Distinction Group Inc.
TSX : GD

Distinction Group Inc.

March 01, 2010 09:52 ET

An Exceptional Year for Groupe Distinction

MONTREAL, QUEBEC --(Marketwire - March 1, 2010) - Groupe Distinction Inc. ("GDI" or the "Company") (TSX:GD) 

  • Record revenues of $251.1 million, up 49% from 2008
  • EBITDA of $14.5 million, up 41% from 2008
  • Net earnings of $6.6 million or $0.217 per share, up 33% from 2008
  • Solid balance sheet with $10.3 million in cash

Groupe Distinction Inc. ("GDI" or the "Company") (TSX:GD) reported its results today for the fiscal year ended November 30, 2009. The financial statements and management discussion and analysis can be found on SEDAR at www.sedar.com.

GDI posted record revenues of $251.1 million, up 49% from $169 million in 2008. This increase resulted mainly from the four acquisitions completed since June 2008, combined with 6.1% organic growth in comparable units relative to 2008. EBITDA grew by 41% to $14.5 million in 2009, from $10.3 million in 2008. As a result, the Company's net earnings stood at $6.6 million or $0.217 per share, fully diluted, compared to $4.9 million or $0.163 per share, fully diluted, in 2008.

"We are extremely proud of this performance which exceeded our every expectation and was achieved in uncertain economic times," stated Claude Bigras, President and Chief Executive Officer of GDI. "During the year, we successfully completed the integration of our four last acquisitions, which enabled us to achieve the results we see today. It is also important to mention that growth continued in the fourth quarter, with record revenues of $65.2 million. We owe this success to the excellent work of our employees, and we would like to thank our many customers, business partners and shareholders for their trust. Together we make GDI the industry's number one company in Canada."

GDI enjoys a solid financial position, with cash of $10.3 million, working capital of $19.2 million and credit facilities varying from $30 to 40 million, of which about $20 million remained available at November 30, 2009.

Outlook

"We anticipate that fiscal 2010 will be very positive for GDI. We aim to continue to grow organically and through strategic acquisitions. To that effect, we have started a search process to identify potential targets in Canada and the Northeastern United States. As we mentioned before, our goal is to find companies that will rapidly contribute to our growth and profitability targets. That being said, we will continue managing our activities to improve return while prioritizing sound management of our credit risk and cash," concluded Mr. Bigras.

About Distinction Group Inc. (GDI)

GDI is a Canadian leader in janitorial services. Through its subsidiaries Service d'entretien Distinction Inc., Omni Facility Services Canada Limited, Services d'entretien Empro Inc., Montcalm Services Techniques Inc., Distinction Services Plus Inc. and Steamatic Canada Inc., Distinction provides a range of industrial janitorial, mechanical maintenance and other related services to various segments of the real estate industry.

Additional information on the Company can be found on the GDI website at www.groupedistinction.com and on the SEDAR website at www.sedar.com.

Forward-Looking Statements

This press release may contain certain "forward-looking statements", including, but not limited to, statements regarding the strategic plans, future financial results and overall outlook for the Company. Forward-looking statements express, as of the date of this press release, the Company's plans, estimates, forecasts, projections, expectations and opinions regarding future events and results. Forward-looking statements are subject to certain risks and uncertainties, many of which are beyond the Company's control. There can be no assurance that such statements will prove to be accurate. Consequently actual results and future events may differ materially from those anticipated by such statements. Risks and uncertainties that could cause actual results and future events to differ materially from the current expectations expressed or implied by such forward-looking statements include, but are not limited to, the risks described in the management discussion and analysis for the period ended November 30, 2009. Readers should not rely unduly on such forward-looking statements.

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