Business
Enterprise Group Announces Results for Third Quarter 2018
St. Albert, Alberta--(Newsfile Corp. - November 8, 2018) - Enterprise Group, Inc. (TSX: E...
About this update from Enterprise Group, Inc.
[{"type":"text","content":"Enterprise Group Announces Results for Third Quarter 2018St. Albert, Alberta--(Newsfile Corp. - November 8, 2018) - 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 Q3 2018 results.Consolidated:Three months endedSeptember 30, 2018Three months endedSeptember 30, 2017 restated(2)Nine months endedSeptember 30, 2018 Nine months endedSeptember 30, 2017 restated(2)Revenue$4,846,989$5,706,413$14,897,845$16,954,144Gross margin$593,073$1,272,241$1,406,447$4,444,766Gross margin %12%22%9%26%EBITDA(1)$33,164$859,338$(660,993)$2,425,178Loss before tax $(1,521,703)$(1,070,240)$(5,151,460)$(3,207,509)Net (loss) income $(1,100,220)$328,933$(1,244,714)$(1,308,998)EPS$(0.02)$0.01$(0.02)$(0.02)(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 Company's operations are subject to seasonality and historically experiences lower activity in spring, however lower activity continued into the first part of the third quarter. Many customers chose to delay the re-start of operations after spring thaw and gradually began re-starting operations throughout the quarter. Despite the reduced activity during the third quarter, for the nine months ended September 30, 2018, the Company generated positive cash flow from operations of $2,524,377 and over the same period the Company purchased and cancelled 370,500 shares valued at $170,901. Enterprise believes its stock remains undervalued and will continue to re-invest positive cash flow to buy-back shares to enhance shareholder value. Enterprise has obtained approval for a normal course issuer bid to purchase up to 10% of its outstanding stock. Over the last two years, the Company has made significant improvements to its statement of financial position and overall total debt and continues to make regular debt repayments. At September 30, 2018, after adjusting for goodwill and deferred taxes, the Company has assets more than total debt of approximately $48,000,000. Enterprise will continue to look for opport...