In a message to shareholders, WICC CEO Scott Tannas provided the following commentary:
“Our Q1 results met our overall expectations as we progress toward what we expect to be a breakout year for growth and profitability. Our Q1 seasonal operating loss is within budget and historical norms on a combined basis.
– Fortress Insurance Company remains on track to achieve their revenue goals for 2022, including more than doubling their sales over 2021. Fortress celebrated its first $1 million revenue month in March, and followed that milestone with a $2 million sales month in April. The claims ratio stands at a healthy 30% on a trailing 12 month basis. Fortress’ investment portfolio of high-quality bonds and equities is “marked to market”, and has been impacted as a result of recent drops in market values. At this point in 2022, Fortress is off to a good start operationally, and with expectations that its investment portfolio will stand the test of current market instability.
– GlassMasters used their quiet time in Q1 to prepare for a busy spring and summer windshield repair and replacement season. While the inventory supply and shipping challenges continue, GlassMasters now has sufficient inventory in their warehouses to deliver on rising demand. Early spring sales numbers show that GlassMasters is running ahead of budget.
– Ocean Sales completed Q1 ahead of budget, with good sales activity across their online, big box retail, and TV home shopping channels. The return of public exhibitions and consumer shows is also now contributing to revenues, with a full schedule of summer and fall events.
– Sales and profitability at Foothills Creamery are behind budget, but the team is working to recover the lost ground with a busy Q2 and Q3. The order book is growing, and ice cream inventory is now at healthy levels which should allow for Foothills to respond to demand during the 2022 season.
– Golden Health Care is slightly behind budget in Q1, largely the result of a slight increase in vacancies at some of the facilities. While revenue is stable, profitability is down in Q1. Efforts to fill the vacancies are underway, and management remains focused on achieving its budgeted result for the full calendar year.
While we know risks remain, we believe our teams are adequately resourced and working toward a solid combined financial result for Western in 2022. I look forward to reporting on our progress in the coming weeks and months.”
About The Western Investment Company of Canada
Western is a unique publicly traded, private equity company founded by a group of successful Western Canadian business people, and dedicated to building and maintaining ownership in successful Western Canadian companies, and helping them to grow. The company’s shares are traded on the TSX Venture Exchange under the symbol WI. For more information on the company, please visit its website at www.winv.ca.
The Western Investment Company of Canada Limited
President and Chief Executive Officer
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