GEORGE WESTON LIMITED 
GWL's 2021 Third Quarter Report has been filed on SEDAR and is available at sedar.com and in the Investor Centre section of the Company's website at weston.ca.
"George Weston's third quarter results reflect the strength of its underlying operating businesses. Loblaw's focus on core retail execution and an enthusiastic consumer response drove another quarter of strong financial results, while
Loblaw Companies Limited ("Loblaw") delivered another quarter of positive financial results. Loblaw experienced strong demand in stores and online, as economies re-opened and eat-at-home trends remained elevated. Seasonal shopping for back-to-school and
Choice Properties Real Estate Investment Trust ("
As at the end of the third quarter of 2021, the Company's interest in
2021 THIRD QUARTER HIGHLIGHTS
Adjusted net earnings available to common shareholders of the Company(1) from continuing operations in the third quarter of 2021 were
CONSOLIDATED RESULTS OF OPERATIONS
The Company's results reflect the impact of COVID-19 and the year-over-year impact of the fair value adjustment of the Trust Unit liability as a result of the significant changes in
The Company's interest in
Unless otherwise indicated, all financial information represents the Company's results from Continuing Operations.
(unaudited) ($ millions except where otherwise | 16 Weeks Ended | 40 Weeks Ended | ||||||||||||
$ Change | % Change | $ Change | % Change | |||||||||||
Revenue | $ | 16,192 | $ | 15,806 | $ | 386 | 2.4 % | $ | 40,846 | $ | 39,840 | $ | 1,006 | 2.5 % |
Operating income | $ | 1,125 | $ | 964 | $ | 161 | 16.7 % | $ | 3,018 | $ | 2,006 | $ | 1,012 | 50.4 % |
Adjusted EBITDA(1) | $ | 1,780 | $ | 1,644 | $ | 136 | 8.3 % | $ | 4,542 | $ | 3,960 | $ | 582 | 14.7 % |
Adjusted EBITDA margin(1) | 11.0 % | 10.4 % | 11.1 % | 9.9 % | ||||||||||
Net earnings attributable to | $ | 252 | $ | 303 | $ | (51) | (16.8)% | $ | 325 | $ | 683 | $ | (358) | (52.4)% |
Net earnings available to | $ | 124 | $ | 303 | $ | (179) | (59.1)% | $ | 170 | $ | 630 | $ | (460) | (73.0)% |
Continuing Operations | $ | 238 | $ | 289 | $ | (51) | (17.6)% | $ | 291 | $ | 649 | $ | (358) | (55.2)% |
Discontinued Operations | $ | (114) | $ | 14 | $ | (128) | (914.3)% | $ | (121) | $ | (19) | $ | (102) | (536.8)% |
Adjusted net earnings | $ | 359 | $ | 358 | $ | 1 | 0.3 % | $ | 874 | $ | 736 | $ | 138 | 18.8 % |
Continuing Operations | $ | 365 | $ | 343 | $ | 22 | 6.4 % | $ | 885 | $ | 725 | $ | 160 | 22.1 % |
Discontinued Operations | $ | (6) | $ | 15 | $ | (21) | (140.0)% | $ | (11) | $ | 11 | $ | (22) | (200.0)% |
Diluted net earnings | $ | 0.82 | $ | 1.96 | $ | (1.14) | (58.2)% | $ | 1.10 | $ | 4.08 | $ | (2.98) | (73.0)% |
Continuing Operations | $ | 1.58 | $ | 1.87 | $ | (0.29) | (15.5)% | $ | 1.90 | $ | 4.21 | $ | (2.31) | (54.9)% |
Discontinued Operations | $ | (0.76) | $ | 0.09 | $ | (0.85) | (944.4)% | $ | (0.80) | $ | (0.13) | $ | (0.67) | (515.4)% |
Adjusted diluted net earnings | $ | 2.39 | $ | 2.32 | $ | 0.07 | 3.0 % | $ | 5.76 | $ | 4.77 | $ | 0.99 | 20.8 % |
Continuing operations | $ | 2.43 | $ | 2.22 | $ | 0.21 | 9.5 % | $ | 5.83 | $ | 4.70 | $ | 1.13 | 24.0 % |
Discontinued operations | $ | (0.04) | $ | 0.10 | $ | (0.14) | (140.0)% | $ | (0.07) | $ | 0.07 | $ | (0.14) | (200.0)% |
In the third quarter of 2021, the Company recorded net earnings available to common shareholders of the Company from continuing operations of $238 million (
- The unfavourable year-over-year net impact of adjusting items totaling
$73 million ($0.50 per common share) was primarily due to: - the unfavourable year-over-year impact of the fair value adjustment of the Trust Unit liability of
$64 million ($0.43 per common share) as a result of the increase inChoice Properties' unit price in the third quarter of 2021; and - the unfavourable year-over-year impact of the fair value adjustment of the forward sale agreement of Loblaw common shares of
$41 million ($0.28 per common share);
partially offset by,
- the favourable year-over-year impact of the fair value adjustment on investment properties of
$30 million ($0.21 per common share) primarily driven byChoice Properties , net of consolidation adjustments in Other and Intersegment. - The improvement in the Company's consolidated underlying operating performance of
$22 million ($0.21 per common share) was due to: - the favourable underlying operating performance of Loblaw; and
- a decrease in adjusted net interest expense and other financing charges(1);
partially offset by,
- the unfavourable year-over-year impact of certain one-time gains in the prior year recorded on consolidation in Other and Intersegment related to
Choice Properties' transactions. - Diluted net earnings per common share from continuing operations also included the favourable impact of shares purchased for cancellation over the last 12 months (
$0.06 per common share).
Adjusted net earnings available to common shareholders of the Company(1) from continuing operations were $365 million, an increase of
SALE OF WESTON FOODS AND DISCONTINUED OPERATIONS On
Discontinued operations represents results of
Net loss available to common shareholders of the Company from discontinued operations in the third quarter of 2021 was $114 million (
- a non-cash goodwill impairment net of deferred tax recovery of
$79 million ($0.53 per common share). Upon classifyingWeston Foods as held for sale, the net assets of fresh and frozen, and ambient businesses were separately measured at the lower of their carrying value or fair value less costs to sell. Fair value less costs to sell represents expected aggregate proceeds from the sale less estimated closing costs and estimated adjustments customary of transactions of this nature; - deferred tax expense on outside basis difference of
Weston Foods of$17 million ($0.11 per common share). The deferred tax expense pertains to temporary differences in respect of GWL's investment inWeston Foods that are expected to reverse in the foreseeable future; and - transaction and other related costs in connection with the sale of the
Weston Foods business of$13 million ($0.09 per common share).
Adjusted net loss available to common shareholders of the Company(1) from discontinued operations in the third quarter of 2021 was $6 million (
CONSOLIDATED OTHER BUSINESS MATTERS
COVID-19 RELATED COSTS The Company incurred COVID-19 related costs of approximately $20 million and
(unaudited) ($ millions) | 16 Weeks Ended | 40 Weeks Ended | ||||||
Loblaw(i) | $ | 19 | $ | 85 | $ | 137 | $ | 399 |
1 | 4 | 4 | 19 | |||||
Consolidated | $ | 20 | $ | 89 | $ | 141 | $ | 418 |
(i) | Loblaw's COVID-19 related costs included |
(ii) |
Refer to "Outlook" of this News Release for more information.
GWL CORPORATE(5) FINANCING ACTIVITIES The Company completed the following financing activities during the third quarters of 2021 and 2020. The cash impacts of these activities are set out below:
(unaudited) ($ millions) | 16 Weeks Ended | 40 Weeks Ended | ||||||
Net Debt Associated with Equity Forward Sale | $ | (462) | $ | — | $ | (515) | $ | — |
GWL Normal Course Issuer Bid ("NCIB") - Purchased | (411) | — | (577) | — | ||||
GWL's Participation in Loblaw's NCIB | 136 | 169 | 474 | 261 | ||||
Net Cash Flow (Used) From Above Activities | $ | (737) | $ | 169 | $ | (618) | $ | 261 |
(i) | |
(ii) |
NET DEBT ASSOCIATED WITH EQUITY FORWARD SALE AGREEMENT In the second quarter of 2021, the Company began to settle the net debt associated with the equity forward sale agreement. In the third quarter of 2021, the Company paid $462 million, net of the
Subsequent to the end of the third quarter of 2021, the Company paid
The 9.6 million Loblaw shares securing the net debt have been released and the Company's economic interest in Loblaw is now equal to its voting interest in Loblaw.
Refer to Section 3.3, "Components of Total Debt" of the Company's 2021 Third Quarter MD&A for more information.
GWL CREDIT FACILITY In the third quarter of 2021, GWL entered into a
Refer to Section 3.3, "Components of Total Debt" of the Company's 2021 Third Quarter MD&A for more information.
GWL'S NCIB - PURCHASED AND CANCELLED SHARES In the third quarter of 2021, the Company purchased and cancelled 3.2 million shares under its NCIB program. At the end of the quarter, the Company had 147.5 million shares outstanding.
In the second quarter of 2021, the Company entered into an automatic share purchase plan ("ASPP") with a broker in order to facilitate the repurchase of the Company's common shares under its NCIB. During the effective period of the ASPP, the Company's broker may purchase common shares at times when the Company would not be active in the market. Subsequent to the end of the third quarter of 2021, the Company purchased and cancelled approximately
Refer to Section 3.6, "Share Capital" of the Company's 2021 Third Quarter MD&A for more information.
GWL'S PARTICIPATION IN LOBLAW'S NCIB Commencing in the first quarter of 2020, the Company began participating in Loblaw's NCIB program in order to maintain its proportionate percentage ownership. During the third quarter of 2021, GWL received proceeds of $136 million from the sale of Loblaw shares.
REPORTABLE OPERATING SEGMENTS
The Company operates through its two reportable operating segments:
Loblaw has two reportable operating segments, retail and financial services. Loblaw's retail segment consists primarily of food retail and drug retail. Loblaw provides Canadians with grocery, pharmacy, health and beauty, apparel, general merchandise and financial services.
Loblaw Operating Results
(unaudited) | 16 Weeks Ended | 40 Weeks Ended | |||||||||||||
$ Change | % Change | $ Change | % Change | ||||||||||||
Revenue | $ | 16,050 | $ | 15,671 | $ | 379 | 2.4 % | $ | 40,413 | $ | 39,428 | $ | 985 | 2.5 % | |
Operating income | $ | 861 | $ | 716 | $ | 145 | 20.3 % | $ | 2,226 | $ | 1,657 | $ | 569 | 34.3 % | |
Adjusted EBITDA(1) | $ | 1,672 | $ | 1,516 | $ | 156 | 10.3 % | $ | 4,257 | $ | 3,685 | $ | 572 | 15.5 % | |
Adjusted EBITDA margin(1) | 10.4 % | 9.7 % | 10.5 % | 9.3 % | |||||||||||
Depreciation and | $ | 817 | $ | 795 | $ | 22 | 2.8 % | $ | 2,041 | $ | 1,987 | $ | 54 | 2.7 % | |
(i) | Depreciation and amortization in the third quarter of 2021 includes $155 million (2020 – $155 million) of amortization of intangible assets acquired with |
Revenue Loblaw revenue in the third quarter of 2021 was
Retail sales increased by $367 million, or 2.4%, compared to the same period in 2020 and included food retail sales of
- food retail same-store sales grew by 0.2% for the quarter. Sales were impacted by lower eat-at-home trends after strong growth last year, offset by higher industry inflation levels. The two year food retail sales Compound Annual Growth Rate ("CAGR")(6) was 4.5%. Food retail basket size decreased and traffic increased in the quarter, as compared to the third quarter of 2020;
- Loblaw's internal measures of inflation were slightly higher than the average quarterly national food price inflation of 2.6% (2020 – 1.8%), as measured by The Consumer Price Index for Food Purchased from Stores; and
- drug retail same-store sales grew by 4.4% (2020 – 6.1%). Pharmacy same-store sales growth benefited from strong sales in fee related services. Front store same-store sales growth benefited from the economic re-opening in the third quarter of 2021. Pharmacy same-store sales growth was 4.8% and front store same-store sales increased by 4.1%. The two year drug retail sales CAGR(6) was 5.5%.
In the last 12 months, 15 food and drug stores were opened and fourteen food and drug stores were closed, resulting in a net increase in retail square footage of 0.3 million square feet, or 0.4%.
Financial services revenue in the third quarter of 2021 increased by
Operating income Loblaw operating income in the third quarter of 2021 was $861 million, an increase of $145 million, or 20.3%, compared to the same period in 2020. The increase included the improvement in underlying operating performance of $134 million and the favourable year-over-year net impact of adjusting items totaling $11 million, as described below:
- the improvement in underlying operating performance of
$134 million was primarily due to the following: - an improvement in the underlying operating performance of retail due to an increase in retail gross profit, partially offset by an increase in selling, general and administrative expenses ("SG&A") and depreciation and amortization; and
- the improvement in the underlying operating performance of financial services.
- the favourable year-over-year net impact of adjusting items totaling
$11 million was primarily due to: - the favourable year-over-year impact of fair value adjustments on fuel and foreign currency contracts of
$8 million ; and - the favourable year-over-year impact of a net gain on sale of non-operating properties of
$6 million ;
partially offset by,
- the unfavourable year-over-year impact of restructuring and other related costs of
$3 million .
Adjusted EBITDA(1) Loblaw adjusted EBITDA(1) in the third quarter of 2021 was
Retail adjusted EBITDA(1) in the third quarter of 2021 increased by $149 million driven by an increase in retail gross profit partially offset by an increase in SG&A of
- Retail gross profit percentage of 30.7% increased by 140 basis points compared to the same period in 2020, from a favourable change in sales mix in both food retail and drug retail and underlying improvements in business initiatives.
- Retail SG&A as a percentage of sales was 20.5%, an increase of 70 basis points compared to the same period of 2020. The increase was primarily due to the normalization of post-lockdown operating conditions and higher costs incurred in drug retail from providing fee related services, partially offset by a reduction in COVID-19 costs.
Financial services adjusted EBITDA(1) increased by $7 million compared to the same period in 2020, primarily driven by higher revenue as described above, lower contractual charge-off and lower funding costs. This was partially offset by higher loyalty program costs and operating costs.
Depreciation and Amortization Loblaw depreciation and amortization in the third quarter of 2021 was $817 million, an increase of $22 million compared to the same period in 2020, primarily driven by an increase in depreciation of information technology ("IT") and leased assets and an increase in depreciation in the financial services due to the launch of the PC Money Account. Included in depreciation and amortization is the amortization of intangible assets acquired with
Consolidation of Franchises Loblaw has more than 500 franchise food retail stores in its network. Non-controlling interests at Loblaw represent the franchise's earnings in food. Loblaw's net earnings attributable to non-controlling interests were $54 million in the third quarter of 2021. When compared to the third quarter of 2020, this represented an increase of $39 million or 260%. The increases in non-controlling interests at Loblaw were primarily driven by higher franchise earnings in comparison to the same period in 2020.
Network Optimization Subsequent to the end of the third quarter of 2021, Loblaw finalized network optimization plans that will result in banner conversions, closures and right-sizing of approximately 20 unprofitable retail locations across a range of banners and formats, the majority of which will be banner conversions and 3 will be closures within food retail. Loblaw expects to record charges of approximately
Choice Properties Operating Results
(unaudited) ($ millions except where otherwise For the periods ended as indicated | 16 Weeks Ended | 40 Weeks Ended | ||||||||||||
$ Change | % Change | $ Change | % Change | |||||||||||
Revenue | $ | 316 | $ | 309 | $ | 7 | 2.3 % | $ | 967 | $ | 949 | $ | 18 | 1.9 % |
Net interest expense (income) | $ | 113 | $ | 145 | $ | (32) | (22.1)% | $ | 878 | $ | (44) | $ | 922 | 2,095.5 % |
Net income | $ | 163 | $ | 97 | $ | 66 | 68.0% | $ | 186 | $ | 334 | $ | (148) | (44.3)% |
Funds from Operations(1) | $ | 173 | $ | 169 | $ | 4 | 2.4 % | $ | 515 | $ | 480 | $ | 35 | 7.3 % |
(i) | Net interest expense (income) and other financing charges includes a fair value adjustment on Exchangeable Units. |
Revenue Revenue in the third quarter of 2021 was
The increase in revenue was primarily driven by:
- the contribution from acquisitions and development transfers completed in 2020 and 2021;
partially offset by,
- declines due to foregone revenue from dispositions in 2020; and
- vacancies in select retail and office assets.
Net Interest Expense and Other Financing Charges Net interest expense and other financing charges in the third quarter of 2021 were $113 million compared to $145 million in the same period in 2020. The decrease of $32 million was primarily driven by the favourable year-over-year impact of the fair value adjustment of Exchangeable Units of $31 million.
Net Income Net income in the third quarter of 2021 was $163 million, compared to $97 million in the same period in 2020. The increase of $66 million was primarily driven by:
- lower net interest expense and other financing charges as described above;
- the favourable change in the adjustment to fair value of investment properties, including those held within equity accounted joint ventures;
- a decline in expected credit loss provisions; and
- an increase in rental revenue as described above.
Funds from Operations(1) Funds from Operations(1) in the third quarter of 2021 was $173 million, an increase of $4 million compared to the same period in 2020, primarily due to a decline in expected credit loss provisions, and the contribution from acquisitions and development transfers completed in 2020 and 2021.
Other Matters Subsequent to the end of the third quarter of 2021,
Subsequent to the end of the third quarter of 2021,
Subsequent to the end of the third quarter of 2021,
OUTLOOK(2)
For 2021, the Company expects adjusted net earnings(1) from continuing operations to increase due to the results from its operating segments, including the continued improved performance of Loblaw, and to use excess cash to repurchase shares.
Loblaw Loblaw's businesses continues to be impacted by the pandemic in 2021, including the challenge of lapping elevated 2020 sales.
On a full year basis, Loblaw expects:
- its core retail business to grow earnings faster than sales;
- growth in financial services profitability;
- to invest approximately
$1.2 billion in capital expenditures, net of proceeds from property disposals; and - to return capital to shareholders by allocating a significant portion of free cash flow to share repurchases.
Based on its year to date operating and financial performance and momentum exiting the third quarter, Loblaw expects year-over-year adjusted diluted net earnings per common share(1) growth in the low-to-mid thirty percent range, excluding the impact of the 53rd week in the fourth quarter of fiscal year 2020 and the charges associated with Loblaw's network optimization as described in Loblaw Operating Results of this News Release.
In the third quarter, Loblaw's COVID-19 related costs were approximately
Although there remains uncertainty on the longer-term impact of the COVID-19 pandemic,
Underpinning all aspects of
DECLARATION OF QUARTERLY DIVIDENDS
Subsequent to the end of the third quarter of 2021, the Company's Board of Directors declared a quarterly dividend on GWL Common Shares, Preferred Shares, Series I, Preferred Shares, Series III, Preferred Shares, Series IV and Preferred Shares, Series V payable as follows:
Common Shares | |||
Preferred Shares, Series I | |||
Preferred Shares, Series III | |||
Preferred Shares, Series IV | |||
Preferred Shares, Series V |
NON-GAAP FINANCIAL MEASURES
The Company uses non-GAAP financial measures as it believes these measures provide useful information to both management and investors with regard to accurately assessing the Company's financial performance and financial condition.
Management uses these and other non-GAAP financial measures to exclude the impact of certain expenses and income that must be recognized under GAAP when analyzing underlying consolidated and segment operating performance, as the excluded items are not necessarily reflective of the Company's underlying operating performance and make comparisons of underlying financial performance between periods difficult. The Company excludes additional items if it believes doing so would result in a more effective analysis of underlying operating performance. The exclusion of certain items does not imply that they are non-recurring.
These measures do not have a standardized meaning prescribed by GAAP and therefore they may not be comparable to similarly titled measures presented by other publicly traded companies, and should not be construed as an alternative to other financial measures determined in accordance with GAAP.
For reconciliation to, and description of the Company's non-GAAP financial measures and financial metrics, see Section 9, "Non-GAAP Financial Measures", of the MD&A in the Company's 2021 Third Quarter Report.
Non-GAAP Financial Measures Policy Change Effective First Quarter of 2021 In 2020, management undertook a review of historical adjusting items as part of an effort to reduce the number of non-GAAP items it adjusts for in its financial reporting. Management concluded that, in order to present adjusting items in a manner more consistent with that of its Canadian and
FORWARD-LOOKING STATEMENTS
This News Release contains forward-looking statements about the Company's objectives, plans, goals, aspirations, strategies, financial condition, results of operations, cash flows, performance, prospects, opportunities and legal and regulatory matters. Specific forward-looking statements in this News Release include, but are not limited to, statements with respect to the Company's anticipated future results, events and plans, strategic initiatives and restructuring, regulatory changes including further healthcare reform, future liquidity, planned capital investments, and the status and impact of IT systems implementations. Additionally, there can be no assurance regarding (a) the ability of the Company to successfully complete the sale of the
Forward-looking statements reflect the Company's estimates, beliefs and assumptions, which are based on management's perception of historical trends, current conditions and expected future developments, as well as other factors it believes are appropriate in the circumstances. The Company's expectation of operating and financial performance in 2021 is based on certain assumptions, including assumptions about the COVID-19 pandemic, healthcare reform impacts, anticipated cost savings and operating efficiencies and anticipated benefits from strategic initiatives. The Company's estimates, beliefs and assumptions are inherently subject to significant business, economic, competitive and other uncertainties and contingencies regarding future events, including the COVID-19 pandemic and as such, are subject to change. The Company can give no assurance that such estimates, beliefs and assumptions will prove to be correct.
Numerous risks and uncertainties could cause the Company's actual results to differ materially from those expressed, implied or projected in the forward-looking statements, including those described in "Enterprise Risks and Risk Management" section, of the MD&A in the Company's 2020 Annual Report and the Company's Annual Information Form for the year ended
Readers are cautioned not to place undue reliance on these forward-looking statements, which reflect the Company's expectations only as of the date of this News Release. Except as required by law, the Company does not undertake to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.
SEGMENT INFORMATION
The Company has two reportable operating segments:
The accounting policies of the reportable operating segments are the same as those described in the Company's 2020 audited annual consolidated financial statements. The Company measures each reportable operating segment's performance based on adjusted EBITDA(1) and adjusted operating income(1). No reportable operating segment is reliant on any single external customer.
16 Weeks Ended | ||||||||||||||||
($ millions) | Loblaw | Choice Properties | Other and Intersegment | Total | Loblaw | Choice Properties | Other and Intersegment | Total | ||||||||
Revenue | $ | 16,050 | $ | 316 | $ | (174) | $ | 16,192 | $ | 15,671 | $ | 309 | $ | (174) | $ | 15,806 |
Operating income | $ | 861 | $ | 276 | $ | (12) | $ | 1,125 | $ | 716 | $ | 242 | $ | 6 | $ | 964 |
Net interest expense (income) and other | 203 | 113 | 96 | 412 | 228 | 145 | (50) | 323 | ||||||||
Earnings before income taxes | $ | 658 | $ | 163 | $ | (108) | $ | 713 | $ | 488 | $ | 97 | $ | 56 | $ | 641 |
Operating income | $ | 861 | $ | 276 | $ | (12) | $ | 1,125 | $ | 716 | $ | 242 | $ | 6 | $ | 964 |
Depreciation and amortization | 817 | 1 | (114) | 704 | 795 | 1 | (114) | 682 | ||||||||
Adjusting items(i) | (6) | (51) | 8 | (49) | 5 | (18) | 11 | (2) | ||||||||
Adjusted EBITDA(i) | $ | 1,672 | $ | 226 | $ | (118) | $ | 1,780 | $ | 1,516 | $ | 225 | $ | (97) | $ | 1,644 |
Depreciation and amortization(ii) | 662 | 1 | (114) | 549 | 640 | 1 | (114) | 527 | ||||||||
Adjusted operating income(i) | $ | 1,010 | $ | 225 | $ | (4) | $ | 1,231 | $ | 876 | $ | 224 | $ | 17 | $ | 1,117 |
(i) | Certain items are excluded from operating income to derive adjusted EBITDA(1). Adjusted EBITDA(1) is used internally by management when analyzing segment underlying operating performance. |
(ii) | Excludes |
40 Weeks Ended | ||||||||||||||||
($ millions) | Loblaw | Choice Properties | Other and Intersegment | Total | Loblaw | Choice Properties | Other and Intersegment | Total | ||||||||
Revenue | $ | 40,413 | $ | 967 | $ | (534) | $ | 40,846 | $ | 39,428 | $ | 949 | $ | (537) | $ | 39,840 |
Operating income | $ | 2,226 | $ | 1,064 | $ | (272) | $ | 3,018 | $ | 1,657 | $ | 290 | $ | 59 | $ | 2,006 |
Net interest expense (income) and other | 524 | 878 | 58 | 1,460 | 576 | (44) | 53 | 585 | ||||||||
Earnings before income taxes | $ | 1,702 | $ | 186 | $ | (330) | $ | 1,558 | $ | 1,081 | $ | 334 | $ | 6 | $ | 1,421 |
Operating income | $ | 2,226 | $ | 1,064 | $ | (272) | $ | 3,018 | $ | 1,657 | $ | 290 | $ | 59 | $ | 2,006 |
Depreciation and amortization | 2,041 | 3 | (274) | 1,770 | 1,987 | 2 | (267) | 1,722 | ||||||||
Adjusting items(i) | (10) | (393) | 157 | (246) | 41 | 361 | (170) | 232 | ||||||||
Adjusted EBITDA(i) | $ | 4,257 | $ | 674 | $ | (389) | $ | 4,542 | $ | 3,685 | $ | 653 | $ | (378) | $ | 3,960 |
Depreciation and amortization(ii) | 1,652 | 3 | (274) | 1,381 | 1,595 | 2 | (267) | 1,330 | ||||||||
Adjusted operating income(i) | $ | 2,605 | $ | 671 | $ | (115) | $ | 3,161 | $ | 2,090 | $ | 651 | $ | (111) | $ | 2,630 |
(i) | Certain items are excluded from operating income to derive adjusted EBITDA(1). Adjusted EBITDA(1) is used internally by management when analyzing segment underlying operating performance. |
(ii) | Excludes $389 million (2020 – $392 million) of amortization of intangible assets acquired with |
2021 THIRD QUARTER REPORT
The Company's 2020 Annual Report and 2021 Third Quarter Report are available in the Investor Centre section of the Company's website at www.weston.ca and have been filed on SEDAR and are available at www.sedar.com.
INVESTOR RELATIONS
Shareholders, security analysts and investment professionals should direct their requests to
Additional financial information has been filed electronically with various securities regulators in
This News Release also includes selected information on
THIRD QUARTER CONFERENCE CALL AND WEBCAST
Ce rapport est disponible en français.
Endnotes | |
(1) | See the "Non-GAAP Financial Measures" section of the Company's 2021 Third Quarter Results, which includes the reconciliation of such non-GAAP measures to the most directly comparable GAAP measures. |
(2) | This News Release contains forward-looking information. See "Forward-Looking Statements" section of this News Release and the Company's 2021 Third Quarter Report for a discussion of material factors that could cause actual results to differ materially from the forecasts and projections herein and of the material factors and assumptions that were used when making these statements. This News Release should be read in conjunction with GWL's filings with securities regulators made from time to time, all of which can be found at www.weston.ca and www.sedar.com. |
(3) | Certain figures have been restated due to the non-GAAP financial measures policy change. See the "Non-GAAP Financial Measures Policy Change Effective First Quarter of 2021" section of the Company's 2021 Third Quarter Management Discussion & Analysis. |
(4) | Comparative figures have been restated to conform with current year presentation. |
(5) | GWL Corporate refers to the non-consolidated financial results and metrics of GWL. GWL Corporate is a subset of Other and Intersegment. |
(6) | Compound Average Growth Rate ("CAGR") is the measure of annualized growth over a period longer than one year. CAGR is the mean annual growth rate over a two year period, 2019 to 2021. |
SOURCE
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