VANCOUVER, Aug. 14, 2013 /CNW/ - WesternOne Inc. ("WesternOne") (Toronto
Stock Exchange: WEQ, WEQ.DB, WEQ.DB.B and WEQ.DB.C) today announced the
release of its financial results for the three and six months ended
June 30, 2013.
The results, consisting of WesternOne's interim financial statements for
the three and six months ended June 30, 2013 and Management's
Discussion and Analysis ("MD&A") dated August 14, 2013, are available
on SEDAR (www.sedar.com).
2013 Q2 financial highlights:
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WesternOne recorded consolidated revenue, gross profit and adjusted
EBITDA(1) of $103.2 million, $23.9 million and $14.8 million, respectively, an
increase of 80%, 48%, 24%, respectively, compared with Q2 in 2012.
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WesternOne's Britco division achieved 101% and 48% growth in revenue and
adjusted EBITDA, respectively, compared with Q2 last year due to strong
manufacturing activity and increased site-related transportation and
installation work in the workforce accommodation and infrastructure and
utility sectors in North America. In response to the demand, Britco
increased its manufacturing workforce and achieved higher production
output at its four manufacturing facilities in Canada and the US.
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WesternOne Rentals & Sales recorded normalized organic growth in revenue
and adjusted EBITDA of 16% and 5%, respectively, compared with Q2 in
2012. The growth was driven by higher fleet utilization and incremental
fleet investments, due to strong demand for aerial equipment and
construction heating and power services in Western Canada's commercial
construction, infrastructure and film production segments.
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Operating cash flow (before working capital changes) grew by 20% from
$10.3 million in Q2 2012 to $12.4 million.
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Consolidated payout percentage(2) for Q2 was 42.9%, compared with 49.5% in Q2 in 2012. Year-to-date
payout percentage was 41.4% for the six months ended June 30, 2013.
"We are pleased with the solid financial results from our two operating
platforms, driven by strong business activity in the key industry
sectors that we operate in," said Mr. Darren Latoski, Chief Executive
Officer. "This in turn generates sustainable growth in the operating
cash flow, which will allow us to facilitate further business growth
and deliver consistent dividends at a low payout ratio."
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Summary Financial Overview
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Three months ended
June 30,
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Six months ended
June 30,
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($ millions except per share /unit amounts)
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2013
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2012
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2013
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2012
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Revenue
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$
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103.2
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$
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57.4
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$
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180.2
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$
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109.3
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Gross Profit
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23.9
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16.1
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45.0
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33.6
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Adjusted EBITDA (1) (2)
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$
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14.8
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$
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12.0
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$
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27.5
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$
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24.8
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Net Income (Loss) (2)
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$
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3.8
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$
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(1.4)
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$
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4.5
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$
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(5.1)
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Earnings (Loss) per Share/Unit (2)
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- Basic
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0.16
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(0.07)
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0.19
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(0.26)
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- Diluted
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0.15
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(0.07)
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0.19
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(0.26)
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Distributable Cash Generated (1)
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$
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8.4
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$
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6.0
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$
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17.0
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$
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15.4
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Dividends/Distributions Declared
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3.6
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3.0
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7.0
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5.9
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Distributable Cash per Share (4)
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0.35
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0.30
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0.73
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0.80
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Dividends/Distributions Declared per Share
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0.15
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0.15
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0.30
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0.30
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Payout Percentage (3)
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42.9%
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49.5%
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41.4%
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38.0%
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Notes:
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(1)
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"Adjusted EBITDA" and "Distributable Cash" are not recognized measures
under IFRS and do not have a standardized meaning prescribed by IFRS.
"Adjusted EBITDA" refers to earnings before interest, income taxes,
depreciation, amortization, gain/loss on financial derivatives relating
to changes in the fair market value of the fixed interest rate swap,
business acquisition and trust conversion costs, debenture issuance
costs, gain/loss on debentures relating to changes in their fair
values, gain/loss on trust unit issuances relating to conversion of
debentures, gain/loss on WesternOne 's exchangeable units relating to
changes in their fair values, share/unit based compensation, foreign
exchange gains/losses, and write-down of capital assets, intangible
assets and goodwill. "Distributable Cash" refers to cash available for
dividend/distribution to the shareholders/unitholders by WesternOne.
For further description of Adjusted EBITDA and Distributable Cash refer
to "Non-IFRS Measures" in the MD&A dated August 14, 2013.
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(2)
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Represents amount attributable to shareholders.
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(3)
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Amounts calculated using distributable cash and dividends/distributions
declared for the related period, not on per share/unit amounts.
Calculated as dividend/distribution declared divided by distributable
cash generated.
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(4)
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Calculated based on basic weighted average number of shares/units.
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Conference Call
Darren Latoski, CEO, Geoff Shorten, President and COO and Carlos Yam,
CFO, of WesternOne will host a conference call at 4:30pm (Eastern time)
or 1:30pm (Pacific time), on Wednesday, August 14, 2013, to review the
financial results and corporate developments for the three and six
months ended June 30, 2013.
To participate in this conference call, please dial one of the following
numbers approximately 10 minutes prior to the commencement of the call,
and ask to join the WesternOne conference call.
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Dial in numbers:
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Toll
Free .......................................................1-888-390-0605
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International or Local Toronto ......................1-416-764-8609
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Conference Call Replay
If you cannot participate on August 14, 2013, a replay of the conference
call will be available by dialing one of the following replay numbers.
You will be able to dial in and listen to the conference two hours
after the meeting end time, and the replay will be available until
August 21, 2013. Please enter the Replay ID number 167663 followed by
the # key.
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Replay Dial-In:
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Toll
Free ..........................................................1-888-390-0541
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International or Local Toronto .........................1-416-764-8677
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Forward-looking Information
Certain statements in this press release may constitute
"forward-looking" information that involves known and unknown risks,
uncertainties and other factors, and it may cause actual results,
performance or achievements or industry results, to be materially
different from any future results, performance or achievements or
industry results expressed or implied by such forward-looking
information. Forward-looking information is identified by the use of
terms and phrases such as "anticipate", "believe", "could", "estimate",
"expect", "intend", "may", "plan", "predict", "project", "will",
"would", and similar terms and phrases, including references to
assumptions. Such information includes, without limitation, statements
with respect to: the growth prospects in sectors where WesternOne's
businesses are conducted, the generation of operating cash flow and
WesternOne's plan to facilitate business growth and distribute
dividends to its shareholders. Actual events or results may differ
materially.
Forward-looking information contained in this press release is based on
certain key expectations and assumptions made by WesternOne, including,
without limitation, expectations and assumptions respecting: the
outlook of WesternOne's business and the economy in Western Canada, the
US and Australia, the supply and demand for WesternOne's products and
services and management's assessment of future plans and operations.
Although the forward-looking information contained in this press
release is based upon what the WesternOne's management believes to be
reasonable assumptions, WesternOne cannot assure investors that actual
results will be consistent with such information. Forward-looking
information reflects current expectations of management regarding
future events and operating performance as of the date of this press
release. Such information involves significant risks and uncertainties,
should not be read as guarantees of future performance or results, and
will not necessarily be accurate indications of whether or not such
results will be achieved. A number of factors could cause actual
results to differ materially from the results discussed in the
forward-looking information, and a description of these factors can be
found under "Risk Factors" in WesternOne's Annual Information Form
dated March 28, 2013 and Management's Discussion and Analysis dated
August 14, 2013, which are available on SEDAR (www.sedar.com).
The forward-looking information contained herein is expressly qualified
in its entirety by this cautionary statement. Forward-looking
information reflects management's current beliefs and is based on
information currently available to WesternOne. The forward-looking
information is made as of the date of this press release and WesternOne
assumes no obligation to update or revise such information to reflect
new events or circumstances, except as may be required by applicable
law.
About WesternOne
WesternOne seeks to acquire and grow businesses in the construction and
infrastructure services sectors in order to generate stable and growing
dividends to its shareholders and to achieve capital appreciation.
Additional Information
Additional information relating to WesternOne and other public filings,
is available on SEDAR at www.sedar.com or on WesternOne's website at www.weq.ca.
Trading Symbols
Toronto Stock Exchange: WEQ, WEQ.DB, WEQ.DB.B and WEQ.DB.C
THE TORONTO STOCK EXCHANGE HAS NOT REVIEWED AND DOES NOT ACCEPT
RESPONSIBILITY FOR THE ADEQUACY OR THE ACCURACY OF THIS RELEASE.
SOURCE WesternOne Inc.
