Annual P&L Study 2020 - It was a WOW Year!
by Tim Quebedeaux
For the P&L Study 2020, one word is being used to describe it… WOW! Even with our expectations of a great year, we were still amazed at what was reported.
Let’s start with how revenues increased year over year. The previous year revenues increased 2019 over 2018 at 2.2% compared to 25.1% increase for 2019 over 2020. Amazing! This graphic below illustrates how the 5 year trend of a typical Center with $1 million in sales has grown over the period and the dramatic affects of the 2020 year results.
Next, let's look at the number of High Achievers (5-10% Adjusted Profit) and Best Practices (10% plus Adjusted Profit). Both of those percentages are adjusted if you are a Retail Grower based on the amount of grown product sold. Although the total number of reporting Garden Centers was the same at 74, the numbers of Best Practices and High Achievers were much higher. In 2019, we had 28. In 2020, that number jumped to 61, WOW! Even more impressive was the Best Practices Group reached 44 Centers from just 10 in 2019.
We next will look at the Profitability percentage for Total Group. We expected a jump in profitability from the 5.6% reported in 2019, but all the way up to 13.6% was above our expectations. Coupled with how revenues increased from up 2.2% in 2019 to up 25.1% for 2020 is just amazing. It makes you say, WOW!
Because of this larger than normal group of high performing Garden Centers, the metrics measured were skewed to the Best Practices Group. In gaining better performance of the majority, we lost the power to compare to a higher group and to continue to Raise the Bar. So, 2020 resulted in a new group being created for benchmarking… The Best of the Best!
Next time we will dive into the Best of the Best and even more details of the P&L Study for 2020.
Got questions or need more information about The Group's the Weekly Department Review (WDR) or Annual P&L Study? Give Tim or Steve a call or email.
Tim Quebedeaux
Cell: 770.355.6249
Email: CLICK HERE
Steve Bailey
Cell: 618.521.5225
Email: CLICK HERE
Tim Quebedeaux and Steve Bailey with RetailKPI Consulting are service providers for The Garden Center Group and manages all Group financial sharing programs. The Weekly Department Review (WDR) and The Annual P&L Study are industry exclusives developed by The Garden Center Group and are included in your retainer!
REMEMBER: Your interaction (by phone and email) with Group Service Providers such as Tim Quebedeaux, Steve Bailey, Robert Hendrickson, Sid Raisch, Jean Seawright, and John Kennedy are included in your retainer! So what are you waiting for? Take advantage of all that The Group has to offer and give them a call or send an email now!
