LIVE - Earnings call transcript Q2 2019 | Live Ventures Incorporated

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Operator

Good day, everyone, and welcome to today's Live Ventures Quarterly Call. At this time all participants are in a listen-only mode. Later, you will have the opportunity to ask questions during the question-and-answer session. [Operator Instructions] Please note today's call may be recorded and I will be standing by should you need any assistance. And on today's call we have the President and CEO of Live Ventures, Jon Isaac as well as Wes Godfrey, CEO of Marquis Industries. pleasure of the Live my Virland over now CFO Johnson, Ventures. is to call turn to It

Virland Johnson

and the www.sec.gov. year on Relations can section Thank you. call. well This and Good that today Q&A differ as of company's be the the a guarantees, Ventures company some statements forward-looking Incorporated of Please performance, afternoon, its These forth there the in those are second uncertainties could to found and welcome XXXX, results for quarter SEC. contain filed the XX, www.liveventures.com during statements year to remarks quarter made fiscal these ended risks XXXX XX-Q session conference Investor are materially fiscal actual you Form from on that This March be the SEC the will about at second in afternoon may website for cause the set statements the may hear note follow XXXX number promises with as statements. our filing there our website as that well, forward-looking neither Live forward-looking remarks. nor

factors concerning differ those contained cause requested from are which these website may actual that results our or from filed is and the to be in directly SEC, forward-looking materially statements periodic filing of copies could in our company. reports information the Additional with available on

fiscal do and today statements Forward-looking Call you undertake statements second joining made Thank are call. we obligation our not today's for to for XXXX. made date, today's any quarter during of any update forward-looking as year our

ApplianceSmart we at months one the and and day's of comments. the will then a of today, answer versus six cover briefly our operating for questions our year include quarter The financial end our full your second results results XX.X During quarter last revenue in a reported and company's call period XXXX earnings per same fiscal million, fiscal over of the period year. $X.XX. same of last The XX% results quarterly year, basic the share of representing fiscal company year decrease

profit the same period million, quarter was the XX.X down gross which For was last year. fiscal X.X% over

million was X.X addition, same fiscal income year. million operating to compared compared point net year was In same last X.XXX million. X.X income period last And to our period million fiscal X the

in For margin This income was profit compares negatively margin quarter, operating product percent gross the margins of our was percentage realized when to period for XX.X%. been up both Vintage ApplianceSmart. lagging year percent levels And gross same and affected prior the to was Cost And down the new gross XX.X%. of operationally. fiscal sales profit mix X.X%. to X.X%. our has operating year was products income in ApplianceSmart margin

opinion to results debt. begin and forward. debt Vintages to from of million to mezzanine and expense We revolving pay for X.X the operational are in million decreased X.X operations of Interest turn positive looking late period and the in year the term due are down the prior forward fiscal refinance quarter to around for going quarter same second

million XXXX. of X.X for cash increased on six credit additional company's Stockholders' for million. provided was the million million. available months million by March to XX, lines decreased X XX, ending As XX.X XX.X months the cash liabilities revolving of six activities operating XXXX approximately equity Total year from Net XX.X of the credit. plus the fiscal XXXX, consolidated March of hand, reported company an under

you. will and on interest view filed for either this I your website financial and to your I filings John, At and much additional or morning in the press take our continued our on advance Wes you ventures. and time SEC you call this our your very SEC website. this questions. Thank details, review information participation For invite Thank live release in

Operator

Instructions] [Operator

Jon Isaac

everyone you, and today. you you're we're joining happy to pleased taking our in for have call company today. see We're an to the interest that Thank

will had by reasoning there's, there release solid quarter. for our the we press you year as our quote XX-Q As a income down if mention some and Virland revenues that read to are the down, were provided pretty was quarter. why net yes. But Year-over-

then a continue, take from we Let's call the sorry Joseph from and question, can Joseph.

Joseph

think can And us give please? you it's the my are think just for What that the why that Hello, taking afternoon. It good forward you going for color corner? you on thank call. some about you turned division positives ApplianceSmart,

Jon Isaac

you don't why question? that answer Virland,

Virland Johnson

selling we've of cut Okay. also And One, expenses well stores that that product, as that versus and the consolidated such not out March box performing - opposed are margins focus inbox quite on to February, stores a as some on have into performing improving that of product well. were of inbox. significantly more mainly because timeframe, we've been

reasons So optimism. those are for major the

Unidentified Analyst

you Thank

Jon Isaac

exit much, stores Virland have the Live managed very ones And at our unit been out our more Other as of mix to say the of on we've with margins were on ApplianceSmart I about. of But were which identify in performing intensive But course, divisions that are the to I has Management like not unit. much negotiating sort that well, box landlords been spoke care of some then time. on been with was greater we've out actively other that them. division. been to some able to of getting autopilot. say them. Obviously, for like involved

–well, stores hope in just quarter we it's how the this we've drastic turned we've seen And and we So numbers recently. really many We've would do now? have changes very that that have in shifted corner. done

Virland Johnson

Nine.

Jon Isaac

stores, revenues is about company we to woo a What in rather than bottom do. larger big the Street. line. order you we're really but healthy and what consolidation not we've done. of we to Wall we We with had that that That's amount ApplianceSmart, much trying care is first When own We nine can acquired so that's the company would the smaller, see double stores. a have profitable

any do does question So you have ones? that answer your other or

Unidentified Analyst

me that it. appreciate good all Yeah. I'm Thank some that. gives for I information. No, you.

Jon Isaac

for We press. been Marquis He's with if guest And now. He some division Godfrey. the questions, in been they do a for company time today. special anyone ask Georgia. to CEO any time do Mr. you're to - just the moderator? company runs has a have he's of corporate What welcome West our do have

Operator

Instructions] [Operator

Jon Isaac

- In give turn shareholders one. of you foot the maybe Georgia. it little yourself to maybe bit us Star of to we'll Wes, our on what's meantime, Wes. can going a over view and introduce XX,XXX in a

Wes Godfrey

and of so record through up I've been really of year Jon. the year I've Gross year Thanks, we've last fiscal profits positive first are XX% XX% a been for CEO this going. since healthy so July far, QX, to had with so growth. real Marquis, half overall, XXXX

We've covering a as improving just a driving profitable for side, of exited business low synthetic is growth. turf, been hard sales really business has lot in yarn that low which and profit margin, the our and a grown mix Our healthier, really floor surface business well. us and seeing more we're

to through impact speak but So own with carpet, and the our we're hard reduce managing I manufacturing the as of forward the we wracking little are guess surface but coming our XX% a XX%. that that working side bit tariffs tariffs way we're from to those is nerve

Jon Isaac

tariff as you on strong what, going that's the quarter despite politically experienced So issues right.

Wes Godfrey

as box through XX%. surface been versus that I some getting big to our mix really specialty up received of through where helped the flooring able selling line That's more retail we partners tariff turf correct. is bottom hard margin some really low out through improvement, and the and a even business for we've us mean, despite has the year that category XX%

healthy a growing hopefully just have going the see this impact and not be too to to round from and it's so So mitigate we'll business, significant. next it's

Jon Isaac

a Marquis year. than better subsidiary performed information, everyone's last Industries as For

sales. really rather quarter? decline XX smaller optimally. So mentioned, and have decrease flat little in it, year-over-year, maybe to believe - Why than of company that bit decline is with majority on leaner our ApplianceSmart. something in a stores in everyone's of sure And not and XX% of most lots I'm I this that plus to I of negligible. from million Vintage small to would we million there's have the as revenues, is meaner a attributable performing an on the did we uptick mind. very The decrease XX the was

of the So as was of majority result a ApplianceSmart. decrease

Virland Johnson

Jon Isaac	President and Chief Executive Officer
Virland Johnson	Chief Financial Officer
Wes Godfrey	Chief Executive Officer of Marquis Industries, Inc.

Live Ventures (LIVE) 15 May 192019 Q2 Earnings call transcript