CALGARY,
Aug. 1, 2013 /CNW/ - Edleun Group,
Inc. ("Edleun" or the "Company" and renamed "BrightPath Early
Learning Inc." beginning August 7,
2013) (TSX-V: EDU), a leading provider of quality early
childhood education and care in Canada announced today its operational and
financial results for the three and six month periods ended
June 30, 2013.
In the latest quarter, the Company's continuing
growth is reflected by the achievement of new record highs in
quarterly revenue, centre margin in dollars and average
occupancy. The continued growth in occupancy partially
reflected the ramp up at four new development and redevelopment
centres.
Portfolio performance highlights for the three
months ended June 30, 2013:
- Portfolio wide revenue of $11.9
million increased 33% compared to the same period in the
prior year;
- Centre margin of $3.2 million
increased 19% over the previous year quarter, and representing 27%
of revenue;
- Adjusted EBITDA of $0.92 million
compared to $0.62 million a year
earlier, an increase of 50%;
- Funds From Operations ("FFO") of $0.65
million or $0.005 per share
compared to $0.38 million or
$0.003 per share a year earlier, an
increase of 59%, and Adjusted Funds From Operations ("AFFO") of
$0.65 million or $0.005 per share compared to $0.57 million or $0.005 per share, an increase of 15%; and
- Portfolio wide occupancy on a sequential quarter basis improved
180 basis points to a record level of 87.7%, while stabilized
centre occupancy stood at 93.3%.
Significant events for the second quarter of
2013 and subsequent thereto:
- In May 2013, the Company
completed the acquisition of a child care centre in Calgary, Alberta, adding an additional 129
licensed spaces to the Company's portfolio. This centre has 1,400
registrations (for its previous twelve month period) for ancillary
recreational programs, a significant step towards the Company's
announced plan to complement its product and service offering,
create new revenue streams and optimize the use of facilities after
hours;
- Management worked with the Company's bank to increase its
credit facility by $15 million, the
new limit increasing to $42
million. These funds will be designated to develop
additional greenfield centres similar to the Company's highly
successful developments in the McKenzie Towne and Chestermere areas of Calgary. Including cash on hand, the
Company now has more than $27 million
of capital available to pursue its growth strategy;
- Shareholders of the Company approved the change of the name of
the Company effective August 7, 2013
from Edleun Group, Inc. to BrightPath Early Learning Inc. and of
its principal operating subsidiary Edleun, Inc. to BrightPath Kids
Corp. This new name should better reflect what the Company
does, be more understandable to both parents and investors, and,
accordingly, provide a much superior branding opportunity;
- In June 2013, parts of
Calgary and the surrounding area
were flooded. None of the Company's child care centres were
exposed to floodwaters or affected by sewer backup, but multiple
inspections and remedial actions of a less severe nature were
required. While the Company is insured for physical perils of
this nature, no claims for loss are anticipated at this time;
- The Company announced the launch of enhanced recreational
programs for children enrolled in and outside of the Company's
child care centres. The programs will commence in late September 2013. The classes for 2 ½ to 12
year olds include dance, music, yoga and sports instruction. The
programs are initially being rolled out at nine Edleun centres and
will take place outside of traditional operating hours and generate
incremental fees;
- The City of Calgary approved
the Company's plans to increase the occupancy of its McKenzie Towne
centre by 39 spaces. As this significant increase in capacity
requires minimal capital expenditure for equipment to implement the
increase and with this centre operating at 99% occupancy with a
lengthy wait list, this additional capacity should be absorbed
rapidly and enhance the centre's profitability;
- New centre developments and redevelopments continue to show
strength during their first year of operation demonstrating the
pent up demand for quality child care which underpins the Company's
growth strategy. As noted in the table below, occupancies
range from 75% to 99% even though three of these four properties
have been open for less than one year; and
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McKenzie
Towne |
Chestermere |
Lawrence
Avenue |
Highland
Park |
Total |
Capital invested ($ millions)
Spaces # |
6.1
247 |
6.1
247 |
3.1
140 |
1.6
75 |
16.9
709 |
Average occupancy % in Q1
2013 |
94.8 |
70.9 |
74.5 |
91.8 |
82.1 |
Average occupancy % in Q2
2013 |
99.3 |
75.1 |
81.7 |
91.0 |
86.5 |
- The Company continues to deal directly and effectively with
operational challenges that have adversely impacted its financial
performance. In British
Columbia, initially, the Company is in the process of
closing one centre and transferring the enrolled children to
another Edleun centre in the area. Additionally, with the
recent announcement of the development of a 207 licensed space
centre in Surrey, Edleun is moving
to consolidate its portfolio in larger centres that provide better
quality space and generate enhanced profitability resulting from
economies of scale.
Financial Review
($000's except where otherwise noted and per share amounts)
Selected Quarterly Information
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Q2
2013 |
Q1
2013 |
Q4
2012 |
Q3 2012 |
Q2 2012 |
Q1 2012 |
Q4 2011 |
Q3 2011 |
Revenue |
$ |
11,941 |
$ |
11,484 |
$ |
10,594 |
$ |
8,818 |
$ |
8,984 |
$ |
8,030 |
$ |
5,840 |
$ |
4,877 |
Centre margin1 |
3,216 |
3,159 |
2,731 |
2,108 |
2,709 |
2,475 |
1,841 |
1,406 |
Centre margin % |
26.9 |
27.5 |
25.8 |
23.9 |
30.2 |
30.8 |
31.5 |
28.8 |
Adjusted EBITDA1 |
923 |
973 |
590 |
(74) |
616 |
673 |
192 |
(294) |
FFO1 |
646 |
760 |
228 |
(285) |
379 |
542 |
119 |
(314) |
AFFO1 |
653 |
756 |
320 |
(400) |
566 |
727 |
211 |
(329) |
Net loss1 |
(504) |
(396) |
(1,587) |
(1,543) |
(539) |
(793) |
(810) |
(957) |
Per share amounts: |
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|
Net loss |
(0.004) |
(0.003) |
(0.013) |
(0.013) |
(0.005) |
(0.007) |
(0.007) |
(0.008) |
FFO |
0.005 |
0.006 |
0.002 |
(0.002) |
0.003 |
0.005 |
0.001 |
(0.003) |
AFFO |
0.005 |
0.006 |
0.003 |
(0.003) |
0.005 |
0.006 |
0.002 |
(0.003) |
Notes:
- During the fourth quarter of 2012, an error in the previously
reported results for the first, second and third quarters of 2012
was identified. This error resulted in Salaries, Wages and Benefits
under Centre Expenses for those quarters being understated by
$62, $184 and $14,
respectively. All amounts reported in this MD&A have been
amended to correct the error. This error has no impact on the
annual financial statements at December 31,
2012.
Mary Ann Curran,
Chief Executive Officer of the Company commented, "We continue to
gain greater traction on a number of fronts: increases in
occupancy, steps to introduce new revenue streams, arranging a
higher credit line from our bank to fund growth, branding successes
and having a firm grasp on the resolution to a relatively short
list of challenges. We remain highly focussed on achieving
profitability growth through higher occupancies, optimization of
costs and accretive developments and acquisitions. The Company's
potential profitability is highlighted by the fact more than half
the Company's portfolio has yet to be classified as
stabilized".
For the three months ended June 30, 2013, the Company earned record revenue
of $11,941 (June 30, 2012 - $8,984) and record centre margin of $3,216 (June 30,
2012 - $2,709). The year over
year revenue increase was due to a growth in the number of spaces
available for enrollment and higher occupancy rates in conjunction
with fee increases in certain centres. Centre margin as a
percentage of revenue declined from 30.2% to 26.9% due primarily to
higher labour costs and minor flood related expense in Alberta coupled with the impact of full day
kindergarten in Ontario where
greater emphasis on younger children requires lower staff to
children ratios.
For the six months ended June 30, 2013, revenue was $23,425 (June 30,
2012 - $17,014) and centre
margin was $6,375 (June 30, 2013 - $5,184). The year over year revenue
increase was due to the increased capacity from centres acquired
and developed subsequent to the second quarter of 2012, fee
increases at certain centres and increased occupancy levels at
stabilized centres. Centre margin as a percentage of revenue
declined from 30.5% to 27.2% for the same reasons discussed above
for the three month period.
Adjusted EBITDA, AFFO and FFO -Amounts
Amended For Correction
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Q2 2013 |
Q1 2013 |
Q4 2012 |
Q3 2012 |
Q2 2012 |
Q1 2012 |
Q4 2011 |
Q3 2011 |
Centre margin for
the period as
previously
reported |
$ |
3,216 |
$ |
3,159 |
$ |
2,731 |
$ |
2,122 |
$ |
2,893 |
$ |
2,537 |
$ |
1,841 |
$ |
1,406 |
Labour
cost
correction1 |
|
- |
|
- |
|
- |
|
(14) |
|
(184) |
|
(62) |
|
- |
|
- |
Amended centre
margin for the
period |
|
3,216 |
|
3,159 |
|
2,731 |
|
2,108 |
|
2,709 |
|
2,475 |
|
1,841 |
|
1,406 |
General and
administrative
expense2 |
(1,547) |
(1,453) |
(1,466) |
(1,501) |
(1,495) |
(1,343) |
(1,212) |
(1,432) |
Taxes, other than
income taxes |
(26) |
(48) |
(43) |
(47) |
(59) |
(15) |
(88) |
(1) |
Operating lease
expense |
(720) |
(685) |
(632) |
(634) |
(539) |
(444) |
(349) |
(267) |
Adjusted
EBITDA |
$ |
923 |
$ |
973 |
$ |
590 |
$ |
(74) |
$ |
616 |
$ |
673 |
$ |
192 |
$ |
(294) |
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|
Q2
2013 |
Q1
2013 |
Q4
2012 |
Q3 2012 |
Q2 2012 |
Q1 2012 |
Q4 2011 |
Q3 2011 |
Net loss for the
period |
$ |
(504) |
$ |
(396) |
$ |
(1,587) |
$ |
(1,529) |
$ |
(355) |
$ |
(731) |
$ |
(810) |
$ |
(957) |
Labour cost
correction1 |
|
- |
|
- |
|
- |
|
(14) |
|
(184) |
|
(62) |
|
- |
|
- |
Amended net loss
for the period |
$ |
(504) |
$ |
(396) |
$ |
(1,587) |
$ |
(1,543) |
$ |
(539) |
$ |
(793) |
$ |
(810) |
$ |
(957) |
Depreciation and
certain other
non cash items |
843 |
773 |
845 |
761 |
478 |
459 |
324 |
313 |
Acquisition and
development
costs |
307 |
383 |
430 |
497 |
440 |
876 |
605 |
330 |
Terminated
projects |
- |
- |
540 |
- |
- |
- |
- |
- |
FFO |
$ |
646 |
$ |
760 |
$ |
228 |
$ |
(285) |
$ |
379 |
$ |
542 |
$ |
119 |
$ |
(314) |
Stock based
compensation |
129 |
61 |
174 |
170 |
237 |
196 |
104 |
69 |
Maintenance
capital
expenditure |
(122) |
(65) |
(82) |
(285) |
(50) |
(11) |
(12) |
(84) |
AFFO |
$ |
653 |
$ |
756 |
$ |
320 |
$ |
(400) |
$ |
566 |
$ |
727 |
$ |
211 |
$ |
(329) |
1During the fourth quarter of 2012, an error in the
previously reported results for the first, second and third
quarters of 2012 was identified. This error resulted in Salaries,
Wages and Benefits under Centre Expenses for those quarters being
understated by $62, $184 and $14, respectively. All amounts
reported in this MD&A have been amended to correct the error -
see Adjusted EBITDA, FFO and AFFO table below for further details.
This error has no impact on the annual financial statements at
December 31, 2012.
2General and administrative expense for Q2 2011 and Q3
2011 is presented in this table excluding finance costs that were
reported in general and administrative expense in the financial
statements. |
Adjusted EBITDA for the second quarter of 2013
was $923 compared to $973 in the first quarter of 2013 and
$616 in the second quarter of 2012.
Offsetting the revenue improvement and, on a sequential basis,
contributing to the $50 reduction in
Adjusted EBITDA were a marginal increase in general and
administrative expense for matters related to rebranding and a
business process re-engineering project designed to harmonize and
standardize procedures, procurement strategies, billing, electronic
settlement of funds and enhanced management control in support of
Bill 198 ("CSOx") certification (systems of internal controls,
disclosure controls and procedures and CEO/CFO certification
related thereto), one of the requirements for graduation from the
TSX Venture Exchange to the TSX, representing $94 in the aggregate, and an increase in centre
expenses due to a higher number of labour days in the second
quarter compared to the first quarter of $100.
AFFO for the second quarter of 2013 was
$653 compared to $756 in the first quarter of 2013 and
$566 for the second quarter of
2012. The decline in AFFO of $103 on a sequential quarter basis reflected
factors described above coupled with an increase in maintenance
capital expenditure from $65 to
$122, offset by an increase in
stock-based compensation of $68. AFFO
increased by $87 compared to the
second quarter of 2012 primarily due to higher centre margin
partially offset by increased maintenance capex, finance costs and
operating lease expense.
AFFO per share for the second quarter of 2013
was $0.005 compared to $0.006 for the first quarter of 2013 and
$0.005 for the second quarter of
2012.
FFO for the second quarter of 2013 was
$646 compared to $760 for the first quarter of 2013 and
$379 for the second quarter of 2012,
due to substantially the same factors as outlined for AFFO.
FFO per share for the second quarter of 2013 was
$0.005 compared to $0.006 for the first quarter of 2013 and
$0.003 for the second quarter of
2012.
Net loss for the second quarter of 2013 was
$504 compared to a loss of
$396 in the first quarter of 2013 and
a net loss of $539 in the second
quarter of 2012, primarily for the reasons discussed above.
During the quarter the Company incurred costs
that, while impinging on profitability in the quarter (as referred
to above in Adjusted EBITDA), will enhance both the Company's
profitability and deliver increased value to its shareholders. The
expenditures required for Enterprise Resource Planning nearing
$0.5 million are now substantially
complete. The management team has now focused its efforts on
maximizing the use of its technology investments through business
process improvements which will advance through the balance of
2013. It is also anticipated that the Company will reduce its
overall General and Administrative expense commencing in 2013, and
continuing in 2014.
The availability of credit under the Company's
expanded facility supports growth of the Company's new development
program following the completion of two new and highly successful
development projects. Under the terms of the amended credit
agreement, the Company may borrow under its interim project
financing credit facility for four new child care centres.
The Company can then avail itself of take-out financing on the
completed developments using an in place credit facility for an
amount up to 90% of development cost when operating income from the
centre on a stabilized basis achieves two times debt service
coverage. Including cash on hand and availability of capital under
its credit facility, the Company has $27.2
million available for growth.
NON- IFRS PERFORMANCE MEASURES
The Company uses "centre margin" as a
performance indicator of child care centre operating results.
Centre margin does not have a standardized meaning prescribed by
IFRS and therefore may not be comparable with the calculation of
similar measures by other entities. Centre margin is
determined by deducting centre expenses from revenue. Centre
expenses exclude net rents due under leases for leasehold
properties and mortgage interest, if any, on those properties owned
by the Company.
Edleun utilizes a number of key measures, such
as Adjusted EBITDA, FFO, AFFO, occupancy and centre margin, that in
its opinion are critical to measuring the progress of the Company
towards its strategic goals. The Company uses "stabilized centre
results" to measure performance. Acquired centres in Alberta are deemed to be stabilized 12 months
following their acquisition. Acquired centres in Ontario and British
Columbia and new development centres in all provinces are
deemed to be stabilized after 24 months.
Adjusted EBITDA is calculated by deducting from
centre margin: general and administrative expenses, operating lease
expense and taxes other than income taxes. FFO is calculated by
adjusting the net loss to add back acquisition costs expensed as
incurred, depreciation and certain other non-cash items. AFFO is
calculated by adjusting FFO to add back stock based compensation
and deduct maintenance capital expenditures. Maintenance
capital expenditures consist of capital expenditures that are
capitalized for accounting purposes but are considered to represent
recurring costs such as facilities and leasehold maintenance and
the replacement of toys, appliances and other equipment.
Adjusted EBITDA, FFO and AFFO do not have
standardized meanings prescribed by IFRS. The Company's
method of calculating Adjusted EBITDA, FFO and AFFO may be
different from other entities and, accordingly, may not be
comparable to such other entities. Adjusted EBITDA, FFO and AFFO:
(i) do not represent cash flow from operating activities as defined
by IFRS; (ii) are not indicative of cash available to fund all
liquidity requirements, including capital for growth; and (iii) are
not to be considered as alternatives to IFRS based net income for
the purpose of evaluating operating performance.
Net income / loss is impacted by, among other
items, accounting standards that require child care centre
acquisition and transaction costs to be expensed as incurred.
As the Company executes its consolidation and development strategy
in the Canadian child care market, it will routinely incur such
expenses which will negatively impact the Company's reported net
income / loss, but not Adjusted EBITDA, FFO and AFFO.
QUARTERLY CONFERENCE CALL
Edleun's quarterly results conference call is
scheduled for Thursday, August
1st 2013 at 10:00 am
EST. The call details are as follows:
To access the conference call by telephone, dial
+1 (416) 764-8609 or +1 (888) 390-0605. Please connect
approximately 10 minutes prior to the beginning of the call. The
conference call will be archived for replay until Thursday, August 8th, 2013 at midnight. To access
the archived conference call, dial +1 (416) 764-8677 or +1 (888)
390-0541 and enter the reservation number 569396 followed by the
number (#) sign.
A live audio webcast of the conference call will
be available at:
http://www.newswire.ca/en/webcast/detail/1203715/1320097. Please
connect at least 10 minutes prior to the conference call to ensure
adequate time for any software download that may be required to
join the webcast. The webcast will be archived at the above website
for 90 days.
For more information on Edleun Group, Inc. visit
www.EdleunGroup.com. As stated in a news release on
May 23rd, 2013, Edleun Group, Inc.
(EDU‐V) will be renamed BrightPath Early Learning Inc. The change
of name will take effect on August 7th,
2013. The Company's common shares will trade on the TSX
Venture Exchange under a new symbol (TSX‐V: BPE). For further
information regarding this release, please contact Dale Kearns, President of Edleun Group, Inc. at
(403) 705-0362 ext.406.
FORWARD-LOOKING STATEMENTS:
Certain statements in this Release which are not
historical facts may constitute forward-looking statements or
forward- looking information within the meaning of applicable
securities laws ("forward-looking statements"). Any statements
related to Edleun's projected revenues, earnings, growth rates,
revenue mix, staffing and resources, and product plans are forward
looking statements as are any statements relating to future events,
conditions or circumstances. The use of terms such as "believes",
"anticipated", "expected", "projected", "targeting", "estimate",
"intend" and similar terms are intended to assist in identification
of these forward-looking statements. Readers are cautioned not to
place undue reliance upon any such forward-looking statements. Such
forward-looking statements are not promises or guarantees of future
performance and involve both known and unknown risks and
uncertainties that may cause the actual results, performance,
achievements or developments of Edleun to differ materially from
the results, performance, achievements or developments expressed or
implied by such forward-looking statements. Forward-looking
statements are based on management's current plans, estimates,
projections, beliefs and opinions. Except as required by law,
Edleun does not undertake any obligation to update forward-looking
statements should assumptions related to these plans, estimates,
projections, beliefs and opinions change.
The Company undertakes no obligation, except as
required by law, to update publicly or otherwise any
forward-looking information, whether as a result of new
information, future events or otherwise, or the above list of
factors affecting this information. Many factors could cause the
actual results of Edleun to differ materially from the results,
performance, achievements or developments expressed or implied by
such forward-looking statements.
Neither TSX Venture Exchange nor its Regulation
Services Provider (as that term is defined in the policies of the
TSX Venture Exchange) accepts responsibility for the adequacy or
accuracy of this release.
Edleun Group, Inc.
Consolidated Statements of Financial Position
(Unaudited)
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(CDN $000's) |
|
June 30,
2013 |
December 31,
2012 |
Assets |
|
|
|
|
|
|
|
Non-current assets |
|
|
|
|
|
Property and equipment |
|
$ |
46,589 |
$ |
46,205 |
|
|
Goodwill and definite
life intangible assets |
|
30,611 |
28,184 |
|
|
77,200 |
74,389 |
Current assets |
|
|
|
|
|
Cash |
|
5,025 |
5,800 |
|
|
Accounts receivable |
|
1,491 |
1,663 |
|
|
Prepaid and other expenses |
|
1,405 |
1,864 |
|
|
Short term
investments |
|
259 |
259 |
|
|
8,180 |
9,586 |
|
|
|
|
Total
Assets |
|
$ |
85,380 |
$ |
83,975 |
|
Liabilities |
|
|
|
|
|
|
|
Non-current liabilities |
|
|
|
|
|
Long term debt and financing leases |
|
$ |
18,378 |
$ |
11,828 |
|
|
Convertible debentures -
liability component |
|
|
4,417 |
|
4,353 |
|
|
22,795 |
16,181 |
Current liabilities |
|
|
|
|
|
Accounts payable and accrued liabilities |
|
3,592 |
3,925 |
|
|
Deferred revenue |
|
840 |
867 |
|
|
Current portion of debt
and financing leases |
|
1,349 |
5,488 |
|
|
5,781 |
10,280 |
|
|
|
|
Total Liabilities |
|
28,576 |
26,461 |
|
|
|
|
Shareholders' Equity |
|
|
|
|
|
Share capital |
|
66,030 |
66,030 |
|
|
Convertible debentures - equity component |
|
342 |
342 |
|
|
Equity settled share based compensation |
|
1,774 |
1,584 |
|
|
Accumulated deficit |
|
(11,342) |
(10,442) |
Total Shareholders' Equity |
|
56,804 |
57,514 |
|
|
|
|
Total
Liabilities and Shareholders' Equity |
|
$ |
85,380 |
$ |
83,975 |
Edleun Group, Inc.
Consolidated Statements of Operations and Comprehensive
Loss
Three and six months ended June 30,
2013 and 2012
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended June
30, |
Six months ended June 30, |
(CDN
$000's) |
|
2013 |
2012 |
2013 |
2012 |
|
|
|
|
|
|
Revenue |
|
$ |
11,605 |
$ |
8,721 |
$ |
22,796 |
$ |
16,513 |
Government grants |
|
|
336 |
|
263 |
|
629 |
|
501 |
Total revenue |
|
|
11,941 |
|
8,984 |
|
23,425 |
|
17,014 |
|
|
|
|
|
|
Centre expenses |
|
|
|
|
|
|
Salaries, wages and benefits |
|
6,369 |
4,542 |
12,491 |
8,622 |
|
Other operating
expenses |
|
2,356 |
1,733 |
4,559 |
3,208 |
Centre margin |
|
3,216 |
2,709 |
6,375 |
5,184 |
|
|
|
|
|
|
Operating leases |
|
720 |
539 |
1,405 |
983 |
Finance |
|
291 |
82 |
584 |
128 |
General and administrative |
|
1,547 |
1,495 |
3,000 |
2,839 |
Taxes, other than income taxes |
|
26 |
59 |
74 |
73 |
Acquisition and development costs |
|
307 |
440 |
690 |
1,316 |
Stock-based compensation |
|
129 |
237 |
190 |
433 |
Depreciation
and amortization |
|
715 |
411 |
1,367 |
803 |
|
|
3,735 |
3,263 |
7,310 |
6,575 |
|
|
|
|
|
|
Loss before other income |
|
(519) |
(554) |
(935) |
(1,391) |
|
|
|
|
|
|
Other income |
|
15 |
15 |
35 |
59 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
Loss and Total Comprehensive Loss |
$ |
(504) |
$ |
(539) |
$ |
(900) |
$ |
(1,332) |
|
|
|
|
|
|
Net loss per share |
|
|
|
|
|
|
Basic and diluted |
|
$ |
(0.004) |
$ |
(0.004) |
$ |
(0.007) |
$ |
(0.011) |
Weighted average number of
common shares |
|
|
|
|
|
|
Basic and
diluted |
|
121,719,316 |
121,050,016 |
121,719,316 |
117,894,089 |
Edleun Group, Inc.
Consolidated Statements of Changes in Shareholders'
Equity
Six months ended June 30, 2013 and
2012
(Unaudited)
|
(CDN
$000's) |
|
Share Capital |
Convertible
Debentures -
Equity
Component |
Equity Settled
Share Based
Compensation |
Accumulated
Deficit |
Shareholders'
Equity |
|
Balance at January 1, 2012 |
$ |
62,931 |
$ |
- |
$ |
1,330 |
$ |
(5,980) |
$ |
58,281 |
|
Stock-based compensation |
|
- |
- |
433 |
- |
433 |
|
|
|
|
|
|
|
Warrants exercised |
|
2,662 |
- |
(412) |
- |
2,250 |
|
|
|
|
|
|
|
Options exercised |
|
394 |
- |
(94) |
- |
300 |
|
|
|
|
|
|
|
Issue of
convertible
debentures |
|
- |
428 |
- |
- |
428 |
|
|
|
|
|
|
|
Net loss and
comprehensive
loss |
|
- |
- |
- |
(1,332) |
(1,332) |
|
|
|
|
|
|
|
Balance at June 30,
2012 |
$ |
65,987 |
$ |
428 |
$ |
1,257 |
$ |
(7,312) |
$ |
60,360 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance at January 1, 2013 |
$ |
66,030 |
$ |
342 |
$ |
1,584 |
$ |
(10,442) |
$ |
57,514 |
|
Stock-based
compensation |
|
|
- |
- |
|
190 |
- |
190 |
|
|
|
|
|
|
|
|
|
Net loss and
comprehensive
loss |
|
|
- |
- |
|
- |
(900) |
(900) |
|
Balance at June 30,
2013 |
$ |
66,030 |
$ |
342 |
$ |
1,774 |
$ |
(11,342) |
$ |
56,804 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Edleun Group, Inc.
Consolidated Statements of Cash Flow
Three and six months ended June 30,
2013 and 2012
(Unaudited)
|
|
|
Three months ended June
30, |
Six months ended June 30, |
(CDN
$000's) |
|
2013 |
2012 |
2013 |
2012 |
|
|
|
|
|
|
Cash provided by (used in): |
|
|
|
|
|
|
|
|
|
|
|
Operating Activities: |
|
|
|
|
|
Net loss |
|
$ |
(504) |
$ |
(539) |
$ |
(900) |
$ |
(1,332) |
Items not affecting cash: |
|
|
|
|
|
|
Depreciation and amortization |
|
746 |
445 |
1,422 |
837 |
|
Finance costs |
|
291 |
82 |
584 |
128 |
|
Stock-based compensation |
|
129 |
237 |
190 |
433 |
Change in
non-cash working capital |
|
(506) |
139 |
(270) |
955 |
Cash generated from operations |
|
156 |
364 |
1,026 |
1,021 |
|
|
|
|
|
|
Finance
costs paid |
|
(319) |
(67) |
(513) |
(98) |
Net cash (used)/generated by
operating activities |
|
(163) |
297 |
513 |
923 |
|
|
|
|
|
|
Investing Activities |
|
|
|
|
|
Acquisitions |
|
(2,188) |
(948) |
(2,188) |
(2,173) |
Property and
equipment |
|
(730) |
(4,315) |
(1,040) |
(7,948) |
|
|
(2,918) |
(5,263) |
(3,228) |
(10,121) |
|
|
|
|
|
|
Financing Activities |
|
|
|
|
|
Exercise of warrants |
|
- |
- |
- |
2,250 |
Exercise of options |
|
- |
300 |
- |
300 |
Loan proceeds |
|
2,350 |
299 |
2,350 |
4,219 |
Loan repayments |
|
(158) |
(67) |
(290) |
(113) |
Proceeds of convertible debentures
issue |
|
- |
5,000 |
- |
5,000 |
Convertible debenture issuance
costs |
|
- |
(344) |
- |
(344) |
Finance
lease repayments |
|
(81) |
(64) |
(120) |
(64) |
|
|
2,111 |
5,124 |
1,940 |
11,248 |
|
|
|
|
|
|
Change in Cash and Cash
Equivalents |
|
(970) |
158 |
(775) |
2,050 |
Cash and
cash equivalents, beginning of period |
|
5,995 |
3,803 |
5,800 |
1,911 |
Cash and
cash equivalents, end of period |
|
$ |
5,025 |
$ |
3,961 |
$ |
5,025 |
$ |
3,961 |
SOURCE Edleun Group