Couche-Tard to split shares as Q1 profit surges

Alimentation Couche-Tard Inc. says it is proceeding with a two-for-one split of its shares as the convenience store giant's profitability continued to grow in the first quarter of its fiscal year.

The Quebec-based retailer said the record date of the split of its Class A and B shares is Sept. 20 and the shares would begin trading on a post-split basis on Sept. 30. Couche-Tard's shares closed up 54 cents at $82.34 in Wednesday trading on the Toronto Stock Exchange.

The company said after markets closed that its net profit attributable to shareholders for the quarter surged 18% year over year to US$538.8 million or 95 cents per diluted shares, up from US$455.6 million or 81 cents per share a year earlier.

Excluding one-time items, adjusted profits for the period ended July 21 equalled 97 cents per share, up from 87 cents per share a year earlier.

Revenues were US$14.16 billion, down 4.2% from US$14.79 billion in the first quarter of 2019.

The retailer was expected to post 95 cents in adjusted earnings on US$15 billion in revenues, according to the financial markets data firm Refinitiv.