Business
Enterprise Group Announces Results for First Quarter 2019
St. Albert, Alberta--(Newsfile Corp. - May 10, 2019) - Enterprise Group, Inc. (TSX: E) (the " ...
About this update from Enterprise Group, Inc.
[{"type":"text","content":"Enterprise Group Announces Results for First Quarter 2019St. Albert, Alberta--(Newsfile Corp. - May 10, 2019) - Enterprise Group, Inc. (TSX: E) (the \"Company\" or \"Enterprise\"), a consolidator of services to the energy sector; focused primarily on specialized equipment rental; today released its Q1 2019 results.     Three months March 31, 2019Three months March 31, 2018(2)ChangeRevenue$7,149,422$6,810,236$339,186Gross margin$3,071,478$2,125,399$946,079Gross margin %43%31%12%EBITDA(1)$2,561,805$1,487,252$1,074,553Net (loss) income and comprehensive (loss) income$692,986$3,190,242($2,497,256)EPS $0.01$0.06($0.05)(1) Identified and defined under \"Non-IFRS Measures\".(2) In March 2018, the Company closed a transaction to divest substantially all the assets of CTHA. The net operations of CTHA, including the prior period, are presented as a single amount in the consolidated statements of income (loss) and comprehensive income (loss).The increased activity experienced in Q4 2018 continued into Q1 2019. Industry wide price reductions and competition continues to impact margins, however through the Company's continued its efforts to operate more efficiently and effectively manage its resources and costs, Enterprise improved its margins over the prior period. The Company's high level of service combined with its expertise and specialized equipment has allowed the Enterprise to retain long-term customers while expanding its customer base. Revenue for the three months ended March 31, 2019, was $7,149,422, an increase of $339,186 compared to the prior period. Having a broader customer base has amplified the nominal increase in activity experienced in Q1 2019 compared to Q1 2018 and resulted in higher revenue.Gross margin for the three months ended March 31, 2019, was $3,071,478 or 43%, an increase from $2,125,399 or 31% compared to the prior period. EBITDA was $2,561,805 for the three months ended March 31, 2019, an increase of $1,074,553 compared to the prior period. Enterprise continues its efforts to improve gross margin and EBITDA, which includes reducing third party rentals, reducing the use of external contactors and effectively managing resources and staffing levels.In March 2018, the Company closed a transaction to divest substantially all the assets of Calgary Tunnelling & Horizontal Augering Ltd. (\"CTHA...