Mediagrif announces its financial results for the third quarter of fiscal 2013
Third quarter highlights:
-- Revenues up 11% or $1.5 million to $15.1 million.
-- EBITDA of $6.2 million up 29%, compared to $4.8 million (before
transaction costs of $1.4 million for the acquisition of
-- Operating profit of $4.9 million compared to $2.3 million.
-- Profit of $3.5 million ($0.24 per share), up by $2.5 million.
-- Full repayment of long-term debt following the private
placement of common shares of $35.0 million.
Increase in quarterly dividend at $0.10 per share:
-- Increase of 11% of quarterly dividend from $0.09 to $0.10 per
LONGUEUIL, QC, Feb. 12, 2013 /CNW Telbec/ - Mediagrif Interactive Technologies
Inc. (TSX: MDF), a world-leading operator of e-commerce solutions, today
announced its financial results for the third quarter of fiscal 2013 ended
December 31, 2012. Unless indicated otherwise, all amounts are in Canadian
SUMMARY OF CONSOLIDATED RESULTS
Three months ended Nine months ended
December 31 December 31
(in thousands of Canadian
dollars, except for numbers
related to shares - unaudited) 2012 2011 2012 2011
Revenues 15,128 13,617 46,188 38,960
EBITDA 6,173 3,353 18,812 11,822
Operating profit 4,898 2,250 15,009 9,207
Profit for the period 3,475 965 10,537 6,870
Earnings per share
- Basic & Diluted 0.24 0.07 0.75 0.50
Weighted average number of share
outstanding (in thousands)
- Basic 14,356 13,710 13,964 13,699
- Diluted 14,374 13,762 13,995 13,743
The results for the three- and nine-month periods ended December 31,
2012 include a non-recurring expense of $1.4 million related to the
acquisition of LesPAC.
The income analysis summary takes into consideration the impact of the
acquisition of LesPAC network ("LesPAC") completed on November14, 2011.
RESULTS FOR THE THIRD QUARTER OF FISCAL 2013
For the third quarter of fiscal 2013, revenues totaled $15.1million, an
increase of 11.1% or $1.5million compared to the third quarter of fiscal
2012 revenues of $13.6million.
The revenue increase is mainly explained by the increase in revenues from
LesPAC for $1.9million, partly offset by a decrease in revenues, in original
currencies, in certain subsidiaries, amounting to a net amount of
$0.2million. Moreover, the changes in the value of the Canadian dollar
compared to the U.S. dollar, combined with currency hedges in place, generated
a negative impact on revenues of $0.1million during the third quarter of
Total operating expenses of the third quarter of fiscal 2013, including cost
of revenues, reached $10.2million, compared to $11.4million for the third
quarter of fiscal 2012. The decrease in operating expenses is mainly due to
the $1.4million transaction costs related to the acquisition of LesPAC
incurred during the third quarter of fiscal 2012 while LesPAC activities added
$1.0million in operating expenses during the third quarter of fiscal 2013.
Additional tax credits of $0.2million were also recorded in the third
quarter of fiscal 2013.
EBITDA totaled $6.2million or 40.8% of revenues compared to $3.4million or
24.6% of revenues during the third quarter of fiscal 2012.
Profit reached $3.5million ($0.24 per share), compared to $1.0million
($0.07 per share) recorded during the third quarter of fiscal 2012.
RESULTS FOR THE FIRST NINE MONTHS OF FISCAL 2013
For the first nine months of fiscal 2013, revenues totaled $46.2million, an
increase of 18.6% or $7.2million, when compared to the first nine months of
fiscal 2012 revenues of $39.0million.
The increase is mainly explained by the increase in revenues from LesPAC by
$8.6million, partly offset by a decrease in revenues, in original
currencies, in certain subsidiaries, amounting to a net amount of
$0.8million. Moreover, the changes in the value of the Canadian dollar
compared to the U.S. dollar, combined with currency hedge in place, generated
a negative impact on revenues of $0.3million during the first nine months of
Total operating expenses of the first nine months of fiscal 2013, including
cost of revenues, reached $31.2million, compared to $29.8million for the
first nine months of fiscal 2012. The increase in operating expenses is mainly
due to the increase in LesPAC activities for $4.8million during the first
nine months of fiscal 2013 partly offset by a decrease in professional fees
(including the $1.4million transaction costs related to LesPAC), lower
salary expenses and additional tax credits.
EBITDA totaled $18.8million or 40.7% of revenues compared to $11.8million
or 30.3% of revenues during the first nine months of fiscal 2012.
Profit reached $10.5million ($0.75 per share), compared to $6.9million
($0.50 per share) recorded during the first nine months of fiscal 2012.
CASH FLOW AND FINANCIAL POSITION
On December 6, 2012, the Company completed the sale, by way of a private
placement, of 2million common shares for gross proceeds of $35.0million.
The Company used the proceeds to repay in full the term loan and revolving
As at December 31, 2012, the Company had $9.3million of cash and cash
equivalents and $60.0million available on its unused revolving credit
Operating activities generated $4.9million of cash flows during the third
quarter of fiscal 2013 compared to $5.4million for the corresponding period
of fiscal 2012.
During the first nine months of fiscal 2013, operating activities generated
$12.9million of cash flows compared to $9.2million for the first nine
months of fiscal 2012.
QUARTERLY DIVIDEND INCREASED TO $0.10 PER SHARE
The Board of Directors of Mediagrif approved a 11% dividend increase in the
quarterly dividend of $0.09 per share and declared a quarterly dividend of
$0.10 per share. The dividend is payable on April 15, 2013, to shareholders of
record on April 2, 2013.
We have been informed by our client, Public Works and Government Services of
Canada ("PWGSC"), that it will not call for tenders in order to replace the
MERX solution. The department uses MERX's electronic tendering system pursuant
to a contract which expires May 31, 2013.
PWGSC plans to provide its suppliers with a solution developed internally.
Suppliers of PWGSC, as well as those of other departments and governmental
agencies, may continue to benefit from all the value added services of MERX.
The Company believes that the loss of a portion of the revenue from the
expiration of this agreement will be compensated, among other things by:
-- Providing the services of MERX to all suppliers and other
departments and agencies that are currently using MERX.
-- The increase activity generated by the use of MERX by our
public and private sector clients in Canada.
About Mediagrif Interactive Technologies Inc.
Mediagrif Interactive Technologies Inc. (TSX: MDF) delivers innovative
e-commerce solutions to businesses since 1996. Its web platforms enable
clients to find, purchase and sell products, exchange information, gain access
to business opportunities and manage supply chain collaboration with greater
speed and efficiency. The Company provides e-commerce solutions in the fields
of electronic components, computer equipment and telecommunications, medical
equipment, automotive aftermarket, wine and spirits, diamonds and jewelry,
classified ads, supply chain collaboration and government opportunities.
Mediagrif has its headquarters in Longueuil and has offices in North America
and Asia. For more information, please visit us at www.mediagrif.com or call 1
In addition to providing profit measures in accordance with IFRS, the Company
shows operating profit and earnings before interest, taxes, depreciation and
amortization ("EBITDA") as supplementary earnings measures. The Company
sometimes refers to the free cash flow measure in its documents. Free cash
flow is defined as cash flows from operating activities less the acquisition
of property, plant and equipment and intangible assets presented in investing
activities and less dividends paid that are presented in financing activities.
Operating profit, EBITDA and free cash flow are not intended to be measures
that should be regarded as an alternative to other financial operating
performance measures prepared in accordance with IFRS. Those measures do not
have a standardized meaning prescribed by IFRS and may not be comparable to
similar measures presented by other companies.
This press release contains certain forward-looking statements with respect to
the Company. These forward-looking statements, by their nature, necessarily
involve risks and uncertainties that could cause actual results to differ
materially from those contemplated by these forward-looking statements. We
consider the assumptions on which these forward-looking statements are based
to be reasonable, but caution the reader that these assumptions regarding
future events, many of which are beyond our control, may ultimately prove to
be incorrect since they are subject to risks and uncertainties that affect us.
We disclaim any intention or obligation to update or revise any
forward-looking statements, whether as a result of new information, future
events or otherwise, except as required by applicable securities legislation.
Unless otherwise indicated, all amounts are in Canadian dollars.
Unaudited condensed consolidated interim financial statements, accompanying
notes and MD&A are available on www.mediagrif.com and have been filed with
SEDAR at the following address: www.sedar.com.
Mediagrif InteractiveTechnologies Inc. Claude Roy President and Chief
Executive Officer Tel.: 450-449-0102 ext. 2004 Toll Free: 1 877 677-9088 ext.
2004 Email:email@example.com Paul Bourque Chief Financial Officer Tel.:
450-449-0102, ext: 2135 Toll Free: 1 877 677-9088 ext. 2135
SOURCE: MEDIAGRIF INTERACTIVE TECHNOLOGIES INC.
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