MONTREAL — Sportscene Group released its financial results for the third quarter ended May 30, 2021.
The COVID-19 pandemic and resulting lockdown measures made for a significant slowdown in the third quarter of 2021. Consolidated revenues stood at $13.8 million, a decrease of 17.1 per cent from the same quarter of the previous fiscal year. Moreover, because majority of the dining rooms were closed during this period, revenues from restaurant activities decreased by 34.5 per cent to $4.7 million. Due to supply chain issues, retail revenues dropped by 5.9 per cent to $8 million.
Additionally, consolidated adjusted EBITDA for the third quarter was $2.1 million, an increase of 227.3 per cent compared to a loss of $1.6 million. This spike is a result of government assistance programs as well as efforts to reduce expenses.
Sportscene ended the third quarter of fiscal 2021 with a net loss of $0.4 million or $0.05 per share, compared to a net loss of $7.1 million or $0.83 per share in the same quarter last year.
In comparison to its financial performance for the first nine months of the fiscal year, Sportscene’s year-to-date consolidated revenues dropped by 53.9 per cent to $41.3 million compared to the first three quarters of last year. Consolidated adjusted EBITDA for the first nine months was $4.8 million, marking a 35 per cent reduction.
As a result, Sportscene ended the first three quarters of fiscal 2021 with a net loss of $1.8 million or $0.21 per share compared to a net loss of $4.7 million or $0.54 per share for the same period last year.
“Thanks to the diversification of our activities and the support of various government programs, we’ve been through the worst of the health crisis while maintaining our financial health,” says Jean Bédard, president and CEO. “We continue to face various structural challenges, including workforce availability and supply chain issues, however, we’re emerging from this unprecedented situation with an enhanced off-premise dining offering, a well-established grocery store distribution network and an improved local supply strategy. We’re also encouraged to see that our clientele is eager to return as we gradually re-open our dining rooms.”