Press Release: BMTC GROUP INC. ANNOUNCES FINANCIAL RESULTS FOR THE YEAR ENDED JANUARY 31st, 2026

Dow Jones04-25

MONTREAL, April 24, 2026 /CNW/ -

Results

For the year ended January 31, 2026, the Company's revenues increased by $16,890,000 to $619,591,000 compared to $602,701,000 recorded for the corresponding year of 2025, an increase of 2.8%. This increase is primarily attributable to the growth in commercial revenue from the Tanguay division, whose revenue rose by $20,123,000 or 3.4%. Same-store sales increased by 3.6% during the year. Investment property revenue from the real estate division declined by ($3,233,000) compared with the corresponding year in 2025, representing a decrease of (92.9%).

Net earnings for the year ended January 31, 2026, amounted to $33,557,000 compared to the net earnings of $43,909,000 recorded for the corresponding year in 2025. Basic net earnings per share amounted to $1.05 compared to $1.35 recorded for the corresponding year in 2025.

Adjusted net earnings amounted to $33,557,000 for the year ended January 31, 2026, compared with $34,665,000 for the corresponding year of 2025.

During the year ended January 31, 2025, the Company disposed of assets related to the Tanguay division for a total amount of $13,427,000, resulting in a net gain after taxes of $9,244,000, representing $0.28 per basic share. This amount includes a net gain after taxes of $2,097,000, or $0.07 per basic share, received as an additional settlement following a favorable ruling in connection with the expropriation of the former Kirkland store by the Réseau express métropolitain $(REM)$ in 2019. This amount also includes the sale of its Trois-Rivières store for $4,500,000, resulting in a net gain after taxes of $3,362,000, or $0.10 per basic share. Finally, this amount includes the sale of its Brossard store, an asset classified as held for sale, for $6,510,000, resulting in a net gain after taxes of $3,785,000, or $0.11 per basic share.

The variation in adjusted net earnings related to non-recurring items amounted to ($1,108,000), or ($0.02) per basic share, for the year ended January 31, 2026, compared with the year ended January 31, 2025, as explained below:

 
                             ($ in thousands) 
                             January 31, 2026   January 31, 2025 
 Net earnings                           33 557            43 909 
Gain on disposal of fixed 
 assets (after-tax)                          -           (9 244) 
Adjusted net earnings                   33 557            34 665 
Minus: Adjusted net 
 earnings for the previous 
 year                                   34 665 
 
Variation                              (1 108) 
 

The variations in net adjusted earnings is allocated as follows:

 
                ($ in thousands) 
                                          Increase     Increase 
               Increase      Increase     (decrease)   (decrease) 
                (decrease)   (decrease)   in           in adjusted 
                                          investment 
               in retail     in           properties    net earnings 
               operations    investments 
As at April 
 30, 2025             5 677     (16 773)      (3 298)       (14 394) 
As at July 31, 
 2025                   936        6 373      (4 277)          3 032 
As at October 
 31, 2025           (3 786)        7 989        1 297          5 500 
As at January 
 31, 2026             2 305        3 202        (753)          4 754 
Total                 5 132          791      (7 031)        (1 108) 
 

Retail division

Adjusted net income amounted to $11,250,000, an increase of $5,132,000 compared with the corresponding year in 2025.

During the year ended January 31, 2026, the Company announced its decision to change the way it carries out its distribution and warehousing activities in the Greater Montréal area by outsourcing these functions. This decision resulted in the recognition of severance costs totaling $9,441,000, or $6,939,000 after tax. This expense was offset by the defined benefit pension plans recovery totaling ($9,244,000), or ($6,794,000) after tax.

The positive variation in adjusted net income was primarily driven by sales growth of the Tanguay division, as well as the completion of the network revitalization program in 2025.

Investment division

Adjusted net income amounted to $35,414,000, an increase of $791,000 compared with the corresponding year in 2025. This positive variance is primarily attributable to the favorable performance of the stock markets during the year, which contributed to an increase in the net unrealized gain on financial assets.

Real estate division

Adjusted net loss amounted to ($13,107,000), representing an increase of $7,031,000 compared with the corresponding year in 2025. This variance is primarily attributable to the expansion and optimization work carried out during the year, which led to a temporary increase in operating expenses. The completion of these projects toward year--end should support a gradual improvement in financial performance. During the year ended January 31, 2026, the Company disposed of its former Economax store located in Kirkland for proceeds of $13,400,000, resulting in a net gain after taxes of $2,765,000, which contributed to reducing the adjusted net loss for the year.

Annual financial information

($ in thousands, except for per share amounts)

 
                                  January 31, 2026  January 31, 2025 
Revenue                                    619 591           602 701 
Net earnings                                33 557            43 909 
Total assets                               774 236           724 945 
 
Net earnings per share basic 
 and diluted                                  1,05              1,35 
Dividends per share                           0,36              0,36 
 

Financial position and dividends

Cash and investments, net of bank overdrafts, increased by $1,402,000 during the year ended January 31, 2026. This increase is mainly driven by unrealized gains recorded on investments compared to the corresponding year in 2025. Investments consist mainly of interest-bearing cash, common and preferred shares, which, as at the end of the year ended January 31, 2026, had a market value of $206,726,000 (including cash net of bank overdraft).

As at January 31, 2026, working capital was in a deficit position of ($2,443,000), representing a decrease in the deficit of $10,218,000 compared to January 31, 2025. Although the Company has a working capital deficit, it had an almost unused line of credit as at January 31, 2026, as well as interest-bearing cash within its investment portfolio. Management believes that these resources are sufficient to meet its liquidity needs and short-term financial obligations. Shareholders' equity increased from $529,507,000 as at January 31, 2025, to $584,415,000 as at January 31, 2026. As at January 31, 2026, the book value per share was $18.35, compared to $16.36 as at January 31, 2025.

Pursuant to the normal course issuer-bid put in place on April 15, 2024, and renewed on April 15, 2025, accordingly, 508,700 common shares were repurchased and cancelled by the Company. As a result of this change, the Company had, as at January 31,2026, 31,853,600 common shares issued and outstanding.

For the year ended January 31, 2026, no options were granted. The Company may still grant pursuant to the Stock Option Plan a total of 5,710,864 options, representing 17.93% of the issued and outstanding shares of the Company.

During the year, the company paid eligible dividends totaling $0.36 per share to holders of common shares registered on the company's register.

Quarterly results

($ in thousands, except for per share amounts)

 
                  April 30,    April 30,    July 31,     July 31, 
                  2025         2024         2025         2024 
 Revenue              150 124      137 144      179 251      169 394 
Net earnings         (12 933)        1 461       17 037       19 464 
Net basic 
 earnings per 
 share                 (0,40)         0,04         0,53         0,60 
 
 
                  October 31,  October 31,  January 31,  January 31, 
                         2025         2024         2026         2026 
 Revenue              145 349      143 781      144 867      152 382 
Net earnings           10 209        8 494       19 244       14 490 
Net basic 
 earnings per 
 share                   0,32         0,26         0,60         0,45 
 

For the three-month period ended January 31, 2026, the Company's revenues decreased by ($7,515,000) to $144,867,000, compared to $152,382,000 recorded for the corresponding 2025 period, a (4.9%) decrease. This decrease is mainly explained by a decline in commercial revenues from the Tanguay division, whose revenue decreased by ($7,616,000) or (5%). Same-store sales also decreased by (5%) during the period. Investment property revenue from the real estate division increased by $101,000 compared to the corresponding period in 2025.

Net earnings for the three-month period ended January 31, 2026, amounted to $19,244,000 compared to the net earnings of $14,490,000 recorded for the corresponding period of 2025. Basic net earnings per share for the three-month period ended January 31, 2026, amounted to $0.60 compared to $0.45 recorded for the corresponding period of 2025.

For the three--month period ended January 31, 2026, no adjustments were made, and adjusted net income therefore equaled net income. The variation in adjusted net earnings amounted to $4,754,000, or $0.15 per basic share, for the year ended January 31, 2026, compared with the year ended January 31, 2025, as explained below:

 
                           ($ in thousands) 
                           January 31, 2026   January 31, 2025 
 
Net earnings                          19 244            14 490 
Adjusted net earnings                 19 244            14 490 
Minus: Adjusted net 
 earnings for the 
 previous year                        14 490 
 
Variation                              4 754 
 
 

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