Taiga's Q1 sales grow 17%

Taiga's Q1 sales grow 17%

Canada NewsWire

BURNABY, BC, Aug. 3, 2017

BURNABY, BC, Aug. 3, 2017 /CNW/ - Taiga Building Products Ltd. ("Taiga" or the "Company") today reported its financial results for the three months ended June 30, 2017.

First Quarter Ended June 30, 2017 Earnings Results

Sales for the first quarter increased to $379.8 million from $325.5 million over the same quarter last year.

Gross margin dollars for the first quarter increased to $33.7 million compared to $31.4 million in the same quarter last year.  Gross margin percentage for the first quarter was 8.9% compared to 9.7% in the same quarter last year. 

Taiga's net earnings for the quarter ended June 30, 2017 increased to $5.0 million from $4.8 million over the same period last year.

EBITDA for the quarter ended June 30, 2017 was $14.3 million compared to $13.5 million for the same period last year.

Condensed Consolidated Statement of Earnings
For the Three Months Ended

 June 30,

(in thousands of Canadian dollars, except for per share amounts)

2017

2016

Sales

379,761

325,466

Gross margin

33,677

31,408

Distribution expense

5,480

5,431

Selling and administration expense

15,081

13,619

Finance expense

1,379

1,319

Subordinated debt interest expense

4,509

4,087

Other income

(84)

(115)

Earnings before income taxes

7,312

7,067

Income tax expense

2,283

2,305

Net earnings

5,029

4,762

Net earnings per share(1)

0.16

0.15

EBITDA(2)

14,280

13,491

 

The following is the reconciliation of net earnings to EBITDA:

 June 30,

(in thousands of Canadian dollars)

2017

2016

Net earnings

5,029

4,762

Income tax expense

2,283

2,305

Finance and subordinated debt interest expense

5,888

5,406

Amortization

1,080

1,018

EBITDA

14,280

13,491

 

Notes:

(1) Earnings per share is calculated using the weighted average number of shares.

(2) Reference is made above to EBITDA, which represents earnings before interest, taxes, and amortization. As there is no generally accepted method of calculating EBITDA, the measure as calculated by Taiga might not be comparable to similarly titled measures reported by other issuers. EBITDA is presented as management believes it is a useful indicator of a company's ability to meet debt service and capital expenditure requirements and because management interprets trends in EBITDA as an indicator of relative operating performance. EBITDA should not be considered by an investor as an alternative to net income or cash flows as determined in accordance with IFRS. For the disclosure of the manner in which EBITDA is calculated and reconciliation to net earnings refer to the "EBITDA" section of the Company's management's discussion and analysis which will be available shortly on SEDAR at www.sedar.com.

 

The foregoing selected financial information is qualified in its entirety by and should be read in conjunction with, our unaudited condensed interim consolidated financial statements for the three months ended June 30, 2017 and accompanying notes and management's discussion and analysis which will be available shortly on SEDAR at www.sedar.com.

SOURCE Taiga Building Products Ltd.

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