/NOT FOR DISTRIBUTION TO
Highlights:
- Revenue increased by 7.3 per cent to
$240.3 million - Solid organic growth of 4.3 per cent
- Adjusted EBITDA increased by 13.3 per cent to
$49.6 million - Margins improved to 20.7 per cent from 19.6 per cent over the same period last year
In the third quarter over the comparable period last year the Company delivered growth of 7.3 per cent in revenue to
"We are pleased with our third quarter results and our strengthening position as the global leader in total wellbeing," said
Year-to-date, the Company reported $729.5 million in revenue, an increase of 13.7 per cent over the same period last year, along with adjusted EBITDA of $149.0 million, up 10.9 per cent.
Strategically, the Company entered the fast-growing digital telemedicine solutions market in
"We continue to prove our business is resilient and growing profitably," Liptrap added. "Going forward our sales pipeline remains strong, a reflection of the confidence our clients have in our solutions to meet the wellbeing needs of their people and, in the process, support their organizational resilience in navigating the challenging realities of the pandemic."
Q3 2020 Financial Review
In thousands of Canadian | Three months | Three months | Nine months | Three months |
Revenue |
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Adjusted EBITDA | ||||
Adjusted EBITDA margin | 20.7% | 19.6% | 20.4% | 21.0% |
Adjusted EBITDA per share (basic) |
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Normalized Free Cash Flow | ||||
Profit (loss) | ( | |||
Earnings (loss) per share (basic) | (0.03) |
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For the three months ended September 30, 2020, the Company reported $240.3 million in revenue, an increase of 7.3 per cent or $16.3 million over the same period last year. The increase is primarily due to organic revenue growth of 4.3 per cent, including 8.4 per cent organic growth in our
Adjusted EBITDA increased by 13.3 per cent to $49.6 million from $43.8 million compared to the same period last year. Adjusted EBITDA margin was 20.7 per cent in Q3, 2020, which improved compared to 19.6 per cent in Q3, 2019. Adjusted EBITDA per share (basic) for the quarter was $0.71, up 7.6 per cent from the same period last year.
Loss for the period was
Loss per share (basic) for the period was
During Q3, 2020, the Company generated Normalized Free Cash Flow of $21.9 million compared to $24.2 million in Q3, 2019. The decrease is mainly due to higher capital expenditures in the quarter.
The Company is maintaining its policy of paying a monthly dividend of 6.5 cents per share.
Third-Quarter Results Review – Notice of Conference Call
Management of
About
Financial Measures
To assist investors in assessing the Company's financial performance, this news release also makes reference to certain financial measures such as Adjusted EBITDA, Adjusted EBITDA margin, Adjusted EBITDA per share and Normalized Free Cash Flow. The Company believes that these are useful supplemental measures to assist our investors in assessing our financial performance. See the Company's MD&A for more details. These financial measures do not have any standard meaning prescribed by International Financial Reporting Standards and therefore may not be comparable to similar measures presented by other issuers.
(1) | "Adjusted EBITDA" is defined as profit before finance costs, income tax expenses, depreciation, amortization, impairment losses, and certain unusual expenditures. |
(2) | "Adjusted EBITDA Margin" is defined as Adjusted EBITDA as a percentage of revenue. |
(3) | "Adjusted EBITDA per share" is defined as Adjusted EBITDA divided by the weighted average number of common shares. |
(4) | "Normalized Free Cash Flow" is defined as cash provided by operating activities, adjusted for changes in non-cash operating working capital, capital expenditures, current income taxes (net of income taxes paid), and certain unusual expenditures. |
Forward-Looking Statements
This news release contains "forward-looking statements" within the meaning of applicable securities laws, such as statements concerning anticipated future events, results, circumstances, performance or expectations that are not historical facts. Use of words such as "may," "will," "expect," "believe," or other words of similar effect may indicate a "forward-looking" statement. These statements are not guarantees of future performance and are subject to numerous risks and uncertainties, including those described in the Company's publicly filed documents (available on SEDAR at sedar.com) and in the Company's MD&A under the heading "Risks and Uncertainties." Those risks and uncertainties include ability to maintain profitability and manage growth, reliance on information systems and technology, reputational risk, dependence on key clients, reliance on key professionals and economic conditions. Many of these risks and uncertainties can affect the firm's actual results and could cause the Company's actual results to differ materially from those expressed or implied in any forward-looking statement made by the Company or on the firm's behalf. Given these risks and uncertainties, investors should not place undue reliance on forward-looking statements as a prediction of actual results. All forward-looking statements in this news release are qualified by these cautionary statements. These statements are made as of the date of this news release and, except as required by applicable law, the Company undertakes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. Additionally, the Company undertakes no obligation to comment on analyses, expectations or statements made by third parties in respect of the Company, its financial or operating results or its securities.
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