HIGHLIGHTS
- Net results of
$6.9 million , compared with net loss during the fiscal year endedJanuary 31, 2020 . - The Corporation's order backlog stood at
$436.2 million as atJanuary 31, 2021 , up$107.5 million fromJanuary 31, 2020 . - Revenues of
$172.6 million , down 4% from the previous fiscal year. - At the date hereof, there is no significant impact from COVID-19 on the Corporation's operations.
It should be noted that had it not been for the
Gross margin, as a percentage of revenues, increased from 9.2% for the fiscal year ended
For the fiscal year ended
For the fiscal year ended
On
During the fiscal year ended
Financial Highlights
Fiscal Years Ended | 2021 | 2020 |
(In thousands of Canadian dollars, and dollars per share) | $ | $ |
Revenues | 172,593 | 179,710 |
EBITDA | 16,341 | 5,225 |
Income (loss) before income tax expense | 9,019 | (1,986) |
Net income (loss) for the year | 6,867 | (2,132) |
— Basic and diluted per share | 0.21 | (0.07) |
Cash flows from (used in) operating activities | 28,842 | (894) |
Average number of outstanding shares (basic and diluted, in thousands) | 32,635 | 32,635 |
COVID-19
At the date hereof, the impact of COVID-19 on ADF's operations is limited. We have taken all necessary steps to protect our employees and business partners, and we will continue to follow the advice and recommendations of local authorities wherever we conduct business. These measures have resulted in operational costs and inefficiencies that have been offset by the government incentives previously mentioned. This situation is changing rapidly and we will continue to monitor and mitigate development affecting our staff, suppliers, customers and the general public to the extent we can.
Outlook
"The fiscal year that just ended is a good example of the Corporation's resilience. Despite the pandemic's impacts and its effects, not only on the economy in general but also on the way we operate, we have been able to continue to grow our order backlog and greatly improve our cash position added Mr.
"Despite the pressure on the prices of the projects currently in the backlog that could reduce margins in coming quarters, we welcome the recent announcements regarding investments in infrastructure projects that should reduce this pressure," concluded
Dividend
On
Conference Call with Investors
A conference call with investors is scheduled for
To take part in the conference call, dial 1-888-390-0620, a few minutes prior to the conference call scheduled start time. A replay of this conference call will be available from
The conference call (audio) will also be available at www.adfgroup.com. Members of the media are invited to listen in.
ANNUAL GENERAL MEETING OF SHAREHOLDERS
In these exceptional circumstances, and amongst the several preventative health measures adopted by the Provincial and Federal Governments and by the Corporation to slow the spread of COVID-19,
Financial results for the first quarter ending
Shareholders' meeting details and webcasting connection instructions will be made available in the coming weeks.
About
Forward-Looking Information | This press release contains forward-looking statements reflecting ADF's objectives and expectations. These statements are identified by the use of verbs such as "expect" as well as by the use of future or conditional tenses. By their very nature these types of statements involve risks and uncertainty. Consequently, reality may differ from ADF's expectations.
Non-IFRS Measures | Earnings before interest, taxes, depreciation and amortization ("EBITDA") is not a performance measure recognized by IFRS standards, and is not likely to be comparable to similar measures presented by other issuers. Management, as well as investors, consider this to be useful information to assist them in assessing the Corporation's profitability and ability to generate funds to finance its operations. Refer to the section "Non-GAAP Measures" of the Corporation's Management's Discussion and Analysis for the definition of this metric and reconciliation to the most comparable IFRS measures.
All amounts are in Canadian dollars, unless otherwise indicated.
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
As at | 2021 | 2020 |
(In thousands of Canadian dollars) | $ | $ |
ASSETS | ||
Current assets | ||
Cash and cash equivalents | 17,806 | 3,983 |
Accounts receivable | 50,234 | 39,555 |
Holdbacks on contracts | 10,785 | 11,628 |
Current income tax assets | 834 | 882 |
Contract assets | 8,790 | 14,435 |
Inventories | 6,960 | 7,898 |
Derivative financial instruments | 517 | ― |
Prepaid expenses and other current assets | 4,670 | 1,581 |
Total current assets | 100,596 | 79,962 |
Non-current assets | ||
Property, plant and equipment | 62,223 | 64,967 |
Right-of-use assets | 22,478 | 23,818 |
Intangible assets | 3,266 | 3,354 |
Other non-current assets | 1,388 | 1,443 |
Total assets | 189,951 | 173,544 |
LIABILITIES | ||
Current liabilities | ||
Credit facilities | ― | 13,105 |
Accounts payable and other current liabilities | 34,562 | 30,788 |
Current income tax liabilities | 1,161 | 216 |
Contract liabilities | 23,278 | 3,444 |
Derivative financial instruments | ― | 123 |
Current portion of lease liabilities | 1,143 | 1,070 |
Current portion of long-term debt | 1,904 | 1,903 |
Total current liabilities | 62,048 | 50,649 |
Non-current liabilities | ||
Long-term debt | 18,368 | 19,156 |
Lease liabilities | 4,166 | 4,930 |
Deferred income tax liabilities | 5,627 | 4,215 |
Other non-current liabilities | 177 | 187 |
Total liabilities | 90,386 | 79,137 |
SHAREHOLDERS' EQUITY | ||
Capital stock | 68,120 | 68,120 |
Contributed surplus | 6,435 | 6,435 |
Accumulated other comprehensive income (loss) | 5,886 | 6,942 |
Retained income | 19,124 | 12,910 |
Total shareholders' equity | 99,565 | 94,407 |
Total liabilities and shareholders' equity | 189,951 | 173,544 |
CONSOLIDATED STATEMENTS OF INCOME (LOSS)
Fiscal Years Ended | 2021 | 2020 |
(In thousands of Canadian dollars, except the number of shares and the amounts per share) | $ | $ |
Revenues | 172,593 | 179,710 |
Cost of goods sold | 146,388 | 163,203 |
Gross Margin | 26,205 | 16,507 |
Selling and administrative expenses | 14,779 | 16,005 |
Net financial expenses | 1,663 | 2,082 |
Foreign exchange loss | 744 | 406 |
17,186 | 18,493 | |
Income (loss) before income tax expense | 9,019 | (1,986) |
Income tax expense | 2,152 | 146 |
Net income (loss) for the year | 6,867 | (2,132) |
Earnings per share | ||
- Basic and diluted per share | 0.21 | (0.07) |
Average number of outstanding basic and diluted shares (in thousands) | 32,635 | 32,635 |
CONSOLIDATED STATEMENTS OF COMPREHENSIVE INCOME (LOSS)
Fiscal Years Ended | 2021 | 2020 |
(In thousands of Canadian dollars) | $ | $ |
Net income (loss) for the year | 6,867 | (2,132) |
Other comprehensive income (loss): | ||
Exchange differences on translation of foreign operations (a) | (1,056) | 294 |
Comprehensive income (loss) for the year | 5,811 | (1,838) |
a) Will subsequently be reclassified to net income (loss). |
CONSOLIDATED STATEMENTS OF CHANGES IN SHAREHOLDERS' EQUITY
Capital | Contributed | Accumulated Other | Retained | Total | |
(In thousands of Canadian dollars) | $ | $ | $ | $ | $ |
Balance, | 68,120 | 6,432 | 6,648 | 15,695 | 96,895 |
Net loss for the year | ― | ― | ― | (2,132) | (2,132) |
Other comprehensive income (loss) | ― | ― | 294 | ― | 294 |
Comprehensive income (loss) for the year | ― | ― | 294 | (2,132) | (1,838) |
Share-based compensation | ― | 3 | ― | ― | 3 |
Dividends | ― | ― | ― | (653) | (653) |
Balance, | 68,120 | 6,435 | 6,942 | 12,910 | 94,407 |
Capital | Contributed | Accumulated Other | Retained | Total | |
(In thousands of Canadian dollars) | $ | $ | $ | $ | $ |
Balance, | 68,120 | 6,435 | 6,942 | 12,910 | 94,407 |
Net income for the year | ― | ― | ― | 6,867 | 6,867 |
Other comprehensive income (loss) | ― | ― | (1,056) | ― | (1,056) |
Comprehensive income (loss) for the year | ― | ― | (1,056) | 6,867 | 5,811 |
Dividends | ― | ― | ― | (653) | (653) |
Balance, | 68,120 | 6,435 | 5,886 | 19,124 | 99,565 |
CONSOLIDATED STATEMENTS OF CASH FLOWS
Fiscal Years Ended | 2021 | 2020 |
(In thousands of Canadian dollars) | $ | $ |
OPERATING ACTIVITIES | ||
Net income (loss) for the year | 6,867 | (2,132) |
Non-cash items: | ||
Amortization of property, plant and equipment | 3,465 | 3,387 |
Amortization of right-of-use assets | 1,001 | 926 |
Amortization of intangible assets | 449 | 410 |
Unrealized gain on derivative financial instruments | (640) | (61) |
Unrealized foreign exchange loss (gain) | 359 | (134) |
Share-based compensation | 998 | 491 |
Income tax expense | 2,152 | 146 |
Government grants | (6,158) | (243) |
Net financial expenses | 1,663 | 2,082 |
Others | 49 | (111) |
Net income adjusted for non-cash items | 10,205 | 4,761 |
Change in non-cash working capital items (1) | 18,637 | (5,655) |
Cash flows from (used in) operating activities | 28,842 | (894) |
INVESTING ACTIVITIES | ||
Acquisition of property, plant and equipment | (1,460) | (1,186) |
Acquisition of intangible assets | (361) | (452) |
Government grants | ― | 826 |
Others | 68 | 142 |
Cash flows used in investing activities | (1,753) | (670) |
FINANCING ACTIVITIES | ||
Variation in credit facilities | (13,105) | 6,500 |
Issuance of long-term debt | 5,654 | ― |
Repayment of long-term debt | (1,918) | (1,884) |
Payment of lease liabilities | (961) | (771) |
Dividends paid | (653) | (653) |
Interest paid | (1,460) | (1,827) |
Cash flows (used in) from financing activities | (12,443) | 1,365 |
Impact of fluctuations in foreign exchange rate on cash flow | (823) | 18 |
Net change in cash and cash equivalents during the year | 13,823 | (181) |
Cash, and cash equivalents, beginning of year | 3,983 | 4,164 |
Cash and cash equivalents, end of year | 17,806 | 3,983 |
(1) The following table sets out in detail the components of the "Change in non-cash working capital items": |
Fiscal Years Ended | 2021 | 2020 |
(In thousands of Canadian dollars) | $ | $ |
Accounts receivable | (11,378) | (10,360) |
Holdbacks on contracts | 508 | (5,491) |
Contract assets | 5,236 | 3,660 |
Inventories | 830 | 554 |
Prepaid expenses and other current assets | (922) | 74 |
Accounts payable and other current liabilities | 3,580 | 13,597 |
Contract liabilities | 20,793 | (7,679) |
Other | (10) | (10) |
Change in non-cash working capital items | 18,637 | (5,655) |
Segmented Information
The Corporation operates one operational sector, being, the non-residential construction industry, primarily in
Fiscal Years Ended | 2021 | 2020 |
(In thousands of Canadian dollars) | $ | $ |
Revenues | ||
32,025 | 13,906 | |
140,568 | 165,804 | |
172,593 | 179,710 | |
As at | 2021 | 2020 |
(In thousands of Canadian dollars) | $ | $ |
Non-current assets (1) | ||
46,794 | 48,281 | |
42,561 | 45,301 | |
89,355 | 93,582 | |
(1) The non-current assets mainly include property, plant and equipment, intangible assets, right-of-use assets. investment tax credits and others non-current assets. |
Revenues from external clients were allocated to each country on the basis of the project's location.
During the fiscal year ended
The following table presents the breakdown of revenues for each of these clients:
Fiscal Years Ended | 2021 (1) | 2020 (2) |
(In thousands of Canadian dollars) | $ | $ |
Client A | ― | 20,518 |
Client B | ― | 32,812 |
Client C | ― | 43,415 |
Client D | ― | 31,894 |
Client E | 63,613 | ― |
Client F | 28,141 | ― |
Client G | 21,517 | ― |
113,271 | 128,639 | |
(1) All from |
(2) All from |
SOURCE
© Canada Newswire, source