Savaria starts fiscal 2024 with elevated margins
LAVAL, Québec, May 08, 2024 (GLOBE NEWSWIRE) -- Savaria Corporation ("Savaria") (TSX: SIS), one of the global leaders in the accessibility industry, is pleased to announce its results for the first quarter of 2024.
Highlights – Q1 2024 compared to Q1 2023
- Revenue was $209.4M, compared to $211.6M in 2023, a decrease of 1.0% due to the divestitures of Van-Action, Freedom Motors and the Norway operations, partially offset by organic growth of 2.6% and a positive foreign exchange impact of 0.7%.
- Accessibility organic growth stood at 3.3%, including growth of 11.0% coming from North America.
- Patient Care organic growth stood at 0.5%.
- Gross profit was $75.4M, up $3.4M or 4.7%, representing 36.0% of revenue, an increase of 200 bps compared to 34.0% in Q1 2023.
- Operating income was $17.7M, up $2.3M or 14.6%, representing 8.5% of revenue compared to 7.3% in Q1 2023.
- Adjusted EBITDA* was $34.7M, up $3.5M or 11.1%, compared to Q1 2023.
- Adjusted EBITDA margin* stood at 16.6%, up 190 bps compared to 14.7% in Q1 2023.
- Net earnings were $11.0M, or $0.16 per share on a diluted basis, compared to $6.0M or $0.09 per share in Q1 2023.
- Ratio of net debt to adjusted EBITDA* stands at 2.03, stable in comparison to 2.07 as at December 31, 2023.
- Available funds* of $230.6M, as of March 31, 2024, to support working capital, investments and growth opportunities.
- On February 1st, 2024, Savaria finalized the transaction to sell its Van-Action and Freedom Motors subsidiaries. These divestments represented approximately $15M of annualized revenue.
- On April 8, 2024, the Corporation acquired the dumbwaiter and material lift assets of D.A. Matot, Inc. ("Matot"). Matot is a leading North American supplier of lifts used for the movement of goods in commercial and industrial applications. Dumbwaiters and material lifts are used in a wide range of activities, including within hospital and healthcare facilities, the hospitality sector, and a variety of retail and industrial settings.
Q1 | |||||||||
in thousands of dollars, except per-share amounts and percentages | 2024 |
2023 |
Change | ||||||
Revenue | $ | 209,444 | $ | 211,625 | (1.0) | % | |||
Gross profit | $ | 75,394 | $ | 72,033 | 4.7 | % | |||
% of revenue | 36.0 | % | 34.0 | % | 200 | bps | |||
Operating income | $ | 17,721 | $ | 15,459 | 14.6 | % | |||
Net earnings | $ | 11,047 | $ | 6,039 | 82.9 | % | |||
Diluted net earnings per share | $ | 0.16 | $ | 0.09 | 77.8 | % | |||
Adjusted net earnings* | $ | 13,751 | $ | 8,387 | 64.0 | % | |||
Adjusted net earnings per share* | $ | 0.19 | $ | 0.13 |