UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM
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QUARTERLY REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the quarterly period ended
OR
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TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 |
For the transition period from _______ to
COMMISSION FILE NUMBER
(Exact name of registrant as specified in its charter)
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(State or other jurisdiction of incorporation or organization) |
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(Address of principal executive offices) |
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(Registrant’s telephone number, including area code)
Securities registered pursuant to Section 12(b) of the Securities Exchange Act of 1934:
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Title of each class | Trading Symbol | Name of each exchange on which registered |
Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports); and (2) has been subject to such filing requirements for the past 90 days.
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No ¨ |
Indicate by check mark whether the registrant has submitted electronically every Interactive Data File required to be submitted pursuant to Rule 405 of Regulation S-T (232.405 of this chapter) during the preceding 12 months (or for such shorter period that the registrant was required to submit such files).
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No ¨ |
Indicate by check mark whether the registrant is a large accelerated filer, an accelerated filer, a non-accelerated filer, smaller reporting company, or an emerging growth company. See the definitions of “large accelerated filer,” “accelerated filer,” “smaller reporting company,” and “emerging growth company” in Rule 12b-2 of the Exchange Act. (Check one):
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| Accelerated filer ¨ | |
Non-accelerated filer ¨ |
| Smaller Reporting Company |
| Emerging growth company |
If an emerging growth company, indicate by check mark if the registrant has elected not to use the extended transition period for complying with any new or revised financial accounting standards provided pursuant to Section 13(a) of the Exchange Act. ¨
Indicate by check mark whether the registrant is a shell company (as defined in Rule 12b-2 of the Exchange Act).
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Yes ¨ | No |
The registrant had
PRICESMART, INC.
INDEX TO FORM 10-Q
PART I—FINANCIAL INFORMATION
ITEM 1. FINANCIAL STATEMENTS
PriceSmart, Inc.’s (“PriceSmart,” “we” or the “Company”) unaudited consolidated balance sheet as of February 28, 2022 and the consolidated balance sheet as of August 31, 2021, the unaudited consolidated statements of income for the three and six months ended February 28, 2022 and 2021, the unaudited consolidated statements of comprehensive income for the three and six months ended February 28, 2022 and 2021, the unaudited consolidated statements of equity for the three and six months ended February 28, 2022 and 2021, and the unaudited consolidated statements of cash flows for the six months ended February 28, 2022 and 2021 are included herein. Also included herein are the notes to the unaudited consolidated financial statements.
PRICESMART, INC.
CONSOLIDATED BALANCE SHEETS
(AMOUNTS IN THOUSANDS, EXCEPT SHARE DATA)
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| February 28, |
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| August 31, | ||
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| 2021 | ||
ASSETS |
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Current Assets: |
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Cash and cash equivalents |
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Short-term restricted cash |
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Short-term investments |
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Receivables, net of allowance for doubtful accounts of $ |
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Merchandise inventories |
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Prepaid expenses and other current assets (includes $ |
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Total current assets |
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Long-term restricted cash |
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Property and equipment, net |
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Operating lease right-of-use assets, net |
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Goodwill |
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Other intangibles, net |
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Deferred tax assets |
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Other non-current assets (includes $ |
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Investment in unconsolidated affiliates |
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Total Assets |
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LIABILITIES AND EQUITY |
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Current Liabilities: |
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Short-term borrowings |
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Accounts payable |
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Accrued salaries and benefits |
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Deferred income |
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Income taxes payable |
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Other accrued expenses and other current liabilities |
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Operating lease liabilities, current portion |
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Dividends payable |
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Long-term debt, current portion |
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Total current liabilities |
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Deferred tax liability |
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Long-term income taxes payable, net of current portion |
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Long-term operating lease liabilities |
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Long-term debt, net of current portion |
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Other long-term liabilities (includes $ |
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Total Liabilities |
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Stockholders' Equity: |
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Common stock $ |
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Additional paid-in capital |
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Accumulated other comprehensive loss |
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Retained earnings |
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Less: treasury stock at cost, |
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Total stockholders' equity attributable to PriceSmart, Inc. stockholders |
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Noncontrolling interest in consolidated subsidiaries |
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Total Stockholders' Equity |
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Total Liabilities and Equity |
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See accompanying notes.
PRICESMART, INC.
CONSOLIDATED STATEMENTS OF INCOME
(UNAUDITED—AMOUNTS IN THOUSANDS, EXCEPT PER SHARE DATA)
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| Three Months Ended |
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| February 28, |
| February 28, |
| February 28, | ||||
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| 2021 |
| 2022 |
| 2021 | ||||
Revenues: |
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Net merchandise sales |
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Export sales |
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Membership income |
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Other revenue and income |
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Total revenues |
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Operating expenses: |
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Cost of goods sold: |
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Net merchandise sales |
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Export sales |
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Non-merchandise |
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Selling, general and administrative: |
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Warehouse club and other operations |
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General and administrative |
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Pre-opening expenses |
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Loss on disposal of assets |
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Total operating expenses |
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Operating income |
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Other income (expense): |
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Interest income |
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Interest expense |
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Other income (expense), net |
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Total other expense |
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Income before provision for income taxes and |
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Provision for income taxes |
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Loss of unconsolidated affiliates |
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Net income |
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Less: net income attributable to noncontrolling interest |
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Net income attributable to PriceSmart, Inc. |
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Net income attributable to PriceSmart, Inc. per share available for distribution: |
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Basic |
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Diluted |
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Shares used in per share computations: |
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Basic |
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Diluted |
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See accompanying notes.
PRICESMART, INC.
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME
(UNAUDITED—AMOUNTS IN THOUSANDS)
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| Three Months Ended |
| Six Months Ended | ||||||||
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| February 28, |
| February 28, |
| February 28, |
| February 28, | ||||
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| 2022 |
| 2021 |
| 2022 |
| 2021 | ||||
Net income |
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Less: net income attributable to noncontrolling interest |
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Net income attributable to PriceSmart, Inc. |
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Other Comprehensive Income, net of tax: |
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Foreign currency translation adjustments (1) |
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Defined benefit pension plan: |
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Net gain arising during period |
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Amortization of prior service cost and actuarial gains included in net periodic pensions cost |
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Total defined benefit pension plan |
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Derivative instruments: (2) |
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Unrealized gains/(losses) on change in derivative obligations |
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Unrealized gains on change in fair value of interest rate swaps |
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Total derivative instruments |