- Year-over-year first quarter revenue increase of 39%.
- First quarter operating income is $408K.
- Board declares 1.75 cent quarterly dividend.
Toronto, Ontario– January 08, 2014 – Retained executive search firm The Caldwell Partners International Inc. (TSX: CWL) today issued its financial results for the fiscal 2014 first quarter ended November 30, 2013. All references to quarters or years are for the fiscal periods unless otherwise noted and all currency amounts are in Canadian dollars.
Financial Highlights (in $000s except per share amounts)
*Months Ended November 30
| Three Months Ended Nov 30 | ||||
| 2014 | 2013 | |||
| Operating revenue | $10,339 | $7,417 | ||
|---|---|---|---|---|
| Expenses | 9,931 | 7,469 | ||
| Operating profit/loss | 408 | (52) | ||
| Investment income | 1 | 3 | ||
| Net profit/loss before tax | 409 | (50) | ||
| Net profit/loss after tax | 393 | (56) | ||
| Net profit/loss per share | $0.023 | ($0.03) | ||
*Months Ended November 30
“We are encouraged by the strengthening booking activity and trend over the last half year, and pleased with the solid start to the fiscal year,” said John N. Wallace, chief executive officer. “While we still expect some volatility from quarter to quarter based on our size, we remain confident regarding the long-term prospects for executive search. We will continue to seek out and make calculated investments in the firm to grow it in terms of both revenue and sustainable profitability, focusing on improving our overall market and industry sector presence with targeted, strategic additions to the team when and where it makes financial sense.”
Wallace continued: “The near unanimous participation of the Partner team in the recently announced private placement of approximately 4.0 million common shares of the Corporation bodes well for the long-term commitment that our people have to the organization and its ongoing growth and success.”
The Board of Directors today also declared the payment of a quarterly dividend of 1.75 cents per Common Share payable March 14, 2014 to shareholders of record on January 20, 2014.
Financial Overview (all numbers expressed in $000s)
Operating revenue:
- Fiscal 2014 first quarter operating revenue increased by 39% over the comparable period last year to $10,339 (2013: $7,417).
- US revenues increased 46% (39% excluding an 8% favourable variance from exchange rate fluctuations) to $6,543 in the comparable period of 2013, driven primarily by increased search volumes, partially offset by fewer average partners during the current year.
- Revenues from Canadian operations increased 29% to $3,795 in the current period, generated by higher average fees on consistent search volumes and number of partners.
Operating profit:
- Higher year-over-year first quarter revenues ($2,922) partially offset by the related higher cost of sales ($2,134) and expenses ($327) resulted in the net increase of $460 to an operating profit of $408 in the first quarter of fiscal 2014 from an operating loss of $52 in the first quarter of fiscal 2013.
Net profit:
- The first quarter net earnings were $393 ($0.023 per share) in fiscal 2014, as compared to a net loss of $56 ($0.003 per share) in the comparable period a year earlier.
For a complete discussion of the quarterly financial results, please see the company’s Management Discussion and Analysis posted on SEDAR at www.sedar.com
Click to read full financial statement
About Caldwell Partners
Caldwell Partners is one of North America’s premier providers of executive search and has been for 40 years. As one of the region’s most trusted advisors in executive search, the firm has a sterling reputation built on successful searches for boards, chief and senior executives, and selected functional experts.
With offices and partners in Vancouver, San Francisco, Los Angeles, Dallas, Calgary, Atlanta, Toronto, Stamford, New York City, and a strategic presence in London and Hong Kong, the firm takes pride in delivering an unmatched level of service and expertise to its clients.
Caldwell Partners’ Common shares are listed on The Toronto Stock Exchange (TSX: CWL). Please visit our website at www.caldwell.com for further information.
Forward-Looking Statements
Forward-looking statements in this document are based on current expectations that are subject to significant risks and uncertainties. Actual results might differ materially due to various factors such as the competitive nature of the executive search industry, the ability of the company to execute its growth strategies, the performance of the Canadian domestic and international economies, and the company’s ability to retain key personnel. The Caldwell Partners assumes no obligation to update the forward-looking statements, or to update the reasons why actual results could differ from those reflected in the forward-looking statements.
For further information, please contact:
Investors & Analysts:
Chris Beck, CPA, Chief Financial Officer
The Caldwell Partners International
cbeck@caldwellpartners.com
+1 617 934 1843
Media:
Caroline Lomot, Director of Marketing
The Caldwell Partners International
clomot@caldwellpartners.com
+1 416 934 2239
