Highlights of the first quarter of fiscal 2015
•Revenues of $161.2 million, up 11% compared with the same quarter of the previous fiscal year •Adjusted EBITDA(1) of $5.6 million, up 13% compared with the same quarter of the previous fiscal year •Net loss attributable to shareholders of GLV Inc. of $3.1 million compared with net earnings of $1.3 million for the same quarter of the previous fiscal year •Backlog of $359.1 million, down 6% from the March 31, 2014 level •Net debt of $47.0 million, up $21.3 million from the March 31, 2014 level
(All amounts are in Canadian dollars)
MONTRÉAL, Aug. 7, 2014 /CNW Telbec/ - For the first quarter of fiscal 2015, GLV Inc. (GLV Group or the Corporation) reported revenues of $161.2 million, up 11% from the first quarter of the previous fiscal year (6% organic growth(1) at constant exchange rates), and adjusted EBITDA(1) of $5.6 million, up 13%. The Corporation recorded a net loss attributable to shareholders of GLV Inc. of $3.1 million or $0.07 per share, basic and diluted, compared with net earnings of $1.3 million or $0.03 per share, basic and diluted, for the same quarter of the previous fiscal year. Net loss for the quarter is primarily due to foreign exchange loss, restructuring costs and to a loss related to the total return swap.
"Although the Corporation's overall profitability fell short of our expectations, we are encouraged by the growth in revenues and adjusted EBITDA(1) for the first quarter of fiscal 2015. Given the application of more rigorous selection criteria for accepting contracts and the implementation of our strategy to refocus on our target markets, including the Parts and Services market, we have a favourable outlook for GLV Group," stated President and Chief Executive Officer Richard Verreault.
Ovivo's revenues for the first quarter were up 14% from the same quarter of the previous fiscal year (5% organic growth(1) at constant exchange rates), driven primarily by the Electronics and Metals segment as well as the Parts and Services market which grew 28% (18% organic growth at constant exchange rates(1)) compared with the first quarter of fiscal 2014. Revenues at GL&V Pulp and Paper grew 11% compared with the corresponding quarter of the previous fiscal year (7% organic growth(1) at constant exchange rates), bolstered mainly by the new equipment market.
GLV Group's backlog as at June 30, 2014 amounted to $359.1 million, down from $395.3 million as at June 30, 2013 and $382.7 million as at March 31, 2014. Note that 44% of the total decline of $23.6 million as compared with March 31, 2014 stemmed from exchange rates ($10.5 million), while the remainder was attributable to Ovivo's backlog, as GL&V Pulp and Paper's backlog was stable.
Ovivo's backlog as at June 30, 2014 amounted to $287.5 million, down from $311.0 million as at March 31, 2014 and $319.6 million as at June 30, 2013. The decline stemmed primarily from the Electronics and Metals market which, after major contract wins in early fiscal 2014, recorded a decline in backlog as at June 30, 2014 owing to the percentage of completion of projects. The decline was also due to slower order taking in the Energy segment; however, management remains confident as to the outlook for the market. These declines were partly offset by improved backlog in the Municipal North America market as well as in the Parts and Services market, reflecting the measures implemented to develop this key strategic niche for Ovivo.
This press release discusses the highlights for the first quarter ended June 30, 2014. For a detailed analysis, see the interim management's discussion and analysis and unaudited interim condensed consolidated financial statements, filed today on the websites of SEDAR (www.sedar.com) and the Corporation (www.glv.com). Note that non-IFRS financial measures were used to analyze performance, as management considers that they provide useful information for investors seeking to assess the Corporation's performance and financial position.
About GLV Group (GLV Inc.)
GLV Group is made up of international companies operating primarily in the water treatment (Ovivo) and pulp and paper (GL&V Pulp and Paper) industries that offer comprehensive technological solutions as well as services and equipment tailored to specific client needs. GLV Group's business units operate in more than 25 countries and have approximately 1,680 employees. GLV Inc. is a public company whose shares trade on the Toronto Stock Exchange under the ticker symbols GLV.A and GLV.B.
Notice regarding forward-looking statements
Certain statements in this press release and other public communications regarding management's objectives, projections, estimates, expectations or forecasts may constitute forward-looking statements within the meaning of applicable securities legislation. Forward-looking statements are recognized by the use of terms such as "forecast," "project," "could," "plan," "aim," "estimate" and other similar terms, possibly used in the future or conditional, particularly with regard to certain assumptions. The management of GLV would like to point out that forward-looking statements involve a number of uncertainties and known and unknown risks such that the actual and future results of GLV could differ considerably from those stated. There can be no assurance as to the materialization of the results, performance or achievements as expressed in or underlying the forward-looking statements. The forward-looking statements included in this press release were made as of the date hereof, and unless required to do so pursuant to applicable securities legislation, management of GLV assumes no obligation to update them.
Information about the risk factors to which GLV Inc. is exposed is provided under Section 11, "Risks and Uncertainties" in the management's discussion and analysis for the fiscal year ended March 31, 2014 available on SEDAR (www.sedar.com) and the Corporation's website (www.glv.com).
Date and time: Friday, August 8, 2014 at 9:00 a.m. (EDT)
1-888-231-8191 (North America)
An audio webcast of the conference call will be streamed live on www.glv.com. An audio recording will be
accessible on demand from 12:00 p.m. (EDT), August 8, 2014 until midnight Friday, August 15, 2014 at
1-416-849-0833 or 1-855-859-2056 (toll free), access code: 71591428#.
A non-IFRS financial measure, see Section 11, "Reconciliation of non-IFRS financial measures" in the Corporation's management's discussion and analysis for the quarter ended June 30, 2014.
SOURCE GLV Inc.