Organic Garage Provides Corporate Update for 2018 and Outlook for 2019
TORONTO--(BUSINESS WIRE)--Mar 28, 2019--Organic Garage Ltd. (TSXV:OG) (“ Organic Garage ” or the “ Company ”), an independent organic and natural foods grocery chain, is pleased to provide a detailed update on its 2018 activities and upcoming initiatives for 2019.
Organic Garage continued to grow in 2018 with the addition of a new store in Toronto’s Liberty Village neighbourhood and the expansion of its private label, “Kitchen Originals”. The Company remains focused on its goal of opening one to two new stores per year as it aims to position itself as one of Canada’s largest natural food grocers and establish the Organic Garage brand through its stated mission of making healthy food affordable and accessible. Initiatives designed to enhance the customer’s retail experience were introduced over the past year and the Company enjoyed positive attention from a number of media outlets taking note of the Organic Garage story.
2018 OPERATIONAL MILESTONES:
- Fourth location opened in Toronto’s Liberty Village neighbourhood, home of North America’s largest residents’ association.
- Letter of Intent signed for the Company’s newest location in central Toronto.
- “Handpicked Partner Program” was implemented and initiated at the Liberty Village location, allowing select vendors to sell unique, ready-made foods to Organic Garage customers through small-footprint, on site kiosks.
- Memorandum of Understanding, signed with INABUGGY, launching online sales with the third-party grocery delivery service platform.
- “Kitchen Originals” private label increased its number of items by almost 40 percent. The Company will continue to expand the line, providing customers with healthy, value-priced products where demand dictates.
- Junction location won a Shop! Award in the Best Supermarket / Grocery Store category. The global competition, considered by many to be the “Academy Awards” of the retail design and brand marketing industries, recognizes the best new designs in retail environments and experiences.
- Partnership with Hop Compost formed to create a closed-loop system for diverting individual store food waste and turning it into organic compost, to be sold in-store.
- Junction location hosted “The Sustainable Block Party and Pop-Up Market”, a community-focused initiative to raise awareness about vegan foods.
In the upcoming year, Organic Garage will continue to focus on its expansion plan, leveraging its competitive, low-price advantages, implementing further efficiencies and increasing its brand visibility.
The Company is pleased to announce that its fifth store will be situated at the base of a newly constructed condo building in Toronto’s Bayside neighbourhood, a new community starting to take shape beside Toronto Harbour. The site is part of a large, thirteen-acre development along the water’s edge that will feature residential, office, retail and cultural space. Construction on the store is anticipated to commence during the second quarter of this year with a projected fourth quarter opening date.
The Company’s sixth location in Toronto’s Leaside area is scheduled to begin construction during the fourth quarter of this year with an expected opening date sometime in the second quarter of next year.
The Company’s expansion mandate is to ensure placement in locations with high population density in established and growing markets with an immediate focus on the Greater Toronto Area. Within this mandate, the Company can continue to efficiently leverage its existing centralized distribution centre without incurring significant capital expenditures.
Organic Garage is dedicated to reviewing all aspects of its operations in an effort to continuously apply a value principle to its entire business model. The Company will continue to leverage its infrastructure and increasing scalability to better access discounts and realize operational efficiencies. Technological improvements such as the addition of an automated replenishment system are expected to improve productivity and further increase sales.
Following the success of the Liberty Village store’s Handpicked Partner Program, Organic Garage intends to roll the initiative out across all of its locations. The response to the program from both vendors and shoppers alike has been very positive and the Company will continue to look for ways that it can enhance the retail experience while adding revenue. Alternative partnerships as a means of generating additional revenue will also be carefully considered.
ORGANIC GARAGE IN THE MEDIA
The Company was featured in a number of publications, websites and media interviews, both on television and on the radio, in the past year:
A full list of articles and media clips can be found at https://www.organicgarage.com/in-the-news .
The Company has a goal of being cash flow positive. Organic Garage will remain focused on expansion and on building its brand by providing high-quality products at affordable prices and generating long-term relationships with customers based on a transparent and honest approach. This approach, along with the opening of its new stores and an adherence to a value proposition that applies fiscal prudence throughout the Company’s complete business process, should see that goal achieved.
Organic Garage anticipates the release of its 2018 fiscal year-end financials prior to the end of May and will likely hold its Annual General Meeting sometime in July. The Company will provide further details on these events as they become known.
About Organic Garage Ltd.
Organic Garage (TSXV: OG) is one of Canada’s leading independent organic grocers and is committed to offering its customers a wide selection of healthy and natural products at everyday affordable prices. The company’s stores are in prime retail locations designed to give customers an inclusive, unique and value-focused grocery shopping experience. Founded in 2005 by a fourth-generation grocer, Organic Garage is headquartered in Toronto and operates a highly efficient supply chain through its centralized distribution centre. The company is focused on continuing to expand its retail footprint within the Greater Toronto Area. For more information please visit the Organic Garage website at www.organicgarage.com.
THE TSX VENTURE EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT RESPONSIBILITY FOR THE ADEQUACY OR ACCURACY OF THE CONTENT OF THIS NEWS RELEASE.
Cautionary Note Regarding Forward-looking Statements
This news release contains certain forward-looking statements presented for the purpose of assisting the reader to understand management’s expectations regarding the Company’s strategic priorities, objectives and plans. All statements other than statements of present or historical fact are forward-looking statements. Forward-looking statements are often, but not always, identified by the use of words such as “expects”, “intends”, “may”, “plans”, “will”, and other similar expressions or the negative of these terms.
These statements include those related to the operations and outlook of the Company, such as timing and other details regarding new stores opening, operational improvements, financial outlook and approach to achieving a cash flow positive position, timing for the release of financial statements and holding of a shareholder meeting, which may be impacted by general business, economic, competitive, political and social uncertainties as they related to the grocery industry.
By its nature, forward-looking information requires the Company to make assumptions and is subject to inherent risks, uncertainties and other factors which may cause actual results to differ materially from forward-looking statements made. Forward-looking statements are not a guarantee of future performance. Any forward-looking statements are made as of the date hereof and, except as required by law, neither Organic Garage assumes no obligation to publicly update or revise such statements to reflect new information, subsequent or otherwise.
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CONTACT: Bill Mitoulas
T: (416) 479-9547
KEYWORD: NORTH AMERICA CANADA
INDUSTRY KEYWORD: RETAIL FOOD/BEVERAGE SUPERMARKET
SOURCE: Organic Garage Ltd.
Copyright Business Wire 2019.
PUB: 03/28/2019 04:05 PM/DISC: 03/28/2019 04:05 PM