Kalkine Media - Summary
- The performance of retail companies can be a metric to analyze economic demand.
- Sleep Country (TSX:ZZZ), a retailer of mattresses and bedding-related products, reported a revenue of CA$ 206.5 million in Q1 2023.
- Taiga Motors, an off-road vehicle manufacturer, reported a revenue of CA$ 1.7 million for the first quarter of 2023.
Most retail companies have a smooth financial run across the year. However, unprecedented circumstances such as a recession or supply chain issues can sometimes lead these companies to endure financial strain.
Over the last few years, these organizations have largely switched to the e-commerce sector, which has further accelerated the growth of the retail sector. On that note, here are two TSX-listed retail stocks to investigate in June 2023.
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Sleep Country Canada Holdings Inc . (TSX: ZZZ)
For Q1 2023, the company reported a decline in revenue of CA$ 0.5 million to CA$ 206.5 million as compared to Q1 2022. The EBITDA also decreased by CA$ 4.5 million to CA$ 39.7 million in Q1 2023, as compared to Q1 2022.
Image source: ©2023 Kalkine®; Data source: Company Reports
The net income to the company was reported to be CA$ 11.3 million in Q1 2023.
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Taiga Motors Corp. (TSX: TAIG)
Taiga Motors reported a revenue of CA$ 1.7 million for the first quarter of 2023, as against CA$ 141,461 in Q1 2022. This represented 1123% increase in revenue, which was associated with delivery ramp up t 59 vehicles in Q1 2023 compared to 7 vehicles in Q1 2022.
Image source: ©2023 Kalkine®; Data source: Company Reports
The cash and cash equivalents for the quarter was CA$ 40.5 million as of March 31, 2023. Taiga also reported an increase in inventory to CA$ 24.3 million as at March 31, 2023.
Disclaimer:
Please note, the above content constitutes a very preliminary observation based on the industry and is of limited scope without any in-depth fundamental valuation or technical analysis. Any interest in stocks or sectors should be thoroughly evaluated taking into consideration the associated risks.