to $0.0375 per unit

"Results for the third quarter of 2011 are solid, driven by positive growth in same-store sales despite continued challenging market conditions," said Brock Bulbuck, President and Chief Executive Officer of the Boyd Group.  "Although unemployment and gas prices remained elevated and miles driven has continued to trend downwards, we have been able to grow revenue as a result of successful operational execution and superior industry position.  The completed acquisitions of Cars Collision and True2Form have proven to be incrementally positive to our business, meeting and exceeding our expectations.  As the largest multi-location collision operator in North America, both in annual sales and number of locations, we continue to look to leverage our scale to capitalize on attractive opportunities going forward.  The equity injection of approximately $12.7 million, net of costs, this quarter strengthens our balance sheet and puts us in an excellent position to execute on future opportunities"