The SAQ announces net income of $337.8 million for the second quarter of fiscal 2024-2025

MONTREAL, Dec. 10, 2024 /CNW/ - For the second quarter of its 2024-2025 fiscal year, which ended on September 14, 2024, the Société des alcools du Québec (SAQ) reported net income of $337.8 million, a $1.5 million or 0.4% increase from the corresponding quarter of the preceding fiscal year.

Results in brief

• The decline in sales in the store and specialized centre network continued. Specifically, sales fell $3.7 million or 0.4% compared with the corresponding quarter of the preceding fiscal year and reflecting a 1.3 million litre or 2.8% drop in volume sales. Volumes in this network maintained their downward trend, as has been the case for the last seven quarters, a development largely attributable to changes in customers' shopping habits.
• Overall dollar sales rose 0.1% to $946.7. This slight growth stems from the $4.7 million increase in sales to the wholesale grocer network.
• Government revenues totalled $632 million, up $0.3 million from the corresponding quarter of the preceding fiscal year. Of this amount, $511.6 million will be remitted to the Quebec treasury and $120.4 million to the federal government.
• The SAQ will intensify its efforts to contend with the constantly changing market and the trend toward lower volumes.

Net income $337.8 million +0.4%	Sales $946.7 million +0.1%
Gross margin $474.2 million +0.7%	Ratio of net expenses to sales 14.4% 14.2% in Q2 2023-2024

Detailed results:

Store and specialized centre (permit holders, agency stores and other customers) network 

• Dollar sales in this network totalled $874.4 million, a $3.7 million or 0.4% decrease.
• Volume sales fell 1.3 million litres or 2.8% to 45.3 million litres.
• Online sales were up 7.6% from the corresponding quarter of the preceding fiscal year, reaching $19.9 million and accounting for 2.8% of consumer sales.
• The value of customers' average shopping cart dropped 0.5%, going from $62.42 to $62.09.
• For consumer sales overall, the average sales price per litre rose to $20.67, compared with $20.41 for the corresponding quarter of the preceding fiscal year.

Wholesale grocer network

• Dollar sales in this network grew $4.7 million or 7% to reach $72.3 million.
• Volume sales increased 0.3 million litres or 4.2% to end the quarter at 7.5 million litres.
• It should be noted that the SAQ acts as a wholesaler to the Quebec grocery and convenience store network. Consequently, the sales made in this network do not necessarily correspond to the sales these establishments made to consumers.

Net expenses

• Net expenses rose to $136.4 million versus $134.5 million in the corresponding quarter of fiscal 2023-2024, a $1.9 million or 1.4% increase.
• Expressed as a percentage of sales, net expenses in the second quarter were 14.4%, compared with 14.2% for the same quarter of the preceding fiscal year.

The SAQ's quarterly financial results, including the sales and expense trends for the last five years, will be found in its Q2 financial report (in French only).

About the Société des alcools du Québec (SAQ)

Created in 1921, the SAQ imports, distributes and sells a broad range of wines, beers and spirits. Its sales network comprises 410 stores and 423 agency stores located throughout Quebec as well as a transactional website, SAQ.COM. Driven by the passion and know-how of its 7,000 employees, the SAQ offers Quebecers a world of discovery, with more than 40,000 products from 6,000 suppliers in 79 countries. In fiscal 2023-2024, the SAQ remitted more than $2.2 billion to the Quebec government and supported some 250 organizations and events while also ensuring its business activities respected local communities and the environment.

For more information, visit the SAQ.COM website, follow us on X (@LaSAQ_officiel) or view our Facebook and LinkedIn pages.

SOURCE Société des alcools du Québec (SAQ)

Source: Laurianne Tardif, Media Relations, SAQ, 418 409-2347, [email protected]