LOGISTEC Announces 2021 Year-End Results: A Record-Breaking Year Reaching Key Financial Milestones

MONTRÉAL, March 18, 2022 /CNW Telbec/ – LOGISTEC Corporation (“LOGISTEC”) (TSX: LGT.A) and (TSX: LGT.B) (the “Company”), a marine and environmental services provider, today announced its financial results for the year ended December 31, 2021. Pursuing its long-term growth strategy, LOGISTEC was able to report the most successful year of its history, reaching key milestones on the financial, operational, and environmental fronts.

2021 Highlights

• Consolidated revenue reached $743.7 million, an increase of $139.0 million or 23.0%;
• Adjusted EBITDA ⁽¹⁾closed at $120.8 million, up $20.2 million;
• Total diluted earnings per share of $3.46, up 39.0%;
• Acquisition of American Process Group (“APG”), an Alberta-based environmental industry leader, specialized in dredging, dewatering and residuals management in Western Canada and select urban areas in the U.S.

“This record-breaking performance is the result of a clear vision, a solid strategic plan, well-defined business objectives, and great execution,” said Madeleine Paquin, President and CEO, LOGISTEC. “I am grateful to all the members of our team who were ready to go beyond and adapt to our customers’ and partners’ needs, providing reliable and creative solutions in this buoyant market. We are at an exciting moment in our history where we can drive change with our expertise and technology, and continue to push boundaries for many years to come.”

2021 Results

Consolidated revenue totaled $743.7 million in 2020, an increase of $139.0 million or 23.0% over 2020. The marine services segment delivered the best performance ever with 2021 revenue closing at $427.0 million, compared to $344.6 million, an increase of 23.9%. Our port terminal operations reported a record tonnage handled in 2021 due to strong demand throughout the year, which led to these outstanding results. The environmental services segment also achieved a remarkable performance with revenue reaching $316.7 million for 2021, up from $260.1 million or 21.8% from the previous year. Revenue growth was especially robust in the drinking water infrastructure renewal market. Our field-proven technologies provide solutions to ensure safe and reliable water supply and represents a significant driver for our growth in the Canadian and U.S. markets.

LOGISTEC reported a profit for the year of $45.6 million, of which $45.4 million was attributable to owners of the Company. This translated into total diluted earnings per share of $3.46 of which $3.31 per share was attributable to Class A Common Shares and $3.64 per share was attributable to Class B Subordinate Voting Shares.

Outlook

In 2021, the COVID-19 pandemic persisted with the emergence of variants, but despite that, we benefited from a gradual economic recovery. Our expertise combined with a proven strategy of innovation and targeted diversification, allowed us to increase our revenue and improve our profitability.

From a global perspective, the current situation between Russia and Ukraine and the related sanctions being brought forth by various countries may influence the flow of industrial commodities. It is difficult to predict what the outcome will be, as some cargoes could be negatively affected, whereas alternative cargoes could be favoured.

Coming out of our best year ever, our marine services segment remains strong, and we have the confidence and support of our customers and our partners. Our environmental services segment is also in a good position to perform, with a solid order book to start 2022 and new business opportunities from our latest acquisition, American Process Group.

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Adjusted EBITDA is a non-IFRS measure, please refer to the non-IFRS measure section.

From an organizational standpoint, we are in the process of redefining and deploying our data strategy and have built the foundation for our Enterprise Resource Planning (“ERP”) system that will be deployed in the coming years. We believe in investing in technologies to modernize our IT infrastructure to leverage data in support of our decision-making process.

We are confident we can continue to deliver a strong financial performance in the future, as we can count on our talented team, our vision and values, a solid strategic plan and a sound financial position. We will continue to seek growth opportunities, both organic and through acquisitions, while creating value for all our stakeholders.

About LOGISTEC

LOGISTEC Corporation is based in Montréal (QC) and provides specialized services to the marine community and industrial companies in the areas of bulk, break-bulk and container cargo handling in 54 ports and 80 terminals located in North America. LOGISTEC also offers marine transportation services geared primarily to the Arctic coastal trade as well as marine agency services to shipowners and operators serving the Canadian market. Furthermore, the Company operates in the environmental industry where it provides services to industrial, municipal and other governmental customers for the renewal of underground water mains, dredging, dewatering, contaminated soils and materials management, site remediation, risk assessment, and manufacturing of fluid transportation products.

The Company has been profitable and has paid regular dividends since becoming public and payments have grown steadily over the years. A public company since 1969, LOGISTEC’s shares are listed on the Toronto Stock Exchange under the ticker symbols LGT.A and LGT.B. More information can be obtained on the Company’s website at www.logistec.com.

 

Non-IFRS measure

Adjusted earnings before interest expense, income taxes, depreciation and amortization expense (“adjusted EBITDA”) is not defined by IFRS and cannot be formally presented in financial statements. The definition of adjusted EBITDA excludes the Company’s impairment charge, includes the customer repayment of an investment in a service contract and, since 2021, excludes configuration and customization costs related to the implementation of an ERP system. The definition of adjusted EBITDA used by the Company may differ from those used by other companies. Even though adjusted EBITDA is a non-IFRS measure, it is used by managers, analysts, investors, and other financial stakeholders to analyze and assess the Company’s performance and management from a financial and operational standpoint.

The following table provides a reconciliation of profit for the year to adjusted EBITDA: