"COGECO Inc. reported very good financial results for its first quarter. Our Cable segment's growth on both revenue and operating income before amortization clearly demonstrates that the combination of our customer service efforts, our marketing strategies, along with our strong cost control initiatives have produced the expected positive effec ts on our financial results," declared Louis Audet, President and Chief Executive Officer of COGECO."
Louis Audet continued by saying, "As for our entrance into the American market, it is with great enthusiasm that we concluded the acquisition of ABB on November 30, 2012. ABB and Cogeco Cable have much in common thanks to the combined expertise of both our management teams; we foresee an excellent potential for growth."
"In addition, I am pleased to report that we have completed the integration of Cogeco Metromedia. As for the radio activities, the most recent surveys confirm our continuing strong leadership position in the Montreal market, as well as solid performances by most of our stations in our regional markets."
FINANCIAL HIGHLIGHTS
-------------------------------------------------------------------------------------------------------------------------------------------------------- Quarters ended November 30,(in thousands of dollars, except PSU growth, percentages and per share data) 2012 2011 Change $ $ %----------------------------------------------------------------------------OperationsRevenue 366,608 346,023 5.9Operating income before depreciation and amortization(1) 156,580 140,261 11.6Operating income 83,277 74,642 11.6Profit for the period from continuing operations 47,095 44,524 5.8Profit for the period from discontinued operations - 3,399 -Profit for the period 47,095 47,923 (1.7)Profit for the period attributable to owners of the Corporation 18,487 18,770 (1.5)----------------------------------------------------------------------------Cash FlowCash flow from operating activities (6,005) 9,570 -Cash flow from operations(1) 101,790 104,739 (2.8)Acquisitions of property, plant and equipment, intangible and other assets 83,155 78,404 6.1Free cash flow(1) 18,635 26,335 (29.2)----------------------------------------------------------------------------Financial Condition(2)Property, plant and equipment 1,565,872 1,343,904 16.5Total assets 4,531,151 3,103,919 46.0Indebtedness(3) 2,451,921 1,180,971 -Equity attributable to owners of the Corporation 411,061 397,799 3.3----------------------------------------------------------------------------Primary service units ("PSU") growth(4) 15,080 46,179 (67.3)----------------------------------------------------------------------------Per Share Data(5)Earnings per share attributable to owners of the Corporation From continuing and discontinued operations Basic 1.11 1.12 (0.09) Diluted 1.10 1.11 (0.09) From continuing operations Basic 1.11 1.06 4.7 Diluted 1.10 1.05 4.8 From discontinued operations Basic - 0.07 - Diluted - 0.06 ---------------------------------------------------------------------------------------------------------------------------------------------------------(1) The indicated terms do not have standardized definitions prescribed by International Financial Reporting Standards ("IFRS") and therefore, may not be comparable to similar measures presented by other companies. For more details, please consult the "Non-IFRS financial measures" section of the Management's discussion and analysis ("MD&A").(2) At November 30, 2012 and August 31, 2012.(3) Indebtedness is defined as the total of bank indebtedness, principal on long-term debt, balance due on business acquisitions and obligations under derivative financial instruments.(4) Represents the sum of Television, High Speed Internet ("HSI") and Telephony service customers.(5) Per multiple and subordinate voting share.--------------------------------------------------------------------------------------------------------------------------------------------------------
