- Q2 2024 revenue of $639
million, an increase of $30
million, or 5%, over Q2 2023.
- Q2 2024 Adjusted EBITDA* of $34 million, in line with Q2 2023.
- Q2 2024 net income of $2
million or $0.07 per share compared with
$1 million or $0.04 per share for the second quarter of
2023.
LASALLE,
QC, Aug. 7, 2024 /CNW/ - GDI Integrated
Facility Services Inc. ("GDI" or the "Company") (TSX:
GDI) is pleased to announce its financial results for the second
quarter ended June 30, 2024.
For the second quarter of 2024:
- Revenue reached $639 million, an
increase of $30 million, or 5%, over
the second quarter of 2023, comprised of 6% growth from
acquisitions and partially offset by 1% organic decline coming from
the Technical Services segment.
- Adjusted EBITDA* amounted to $34 million, in line with the second quarter of
2023.
- Net income was $2 million or
$0.07 per share compared to
$1 million or $0.04 per share in Q2 2023.
For the second quarters of 2024 and 2023, the business segments
performed as follows:
|
(in millions
of
Canadian
dollars)
|
Business
Services
Canada
|
Business
Services
USA
|
Technical
Services
|
Corporate and
Other
|
Consolidated
|
|
2024
|
2023
|
2024
|
2023
|
2024
|
2023
|
2024
|
2023
|
2024
|
2023
|
|
Revenue
|
145
|
144
|
221
|
180
|
259
|
264
|
14
|
21
|
639
|
609
|
|
Organic Growth
(Decline)
|
1 %
|
(1 %)
|
1 %
|
0 %
|
(5 %)
|
31 %
|
14 %
|
11 %
|
(1 %)
|
12 %
|
|
Adjusted
EBITDA*
|
12
|
13
|
14
|
13
|
14
|
12
|
(6)
|
(4)
|
34
|
34
|
|
Adjusted EBITDA
Margin*
|
8 %
|
9 %
|
6 %
|
7 %
|
5 %
|
5 %
|
N/A
|
N/A
|
5 %
|
6 %
|
For the six-month period ended June 30,
2024:
- Revenue reached $1.3 billion, an
increase of $83 million, or 7%, over
the corresponding period of 2022, comprised of 1% organic growth
and 6% growth from acquisitions.
- Adjusted EBITDA* amounted to $61 million, a decrease of $6 million, or
9%, over the corresponding period of 2023.
- Net income was $2 million or
$0.09 per share compared to
$5 million or $0.19 per share over the corresponding period of
2023. The decrease in net income in the first six months of 2024
compared to 2023 is mainly due to lower operating income of
$14 million, which is primarily
attributable to an increase in amortization and depreciation
expense of $9 million resulting from
a significant reduction in the amortized value of a large customer
contract in the quarter, which was partially offset by lower net
finance expense of $10 million and
lower income tax expense of $1
million.
For the first two quarters of 2024 and 2023, the business
segments performed as follows:
|
(in millions
of
Canadian
dollars)
|
Business
Services
Canada
|
Business
Services
USA
|
Technical
Services
|
Corporate and
Other
|
Consolidated
|
|
2024
|
2023
|
2024
|
2023
|
2024
|
2023
|
2024
|
2023
|
2024
|
2023
|
|
Revenue
|
290
|
286
|
446
|
356
|
511
|
516
|
36
|
42
|
1,283
|
1,200
|
|
Organic Growth
(Decline)
|
1 %
|
(1 %)
|
6 %
|
(1 %)
|
(3 %)
|
36 %
|
10 %
|
14 %
|
1 %
|
13 %
|
|
Adjusted
EBITDA*
|
23
|
27
|
27
|
25
|
22
|
23
|
(11)
|
(8)
|
61
|
67
|
|
Adjusted EBITDA
Margin*
|
8 %
|
9 %
|
6 %
|
7 %
|
4 %
|
4 %
|
N/A
|
N/A
|
5 %
|
6 %
|
GDI's Business Services Canada segment recorded $145 million in revenue in the second quarter
while generating $12 million in
Adjusted EBITDA*, representing an Adjusted EBITDA margin* of 8%.
GDI's Business Services USA
segment performed well in Q2 2024, recording revenue of
$221 million and Adjusted EBITDA* of
$14 million, representing an Adjusted EBITDA margin* of
6%.
The Technical Services segment recorded revenue of $259 million and Adjusted EBITDA* of $14 million, representing an Adjusted EBITDA
margin* of 5%. Historically, the first half of the year in the
Technical Services segment is seasonally slower and the business
ramps up as the year progresses.
Finally, GDI's Corporate and Other recorded revenue of
$14 million compared to revenue of
$21 million in Q2 2023, the decrease
being attributable to the sale of its Superior cleaning and
sanitation products distribution business on April 1, 2024, which was partially offset by
organic growth generated by GDI's chemical manufacturing
business.
"I am pleased with GDI's overall performance in Q2 2024, we were
able to overcome specific challenges that affected our business in
recent quarters and delivered solid results," stated Claude Bigras, President & CEO of GDI. "Our
Business Services Canada segment performed well with a sequential
increase in Adjusted EBITDA* and Adjusted EBITDA* margin over the
first quarter of 2024. Occupancy levels in the Class A office
market in Canada are remaining
stable and we continue to expect Adjusted EBITDA* margin in the
segment to remain higher than pre-COVID levels for the near-to-mid
term. Adjusted EBITDA* and Adjusted EBITDA Margin* were slightly
lower than Q2 2023 due to COVID-related gains realized in the prior
year's quarter. Our Business Services USA segment performed well during the quarter
to mitigate the revenue and Adjusted EBITDA* impact of the
previously announced supplier realignment of one of the segment's
largest clients which became effective just prior to the start of
Q2. In fact, the business delivered both positive organic revenue
growth and an increase in Adjusted EBITDA* compared to Q2 2023
despite the revenue loss experienced during the quarter, which
serves to demonstrate the resiliency of the business and the
strength of our team. The integration of the Atalian acquisition
has been progressing as planned and our margin improvement
initiatives are progressively being realized. The previously
announced Paramount Building Solutions acquisition, that closed on
May 1, 2024, has been substantially
integrated and has been performing in-line with expectations. Our
Technical Services segment had a very good quarter with Adjusted
EBITDA* growth of 75% over Q1 2024 and 17% over Q2 2023. The three
projects in our U.S. business that negatively impacted the
segment's results in the past two quarters were successfully closed
out in Q1, and enhanced procedures were put in place to augment
project management in the region. The business delivered Adjusted
EBITDA* margin of 5% which was in-line with historic levels in the
segment's seasonally weak second quarter. We are continuing to
improve pricing and margins and still selling as much new contracts
as in the past producing a near record backlog. Finally, Ainsworth
completed the acquisition of RYCOM Corporation on June 1, 2024. RYCOM develops, deploys, and
manages smart building solutions that enable the end-to-end
transformation of real estate assets into smart buildings and is
recognized as the leader in smart building solutions in
Canada. This acquisition
considerably strengthens Ainsworth's Energy & Technology
business unit and positions GDI as a leading player in the Canadian
marketplace in building technologies, data analytics and advisory
services for energy and greenhouse gas reduction," continued Mr.
Bigras.
"With the recent challenges behind us, the outlook for all of
GDI's business segments is positive for the remainder of 2024. Our
initiatives to reduce working capital requirements during 2024 are
continuing and we remain committed to deliver a total reduction in
operating working capital in the second half of the year. Our
balance sheet remains healthy and we have sufficient room on our
existing credit facilities to continue to execute on our strategic
growth plans. I look forward to GDI's performance through the
remainder of 2024," concluded Mr. Bigras.
ABOUT GDI
GDI is a leading integrated commercial facility services
provider which offers a range of services in Canada and the
United States to owners and managers of a variety of
facility types including office buildings, educational facilities,
distribution centers, industrial facilities, healthcare
establishments, stadiums and event venues, hotels, shopping
centres, airports and other transportation facilities. GDI's
commercial facility services capabilities include commercial
janitorial and building maintenance, energy advisory and system
optimization, the installation, maintenance and repair of HVAC-R,
mechanical, electrical and building automation systems, as well as
other complementary services such as janitorial products
manufacturing and distribution. GDI's subordinate voting shares are
listed on the Toronto Stock Exchange (TSX: GDI). Additional
information on GDI can be found on its website at www.gdi.com.
CAUTION CONCERNING FORWARD-LOOKING STATEMENTS
Certain statements in this MD&A may constitute
forward-looking information within the meaning of securities laws.
Forward looking information may relate to GDI's future outlook and
anticipated events, business, operations, financial performance,
financial condition or results and, in some cases, can be
identified by terminology such as "may"; "will"; "should";
"expect"; "plan"; "anticipate"; "believe"; "intend"; "estimate";
"predict"; "potential"; "continue"; "foresee"; "ensure" or other
similar expressions concerning matters that are not historical
facts. In particular, statements regarding GDI's future operating
results and economic performance, and its objectives and strategies
are forward-looking statements. These statements are based on
certain factors and assumptions including expected growth, results
of operations, performance and business prospects and
opportunities, which GDI believes are reasonable as of the current
date. While management considers these assumptions to be reasonable
based on information currently available to the Company, they may
prove to be incorrect. It is impossible for GDI to predict with
certainty the impact that the current economic uncertainties may
have on future results. Forward-looking information is also subject
to certain factors, including risks and uncertainties (described in
the "Risk Factors" section) that could cause actual results to
differ materially from what GDI currently expects. Namely, these
factors include risks pertaining to unsuccessful implementation of
the business strategy, changes to business structure, inherent
operating risks from acquisition activity, failure to integrate an
acquired company, decline in commercial real estate occupancy
levels, increase in costs which cannot be passed on to customers,
labour shortages, disruption in information technology systems and
execution issues with Strategic IT projects, increases in interest
rates, exchange rate fluctuations, deterioration in economic
conditions, increase in competition, influence of the
principal shareholders, loss of key or long-term customers, public
procurement laws and regulations, legal proceedings, reputational
damage, labour disputes, disputes with franchisees, environmental,
social and governance ("ESG") considerations, goodwill and
long-lived assets impairment charges, tax matters, key employees,
participation in multi-employer pension plans, legislation or other
governmental action, cybersecurity, data confidentiality and data
protection, and public perception of our environmental footprint,
many of which are beyond the Company's control. Therefore, future
events and results may vary significantly from what management
currently foresees. The reader should not place undue importance on
forward-looking information and should not rely upon this
information as of any other date. While management may elect to,
the Company is under no obligation and does not undertake to update
or alter this information at any particular time, except as may be
required by law.
|
|
|
Analyst Conference
Call:
|
August 8, 2024 at
9:00 A.M. (ET)
Kindly note that
Investors and Media representatives may attend as listeners
only.
|
|
Please use the
following dial-in numbers to have access to the conference call by
dialing 10 minutes before the beginning of the
conference:
North America Toll-Free: 1-888-664-6392
Local:
416-764-8659 (Toronto) or 514-225-6995 (Montreal)
Confirmation
Code: 995327 #
RapidConnect URL:
https://emportal.ink/40clg9j
|
|
A rebroadcast of the conference call will be available until August
15, 2024 by dialing:
North America
Toll-Free: 1-888-390-0541
Local:
416-764-8677 (Toronto)
Confirmation
Code: 995327 #
|
June 30, 2024 unaudited condensed
consolidated interim financial statements and accompanied
Management & Discussion Analysis are filed on
www.sedarplus.ca.
GDI INTEGRATED FACILITY SERVICES INC.
Condensed Consolidated Interim Statements of Financial Position
(Unaudited) (In millions of Canadian dollars)
|
As at June
30,
2024
|
As at December 31,
2023
|
|
Assets
|
|
|
|
|
|
|
Current
assets
|
|
|
|
Cash
|
29
|
17
|
|
Trade and other
receivables and contract assets
|
600
|
571
|
|
Current tax
assets
|
9
|
11
|
|
Inventories
|
37
|
42
|
|
Other financial
assets
|
14
|
13
|
|
Prepaid expenses and
other
|
16
|
11
|
|
Derivatives
|
–
|
1
|
|
Total current
assets
|
705
|
666
|
|
|
|
|
Non-current
assets
|
|
|
|
Property, plant and
equipment
|
125
|
127
|
|
Intangible
assets
|
121
|
131
|
|
Goodwill
|
373
|
356
|
|
Other assets
|
15
|
12
|
|
Total non-current
assets
|
634
|
626
|
|
|
|
|
Total assets
|
1,339
|
1,292
|
|
|
|
|
Liabilities and
Shareholders' Equity
|
|
|
|
|
|
|
Current
liabilities
|
|
|
|
Bank
indebtedness
|
6
|
14
|
|
Trade and other
payables
|
303
|
298
|
|
Provisions
|
33
|
32
|
|
Contract
liabilities
|
29
|
34
|
|
Current tax
liabilities
|
6
|
2
|
|
Current portion of
long-term debt
|
27
|
36
|
|
Total current
liabilities
|
404
|
416
|
|
|
|
|
Non-current
liabilities
|
|
|
|
Long-term
debt
|
444
|
384
|
|
Other
payables
|
6
|
5
|
|
Deferred tax
liabilities
|
27
|
32
|
|
Total non-current
liabilities
|
477
|
421
|
|
|
|
|
Shareholders'
equity
|
|
|
|
Share
capital
|
381
|
380
|
|
Retained
earnings
|
70
|
68
|
|
Contributed
surplus
|
3
|
2
|
|
Accumulated other
comprehensive income
|
4
|
5
|
|
Total shareholders'
equity
|
458
|
455
|
|
|
|
|
Total liabilities and
shareholders' equity
|
1,339
|
1,292
|
GDI INTEGRATED FACILITY SERVICES INC.
Condensed
Consolidated Interim Statements of Comprehensive Income
(Unaudited) (In millions of Canadian dollars, except for earnings
per share)
|
Three-month
periods
ended June
30,
|
Six-month
periods
ended June
30,
|
|
2024
|
2023
|
2024
|
2023
|
|
|
|
|
|
|
Revenues
|
639
|
609
|
1,283
|
1,200
|
|
|
|
|
|
|
Cost of
services
|
526
|
497
|
1,063
|
979
|
|
Selling and
administrative expenses
|
81
|
81
|
163
|
159
|
|
Transaction,
reorganization and other costs
|
2
|
1
|
3
|
2
|
|
Strategic information
technology projects configuration and customization
costs
|
1
|
1
|
1
|
2
|
|
Amortization of
intangible assets
|
5
|
6
|
17
|
11
|
|
Depreciation of
property, plant and equipment
|
14
|
13
|
28
|
25
|
|
Operating
income
|
10
|
10
|
8
|
22
|
|
|
|
|
|
|
Net finance
expense
|
5
|
8
|
4
|
14
|
|
Income before income
taxes
|
5
|
2
|
4
|
8
|
|
|
|
|
|
|
Income tax
expense
|
3
|
1
|
2
|
3
|
|
Net income
|
2
|
1
|
2
|
5
|
|
|
|
|
|
|
Other comprehensive
income (loss)
|
|
|
|
|
|
Gains (losses) that are
or may be reclassified to earnings:
|
|
|
|
|
|
Foreign currency
translation differences for foreign operations
|
3
|
(7)
|
9
|
(7)
|
|
Hedge of net
investments in foreign operations, net of tax
|
(3)
|
7
|
(9)
|
7
|
|
Cash flow hedges,
effective portion of changes in fair value, net of tax
|
–
|
–
|
(1)
|
(1)
|
|
–
|
–
|
(1)
|
(1)
|
|
|
|
|
|
|
Total comprehensive
income
|
2
|
1
|
1
|
4
|
|
|
|
|
|
|
|
|
|
|
|
Earnings per
share:
|
|
|
|
|
|
Basic
|
0.07
|
0.04
|
0.09
|
0.19
|
|
Diluted
|
0.07
|
0.04
|
0.09
|
0.19
|
|
|
|
|
|
|
GDI INTEGRATED FACILITY SERVICES INC.
Condensed
Consolidated Interim Statements of Changes in Equity
Six-month periods ended June 30, 2024
and 2023
(Unaudited) (In millions of Canadian dollars, except for number of
shares)
|
Share
capital
|
Retained
earnings
|
Contributed
surplus
|
Accumulated
other
comprehensive
income
|
Total
|
|
Number
(in thousands
of shares)
|
Amount
|
|
|
|
|
|
|
|
|
Balance, January 1,
2023
|
23,414
|
379
|
49
|
4
|
7
|
439
|
|
Net income
|
–
|
–
|
5
|
–
|
–
|
5
|
|
Other comprehensive
loss
|
–
|
–
|
–
|
–
|
(1)
|
(1)
|
|
Total comprehensive
income for the period
|
–
|
–
|
5
|
–
|
(1)
|
4
|
|
Transactions with
owners of the Company:
|
|
Stock options
exercised
|
66
|
1
|
–
|
–
|
–
|
1
|
|
Share-based
compensation
|
–
|
–
|
–
|
1
|
–
|
1
|
|
Shares repurchased for
cancellation
|
(98)
|
(1)
|
–
|
(3)
|
–
|
(4)
|
|
Balance, June 30,
2023
|
23,382
|
379
|
54
|
2
|
6
|
441
|
|
|
|
|
|
|
|
|
Balance, January 1,
2024
|
23,414
|
380
|
68
|
2
|
5
|
455
|
|
Net income
|
–
|
–
|
2
|
–
|
–
|
2
|
|
Other comprehensive
loss
|
–
|
–
|
–
|
–
|
(1)
|
(1)
|
|
Total comprehensive
income for the period
|
–
|
–
|
2
|
–
|
(1)
|
1
|
|
Transactions with
owners of the Company:
|
|
Stock options
exercised
|
66
|
1
|
–
|
–
|
–
|
1
|
|
Share-based
compensation
|
–
|
–
|
–
|
1
|
–
|
1
|
|
Balance, June 30,
2024
|
23,480
|
381
|
70
|
3
|
4
|
458
|
GDI INTEGRATED FACILITY SERVICES INC.
Condensed
Consolidated Interim Statements of Cash Flows
(Unaudited) (In millions of Canadian dollars)
|
Six-month periods ended
June 30,
|
|
2024
|
2023
|
|
|
|
|
Cash flows from (used
in) operating activities
|
|
|
|
Net income
|
2
|
5
|
|
Adjustments
for:
|
|
|
|
Depreciation and
amortization
|
45
|
36
|
|
Equity portion of
share-based compensation
|
1
|
1
|
|
Net finance
expense
|
4
|
14
|
|
Income tax
expense
|
2
|
3
|
|
Income taxes
paid
|
(2)
|
(11)
|
|
Net changes in
non-cash operating assets and
liabilities
|
(24)
|
(49)
|
|
Net cash from (used in)
operating activities
|
28
|
(1)
|
|
|
|
|
Cash flows from (used
in) financing activities
|
|
|
|
Proceeds from
issuance of long-term
debt
|
201
|
177
|
|
Repayment of
long-term debt
|
(157)
|
(118)
|
|
Payment of lease
liabilities
|
(19)
|
(16)
|
|
Interest
paid
|
(15)
|
(10)
|
|
Other
|
1
|
(4)
|
|
Net cash from
financing activities
|
11
|
29
|
|
|
|
|
Cash flows (used in)
from investing activities
|
|
|
|
Business
acquisitions and disposal, net of cash acquired
|
(7)
|
(2)
|
|
Additions to
property, plant and equipment
|
(8)
|
(11)
|
|
Additions to
intangible assets
|
(1)
|
(3)
|
|
Proceeds on
disposal of property, plant and equipment
|
2
|
1
|
|
Net cash used in
investing activities
|
(14)
|
(15)
|
|
|
|
|
Foreign exchange
(loss) gain on cash held in foreign currencies
|
(5)
|
2
|
|
|
|
|
Net change in
cash
|
20
|
15
|
|
|
|
|
Cash (Bank
indebtedness), beginning of period:
|
|
|
|
Cash
|
17
|
7
|
|
Bank
indebtedness
|
(14)
|
(10)
|
|
3
|
(3)
|
|
|
|
|
Cash, end of
period:
|
|
|
|
Cash
|
29
|
15
|
|
Bank
indebtedness
|
(6)
|
(3)
|
|
23
|
12
|
GDI INTEGRATED FACILITY SERVICES INC.
Segmented
information
(Unaudited) (In millions of Canadian dollars)
|
Three-month period
ended June 30, 2024
|
|
Business
Services
Canada
|
Business
Services
USA
|
Technical
Services
|
Corporate
and Other
|
Total
|
|
|
|
|
|
|
|
|
|
Recurring/contractual
services
|
127
|
200
|
32
|
4
|
363
|
|
|
On-call
services
|
10
|
21
|
68
|
1
|
100
|
|
|
Project
|
–
|
–
|
159
|
–
|
159
|
|
|
Manufacturing and
distribution
|
–
|
–
|
–
|
12
|
12
|
|
|
Other
revenues
|
5
|
–
|
–
|
–
|
5
|
|
|
|
|
|
|
|
|
|
Total external
revenues
|
142
|
221
|
259
|
17
|
639
|
|
|
Inter-segment
revenues
|
3
|
–
|
–
|
(3)
|
–
|
|
|
Revenues
|
145
|
221
|
259
|
14
|
639
|
|
|
|
|
|
|
|
|
|
Income (loss) before
income taxes
|
9
|
8
|
3
|
(15)
|
5
|
|
|
Net finance
expense
|
–
|
1
|
2
|
2
|
5
|
|
|
Operating income
(loss)
|
9
|
9
|
5
|
(13)
|
10
|
|
|
Depreciation and
amortization
|
3
|
5
|
9
|
2
|
19
|
|
|
Transaction,
reorganization, and other costs
|
–
|
–
|
–
|
2
|
2
|
|
|
Share-based
compensation
|
–
|
–
|
–
|
2
|
2
|
|
|
Strategic information
technology projects configuration and customization
costs
|
–
|
–
|
–
|
1
|
1
|
|
|
Adjusted
EBITDA
|
12
|
14
|
14
|
(6)
|
34
|
|
|
|
|
|
|
|
|
|
Total assets
|
271
|
409
|
560
|
99
|
1,339
|
|
|
Total
liabilities
|
68
|
119
|
256
|
438
|
881
|
|
|
Additions to property,
plant and equipment
|
1
|
5
|
8
|
2
|
16
|
|
|
Additions to intangible
assets
|
–
|
1
|
3
|
–
|
4
|
|
|
Goodwill recorded on
business acquisition
|
–
|
7
|
2
|
–
|
9
|
|
GDI INTEGRATED FACILITY SERVICES INC.
Segmented
information
(Unaudited) (In millions of Canadian dollars)
|
Three-month period
ended June 30, 2023
|
|
Business
Services
Canada
|
Business
Services
USA
|
Technical
Services
|
Corporate
and Other
|
Total
|
|
|
|
|
|
|
|
|
|
Recurring/contractual
services
|
124
|
170
|
21
|
4
|
319
|
|
|
On-call
services
|
11
|
10
|
73
|
2
|
96
|
|
|
Project
|
–
|
–
|
170
|
–
|
170
|
|
|
Manufacturing and
distribution
|
–
|
–
|
–
|
18
|
18
|
|
|
Other
revenues
|
6
|
–
|
–
|
–
|
6
|
|
|
|
|
|
|
|
|
|
Total external
revenues
|
141
|
180
|
264
|
24
|
609
|
|
|
Inter-segment
revenues
|
3
|
–
|
–
|
(3)
|
–
|
|
|
Revenues
|
144
|
180
|
264
|
21
|
609
|
|
|
|
|
|
|
|
|
|
Income (loss) before
income taxes
|
10
|
8
|
2
|
(18)
|
2
|
|
|
Net finance
expense
|
–
|
1
|
1
|
6
|
8
|
|
|
Operating income
(loss)
|
10
|
9
|
3
|
(12)
|
10
|
|
|
Depreciation and
amortization
|
3
|
4
|
9
|
3
|
19
|
|
|
Transaction,
reorganization, and other costs
|
–
|
–
|
–
|
1
|
1
|
|
|
Share-based
compensation
|
–
|
–
|
–
|
3
|
3
|
|
|
Strategic information
technology projects configuration and customization
costs
|
–
|
–
|
–
|
1
|
1
|
|
|
Adjusted
EBITDA
|
13
|
13
|
12
|
(4)
|
34
|
|
|
|
|
|
|
|
|
|
Total assets
|
267
|
359
|
544
|
122
|
1,292
|
|
|
Total
liabilities
|
69
|
109
|
253
|
406
|
837
|
|
|
Additions to property,
plant and equipment
|
3
|
3
|
6
|
2
|
14
|
|
|
Additions to intangible
assets
|
–
|
–
|
1
|
2
|
3
|
|
|
Goodwill recorded on
business acquisition
|
–
|
–
|
2
|
–
|
2
|
|
GDI INTEGRATED FACILITY SERVICES INC.
Segmented
information (continued)
(Unaudited) (In millions of Canadian dollars)
|
Six-month period ended
June 30, 2024
|
|
Business
Services
Canada
|
Business
Services
USA
|
Technical
Services
|
Corporate
and Other
|
Total
|
|
|
|
|
|
|
|
|
|
Recurring/contractual
services
|
253
|
403
|
62
|
10
|
728
|
|
|
On-call
services
|
18
|
43
|
140
|
3
|
204
|
|
|
Project
|
–
|
–
|
309
|
–
|
309
|
|
|
Manufacturing and
distribution
|
–
|
–
|
–
|
29
|
29
|
|
|
Other
revenues
|
13
|
–
|
–
|
–
|
13
|
|
|
|
|
|
|
|
|
|
Total external
revenues
|
284
|
446
|
511
|
42
|
1,283
|
|
|
Inter-segment
revenues
|
6
|
–
|
–
|
(6)
|
–
|
|
|
Revenues
|
290
|
446
|
511
|
36
|
1,283
|
|
|
|
|
|
|
|
|
|
Income (loss) before
income taxes
|
17
|
11
|
2
|
(26)
|
4
|
|
|
Net finance
expense
|
–
|
1
|
1
|
2
|
4
|
|
|
Operating income
(loss)
|
17
|
12
|
3
|
(24)
|
8
|
|
|
Depreciation and
amortization
|
6
|
14
|
19
|
6
|
45
|
|
|
Transaction,
reorganization, and other costs
|
–
|
1
|
–
|
2
|
3
|
|
|
Share-based
compensation
|
–
|
–
|
–
|
4
|
4
|
|
|
Strategic information
technology projects configuration and customization
costs
|
–
|
–
|
–
|
1
|
1
|
|
|
Adjusted
EBITDA
|
23
|
27
|
22
|
(11)
|
61
|
|
|
|
|
|
|
|
|
|
Total assets
|
271
|
409
|
560
|
99
|
1,339
|
|
|
Total
liabilities
|
68
|
119
|
256
|
438
|
881
|
|
|
Additions to property,
plant and equipment
|
3
|
6
|
16
|
3
|
28
|
|
|
Additions to intangible
assets
|
–
|
1
|
3
|
1
|
5
|
|
|
Goodwill recorded on
business acquisition
|
–
|
10
|
2
|
–
|
12
|
|
GDI INTEGRATED FACILITY SERVICES INC.
Segmented
information (continued)
(Unaudited) (In millions of Canadian dollars)
|
Six-month period ended
June 30, 2023
|
|
Business
Services
Canada
|
Business
Services
USA
|
Technical
Services
|
Corporate
and Other
|
Total
|
|
|
|
|
|
|
|
|
|
Recurring/contractual
services
|
244
|
337
|
42
|
11
|
634
|
|
|
On-call
services
|
23
|
19
|
147
|
3
|
192
|
|
|
Project
|
–
|
–
|
327
|
–
|
327
|
|
|
Manufacturing and
distribution
|
–
|
–
|
–
|
33
|
33
|
|
|
Other
revenues
|
13
|
–
|
–
|
1
|
14
|
|
|
|
|
|
|
|
|
|
Total external
revenues
|
280
|
356
|
516
|
48
|
1,200
|
|
|
Inter-segment
revenues
|
6
|
–
|
–
|
(6)
|
–
|
|
|
Revenues
|
286
|
356
|
516
|
42
|
1,200
|
|
|
|
|
|
|
|
|
|
Income (loss) before
income taxes
|
22
|
16
|
3
|
(33)
|
8
|
|
|
Net finance
expense
|
–
|
1
|
3
|
10
|
14
|
|
|
Operating income
(loss)
|
22
|
17
|
6
|
(23)
|
22
|
|
|
Depreciation and
amortization
|
5
|
8
|
16
|
7
|
36
|
|
|
Transaction,
reorganization, and other costs
|
–
|
–
|
1
|
1
|
2
|
|
|
Share-based
compensation
|
–
|
–
|
–
|
5
|
5
|
|
|
Strategic information
technology projects configuration and customization
costs
|
–
|
–
|
–
|
2
|
2
|
|
|
Adjusted
EBITDA
|
27
|
25
|
23
|
(8)
|
67
|
|
|
|
|
|
|
|
|
|
Total assets
|
267
|
359
|
544
|
122
|
1,292
|
|
|
Total
liabilities
|
69
|
109
|
253
|
406
|
837
|
|
|
Additions to property,
plant and equipment
|
4
|
5
|
13
|
5
|
27
|
|
|
Additions to intangible
assets
|
–
|
–
|
1
|
3
|
4
|
|
|
Goodwill recorded on
business acquisition
|
–
|
–
|
2
|
–
|
2
|
|
GDI INTEGRATED FACILITY SERVICES INC.
Business
acquisitions
|
Acquisition
date
|
Company
acquired
|
Location
|
Segment
reporting
|
Purchase price
allocation status
|
|
2024
Acquisitions
|
|
April 1,
2024
|
Hussmann Canada
Inc.
("Hussmann")
|
Darthmouth, Nova
Scotia
|
Technical
Services
|
Preliminary
|
|
|
|
|
|
|
May 1, 2024
|
Jade Opco, LLC, doing
business
as Paramount Building Solutions
("Paramount")
|
Phoenix,
Arizona
|
Business
Services USA
|
Preliminary
|
|
June 1, 2024
|
RYCOM Corporation
("RYCOM")
|
Toronto,
Ontario
|
Technical
Services
|
Preliminary
|
|
2023
Acquisitions
|
|
June 1, 2023
|
React Technical, Inc.
("React")
|
New York, New
York
|
Technical
Services
|
Completed
|
|
November 1,
2023
|
La Financière Atalian
("Atalian")
|
Multi-sites in
USA
|
Business
Services USA
|
Preliminary
|
Business disposal
On April 1, 2024, the Company
completed the sale of its Superior cleaning and sanitation supplies
distribution business and transferred some of its related
liabilities.
GDI INTEGRATED FACILITY SERVICES INC.
Supplementary
Quarterly Financial Information
Three-month periods
(Unaudited) (In millions of Canadian dollars, except per share
data)
|
Three months
ended
|
|
|
|
|
|
(in millions of
Canadian dollars, except per share data)
(1)
|
June
2024
|
March
2024
|
December
2023
|
September
2023
|
|
Revenue
|
639
|
644
|
622
|
615
|
|
Operating (loss)
income
|
10
|
(2)
|
9
|
16
|
|
Depreciation and
amortization
|
19
|
26
|
22
|
19
|
|
Transaction,
reorganization and other costs
|
2
|
1
|
2
|
‒
|
|
Share-based
compensation
|
2
|
2
|
2
|
2
|
|
Strategic information
technology
projects
configuration and customization costs
|
1
|
1
|
2
|
2
|
|
Adjusted
EBITDA
|
34
|
28
|
37
|
39
|
|
Net income for the
period
|
2
|
‒
|
6
|
8
|
|
Earnings per
share
|
|
|
|
|
|
Basic
|
0.07
|
0.02
|
0.26
|
0.35
|
|
Diluted
|
0.07
|
0.02
|
0.25
|
0.35
|
|
Three months
ended
|
|
|
|
|
|
(in millions of
Canadian dollars, except per share data)
(1)
|
June
2023
|
March
2023
|
December
2022
|
September
2022
|
|
Revenue
|
609
|
591
|
588
|
563
|
|
Operating
income
|
10
|
12
|
15
|
19
|
|
Depreciation and
amortization
|
19
|
17
|
22
|
18
|
|
Transaction,
reorganization and other costs
|
1
|
1
|
1
|
1
|
|
Share-based
compensation
|
3
|
2
|
3
|
2
|
|
Strategic information
technology projects
configuration and customization costs
|
1
|
1
|
1
|
2
|
|
Adjusted
EBITDA
|
34
|
33
|
42
|
42
|
|
Net income for the
period
|
1
|
4
|
10
|
11
|
|
Earnings per
share
|
|
|
|
|
|
Basic
|
0.04
|
0.15
|
0.41
|
0.45
|
|
Diluted
|
0.04
|
0.15
|
0.40
|
0.44
|
______________________________
|
* The terms
"Adjusted EBITDA" and "Adjusted EBITDA Margin" do not have
standardized definitions prescribed by International Financial
Reporting Standards and therefore, may not be comparable to similar
measures presented by other companies. "Adjusted EBITDA" is defined
as operating income before depreciation and amortization,
transaction, reorganization and other costs, share-based
compensation and strategic information technology projects
configuration and customization costs. The Adjusted EBITDA Margin
is calculated by dividing Adjusted EBITDA by revenues. For more
details and for a reconciliation of that measure to the most
directly comparable IFRS measure, consult the "Segmented
Information" tables at the end of this press
release.
|
SOURCE GDI Integrated Facility Services Inc.