Dexterra Group Inc. Announces Results for Q4 and Year Ended December 31, 2024
Dexterra Group reported strong financial results for 2024, with consolidated revenue reaching $1.0 billion, an 8.1% increase from 2023. The company's Q4 2024 revenue was $247.8 million, up by $16.6 million compared to Q4 2023.
Key financial highlights include:
- Adjusted EBITDA from continuing operations at $107.4 million in 2024
- Support Services achieved record EBITDA of $74.1 million, up 36.8%
- Free Cash Flow improved to $74.7 million, with 69.5% EBITDA conversion
- Net earnings from continuing operations reached $37.5 million
- Earnings per share increased to $0.58 in 2024 from $0.55 in 2023
The company continued its share buyback program, purchasing 1,177,100 shares at an average price of $6.72. A Q1 2025 dividend of $0.0875 per share was declared, payable April 15, 2025.
Dexterra Group ha riportato risultati finanziari solidi per il 2024, con ricavi consolidati che hanno raggiunto 1,0 miliardi di dollari, un aumento dell'8,1% rispetto al 2023. I ricavi del Q4 2024 dell'azienda sono stati di 247,8 milioni di dollari, in aumento di 16,6 milioni di dollari rispetto al Q4 2023.
Le principali evidenze finanziarie includono:
- EBITDA rettificato dalle operazioni continuative pari a 107,4 milioni di dollari nel 2024
- I Servizi di Supporto hanno raggiunto un EBITDA record di 74,1 milioni di dollari, in aumento del 36,8%
- Il Flusso di Cassa Libero è migliorato a 74,7 milioni di dollari, con una conversione EBITDA del 69,5%
- Gli utili netti dalle operazioni continuative hanno raggiunto 37,5 milioni di dollari
- Gli utili per azione sono aumentati a 0,58 dollari nel 2024 rispetto a 0,55 dollari nel 2023
L'azienda ha continuato il suo programma di riacquisto di azioni, acquistando 1.177.100 azioni a un prezzo medio di 6,72 dollari. È stato dichiarato un dividendo per il Q1 2025 di 0,0875 dollari per azione, pagabile il 15 aprile 2025.
Dexterra Group reportó resultados financieros sólidos para 2024, con ingresos consolidados que alcanzaron 1.0 mil millones de dólares, un aumento del 8.1% en comparación con 2023. Los ingresos del Q4 2024 de la empresa fueron de 247.8 millones de dólares, un incremento de 16.6 millones de dólares en comparación con el Q4 2023.
Los principales aspectos financieros incluyen:
- EBITDA ajustado de las operaciones continuas de 107.4 millones de dólares en 2024
- Los Servicios de Soporte lograron un EBITDA récord de 74.1 millones de dólares, un aumento del 36.8%
- El Flujo de Caja Libre mejoró a 74.7 millones de dólares, con una conversión de EBITDA del 69.5%
- Las ganancias netas de las operaciones continuas alcanzaron 37.5 millones de dólares
- Las ganancias por acción aumentaron a 0.58 dólares en 2024 desde 0.55 dólares en 2023
La empresa continuó su programa de recompra de acciones, comprando 1,177,100 acciones a un precio promedio de 6.72 dólares. Se declaró un dividendo de 0.0875 dólares por acción para el Q1 2025, pagadero el 15 de abril de 2025.
Dexterra Group는 2024년 강력한 재무 결과를 보고했으며, 통합 수익은 10억 달러에 도달하여 2023년 대비 8.1% 증가했습니다. 회사의 2024년 4분기 수익은 2억 4,780만 달러로, 2023년 4분기 대비 1,660만 달러 증가했습니다.
주요 재무 하이라이트는 다음과 같습니다:
- 2024년 지속 운영에서 조정된 EBITDA는 1억 740만 달러
- 지원 서비스는 7,410만 달러의 기록적인 EBITDA를 달성했으며, 36.8% 증가했습니다.
- 자유 현금 흐름은 7,470만 달러로 개선되었으며, EBITDA 전환율은 69.5%입니다.
- 지속 운영에서의 순이익은 3,750만 달러에 도달했습니다.
- 주당 순이익은 2024년에 0.58달러로 증가했으며, 2023년의 0.55달러에서 상승했습니다.
회사는 1,177,100주를 평균 가격 6.72달러에 매입하며 자사주 매입 프로그램을 지속했습니다. 2025년 1분기 주당 0.0875달러의 배당금이 선언되었으며, 2025년 4월 15일에 지급될 예정입니다.
Dexterra Group a rapporté de solides résultats financiers pour 2024, avec des revenus consolidés atteignant 1,0 milliard de dollars, soit une augmentation de 8,1 % par rapport à 2023. Les revenus du 4e trimestre 2024 de l'entreprise s'élevaient à 247,8 millions de dollars, en hausse de 16,6 millions de dollars par rapport au 4e trimestre 2023.
Les principaux points financiers incluent :
- EBITDA ajusté des opérations continues à 107,4 millions de dollars en 2024
- Les Services de Soutien ont atteint un EBITDA record de 74,1 millions de dollars, en hausse de 36,8 %
- Le Flux de Trésorerie Libre s'est amélioré à 74,7 millions de dollars, avec un taux de conversion EBITDA de 69,5 %
- Les bénéfices nets des opérations continues ont atteint 37,5 millions de dollars
- Le bénéfice par action a augmenté à 0,58 dollar en 2024 contre 0,55 dollar en 2023
L'entreprise a poursuivi son programme de rachat d'actions, achetant 1 177 100 actions à un prix moyen de 6,72 dollars. Un dividende de 0,0875 dollar par action pour le 1er trimestre 2025 a été déclaré, payable le 15 avril 2025.
Dexterra Group hat starke finanzielle Ergebnisse für 2024 gemeldet, mit konsolidierten Einnahmen von 1,0 Milliarden Dollar, einem Anstieg von 8,1% im Vergleich zu 2023. Die Einnahmen des Unternehmens im 4. Quartal 2024 betrugen 247,8 Millionen Dollar, was einem Anstieg von 16,6 Millionen Dollar im Vergleich zum 4. Quartal 2023 entspricht.
Wichtige finanzielle Höhepunkte sind:
- Bereinigtes EBITDA aus fortgeführten Betrieben von 107,4 Millionen Dollar im Jahr 2024
- Die Unterstützungsdienste erzielten ein Rekord-EBITDA von 74,1 Millionen Dollar, ein Anstieg von 36,8%
- Der freie Cashflow verbesserte sich auf 74,7 Millionen Dollar, mit einer EBITDA-Konversionsrate von 69,5%
- Der Nettogewinn aus fortgeführten Betrieben erreichte 37,5 Millionen Dollar
- Der Gewinn pro Aktie stieg 2024 auf 0,58 Dollar von 0,55 Dollar im Jahr 2023
Das Unternehmen setzte sein Aktienrückkaufprogramm fort und kaufte 1.177.100 Aktien zu einem Durchschnittspreis von 6,72 Dollar. Eine Dividende von 0,0875 Dollar pro Aktie für das 1. Quartal 2025 wurde erklärt, zahlbar am 15. April 2025.
- Revenue growth of 8.1% to $1.0 billion in 2024
- Support Services EBITDA increased 36.8% to record $74.1 million
- Free Cash Flow improved to $74.7 million from $57.8 million
- Strong EBITDA conversion rate of 69.5%
- Net earnings increased to $37.5 million from $35.8 million
- Active share buyback program with 1.17M shares purchased
- Asset Based Services EBITDA declined significantly in 2024
- ABS revenue decreased to $191.8 million from $192.9 million
- Q4 ABS revenues dropped to $41.3M from $56.5M in Q4 2023
- Q4 net earnings declined to $7.6M from $8.3M in Q4 2023
Toronto, Ontario--(Newsfile Corp. - March 6, 2025) - Dexterra Group Inc. (TSX: DXT)
Highlights
Dexterra generated strong results from continuing operations for 2024 with consolidated revenue of
$1.0 billion , an increase of8.1% compared to the prior year. The increase in revenue was due to organic growth, strong natural resource market activity levels and the contribution from the CMI Management LLC ("CMI") acquisition. For Q4 2024, Dexterra generated consolidated revenue of$247.8 million , an increase of$16.6 million , compared to Q4 2023. The increase was driven by the above, partially offset by lower camp demobilization and installation project activity in Asset Based Services ("ABS") compared to Q4 2023.Adjusted EBITDA from continuing operations for 2024 was
$107.4 million (2023 -$106.8 million ). Support Services ("SS") EBITDA rose significantly to a record$74.1 million , an increase of36.8% . This was offset by lower 2024 EBITDA from ABS as expected due to the abnormal level of wildfire activity in 2023. These 2024 developments were consistent with management's plans to increase the scale and profitability of the Support Services business. Adjusted EBITDA for Q4 2024 was$26.6 million compared to$23.6 million in Q4 2023. This increase is a result of stronger revenues and margins in Support Services offset by lower volumes in ABS as several large projects were demobilized in Q4 2023.Free Cash Flow ("FCF") was
$74.7 million for the year ended December 31, 2024, compared to$57.8 million in 2023. The Adjusted EBITDA conversion to FCF was69.5% as compared to54.1% in the prior year and reflected strong operating results and working capital management and nominal cash taxes payable as the company utilized tax loss carryforwards.For the three months and year ended December 31, 2024, net earnings from continuing operations were
$7.6 million and$37.5 million , respectively, compared to$8.3 million and$35.8 million in 2023. Our continuing operations delivered a return on equity of13.3% in 2024 and12.5% in 2023. Earnings per share from continuing operations was$0.58 cents in 2024 compared to$0.55 cents in 2023.In connection with the ongoing Normal Course Issuer Bid ("NCIB"), Dexterra purchased and cancelled 1,177,100 common shares in 2024 at a weighted average price of
$6.72 per share for a total consideration of$7.9 million . Dexterra plans to remain opportunistic with share buybacks in 2025 as we believe our shares are undervalued.Dexterra paid dividends of
$0.35 during the year and declared a dividend for Q1 2025 of$0.08 75 per share for shareholders of record at March 31, 2025, to be paid April 15, 2025.In Q4 2024, Dexterra repositioned its business from an operational and external segmented reporting perspective into SS and ABS.
This news release contains certain measures and ratios, such as Adjusted EBITDA, Adjusted EBITDA as a percentage of revenue, Return on Equity, and Free Cash Flow that do not have any standardized meaning as prescribed by GAAP and, therefore, are considered non-GAAP measures. The method of calculating these measures may differ from other entities and accordingly, may not be comparable to measures used by other entities. See "Non-GAAP measures" and "Reconciliation of Non-GAAP measures" of the Corporation's MD&A for the three months and year ended December 31, 2024 and 2023 details which is incorporated by reference herein.
Fourth Quarter and Annual Financial Summary
| Three months ended December 31, | Years ended December 31, | |||||||||||
| (000's except per share amounts) | 2024 | 2023(1) | 2024 | 2023(1) | ||||||||
| Revenue | $ | 247,758 | $ | 231,196 | $ | 1,003,027 | $ | 927,776 | ||||
| Adjusted EBITDA(2) | 26,558 | 23,567 | 107,438 | 106,774 | ||||||||
| Adjusted EBITDA as a % of revenue(2) | | | | | ||||||||
| Net earnings from continuing operations(1)(3) | 7,584 | 8,291 | 37,540 | 35,810 | ||||||||
| Net loss from discontinued operations, net of income taxes(4) | (669 | ) | (8,594) | (17,447 | ) | (9,060 | ) | |||||
| Net earnings (loss)(3) | 6,915 | (303 | ) | 20,093 | 26,750 | |||||||
| Earnings (loss) per share | ||||||||||||
| Net earnings from continuing operations per share, basic and diluted | 0.11 | 0.13 | 0.58 | 0.55 | ||||||||
| Total net earnings per share, basic and diluted | 0.11 | 0.00 | 0.31 | 0.41 | ||||||||
| Total assets | 524,890 | 607,088 | 524,890 | 607,088 | ||||||||
| Total loans and borrowings ("Net Debt") | 67,859 | 89,615 | 67,859 | 89,615 | ||||||||
| Free Cash Flow(2) | 52,701 | 57,133 | 74,680 | 57,783 | ||||||||
(1) The comparative numbers have been restated as the Modular business was classified to discontinued operations in Q1 2024.
(2) Please refer to the "Non-GAAP measures" section for the definition of Adjusted EBITDA, Adjusted EBITDA as a percentage of revenue, and Free Cash Flow and to the "Reconciliation of non-GAAP measures" section for the related calculations.
(3) Acquisition costs in pre-tax earnings for the three months and year ended December 31, 2024, were $nil and
(4) Net loss from discontinued operations includes
Fourth Quarter and Annual Operational Analysis
| Three months ended December 31, | Years ended December 31, | |||||||||||
| (000's) | 2024 | 2023 | 2024 | 2023 | ||||||||
| Revenue: | ||||||||||||
| Support Services | $ | 206,472 | $ | 174,659 | $ | 811,180 | $ | 734,340 | ||||
| Asset Based Services | 41,286 | 56,537 | 191,847 | 192,936 | ||||||||
| Corporate, Other and Inter-segment eliminations | - | - | - | 500 | ||||||||
| Total Revenue | $ | 247,758 | $ | 231,196 | $ | 1,003,027 | $ | 927,776 | ||||
| Adjusted EBITDA: | ||||||||||||
| Support Services | $ | 18,209 | $ | 12,203 | $ | 74,133 | $ | 54,205 | ||||
| Asset Based Services | 13,896 | 15,596 | 56,215 | 70,896 | ||||||||
| Corporate, Other and Inter-segment eliminations | (5,547 | ) | (4,232 | ) | (22,910 | ) | (18,327 | ) | ||||
| Total Adjusted EBITDA | $ | 26,558 | $ | 23,567 | $ | 107,438 | $ | 106,774 | ||||
| Adjusted EBITDA as a % of Revenue | ||||||||||||
| Support Services | 8.8 % | 7.0 % | 9.1 % | 7.4 % | ||||||||
| Asset Based Services | 33.7 % | 27.6 % | 29.3 % | 36.7 % | ||||||||
Support Services
Revenue for the year ended December 31, 2024 was
Adjusted EBITDA for the year ended December 31, 2024 was
For Q4 2024, Support Services revenues were
Asset Based Services
Revenue for the year ended December 31, 2024 was
Adjusted EBITDA for the year ended December 31, 2024 was
For Q4 2024, ABS revenues were
Liquidity and Capital Resources
Debt was
Additional Information
A copy of Dexterra's Consolidated Financial Statements ("Financial Statements") for the years ended December 31, 2024 and 2023 and related Management's Discussion and Analysis ("MD&A") have been filed with the Canadian Securities Regulatory authorities and are available on SEDAR at sedarplus.ca and Dexterra's website at dexterra.com. The Financial Statements have been prepared in accordance with International Financial Reporting Standards and the reporting currency is in Canadian dollars. Additional history of comparative information under our new segmentation is also available on our website under Investors & Governance and is for informational purposes only.
Conference Call
Dexterra will host a conference call and webcast to begin promptly at 8:30 a.m. Eastern Time on March 7, 2025 to discuss the 2024 year-end and fourth quarter results.
To access the conference call by telephone the conference call dial in number is 1-844-763-8274
A live webcast of the conference call will be accessible on Dexterra's website at dexterra.com/investor-presentations-events by selecting the webcast link. An archived recording of the conference call will be available approximately one hour after the completion of the call until April 6, 2025, by dialing 1- 855-669-9658, passcode 3578869.
About Dexterra
Dexterra employs more than 9,000 people, delivering a range of support services for the creation, management, and operation of infrastructure across Canada and the U.S.
Powered by people, Dexterra brings best-in-class regional expertise to every challenge and delivers innovative solutions, giving clients confidence in their day-to-day operations. Activities include a comprehensive range of integrated facilities management services, industry-leading workforce accommodation solutions and other support services for diverse clients in the public and private sectors.
For further information contact:
Denise Achonu, CFO
Head office: Airway Centre, 5925 Airport Rd., Suite 1000
Mississauga, Ontario L4V 1W1
Telephone: (905) 270-1964
You can also visit our website at dexterra.com
Reconciliation of non-GAAP measures
The following provides a reconciliation of non-GAAP measures to the nearest measure under GAAP for items presented throughout the news release:
Adjusted EBITDA
| Three months ended December 31, | Years ended December 31, | |||||||||||
| (000's) | 2024 | 2023 | 2024 | 2023 | ||||||||
| Net earnings from continuing operations | $ | 7,584 | $ | 8,291 | $ | 37,540 | $ | 35,810 | ||||
| Add: | ||||||||||||
| Share based compensation (recovery) | 1,200 | (236 | ) | 4,557 | 1,778 | |||||||
| Depreciation & amortization | 9,612 | 8,661 | 35,205 | 34,975 | ||||||||
| Equity investment depreciation | 87 | 439 | 974 | 1,613 | ||||||||
| Finance costs | 2,364 | 3,242 | 13,058 | 13,438 | ||||||||
| Loss (gain) on disposal of property, plant and equipment | 15 | 1,042 | (354 | ) | 935 | |||||||
| Asset impairment(1) | - | - | - | 2,210 | ||||||||
| Income tax expense | 5,696 | 2,788 | 16,097 | 11,694 | ||||||||
| Contract loss provision (recovery)(2) | - | (660 | ) | - | 1,596 | |||||||
| Restructuring and other costs(3) | - | - | 361 | 2,727 | ||||||||
| Adjusted EBITDA | $ | 26,558 | $ | 23,567 | $ | 107,438 | $ | 106,774 | ||||
(1) For the year ended December 31, 2023, the Corporation recognized an asset impairment of
(2) Contract loss provision (recovery) for the three months and year ended December 31, 2023 of
(3) Restructuring and other costs for the year ended December 31, 2024 of
Free Cash Flow
| Three months ended December 31, | Years ended December 31, | |||||||||||
| (000's) | 2024 | 2023 | 2024 | 2023 | ||||||||
| Net cash flows from continuing operating activities | $ | 58,150 | $ | 62,779 | $ | 96,481 | $ | 81,728 | ||||
| Sustaining capital expenditures, net of proceeds from the sale of property, plant and equipment and intangible assets | (1,424 | ) | (600 | ) | (2,754 | ) | (2,625 | ) | ||||
| Finance costs paid | (1,986 | ) | (2,799 | ) | (12,165 | ) | (13,013 | ) | ||||
| Lease payments | (2,039 | ) | (2,247 | ) | (6,882 | ) | (8,307 | ) | ||||
| Free Cash Flow | $ | 52,701 | $ | 57,133 | $ | 74,680 | $ | 57,783 | ||||
Return on Equity
| Years ended December 31, | ||||||
| (000's) | 2024 | 2023 | ||||
| Net earnings from continuing operations | $ | 37,540 | $ | 35,810 | ||
| Average total shareholders' equity(1) | $ | 282,984 | $ | 286,999 | ||
| Return on Equity (%) | 13.3 % | 12.5 % | ||||
(1) Average total shareholders' equity is calculated as the average of beginning total shareholders' equity and ending total shareholders' equity for the year.
Forward-Looking Information
Certain statements contained in this news release may constitute forward-looking information under applicable securities law. Forward-looking information may relate to Dexterra's future outlook and anticipated events, business, operations, financial performance, financial condition or results and, in some cases, can be identified by terminology such as "continue"; "forecast"; "may"; "will"; "project"; "could"; "should"; "expect"; "plan"; "anticipate"; "believe"; "outlook"; "target"; "intend"; "estimate"; "predict"; "might"; "potential"; "continue"; "foresee"; "ensure" or other similar expressions concerning matters that are not historical facts. In particular, statements regarding Dexterra's future operating results and economic performance, including return on equity and Adjusted EBITDA margins; capital allocation priorities, acquisition strategy; its capital light model, market and inflationary environment expectations, asset utilization, camp occupancy levels, its leverage, discontinued operations, FCF, wildfire activity expectations, U.S. tariff impacts, and its objectives and strategies are forward-looking statements. These statements are based on certain factors and assumptions, including expected growth, market recovery, results of operations, performance and business prospects and opportunities regarding Dexterra. While management considers these assumptions to be reasonable based on information currently available to Dexterra, they may prove to be incorrect. Forward-looking information is also subject to certain known and unknown risks, uncertainties and other factors that could cause Dexterra's actual results, performance or achievements to be materially different from any future results, performance or achievements expressed or implied by such forward-looking information, including, but not limited to: the ability to retain clients, renew existing contracts and obtain new business; an outbreak of contagious disease that could disrupt its business; the highly competitive nature of the industries in which Dexterra operates; outsourcing of services trends; reliance on suppliers and subcontractors; cost inflation; U.S. tariff impacts; volatility of industry conditions could impact demand for its services; a reduction in the availability of credit could reduce demand for Dexterra's products and services; Dexterra's significant shareholder may substantially influence its direction and operations and its interests may not align with other shareholders; its significant shareholder's
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FAQ
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