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Discover Latest #Depreciation News, Articles and Videos with Contenting
Depreciation is an accounting term which is used to spread the cost of an asset over its useful life. It is a method of allocating the cost of an asset over a period of time. It is used to match the cost of the asset to the revenue it generates. Depreciation is a non-cash expense and is used to reduce the value of an asset on the balance sheet. It is important to understand how depreciation works and how it affects the financial statements of businesses. Read the latest news and articles on depreciation below.
Amortization vs. Depreciation: Differences and Examples
Amortization and depreciation are accounting methods used to allocate the cost of assets over their useful lives. Amortization applies to intangible assets like patents and trademarks. Depreciation deals with tangible assets like buildings, machinery and vehicles. A financial advisor can help you apply both methods as part of a broader tax strategy to reduce taxable […] The post Amortization vs. Depreciation: Differences and Examples appeared first on SmartReads by SmartAsset.
Etrion Releases 2024 Results - ForexTV
GENEVA, Switzerland, March 21, 2025 (GLOBE NEWSWIRE) -- Etrion Corporation (“Etrion” or the “Company”, and, together with its subsidiaries, the “Group”) released today its annual consolidated financial statements and related management’s discussion and analysis (“MD&A”) for the year ended December 31, 2024. 2024 HIGHLIGHTS Etrion closed the year 2024 with an unrestricted cash balance of $6.2 million and positive working capital of $6.2 million.On September 30, 2024, the Group's Luxembourg subsidiary received an earn-out payment of $1.2 million. This payment relates to a reimbursement for grid connection costs associated with a former Japanese asset that was sold in 2021.In September 2024, the Group's Japanese subsidiary realized $0.2 million in proceeds from the sale of specific permits and rights associated with a wind project previously abandoned. Management Comments: Marco A. Northland, the Company’s Chief Executive Officer, commented, “The Company going forward will maintain very limited resources and proceed with a windup of the Company as previously disclosed”. FINANCIAL SUMMARY Three months ended Twelve months ended US$ thousands (unless otherwise stated)Q4-24 Q4-23 Q4-24 Q4-23 Financial performance from continuing operations EBITDA(358)(1,219)(340)(2,665)Net income/(loss)53 7,064 (691)(5,267) Financial position Dec 2024 Dec 2023 Unrestricted cash 6,251 10,217 Working capital 6,210 9,924 Total assets 6,410 7,576 About Etrion Etrion’s largest shareholder is the Lundin family, which owns approximately 36% of the Company’s shares directly and through various trusts. For additional information, please visit the Company’s website at www.etrion.com or contact: Marco Northland – Chief Executive Officer and Chief Operating Officermnorthland@etrion.com The information was submitted for publication at 11:05 p.m. CET on March 21, 2025. Non-IFRS Measures: This press release includes non-IFRS measures not defined under IFRS, specifically earnings before interest, taxes, depreciation and amortization (“EBITDA”) and Adjusted operating cash flow. Non-IFRS measures have no standardized meaning prescribed under IFRS and therefore such measures may not be comparable with those used by other companies. EBITDA is a useful metric to quantify the Company’s ability to generate cash before extraordinary and non-cash accounting transactions recognized in the financial statements. In addition, EBITDA is useful to analyze and compare profitability between companies and industries because it eliminates the effects of financing and accounting policy decisions. The most comparable IFRS measure to EBITDA is net income (loss). Refer to Etrion’s MD&A for the year ended December 31, 2024, for a reconciliation of EBITDA and adjusted operating cash flow reported during the period. Forward-Looking Information: This press release contains certain “forward-looking information”. All statements, other than statements of historical fact, that address activities, events or developments that the Company believes, expects or anticipates will or may occur in the future (including, without limitation, statements relating to amount of funds that will be required to satisfy potential warranty claims under the sale agreements, other corporate level liabilities and anticipated expenses to cover continuing operations and windup costs, the possibility of acquiring or commencing an alternative business and the possibility that the Company may proceed to wind up its activities and dissolve following the completion of the sale of its solar assets) constitute forward-looking information. This forward-looking information reflects the current expectations or beliefs of the Company based on information currently available to the Company as well as certain assumptions including, without limitation, assumptions as to the amount of funds that will be required to satisfy future obligations and costs associated with the dissolution of the Company. Forward-looking information is subject to a number of significant risks and uncertainties and other factors that may cause the actual results of the Company to differ materially from those discussed in the forward-looking information, and even if such actual results are realized or substantially realized, there can be no assurance that they will have the expected consequences to, or effects on the Company. Factors that could cause actual results or events to differ materially from current expectations include, but are not limited to, the risk that the Company may have insufficient funds to satisfy its future obligations, including without limitation warranty claims under the agreements pursuant to which its projects were sold; the risk that the Company may not be successful in identifying and pursuing an alternative business; and uncertainties with respect to the timing of the any alternative business venture or the windup and the dissolution of the Company. Any forward-looking information speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking information, whether as a result of new information, future events or results or otherwise. Although the Company believes that the assumptions inherent in the forward-looking information are reasonable, forward-looking information is not a guarantee of future performance and accordingly undue reliance should not be put on such information due to the inherent uncertainty therein.
Glacier Reports Year End 2024 Results - ForexTV
VANCOUVER, British Columbia, March 21, 2025 (GLOBE NEWSWIRE) -- Glacier Media Inc. (TSX: GVC) (“Glacier” or the “Company”) reported revenue and earnings for the year ended December 31, 2024. Summary Results (thousands of dollars) except share and per share amounts 2024 2023 Revenue $141,946 $154,940 EBITDA (1) $9,712 $(4,169) EBITDA (1) margin 6.8% (2.7%) EBITDA (1) per share $0.07 $(0.03) Capital expenditures $3,848 $4,316 Net loss attributable to common shareholder $(24,442) $(99,250) Net loss attributable to common shareholder per share $(0.19) $(0.76) Weighted average shares outstanding, net 131,131,598 131,198,520 (1) EBITDA is considered a non-GAAP measure. Refer to “EBITDA Reconciliation” below for a reconciliation of the Company’s net (loss) income attributable to common shareholders as reported under IFRS to EBITDA. 2024 performance Over the past two years, the Company has moved aggressively to close or sell underperforming print community media operations to focus on its core businesses. The Company objective is to focus on the long-term growth of its business information and consumer digital businesses. The Company is optimistic that its core operations can and will continue to perform well in the long term and will generate strong cash flows and enhance shareholder value. The respective brands, market positions, and value to customers remain strong. Certain remaining print operations continue to perform well, generating cash flow and providing value to customers and readers. The Company will operate these businesses while continuing to closely monitor their performance. The Company will take measures to address the underperforming legacy businesses. Consolidated revenue for the year ended December 31, 2024, was $141.9 million, down $13.0 million or 8.4% from the prior year. Consolidated EBITDA for the year was $9.7 million, an improvement of $13.9 million from an EBITDA loss of $4.2 million in the prior year. Capital expenditures for the year were $3.8 million as compared to $4.3 million in the prior year. In 2024, the Company revised the reporting of its operating segments to reflect the focus on the environmental risk and compliance information, commodity information, and consumer digital information businesses, as this is how senior management and decision makers view the business. Given the Company’s transformation, it was determined that a change in the segments better reflects the future of the Company and provides better insight into its areas of growth separate from the management of its legacy operations. The 8.4% year-over-year revenue decline was primarily driven by the closure and sale of underperforming print community media operations over the course of the last two years, and the sale of certain mining operations. Excluding print community media, where the bulk of the restructuring and sales/closures of businesses occurred, overall revenues increased by 1.8%. Lastly, the mix of revenues shifted between 2023 and 2024; the share of print community media revenues declined to 14.8% of total revenues in 2024 from 23.4% of total revenues in 2023. EBITDA for the year was $9.7 million, a $13.9 million improvement over an EBITDA loss of $4.2 million in 2023. The profitability improvement in the year resulted from a combination of restructuring legacy operations and improved profitability in several core operating businesses. EBITDA includes several grants and funding payments, which are relatively consistent with the prior year. Financial position As at December 31, 2024, the Company had a cash balance of $6.4 million and $6.8 million of non-recourse mortgages (which relate to land for the farm shows in Saskatchewan and Ontario). For further information please contact Mr. Orest Smysnuik, Chief Financial Officer, at 604-708-3264. About the Company Glacier Media Inc. is a broad portfolio of business information and consumer digital businesses. Serving a diverse array of industries and users, the businesses are typically leaders in their respective industry and/or geographic markets. Forward looking statements This news release contains forward-looking statements that relate to, among other things, the Company’s objectives, goals, strategies, intentions, plans, beliefs, expectations, and estimates. These forward-looking statements include, among other things, statements relating to our expectations as to the core operations performing well in the long-term, the generation of future cash flows, and that the Company will take measures to address the underperforming legacy businesses. These forward-looking statements are based on certain assumptions, including continued economic growth and recovery and the realization of cost savings in a timely manner and in the expected amounts, which are subject to risks, uncertainties and other factors which may cause results, performance or achievements of the Company to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements, and undue reliance should not be placed on such statements. Important factors that could cause actual results to differ materially from these expectations include failure to implement or achieve the intended results from our strategic initiatives, and the other risk factors listed in our Annual Information Form under the heading “Risk Factors” and in our MD&A under the heading “Business Environment and Risks”, many of which are out of our control. These other risk factors include, but are not limited to that future cash flow from operations and the availability under existing banking arrangements are believed to be adequate to support financial liabilities, the ability of the Company to sell advertising and subscriptions related to its publications, foreign exchange rate fluctuations, the seasonal and cyclical nature of the agricultural and mining sectors, discontinuation of government grants, general market conditions in both Canada and the United States including the economic effect of potential tariffs, changes in the prices of purchased supplies including newsprint, the effects of competition in the Company’s markets, dependence on key personnel, integration of newly acquired businesses, technological changes, tax risk, financing risk, debt service risk and cybersecurity risk. The forward-looking statements made in this news release relate only to events or information as of the date on which the statements are made. Except as required by law, the Company undertakes no obligation to update or revise publicly any forward-looking statements, whether as a result of new information, future events or otherwise, after the date on which the statements are made or to reflect the occurrence of unanticipated events. Non-IFRS financial measures Earnings before interest, taxes, depreciation and amortization (“EBITDA”), EBITDA margin and EBITDA per share, are not generally accepted measures of financial performance under IFRS. Management utilizes EBITDA as a financial performance measure to assess profitability and return on equity in its decision making. In addition, the Company, its lenders and its investors use EBITDA to measure performance and value for various purposes. Investors are cautioned; however, that EBITDA should not be construed as an alternative to net income (loss) attributable to common shareholders determined in accordance with IFRS as an indicator of the Company’s performance. The Company’s method of calculating these financial performance measures may differ from other companies and, accordingly, they may not be comparable to measures used by other companies. A quantitative reconciliation of these non-IFRS measures is included in the section entitled EBITDA Reconciliation. EBITDA Reconciliation (thousands of dollars) except share and per share amounts 2024 2023 Net (loss) income attributable to common shareholders $(24,442) $(99,250)Add (deduct): Non-controlling interests $1,015 $(2,436)Interest expense, net $4,951 $19,925 Depreciation and amortization $11,231 $11,873 (Gain) loss on disposal, net $(2,683) $2,726 Impairment expense $18,964 $13,588 Other income $(3,005) $(2,115)Restructuring and other expenses, net $7,499 $7,790 Share of (earnings) loss from joint ventures and associates $(850) $(590)Income tax recovery $(2,968) $44,320 EBITDA (1) $9,712 $(4,169)Notes: (1) Refer to "Non-IFRS Measures" section of MD&A for discussion of non-IFRS measures used in this table.
Maxim Power Corp. Reports 2024 Financial and Operating Results with Revenue of $101 million and Record Annual Generation from M2 - ForexTV
CALGARY, Alberta, March 21, 2025 (GLOBE NEWSWIRE) -- Maxim Power Corp. ("MAXIM" or the "Corporation") (TSX: MXG) announced today the release of financial and operating results for the fourth quarter ended December 31, 2024. The audited condensed consolidated financial statements, accompanying notes and Management’s Discussion and Analysis (“MD&A”) will be available on SEDAR+ and on MAXIM's website on March 21, 2025. All figures reported herein are Canadian dollars unless otherwise stated. FINANCIAL HIGHLIGHTS Three Months Ended December 31, Twelve Months EndedDecember 31, ($ in thousands except per share amounts)2024 20232024 2023Revenue 24,048 38,990101,482 41,458Net income (loss)(341) 19,47721,946 28,295Earnings (loss) per share – basic(0.01) 0.390.42 0.56Earnings (loss) per share – diluted(0.01) 0.320.38 0.49Adjusted EBITDA (1)5,647 31,51238,531 50,686Total generation – (MWh) 425,486 485,2221,733,267 516,849Total fuel consumption – (GJ) 3,514,660 3,855,88014,221,985 4,315,372Average Alberta market power price ($ per MWh)51.52 81.6162.78 133.63Average realized power price ($ per MWh) 56.52 80.3558.55 80.21Loans and borrowings- 81,203- 81,203Total net debt (net cash) (1) (30,068) 48,945(30,068) 48,945Total assets359,098 425,840359,098 425,840Free cash flow (1)(1,016) 33,80828,763 16,857 (1) Select financial information was derived from the consolidated financial statements and is prepared in accordance with GAAP, except certain non-GAAP measures including: free cash flow (“FCF”), adjusted Earnings before Interest, Income Taxes, Depreciation and Amortization (“Adjusted EBITDA”) and total net debt, (see Non-GAAP Financial Measures below). Total net debt is included in the notes to the annual consolidated financial statements. Net debt is calculated to include: loans and borrowings (including the convertible loan facility) less unrestricted cash. OPERATING RESULTS During 2024, MAXIM recorded net income and Adjusted EBITDA(1) of $21.9 million and $38.5 million, respectively, as compared to net income of $28.3 million and Adjusted EBITDA(1) of $50.7 million, respectively, in the same period of 2023. Decreases to net income and Adjusted EBITDA(1) in 2024 were primarily due to the cessation of business interruption insurance claims in 2024, partially offset by net impacts of operations of M2 in 2024 as compared to the same period in 2023 when it was offline due to the non-injury fire which occurred on September 30, 2022. In addition, FCF(1) increased due to lower capital spending in 2024 as compared to the same periods in 2023. Average realized power prices compared to average market power prices were lower in 2024 primarily due to an unplanned outage in January 2024 at M2 coinciding with a period of higher market power prices. LIQUIDITY AND CAPITAL RESOURCES On October 17, 2024, the Corporation voluntarily repaid the outstanding principal on both the Fixed Rate Construction Facility and the Bank Term Facility #1, for a total principal repayment of $49.9 million and as a result there were no further amounts owing under the Senior Credit Facility. On November 7, 2024, MAXIM received a notice of conversion from the lenders under the Convertible Loan Facility (“Convertible Loan”) to convert amounts owing thereunder, being $29.4 million, into common shares of MAXIM (“Common Shares”). Under the terms of the Convertible Loan, the lenders under this facility received 13,083,735 Common Shares based on a conversion price of $2.25 per Common Share. In addition, MAXIM and the lenders under the Convertible Loan mutually agreed to terminate the facility and as a result, the facility was extinguished. As at December 31, 2024 and the date of this MD&A, the Corporation has 63,693,029 Common Shares outstanding. On November 7, 2024, MAXIM’s Board of Directors approved the declaration and distribution of a special dividend (the “Special Dividend”) of $0.50 per Common Share. The aggregate amount of the Special Dividend was $31.8 million, which was payable in cash, and funded from surplus cash. The Special Dividend was paid on November 29, 2024. In addition, MAXIM amended its Senior Credit Facility on November 7, 2024, to increase and merge the combined availability of Revolver Facility #1 and Letter of Credit Facility #1 from $19.1 million to $25.0 million, release $10.1 million of restricted cash (refer to Note 8a of the December 31, 2024 Consolidated Financial Statements) and to modify other terms of the agreement to provide the Corporation with more flexibility to operate its business and permit a Special Dividend. DEVELOPMENT AND BUSINESS INITIATIVES On February 18, 2025, MAXIM entered into a Purchase and Sale Agreement (“PSA”) to sell the Corporation’s wholly-owned subsidiaries Summit Coal Limited Partnership and Summit Coal Inc. (collectively “Summit”) to Valory Resources Inc. (“Valory”). Under the terms of the PSA, Valory will pay a total purchase price of $14.2 million, consisting of $10.2 million cash and $4.0 million of equity securities in the form of either (i) common shares of Valory, or (ii) an interest-bearing note convertible into Valory common shares, at MAXIM’s election, prior to Closing of the PSA (“Closing”). Summit will be sold with $2.2 million of restricted cash, resulting in net cash proceeds on Closing to MAXIM of $8.0 million. Prior to Closing, MAXIM and Summit will enter into an agreement such that MAXIM will receive a 3% royalty on any raw coal volume produced from the coal leases currently owned by Summit, including any volumes from Summit’s Mine 14 project. The royalty will be calculated using a Premium Low Vol Hard Coking Coal benchmark and will be paid in United States dollars. The amount and timing of any royalty payments is contingent on the commencement of production and there is no certainty as to if, or when, production may begin. MAXIM, has agreed, commensurate with Closing, to enter into a ground lease at the Milner site, with a nominee of Valory, to allow for construction and operation of a coal processing facility, the form and terms of which are appended to the PSA, which is available on SEDAR+. MAXIM anticipates the Closing to occur in the first half of 2025. NORMAL COURSE ISSUER BID MAXIM’s current normal course issuer bid (“NCIB”) program is for the September 16, 2024 to September 15, 2025 period. Under the current NCIB, the Corporation may purchase for cancellation up to 2,529,885 Common Shares of the Corporation. Collectively under this program and as of the date of this MD&A, the Corporation has repurchased and cancelled 9,710 Common Shares at a weighted average price of $3.93 per share. NON-GAAP FINANCIAL MEASURES Management evaluates MAXIM’s performance using a variety of measures. Adjusted EBITDA and FCF, as discussed below are non-GAAP measures and should not be considered as an alternative to or to be more meaningful than net income of the Corporation, as determined in accordance with GAAP, when assessing MAXIM’s financial performance or liquidity. These measures do not have any standardized meaning prescribed by GAAP and may not be comparable to similar measures presented by other companies. Adjusted EBITDA Adjusted EBITDA is provided to assist management and investors in determining the Corporation's approximate operating cash flow before interest, income taxes, and depreciation and amortization and certain other non-recurring income and expenses. Three months endedTwelve months ended December 31December 31($000's) 2024 2023 2024 2023 GAAP Measures from Consolidated Statement of Operations Net income (loss)(341) 19,477 21,946 28,295 Income tax expense205 6,427 6,175 9,107 Finance expense, net 737 1,512 3,892 5,421 Asset impairment charge - 2,002 - 2,002 Depreciation and amortization 3,660 4,093 14,563 9,695 4,261 33,511 46,576 54,520 Adjustments: Other expense (income) 76 (20,771) (2,961) (64,528) Business interruption insurance claim- 13,159 - 53,181 Unrealized loss (gain) on commodity swaps309 5,409 (6,887) 6,821 Share-based compensation 1,001 204 1,803 692 Adjusted EBITDA5,647 31,512 38,531 50,686 Adjusted EBITDA is calculated as described above from its most directly comparable GAAP measure, net income (loss), and adjusts for specific items that are not reflective of the Corporation’s underlying operations and excludes other non-cash items. Adjusted EBITDA is provided to assist management and investors in determining the Corporation’s approximate operating cash flows attributable to shareholders before finance expense, income taxes, depreciation and amortization, and certain other non-recurring or non-cash income and expenses. Financing expense, income taxes, depreciation and amortization, loss on write-off of asset and impairment charges are excluded from the Adjusted EBITDA calculation, as they do not represent cash expenditures that are directly affected by operations. Management believes that presentation of this non-GAAP measure provides useful information to investors and shareholders as it assists in the evaluation of performance trends. Management uses Adjusted EBITDA to compare financial results among reporting periods and to evaluate MAXIM’s operating performance and ability to generate funds from operating activities. In calculating Adjusted EBITDA for the three and twelve months ended December 31, 2024 and December 31, 2023 management excluded certain non-cash and non-recurring transactions. In both 2024 and 2023, Adjusted EBITDA excluded unrealized gains or losses on commodity swaps, share-based compensation and all items of other income and expense except for business interruption insurance as it reflects a portion of earnings that would have been earned if M2 was operational. Free Cash Flow Three months endedTwelve months ended December 31December 31($000's) 2024 2023 2024 2023 Funds generated from operating activities before change in non-cash working capital4,265 37,661 41,791 52,310 Property, plant and equipment additions(3,726) (1,937) (7,192) (27,421) Repayment of loans and borrowings(1)(1,500) (712) (3,638) (2,850) Issuance of loans and borrowings - - - - Interest expense and bank charges(746) (1,946) (6,634) (8,114) Interest income691 742 4,436 2,932 Free cash flow(1,016) 33,808 28,763 16,857 (1) Excludes non-routine repayments to loans and borrowings for $49.9 million in the fourth quarter of 2024. FCF is calculated as described above from its most directly comparable GAAP measure from the Statement of Cash Flows, the funds generated from operating activities before change in non-cash working capital, and adjusts for specific items that are reflective of the Corporation’s underlying FCF. FCF is an important metric as it represents the amount of cash that is available to potentially invest in growth initiatives, pay dividends and repurchase shares. In calculating FCF for the three and twelve months ended December 31, 2024 and December 31, 2023, management uses the funds generated from operating activities before change in non-cash working capital for the period and deducts property, plant and equipment additions, repayment of loans and borrowings, interest expense and bank charges and adds interest income. About MAXIM Based in Calgary, Alberta, MAXIM is one of Canada’s largest truly independent power producers. MAXIM is now focused entirely on power projects in Alberta. Its core asset – the 300 MW H.R. Milner Plant, M2, in Grande Cache, AB – is a state-of-the-art combined cycle gas-fired power plant that commissioned in Q4, 2023. MAXIM continues to explore additional development options in Alberta including its currently permitted gas-fired generation project and the permitting of its wind power generation project. MAXIM trades on the TSX under the symbol “MXG”. For more information about MAXIM, visit our website at www.maximpowercorp.com. For further information please contact: Bob Emmott, President and CEO, (403) 263-3021 Kyle Mitton, CFO and Vice President, Corporate Development, (403) 263-3021 Forward-looking statements This press release contains forward-looking statements and forward-looking information (collectively "forward looking information") within the meaning of applicable securities laws relating to MAXIM's plans and other aspects of MAXIM's anticipated future operations, management focus, objectives, strategies, financial, operating and production results. Forward-looking information typically uses words such as "anticipate", "believe", "project", "expect", "goal", "plan", "intend", "may", "would", "could" or "will" or similar words suggesting future outcomes, events or performance. The forward-looking statements contained in this press release speak only as of the date thereof and are expressly qualified by this cautionary statement. Specifically, this press release contains forward-looking statements concerning, among other things, the royalty agreement and ground lease, the timing of closing the transactions referenced herein, construction and completion of a coal beneficiation facility, the amount and receipt of sale proceeds and royalties. Forward-looking information is based on certain assumptions and analysis made by MAXIM in light of our experience and MAXIM’s perception of historical trends, current conditions, expected future developments and other factors MAXIM believes appropriate under the circumstances. MAXIM's actual results, performance or achievement could differ materially from those expressed in, or implied by, these forward-looking statements and, accordingly, no assurance can be given that any of the events anticipated by the forward-looking statements will transpire or occur, or if any of them do so, what benefits that MAXIM will derive there from. Risk factors include that MAXIM may not close the PSA and therefore not enter into the royalty agreement and ground lease and that the coal beneficiation facility is not constructed and no coal is produced, may not generate full MW capacity from the CCGT expansion of M2 and will retain sufficient liquidity to maintain operations and continue to invest in its development portfolio. Readers are cautioned that the foregoing lists of factors are not exhaustive. Additional information on these and other factors that could affect MAXIM’s business, operations or financial results are included in the reports on file with applicable securities regulatory authorities, including but not limited to MAXIM’s Annual Information Form for the year ended December 31, 2024, which may be accessed on MAXIM’s SEDAR+ profile at www.sedarplus.ca. These forward-looking statements are made as of the date of this press release and MAXIM disclaims any intent or obligation to update publicly any forward-looking statements, whether as a result of new information, future events or results or otherwise, other than as required by applicable securities laws.
Residual Value: Meaning, Examples, How to Calculate
Residual value is the estimated value of an asset at the end of its useful life. It's used to figure out things like the value of a car at the end of a lease or how much equipment is worth after it's been used. This value also helps with calculating depreciation for taxes. Because rules […] The post Residual Value: Meaning, Examples, How to Calculate appeared first on SmartReads by SmartAsset.
CROSSJECT reports financial results for 2024 - ForexTV
Press Release CROSSJECT reports financial results for 2024 Continued satisfactory production of regulatory batches with a view to filing in Q2 2025.Recruitment of Tony Tipton as Chief Operating Officer USA.Visibility gained on pipeline programs developed in collaboration with Eton Pharmaceuticals, Inc (Eton).Cash position increasing significantly to 7 million euros as of December 31, 2024. Dijon, France, March 27, 2025 (07.30 CET) – CROSSJECT (ISIN : FR0011716265 ; Euronext : ALCJ) a specialty pharmaceutical company in late-stage development and registration of ZEPIZURE®, its emergency solution for the management of epileptic seizures, announces progress in its clinical and regulatory development activities and commercial strategy in the United States, and publishes its financial results for the year ending December 31, 2024. Patrick ALEXANDRE, Chairman of the Executive Board of CROSSJECT, announces: We continue to make progress towards the major inflection points that will transform CROSSJECT in 2025 and are likely to generate substantial shareholder value in the years to come. The execution of our contract with the Department of Health and Human Services; Administration for Strategic Preparedness and Response / BARDA for $92 million, which could rise to $155 million if all its options are exercised, has continued as planned and is accelerating in line with the increase in expenses linked to the development of ZEPIZURE®. In 2024, we recorded research and development costs re-invoicing of 8.2 million euros, compared with 6.2 million euros in 2023. This contract with BARDA, registered under number 75A50122C00031, includes up to $32 million to advance the development of ZEPIZURE® through to Food and Drug Administration (FDA) approval for the management of status epilepticus in adults and children over 2 years of age in the United States. It also provides for the supply to the US Government of $60 million worth of ZEPIZURE®, following FDA approval under the Emergency Use Authorization (EUA) procedure. This milestone is the focus of our activities today. Our recent exchanges with the FDA have clarified the requirements for our ZEPIZURE® product in the treatment of epileptic seizures resulting from poisoning by a neurotoxicant or insecticide under this emergency procedure (EUA), and we estimate that a response from the FDA might be obtained in 2025. In terms of industrial production, we have achieved major successes in 2024 and in 2025, and we continue to work with our Contract Development Manufacturing Organisation (CDMO) to finalize the dossier that BARDA will submit to the FDA. Our supply-chain organization, which today includes Eurofins Scientific as an injectables specialty manufacturer, has confirmed its performance and achieved stability for its regulatory ZEPIZURE® batch produced in July 2024. The manufacture of additional validation batches, including aseptic filling operations at Eurofins Scientific, is currently underway and is proceeding successfully. These core production steps support the previously announced timetable for BARDA's submission to the FDA under the EUA procedure. At the same time, CROSSJECT expects to file a New Drug Application (NDA) with the FDA in the by mid-2026 for the commercialization of ZEPIZURE® in the United States for the treatment of status epilepticus. We are focused on the final stages of development, with the preparation of a bioequivalence study that will form an integral part of the New Drug Application (NDA). This study will mimic our previous bioequivalence study, published on November 02, 2022, yet using a US-registered reference product as comparator, and will be at the same dose of 10mg. It will also include an arm with a 5mg dose to enable ZEPIZURE®, from launch, to compare directly with the intranasal competition, while progressing towards subsequent pediatric approval. As previously stated, CROSSJECT intends to retain the commercial rights to ZEPIZURE® in the United States. In this context, we have strengthened our US team with Tony Tipton, US Chief Operating Officer, a specialty pharmaceutical professional with the experience, including with BARDA, and leadership necessary for the success of ZEPIZURE®. The funds obtained from BARDA from their commercial orders, subject to EUA, will timely help finance ZEPIZURE®'s development towards its NDA in status epilepticus, beyond its EUA, and in broader epilepsy indications. BARDA's commercial orders will also support the commercial roll-out of ZEPIZURE®. Based on historical data, we believe that the ZENEO® platform will continue to demonstrate its ability to reproduce the intramuscular injections of traditional injectables with a high level of precision and low variability. These characteristics of ZENEO, now firmly established, will be essential not only to limit the risks associated with development and the regulatory environment, but also to promote market acceptance in the face of traditional injectable products and other delivery methods, particularly intranasal. The latter products have more variable transmucosal pharmacokinetics, which adds to the practical difficulties of precise administration during seizures. Beyond ZEPIZURE®, our next two main R&D programs, ZENEO® Hydrocortisone and ZENEO® Adrenaline, are also progressing towards filing for registration from H2 2026 onward in the US or Europe. In July 2024, we were awarded a €6.9 million BPI grant as part of the France 2030 plan, which will contribute to the development of ZENEO® Adrenaline. Furthermore, in March 2025, we announced progress in the development of ZENEO® Hydrocortisone by our US partner Eton Pharmaceuticals, Inc (Eton). CROSSJECT has strengthened its collaboration with Eton by making its innovative hydrocortisone formulation (the “CROSSJECT formulation”) available to address the hospital market for adrenal insufficiency. CROSSJECT will receive a royalty of around 10% on Eton's net sales. Eton has confirmed its commitment to finalizing the development and manufacturing stages of its adrenal insufficiency product range, including such CROSSJECT formulation, referred to as ET-800, and the unique ZENEO® Hydrocortisone crisis management product, with the aim of capturing a significant share of a total market opportunity of over $200 million in the United States alone. FDA filings are expected from H2 2026 onward. All these positive elements have been opportunities to strengthen our balance-sheet, which we recently consolidated with a financing with Heights Capital Management (HCM) of 12 million euros in February 2024, with a first tranche of 7 millions euros raised at closing, and amended on the occasion of our private placement in December 2024 of over 7 million euros, in which HCM and Gemmes Venture participated, as described below. These transactions with renowned institutional investors, including US investors, were complemented by a capital increase of 8 million euros in June 2024, which was fully covered by the subscriptions of our existing investors. In coordination with the progress of ZEPIZURE® towards its market authorizations and the progress of our other two R&D programs, we continue to actively explore the best ways of financing our rapidly expanding global activities. Philippe Monnot, one of the Founders and Chairman and CEO of Gemmes Venture, our reference shareholder, has confirmed his support, in addition to Gemmes Venture's unwavering participation in the June and December 2024 financings: “The Company's clinical data and recent developments in CROSSJECT's supply chain and constructive exchanges with the FDA have continued to reinforce our confidence in the imminence of the introduction of a major treatment for epileptic seizures, a poorly controlled disease that continues to generate significant clinical needs. What's more, CROSSJECT has delivered several successes with other product candidates in its pipeline, which are exciting preludes to future developments and market launches of other revolutionary injectable products. We reiterate our support for the company and its management.” Thank you, dear shareholders, for your loyal attention, and for your continued support of our efforts. Together, we can improve patients' lives and create value for CROSSJECT. Key financial information at December 31, 2024 (unaudited) In 2024, we continued to finance the development of ZEPIZURE® and other pipeline products, as well as our infrastructure, from several sources: BARDA invoicing: 8.2 million euros were invoiced as reimbursement of R&D costs incurred in 2024, compared with 6.2 million euros in 2023.Research tax credit: 2.8 million recognized in 2024, stable compared with 2023. In February 2024, the company issued a convertible and/or redeemable bond in two tranches to Heights Capital Management (HCM), an institutional investor specializing in growth companies, for a maximum amount of 12 million euros at that date. The first tranche of 7 million euros was received at closing, or 6.3 million euros net. The second tranche of this bond was cancelled and replaced by a new agreement in December 2024 concomitant with the private placement, described below, in which Heights participated, and an issue of a reduced tranche of Convertible Bonds of 2.5 million euros in February 2025 following our Extraordinary General Meeting on January 31, 2025.In June 2024, the company raised around 7.6 million euros net through a capital increase without pre-emptive rights to support the development of ZEPIZURE®.In July 2024, the French government awarded CROSSJECT 6.9 million euros as part of a call for projects under the France 2030 plan, aimed at supporting companies with high growth and innovation potential. An advance payment of 1.7 million euros was made in 2024, with the remainder expected in 2025 and 2026.In August 2024, CROSSJECT also finalized the work related to the “Stimulus Plan” grant and collected the balance of 0.6 million euros in September.In December 2024, the company carried out a private placement with mainly US institutional investors, joined by HCM and Gemmes Venture, accompanied by a warrant issue for a total net amount of 6.6 million euros. In parallel with the transaction, the Company has agreed with HCM to amend the terms and conditions of the existing convertible bonds in February 2024. The amendments, as detailed below, mainly provide for (i) the issue of a second tranche of around 2.5 million euros, which would no longer be subject to the FDA's Emergency Use Authorization for ZEPIZURE® and (ii) an extension of the maturity date of the convertible bonds to December 28, 2027. The table below summarizes our income statement for the years ended December 31, 2024 and 2023: € thousands, as of 31 December 2024 2023 Operating income 13 256 13 326 Operating expenses -26 219 -25 125 Purchase of raw material and supplies -1 624 -1 595 Other purchases and external expenses -10 439 -8 869 Personal expenses -7 797 -7 714 Taxes and duties -280 -267 Depreciation, amortisation and provision -5 671 -6 186 Other expenses -408 -494 Operating profit/loss -12 962 -11 800 Financial income/expense -1 429 -497 Exceptional income/expense -1 230 791 Corporate tax 2 826 2 867 Net profit/loss -12 795 -8 639 *2024 accounts unaudited. In 2024, we continued to strengthen our research and development activities as well as our general operations. As a result, we recorded operating income of 13.3 million euros, stable compared to 2024 but including a marked increase of 2 million euros in BARDA income. Operating expenses increased by 4% in 2024 compared to 2023. In addition, other purchases and external expenses amounted to €10.4 million, compared with €8.9 million in 2023, while the company has maintained the pace of its production work and third-party purchases as part of ZEPIZURE® regulatory development and activities related to other key programs in our pipeline. We have also incurred additional expenses in connection with fees related to financing transactions. As of December 31, 2024, CROSSJECT had 106 employees in France and 2 in the US, a decrease of 5% compared to 2023. Personnel expenses amounted to 7.8 million euros in 2024, compared with 7.7 million euros in 2023, an increase of 1%. We recorded an operating loss of 13.0 million euros, compared to 11.8 million euros in 2023. We recorded a net financial result of -1.4 million euros in 2024, compared to -0.5 million euros in 2023. The increase is mainly due to interest expenses on the HCM convertible bond for an amount of €0.6 million. and to a depreciation of the securities under self-control and liquidity contracts of €0.4M. After taking into account the exceptional result of -1.2 million euros and a tax credit of 2.8 million euros, net profit for 2024 is -12.8 million euros compared to -8.6 million euros in 2023. Cash position At 31 December 2024, CROSSJECT had cash of approximately €7 million compared to €2 million in 2023. Since the beginning of 2025, we have continued to make financing our priority. Based on its financial resources as at March 31, 2025 and historical relationships with its lenders and creditors [as well as with its investors, the company is confident in its ability to finance its business plan until the date when BARDA’s first commercial orders will start. As the outlook for ZEPIZURE® improves and as CROSSJECT devotes resources to research and development of its other candidate products, ZENEO® Hydrocortisone and ZENEO® Adrenaline, the company will continue to actively explore the best ways to finance its activities through equity, debt, public funding and other types of financing throughout 2025. Important steps in 2024 Non-dilutive funding related to ZENEO® Adrenaline In July 2024, the French Government granted 6.9 million euros to CROSSJECT as part of projects under the France 2030 plan, aimed at supporting companies with high growth and innovation potential. An advance of €1.7 million was paid in 2024. Funding with Heights Capital Management In February 2024, the company issued a convertible and/or repayable bond in two tranches to Heights Capital Management (HCM), an institutional investor specialized in growing companies, for a maximum amount of 12 million euros in two tranches, on that date. CROSSJECT then raised the first tranche of 7 million euros and received 6.3 million euros net. The second tranche of this bond was cancelled and replaced by a new agreement in December 2024, concurrent with the private placement, in which Heights participated and an issue of a reduced tranche of 2,5 million euros in February 2025 following our Extraordinary General Meeting of 31 January 2025, as described below. Other dilutive financing In June 2024, CROSSJECT announces the success of its capital increase with maintenance of the preferential subscription right for a gross amount of approximately 8 million euros, as announced on April 30, 2024, and a net amount of approximately 7.6 million euros. This funding is an important step in the further development and recording of ZEPIZURE® and the establishment of operations in the United States in anticipation of its direct marketing. The subscriptions of CROSSJECT’s shareholders, including Gemmes Venture, allowed for a full coverage of the transaction. In December 2024, as part of its private placement of 7 million euros, or 6.6 million euros net, the Company also amended its agreement with HCM to accelerate the provision of financing, amendments that were approved by the Extraordinary General Assembly of 31 January 2025. According to these amendments, the Company agreed with Heights Capital Management (“HCM”) on a modification of the terms and conditions of the existing convertible bonds issued for the benefit of an entity advised by Heights (the “Investor”) in February 2024. These amendments, as detailed below, included the issuance of a second tranche of approximately €2.5 million, which would no longer be subject to FDA Emergency Use Authorization for ZEPIZURE® and an extension of the maturity of convertible bonds until December 28, 2027. Progress in the production of ZEPIZURE® regulatory batches with Eurofins Scientific In July 2024, CROSSJECT achieved several key milestones in the production and batch stability of ZEPIZURE® products. Indeed, CROSSJECT announced the successful completion of a new regulatory batch of ZEPIZURE® in the qualified facilities of Eurofins Scientific. CROSSJECT also announced a new important milestone that complements the successful results achieved with previous batches in stability studies, continuing the positive manufacturing data generated since 2021. Then, in March 2025, CROSSJECT announced the 6-month ambient temperature stability of its regulatory batch which is adding to 9-month data generated on a previous batch produced by Eurofins Scientific in December 2023. Historically, CROSSJECT also reported several positive audits of production sites, conducted in anticipation of possible inspections that the Food and Drug Administration (FDA) could conduct as part of the emergency procedure (EUA). These successes are part of the continuity of the positive audits of the Dijon and Gray CROSSJECT production sites in 2024, which expanded their scope of certification by the National Agency for Drug and Health Product Safety (ANSM) and crystallized the previous positive findings of the BARDA audit. Production batches are a key part of the FDA’s EUA submission for marketing authorization for ZEPIZURE®. This data will also be part of the US market (NDA) marketing authorization application for ZEPIZURE®. Recruitment of Tony Tipton as US Chief Operating Officer CROSSJECT announced on August 19, 2024 the appointment of Tony Tipton, an experienced executive in the field of pharmaceutical specialties, as Director of Operations for the U.S. With more than 25 years of experience in the field of marketing, he brings his expertise in corporate governance and development, market access, commercial service management, marketing and business operations. He joined CROSSJECT after serving as Director of Operations and Commercial Affairs at Xequel Bio, where he was responsible for marketing strategy and pre-sales commercial activities for assets funded by BARDA and the American Institutes of Health (NIH) as well as acquired commercial assets. The appointment of Mr. Tipton will strengthen CROSSJECT’s pre-commercial activities in the US during the preparation of ZEPIZURE® market authorization application. CROSSJECT’s gender equality index reached 93/100 in 2024 For the third year in a row, CROSSJECT’s Gender Equality Index is above 90%. The Gender Equality Index is a tool to measure progress on gender equality across the EU. It is rated on a scale of 1 to 100, where 100 means total equality. Post-period events In addition to the positive events related to the production of ZEPIZURE® following the successes of 2024, and the milestones related to the financing announced in December 2024 described above, CROSSJECT delivered other positive news in the first quarter of 2025: Progress in collaboration with license partner Eton Pharmaceuticals, Inc. and initial market opportunity estimates As part of the development of ZENEO® Hydrocortisone, CROSSJECT has developed a unique ready-to-use liquid formulation of hydrocortisone. This formulation represents a significant innovation in the US market where formulations such as Pfizer’s Solu-Cortef® are effective solutions but require more than 10 steps for reconstitution and blending. As part of joint efforts to provide new solutions for patients with adrenal insufficiency, Eton will develop and market this CROSSJECT formulation as a superior alternative to current injectable products. CROSSJECT will collect a royalty of close to 10% on net sales by Eton of this product, called ET-800 in the Eton pipeline, and retain the right to market the product outside the United States and Canada. Eton hopes to capture a significant share of this hospital market of approximately $100 million for injectable hydrocortisone products. At the same time, Eton confirmed its commitment to ZENEO® Hydrocortisone as a disruptive solution for patients with adrenal insufficiency in its latest investor presentation dated 18 March 2025. The next stages of development and manufacturing, according to CROSSJECT’s plans, are expected from early 2026. Eton’s preliminary assessment of the market opportunity for ZENEO® Hydrocortisone would exceed $100 million. **** About CROSSJECT CROSSJECT SA (Euronext: ALCJ; www.CROSSJECT.com) is an emerging specialty pharmaceuticals company developing medicines for emergency situations harnessing its award-winning needle-free auto-injector ZENEO® platform. CROSSJECT is in advanced regulatory development for ZEPIZURE®, an epileptic rescue therapy, for which it has a $60 million contract* with the U.S. Biomedical Advanced Research and Development Authority (BARDA). The Company’s versatile ZENEO® platform is designed to enable patients or untrained caregivers to easily and instantly deliver a broad range of emergency drugs via intramuscular injection on bare skin or even through clothing. The Company’s other products in development include mainly solutions for allergic shocks and adrenal insufficiencies, as well as therapies and other emergency indications. * This project has been supported in whole or in part with federal funds from the Department of Health and Human Services; Administration for Strategic Preparedness and Response; Biomedical Advanced Research and Development Authority (BARDA), under contract number 75A50122C00031. For further information, please contact: Investor Relationinvestors@crossject.com APPENDICES – UNAUDITED FINANCIAL STATEMENTS INCOME STATEMENT (in K€) 31/12/2024 31/12/2023 VARIATION Revenue 0 145 -145 Other income BARDA 8 168 6 231 1 937 Subsidies 1 332 133 1 199 Stored production 30 591 -561 Capitalized production 2 783 3 594 -811 Reversals of provisions and transfers of expenses 944 2 631 -1 687 Operating income 13 256 13 326 -70 Purchases of raw materials and other supplies 2 004 1 625 379 Change in inventory (raw materials and other supplies) -381 -29 -352 Other purchases and external expenses 10 439 8 869 1 570 Taxes and duties 280 267 13 Personnel expenses 7 797 7 714 83 Depreciation, amortization 4 847 4 504 343 Other provisions 825 1 682 -857 Other expenses 408 494 -86 Operating expenses 26 219 25 126 1 093 Operating profit/loss -12 962 -11 800 -1 162 Financial income/expense -1 429 -497 -932 Exceptional income/expense -1 230 791 -2 021 Research Tax Credit 2 826 2 867 -41 Net profit/loss -12 795 -8 639 -4 156 BALANCE SHEET - ASSETS (in K€) 31/12/2024 31/12/2023 VARIATION FIXED ASSETS R&D 9 591 10 730 -1 139 Patent and Trademarks 0 0 0 Other intangible assets 5 0 5 Property, plant and equipment 2 126 2 750 -624 Assets under construction 2 924 2 942 -18 Financial assets 1 041 1 544 -503 TOTAL FIXED ASSETS 15 687 17 966 -2 279 CURRENT ASSETS Raw materials, other supplies 1 970 1 649 321 Work in process 1 448 1 485 -37 Other receivables 4 295 4 778 -483 Marketable securities 0 0 0 Available cash 7 036 2 304 4 732 Prepaid / deferred expenses 1 131 459 672 TOTAL CURRENT ASSETS 15 880 10 675 5 205 TOTAL ASSETS 31 567 28 641 2 926 BALANCE SHEET - LIABILITIES (in k€) 31/12/2024 31/12/2023 VARIATION CAPITAUX PROPRES Capital 4 554 3 676 878 Share premium 7 192 785 6 407 Regulated reserve 0 0 0 Retained earnings -2 596 -1 757 -839 Profit/loss for the year -12 795 -8 639 -4 156 Investment subsidies 972 665 307 TOTAL SHAREHOLDERS' EQUITY -2 673 -5 269 2 596 Conditional advances 5 391 7 060 -1 669 Provision for contingencies and charges 910 694 216 BORROWINGS AND DEBT Bonds 5 478 19 5 459 Loans 12 874 16 171 -3 297 Miscellaneous 2 717 2 732 -15 Debts - Trade payables 4 554 4 324 230 Total tax and social security liabilities 1 700 2 148 -448 Debts on fixed assets 0 82 -82 Deferred income 616 681 -65 TOTAL DEBT 27 939 26 156 1 783 TOTAL EQUITY AND LIABILITIES 31 567 28 641 2 926 CASH FLOW STATEMENT (IN K€) 31/12/2024 31/12/2023 Net profit / loss - 12 795 - 8 638 Depreciation, amortisation and provision 5 220 3 091 Net Book Value of Assets (NBV) 795 54 Other income and expenses calculated - 28 - 28 Share of subsidy transferred to result - 253 - Cashflow from operations - 7 061 - 5 521 Change in working capital requirements - 896 - 680 (1) Net cash generated by / (used in) operating activities - 7 957 - 6 201 Acquisition of fixed assets - 3 527 - 6 403 Disposal of fixed assets 100 3 767 (2) Net cash generated by / (used in) investing activities - 3 426 - 2 636 Capital increase 878 13 Exercice of warrants - 333 Additional Paid-in Capital (APIC) 14 207 Bonds 5 460 - Loans - 8 090 Repayment of borrowings / security deposit - 3 224 - 3 396 Subsidies 560 - Debts on fixed assets - 82 - 1 682 Repayment advances - 1 668 - (3) Net cash generated by / (used in) financing activities 16 130 3 358 Change in cash and cash equivalents (1)+(2)+(3) 4 746 - 5 480 Opening Cash position 2 291 7 770 Closing Cash position 7 038 2 291 Attachment PR FY 2024 Résultats financiers VF
Partners Value Investments Inc. Announces 2024 Annual Results - ForexTV
TORONTO, March 28, 2025 (GLOBE NEWSWIRE) -- Partners Value Investments Inc. (the “Company”, TSX: PVF.WT, PVF.PR.V) announced today its financial results for the year ended December 31, 2024. All amounts are stated in U.S. dollars. The Company recorded net loss of $3.8 billion for the year ended December 31, 2024, compared to $333 million in the prior year. The decrease in income was primarily attributable to the current year remeasurement losses associated with the retractable shares and warrant liabilities, partially offset by higher investment income and valuation gains as well as foreign currency gains compared to the prior year. The Company’s retractable common shares are classified as liabilities due to their cash retraction feature. The remeasurement gains or losses in a given period are driven by the respective appreciation or depreciation of the Partners Value Investments L.P. (the “Partnership”) unit price as the exchangeable shares are recognized at fair value based on the quoted price of the Partnership’s Equity LP units. During the year, the Partnership unit price increased by $51.79 compared to $4.96 in the prior year. Excluding retractable share and warrant liability remeasurement gains and dividends paid on retractable shares, Adjusted Earnings for the Company was $122 million for the year ended December 31, 2024, compared to $27 million in the prior year. Adjusted Earnings were higher in the current year as a result of higher investment income and valuation gains as well as foreign currency gains. As at December 31, 2024, the market prices of a Brookfield Corporation (the “Corporation”, NYSE/TSX: BN) and Brookfield Asset Management Ltd. (the “Manager”, NYSE/TSX: BAM) share were $57.45 and $54.19, respectively. As at March 28, 2025, the market prices of a BN and BAM share were $51.85 and $48.50, respectively. Consolidated Statements of Operations For the years ended December 31(Thousands, US dollars) 2024 2023 Investment income Dividends $ 108,428 $96,269 Other investment income 18,607 11,802 127,035 108,071 Expenses Operating expenses (5,553) (5,843) Financing costs (38,777) (35,210) Retractable preferred share dividends (33,399) (35,456) (77,729) (76,509) Other items Investment valuation gains (losses) 5,703 (6,237) Retractable share remeasurement losses (3,575,080) (281,451) Warrant liability remeasurement losses (306,473) (52,694) Amortization of deferred financing costs (3,506) (3,380) Foreign currency gain (loss) 53,280 (15,983) Current tax expense (3,514) (1,270) Deferred tax expense (7,489) (3,280) Net loss $(3,787,773) $(332,733) Financial Profile The Company’s principal investments are its interest in 121 million Class A Limited Voting Shares of the Corporation and approximately 31 million Class A Limited Voting Shares of the Manager. This represents approximately an 8% interest in the Corporation and a 7% interest in the Manager as at December 31, 2024. In addition, the Company owns a diversified investment portfolio of marketable securities and private fund interests. The information in the following table has been extracted from the Company’s Consolidated Statements of Financial Position: Consolidated Statements of Financial Position As at(Thousands, US dollars) December 31, 2024 December 31, 2023 Assets Cash and cash equivalents $ 156,952 $199,856 Accounts receivable and other assets 69,776 31,456 Deferred tax assets — 4,309 Investment in Brookfield Corporation1 6,949,656 4,853,261 Investment in Brookfield Asset Management Ltd.2 1,669,488 1,237,554 Other investments carried at fair value 1,141,048 889,398 $9,986,920 $7,215,834 Liabilities and Equity Accounts payable and other liabilities $42,824 $34,916 Corporate borrowings 208,168 225,789 Preferred shares3 703,044 757,254 Retractable common shares 7,312,467 3,718,510 Warrant liability 494,710 218,051 Deferred tax liabilities 7,933 — 8,769,146 4,954,520 Equity Accumulated deficit (6,821,786) (3,034,013)Accumulated other comprehensive income 8,027,580 5,283,347 Non-controlling interest 11,980 11,980 $9,986,920 $7,215,834 The investment in Brookfield Corporation consists of 121 million Corporation shares with a quoted market value of $57.45 per share as at December 31, 2024 (December 31, 2023 – $40.12).The investment in Brookfield Asset Management Ltd. consists of 31 million Manager shares with a quoted market value of $54.19 per share as at December 31, 2024 (December 31, 2023 – $40.17).Represents $712 million of retractable preferred shares less $9 million of unamortized issue costs as at December 31, 2024 (December 31, 2023 – $767 million less $10 million). For further information, contact Investor Relations at ir@pvii.ca or 416-643-7621. Note: This news release contains “forward-looking information” within the meaning of Canadian provincial securities laws and “forward-looking statements” within the meaning of applicable Canadian securities regulations. The words “potential” and “estimated” and other expressions which are predictions of or indicate future events, trends or prospects and which do not relate to historical matters, identify forward-looking information. Although the Company believes that its anticipated future results, performance or achievements expressed or implied by the forward-looking statements and information are based upon reasonable assumptions and expectations, the reader should not place undue reliance on forward-looking statements and information because they involve known and unknown risks, uncertainties and other factors, many of which are beyond its control, which may cause the actual results, performance or achievements of the Company to differ materially from anticipated future results, performance or achievement expressed or implied by such forward-looking statements and information. Factors that could cause actual results to differ materially from those contemplated or implied by forward‐looking statements and information include, but are not limited to: the financial performance of Brookfield Corporation, the impact or unanticipated impact of general economic, political and market factors; the behavior of financial markets, including fluctuations in interest and foreign exchanges rates; limitations on the liquidity of our investments; global equity and capital markets and the availability of equity and debt financing and refinancing within these markets; strategic actions including dispositions; changes in accounting policies and methods used to report financial condition (including uncertainties associated with critical accounting assumptions and estimates); the effect of applying future accounting changes; business competition; operational and reputational risks; technological change; changes in government regulation and legislation; changes in tax laws; risks associated with the use of financial leverage; catastrophic events, such as earthquakes and hurricanes; the possible impact of international conflicts and other developments including terrorist acts; and other risks and factors detailed from time to time in the Company’s documents filed with the securities regulators in Canada. The Company cautions that the foregoing list of important factors that may affect future results is not exhaustive. When relying on the Company’s forward-looking statements and information, investors and others should carefully consider the foregoing factors and other uncertainties and potential events. Except as required by law, the Company undertakes no obligation to publicly update or revise any forward-looking statements and information, whether written or oral, that may be as a result of new information, future events or otherwise.
Caledonia Mining Corporation Plc: Results for the year ended December 31, 2024 - ForexTV
Restated previous financial statements and non-reliance to the extent set out in this announcement Details of investor and analyst presentation Record Profit, Stable Production and Exploration Success ST HELIER, Jersey, March 31, 2025 (GLOBE NEWSWIRE) -- Caledonia Mining Corporation Plc ("Caledonia" or "the Company") announces its operating and financial results for the year ended December 31, 2024 (the "Year"). Caledonia also announces the restatement of previous financial statements due to an error that was identified in the accounting interpretation related to the calculation of deferred tax liabilities of Blanket Mine (“Blanket”). The restatement has no effect on historic reported cash or cashflow statements and has no effect on historic income tax calculations or submissions to the tax authorities. Further information on the financial and operating results for the Year and the quarter ended December 31, 2024 (the "Quarter" or "Q4"), as well as the restatement, can be found in the Management Discussion and Analysis ("MD&A"), and the Consolidated Audited Financial Statements (“Financial Statements”), which are available on the Company's website and are being filed on SEDAR+ and EDGAR. Financial Highlights Gross revenue of $183.0 million, up from $146.3 million in 2023, reflecting higher gold prices.Record gross profit of $77.0 million, up 86% from 2023 driven by a combination of higher gold prices and lower production costs at the Bilboes oxide mine (2023: $41.5 million).Net attributable profit of $17.9 million (2023: net loss of $7.9 million).Substantially stronger operating cash flow of $42.0 million compared to $14.8 million in 2023.Basic IFRS earnings per share (“EPS”) of 91.2 cents (2023: loss per share of 43.6 cents).Adjusted EPS1 of 125.2 cents (2023: loss per share of 10.3 cents).Net cash and cash equivalents improved to negative $8.7 million (31 December 2023: negative $11.0 million).As set out in news releases issued on March 24 and 28, 2025, Caledonia has declared a quarterly dividend of 14 cents per share, payable on April 17, 2025. Operating Highlights Blanket performed well with gold production of 76,656 ounces (2023: 75,416 ounces), within guidance.Bilboes oxide mine gold production of 1,645 ounces (2023: 3,050 ounces), reflecting the decision to place the mine on care and maintenance from September 30, 2023.Consolidated average realised gold price per ounce2 of $2,347 (2023: $1,910).On-mine cost per ounce2 of $1,073 (2023: $1,097).All-in sustaining cost (AISC)2 per ounce of $1,506 (2023: $1,499).In May 2024, the Company announced a 63% increase in measured and indicated mineral resources and a 26% increase in inferred mineral resources at Blanket.Encouraging results announced in November 2024 from the initial exploration programme at Motapa with more exploration work planned at the site in 2025. ______________________________1 Adjusted EPS excludes net foreign exchange movements (including the deferred tax effect and the non-controlling interest thereon) and deferred tax. A reconciliation of IFRS EPS to Adjusted EPS is set out in section 8 of the MD&A2 Non-IFRS measures such as “On-mine cost per ounce”, “All-in sustaining cost per ounce”, “average realised gold price per ounce” and “adjusted EPS” are used throughout this announcement. Refer to section 3.2 of the MD&A for a discussion of non-IFRS measures. Update on Bilboes Feasibility Study As announced on March 27, 2025, Caledonia, with the support of DRA Projects (Pty) Ltd and other technical consultants, has been making good progress on the Feasibility Study (“FS”) for the Bilboes project. While the FS was initially targeted for completion in Q1 2025, the Company has decided to extend the timeline to fully explore several material optimisation opportunities that have the potential to enhance project economics and reduce upfront capital requirements. Key areas of optimisation currently under review include: Engaging with the authorities to explore the potential sale of concentrate, which could significantly reduce upfront capital expenditures by deferring the capital expenditure on a BIOX processing circuit, at least in the first few years of production;Evaluating the potential relocation of the Tailings Storage Facility to a more efficient site, including on Caledonia’s Motapa property adjacent to Bilboes, where the topography could lead to lower initial construction costs; andIncorporating near-term opportunities at Motapa into the FS, following encouraging exploration results in 2024 and the additional exploration and development work planned at Motapa this year. In addition, Caledonia continues to assess near-term revenue opportunities across its portfolio. In particular, high-grade mineralisation recently identified at Blanket could make a meaningful contribution to the initial capital requirements for Bilboes, providing further flexibility around funding. The board remains fully committed to maximising shareholder value: this means ensuring that Bilboes is optimised both technically and financially, while continuing discussions with funding partners and relevant authorities in Zimbabwe. The optimisation work is advancing well, and the Company will provide a further update on the expected timing of the FS in due course. Board and Management Changes On February 14, 2025, Mr. Stefan Buys and Ms. Lesley Goldwasser joined the board as independent non-executive directors.As previously announced on February 19, 2025 and March 21, 2025, Mr. Chester Goodburn steps down as CFO today and is succeeded by Mr. Ross Jerrard.Mr. Johan Holtzhausen is not putting himself forward for reappointment as a director at the next annual general meeting in May 2025. Ms. Tariro Gadzikwa will take over as chair of the Audit Committee provided she is reappointed as a director at the annual general meeting. Strategy and Outlook Capital investment for 2025 is budgeted at $41.0 million, with $34.1 million allocated to Blanket and $6.3 million for the Bilboes and Motapa projects.Strong start to 2025 with 11,782 ounces produced at the end of February.Caledonia’s strategic focus remains on: Maintaining stable production at Blanket while investing in modernising operations to improve efficiency;Continuing to optimise Bilboes to maximise net present value per share;Continued exploration activities at Blanket and Motapa; andBecoming a multi-asset, Zimbabwe-focused gold producer. Mark Learmonth, Chief Executive Officer, commented: “2024 was a year of significant progress for Caledonia, both financially and operationally. We delivered solid gold production at Blanket, achieving 76,656 ounces, towards the upper end of our guidance. Our financial performance benefited from a higher gold price environment, which resulted in a significant increase in gross profit and operating cashflows. “Bilboes remains a highly attractive project, and we are confident that we will find the optimal development method to maximise returns for shareholders. We continue to refine the feasibility study, exploring ways to enhance project economics and reduce upfront capital requirements. We are confident that by taking a disciplined approach we can develop the project in a way that creates long term value while maintaining financial prudence. “Our strategic vision remains to become a multi-asset, Zimbabwe-focused gold producer that delivers sustainable value for shareholders and respective stakeholders. I would like to thank our team and shareholders for your continued support, and I look forward to another year of progress and growth.” Restated previous financial statements In preparation of the Financial Statements, an error was identified in the accounting interpretation related to the calculation of deferred tax liabilities at Blanket. The restatement has no effect on historic reported cash or cashflow statements and has no effect on historic income tax calculations or submissions to the tax authorities. The restatement of financial statements due to this error is summarised below and is qualified in its entirety by the more comprehensive disclosure relating to the restatement in Caledonia’s MD&A. In October 2018, the local Zimbabwe currency known as RTGS$ was introduced in Zimbabwe at 1:1 to the USD. The RTGS$ was deemed the only legal tender in Zimbabwe, and all liabilities held previously were to be denominated in RTGS$. In 2019, Practice Note 26 (as described in note 3.1.5 of the Financial Statements) required all income tax returns to be calculated in RTGS$ for transactions occurring prior to introducing the multi-currency regime in 2023. Blanket’s deferred tax liabilities were incorrectly calculated in RTGS$ and accounted for as a monetary item where RTGS$ deferred tax temporary differences were translated to the USD functional currency. Gains related to the devaluation of the deferred tax liabilities were realised in profit or loss. Transactions from 2019 to 2022 affected the deferred tax liability calculation and continued to be denominated in RTGS$ in accordance with the legislated tax regime after the multi-currency regime was introduced. The accounting for the deferred tax liabilities in RTGS$ with the translation to USD remained consistent in all previous consolidated financial statements, yet the carrying value of the deferred tax liabilities should have been denominated in USD rather than RTGS$. The error, stemming from January 1, 2019, was corrected from the earliest period presented in the Financial Statements, as presented in the table below. Consolidated statements of profit or loss and other comprehensive income($'000's)December 31, 2023 December 31, 2022 As previously reported Adjustment As restated As previously reported Adjustment As restated Net foreign exchange (loss) profit(2,550)(4,222)(6,772)4,411 (10,088)(5,677)Tax expense(12,810)– (12,810)(16,770)2,411 (14,359)(Loss) profit for the year(618)(4,222)(4,840)22,866 (7,677)15,189 Total comprehensive income for the year(1,240)(4,222)(5,462)22,404 (7,677)14,727 Non-controlling interests3,580 (558)3,022 4,963 (1,013)3,950 Basic (loss) earnings per share ($)(0.24)(0.20)(0.44)1.36 (0.51)0.85 Diluted (loss) earnings per share ($)(0.24)(0.20)(0.44)1.35 (0.50)0.85 Consolidated statements of financial position ($’000’s) December 31, 2023January 1, 2023As previously reportedAdjustment As restatedAs previously reportedAdjustment As restatedRetained loss63,17233,971 97,14350,22230,307 80,529Non-controlling interests24,477(6,021)18,45622,409(5,463)16,946Deferred tax liabilities6,13139,992 46,1235,12335,770 40,893 Remediation efforts are ongoing and are expected to be completed in the second quarter of 2025. Going forward, management plans to reconsider critical accounting interpretations every 3 years. The remediation efforts to-date have included engaging and consulting with the external accounting advisors, considering authoritative and non-authoritative guidance available in the accounting literature, and conducting a detailed analysis of deferred tax accounting rules. The management team, including the Chief Executive Officer and Chief Financial Officer, have reaffirmed and re-emphasized the importance of internal control, control consciousness and a strong control environment. Should these remedial measures be insufficient to address the material weakness described above, or additional deficiencies arise in the future, material misstatements in our interim or annual financial statements may occur in the future. Material weakness and non-reliance on previous financial statements In the preparation of the Financial Statements, management identified the prior period error and determined that the restatement of financial information presented was necessary. As a result, management has determined that the control over accounting for deferred tax liabilities did not operate effectively and constitutes a material weakness for the annual and interim filings for the period January 1, 2019 to December 31, 2024. Based on the foregoing, each of the previously filed annual and interim financial statements for the annual and interim periods between January 1, 2019 and September 30, 2024 should not be relied upon in respect of the items set out in the tables above. Commentary Financial Performance In 2024, Caledonia achieved a significant financial turnaround, reporting a net attributable profit of $17.9 million, an improvement from the net loss of $7.9 million in 2023. This positive shift was driven by a 23% increase in the average realised gold price, rising to $2,347 per ounce from $1,910 per ounce in 2023 and cost improvements. Gross profit for the year reached $77.0 million, up from $41.5 million in the previous year, reflecting both the higher gold prices and effective cost management. Operating cash flow also saw an increase to $42.0 million compared to $14.8 million in 2023. This improvement in cash generation has strengthened the company’s financial position, with net cash and cash equivalents improving to negative $8.7 million from negative $11.0 million in the prior year. Outlook for 2025 Looking ahead, Blanket’s production guidance for 2025 is between 73,500 and 77,500 ounces of gold. On-mine cost per ounce is expected to be between $1,050 and $1,150, reflecting anticipated increases in labour and operating expenses. All-in sustaining cost per ounce is expected to be between $1,690 to $1,790 due to a high level of sustaining capital expenditure as Caledonia continues to invest in Blanket’s future. Capital investment for 2025 is budgeted at $41.0 million, with $34.1 million allocated to Blanket and $6.3 million designated for the Bilboes and Motapa projects. These investments aim to enhance operational efficiency and support the Company’s growth objectives. Details of Investor and Analyst Presentation A presentation for investors and analysts will be held as follows: When: March 31, 2025 at 2:00pm London time Topic: Full Year and Q4 2024 Results Call for Investors Register in advance for this webinar: https://brrmedia.news/CMCL_Q4 Enquiries: Caledonia Mining Corporation PlcMark LearmonthCamilla HorsfallTel: +44 1534 679 800Tel: +44 7817 841 793 Cavendish Capital Markets Limited (Nomad and Joint Broker)Adrian HaddenPearl KellieTel: +44 207 397 1965Tel: +44 131 220 9775 Liberum Panmure (Joint Broker)Scott MathiesonAilsa MacMasterTel: +44 20 3100 2000 Camarco, Financial PR/ IR (UK)Gordon PooleElfie KentFergus YoungTel: +44 20 3757 4980 3PPB (Financial PR, North America)Patrick ChidleyPaul DurhamTel: +1 917 991 7701Tel: +1 203 940 2538 Curate Public Relations (Zimbabwe)Debra TatendaTel: +263 77802131 IH Securities (Private) Limited (VFEX Sponsor - Zimbabwe)Lloyd MlotshwaTel: +263 (242) 745 119/33/39 This announcement contains inside information which is disclosed in accordance with the Market Abuse Regulation (EU) No. 596/2014 (“MAR”) as it forms part of UK domestic law by virtue of the European Union (Withdrawal) Act 2018 and is disclosed in accordance with the Company's obligations under Article 17 of MAR. Cautionary Note Concerning Forward-Looking Information Information and statements contained in this news release that are not historical facts are "forward-looking information" within the meaning of applicable securities legislation that involve risks and uncertainties relating, but not limited to Caledonia's current expectations, intentions, plans, and beliefs. Forward-looking information can often be identified by forward-looking words such as "anticipate", "believe", "expect", "goal", "plan", "target", "intend", "estimate", "could", "should", "may" and "will" or the negative of these terms or similar words suggesting future outcomes, or other expectations, beliefs, plans, objectives, assumptions, intentions or statements about future events or performance. Examples of forward-looking information in this news release include: production guidance, our plans and timing regarding further exploration and drilling and development, future costs, the development of Bilboes and Motapa, our strategic vision, the potential sale of concentrate, the potential relocation of the Tailings Storage Facility, the high-grade mineralisation at Blanket, the publication of the Bilboes feasibility study, the timing and ability to remediate the deficiency in control over accounting for deferred tax liabilities and the potential of being unable to prevent misstatements from occurring in the future. This forward-looking information is based, in part, on assumptions and factors that may change or prove to be incorrect, thus causing actual results, performance or achievements to be materially different from those expressed or implied by forward-looking information. Such factors and assumptions include, but are not limited to: failure to establish estimated resources and reserves, the grade and recovery of ore which is mined varying from estimates, success of future exploration and drilling programs, reliability of drilling, sampling and assay data, assumptions regarding the representativeness of mineralization being inaccurate, success of planned metallurgical test-work, capital and operating costs varying significantly from estimates, delays in obtaining or failures to obtain required governmental, environmental or other project approvals, inflation, changes in exchange rates, fluctuations in commodity prices, delays in the development of projects and other factors. Security holders, potential security holders and other prospective investors should be aware that these statements are subject to known and unknown risks, uncertainties and other factors that could cause actual results to differ materially from those suggested by the forward-looking statements. Such factors include, but are not limited to: risks relating to estimates of mineral reserves and mineral resources proving to be inaccurate, fluctuations in gold price, risks and hazards associated with the business of mineral exploration, development and mining, risks relating to the credit worthiness or financial condition of suppliers, refiners and other parties with whom the Company does business; inadequate insurance, or inability to obtain insurance, to cover these risks and hazards, employee relations; relationships with and claims by local communities and indigenous populations; political risk; risks related to natural disasters, terrorism, civil unrest, public health concerns (including health epidemics or outbreaks of communicable diseases such as the coronavirus (COVID-19)); availability and increasing costs associated with mining inputs and labour; the speculative nature of mineral exploration and development, including the risks of obtaining or maintaining necessary licenses and permits, diminishing quantities or grades of mineral reserves as mining occurs; global financial condition, the actual results of current exploration activities, changes to conclusions of economic evaluations, and changes in project parameters to deal with unanticipated economic or other factors, risks of increased capital and operating costs, environmental, safety or regulatory risks, expropriation, the Company's title to properties including ownership thereof, increased competition in the mining industry for properties, equipment, qualified personnel and their costs, risks relating to the uncertainty of timing of events including targeted production rate increase and currency fluctuations, risks related to potentially being unable to remedy the deficiency in control over accounting for deferred tax liabilities and risks related to potentially being unable to prevent financial statements misstatements in the future. Security holders, potential security holders and other prospective investors are cautioned not to place undue reliance on forward-looking information. By its nature, forward-looking information involves numerous assumptions, inherent risks and uncertainties, both general and specific, that contribute to the possibility that the predictions, forecasts, projections and various future events will not occur. Caledonia undertakes no obligation to update publicly or otherwise revise any forward-looking information whether as a result of new information, future events or other such factors which affect this information, except as required by law. Craig James Harvey, MGSSA, MAIG, Caledonia Vice President, Technical Services, has reviewed and approved the scientific and technical information contained in this news release. Craig James Harvey is a "Qualified Person" as defined by each of (i) the Canadian Securities Administrators' National Instrument 43-101 - Standards of Disclosure for Mineral Projects and (ii) sub-part 1300 of Regulation S-K of the U.S. Securities Act. Condensed Consolidated Statements of profit or loss and Other comprehensive income($'000's)3 months ended12 months endedDecember 31December 312024 2023 2024 2023 2022 *Restated *Restated *Restated Revenue47,515 38,661 183,018 146,314 142,082 Royalty(2,432)(1,987)(9,263)(7,637)(7,124)Production costs(20,239)(21,681)(80,744)(82,709)(62,998)Depreciation(3,915)(4,437)(16,021)(14,486)(10,141)Gross profit20,929 10,556 76,990 41,482 61,819 Other income725 136 1,090 263 60 Other expenses(2,862)(1,567)(6,940)(4,367)(11,782)Administrative expenses(5,429)(5,539)(15,658)(17,429)(11,941)Cash-settled share-based expense278 (165)(201)(463)(609)Equity-settled share-based expense(269)(76)(1,054)(640)(484)Net foreign exchange profit (loss)474 (494)(9,722)(6,772)(5,677)Net derivative financial instrument expense(335)(529)(831)(1,119)(1,198)Operating profit13,511 2,322 43,674 10,955 30,188 Net finance cost(787)(653)(3,131)(2,985)(640)Profit before tax12,724 1,669 40,543 7,970 29,548 Tax expense(5,208)(4,258)(17,489)(12,810)(14,359)Profit (loss) for the year7,516 (2,589)23,054 (4,840)15,189 Other comprehensive income Items that are or may be reclassified to profit or loss Exchange differences on translation of foreign operations(779)156 (116)(622)(462)Total comprehensive income (loss) for the year6,737 (2,433)22,938 (5,462)14,727 Profit (loss) attributable to: Owners of the Company5,865 (3,402)17,899 (7,862)11,239 Non-controlling interests1,651 813 5,155 3,022 3,950 Profit (loss) for the year7,516 (2,589)23,054 (4,840)15,189 Total comprehensive income (loss) attributable to: Owners of the Company5,086 (3,246)17,783 (8,484)10,777 Non-controlling interests1,651 813 5,155 3,022 3,950 Total comprehensive income for the year6,737 (2,433)22,938 (5,462)14,727 Earnings (loss) per share (cents) Basic earnings (loss) per share29.7 (18.7)91.2 (43.6)84.8 Diluted earnings (loss) per share29.7 (18.7)91.2 (43.6)84.7 Adjusted earnings per share (cents) Basic44.3 2.1 125.2 (10.3)217.7 Dividends paid per share (cents)14.0 14.0 56.0 70.0 50.0 * Refer to section 10 and section 11 of the MD&A. Summarised Consolidated Statements of Financial Position ($’000’s)As atDec 31Dec 31Dec 31 202420232022 *Restated*RestatedTotal non-current assets287,046274,074196,764Income tax receivable3551,12040Inventories23,76820,30418,334Derivative financial assets–88440Trade and other receivables12,6759,9529,185Prepayments6,7482,5383,693Cash and cash equivalents4,2606,7086,735Assets held for sale13,51213,519–Total assets348,364328,303235,191Total non-current liabilities68,50563,97045,061Cash-settled share-based payment6349201,188Income tax payable2,958101,324Lease liabilities95167132Loans and borrowings1,174––Loan note instruments8556657,104Trade and other payables26,64720,50317,454Derivative Financial Liabilities–––Overdrafts12,92817,7405,239Liabilities associated with assets held for sale104128–Total liabilities113,900104,10377,502Total equity234,464224,200157,689Total equity and liabilities348,364328,303235,191 * Refer to section 10 and section 11 of the MD&A. Condensed Consolidated Statements of Cash Flows ($`000)2024 2023 2022 Cash inflow from operations55,438 26,398 49,657 Interest received26 39 17 Finance costs paid(2,864)(2,462)(192)Tax paid(10,645)(9,206)(6,866)Net cash inflow from operating activities41,955 14,769 42,616 Cash flows used in investing activities Acquisition of property, plant and equipment(27,477)(28,556)(41,495)Acquisition of exploration and evaluation assets(3,835)(1,837)(2,596)Proceeds from derivative financial instruments– 178 – Acquisition of Put options(743)(946)(478)Proceeds from call options– – 416 Acquisition of call options– – (176)Net cash used in investing activities(32,055)(31,161)(44,329) Cash flows from financing activities Dividends paid(12,302)(11,099)(8,906)Payment of lease liabilities(182)(184)(150)Shares issued – equity raise (net of transaction cost)– 15,569 – Proceeds from loans and borrowings3,000 – – Repayments of loans and borrowings(326)– – Loan notes - Motapa payment– (7,250)– Loan notes - solar bond issue receipts (net of transaction cost)1,970 6,895 – Repayment of gold loan– – (3,698)Proceeds from share options exercised37 – – Net cash (used in) / from financing activities(7,803)3,931 (12,754) Net increase / (decrease) in cash and cash equivalents2,097 (12,461)(14,467)Effect of exchange rate fluctuations on cash and cash equivalents267 (67)(302)Net cash and cash equivalents at the beginning of the year(11,032)1,496 16,265 Net cash and cash equivalents at the end of the year(8,668)(11,032)1,496
DEKUPLE: SOLID FULL-YEAR RESULTS FOR 2024 DESPITE THE INTENSITY OF STRATEGIC INVESTMENTS - ForexTV
SOLID FULL-YEAR RESULTS FOR 2024 DESPITE THE INTENSITY OF STRATEGIC INVESTMENTS_____ Net sales: €218m (+ 9.1%) Gross margin: €169m (+ 4.8%) EBITDA margin1: 13.9% of the gross marginNet income (Group share): €10.1m, representing 6.0% of the gross margin Proposed dividend: €0.76 per shareDevelopment in line with the Ambition 2025 plan Paris, 31 March 2025 (8:00am) - ADLPartner, the parent company of the DÉKUPLE Group, a European leader for data marketing and communication, is reporting its full-year earnings for 2024. Bertrand Laurioz, Dékuple Chairman and CEO: “2024 was a positive year for our Group, despite a difficult economic environment. The political and fiscal uncertainty led a number of businesses to be more cautious with their marketing investments. However, thanks to our leadership for Artificial Intelligence and our technological expertise, we maintained our strong competitive edge and confirmed our roadmap for growth. Our consolidated net sales are up + 9.1%, driven by the development of Digital Marketing, which now represents 65.6% of our total net sales, versus 36.5% in 2020, with + 15.8% growth in its gross margin year-on-year. Despite the increase in our investments, our net income (Group share) came to €10.1m, representing 6.0% of the gross margin, highlighting the relevance of our offers and the solidity of the Group's transformation. The Group continues to benefit from a robust balance sheet, with nearly €55m of shareholders’ equity and €58m of gross cash. The ramping up of investments for external growth is aligned with the Group's effective financial management, maintaining a positive net cash position and securing the resources needed for its sustainable development. The Group is looking ahead to 2025 with confidence, convinced that the digitalization and datafication of businesses will accelerate. Our teams are working to continue building on our profitable growth, driven by the strong development of digital marketing, which will continue to become increasingly important within the Group. Our strategy is based around sustained organic growth and targeted acquisitions, in France and across Europe. Alongside this, we are further strengthening our capacity for innovation by fully capitalizing on our technological expertise, particularly through the platformization of our services. We are also consolidating our societal and environmental commitments to supporting employability, training, responsible consumption, workplace wellness and promoting diversity, in line with our status as a European group with over 1,000 employees. While finalizing our Ambition 2025 plan to become a leading player in Europe for data marketing and communication, we are preparing the Horizon 2030 plan, which will structure our vision over the long term, with a view to strengthening our creative and technological leadership to help brands drive their transformation. Our Group benefits from a stable family shareholding structure, deep expertise, a network-based organization around multi-entrepreneurs, and a long-term vision. 2025 will be another year of success. Thank you to our employees, partners, clients and shareholders for their confidence, trust and loyalty”. KEY DEVELOPMENTS In 2024, DÉKUPLE made solid progress, thanks to the ramping up of its BtoB Digital Marketing activities, which now represent 65.6% of consolidated net sales, compared with 60.0% one year ago. Their gross margin, up + 15.8%, was supported by the development of consulting activities, the strengthening of marketing solutions and agencies, the international expansion and the acquisition of new expertise, including the full-year contribution by Le Nouveau Bélier (expert advertising strategy agency for Retail), as well as the integration of Ereferer (automated netlinking platform), GUD.Berlin (German communications agency) and Coup de Poing (expert BtoB client loyalty agency). On a like-for-like basis, our Digital Marketing activities recorded sustained organic growth, with their gross margin climbing + 7.4%, outpacing the market. This robust development helped offset the slowdown in BtoC activities, which, despite a challenging consumption environment, are continuing to roll out their investments with a view to acquiring recurring clients. In a press market that shows a marked decrease, the Magazine business limited its contraction to - 6.7%, while the Insurance business continued to perform well thanks to its innovative marketing approach. EARNINGS Consolidated net sales2 came to €217.8m, up + 9.1% compared with 2023, while the gross margin3 is up + 4.8% to €169.0m. Against a backdrop of sustained investments, restated EBITDA came to €23.6m, representing 13.9% of the full-year gross margin. Income from ordinary operations totaled €16.4m, representing 9.7% of the gross margin, compared with 10.8% in 2023. This change reflects contrasting trends: on the one hand, the decrease in EBIT for the Magazine business due to sustained commercial investments; on the other hand, the positive contribution by the Insurance business and the solid progress with results for Digital Marketing, making it possible to offset these effects. EBIT came to €14.1m, including -€2.3m of non-current expenses linked primarily to the partial depreciation of goodwill for the subsidiaries Groupe Grand Mercredi and Dékuple Ingénierie Marketing B2B (formerly AWE). Following a €4.6m tax expense, consolidated net income represents €10.3m, down - 19.8% from 2023, with a net margin rate of 6.1%, versus 8.0% in 2022. After deducting minority interests, net income (Group share) totaled €10.1m, compared with €12.4m in 2023. (€m)20242023Change 2024/2023 Net sales217.8199.7+9.1%Gross margin169.0161.2+4.8%Restated EBITDA23.624.9-5.6%% of gross margin13.9%15.5%-154 bpIncome from ordinary operations16.417.5-6.2%% of gross margin9.7%10.8%-115 bpEBIT14.117.5-19.4%% of gross margin8.3%10.8%-251 bpNet financial expenses / income0.80.4 Tax expense(4.6)(4.5) Share of net income from associates0.0(0.6) Consolidated net income10.312.9-19.8%% of gross margin6.1%8.0%-187 bpNet income (Group share)10.112.4-19.1%% of gross margin6.0%7.7%-176 bp BALANCE SHEET Consolidated shareholders’ equity at 31 December 2024 is up +€3.7m year-on-year to €54.8m. At 31 December 2024, the Group had €58.0m of cash, compared with €63.6m one year earlier, in line with the increase in investments for external growth, which reached €11.6m in 2024, compared with €4.6m in 2023. Financial debt totaled €55.0m, compared with €44.4m at 31 December 2023, including commitments to buy out minority interests in the Group’s subsidiaries. It also includes €21.3m of bank borrowings set up in 2022 at favorable interest rates to support the Group’s development. Cash net of financial liabilities4 at 31 December 2024 came to €3.0m, compared with €19.2m one year earlier. OUTLOOK In an uncertain economic environment, DÉKUPLE is continuing to move forward with its strategy to consolidate its European leadership for data marketing and communication. With its sound financial foundations, the Group is continuing to invest in its Magazine and Insurance activities to develop its portfolios generating recurrent revenues. Alongside this, the expansion of Digital Marketing is being ramped up, driven by organic growth and targeted acquisitions. Moving forward with its active approach to monitoring developments, DÉKUPLE is continuing to explore new opportunities for growth to expand its areas of expertise and further strengthen its support for brands in France and around the world. DIVIDEND Considering the results achieved in 2024 and the investments planned for 2025, ADLPartner’s Board of Directors will submit a proposal at the General Shareholders’ Meeting on 13 June 2025 for a dividend of €0.76 per share for FY 2024, to be paid out on 20 June 2025. ADDITIONAL INFORMATION The corporate and consolidated financial statements for 2024 were approved by the Board of Directors on 28 March 2025. The statutory auditors have completed the audit procedures on the corporate and consolidated accounts. The certification report will be issued once the necessary procedures have been finalized for publishing the full-year financial report. NEXT DATES 2024 annual financial report on 16 April 2025 before start of trading;2025 first-quarter net sales on 20 May 2025 before start of trading. About DÉKUPLE DÉKUPLE is a European leader for data marketing and communication. Its expert capabilities combining consulting, creativity, data and technology enable it to support brands with the transformation of their marketing to drive their business performance. The Group designs and implements client acquisition, loyalty and relationship management solutions for its partners and clients across all distribution channels. The Group works with more than 500 brands, from major groups to mid-market firms, in Europe and around the world. Founded in 1972, DÉKUPLE recorded net sales of €218m in 2024. Present in Europe, North America and China, the Group employs more than 1,000 people guided by its core values: a conquering spirit, respect and collaboration. DÉKUPLE is listed on the regulated market Euronext Paris – Compartment C. ISIN: FR0000062978 – DKUPL.www.dekuple.com ContactsDÉKUPLE Investor Relations & Financial Informationtel: +33 (0)1 41 58 72 03 - relations.investisseurs@dekuple.comACTUS FINANCE & COMMUNICATIONCyril Combe - tel: +33 (0)1 53 65 68 68 - dekuple@actus.fr 1 EBITDA (earnings before interest, tax, depreciation and amortization) is restated for the IFRS 2 impact of bonus share awards and the IFRS 16 impact relating to the restatement of lease charges.2 Net sales (determined in line with the French professional status for subscription sales) only include the amount of remuneration paid by magazine publishers; for subscription sales, net sales therefore correspond to a gross margin, deducting the cost of magazines sold from the amount of sales recorded. For acquisition and management commissions linked to sales of insurance policies, net sales comprise current and future commissions issued, acquired by the accounting reporting date, net of cancellations.3 For the digital marketing business, the gross margin represents the total amount of net sales (total invoices issued: fees, commissions and purchases charged back to clients) less the total amount of costs for external purchases made on behalf of clients. It is equal to net sales for the magazine and insurance business lines.4 Cash position on the balance sheet net of all financial liabilities. Attachment DEKUPLE_CP_resultats_annuels_2024_E