MONTREAL, QUEBEC--(Marketwired - Oct. 31, 2016) - Garda World Security Corporation ("GardaWorld"), one of the world's largest privately owned security and cash services provider, announced today that it is expected to generate in the third quarter ending October 31, 2016, between C$597 and C$622 million in revenues and between C$70 and C$75 million in Adjusted EBITDA. These estimates compare advantageously with fiscal year 2016 third-quarter ended October 31, 2015 results of C$548 million in revenues and C$38 million in Adjusted EBITDA. Revenue and pro forma Adjusted EBITDA for the last twelve months ending October 31, 2016, is expected to be between C$2,425 and C$2,450 million and between C$315 and C$320 million, respectively. Non-recurring expenses and transaction costs are also expected to decrease to between C$11 and C$12 million in the third quarter 2017 ended October 31, 2016 compared to C$23 million last year.
Patrick Prince, Senior Vice-President and CFO of GardaWorld commented: "Our business is performing well and we are focused on prudently managing risks and costs while delivering long-term value for our stakeholders."
GardaWorld is one of the world's largest privately owned security services company, offering a range of highly focused business solutions including cash services, protective services and aviation services. Each day, GardaWorld solves tough problems; we secure global commerce and protect our clients' people, assets and reputations. They see us as a vital interconnected partner. In less than two decades, our work has taken us from the oil fields of Kurdistan to the financial institutions of the US and airports in Canada. We operate across a broad range of sectors, including financial services, infrastructure, natural resources and retail. Our clients include Fortune 500 companies, governments and humanitarian relief organizations. Headquartered in Montreal, Canada, our 62,000 highly trained, dedicated professionals serve clients in North America, Africa and the Middle East including support for the US department in Afghanistan.
Forward Looking Statements
This press release may contain certain statements which constitute forward-looking information within the meaning of securities laws. Information provided and statements contained in this press release that are not purely historical are forward-looking statements within the meaning of Section 27A of the Securities Act, Section 21E of the Securities Exchange Act of 1934, as amended, and the Private Securities Litigation Reform Act of 1995. Forward-looking information may relate to GardaWorld's future outlook and anticipated events, business, operations, financial performance, financial condition or results and, in some cases, can be identified by terminology such as "may"; "will"; "should"; "expect"; "plan"; "anticipate"; "believe"; "intend"; "estimate"; "predict"; "potential"; "continue"; "foresee", "ensure" or other similar expressions concerning matters that are not historical facts. In particular, statements regarding the company's future revenues and benefits and its objectives and strategies are forward-looking statements. These statements are based on certain factors and assumptions including expected growth, results of operations, performance and business prospects and opportunities, which GardaWorld believes are reasonable according to the current circumstances. While management considers these assumptions to be reasonable based on information currently available to the company, they may prove to be incorrect. The company cautions the reader that the current economic conditions make forward-looking information and the underlying assumptions used by GardaWorld subject to uncertainty and that, consequently, they may not materialize, or the projected results may differ from the company's expectations. Forward-looking information is also subject to certain factors, including risks and uncertainties that could cause actual results to differ materially from what GardaWorld currently expects. These factors include growth management, market competition, cost of financing, key personnel, government regulations, standard customer service contracts, insurance, strikes and other labor protests, information technology system, operations outside Canada and the United States, currency fluctuations, interest rate fluctuations, credit risk, reputational risk and financial covenants risk, many of which are beyond the company's control.
The reader should also take knowledge of the GardaWorld's Annual MD&A for the fiscal year ended January 31, 2016 and the unaudited condensed consolidated interim financial statements for the six-month period ended July 31, 2016. Therefore, future events and results may vary significantly from what management currently foresees. The reader should not place undue importance on forward-looking information and should not rely upon this information as of any other date. This press release should be read in conjunction with the Corporation's Annual Financial Statements, and the notes thereto, prepared in accordance with International Financial Reporting Standards ("IFRS") and the Annual MD&A of the fiscal year ended January 31, 2016 and the unaudited condensed consolidated interim financial statements for the six-month period ended July 31, 2016. Moreover, the risks, uncertainties and other factors include, among other things, those discussed under "Risks and uncertainties" as well as those discussed elsewhere in this press release.
Caution Regarding Non-IFRS Financial Measures
This press release is based on reported earnings in accordance with IFRS. EBITDA and Adjusted EBITDA are not measures calculated in accordance with IFRS, EBITDA and Adjusted EBITDA are measures commonly used by financial analysts in evaluating a company's performance and/or ability to service and/or incur indebtedness. Reference to generally accepted accounting principles ("GAAP") means IFRS, unless indicated otherwise. This press release is also based on non-GAAP financial measures including EBITDA, EBIT before special items and EBITDA before special items, adjusted net income, adjusted earnings per share and free cash flow. These non-GAAP measures are mainly derived from the consolidated financial statements but do not have standardized meanings prescribed by IFRS; therefore, others using these terms may define them differently. Management believes that providing certain non-GAAP performance measures, in addition to IFRS measures, provides users of our consolidated financial statements with enhanced understanding of results and related trends and increases the transparency and clarity of the core results of our business.