MONTREAL, Québec—New Look Vision Group Inc. (TSX: BCI), a leader in the Canadian retail optical industry with stores across Canada and in Florida, reported financial results last week for the 13- and 52-week periods ended Dec. 26, 2020, and provided updates on actions in response to COVID-19, store reopenings, on omnichannel and facility consolidation. As recently reported by VMAIL, New Look plans to take the company private soon and announced on March 18 that it had entered into an arrangement agreement to be acquired by NL1 AcquireCo Inc., an entity created by a group composed of funds managed by FFL Partners, LLC, Caisse de dépôt et placement du Québec, and the Dr. H. Doug Barnes Family.

The company has adopted IFRS 16 Leases effective Q1 2020 and has applied it on a modified retrospective approach; Q4 2020 highlights, excluding the impact of IFRS 16, where applicable show that overall revenues increased by 25.0 percent compared to the fourth quarter of last year to reach $92.4 million as a result of comparable store sales and revenues from newly acquired stores. Comparable store sales were up 12.0 percent as a result of enhanced store operating procedures and a shift in customer behavior, the company noted.

Adjusted EBITDA attributed to shareholders in the fourth quarter reached $22.8 million, a 59.8 percent increase over the fourth quarter of the previous year. Net earnings attributed to shareholders increased by 110.5 percent compared to the fourth quarter of last year to $10.6 million.

Adjusted net earnings attributed to shareholders increased by 69.3 percent compared to the fourth quarter of last year to $13.3 million. Compared to the fourth quarter of last year, cash flows related to operating activities reached $16.6 million, an increase of 126.2 percent. Strong cash position at quarter end was $59.2 million coupled with available credit lines of $49.1 million.

During the fourth quarter, New Look actively continued to pursue its significant pipeline of acquisition opportunities in Canada and the U.S. and acquired 15 stores in the quarter.

For the full fiscal year 2020, the New Look Group reported annual revenues decreased, as expected, due to government mandated store network shutdowns and related headwinds offset by newly acquired stores. The group reported revenues for the year period of $274.7 million compared to $297.8 million in the fiscal year 2019.

Net earnings attributed to shareholders decreased by 26.3 percent over the prior year to $13.8 million. Adjusted EBITDA attributed to shareholders was $56.9 million, an increase of 1.9 percent over last year. Cash flows related to operating activities reached $58.0 million, increasing by $14.4 million or 33.0 percent.

Net debt was $167.9 million compared to $143.9 million. The company actively acquired 36 stores during the year.

President and CEO Antoine Amiel of New Look Vision, stated, “New Look Vision showed remarkable resilience this past quarter and year to overcome unprecedented challenges driven by the COVID-19 pandemic and ongoing market headwinds. Despite closures and disruptions in the first half of 2020, New Look Vision continued to execute on its strategy and delivered strong results for the fourth quarter of fiscal 2020.

"Quarterly revenues and comparable store sales grew by 25.0 percent and 12.0 percent year-over-year and EBITDA increased by 60 percent over the same quarter last year. I am grateful for the strength and dedication of our teams to deliver on our strategy and continue to serve the needs of our loyal and new customers in a challenging environment."

For New Look, gradual store reopenings started on May 4 in line with local and professional regulations, with all of New Look Vision’s entire store network open for business by the end of the second quarter. In advance of reopening its stores, the company issued stringent health and safety procedures, undertook extensive training in the form of in-store rehearsals and is providing each location with prescribed personal protection equipment.

The company also noted, "COVID-19 has significantly altered the way optical retailers operate on both brick-and-mortar and e-commerce levels. As consumers increasingly move online, New Look Vision’s investments in omnichannel experience and anticipation of the evolving consumer journey complements and enhances its physical retail presence. This approach increases accessibility to differentiated, customized and precise eyecare, while ensuring safety for consumers across Canada," the company noted.

New Look Vision is a leader in the eyecare industry in Canada with a network of 407 stores, as at March 25, 2021, operating mainly under the New Look Eyewear, Vogue Optical, Greiche & Scaff, Iris, Edward Beiner banners (in the U.S.) and The Vision Clinic in addition to, laboratory facility using state-of-the-art technologies.