Newfoundland Capital Corporation Limited - Third Quarter 2015 - Period Ended September 30 (unaudited)

Newfoundland Capital Corporation Limited - Third Quarter 2015 - Period Ended September 30 (unaudited)

DARTMOUTH, NS, Oct. 29, 2015 /CNW/ - Newfoundland Capital Corporation Limited ("Company") today announces its financial results for the third quarter ending September 30, 2015.

Highlights


-- Revenue for the third quarter of $41.0 million was $1.7 million or 4%
higher than the same quarter last year and year-to-date revenue of
$119.1 million was $9.0 million or 8% higher than 2014. The year-to-date
increase was partly attributable to organic growth and partly
attributable to the revenue generated by the stations in Toronto,
Ontario and Vancouver, British Columbia, which were acquired March 31,
2014, and as such the comparative year-to-date results include only six
months of operations for these stations.
-- Earnings before interest, taxes, depreciation and amortization
("EBITDA(")((1))) of $12.0 million in the third quarter were $2.0
million or 20% higher than the third quarter last year and year-to-date
EBITDA of $31.5 million was $4.8 million or 18% higher than 2014. A
majority of the increase was a result of improved EBITDA margins as a
result of efforts to increase revenues and reduce discretionary spending
in organic markets. Also contributing to the increased EBITDA
year-to-date was the incremental impact from including results of the
Toronto and Vancouver stations. Organic EBITDA growth was 20% in the
quarter and 10% year-to-date.
-- Profit for the period of $6.7 million was $2.4 million or 57% higher
than the same quarter last year because of higher revenue as well as
lower unrealized losses on marketable securities. Year-to-date profit of
$15.2 million was $6.6 million or 77% higher than last year due
primarily to the fact that last year's profit was impacted by
acquisition-related costs of $8.9 million related to the Toronto and
Vancouver business acquisition.
Significant events


-- During the third quarter, the Company's Board of Directors approved a
dividend of $0.06 on each of its Class A Subordinate Voting and Class B
Common shares. The dividend was paid on September 15, 2015 to
shareholders of record at the close of business on August 31, 2015.
-- During the third quarter, the Company repurchased 1,164,800 Class A
Subordinate Voting shares for cash consideration of $10.3 million.
"This was a great quarter for the Company, with strong organic growth, as we strive to maximize the return from our stations" commented Rob Steele, President and Chief Executive Officer. "The Company's success is supported by encouraging listener ratings along with continued efforts to increase revenues and operate the Company more efficiently."



Financial Highlights - Third
quarter

(thousands of Canadian dollars
except share information) 2015 2014
============================== ==== ====

Revenue $41,006 39,301

EBITDA(1) 11,951 9,980

Profit for the period 6,683 4,265
--------------------- ----- -----

Earnings per share - basic 0.25 0.15

Earnings per share - diluted 0.24 0.15

Share price, NCC.A (closing) 10.78 8.30

Weighted average number of shares
outstanding (in thousands) 26,694 28,155
--------------------------------- ------ ------

Total assets 359,693 361,849

Long-term debt, including current
portion 147,437 145,056

Shareholders' equity 140,277 140,673
==================== ======= =======


The Company's Third Quarter Report, which includes the unaudited condensed interim consolidated financial statements along with related notes in accordance with International Accounting Standard ("IAS") 34, "Interim Financial Reporting" as issued by the International Accounting Standards Board ("IASB") and the Management's Discussion and Analysis, are available on the Company's website at www.ncc.ca and www.sedar.com.

(1) Non-IFRS Accounting Measure

EBITDA is a measure that is not defined by International Financial Reporting Standardsand is not standardized for public issuers. This measure may not be comparable to similar measures presented by other public enterprises. The Company believes this is an important measure because the Company's key decision makers use this measure internally to evaluate the performance of management. The Company's key decision makers also believe certain investors use it as a measure of the Company's financial performance and for valuation purposes. A calculation of this measure is included in the Company's Third Quarter Report.

About Newfoundland Capital Corporation Limited

Newfoundland Capital Corporation Limited (TSX: NCC.A, NCC.B) owns and operates Newcap Radio, which is one of Canada's leading radio broadcasters with 95 licences across Canada. The Company reaches millions of listeners each week through a variety of formats and is a recognized industry leader in radio programming, sales and networking.

This press release contains forward looking statements. These forward-looking statements are based on current expectations. The use of terminology such as "expect", "intend", "anticipate", "believe", "may", "will", "should", "would", "plan" and other similar terminology relate to, but are not limited to, our objectives, goals, plans, strategies, intentions, outlook and estimates. By their very nature, these statements involve inherent risks and uncertainties, many of which are beyond the Company's control, which could cause actual results to differ materially from those expressed in such forward-looking statements. As a result, there is no guarantee that any forward-looking statements will materialize and readers are cautioned not to place undue reliance on these statements. Unless otherwise required by applicable securities laws, the Company disclaims any intention or obligation to update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.



SOURCE Newfoundland Capital Corporation Limited

Newfoundland Capital Corporation Limited

CONTACT: REF: Robert G. Steele, President and Chief Executive Officer, Scott G.M. Weatherby, Chief Financial Officer and Corporate Secretary, Newfoundland Capital Corporation Limited, 8 Basinview Drive, Dartmouth, Nova Scotia B3B 1G4, Tel: (902) 468-7557, Fax: (902) 468-7558, e-mail: investorrelations@ncc.ca, Web: www.ncc.ca

Web Site: http://www.ncc.ca


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