Business
Dexterra Group Inc. Announces Results for Q1 2025
Toronto, Ontario--(Newsfile Corp. - May 6, 2025) - Dexterra Group Inc. (TSX: DXT) Highlights ...
About this update from Dexterra Group, Inc.
[{"type":"text","content":"Dexterra Group Inc. Announces Results for Q1 2025Toronto, Ontario--(Newsfile Corp. - May 6, 2025) - Dexterra Group Inc. (TSX: DXT)HighlightsDexterra generated strong results for the three months ended March 31, 2025 with consolidated revenue of $239.7 million, an increase of 3.4% compared to the same period in 2024. The increase in revenue was due to continued strong activity levels in Support Services including a full quarter contribution from CMI Management LLC (\"CMI\"), partly offset by lower access matting activity in ABS due to cold weather early in the quarter.Adjusted EBITDA for the three months ended March 31, 2025 was $25.2 million, an increase of 29% over Q1 2024. The increase in Adjusted EBITDA is primarily due to high occupancy at camps mobilized in the second quarter of 2024 and a full quarter of CMI results in Support Services.Free Cash Flow (\"FCF\") for the three months ended March 31, 2025 was $1.2 million, compared to $10.6 million for the same period in 2024. The decrease was due to the delayed receipt of a customer receivable of $20.3 million being funded by the Canadian federal government which is expected to be collected in May. The Adjusted EBITDA conversion to FCF is expected to exceed 50% on an annual basis.Net earnings from continuing operations for the three months ended March 31, 2025 were $8.6 million, compared to $4.4 million for the same period in 2024 due to the same factors mentioned above. Our continuing operations delivered a return on equity of 15.1%. Earnings per share from continuing operations was $0.14 in Q1 2025 compared to $0.07 in Q1 2024.In connection with the ongoing Normal Course Issuer Bid (\"NCIB\"), Dexterra purchased and cancelled 989,000 common shares in Q1 2025 at a weighted average price of $7.69 per share for a total consideration of $7.6 million. The Board has approved the extension of the NCIB program, subject to TSX approval. This will allow the Corporation to repurchase up to approximately 3 million shares in the period from May 23, 2025 to May 22, 2026. Dexterra plans to remain opportunistic with share buybacks in 2025 as we believe our shares are undervalued.Dexterra declared a dividend for Q2 2025 of $0.0875 per share for shareholders of record at June 30, 2025, to be paid on July 15, 2025.This news release contains certain measures and ratios, such as Adjusted EBITDA...