LCBO: 20 consecutive years of increasing dividends to government
TORONTO, July 30, 2014 /CNW/ - Despite economic challenges and the effects of extreme weather, LCBO's financial results for fiscal 2013-14 show net sales growth of 2.2 per cent, up $105 million, to $4.997 billion. The agency transferred a dividend of $1.740 billion to the Ontario government (excluding taxes), $40 million more than the year before. Net income for 2013-14 grew $34 million to $1.745 billion, an increase of 2 per cent.
It was LCBO's 19th straight year of record sales and 20th consecutive dividend increase to the government. The annual LCBO dividend pays for provincial government priorities such as health care, education, infrastructure and other important public services.
Net sales of Ontario wine in 2013-14 were nearly $396 million, an increase of 4.1 per cent. Sales of local craft beer grew to $50.2 million, up nearly 27 per cent over the previous year. Locally produced cider has quickly become one of the fastest growing categories at the LCBO. In fiscal 2013-14, Ontario craft cider sales were $7.1 million – an increase of 82.2 per cent over the previous year.
Key net sales figures by category (excluding Private Ordering):
- Spirits $1.983 billion, up 1.0 per cent
- Beer $945 million, up 2.4 per cent
- Wine $1.808 billion, up 3.3 per cent
- VQA through VINTAGES $20.9 million, up 9.5 per cent
- Imported wines $1.398 billion, up 3.0 per cent
- Gift cards $76.6 million, up 21.8 per cent
In fiscal 2013-14, LCBO retail staff challenged more than 11.4 million people who appeared underage, intoxicated or were suspected of purchasing for a minor or an intoxicated person. More than 414,600 individuals were refused service; 86.9 per cent for reasons of age.
Customer donations at LCBO checkouts and employee fundraising efforts raised $8.2 million for worthy causes in 2013, an increase of 24 per cent over the previous year.
"At a time when consumer optimism remains guarded and the economy is growing modestly, LCBO delivered solid sales results in fiscal 2013-2014 by focusing on customer service, investing in store network improvements, and effectively managing expenses," said LCBO President & CEO Bob Peter. "Effective retail staff scheduling and achieving efficiencies in logistics also contributed to LCBO being able to transfer another increased dividend to the government."
Image with caption: "LCBO dividends over the past 20 years (CNW Group/LCBO)". Image available at: http://photos.newswire.ca/images/download/20140730_C3093_PHOTO_EN_4536.jpgFor further information: MEDIA CONTACTS: Lisa Murray, LCBO Senior Communications Consultant, Tel. 416 864-6875, Cell: 647 339-5428, E-mail: email@example.com; Heather MacGregor, LCBO Media Relations Co-ordinator, Tel. 416 864-6772, Cell: 416 587-3729, E-mail: firstname.lastname@example.org