Canada NewsWire
MISSISSAUGA, ON, Nov. 9, 2021
MISSISSAUGA, ON, Nov. 9, 2021 /CNW/ - "The Company has been focused on advancing collaboration, both internally and externally, and we are truly seeing the benefit of that reflected in the increase in collaborative contract awards. These collaborative projects have been primary drivers for our record Backlog, record Pending Backlog and record revenue in the third quarter," said Mr. Teri McKibbon, President and CEO of Bird Construction. "Our employees have embraced the changes in our company over the past several years and have done a tremendous job managing through the pandemic while building a resilient business. Bird's bid pipeline is robust, and we continue to see more cross selling opportunities emerge as we continue our successful integration with Stuart Olson. While it is early days with Dagmar Construction, we are excited about the growth prospects this acquisition opens up to us in the civil infrastructure market. Both acquisitions are acting as catalysts for Bird to grow and diversify, all while maintaining a balanced risk profile in our work program."
FINANCIAL HIGHLIGHTS
Third Quarter 2021 compared to Third Quarter 2020
Year-to-date 2021 compared to Year-to-date 2020
(1) Non-GAAP measure that does not have any standardized meaning under IFRS and therefore may not be comparable to similar measures presented by other entities. Refer to the section entitled "Non-GAAP Measures" at the end of this news release. |
Financial Results | |||||||||
(in thousands of Canadian dollars, except per share amounts) | |||||||||
Three months ended September 30, | Nine months ended September 30, | ||||||||
2021 | 2020 | 2021 | 2020 | ||||||
Construction revenue | $ | 621,224 | $ | 345,060 | $ | 1,622,223 | $ | 949,472 | |
Net income | 12,117 | 8,822 | 32,866 | 15,569 | |||||
Basic and diluted earnings per share | 0.23 | 0.20 | 0.62 | 0.36 | |||||
Adjusted Earnings Per Share (1) | 0.26 | 0.29 | 0.71 | 0.47 | |||||
Adjusted EBITDA (1) | 28,585 | 22,036 | 79,737 | 41,926 | |||||
Cash flows from operations before changes in non-cash | 27,609 | 15,841 | 76,832 | 31,890 | |||||
(1) Non-GAAP measure that does not have any standardized meaning under IFRS and therefore may not be comparable to similar measures presented by other entities. Refer to the section entitled "Non-GAAP Measures" at the end of this news release. | ||||||||
(2) Refer to the sections entitled Quarterly and Year-to-date Cash Flow Data in the MD&A for the period ended September 30, 2021. |
OVERVIEW
CONFERENCE CALL AND WEBCAST
Bird will host an investor webcast to discuss the quarterly results on Wednesday, November 10, 2021 at 10:00 a.m. ET, to discuss the Company's results. Analysts and investors may connect to the webcast via URL at http://services.choruscall.ca/links/bird20211110.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.
The Company's financial statements and Management's Discussion & Analysis ("MD&A") will be filed and available on the System for Electronic Document Analysis and Retrieval ("SEDAR") at www.sedar.com and on the Company's website at www.bird.ca.
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 and Adjusted EBITDA are reconciled as follows:
Adjusted Earnings
Three months ended September 30, | Nine months ended September 30, | ||||||||
(in thousands of Canadian dollars, except per share amounts) | 2021 | 2020 | 2021 | 2020 | |||||
Net income | $ | 12,117 | $ | 8,822 | $ | 32,866 | $ | 15,569 | |
Add: Acquisition and Integration costs | 2,260 | 3,835 | 6,669 | 5,111 | |||||
Add: Restructuring costs (1) | - | - | - | - | |||||
Income tax effect of the above costs | (556) | (293) | (1,627) | (627) | |||||
Adjusted Earnings | $ | 13,821 | $ | 12,364 | $ | 37,908 | $ | 20,053 | |
Adjusted Earnings Per Share (2) | $ | 0.26 | $ | 0.29 | $ | 0.71 | $ | 0.47 | |
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 September 30, | Nine months ended September 30, | ||||||||||
(in thousands of Canadian dollars, except percentage amounts) | 2021 | 2020 | 2021 | 2020 | |||||||
Net income | $ | 12,117 | $ | 8,822 | $ | 32,866 | $ | 15,569 | |||
Add: Income tax expense | 4,150 | 4,102 | 11,148 | 6,781 | |||||||
Add: Depreciation and amortization | 8,965 | 4,588 | 24,823 | 11,743 | |||||||
Add: Finance and other costs | 1,720 | 1,132 | 5,660 | 5,775 | |||||||
Less: Finance income | (304) | (242) | (896) | (1,333) | |||||||
Add: (Gain)/loss on sale of property and equipment | (455) | (201) | (968) | (1,720) | |||||||
Add: Restructuring costs (1) | 132 | - | 435 | - | |||||||
Add: Restructuring and severance costs (2) | - | - | - | - | |||||||
Add: Acquisition and integration costs | 2,260 | 3,835 | 6,669 | 5,111 | |||||||
Adjusted EBITDA | $ | 28,585 | $ | 22,036 | $ | 79,737 | $ | 41,926 | |||
Adjusted EBITDA Margin (3) | 4.6% | 6.4% | 4.9% | 4.4% | |||||||
Notes: | |||||||||||
(1) Restructuring costs as defined in accordance with IFRS. | |||||||||||
(2) Restructuring and severance costs that did not meet the criteria to be classified under restructuring costs as defined in accordance with IFRS. | |||||||||||
(3) Calculated as Adjusted EBITDA divided by revenue. |
Additional information on these non-GAAP measures is provided in the section "Terminology & Non-GAAP Measures" in Bird's most recently filed Management's Discussion & Analysis for the period ended September 30, 2021, prepared as of November 9, 2021. This document is available on Bird's SEDAR profile, at www.sedar.com and on the Company's website at www.bird.ca.
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 anticipated benefits of the acquisition to Bird, its shareholders, and all other stakeholders, including anticipated synergies; and the plans and strategic priorities of the combined company.
In respect of the forward-looking statements concerning the anticipated benefits of the Stuart Olson and Dagmar acquisitions (the "Transactions"), Bird has provided such in reliance on certain assumptions that it believes are reasonable at this time, including in respect of the combined company's services and anticipated synergies, capital efficiencies and cost- savings.
Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Investors are cautioned that forward-looking statements are based on the opinions, assumptions and estimates of management considered reasonable at the date the statements are made, and 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 the Company 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; failure to realize the anticipated benefits of the Transactions; and changes in legislation, including but not limited to tax laws and environmental regulations.
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 and Management's Discussion and Analysis for the year ended December 31, 2020 and most recently filed Management's Discussion and Analysis, each of which may be accessed on Bird's SEDAR profile, at www.sedar.com and on the Company's website at www.bird.ca.
The forward-looking statements contained in this news release are made as of the date hereof and the Company undertakes no obligation to update publicly or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as, and to the extent required by applicable securities laws.
The Toronto Stock Exchange does not accept responsibility for the adequacy or accuracy of this release.
For further information, please contact:
T.L. McKibbon
President & CEO or
W.R. Gingrich, CFO
Bird Construction Inc.
5700 Explorer Drive, Suite 400
Mississauga, ON L4W 0C6
Phone: (905) 602-4122
ABOUT BIRD CONSTRUCTION
Bird (TSX: BDT) is a leading Canadian construction company operating from coast-to-coast and servicing all of Canada's major markets. Bird provides a comprehensive range of construction services from new construction for industrial, commercial, and institutional and civil infrastructure markets; to industrial maintenance, repair and operations services, heavy civil construction, and mine support services; as well as vertical infrastructure including, electrical, mechanical, and specialty trades. For over 100 years, Bird has been a people-focused company with an unwavering commitment to safety and a high level of service that provides long-term value for all stakeholders.
www.bird.ca
SOURCE Bird Construction Inc.
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