RONA posts Q1 net loss
Boucherville, Quebec-based RONA posted a first-quarter net loss of C$16.8 million, down C$19.8 million from the same period last year.
First-quarter revenues totaled C$918.2 million, down 4.0% from the year-ago period. Same-store sales were down 12.6%. The company cited a 6.2% decrease in Retail and Commercial segment revenues, offset by a 1.7% increase in Distribution segment revenues as the reason for the decrease.
“Very unfavorable weather conditions, fragile consumer confidence, and a lack of tax-credit-driven market stimulation, items outside of our control, were all factors that significantly impacted our first-quarter results,” said Robert Dutton, president and CEO of RONA.
However, the company’s strong performance in its commercial and professional division and recruitment of new dealers and expansion projects completed by its affiliated dealers partially mitigated the negative effects of these elements. Other mitigating factors include the RONAdvantages program and its private-brand and controlled-brand products.