PriceSmart Inc. (NASDAQ:PSMT) Q4 2020 Earnings Conference Call - Final Transcript

Oct 30, 2020 • 12:00 pm ET


PriceSmart Inc. (NASDAQ:PSMT) Q4 2020 Earnings Conference Call - Final Transcript


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Sherry S. Bahrambeygui

our people and our business. Improved productivity, new thinking and additional capabilities have grown out of that process, which has allowed us to now share with you solid results for the fiscal fourth quarter and full year.

I'm pleased to report that we wrapped up the fiscal year stronger than originally anticipated, despite significant and shifting headwinds which continually varied amongst our three markets. As mentioned in previous calls, our priorities at the beginning of the pandemic remain the same today.

We're focused on people, supply, supply chain demand and cash management. But as we have adapted to this continuing crisis with creative solutions, we're now focused on our opportunities for the future of our Company and the post-COVID world. As to people, plans for return to work continue to evolve. But one thing I can tell you for sure, it will not be the same. We're working on plans to develop greater flexibility, fortify security, enhance productivity, enrich quality of life and potentially save on inefficient travel and real estate expenses.

Emphasis continues on leading in our markets on safety protocols. So, our members can trust that we remain vigilant and transparent. We continue with our frequent action task force team meetings comprised of top executives responsible for overseeing all aspects of our business and we found this format enables us to react and act proactively with unprecedented speed and efficiency. I'm very pleased to announce the newly created significant leadership role for the Company. Juan Ignacio Biehl, effective September 1, 2020 was named, Executive Vice President of Digital Experience and Chief Technology Officer. He reports directly to me. Juan has been an entrepreneur in the technology sector for over 25 years, working in diverse areas of information systems with companies such as Apple, Inter@america, and Navsat.

Juan joined PriceSmart as part of the Aeropost acquisition and has since led a talented team that expedited the continued development of, our omnichannel effort and along with other team members developed the crucial technology capabilities that made Click & Go fully functional within weeks, all during COVID.

Juan's expertise is an important component of our overall digital transformation process. One of the distinctive features of our business is that we have a membership format and our membership data has value. We now have a more user friendly infrastructure to make use of this data in real time to more efficiently operate all aspects of our business. We're also developing technology that provides strong outbound and inbound communication with our members, so that we can better tailor sales and services for them.

The application of technology and enhancements of our systems and software allow us ease of use and timely reporting, so that we can make the optimal business decisions. On the last earnings call, we announced measures taken to preserve PriceSmart's cash liquidity due to the pandemic's unknown impact. One of those precautionary measures included temporary wage and salary reductions for those employees in our U.S. headquarters in Miami and