BOUCHERVILLE, Quebec, Oct. 14, 2021 (GLOBE NEWSWIRE) — Colabor Group Inc. (TSX:GCL) (“Colabor” or the “Company”) reports its results for the third quarter and the 36-week period ended September 4, 2021 and announces the appointment of Mr. Jean Gattuso as Director of the Company effective today.

Third Quarter 2021 Financial Highlights:

Sales increased by 8.8% to $131.6 million, compared to $120.9 million for the third quarter of 2020, with a reopening of restaurant dining rooms at the beginning of the quarter in 2021 while the reopening occurred later in the third quarter of 2020;
Net earnings from continuing operations decreased to $2.3 million compared to $3.4 million for the corresponding period of 2020, resulting primarily from the decrease of subsidies related to the pandemic and additional labor costs in the current context of labor shortage, partly offset by sales increase;
Adjusted EBITDA(1) decreased to $7.8 million from $10.1 million for the corresponding period of 2020 and decrease in adjusted EBITDA(1) margin to 5.9% of sales compared to 8.4% of sales during the corresponding period of 2020. Excluding the impact of subsidies obtained, the adjusted EBITDA margin(1) would have been 6.0% in 2021 and 7.6% in 2020;
Cash flow generated by operating activities down to $7.4 million compared to cash flow from operating activities of $16.4 million for the third quarter of 2020, due to higher utilization of working capital(4) in relation with higher sales and by the timing of inventories purchase and suppliers payments, as well as higher collection of receivables in 2020.
Mr. Gattuso joins the Board of Directors of Colabor as of today.

Table of third quarter 2021 Financial Highlights:

Financial highlights
12 weeks
36 weeks

(in thousands of dollars except percentages, per share data and financial leverage ratio)
2021
2020
2021
2020

$
$
$
$

Sales from continuing operations
131,622 
 
120,931
 
325,309 
 
328,002
 

Adjusted EBITDA(1)
7,821 
 
10,143
 
18,340 
 
21,454
 

Adjusted EBITDA(1) margin (%)
5.9 
 
8.4
 
5.6 
 
6.5
 

Net earnings from continuing operations
2,288 
 
3,441
 
2,917 
 
3,178
 

Net earnings (loss)
2,038 
 
1,789
 
2,703 
 
(9,423
)

Per share – basic and diluted ($)
0.02 
 
0.02
 
0.03 
 
(0.09
)

Cash flow from operating activities
7,448 
 
16,359
 
9,717 
 
23,431
 

Financial position
 
 
As at
As at

 
 
 
September 4,
December 26,

 
 
 
2021
2020

Net debt(2)
 
 
53,210