This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Canlan Reports Strong Q1 Earnings Growth And Refinances Debt On Favourable Terms

BURNABY, British Columbia, May 14, 2014 (GLOBE NEWSWIRE) -- Canlan Ice Sports Corp. (the "Corporation") (TSX:ICE) today reported its financial results for the first quarter ended March 31, 2014.

Highlights of Q1 2014

  • Total revenue $21.2 million increased by 2.6% over 2013 while same store revenue was up $0.7 million or 3.3%;
  • EBITDA of $5.4 million, increased by 16.7% over 2013;
  • Canlan Sportsplex, which opened in the fall of 2012, turned its first quarterly profit as EBITDA rose significantly compared to prior year;
  • Net earnings of $2.5 million increased by 21.1%. EPS was $0.18/share compared to $0.15/share a year ago;
  • The Company approved the continuation of its quarterly dividend policy and declared eligible dividends totaling $0.02 per common share to be paid on July 15, 2014.

Refinancing

Subsequent to March 31, 2014, the Company successfully refinanced $14.6 million of senior debt at reduced interest rates and a longer amortization period. In addition, $5.1 million of additional financing was added to the debt package, enabling the Company to replenish cash reserves.

First Quarter Results

 
  For the 3 months ended March 31
(in thousands) 2014 2013
Revenue $21,198 $20,661
Operating expense 14,574 14,782
  6,624 5,879
General & administration expense 1,181 1,214
EBITDA 1 $5,443 $4,665
EBITDA per share $0.41 $0.35
Net earnings $2,458 $2,030
Net earnings per share $0.18 $0.15
     
_________________________     
1 Earnings before interest, taxes, depreciation and amortization (EBITDA) is often used as a measure of financial performance. However, EBITDA is not a term that has specific meaning in accordance with IFRS, and may be calculated differently by other companies. Canlan reconciles EBITDA to its net earnings.
 
Key Balance Sheet Figures (in thousands):
As at March 31: 2014 2013
Assets    
Cash and cash equivalents $8,661 $10,080
Property plant and equipment 88,391 89,401
Investment properties 570 570
Other assets 6,012 5,510
Total assets $103,634 $105,561
Liabilities and Equity    
Interest bearing debt $40,845 $41,233
Accounts payable and accrued liabilities 8,154 7,360
Deferred revenue 6,741 11,216
Other liabilities 747 796
Total liabilities 56,487 60,605
Share capital and contributed surplus 63,652 63,652
Deficit (16,505) (18,696)
Total shareholders' equity 47,147 44,956
Total Liabilities and Equity $103,364 $105,561

First Quarter Results

(three months ended March 31, 2014 compared with three months ended March 31, 2013)

  • Revenue of $21.2 million increased by $0.5 million or 2.6%;
  • Incremental sales from Canlan's instructional programs, contract ice rentals, restaurant operations, and soccer rentals at the new Sportsplex were the main drivers of the growth;
  • Quarterly EBITDA of $5.4 million was a new Q1 high for Canlan as increased sales coupled with cost containment helped boost earnings by 16.7%.

"We are pleased with our solid financial results for the first quarter," said Canlan's CEO, Joey St-Aubin. "Instructional programs revenue was strong in most markets and our first multi-sport complex earned its first profit ending Q1 right on target."

1 of 3

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 17,279.74 +13.75 0.08%
S&P 500 2,010.40 -0.96 -0.05%
NASDAQ 4,579.7890 -13.6380 -0.30%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs