Savaria Announces the Best First Quarter in Its History Savaria Announces the Best First Quarter in Its History
Wednesday, May 13, 2015
Savaria Announces the Best First Quarter in Its History
16:01 EDT Wednesday, May 13, 2015
LAVAL, QUEBEC--(Marketwired - May 13, 2015) - Savaria Corporation (TSX:SIS), North America's leader in the accessibility industry, discloses its results for its first quarter ended March 31, 2015.
First-Quarter Highlights
| (in thousands, except per-share amounts and percentages - unaudited) | Quarters Ended
March 31, | |
| | 2015 | | | 2014 | | Change | |
| Revenue | $ | 20,234 | | | $ | 17,688 | | 14.4 | % |
| Gross margin | $ | 6,071 | | | $ | 5,163 | | 17.6 | % |
| Gross margin as a % of revenue | | 30 | % | | | 29.2 | % | n/a | |
| Net income | $ | 1,575 | | | $ | 1,205 | | 30.7 | % |
| Net income as a % of revenue | | 7.8 | % | | | 6.8 | % | n/a | |
| Earnings per share - diluted | $ | 0.05 | | | $ | 0.05 | | - | |
| EBITDA (1) | $ | 2,858 | | | $ | 2,220 | | 28.7 | % |
| EBITDA per share - diluted | $ | 0.09 | | | $ | 0.09 | | - | |
| (1) | Earnings before interest, taxes, depreciation and amortization (see section Compliance with International Financial Reporting Standards) |
Three months ended March 31, 2015
- Revenue of $20.2 million, up $2.5 million or 14.4%. This is the highest revenue for a first quarter in the history of the Corporation;
- Operating income of $1.8 million, up $316,000 or 21.4%;
- EBITDA of $2.9 million, up $638,000 or 28.7%. This is the highest EBITDA for a first quarter in the history of the Corporation;
- Net cash flows generated from operating activities of $3 million (2014-$1.7 million);
- Completion of a bought deal private placement on May 13, 2015, resulting in the issuance of 2,875,000 common shares, for gross proceeds of $14.4 million.
A Word from the President
"The first quarter of 2015 demonstrates the continued strong demand for products that improve the mobility of our aging population. Our revenue increased 14.4% over the first quarter of 2014, while our EBITDA is up 28.7%," declared Marcel Bourassa, President and Chief Executive Officer of Savaria.
"After the end of the quarter, Savaria completed a bought deal private placement to a gross amount of $14.4 million. This injection of new cash will allow Savaria to take a more aggressive approach in seizing revenue growth opportunities and developing its strategic plan.
"With the upcoming introduction to market of two new products, a new stairlift for straight staircases, the K-2, and a new vehicle conversion based on the Ram ProMaster able to carry up to seven passengers including three in wheelchair, we are poised to increase our revenue and market share," concluded Mr. Bourassa.
Outlook 2015
For the twelve-month period ending December 31, 2015, we forecast revenue to reach about $92 million, and EBITDA to be in the $13.5-$14.5 million bracket.
Dividend
As per the Corporation's dividend policy, the Board of Directors has declared a dividend of 4 cents ($0.04) per common share, payable on June 8, 2015 to shareholders of record of the Corporation at the close of business on May 25, 2015. This is an eligible dividend within the meaning of the Income Tax Act.