"Today, the residential telecommunications market is maturing and more competitive than ever. I am very pleased with our overall positive results, clearly demonstrating that the combination of our customer service efforts, our marketing strategies, along with our strong cost control initiatives have produced the expected positive effects on our financial results," declared Louis Audet, President and Chief Executive Officer of Cogeco Cable.
"Cogeco Data Services' ("CDS") results are very encouraging and confirm the growth potential of the investments that we have made in this promising sector."
Louis Audet added: "As for our entry into the American market, it is with great enthusiasm that we concluded the acquisition of ABB on November 30, 2012. ABB and our residential / small and medium business sector of Cogeco Cable have much in common, including the expertise of both our management teams; we foresee good prospects for the future. ABB's first quarterly financial results will be reported next quarter."
FINANCIAL HIGHLIGHTS
-------------------------------------------------------------------------------------------------------------------------------------------------------- Quarters ended November 30,(in thousands of dollars, except PSU growth, percentages and pershare data) 2012 2011 Change $ $ %----------------------------------------------------------------------------OperationsRevenue 327,911 315,424 4.0Operating income before depreciation and amortization(1) 147,126 131,823 11.6Operating margin(1) 44.9% 41.8% -Operating income 75,160 66,999 12.2Profit for the period from continuing operations 42,160 39,567 6.6Profit for the period from discontinued operations - 3,399 -Profit for the period 42,160 42,966 (1.9)----------------------------------------------------------------------------Cash FlowCash flow from operating activities (280) 13,807 -Cash flow from operations(1) 99,845 97,043 2.9Acquisitions of property, plant and equipment, intangible and other assets 82,833 77,283 7.2Free cash flow(1) 17,012 19,760 (13.9)----------------------------------------------------------------------------Financial Condition(2)Property, plant and equipment 1,544,806 1,322,093 16.8Total assets 4,331,597 2,908,079 49.0Indebtedness(3) 2,333,766 1,069,112 -Shareholders' equity 1,215,831 1,188,431 2.3----------------------------------------------------------------------------Primary service units ("PSU") growth(4) 15,080 46,179 (67.3)----------------------------------------------------------------------------Per Share Data(5)Earnings per share From continuing and discontinued operations Basic 0.87 0.88 (1.1) Diluted 0.86 0.88 (2.3) From continuing operations Basic 0.87 0.81 7.4 Diluted 0.86 0.81 6.2 From discontinued operations Basic - 0.07 - Diluted - 0.07 ---------------------------------------------------------------------------------------------------------------------------------------------------------(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 a business acquisition 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.
