GREY WOLF ANIMAL HEALTH REPORTS FOURTH QUARTER AND YEAR END 2023 FINANCIAL RESULTS
- Revenue for the quarter increased year over year by 11.4% to
$6.2 million . Revenue increased by 12.3% to$25.4 million for the year. - Gross profit increased year over year by 9.6% to
$3.0 million for the quarter and 10.9% to$12.8 million for the year. - Adjusted EBITDA1 remained consistent at
$0.7 million for the quarter compared to$0.7 million for the same period in 2022. Adjusted EBITDA1 for the year was$3.6 million compared to$3.5 million in the prior year, an increase of 4.7%.
"2023 was a successful year for Grey Wolf, our first full year as a public company. Total revenue grew by 12.3% to
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Twelve months ended |
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Revenue |
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Gross profit |
3,068,489 |
2,798,683 |
12,826,880 |
11,564,344 |
Gross profit % |
49.8 % |
50.6 % |
50.5 % |
51.1 % |
Total operating expenses |
3,229,303 |
2,945,266 |
11,272,109 |
11,920,289 |
Operating (loss) income for the period |
(160,814) |
(146,583) |
1,554,771 |
(355,945) |
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Income tax expense (recovery) |
53,156 |
(554,749) |
488,722 |
(796,778) |
Net (loss) income for the period |
(283,882) |
5,796,578 |
609,582 |
2,543,196 |
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Earnings (loss) per share |
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Basic and diluted |
( |
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EBITDA |
226,624 |
9,825,367 |
3,001,916 |
9,984,783 |
Adjusted EBITDA |
672,323 |
734,823 |
3,649,466 |
3,484,026 |
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Total assets |
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Total liabilities |
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14,542,886 |
15,061,717 |
Revenue for the three- and twelve-month period ended
Gross margins for the three- and twelve-month period ended
Total expenses for the three- and twelve-month period ended
Adjusted EBITDA1 for the three- and twelve-months ended
Cash and cash equivalents were
Grey Wolf's financial statements and accompanying Management Discussion and Analysis for the three- and twelve-months ended
Subsequent to the quarter, the Board of Directors has authorized the grant of an aggregate of 225,000 stock options to purchase common shares of the Company to certain officers, directors and employees of the Company to be effective April 16, 2024 pursuant to the terms of the Company's amended and restated stock option plan. The options will expire 10 years from the grant date, will have an exercise price equal to the closing price per share on April 15, 2024 and will vest as to one third on each of the first, second and third anniversaries of the grant date. The vesting of these options will automatically accelerate upon a change of control.
Management uses both IFRS and Non-IFRS Measures to assess the financial and operating performance of the Company's operations. These Non-IFRS Measures are not recognized measures under IFRS, do not have a standardized meaning under IFRS and are unlikely to be comparable to similar measures presented by other companies. The Non-IFRS Measures referenced in this press release includes Adjusted EBITDA. The Company defines Adjusted EBITDA as earnings before financing and special transaction costs (including, for greater certainty, fees related to the Qualifying Transaction), interest income, interest and accretion expenses, income taxes, depreciation of property and equipment, depreciation of right of use assets, amortization of intangible assets, share-based compensation, change in fair value of embedded derivatives, foreign exchange gains or losses, and other income. The Company considers Adjusted EBITDA as an additional metric in assessing business performance and an important measure of operating performance and cash flow, providing useful information to help analyze and compare profitability between companies for investors and analysts.
The following table provides a summary of the differences between Grey Wolf's consolidated IFRS and Non-IFRS financial measures, which are reconciled below:
EBITDA and Adjusted EBITDA
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Net (loss) income for the period |
( |
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Interest income |
(52,871) |
- |
(148,726) |
- |
Interest and accretion expense |
144,025 |
4,216,660 |
599,022 |
6,682,150 |
Income taxes |
53,156 |
(554,749) |
488,722 |
(796,778) |
Depreciation of property and equipment |
73,543 |
74,524 |
282,702 |
284,873 |
Depreciation of right of use assets |
48,903 |
48,904 |
195,614 |
188,309 |
Amortization of intangible assets |
243,750 |
243,450 |
975,000 |
1,083,033 |
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EBITDA |
226,624 |
9,825,367 |
3,001,916 |
9,984,783 |
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Adjustments |
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Share-based compensation |
58,146 |
68,045 |
232,584 |
211,178 |
Change in fair value of embedded derivatives |
- |
(9,615,676) |
- |
(8,818,649) |
Foreign exchange (gain) loss |
(11,242) |
10,604 |
16,171 |
44,136 |
Other income |
(10,000) |
- |
(10,000) |
(10,000) |
Financing and special transaction costs |
- |
446,483 |
- |
2,072,578 |
Settlement costs |
408,795 |
- |
408,795 |
- |
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Adjusted EBITDA |
672,323 |
734,823 |
3,649,466 |
3,484,026 |
Neither the
Forward Looking Statements
Certain information included in this press release contains forward-looking information with the meaning of applicable Canadian securities laws. This information includes statements concerning the Company's objectives, its strategies to achieve those objectives, as well as statements with respect to management's beliefs, plans, estimates, and intentions, and similar statements concerning anticipated future events, results, circumstances, performance or expectations that are not historical facts. Forward-looking information generally can be identified by the use of forward-looking terminology such as "outlook", "objective", "may", "will", "would", "expect", "intend", "estimate", "anticipate", "believe", "should", "plan", "continue", or similar expressions suggesting future outcomes or events or the negative thereof. Such forward-looking information reflects management's beliefs and is based on information currently available. All forward-looking information in this press release is qualified by the following cautionary statements.
Forward-looking information necessarily involve known and unknown risks and uncertainties, which may be general or specific and which give rise to the possibility that expectations, forecasts, predictions, projections or conclusions will not prove to be accurate, assumptions may not be correct and objectives, strategic goals and priorities may not be achieved. A variety of factors, many of which are beyond the Company's control, affect the operations, performance and results of the Company and its subsidiaries, and cause actual results to differ materially from current expectations of estimated or anticipated events or results.
A more detailed assessment of the risks that could cause actual results to materially differ than current expectations is contained in the Risk Factors section of Grey Wolf's Management Discussion and Analysis for the three and twelve months ended
SOURCE