GDL:CC - Goodfellow Reports Its Results for the Fourth Quarter and Fiscal Year Ended November 30 2022 and Declares Dividend
DELSON, Quebec, Feb. 16, 2023 (GLOBE NEWSWIRE) -- Goodfellow Inc. (TSX: GDL) (the “Company” or “Goodfellow”) announced its financial results today.
For the fourth quarter ended November 30, 2022, the Company reported net earnings of $4.4 million or $0.52 per share compared to net earnings of $10.1 million or $1.18 per share a year ago. Consolidated sales for the three months ended November 30, 2022 were $149.3 million compared to $143.0 million last year.
For the fiscal year ended November 30, 2022, the Company reported net earnings of $32.7 million or $3.82 per share compared to net earnings of $37.8 million or $4.42 per share a year ago. Consolidated sales for the fiscal year ended November 30, 2022 were $631.2 million compared to $615.9 million last year.
The Company performed very well in Fiscal 2022 realizing the highest sales revenue on record. These results were achieved despite extremely challenging and shifting market conditions resulting from surging inflation, rising energy costs, labour shortages and changes in international markets. The Company’s success is attributed to its strengths in operations, product diversity, value-added and customization offering, and customer service.
The Board of directors of Goodfellow Inc. declared an eligible dividend of $0.50 per share payable on March 16, 2023, to shareholders of record at the close of business on March 2, 2023. This dividend is designated as an eligible dividend under the Income Tax Act (Canada). The declaration, timing, amount and payment of future dividends remain at the direction of the Board of Directors.
About Goodfellow
Goodfellow is a diversified manufacturer of value-added lumber products, as well as a wholesale distributor of building materials and floor coverings. Goodfellow has a distribution footprint from coast-to-coast in Canada servicing commercial and residential sectors through lumber yard retailer networks, manufacturers, industrial and infrastructure project partners, and floor covering specialists. Goodfellow also leverages its value-added product capabilities to serve lumber markets internationally. Goodfellow Inc. is a publicly traded company, and its shares are listed on the Toronto Stock Exchange under the symbol “GDL”.
| GOODFELLOW INC. |
| Consolidated Statements of Comprehensive Income |
| For the years ended November 30, 2022 and 2021 |
| (in thousands of dollars, except per share amounts) |
| Unaudited |
| Years ended |
| November 30 2022 |
| November 30 2021 |
| $ |
| $ |
| Sales |
| 631,185 |
| 615,946 |
| Expenses |
| Cost of goods sold |
| 495,125 |
| 479,403 |
| Selling, administrative and general expenses |
| 88,143 |
| 83,326 |
| Net financial costs |
| 3,201 |
| 2,694 |
| 586,469 |
| 565,423 |
| Earnings before income taxes |
| 44,716 |
| 50,523 |
| Income taxes |
| 12,037 |
| 12,687 |
| Net earnings |
| 32,679 |
| 37,836 |
| Items that will not subsequently be reclassified to net earnings |
| Remeasurement of defined benefit plan obligation net of taxes of $355 ($2,730 in 2021) |
| 914 |
| 7,021 |
| Total comprehensive income |
| 33,593 |
| 44,857 |
| Net earnings per share – Basic and Diluted |
| 3.82 |
| 4.42 |
| GOODFELLOW INC. |
| Consolidated Statements of Financial Position |
| (in thousands of dollars) Unaudited |
| As at |
| As at |
| November 30 2022 |
| November 30 2021 |
| $ |
| $ |
| Assets |
| Current Assets |
| Cash |
| 3,420 |
| 4,253 |
| Trade and other receivables |
| 64,423 |
| 63,246 |
| Income taxes receivable |
| 2,439 |
| - |
| Inventories |
| 112,294 |
| 109,787 |
| Prepaid expenses |
| 2,555 |
| 4,189 |
| Total Current Assets |
| 185,131 |
| 181,475 |
| Non-Current Assets |
| Property, plant and equipment |
| 32,269 |
| 30,022 |
| Intangible assets |
| 2,096 |
| 2,650 |
| Right-of-use assets |
| 14,999 |
| 12,262 |
| Defined benefit plan asset |
| 11,620 |
| 10,397 |
| Other assets |
| 802 |
| 785 |
| Total Non-Current Assets |
| 61,786 |
| 56,116 |
| Total Assets |
| 246,917 |
| 237,591 |
| Liabilities |
| Current Liabilities |
| Bank indebtedness |
| - |
| 9,246 |
| Trade and other payables |
| 36,286 |
| 37,897 |
| Income taxes payable |
| - |
| 9,022 |
| Provision |
| 2,281 |
| 2,147 |
| Current portion of lease liabilities |
| 4,969 |
| 4,256 |
| Total Current Liabilities |
| 43,536 |
| 62,568 |
| Non-Current Liabilities |
| Provision |
| 634 |
| - |
| Lease liabilities |
| 12,537 |
| 10,924 |
| Deferred income taxes |
| 3,431 |
| 3,151 |
| Total Non-Current Liabilities |
| 16,602 |
| 14,075 |
| Total Liabilities |
| 60,138 |
| 76,643 |
| Shareholders’ Equity |
| Share capital |
| 9,419 |
| 9,424 |
| Retained earnings |
| 177,360 |
| 151,524 |
| 186,779 |
| 160,948 |
| Total Liabilities and Shareholders’ Equity |
| 246,917 |
| 237,591 |
| GOODFELLOW INC. |
| Consolidated Statements of Cash Flows |
| For the years ended November 30, 2022 and 2021 |
| (in thousands of dollars) Unaudited |
| Years ended |
| November 30 2022 |
| November 30 2021 |
| $ |
| $ |
| Operating Activities |
| Net earnings |
| 32,679 |
| 37,836 |
| Adjustments for: |
| Depreciation and amortization of: |
| Property, plant and equipment |
| 2,551 |
| 2,552 |
| Intangible assets |
| 608 |
| 621 |
| Right-of-use assets |
| 4,551 |
| 4,141 |
| Accretion expense on provision |
| 102 |
| 44 |
| Provision |
| 666 |
| 630 |
| Income taxes |
| 12,037 |
| 12,687 |
| Gain on disposal of property, plant and equipment |
| (45 ) |
| (25) |
| Interest expense |
| 1,230 |
| 826 |
| Interest on lease liabilities |
| 603 |
| 580 |
| Funding in deficit of pension plan expense |
| 46 |
| 117 |
| Other |
| 23 |
| (6) |
| 55,051 |
| 60,003 |
| Changes in non-cash working capital items |
| (3,734 ) |
| (15,484) |
| Interest paid |
| (1,731 ) |
| (1,541) |
| Income taxes paid |
| (23,573 ) |
| (9,700) |
| (29,038 ) |
| (26,725) |
| Net Cash Flows from Operating Activities |
| 26,013 |
| 33,278 |
| Financing Activities |
| Net decrease in bank loans |
| (2,000 ) |
| (10,000) |
| Net decrease in banker’s acceptances |
| - |
| (12,000) |
| Payment of lease liabilities |
| (4,985 ) |
| (4,551) |
| Redemption of shares |
| (56 ) |
| - |
| Dividend paid |
| (7,706 ) |
| (7,279) |
| Net Cash Flows from Financing Activities |
| (14,747 ) |
| (33,830) |
| Investing Activities |
| Acquisition of property, plant and equipment |
| (4,827 ) |
| (1,333) |
| Acquisition in intangible assets |
| (54 ) |
| (33) |
| Proceeds on disposal of property, plant and equipment |
| 45 |
| 29 |
| Other assets |
| (17 ) |
| - |
| Net Cash Flows from Investing Activities |
| (4,853 ) |
| (1,337) |
| Net cash inflow (outflow) |
| 6,413 |
| (1,889) |
| Cash position, beginning of year |
| (2,993 ) |
| (1,104) |
| Cash position, end of year |
| 3,420 |
| (2,993) |
| Cash position is comprised of: |
| Cash |
| 3,420 |
| 4,253 |
| Bank overdraft |
| - |
| (7,246) |
| 3,420 |
| (2,993) |
| GOODFELLOW INC. |
| Consolidated Statements of Changes in Shareholders’ Equity |
| For the years ended November 30, 2022 and 2021 |
| (in thousands of dollars) Unaudited |
| Share Capital |
| Retained Earnings |
| Total |
| $ |
| $ |
| $ |
| Balance as at November 30, 2020 |
| 9,424 |
| 111,805 |
| 121,229 |
| Net earnings |
| - |
| 37,836 |
| 37,836 |
| Other comprehensive income |
| - |
| 7,021 |
| 7,021 |
| Total comprehensive income |
| - |
| 44,857 |
| 44,857 |
| Dividend |
| - |
| (5,138) |
| (5,138) |
| Balance as at November 30, 2021 |
| 9,424 |
| 151,524 |
| 160,948 |
| Net earnings |
| - |
| 32,679 |
| 32,679 |
| Other comprenhensive income |
| - |
| 914 |
| 914 |
| Total comprehensive income |
| - |
| 33,593 |
| 33,593 |
| Dividend |
| - |
| (7,706) |
| (7,706) |
| Redemption of Shares |
| (5) |
| (51) |
| (56) |
| Balance as at November 30, 2022 |
| 9,419 |
| 177,360 |
| 186,779 |
From:
Goodfellow Inc.
Patrick Goodfellow
President and CEO
T: 450 635-6511
F: 450 635-3730
info@goodfellowinc.com