TORONTO, ON–(Marketwired – November 17, 2016) – Distinct Infrastructure Group Inc. (TSX VENTURE: DUG) (“Distinct” or the “Company”) today released its financial results for the three and nine months ended September 30, 2016. For the three-month period ended September 30, 2016, the Company reported record revenues of $16.12 million, an increase of $7.39 million or 84.73% as compared to the three months ended August 31, 2015. For the nine-month period ended September 30, 2016, the Company reported record revenues of $42.40 million, an increase of $19.00 million or 81.18% as compared to the nine months ended August 31, 2015.
Joe Lanni, Co-Chief Executive Officer of the Company commented: “Distinct continues to experience strong demand for our services from key customers which is reflected in our record quarterly revenue. We believe that the Company has built a solid foundation on which to continue our exceptional growth into 2017 while at the same time remaining focused on maximizing operational efficiencies. With over 380 employees and 400 units of rolling stock, DIG remains strategically placed as a key full-service contractor in the Canadian telecom & utility infrastructure landscape.”
Further commenting on the record financial results, Alex Agius, Co-Chief Executive Officer of the Company, stated, “Distinct’s strong organic growth would not be possible without our clients. Our record financial results are a testament to the quality of our full-service turnkey offering. Distinct’s reputation as a leader in the industry for safety, efficiency and quality has been one of the key drivers of our success to date. We remain deeply committed to these values as we continue to explore organic and strategic growth opportunities beyond our core domestic markets.”
Additional highlights:
- EBITDA of $2.98 million during the third quarter of 2016 as compared to $1.47 million in the third quarter of 2015, a 103.53% increase. The Company also reported EBITDA of $5.62 million for the nine-month period ended September 30, 2016 as compared to $3.64 million for the nine-month period ended August 31, 2015, a 54.31% increase.
- Organic growth in the Ontario & Alberta markets continued to be driven by increased demand from new and existing customers. The Company’s telecommunication infrastructure business continues to experience increased demand for projects from one of the Company’s largest customers. iVac’s internal and external growth continues as sales efforts have proven to yield results in key markets.
Consolidated Financial Highlights
| September 30, 2016 | December 31, 2015 | |||
| Total current assets | 43,079,237 | 35,908,724 | ||
| Total non-current assets | 18,930,519 | 14,376,669 | ||
| Total Assets | 62,009,756 | 50,285,393 | ||
| Current liabilities | 18,148,174 | 8,719,675 | ||
| Long-term debt, debentures & finance lease obligations | 25,748,044 | 25,050,270 | ||
| Total Liabilities | 43,896,218 | 33,769,945 | ||
| Total Shareholders’ Equity | 18,113,538 | 16,515,448 | ||
| Total Liabilities & Shareholders’ Equity | 62,009,756 | 50,285,393 |
| For the three months ended | For the nine months ended | |||||||
| Sept. 30, 2016 | Aug. 31, 2015 | Sept. 30, 2016 | Aug. 31, 2015 | |||||
| Revenue | 16,122,306 | 8,727,311 | 42,396,036 | 23,399,392 | ||||
| Expenses | ||||||||
| Direct costs | 10,089,440 | 5,781,330 | 28,800,330 | 15,904,299 | ||||
| Selling, general and administrative | 3,048,994 | 1,479,942 | 7,973,630 | 3,851,836 | ||||
| Depreciation | 738,681 | 303,888 | 2,002,945 | 906,520 | ||||
| Total expenses | 13,877,115 | 7,565,160 | 38,776,905 | 20,662,655 | ||||
| Earnings from operations | 2,245,191 | 1,162,151 | 3,619,131 | 2,736,737 | ||||
| Other expenses | ||||||||
| Finance expense | 1,009,149 | 294,648 | 2,643,070 | 634,762 | ||||
| 1,009,149 | 294,648 | 2,643,070 | 634,762 | |||||
| (Loss) / Income before taxes | 1,236,042 | 867,503 | 976,061 | 2,101,975 | ||||
| Income taxes | 117,196 | 339,916 | 117,196 | 764,583 | ||||
| Net and comprehensive (loss) / income | 1,118,846 | 527,587 | 858,865 | 1,337,392 | ||||
| (Loss) / earnings per share | ||||||||
| Basic | 0.04 | 0.02 | 0.03 | 0.08 | ||||
| Diluted | 0.04 | 0.02 | 0.03 | 0.08 | ||||
The financial statements, notes to the financial statements and Management’s Discussion and Analysis for the three and nine months ended September 30, 2016 are available on SEDAR at www.sedar.com as well as DIG’s investor relations website at www.diginc.ca.
About Distinct:
Distinct Infrastructure Group Inc. is a turnkey solutions firm providing design, engineering, construction and maintenance services to telecommunication firms, utilities and government bodies. Distinct’s full-service suite of offerings includes underground construction, aerial construction, inventory management, and technical services including fibre to the building and home. The Company’s head offices are located in Toronto, Ontario, with additional offices in Edmonton, Alberta and Regina, Saskatchewan.
Neither TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.
Forward Looking Statements
This news release contains “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and applicable Canadian securities legislation. Generally, these forward-looking statements can be identified by the use of forward-looking terminology such as “plans”, “anticipated”, “expects” or “does not expect”, “is expected”, “budget”, “scheduled”, “estimates”, “forecasts”, “intends”, “anticipates” or “does not anticipate”, or “believes”, or variations of such words and phrases or state that certain actions, events or results “may”, “could”, “would”, “might” or “will be taken”, “occur” or “be achieved”. Inspiration is subject to significant risks and uncertainties which may cause the actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by the forward looking statements contained in this release. Inspiration cannot assure investors that actual results will be consistent with these forward looking statements and Inspiration assumes no obligation to update or revise the forward looking statements contained in this release to reflect actual events or new circumstances.
For further information please contact:
Manny Bettencourt
Chief Financial Officer
Email: manny.bettencourt@diginc.ca
Distinct Infrastructure Group Inc.
Email: public.relations@diginc.ca