We could not find any results for:
Make sure your spelling is correct or try broadening your search.
Share Name | Share Symbol | Market | Type |
---|---|---|---|
Data Communications Management Corp | TSX:DCM | Toronto | Common Stock |
Price Change | % Change | Share Price | Bid Price | Offer Price | High Price | Low Price | Open Price | Shares Traded | Last Trade | |
---|---|---|---|---|---|---|---|---|---|---|
-0.08 | -2.91% | 2.67 | 2.65 | 2.66 | 2.71 | 2.60 | 2.70 | 60,306 | 20:18:57 |
FIRST QUARTER 2024 HIGHLIGHTS
DATA Communications Management Corp. (TSX: DCM; OTCQX: DCMDF) (“DCM” or the "Company"), a leading provider of marketing and business communication solutions to companies across North America, today reported its first quarter 2024 financial results.
MANAGEMENT COMMENTARY
“I am pleased to report on the continued progress of our business in the first quarter of 2024, following a transformative year in 2023 when we completed our acquisition of Moore Canada Corporation (“MCC”) and made substantial progress in our post-acquisition integration,” said Richard Kellam, President & CEO of DCM.
“Our focus in the first quarter and for the balance of the year is on delivering our post-acquisition integration commitments. These priorities include consolidating our plant network, integrating legacy MCC systems, completing our restructuring plans, focusing on profitable growth, and realizing total annualized post-acquisition synergies of between $30 and $35 million within the next year.”
“We are optimistic about our full year outlook based on order trends we are seeing, new logo wins, and progress on our initiatives to drive improved operating performance, including strategic revenue management opportunities, improving product mix, and leveraging our expanded suite of product and service offerings.”
FIRST QUARTER 2024 EARNINGS CALL
The Company will host a conference call and webcast on Tuesday, May 14,2024, at 9:00 a.m. Eastern time. Mr. Kellam, and James Lorimer, CFO, will present the first quarter of 2024 results followed by a live Q&A period.
Instructions on how to access both the webcast and call are available below.
DCM will be using Microsoft Teams to broadcast our earnings call, which will be accessible via the options below:
Click here to join the meeting
Meeting ID: 284 159 172 699 Passcode: rVeV5u Download Teams | Join on the web
Or call in (audio only)
+1 647-749-9154,,174293459# Canada, Toronto Phone Conference ID: 174 293 459#
The Company’s full results will be posted on its Investor Relations page and on www.sedarplus.ca. A video message from Mr. Kellam will also be posted on the Company’s website.
TABLE 1 The following table sets out selected historical consolidated financial information for the periods noted.
For the periods ended March 31, 2024 and 2023
January 1 to March 31, 2024
January 1 to March 31, 2023
(in thousands of Canadian dollars, except share and per share amounts, unaudited)
Revenues
$
129,254
$
76,077
Gross profit
37,311
23,635
Gross profit, as a percentage of revenues
28.9
%
31.1
%
Selling, general and administrative expenses
25,382
13,736
As a percentage of revenues
19.6
%
18.1
%
Adjusted EBITDA
18,665
12,766
As a percentage of revenues
14.4
%
16.8
%
Net income (loss) for the period
1,475
(2,431
)
Adjusted net income
4,903
5,890
As a percentage of revenues
3.8
%
7.7
%
Basic (loss) earnings per share
$
0.03
$
(0.06
)
Diluted (loss) earnings per share
$
0.02
$
(0.06
)
Weighted average number of common shares outstanding, basic
55,022,883
44,062,831
Weighted average number of common shares outstanding, diluted
59,051,883
44,062,831
TABLE 2 The following table provides reconciliations of net (loss) income to EBITDA and of net (loss) income to Adjusted EBITDA for the periods noted.
EBITDA and Adjusted EBITDA reconciliation
For the periods ended March 31, 2024 and 2023
January 1 to March 31, 2024
January 1 to March 31, 2023
(in thousands of Canadian dollars, unaudited)
Net income (loss) for the period
$
1,475
$
(2,431)
Interest expense, net
5,553
1,083
Amortization of transaction costs and debt extinguishment gain, net
140
72
Current income tax expense
1,342
1,647
Deferred income tax (recovery) expense
(1,163)
(1,608)
Depreciation of property, plant and equipment
1,523
691
Amortization of intangible assets
728
463
Depreciation of the ROU Asset
4,485
1,713
EBITDA
$
14,083
$
1,630
Acquisition and integration costs
283
6,118
Restructuring expenses
1,085
—
Net fair value (gains) losses on financial liabilities at fair value through profit or loss
3,214
5,018
Adjusted EBITDA
$
18,665
$
12,766
TABLE 3 The following table provides reconciliations of net (loss) income to Adjusted net income and a presentation of Adjusted net income per share for the periods noted.
Adjusted net income reconciliation
For the periods ended March 31, 2024 and 2023
January 1 to March 31, 2024
January 1 to March 31, 2023
(in thousands of Canadian dollars, except share and per share amounts, unaudited)
Net income (loss) for the period
$
1,475
$
(2,431)
Acquisition and integration costs
283
6,118
Restructuring expenses
1,085
—
Net fair value (gains) losses on financial liabilities at fair value through profit or loss
3,214
5,018
Tax effect of the above adjustments
(1,154)
(2,815)
Adjusted net income
$
4,903
$
5,890
Adjusted net income per share, basic
$
0.09
$
0.13
Adjusted net income per share, diluted
$
0.08
$
0.12
Weighted average number of common shares outstanding, basic
55,022,883
44,062,831
Weighted average number of common shares outstanding, diluted
59,051,883
47,650,204
About DATA Communications Management Corp.
DCM is a marketing and business communications partner that helps companies simplify the complex ways they communicate and operate, so they can accomplish more with fewer steps and less effort. For 65 years, DCM has been serving major brands in vertical markets including financial services, retail, healthcare, energy, other regulated industries, and the public sector. We integrate seamlessly into our clients’ businesses thanks to our deep understanding of their needs, our technology-enabled solutions, and our end-to-end service offering. Whether we are running technology platforms, sending marketing messages, or managing print workflows, our goal is to make everything surprisingly simple.
Additional information relating to DATA Communications Management Corp. is available on www.datacm.com, and in the disclosure documents filed by DATA Communications Management Corp. on SEDAR+ at www.sedarplus.ca.
FORWARD-LOOKING STATEMENTS
Certain statements in this press release constitute “forward-looking” statements that involve known and unknown risks, uncertainties and other factors which may cause the actual results, performance, objectives or achievements of DCM, or industry results, to be materially different from any future results, performance, objectives or achievements expressed or implied by such forward-looking statements. When used in this press release, words such as “may”, “would”, “could”, “will”, “expect”, “anticipate”, “estimate”, “believe”, “intend”, “plan”, and other similar expressions are intended to identify forward-looking statements. These statements reflect DCM’s current views regarding future events and operating performance, are based on information currently available to DCM, and speak only as of the date of this press release.
These forward-looking statements involve a number of risks, uncertainties, and assumptions. They should not be read as guarantees of future performance or results and will not necessarily be accurate indications of whether or not such performance or results will be achieved. Many factors could cause the actual results, performance, objectives or achievements of DCM to be materially different from any future results, performance, objectives or achievements that may be expressed or implied by such forward-looking statements. We caution readers of this press release not to place undue reliance on our forward-looking statements since a number of factors could cause actual future results, conditions, actions, or events to differ materially from the targets, expectations, estimates or intentions expressed in these forward-looking statements.
The principal factors, assumptions and risks that DCM made or took into account in the preparation of these forward-looking statements and which could cause our actual results and financial condition to differ materially from those indicated in the forward-looking statements are described in further detail in our Management Discussion and Analysis for the three months ended March 31, 2024, and include but are not limited to the following:
Additional factors are discussed elsewhere in this press release and under the headings "Liquidity and capital resources" and “Risks and Uncertainties” in DCM’s Management Discussion and Analysis and in DCM’s other publicly available disclosure documents, as filed by DCM on SEDAR+ (www.sedarplus.ca). Should one or more of these risks or uncertainties materialize, or should assumptions underlying the forward-looking statements prove incorrect, actual results may vary materially from those described in this press release as intended, planned, anticipated, believed, estimated or expected. Unless required by applicable securities law, DCM does not intend and does not assume any obligation to update these forward-looking statements.
NON-IFRS ACCOUNTING STANDARDS MEASURES
NON-IFRS ACCOUNTING STANDARDS AND OTHER FINANCIAL MEASURES
This press release includes certain non-IFRS Accounting Standards measures, ratios and other financial measures as supplementary information. This supplementary information does not represent earnings measures recognized by IFRS Accounting Standards and does not have any standardized meanings prescribed by IFRS Accounting Standards. Therefore, these non-IFRS Accounting Standards measures, ratios and other financial measures are unlikely to be comparable to similar measures presented by other issuers. Investors are cautioned that this supplementary information should not be construed as alternatives to net income (loss) determined in accordance with IFRS Accounting Standards as an indicator of DCM’s performance. Definitions of such supplementary information, together with a reconciliation of net income (loss) to such supplementary financial measures, can be found in Table 4 and Table 5 of our Management Discussion and Analysis for the three months ended March 31, 2024 and filed on SEDAR+ at www.sedarplus.ca.
Condensed interim consolidated statements of financial position
(in thousands of Canadian dollars, unaudited)
March 31, 2024
December 31, 2023
$
$
Assets
Current assets
Cash and cash equivalents
$
19,842
$
17,652
Trade receivables
107,154
117,956
Inventories
32,286
28,840
Prepaid expenses and other current assets
5,827
5,313
Income taxes receivable
1,248
2,640
Assets held for sale
—
8,650
166,357
181,051
Non-current assets
Other non-current assets
7,096
2,900
Deferred income tax assets
9,122
9,801
Property, plant and equipment
31,088
30,358
Right-of-use assets
157,556
159,801
Pension assets
2,724
1,962
Intangible assets
9,888
10,616
Goodwill
22,265
22,265
$
406,096
$
418,754
Liabilities
Current liabilities
Bank overdraft
199
1,564
Trade payables and accrued liabilities
$
69,963
$
75,766
Current portion of credit facilities
8,119
6,333
Current portion of lease liabilities
11,820
10,322
Provisions
13,395
16,325
Deferred revenue
6,032
6,221
109,528
116,531
Non-current liabilities
Provisions
914
1,004
Credit facilities
88,379
93,918
Lease liabilities
144,049
144,993
Pension obligations
20,288
26,386
Other post-employment benefit plans
3,704
3,606
Asset retirement obligation
3,583
3,552
$
370,445
$
389,990
Equity
Shareholders’ equity
Shares
$
283,738
$
283,738
Warrants
219
219
Contributed surplus
3,346
3,135
Translation Reserve
207
177
Deficit
(251,859)
(258,505)
$
35,651
$
28,764
$
406,096
$
418,754
Condensed interim consolidated statements of operations
(in thousands of Canadian dollars, except per share amounts, unaudited)
For the three months ended March 31, 2024
For the three months ended March 31, 2024
$
$
Revenues
129,254
76,077
Cost of revenues
91,943
52,442
Gross profit
37,311
23,635
Expenses
Selling, commissions and expenses
10,864
8,322
General and administration expenses
14,518
5,414
Restructuring expenses
1,085
—
Acquisition and integration costs
283
6,118
Net fair value (gains) losses on financial liabilities at fair value through profit or loss
3,214
5,018
29,964
24,872
Income before finance and other costs, and income taxes
7,347
(1,237)
Finance costs
Interest expense on long term debt and pensions, net
2,498
543
Interest expense on lease liabilities
3,055
540
Amortization of transaction costs net of debt extinguishment gain
140
72
5,693
1,155
Income (loss) before income taxes
1,654
(2,392)
Income tax expense
Current
1,342
1,647
Deferred
(1,163)
(1,608)
179
39
Net Income (loss) for the period
1,475
(2,431)
Condensed interim consolidated statements of cash flows
(in thousands of Canadian dollars, unaudited)
For the three months ended March 31, 2024
For the three months ended March 31, 2023
$
$
Cash provided by (used in)
Operating activities
Net income (loss) for the period
$
1,475
$
(2,431)
Items not affecting cash
Depreciation of property, plant and equipment
1,523
691
Amortization of intangible assets
728
463
Depreciation of right-of-use-assets
4,485
1,713
Interest expense on lease liabilities
3,055
540
Share-based compensation expense
211
85
Net fair value losses on financial liabilities at fair value through
profit or loss
3,214
5,018
Pension expense
472
119
(Gain) loss on sale and leaseback
(11)
—
(Gain) loss on disposal of property, plant and equipment
(22)
—
Provisions
1,085
—
Amortization of transaction costs, accretion of debt premium/discount, net of debt extinguishment gain
140
(6)
Accretion of non-current liabilities
31
—
Other post-employment benefit plans expense
149
68
Income tax expense
179
39
Changes in working capital
(6,560)
3,220
Contributions made to pension plans
(319)
(215)
Contributions made to other post-employment benefit plans
(51)
(43)
Provisions paid
(4,105)
(1,316)
Income taxes received (paid)
50
(1,612)
5,729
6,333
Investing activities
Proceeds on sale and leaseback transaction
8,661
—
Purchase of property, plant and equipment
(2,766)
(558)
Purchase of intangible assets
—
(14)
Proceeds on disposal of property, plant and equipment
535
—
6,430
(572)
Financing activities
Exercise of warrants
—
96
Proceeds from credit facilities
21,000
—
Repayment of credit facilities
(24,893)
(4,749)
Decrease in bank overdrafts
(1,365)
—
Lease payments
(4,730)
(2,324)
(9,988)
(7,073)
Change in cash and cash equivalents during the period
2,171
(1,216)
Cash and cash equivalents – beginning of period
$
17,652
$
4,208
Effects of foreign exchange on cash balances
19
2
Cash and cash equivalents – end of period
$
19,842
$
2,994
____________________________1 Adjusted EBITDA, Adjusted EBITDA as a percentage of revenues, Adjusted net income (loss) and Adjusted net income (loss) as a percentage of revenues are non-IFRS Accounting Standards measures. For a description of the composition of these and other non-IFRS Accounting Standards measures used in this press release, and a reconciliation to their most comparable IFRS Accounting Standards measure, where applicable, see the information under the heading “Non-IFRS Accounting Standards Measures”, the information set forth on Table 2 and Table 3 herein, and our most recent Management Discussion & Analysis filed on www.sedarplus.ca.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240513715319/en/
Mr. Richard Kellam President and Chief Executive Officer DATA Communications Management Corp. Tel: (905) 791-3151
Mr. James E. Lorimer Chief Financial Officer DATA Communications Management Corp. Tel: (905) 791-3151 ir@datacm.com
1 Year Data Communications Mana... Chart |
1 Month Data Communications Mana... Chart |
It looks like you are not logged in. Click the button below to log in and keep track of your recent history.
Support: +44 (0) 203 8794 460 | support@advfn.com
By accessing the services available at ADVFN you are agreeing to be bound by ADVFN's Terms & Conditions