DELSON, Quebec, Feb. 14, 2019 (GLOBE NEWSWIRE) -- Goodfellow Inc. (TSX: GDL) announced today its financial results for the fiscal year ended 30 November 2018. The Company reported the following:
HIGHLIGHTS
| Three months ended | For the years ended | |||||||
| November 30 2018 | November 30 2017 | Variance | November 30 2018 | November 30 2017 | Variance | |||
| $ | $ | % | $ | $ | % | |||
| Consolidated sales | 112,742 | 127,558 | -11.6 | 475,207 | 523,659 | -9,3 | ||
| (Loss) earnings before income taxes | (22 | ) | 2,711 | -100,8 | 3,277 | (3,275 | ) | +200,1 |
| Net earnings (loss) | 197 | 2,216 | -91,1 | 2,571 | (2,094 | ) | +222,8 | |
| Net earnings (loss) per share, Basic and Diluted | 0.02 | 0.26 | -92.3 | 0.30 | (0.25 | ) | +220,0 | |
| Cash Flow from Operations (excluding non-cash working capital items, income tax paid and interest paid) | 1,609 | 3,425 | -53,0 | 9,705 | 2,630 | +269,0 | ||
| EBITDA | 1,821 | 4,957 | -63,3 | 10,443 | 5,009 | +108,5 | ||
| Average Bank indebtedness | 56,112 | 60,971 | -8.0 | 69,569 | 80,010 | -13.0 | ||
| Inventory average | 99,876 | 95,956 | +4.1 | 104,832 | 105,361 | -0.5 | ||
Overall sales in Q4 fell below expectations resulting nonetheless in $0.2 million of net earnings in Q4 2018 versus $2.2 million in Q4 2017. The Company was able to continue its gradual return to profitability in 2018 posting $2.6 million of net earnings versus a $2.1 million net loss in 2017.
The Board of directors of Goodfellow Inc. declared an eligible dividend of $0.10 per share payable on March 15, 2019, to all shareholders of record as of February 28, 2019.
Goodfellow Inc. is a distributor of lumber products, building materials and floor coverings. Goodfellow shares trade on the Toronto Stock Exchange under the symbol GDL.
| GOODFELLOW INC. | ||||
| Consolidated Statements of Comprehensive Income | ||||
| For the years ended November 30, 2018 and 2017 | ||||
| (in thousands of dollars, except per share amounts) Unaudited | ||||
| Years ended | ||||
| November 30 2018 | November 30 2017 | |||
| $ | $ | |||
| Sales | 475,207 | 523,659 | ||
| Expenses | ||||
| Cost of goods sold | 387,311 | 442,243 | ||
| Selling, administrative and general expenses | 81,161 | 81,686 | ||
| Gain on disposal of property, plant and equipment | (18 | ) | (1,194 | ) |
| Net financial costs | 3,476 | 4,199 | ||
| 471,930 | 526,934 | |||
| Earnings (loss) before income taxes | 3,277 | (3,275 | ) | |
| Income taxes | 706 | (1,181 | ) | |
| Net earnings (loss) | 2,571 | (2,094 | ) | |
| Items that will not subsequently be reclassified to net earnings (loss) | ||||
| Remeasurement of defined benefit plan obligation, | ||||
| net of taxes of $318 ($127 in 2017) | 858 | 341 | ||
| Total comprehensive income (loss) | 3,429 | (1,753 | ) | |
| Net earnings (loss) per share - Basic and diluted | 0.30 | (0.25 | ) | |
| GOODFELLOW INC. | ||
| Consolidated Statements of Financial Position | ||
| (in thousands of dollars) Unaudited | ||
| As at | As at | |
| November 30 2018 | November 30 2017 | |
| $ | $ | |
| Assets | ||
| Current Assets | ||
| Cash | 2,578 | 1,622 |
| Trade and other receivables | 50,008 | 57,607 |
| Income taxes receivable | - | 1,589 |
| Inventories | 92,544 | 88,860 |
| Prepaid expenses | 3,143 | 2,835 |
| Total Current Assets | 148,273 | 152,513 |
| Non-Current Assets | ||
| Property, plant and equipment | 34,356 | 36,198 |
| Intangible assets | 4,444 | 4,942 |
| Defined benefit plan asset | 2,704 | 2,413 |
| Investment in a joint venture | 25 | 285 |
| Other assets | 916 | 882 |
| Total Non-Current Assets | 42,445 | 44,720 |
| Total Assets | 190,718 | 197,233 |
| Liabilities | ||
| Current Liabilities | ||
| Bank indebtedness | 42,835 | 52,309 |
| Trade and other payables | 29,192 | 29,409 |
| Income taxes payable | 409 | - |
| Provision | 336 | 938 |
| Current portion of long-term debt | 14 | 139 |
| Total Current Liabilities | 72,786 | 82,795 |
| Non-Current Liabilities | ||
| Provision | 1,317 | 446 |
| Long-term debt | 43 | 55 |
| Deferred income taxes | 3,652 | 3,582 |
| Defined benefit plan obligation | 57 | 921 |
| Total Non-Current Liabilities | 5,069 | 5,004 |
| Total Liabilities | 77,855 | 87,799 |
| Shareholders’ Equity | ||
| Share capital | 9,152 | 9,152 |
| Retained earnings | 103,711 | 100,282 |
| 112,863 | 109,434 | |
| Total Liabilities and Shareholders’ Equity | 190,718 | 197,233 |
| GOODFELLOW INC. | ||||
| Consolidated Statements of Cash Flows | ||||
| For the years ended November 30, 2018 and 2017 | ||||
| (in thousands of dollars) Unaudited | ||||
| Years ended | ||||
| November 30 2018 | November 30 2017 | |||
| $ | $ | |||
| Operating Activities | ||||
| Net earnings (loss) | 2,571 | (2,094 | ) | |
| Adjustments for: | ||||
| Depreciation | 3,690 | 4,085 | ||
| Accretion expense on provision | 50 | 50 | ||
| Increase (decrease) in provision | 219 | (104 | ) | |
| Income taxes | 706 | (1,181 | ) | |
| Gain on disposal of property, plant and equipment | (18 | ) | (1,194 | ) |
| Interest expense | 2,502 | 2,821 | ||
| Funding in deficit of pension plan expense | 20 | 165 | ||
| Share of the profits of a joint venture | - | (202 | ) | |
| Other assets | (35 | ) | (210 | ) |
| Share-based compensation | - | 494 | ||
| 9,705 | 2,630 | |||
| Changes in non-cash working capital items | 3,391 | 33,296 | ||
| Interest paid | (2,535 | ) | (2,614 | ) |
| Income taxes recovered | 1,045 | 6,349 | ||
| 1,901 | 37,031 | |||
| Net Cash Flows from Operating Activities | 11,606 | 39,661 | ||
| Financing Activities | ||||
| Net decrease in bank loans | (4,000 | ) | (4,000 | ) |
| Net decrease in banker’s acceptances | (6,000 | ) | (36,500 | ) |
| Increase in long-term debt | - | 68 | ||
| Reimbursement of long-term debt | (137 | ) | (136 | ) |
| (10,137 | ) | (40,568 | ) | |
| Investing Activities | ||||
| Acquisition of property, plant and equipment | (1,159 | ) | (1,329 | ) |
| Increase in intangible assets | (212 | ) | (446 | ) |
| Proceeds on disposal of property, plant and equipment | 72 | 1,585 | ||
| Dividends from joint venture | 260 | 320 | ||
| Dissolution of the joint venture | - | 3,000 | ||
| (1,039 | ) | 3,130 | ||
| Net cash inflow | 430 | 2,223 | ||
| Cash position, beginning of year | 313 | (1,910 | ) | |
| Cash position, end of year | 743 | 313 | ||
| Cash position is comprised of: | ||||
| Cash | 2,578 | 1,622 | ||
| Bank overdraft | (1,835 | ) | (1,309 | ) |
| 743 | 313 | |||
| GOODFELLOW INC. | |||||
| Consolidated Statements of Change in Shareholders’ Equity | |||||
| For the years ended November 30, 2018 and 2017 | |||||
| (in thousands of dollars) Unaudited | |||||
| Share Capital | Retained Earnings | Total | |||
| $ | $ | $ | |||
| Balance as at November 30, 2016 | 9,152 | 101,541 | 110,693 | ||
| Net loss | - | (2,094 | ) | (2,094 | ) |
| Other comprehensive income | - | 341 | 341 | ||
| Total comprehensive loss | - | (1,753 | ) | (1,753 | ) |
| Transactions within equity | |||||
| Share-based compensation | - | 494 | 494 | ||
| Balance as at November 30, 2017 | 9,152 | 100,282 | 109,434 | ||
| Net earnings | - | 2,571 | 2,571 | ||
| Other comprehensive income | - | 858 | 858 | ||
| Total comprehensive income | - | 3,429 | 3,429 | ||
| Balance as at November 30, 2018 | 9,152 | 103,711 | 112,863 | ||
Goodfellow Inc.
Patrick Goodfellow
President and CEO
Tel: 450 635-6511
Fax: 450 635-3730
Internet: info@goodfellowinc.com