Savaria Corporation (“Savaria”) (TSX: SIS), a global leader in
the accessibility industry, is pleased to announce its results for
the first quarter of fiscal 2021.
Highlights
- Revenue
was $112.1M, up $23.7M or 26.8%;
- Gross
profit was $38.9M, up $8.8M or 29.2%, representing 34.7% of revenue
compared to 34.1% in Q1 2020;
- Adjusted
EBITDA was $17.3M, up $4.9M or 39.9% compared to Q1 2020. Adjusted
EBITDA margin stood at 15.4%, compared to 14.0% in Q1 2020;
- Adjusted net
earnings were $7.9M or $0.14 per share on a diluted basis, up $0.8M
or 10.5%.
in thousands of dollars, except per-share amounts and
percentages |
Q1 |
2021 |
2020 |
Change |
Revenue |
$112,075 |
$88,419 |
26.8% |
Gross profit |
$38,940 |
$30,142 |
29.2% |
% of revenue |
34.7% |
34.1% |
n/a |
Adjusted net earnings (1) |
$7,934 |
$7,180 |
10.5% |
% of revenue |
7.1% |
8.1% |
n/a |
Adjusted net earnings per share (1) |
$0.14 |
$0.14 |
0.0% |
Adjusted EBITDA(1) |
$17,293 |
$12,357 |
39.9% |
% of revenue |
15.4% |
14.0% |
n/a |
Adjusted EBITDA per share (1) |
$0.31 |
$0.24 |
29.2% |
(1) Non-IFRS
measures are described in the 'Glossary' section of the
MD&A |
|
|
A Word from the President
"During this challenging period of global
pandemic, I am proud of our 2300 employees who have continued to
serve our worldwide customers, all the while maintaining each
other’s safety. We successfully closed a game-changing acquisition
with Handicare Group AB on March 4, 2021. At over $520 million of
enterprise value, this acquisition significantly solidified
Savaria's position as the global leader in manufacturing of
accessibility equipment. It has always been my vision to offer the
best accessibility product portfolio to the world. From a stairlift
to a wheelchair platform lift, to a luxury home elevator, a medical
bed, patient lift and sling or wheelchair van, our products help
people with mobility challenges," stated Mr. Marcel Bourassa,
President and Chief Executive Officer of Savaria.
"We continue to work hard on synergies between
Handicare, Span, Garaventa Lift and Savaria, including costs
savings for materials, leveraging know-how and staffing expertise
and most important, the expansion of sales. To that end, we
generate sales in over 40 countries with 30 direct sales offices,
over 1000 dealers and 15 manufacturing / distribution facilities,
in 12 countries across almost one million square feet.
"In May 2017, I forecasted that Savaria would
reach an annual revenue of $500 million within 5 years and we will
exceed that in 2021, one year ahead of schedule. We can now see a
path to sales exceeding $1 billion – a personal goal of mine – by
the end of 2025. To get there, we will focus on product innovation
and continuous improvement, production efficiencies and organic
sales growth taking advantage of our demographic tailwinds.
"We reiterate our previous forecast from March
2021 that our adjusted EBITDA for 2021 will exceed $100 million.
Along with the positioning of our Stay at Home with Savaria™
campaign, we should benefit from a robust housing market in North
America. Of note, strong housing starts in Canada (31% increase YoY
Feb 2021*), and the US (41% YoY Feb 2021**) indicate positive
trends for the home elevator market," concluded
Mr. Bourassa.
*CMHC (Canada Mortgage & Housing Corporation) February
2021** NAHB (National Association Home Builders) February 2021
About Savaria Corporation
Savaria Corporation (savaria.com) is a global
leader in the accessibility industry. It provides accessibility
solutions for the physically challenged to increase their comfort,
their mobility and their independence. Its product line is one of
the most comprehensive on the market. Savaria designs,
manufactures, distributes and installs accessibility equipment,
such as stairlifts for straight and curved stairs, vertical and
inclined wheelchair lifts and elevators for home and commercial
use. It also manufactures and markets a comprehensive selection of
pressure management products for the medical market, medical beds
for the long-term care market, as well as an extensive line of
medical equipment and solutions for the safe handling of patients,
including ceiling lifts and slings. In addition, Savaria converts
and adapts vehicles for personal and commercial uses. The
Corporation operates a sales network of dealers worldwide and
direct sales offices in North America, Europe (UK, Netherlands,
Switzerland, Italy, Germany, Poland and Czech Republic), Australia
and China. Savaria employs approximately 2300 people globally and
its plants are located across Canada, the United States, Europe and
China.
Compliance with International Financial Reporting
Standards (“IFRS”)
The information appearing in this press release
has been prepared in accordance with IFRS. However, Savaria uses
EBITDA, adjusted EBITDA, adjusted EBITDA margin, adjusted EBITDA
per share, adjusted net earnings and adjusted net earnings per
share for analysis purposes to measure its financial performance.
These measures have no standardized definitions in accordance with
IFRS and are therefore regarded as non-IFRS measures. These
measures may therefore not be comparable to similar measures
reported by other companies. Additional details for these non-IFRS
measures can be found in Savaria’s MD&A, which is posted on
Savaria’s website at www.savaria.com, and filed with SEDAR at
www.sedar.com.
Forward-Looking Statements
This press release includes certain statements
that are “forward-looking statements” within the meaning of the
securities laws of Canada. Any statement in this press release that
is not a statement of historical fact may be deemed to be a
forward-looking statement. When used in this press release, the
words “believe”, “could”, “should”, “intend”, “expect”, “estimate”,
“assume” and other similar expressions are generally intended to
identify forward-looking statements. It is important to know that
the forward-looking statements in this document describe the
Corporation’s expectations as at the date hereof, which are not
guarantees of future performance of Savaria or its industry, and
involve known and unknown risks and uncertainties that may cause
Savaria’s or the industry’s outlook, actual results or performance
to be materially different from any future results or performance
expressed or implied by such statements. The Corporation’s actual
results could be materially different from its expectations if
known or unknown risks affect its business, or if its estimates or
assumptions turn out to be inaccurate. A change affecting an
assumption can also have an impact on other interrelated
assumptions, which could increase or diminish the effect of the
change. As a result, the Corporation cannot guarantee that any
forward-looking statement will materialize and, accordingly, the
reader is cautioned not to place undue reliance on these
forward-looking statements. Forward-looking statements do not take
into account the effect that transactions or special items
announced or occurring after the statements are made may have on
the Corporation’s business. For example, they do not include the
effect of sales of assets, monetizations, mergers, acquisitions,
other business combinations or transactions, asset write-downs or
other charges announced or occurring after forward-looking
statements are made.
Unless otherwise required by applicable
securities laws, Savaria disclaims any intention or obligation to
update or revise the forward-looking statements, whether as a
result of new information, future events or otherwise. The
foregoing risks and uncertainties include the risks set forth under
“Risks and Uncertainties” in Savaria’s latest Annual MD&A as
well as other risks detailed from time to time in reports filed by
Savaria with securities regulators in Canada.
Results Webcast and conference call on May 12,
2021, at 8:30 a.m. (ET)
Savaria will host a conference call on
Wednesday, May 12, 2021 at 8:30 a.m. Eastern Time with financial
analysts to discuss results of the quarter ended March 31, 2021.
Investors and members of the media are invited to participate on a
listen-only basis.
Conference call access:
Local Dial-in Numbers: (647) 427-7450 or (514)
807-9895
North American Toll Free Number: 1 (888)
231-8191Webcast (EN):
https://produceredition.webcasts.com/starthere.jsp?ei=1459121&tp_key=59cda7eec3link
to the replay of the webcast will be available on the Corporation’s
website at www.savaria.com
For further information: |
|
|
Marcel BourassaChairman, President and Chief Executive
Officer1.800.661.5112 |
Stephen Reitknecht, CPA, CAChief Financial Officer1.800.661.5112,
ext. 3370sreitknecht@savaria.com |
Nicolas Rimbert, CFAVice President, Corporate
Development1.800.931.5655, ext. 239nrimbert@savaria.com |
www.savaria.comFacebook :
www.facebook.com/savariabettermobilityTwitter :
twitter.com/Mobilityforlife
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