The only study of its kind with more detail than ever before, the P&L Study gives each reporting center a comparison of their numbers vs. their respective Sales Group, Retailer or Retailer/Grower Group, Regional Group, Total Group, and the Best Practices/High Achiever Group. Why so many you ask? The value of the comparisons depends upon the ratio or line item analyzed, which means the Sales Group comparison may be pertinent, while with others the Regional Group may come into play more effectively.

The 2015 P&L Study was the largest in terms of participation since the Study began with 40 centers back in 2004. With total reported Revenues of $135,000,000, the numbers compiled from a group that large means viable, reliable data with which to manage. Add to that the fact that Group centers are so much more aware of the financial aspect of their business than non-Group centers means the data is that much more valuable.

Although the exact same garden centers do not report to the P&L Study each year, there is a core group of centers that report each year. Just as in The Group as a whole, they realize that what they put into it will be rewarded with the information they receive.

Each year new centers join The Group and the P&L Study. Many of these centers are seeking assistance with the business side of their business, and the P&L Study is a great place to start. And even though many of the new centers to the Study are not as profitable as they would like to be, the Study centers were up in Profitability 0.3% over 2014. That may not seem like much, but these centers alone realized over $400,000 INCREASE as a group in Profit dollars vs. 2014.

The lower volume garden centers remained the largest groups of reporting centers. Retailers with a sales volume up to $1.5 million comprised 30% of the total centers, while Retailer/Growers in the same volume group were 20% of the total. By the way, as in past Studies, Retailers made up 2/3 of the centers reporting, Retailer/Growers 1/3.

Roughly those same participations percentages applied to the Best Practices/High Achiever group as well, with 60% being Retailers and 40% Retailer/Growers. With the Retailer/Growers climbing in that percentage, it may be time to set individual goals for each center based on the percentage of the Revenues produced at their center. Hmmm, a future benchmark perhaps?

As a Group, we still remain primarily 12-month centers, with 78% of the centers open in January and February, 91% in March, 100% April through October, 92% in November, and 89% in December.

Each year, I highlight the depth into which reporting centers were able to report to the Study. For most centers, this is a measure of their accountability within their accounting and POS systems. And each year it gets better and better. This year, 44% of you were able to report through the entire reporting form, with the rest not far behind. This is one number I see as a direct indicator of your ability to manage. In most cases, if you have the information you will use it to improve your center's financial position.

So there you have the basics of the P&L Study. If you reported, do not forget to contact me and arrange a free one-hour review of your results. Several already have. If you didn't report, why not? We want your center represented in the 2016 Study, but most of all, you need the results. 

Give me a call and let's make sure you are compiling the information you need before you get into the heat of the battle known as Spring. If you don't this year, it will be another year at the earliest before you do. A year is a terrible thing to waste.

Additional details of the 2015 P&L Study will be in upcoming GROUPtalks - be on the lookout for those articles. And mark your calendar for the The Fall Event, September 26-29 in Houston, where all Group centers are invited to sit in and discuss the 2015 P&L Study results and implications. You won't want to miss it!

$teve