Nordion Inc. (TSX:NDN) (NYSE:NDZ), a leading provider of products and
services to the global health science market, today reported results for
the second quarter of fiscal 2014. The Company generated $74.7 million
in revenue for the second quarter of fiscal 2014, an increase of $18.6
million, or 33%, from revenue of $56.1 million for the same period in
fiscal 2013. The 2014 fiscal year financial outlook remains as
previously announced on April 24, 2014.
Nordion had GAAP net income of $6.7 million in the second quarter of
fiscal 2014, compared with a GAAP net income of $0.7 million in the
second quarter of fiscal 2013. Excluding the specified items shown on
the attached non-GAAP reconciliation table, adjusted net income for the
second quarter increased to $13.5 million from adjusted net
income of $4.8 million during the same period in the previous fiscal
year. GAAP EPS of $0.11 was recorded in the second quarter of
fiscal 2014 versus $0.01 in the same period last fiscal year. Excluding
the specified items shown on the attached non-GAAP reconciliation table,
second quarter adjusted non-GAAP EPS increased to $0.22 compared with
$0.08 non-GAAP EPS in the second quarter of fiscal 2013. Although not
adjusted in Nordion’s non-GAAP EPS, the U.S.-Canadian dollar currency
exchange fluctuations had a negative non-cash after-tax impact of $0.08
per share on second quarter fiscal 2014 EPS.
“Nordion delivered strong results in its second quarter, in line with
our expectations,” said Mr. Steve West, Chief Executive Officer, Nordion
Inc. “We continue to focus and execute on opportunities in both our
Sterilization Technologies and Medical Isotopes businesses.”
Consolidated Financial Results
GAAP
|
|
Three months ended April 30
|
|
Six months ended April 30
|
(thousands of U.S. dollars,
|
|
|
|
|
|
|
|
|
|
|
|
|
except when noted)
|
|
2014
|
|
2013
|
|
% Change
|
|
2014
|
|
2013
|
|
% Change
|
Revenues
|
|
$
|
74,700
|
|
$
|
56,089
|
|
33%
|
|
$
|
145,520
|
|
$
|
109,753
|
|
33%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Gross margin
|
|
|
54%
|
|
|
53%
|
|
1%
|
|
|
53%
|
|
|
53%
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
$
|
6,700
|
|
$
|
731
|
|
817%
|
|
$
|
41,967
|
|
$
|
462
|
|
8984%
|
Diluted earnings per share
|
|
$
|
0.11
|
|
$
|
0.01
|
|
1000%
|
|
$
|
0.68
|
|
$
|
0.01
|
|
6700%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
$
|
332,665
|
|
$
|
81,534
|
|
308%
|
|
$
|
332,665
|
|
$
|
81,534
|
|
308%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average number of Common shares outstanding – diluted
(thousands of shares)
|
|
62,388
|
|
|
61,909
|
|
1%
|
|
62,195
|
|
|
61,909
|
|
-
|
Non-GAAP1
|
|
Three months ended April 30
|
|
Six months ended April 30
|
(thousands of U.S. dollars, except when noted)
|
|
2014
|
|
2013
|
|
% Change
|
|
2014
|
|
2013
|
|
% Change
|
Adjusted net income
|
|
$
|
13,475
|
|
$
|
4,834
|
|
179%
|
|
$
|
50,017
|
|
$
|
7,712
|
|
549%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted diluted earnings per share
|
|
$
|
0.22
|
|
$
|
0.08
|
|
175%
|
|
$
|
0.80
|
|
$
|
0.12
|
|
567%
|
1 See Non-GAAP reconciliation table at the end of this release
Second Quarter Fiscal 2014 Segment Results
Sterilization Technologies
Sterilization Technologies
revenue for the second quarter of fiscal 2014 of $33.8 million increased
by $13.6 million or 67% compared with the second quarter of fiscal 2013.
Revenue from Cobalt of $33.7 million in the second quarter of fiscal
2014 increased by $13.6 million or 68% from the same period last year
due to increased shipments of Cobalt-60 (Co-60). The increase was
in-line with the Company’s previous outlook and was attributable to
increased shipments of Co-60, higher sealed sources shipments and a
shift in customer mix to customers that pay a higher price for Co-60.
These increases were partially offset by unfavourable foreign exchange
as a result of the weakening Canadian dollar compared to the U.S. dollar.
Sterilization-Other revenue of $0.1 million remained relatively flat in
the second quarter of fiscal 2014, compared with the second quarter of
fiscal 2013.
As previously announced, Nordion has had increased requests for
shipments of incremental Co-60 during Q2 2014 from existing customers
for sites that Nordion does not typically supply, and from certain new
customers. Nordion has also become aware that a competitor supplier has
indicated that it is discontinuing supply of Co-60. Nordion believes
that the actual producer of the Co-60, who previously provided Co-60 to
the discontinuing supplier, is maintaining or increasing its inventory
of Co-60 and is economically motivated to sell directly to customers or
to find another distribution partner for the sale of its Co-60. Nordion
has become aware that a number of its customers have been directly
approached regarding the supply of Co-60 and that some of Nordion’s
customers may have already ordered Co-60 from this source. The Company
believes this source has the infrastructure and licenses to supply
Co-60, replacing the previous supplier in whole or in part. Nordion
understands that the actual Co-60 producer is marketing its supply of
Co-60 and Co-60 supply from the actual Co-60 producer is expected to
re-enter the market; however, at this time, Nordion cannot accurately
determine when and to what extent the supply of such Co-60 will replace
the supply provided by the competitor who is discontinuing its supply.
As previously indicated, Nordion currently expects Sterilization
Technologies revenues in fiscal 2014 to increase by approximately 35% to
40% compared with fiscal 2013, up from the Company’s previous outlook of
an increase of 10% to 15% due to the increased requests for Co-60 in the
second fiscal quarter and the change in Co-60 global supply dynamics.
The Company continues to believe that this current increase in requests
for shipments from Nordion is likely not permanent.
Medical Isotopes
Medical Isotopes revenue in the second
quarter of fiscal 2014 of $40.9 million, increased by $18.1 million or
80%, compared with the second quarter of fiscal 2013. Reactor isotopes
revenue of $31.5 million in the second quarter of fiscal 2014 increased
by $14.4 million, or 84%, from the same period last year primarily due
to additional orders of Mo-99 received as a result of supply
interruptions affecting some of Nordion’s competitors. The primary
reactor in Europe that supplies certain of the Company’s competitors was
shutdown in October 2013 and returned to service in February 2014. In
addition, a competitor in South Africa that supplies Mo-99 returned to
service in January 2014 after its supply interruption that started in
November 2013.
As a result of the additional orders received due to competitor supply
disruptions, and as previously indicated, Nordion expects fiscal 2014
revenue for Reactor isotopes to increase by approximately 45% from the
previous fiscal year, approximately 5% higher than the Company’s
previous fiscal 2014 outlook.
Cyclotron isotopes revenue of $4.7 million increased by $0.9 million, or
23%, in the second quarter of fiscal 2014, compared with the same period
of the prior year primarily due to an increase of Sr-82 sales, which
Nordion resumed selling in April 2013.
Contract Manufacturing revenue of $4.7 million increased by $2.9
million, or 163%, in the second quarter of fiscal 2014, compared with
the same period of the prior year mainly due to the contract
manufacturing of TheraSphere® for BTG plc subsequent to the
sale of the Targeted Therapies business in July 2013.
Corporate and Other
Corporate and Other segment loss was
$9.7 million in the second quarter of fiscal 2014, down $7.5 million
compared with a segment loss of $2.2 million in the second quarter of
fiscal 2013. The increase primarily represents an increase in G&A costs
associated with central functions previously allocated to Targeted
Therapies, higher stock based compensation primarily reflecting our
share price increase and retention incentives related to strategic
review matters. This increase was also attributable to foreign exchange
losses in the quarter as a result of the revaluation of Nordion’s cash
and cash equivalents in U.S. dollars held in a Canadian dollar
functional currency entity.
A full copy of Nordion’s first quarter fiscal 2014 Management’s
Discussion and Analysis and the financial statements and notes can be
downloaded at www.nordion.com/investors.
About Nordion Inc.
Nordion Inc. (TSX:NDN) (NYSE:NDZ) is a
global health science company that provides market-leading products used
for the prevention, diagnosis and treatment of disease. We are a leading
provider of medical isotopes and sterilization technologies that benefit
the lives of millions of people in more than 40 countries around the
world. Our products are used daily by pharmaceutical and biotechnology
companies, medical-device manufacturers, hospitals, clinics and research
laboratories. Nordion has over 400 highly skilled employees in three
locations. Find out more at www.nordion.com
and follow us at twitter.com/NordionInc.
Non-GAAP Information
To supplement the financial measures
prepared in accordance with generally accepted accounting principles
(GAAP), the company uses non-GAAP financial measures such as adjusted
net income and adjusted earnings per share. Non-GAAP financial measures
exclude certain items, such as strategic review costs, internal
investigation costs, restructuring charges, change in fair value of
embedded derivatives, and tax effects on adjusted items. Management uses
non-GAAP financial measures internally for strategic decision making,
forecasting future results and evaluating current performance. By
disclosing non-GAAP financial measures, management intends to provide
investors with a meaningful, consistent comparison of the company's core
operating results and trends for the periods presented. Non-GAAP
financial measures are not prepared in accordance with GAAP. Therefore,
the information is not necessarily comparable to other companies and
should be considered as a supplement to, not a substitute for, or
superior to, the corresponding measures calculated in accordance with
GAAP.
Caution Concerning Forward-Looking Statements
This release
contains forward-looking statements, within the meaning of certain
securities laws, including under applicable Canadian securities laws and
the “safe harbour” provisions of the United States Private Securities
Litigation Reform Act of 1995. These forward-looking statements include,
but are not limited to, statements relating to our expectations with
respect to: the Company’s outlook on Sterilization Technologies and the
demand and supply dynamics of Cobalt-60, including the discontinuance of
a competitor’s supply of Co-60 and the re-entry of such supply into the
market; the Company’s supply of and customer demand for reactor-based
medical isotopes; the Company’s forecasts and outlook, including with
respect to revenue for Sterilization Technologies and Reactor isotopes;
and more generally statements with respect to our beliefs, plans,
objectives, expectations, anticipations, estimates and intentions. The
words “may”, “will”, “could”, “should”, “would”, “outlook”, “believe”,
“plan”, “anticipate”, “estimate”, “project”, “expect”, “intend”,
“indicate”, “forecast”, “objective”, “optimistic”, and similar words and
expressions are also intended to identify forward-looking statements.
Forward-looking statements are necessarily based on estimates and
assumptions made by us in light of our experience and our perception of
historical trends, current conditions and expected future developments,
as well as other factors that we believe are appropriate in the
circumstances, but which are inherently subject to significant business,
political, economic, regulatory and competitive uncertainties and
contingencies. Known and unknown factors could cause actual results to
differ materially from those projected in the forward-looking
statements. Accordingly, this release is subject to the disclaimer and
qualified by the assumptions, qualifications and risk factors referred
to in our 2013 Annual Information Form (AIF) and our 2014 Management
Information Circular (Circular) and our success in anticipating and
managing those risks. Our 2013 AIF, our 2014 Circular, and our other
filings with the Canadian provincial securities commissions and the US
Securities and Exchange Commission are available on SEDAR at www.sedar.com,
on EDGAR at www.sec.gov,
and on Nordion’s website at www.nordion.com.
We caution readers not to place undue reliance on the Company’s
forward-looking statements, as a number of factors could cause our
actual results, performance or achievements to differ materially from
the beliefs, plans, objectives, expectations, anticipations, estimates
and intentions expressed in such forward-looking statements. The
forward-looking statements contained in this news release are made as of
the date of this release and, accordingly, are subject to change after
such date. The Company does not assume any obligation to update or
revise any forward-looking statements, whether written or oral, that may
be made from time to time by us or on our behalf, except as required by
applicable law.
Segment Financial Results (with reconciliation to net income)
|
|
Three months ended April 30
|
|
Six month ended April 30
|
(thousands of U.S. dollars, except per share amounts)
|
|
2014
|
|
2013
|
|
% Change
|
|
2014
|
|
2013
|
|
% Change
|
Revenues
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sterilization Technologies
|
|
$
|
33,818
|
|
$
|
20,194
|
|
67%
|
|
$
|
52,971
|
|
$
|
36,624
|
|
45%
|
Medical Isotopes
|
|
|
40,882
|
|
|
22,745
|
|
80%
|
|
|
92,549
|
|
|
47,941
|
|
93%
|
Targeted Therapies
|
|
|
-
|
|
|
13,150
|
|
(100%)
|
|
|
-
|
|
|
25,188
|
|
(100%)
|
Consolidated segment revenues
|
|
$
|
74,700
|
|
$
|
56,089
|
|
33%
|
|
$
|
145,520
|
|
$
|
109,753
|
|
33%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Segment earnings (loss)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sterilization Technologies
|
|
$
|
15,403
|
|
$
|
6,415
|
|
140%
|
|
$
|
22,477
|
|
$
|
9,931
|
|
126%
|
Medical Isotopes
|
|
|
16,027
|
|
|
5,174
|
|
210%
|
|
|
41,085
|
|
|
12,113
|
|
239%
|
Targeted Therapies
|
|
|
-
|
|
|
1,062
|
|
(100%)
|
|
|
-
|
|
|
2,492
|
|
(100%)
|
Corporate and Other
|
|
|
(9,729)
|
|
|
(2,210)
|
|
(340%)
|
|
|
3,431
|
|
|
(5,027)
|
|
168%
|
Total segment earnings
|
|
$
|
21,701
|
|
$
|
10,441
|
|
108%
|
|
$
|
66,993
|
|
$
|
19,509
|
|
243%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and amortization
|
|
|
2,579
|
|
|
3,054
|
|
(16%)
|
|
|
4,871
|
|
|
6,334
|
|
(23%)
|
Restructuring charges, net
|
|
|
14
|
|
|
41
|
|
(66%)
|
|
|
57
|
|
|
52
|
|
10%
|
Strategic review costs
|
|
|
7,632
|
|
|
616
|
|
1139%
|
|
|
8,463
|
|
|
616
|
|
1274%
|
Internal investigation costs
|
|
|
1,151
|
|
|
4,510
|
|
(74%)
|
|
|
1,681
|
|
|
8,634
|
|
(81%)
|
Change in fair value of
embedded derivatives
|
|
|
268
|
|
|
493
|
|
(46%)
|
|
|
570
|
|
|
206
|
|
177%
|
AECL arbitration and legal costs
|
|
|
-
|
|
|
131
|
|
(100%)
|
|
|
-
|
|
|
633
|
|
(100%)
|
Litigation settlement loss
|
|
|
-
|
|
|
1,300
|
|
(100%)
|
|
|
-
|
|
|
1,300
|
|
(100%)
|
Pension settlement loss
|
|
|
-
|
|
|
-
|
|
-
|
|
|
-
|
|
|
7,003
|
|
(100%)
|
Loss on Celerion note receivable
|
|
|
-
|
|
|
-
|
|
-
|
|
|
-
|
|
|
218
|
|
(100%)
|
Recovery from previously
written off investments
|
|
|
-
|
|
|
(814)
|
|
(100%)
|
|
|
-
|
|
|
(814)
|
|
(100%)
|
Operating income (loss)
|
|
$
|
10,057
|
|
$
|
1,110
|
|
806%
|
|
$
|
51,351
|
|
$
|
(4,673)
|
|
(1199%)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net interest income
|
|
|
367
|
|
|
110
|
|
234%
|
|
|
878
|
|
|
638
|
|
38%
|
Income tax (expense) recovery
|
|
|
(3,724)
|
|
|
(489)
|
|
662%
|
|
|
(10,262)
|
|
|
4,497
|
|
(328%)
|
Net income
|
|
$
|
6,700
|
|
$
|
731
|
|
817%
|
|
$
|
41,967
|
|
$
|
462
|
|
8984%
|
Non-GAAP Reconciliation
|
|
Three months ended April 30
|
|
Six months ended April 30
|
(thousands of U.S. dollars, except per share amounts)
|
|
2014
|
|
2013
|
|
% Change
|
|
2014
|
|
2013
|
|
% Change
|
Net income
|
|
$
|
6,700
|
|
$
|
731
|
|
817%
|
|
$
|
41,967
|
|
$
|
462
|
|
8984%
|
Adjusted for specified items:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Strategic review costs
|
|
|
7,632
|
|
|
616
|
|
1139%
|
|
|
8,463
|
|
|
616
|
|
1274%
|
Internal investigation costs
|
|
|
1,151
|
|
|
4,510
|
|
(74%)
|
|
|
1,681
|
|
|
8,634
|
|
(81%)
|
Restructuring charges, net
|
|
|
14
|
|
|
41
|
|
(66%)
|
|
|
57
|
|
|
52
|
|
10%
|
Change in fair value of embedded derivatives
|
|
|
268
|
|
|
493
|
|
(46%)
|
|
|
570
|
|
|
206
|
|
177%
|
AECL arbitration and legal fees
|
|
|
-
|
|
|
131
|
|
(100%)
|
|
|
-
|
|
|
633
|
|
(100%)
|
Litigation settlement loss
|
|
|
-
|
|
|
1,300
|
|
(100%)
|
|
|
-
|
|
|
1,300
|
|
(100%)
|
Recovery from previously written off
investments
|
|
|
-
|
|
|
(814)
|
|
(100%)
|
|
|
-
|
|
|
(814)
|
|
(100%)
|
Loss on Celerion note receivable
|
|
|
-
|
|
|
-
|
|
-
|
|
|
-
|
|
|
218
|
|
(100%)
|
Pension settlement loss
|
|
|
-
|
|
|
-
|
|
-
|
|
|
-
|
|
|
7,003
|
|
(100%)
|
Tax effect on specified items listed above
|
|
|
(2,290)
|
|
|
(1,690)
|
|
36%
|
|
|
(2,721)
|
|
|
(4,598)
|
|
(41%)
|
Change in reserve for uncertain tax positions
|
|
|
-
|
|
|
(4,805)
|
|
(100%)
|
|
|
-
|
|
|
(13,190)
|
|
(100%)
|
Provision to previously filed returns
|
|
|
-
|
|
|
6,589
|
|
(100%)
|
|
|
-
|
|
|
5,652
|
|
(100%)
|
Valuation allowance on deferred tax assets
|
|
|
-
|
|
|
(2,268)
|
|
(100%)
|
|
|
-
|
|
|
1,538
|
|
(100%)
|
Adjusted net income
|
|
$
|
13,475
|
|
$
|
4,834
|
|
179%
|
|
$
|
50,017
|
|
$
|
7,712
|
|
549%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per share
|
|
$
|
0.11
|
|
$
|
0.01
|
|
1000%
|
|
$
|
0.68
|
|
$
|
0.01
|
|
6700%
|
Adjusted diluted earnings per share
|
|
$
|
0.22
|
|
$
|
0.08
|
|
175%
|
|
$
|
0.80
|
|
$
|
0.12
|
|
567%
|
Weighted average number of Common
shares outstanding – diluted
(thousands of shares)
|
|
|
62,388
|
|
|
61,909
|
|
1%
|
|
|
62,195
|
|
|
61,909
|
|
-
|
CONSOLIDATED STATEMENTS OF FINANCIAL POSITION
[UNAUDITED]
|
|
April 30
|
|
October 31
|
(thousands of U.S. dollars, except share amounts)
|
|
2014
|
|
2013
|
ASSETS
|
|
|
|
|
|
|
Current assets
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
$
|
332,665
|
|
$
|
323,099
|
Accounts receivable
|
|
|
41,195
|
|
|
29,456
|
Notes receivable
|
|
|
45,803
|
|
|
3,836
|
Inventories
|
|
|
39,192
|
|
|
47,371
|
Income taxes recoverable
|
|
|
942
|
|
|
834
|
Current portion of deferred tax assets
|
|
|
653
|
|
|
619
|
Other current assets
|
|
|
4,226
|
|
|
2,783
|
Total current assets
|
|
|
464,676
|
|
|
407,998
|
|
|
|
|
|
|
|
Restricted cash
|
|
|
41,219
|
|
|
40,824
|
Property, plant and equipment, net
|
|
|
44,116
|
|
|
47,146
|
Deferred tax assets
|
|
|
56,406
|
|
|
62,873
|
Long-term investments
|
|
|
1,450
|
|
|
1,450
|
Other long-term assets
|
|
|
17,789
|
|
|
56,760
|
Total assets
|
|
$
|
625,656
|
|
$
|
617,051
|
LIABILITIES AND SHAREHOLDERS’ EQUITY
|
|
|
|
|
|
|
Current liabilities
|
|
|
|
|
|
|
Accounts payable
|
|
$
|
18,182
|
|
$
|
25,458
|
Accrued liabilities
|
|
|
40,837
|
|
|
41,408
|
Income taxes payable
|
|
|
7,313
|
|
|
9,756
|
Current portion of long-term debt
|
|
|
37,891
|
|
|
3,948
|
Current portion of deferred revenue
|
|
|
1,745
|
|
|
1,720
|
Total current liabilities
|
|
|
105,968
|
|
|
82,290
|
|
|
|
|
|
|
|
Long-term debt
|
|
|
174
|
|
|
36,493
|
Deferred revenue
|
|
|
-
|
|
|
842
|
Long-term income taxes payable
|
|
|
2,060
|
|
|
2,067
|
Other long-term liabilities
|
|
|
38,191
|
|
|
35,783
|
Total liabilities
|
|
|
146,393
|
|
|
157,475
|
|
|
|
|
|
|
|
Shareholders’ equity
|
|
|
|
|
|
|
Common shares at par – Authorized shares: unlimited;
Issued and outstanding shares: 61,909,301
|
|
|
252,168
|
|
|
252,168
|
Additional paid-in capital
|
|
|
86,501
|
|
|
86,147
|
Accumulated retained earnings (deficit)
|
|
|
13,645
|
|
|
(28,322)
|
Accumulated other comprehensive income
|
|
|
126,949
|
|
|
149,583
|
Total shareholders’ equity
|
|
|
479,263
|
|
|
459,576
|
Total liabilities and shareholders’ equity
|
|
$
|
625,656
|
|
$
|
617,051
|
Please refer to the complete set of Consolidated Financial Statements
for Q2 2014
CONSOLIDATED STATEMENTS OF OPERATIONS [UNAUDITED]
|
|
Three months ended
|
|
Six months ended
|
|
April 30
|
|
April 30
|
(thousands of U.S. dollars, except per share amounts)
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
Revenues
|
|
$
|
74,700
|
|
$
|
56,089
|
|
$
|
145,520
|
|
$
|
109,753
|
Costs and expenses
|
|
|
|
|
|
|
|
|
|
|
|
|
Direct cost of revenues
|
|
|
34,617
|
|
|
26,157
|
|
|
67,987
|
|
|
52,016
|
Selling, general and administration
|
|
|
21,378
|
|
|
23,091
|
|
|
35,815
|
|
|
44,324
|
Depreciation and amortization
|
|
|
2,579
|
|
|
3,054
|
|
|
4,871
|
|
|
6,334
|
Restructuring charges
|
|
|
14
|
|
|
41
|
|
|
57
|
|
|
52
|
Change in fair value of embedded derivatives
|
|
|
268
|
|
|
493
|
|
|
570
|
|
|
206
|
Other expenses (income), net
|
|
|
5,787
|
|
|
2,143
|
|
|
(15,131)
|
|
|
11,494
|
Total costs and expenses
|
|
|
64,643
|
|
|
54,979
|
|
|
94,169
|
|
|
114,426
|
Operating income (loss)
|
|
|
10,057
|
|
|
1,110
|
|
|
51,351
|
|
|
(4,673)
|
Interest expense
|
|
|
(843)
|
|
|
(893)
|
|
|
(1,624)
|
|
|
(2,216)
|
Interest income
|
|
|
1,210
|
|
|
1,003
|
|
|
2,502
|
|
|
2,854
|
Income (loss) before income taxes
|
|
|
10,424
|
|
|
1,220
|
|
|
52,229
|
|
|
(4,035)
|
Income tax expense (recovery)
|
|
|
3,724
|
|
|
489
|
|
|
10,262
|
|
|
(4,497)
|
Net income
|
|
$
|
6,700
|
|
$
|
731
|
|
$
|
41,967
|
|
$
|
462
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic and diluted earnings per share
|
|
$
|
0.11
|
|
$
|
0.01
|
|
$
|
0.68
|
|
$
|
0.01
|
Please refer to the complete set of Consolidated Financial Statements
for Q2 2014
CONSOLIDATED STATEMENTS OF CASH FLOWS
[UNAUDITED]
|
|
Three months ended
April 30
|
|
Six months ended
April 30
|
(thousands of U.S. dollars)
|
|
2014
|
|
2013
|
|
2014
|
|
2013
|
Operating activities
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
$
|
6,700
|
|
$
|
731
|
|
$
|
41,967
|
|
$
|
462
|
Adjustments to reconcile net income to cash provided by
(used in) operating activities:
|
|
|
|
|
|
|
|
|
|
|
|
|
Items not affecting current cash flows
|
|
|
16,268
|
|
|
4,336
|
|
|
4,492
|
|
|
17,145
|
Changes in operating assets and liabilities
|
|
|
(6,726)
|
|
|
(10,164)
|
|
|
(26,744)
|
|
|
(8,592)
|
Cash provided by (used in) operating activities
|
|
|
16,242
|
|
|
(5,097)
|
|
|
19,715
|
|
|
9,015
|
Investing activities
|
|
|
|
|
|
|
|
|
|
|
|
|
Purchase of property, plant and equipment
|
|
|
(684)
|
|
|
(855)
|
|
|
(3,005)
|
|
|
(953)
|
(Increase) decrease in restricted cash
|
|
|
(3,601)
|
|
|
832
|
|
|
(3,177)
|
|
|
(35,327)
|
Cash used in investing activities
|
|
|
(4,285)
|
|
|
(23)
|
|
|
(6,182)
|
|
|
(36,280)
|
Financing activities
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash used in financing activities
|
|
|
-
|
|
|
-
|
|
|
-
|
|
|
-
|
Effect of foreign exchange rate changes on cash and cash equivalents
|
|
|
1,211
|
|
|
(860)
|
|
|
(3,967)
|
|
|
(561)
|
Net increase (decrease) in cash and cash equivalents
during the period
|
|
|
13,168
|
|
|
(5,980)
|
|
|
9,566
|
|
|
(27,826)
|
Cash and cash equivalents, beginning of period
|
|
|
319,497
|
|
|
87,514
|
|
|
323,099
|
|
|
109,360
|
Cash and cash equivalents, end of period
|
|
$
|
332,665
|
|
$
|
81,534
|
|
$
|
332,665
|
|
$
|
81,534
|
Please refer to the complete set of Consolidated Financial Statements
for Q2 2014
Copyright Business Wire 2014