Canada NewsWire
MISSISSAUGA, ON, Aug. 11, 2020
LISTING: TORONTO STOCK EXCHANGE
SYMBOL: BDT
MISSISSAUGA, ON, Aug. 11, 2020 /CNW/ -
HIGHLIGHTS:
"Our Company has shown resilience in the second quarter with its seventh sequential quarter where our trailing twelve month Adjusted EBITDA has improved. The credit has to go to our field staff that safely worked through the height of the pandemic and ensured that our Company delivered its projects," said Teri McKibbon, President & CEO. "Our near record Backlog and Pending Backlog will provide ample work at good margins to help the Company be considerably more profitable in 2020 than recent years despite a projected decline in revenue year-over-year."
Financial Results | |||||||||
(in thousands of Canadian dollars, except per share amounts) | |||||||||
Three months ended June 30, | Six months ended June 30, | ||||||||
2020 | 2019 | 2020 | 2019 | ||||||
Construction revenue | $ | 282,766 | $ | 315,428 | 604,412 | $ | 577,205 | ||
Net income (loss) | $ | 5,624 | $ | 1,001 | 6,747 | $ | (5,465) | ||
Basic and diluted earnings (loss) per share | $ | 0.13 | $ | 0.02 | 0.16 | $ | (0.13) | ||
Adjusted earnings (loss) per share (1) | $ | 0.15 | $ | 0.02 | 0.18 | $ | (0.13) | ||
Adjusted EBITDA (1) | $ | 12,328 | 5,447 | 19,890 | 2,314 | ||||
Cash flows from operations before changes in | $ | 8,990 | $ | 6,512 | 16,049 | $ | 825 |
Bird Construction Inc. also announced that its Board of Directors has approved monthly eligible dividends for the following months in the amount of $0.0325 per common share to be paid as follows:
i) | The August dividend of $0.0325 per share will be paid on September 18, 2020 to the Shareholders of record as of the close of business on August 31, 2020. |
ii) | The September dividend of $0.0325 per share will be paid on October 20, 2020 to the Shareholders of record as of the close of business on September 30, 2020. |
iii) | The October dividend of $0.0325 per share will be paid on November 20, 2020 to the Shareholders of record as of the close of business on October 31, 2020. |
Bird will host an investor webcast to discuss the quarterly results on Wednesday, August 12, 2020 at 10:00 a.m. ET, to discuss the quarterly results. Analysts and investors may connect to the webcast via URL at http://services.choruscall.ca/links/bird20200812.html. They may also dial 1-855-328-1925 for audio only or to enter the question queue, attendees are asked to be on the line 10 minutes prior to the start of the call. The presentation can also be found on our website at https://www.bird.ca/investors/publications#investor-presentations.
Related financial documents will be filed and available on the System for Electronic Document Analysis and Retrieval (SEDAR) at www.sedar.com.
Non-GAAP Measures
Adjusted Earnings, Adjusted Earnings Per Share, Adjusted EBITDA and Adjusted EBITDA Margin have no standardized meaning under IFRS and are considered non-GAAP measures. Therefore, these measures may not be comparable with similar measures presented by other companies. Management uses Adjusted Earnings and Adjusted EBITDA to assess the operating performance of its business. Management believes that investors and analysts use these measures, as they may provide predictive value to assess the ongoing operations of the business and a more consistent comparison between financial reporting periods.
Adjusted Earnings
Three months ended June 30, | Six months ended June 30, | ||||||||||
(in thousands of Canadian dollars, except per share amounts) | 2020 | 2019 | 2020 | 2019 | |||||||
Net income (loss) | $ | 5,624 | $ | 1,001 | $ | 6,747 | $ | (5,465) | |||
Add: Acquisition and Integration costs | 1,276 | - | 1,276 | - | |||||||
Add: Restructuring costs (1) | - | - | - | - | |||||||
Income tax effect of the above costs | (334) | - | (334) | - | |||||||
Adjusted Earnings (Loss) | $ | 6,566 | $ | 1,001 | $ | 7,689 | $ | (5,465) | |||
Adjusted Earnings (Loss) Per Share (2) | 0.15 | 0.02 | 0.18 | (0.13) | |||||||
Notes | |||||||||||
(1)Restructuring costs as defined in accordance with IFRS. | |||||||||||
(2)Calculated as Adjusted Earnings divided by basic weighted average shares. |
Adjusted EBITDA
Three months ended June 30, | Six months ended June 30, | |||||||||
(in thousands of Canadian dollars, except percentage amounts) | 2020 | 2019 | 2020 | 2019 | ||||||
Net income (loss) | $ | 5,624 | $ | 1,001 | $ | 6,747 | $ | (5,465) | ||
Add: Income tax expense (recovery) | 2,261 | 480 | 2,679 | (1,915) | ||||||
Add: Depreciation and amortization | 3,287 | 3,559 | 7,155 | 6,778 | ||||||
Add: Finance and other costs | 1,549 | 1,316 | 4,643 | 2,768 | ||||||
Less: Finance income | (325) | (551) | (1,091) | (1,129) | ||||||
Add: Loss/(gain) on sale of property and equipment | (1,344) | (413) | (1,519) | (648) | ||||||
Add: Restructuring and severance costs (1) | - | 55 | - | 1,925 | ||||||
Add: Acquisition and Integration costs | 1,276 | - | 1,276 | - | ||||||
Add: Restructuring costs (2) | - | - | - | - | ||||||
Adjusted EBITDA | $ | 12,328 | $ | 5,447 | $ | 19,890 | $ | 2,314 | ||
Adjusted EBITDA Margin (3) | 4.36% | 1.73% | 3.29% | 0.40% | ||||||
Notes: | ||||||||||
(1)Restructuring and severance costs did not meet the criteria to be classified under restructuring costs as defined in accordance with IFRS. | ||||||||||
(2)Restructuring costs as defined in accordance with IFRS. | ||||||||||
(3)Calculated as Adjusted EBITDA divided by revenue. |
Forward Looking Information
This news release contains forward-looking statements and information ("forward-looking statements") within the meaning of applicable Canadian securities laws. The forward-looking statements contained in this news release are based on the expectations, estimates and projections of management of Bird as of the date of this news release unless otherwise stated. The use of any of the words "believe", "expect", "anticipate", "contemplate", "target", "plan", "intends", "continue", "may", "will", "should" and similar expressions are intended to identify forward-looking statements. More particularly and without limitation, this news release contains forward-looking statements concerning: the timing and anticipated receipt of required lender, debenture holder, shareholder, court, regulatory, stock exchange and other third party approvals for the transaction; and the ability of Stuart Olson and Bird to satisfy the other conditions to, and to complete, the transaction.
In respect of the forward-looking statements concerning the completion of the transaction, the timing and anticipated receipt of required third party approvals and the anticipated timing for completion of the transaction, Bird and Stuart Olson have provided such in reliance on certain assumptions that they believe are reasonable at this time, including assumptions as to the time required to prepare and mail shareholder meeting materials, including the Circular; the ability of the parties to receive, in a timely manner, the necessary lender, debenture holder, shareholder, court, regulatory, stock exchange and other third party approvals, including but not limited to the receipt of applicable competition approvals; and the ability of the parties to satisfy, in a timely manner, the other conditions to the closing of the Arrangement Agreement.
Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not limited to the risks associated with the industries in which Bird operates in general such as: operational risks, industry and inherent project delivery risks; delays or changes in plans with respect to growth projects or capital expenditures; costs and expenses; health, safety and environmental risks; commodity price, interest rate and exchange rate fluctuations; compliance with environmental laws risks; competition, ethics and reputational risks; ability to access sufficient capital from internal and external sources; global pandemics; repayment of credit facility; collection of recognized revenue; performance bonds and contract security; potential for non-payment and credit risk and ongoing financing availability; regional concentration; regulations; dependence on the public sector; client concentration; labour matters; loss of key management; ability to hire and retain qualified and capable personnel; subcontractor performance; unanticipated shutdowns, work stoppages, strikes and lockouts; maintaining safe worksites; cyber security risks; litigation risk; corporate guarantees and letters of credit; volatility of market trading; failure of clients to obtain required permits and licenses; payment of dividends; economy and cyclicality; Public Private Partnerships project risk; design risks; completion and performance guarantees/design-build risks; ability to secure work; estimating costs and schedules/assessing contract risks; quality assurance and quality control; accuracy of cost to complete estimates; insurance risk; adjustments and cancellations of backlog; joint venture risk; internal and disclosure controls; Public Private Partnerships equity investments; and changes in legislation, including but not limited to tax laws and environmental regulations. Risks and uncertainties inherent in the nature of the transaction include the failure of Stuart Olson or Bird to obtain, as applicable, necessary lender, debenture holder, shareholder, court, regulatory, stock exchange and other third party approvals, or to otherwise satisfy the conditions to the transaction, in a timely manner, or at all. Failure to so obtain such approvals, or the failure of Stuart Olson or Bird to otherwise satisfy the conditions to the transaction, may result in the transaction not being completed on the proposed terms, or at all. In addition, the failure of Stuart Olson or Bird to comply with the terms of the Arrangement Agreement may result in Stuart Olson or Bird being required to pay a non-completion or other fee to the other party.
The forward-looking statements in this news release should not be interpreted as providing a full assessment or reflection of the unprecedented impacts of the recent COVID-19 pandemic ("COVID-19") and the resulting indirect global and regional economic impacts.
Readers are cautioned that the foregoing list of factors is not exhaustive. Additional information on other factors that could affect the operations or financial results of the parties, and the combined company, including any risk factors related to COVID-19, are included in reports on file with applicable securities regulatory authorities, including but not limited to; Bird's Annual Information Form for the year ended December 31, 2019, which may be accessed on Bird's SEDAR profile at www.sedar.com.
The forward-looking statements contained in this news release are made as of the date hereof and the parties undertake no obligation to update publicly or revise any forward-looking statements, whether as a result of new information, future events or otherwise, unless so required by applicable securities laws.
The Toronto Stock Exchange does not accept responsibility for the adequacy or accuracy of this release.
For further information contact:
T.L. McKibbon, President & C.E.O or
W.R. Gingrich, C.F.O
Bird Construction Inc.
5700 Explorer Drive, Suite 400
Mississauga, ON, L4W 0C6
Phone: (905) 602-4122 Fax: (905) 602-1516
SOURCE Bird Construction Inc.
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