Business
Data Group Inc. announces first quarter results for 2013
HIGHLIGHTS Q1 2013 Revenues of $82.9 million, Gross Profit of $21.7&...
About this update from Data Communications Management Corp.
[{"type":"text","content":"\n\n\n\n\n\n\n\n\nHIGHLIGHTS\n\n\nQ1 2013\n\n\n\nRevenues of $82.9 million, Gross Profit of $21.7 million and Net Income\n of $0.8 million\n\n\nQ1 Dividends declared of $1.8 million or $0.075 per share\n\n\nQ1 Adjusted EBITDA of $7.4 million (See Table 2 and \"Non-GAAP Measures\"\n below)\n\n\n\nBRAMPTON, ON, May 8, 2013 /CNW/ - DATA Group Inc. (TSX: DGI) (\"DATA\n Group\") announced its financial and operating results for the first\n quarter (\"Q1\") ended March 31, 2013, which include the operating\n results of its subsidiaries DATA Group Ltd., DATA Group (US) Corp., The\n Fulfillment Solutions Advantage Inc. (\"FSA\") and FSA Datalytics Canada\n Inc. (\"Datalytics\").\n\n\n\"DATA Group made modest progress on our growth strategy in the first\n quarter of 2013.  Although revenues did not meet our expectations, we\n made progress implementing new customer agreements that we won in late\n 2012 and new capabilities, while also reducing our costs.  The new\n customer agreements are impacting our results at a slower rate than\n expected due to the pace of implementation.  We continued to focus on\n marketing our Managed Business Communications Services, or MBCS, and to\n implement our new e-communications solutions. Our accelerated cost\n savings program, which we launched in the fourth quarter of 2012, began\n to be implemented, resulting in a number of operational and\n administrative cost reductions.  As a result of these initiatives, we\n recorded $0.8 million in restructuring charges in the first quarter of\n 2013 and expect to continue to incur restructuring charges through the\n balance of 2013\" said Michael Suksi, President and Chief Executive\n Officer.  \"Adjusted EBITDA decreased from the prior year due to the\n continued investment in our growth strategy and a decline in revenues,\n and was partially offset by cost savings realized.  We declared total\n dividends to shareholders during the first quarter of 2013 of $1.8\n million or $0.075 per share, which represents an annualized rate of\n $0.30 per share, and reduced our debt by $2.0 million, which is\n consistent with our previously announced plans.\"\n\n\nBased on our current business outlook, we expect to continue with our\n current dividend per share rate, while also continuing to reduce our\n debt and in...