Business
Data Group Inc. announces second quarter results for 2013
Highlights Q2 2013 Second quarter 2013 ("Q2") Revenues of $77.8 million,...
About this update from Data Communications Management Corp.
[{"type":"text","content":"\n\n\nHighlights\n\n\nQ2 2013\n\n\n\nSecond quarter 2013 (\"Q2\") Revenues of $77.8 million, Q2 Gross Profit of\n $19.8 million and Q2 Net Loss of $3.7 million (includes a Q2\n restructuring charge of $5.2 million)\n\n\nQ2 Dividends declared of $1.8 million or $0.075 per share\n\n\n\nQ2 Adjusted EBITDA of $5.8 million (See Table 2 and \"Non-GAAP Measures\"\n below)\n\n\n\nYTD 2013\n\n\n\nYear to Date 2013 (\"YTD\") Revenues of $160.7 million, YTD Gross Profit\n of $41.5 million and YTD Net Loss of $2.8 million (includes a YTD\n restructuring charge of $6.0 million)\n\n\nYTD Dividends declared of $3.5 million or $0.15 per share\n\n\nYTD Adjusted EBITDA of $13.1 million (See Table 2 and \"Non-GAAP\n Measures\" below)\n\n\n\nBRAMPTON, ON, Aug. 8, 2013 /CNW/ - DATA Group Inc. (TSX: DGI) (\"DATA Group\") announced its financial and\n operating results for the second quarter ended June 30, 2013, which\n include the operating results of its subsidiaries DATA Group Ltd., DATA\n Group (US) Corp., The Fulfillment Solutions Advantage Inc. (\"FSA\") and\n FSA Datalytics Canada Inc. (\"Datalytics\").\n\n\nDATA Group continues its profound transformation, as we focus on\n dramatic cost reduction, new revenue growth and aggressively reducing\n our debt.\n\n\n\nCost reduction; Our multi-year transformational cost reduction program\n is intended to reduce our annual costs by approximately $28.0 million\n by the end of 2015.  We succeeded in reducing our costs by $12.1\n million, on an annualized basis, in the first half of 2013.  We have\n recorded $6.0 million in associated restructuring charges in the first\n half of 2013 as a result.\n\n\nNew revenue growth; We have launched new digital products and services\n to transform DATA Group into a Business Process Outsourcing provider\n and to offset declines in our legacy print business.  As a result, we\n have won several large new outsourcing contracts and have recorded\n approximately $5.0 million in new revenue from these categories in the\n first half of 2013.  We will be launching additional new products and\n services in the second half of 2013.\n\n\nDebt reduction; We expect to accelerate the pace of debt reduction as\n our cost reduction initiatives gain momentum.  In the first half of\n 2013, we have reduced our de...