This Covid thing has created a weird world and has upset normal spending patterns which potentially lulls us into a false sense of what the future will look like. Some sectors have boomed while the world has been shut down. Has it happened with Joyce?

Results announced today show strong sales continuing across the two businesses KWB (kitchen and wardrobe reno of which they have 51% ownership) and Bedshed (all except 4 stores are franchised). So much so the company is planning expansion with 4 additional showrooms for KWB and 2 new franchises for Bedshed in NSW.

Revenue is up 30% and EBITDA 46% delivering a NPAT of 13M. This follows a loss of around 9M last year.

The company is expanding its geographical footprint too which makes me think they believe the increase in sales in real and not just short term. I also like they are looking for this grown to be organic.

The business has an enterprise value of approximately 80M and they have managed to pay down their debt burden.