Stock Name: CKI
Amount: CAD 0.06
Announcement Date: 07/11/2012
Record Date: 28/11/2012
Dividend Detail:
HALIFAX, Nov. 7, 2012 /CNW/ - Clarke Inc. ("Clarke" or the "Company")
(TSX: CKI CKI.DB.A) today announced its results for the three and nine
months ended September 30, 2012.
For the three and nine months ended September 30, 2012, the Company
generated revenue and other income of $71.4 million and $179.5 million
compared to $41.9 million and $133.6 million in the corresponding
periods in 2011. This was due to continued positive trends in the
Freight Transportation and Commercial Tanks & Home Heating segments as
well as a meaningful increase in the Company's marketable securities
portfolio. Net income attributable to equity holders of the Company for
the three and nine months ended September 30, 2012 was $11.9 million
and $4.7 million or $0.71 and $0.28 per share compared with a net loss
of $16.3 million and $18.9 million or a loss of $0.81 and $0.94 per
share in the corresponding periods in 2011. Net income was principally
comprised of unrealized gains on the Company's publicly-traded
securities of $8.1 million and $2.4 million, respectively, compared to
unrealized losses of $20.1 million and $22.3 million in the same
periods in 2011. The unrealized gains reflect a recovery in the
Company's marketable securities portfolio.
Clarke's Board of Directors also announced today a quarterly dividend of
$0.06 per common share payable on December 17, 2012 to shareholders of
record at the end of business on November 30, 2012. The Board of
Directors believes that the payment of a dividend is a useful way to
return capital to shareholders and that this level of dividend will
continue to allow Clarke to pursue its current business plan and invest
in attractive growth opportunities. Over the next several quarters, the
Board of Directors will consider increasing the Company's dividend
depending on business conditions and expectations.
RESULTS OF OPERATIONS
Highlights of the interim condensed consolidated financial statements
for the three and nine months ended September 30, 2012 compared to the
three and nine months ended September 30, 2011 are as follows:
�� | �� | �� | �� | �� | |
�� | �� Three months ended �������� September 30, 2012 $ | Three months ended September 30, 2011 $ | �� Nine months ended September 30, 2012 $ | Nine months ended September 30, 2011 $ | |
Revenue and other income | 71.4�� | 41.9�� | 179.5�� | 133.6�� | |
Income (loss) from continuing operations attributable to equity holders of the Company | 11.9�� | (16.2) | 4.7�� | (25.0) | |
Net income (loss) attributable to equity holders of the Company | 11.9�� | (16.3) | 4.7�� | (18.9) | |
Comprehensive income (loss) attributable to equity holders of the Company | 11.8�� | (16.0) | 4.6�� | (18.8) | |
Basic earnings per share ("EPS") (in dollars) | �� | �� | �� | �� | |
| �� | Income (loss) from continuing operations | 0.71�� | (0.81) | 0.28�� | (1.25) |
| �� | Net income (loss) | 0.71�� | (0.81) | 0.28�� | (0.94) |
Total assets | 241.5�� | 242.7�� | 241.5�� | 242.7�� | |
Cash dividends paid per share (in dollars) | 0.06�� | ����� | 0.06�� | ����� | |
Book value per share (in dollars) | 5.55�� | 4.33�� | 5.55�� | 4.33�� | |
Clarke's Freight Transportation segment had revenue and other income of
$48.5 million and $139.2 million for the three and nine months ended
September 30, 2012 compared to $48.1 million and $132.7 million in the
same periods in 2011. This increase in revenue is primarily a result of
the acquisition of refrigeration transportation assets acquired in 2011
and an increased focus on revenue growth. This segment delivered EBITDA
for the three and nine months ended September 30, 2012 of $5.5 million
and $11.0 million compared to $6.5 million and $12.2 million in the
same periods in 2011. The increase in revenue and other income in this
segment have not materialized into increased EBITDA due in part to
pricing pressure and initial costs related to the refrigeration
transportation business acquired in 2011, as well as non-routine
repairs and maintenance performed on the Company's cargo vessel during
the year.
Clarke's Commercial Tanks & Home Heating segment had revenue and other
income of $13.6 million and $36.0 million for the three and nine months
ended September 30, 2012 compared to $11.7 million and $27.1 million in
the same periods in 2011. This result is primarily due to incremental
sales associated with businesses acquired in 2011 and a stronger US
dollar in 2012 compared to that in 2011, which has a positive impact on
revenue and margins. Increased revenue and other income in this segment
resulted in EBITDA of $2.5 million and $6.1 million for the three and
nine months ended September 30, 2012 compared to $2.8 million and $4.1
million in the same periods in 2011. The segment's commercial steel
tank division had a record backlog at quarter-end.
The Company expects full-year financial results of the Freight
Transportation segment to meet and the Commercial Tanks & Home Heating
segment to exceed the results generated in the comparable prior period.
On June 19, 2012, the Company announced that it intended to seek
approval of the holders of its 6% convertible unsecured subordinated
debentures due December 31, 2013 (the "2013 Debentures") to amend the
terms of the 2013 Debentures at a meeting of the debentureholders (the
"Meeting") to be held on July 25, 2012 and subsequently extended to be
held on August 22, 2012 in order to give more time to debentureholders
to tender their proxies and vote on the proposed amendments. Although
the majority of debentureholders who delivered proxies in respect of
the Meeting voted in favour of the proposed amendments, Clarke did not
obtain the required two-thirds approval to pass the proposed amendments
to the 2013 Debentures.
During the nine months ended September 30, 2012, the Company repurchased
326,602 Common Shares at an average price of $4.16 per Common Share and
$1.0 million principal amount of its 2013 Debentures at an average
price of $97 per $100 of face value. Given the opportunity, the Company
will continue to repurchase the Company's Common Shares and 2013
Debentures at times and prices that management believes are beneficial
to the Company.
Further information about Clarke, including Clarke's Interim Condensed
Consolidated Financial Statements and Management's Discussion &
Analysis for the three and nine months ended September 30, 2012, is
available at www.sedar.com and www.clarkeinc.com.
About Clarke
Halifax-based Clarke invests in a variety of private and publicly-traded
businesses and participates actively where necessary to enhance the
performance of such businesses and increase its return. Clarke's
securities trade on the Toronto Stock Exchange (CKI; CKI.DB.A); for
more information about Clarke Inc., please visit our website at www.clarkeinc.com.
Note on Forward-Looking Statements and Risks
This press release may contain or refer to certain forward-looking
statements relating, but not limited to, the Company's expectations,
intentions, plans and beliefs with respect to the Company.�� Often, but
not always, forward-looking statements can be identified by the use of
words such as "plans", "expects", "does not expect", "is expected",
"budget", "estimates", "forecasts", "intends", "anticipates" or "does
not anticipate", or "believes", or equivalents or variations, including
negative variations, of such words and phrases, or state that certain
actions, events or results, "may", "could", "would", "should", "might"
or "will" be taken, occur or be achieved. Forward-looking statements
include, without limitation, those with respect to the future price of
securities held by the Company, changes in these securities holdings,
changes to the Company's hedging practices, currency fluctuations,
requirements for additional capital, changes to government regulations
and the timing and possible outcome of pending litigation.
Forward-looking statements rely on certain underlying assumptions that,
if not realized, can result in such forward-looking statements not
being achieved. Forward-looking statements involve known and unknown
risks, uncertainties and other factors that could cause the actual
results of the Company to be materially different from the historical
results or from any future results expressed or implied by such
forward-looking statements.
With respect to the Company's Investment segment, such risks and
uncertainties include, without limitation, the Company's investment
strategy, legal and regulatory risks, general market risk, potential
lack of diversification in the Company's investments, reliance on
certain key executives, interest rates and foreign currency
fluctuations and other factors.�� With respect to the Company's Freight
Transportation segment, such risks and uncertainties include, without
limitation, competition, expiry of certain leases, labour relations,
the use of third party service providers, dependence on certain
personnel, fuel costs, weather conditions, customer relationships,
claims, litigation and insurance, government regulation of the
transport industry and other factors. With respect to the Company's
Commercial Tanks & Home Heating segment, such risks and uncertainties
include, without limitation, the costs of housing and major consumer
products, energy costs, alternative energy sources, steel costs,
product liability claims, foreign exchange risk, and other factors.
Other general risks and uncertainties include, without limitation,
environmental considerations, use of information technology and
information systems, safety issues, concentration of sales among a
small number of customers, the seasonality of business cycles for
certain segments, commodity market risk, risks associated with
investment in derivative instruments and other factors.
Although the Company has attempted to identify important factors that
could cause actions, events or results not to be as estimated or
intended, there can be no assurance that forward-looking statements
will prove to be accurate as actual results and future events could
differ materially from those anticipated in such statements. Other than
as required by applicable Canadian securities laws, the Company does
not update or revise any such forward-looking statements to reflect
events or circumstances after the date of this document or to reflect
the occurrence of unanticipated events. Accordingly, readers should not
place undue reliance on forward-looking statements.��
SOURCE: CLARKE INC.
For further information:
Andrew Snelgrove
Chief Financial Officer
Clarke Inc.
Telephone: (902) 442-3987
No comments:
Post a Comment