ABC Technologies Holdings Inc. (TSX: ABCT) ('ABC Technologies', 'ABC', or the 'Company'), a leading manufacturer and supplier of custom, highly engineered, technical plastics and lightweighting innovations to the light vehicle industry, announced results for the three and nine months ended March 31, 2022 ('Q3 Fiscal 2022' and 'YTD Fiscal 2022', respectively) and has declared a quarterly cash dividend of C$0.0375 per share. All amounts are shown in United States Dollars ('$'), unless otherwise noted.
Q3 Fiscal 2022 Highlights
Q3 Fiscal 2022 revenue of $285.8 million was up $67.8 million, or 31.1% year over year, supported by slowly normalizing industry production as well as acquisition revenue. * Q3 Fiscal 2022 net loss of $6.3 million compared to net loss of $20.7 million in Q3 Fiscal 2021. * Q3 Fiscal 2022 Adjusted EBITDA1 of $30.3 million was up $4.8 million, or 18.9% year over year, helped by strong profitability flow through on incremental revenue and EBITDA contributions from acquisitions during the quarter. * Q3 Fiscal 2022 Adjusted Free Cash Flow1 of $7.7 million was down $2.2 million against Q3 Fiscal 2021 due to higher capital expenditure. * Dividend of C$0.0375 per share declared. * During the quarter, the Company completed two acquisitions; the first significantly bolsters ABC's reach in Fluidics through the addition of dlhBowles, Inc. ('dlhBowles') and the second expands interior capabilities through the addition of German-based Karl Etzel GmbH ('Etzel'). Total consideration paid for the dlhBowles and Etzel acquisitions were $258.1 million and $68.4 million, respectively. * To fund the acquisitions, during the quarter, the Company completed a private placement and rights offering raising aggregate gross proceeds of $289.4 million. * Subsequent to the period-end, the Company entered into an agreement for the sale and lease back of its real estate properties in Muhlacker, Germany obtained through the recent acquisition of Etzel. Net proceeds from the transaction after commissions and fees are expected to be EUR 51.8 million. The Company entered into a foreign currency contract to hedge the net proceeds from the transaction and expects to receive approximately $58.2 million.
Non-IFRS Measures and Key Indicators
This news release uses certain non-IFRS financial measures and ratios. Management uses these non-IFRS financial measures for purposes of comparison to prior periods, to prepare annual operating budgets, and for the development of future projections and earnings growth prospects. This information is also used by management to measure the profitability of ongoing operations and in analyzing our financial condition, business performance and trends. These measures are not recognized measures under IFRS, do not have a standardized meaning prescribed by IFRS and therefore may not be comparable to similarly titled measures presented by other companies. Rather, these measures are provided as additional information to complement those IFRS measures by providing further understanding of our results of operations from management's perspective. Accordingly, they should not be considered in isolation, nor as a substitute, for analysis of our financial information reported under IFRS. We use non-IFRS financial measures including Net Debt, EBITDA, Adjusted EBITDA, Adjusted EBITDA Margin and Adjusted Free Cash Flow to provide supplemental measures of our operating performance and thus highlight trends in our core business that may not otherwise be apparent when using IFRS financial measures. We believe that the presentation of these financial measures enhances an investor's understanding of our financial performance as these measures are widely used by investors, securities analysts and other interested parties.
About ABC Technologies
ABC Technologies is a leading manufacturer and supplier of custom, highly engineered, technical plastics and lightweighting innovations to the North American light vehicle industry, serving more than 25 original equipment manufacturer customers globally through a strategically located footprint. ABC Technologies' integrated service offering includes manufacturing, design, engineering, material compounding, machine, tooling and equipment building that are supported by an experienced engineering team of approximately 600 skilled professionals and 6,150 employees worldwide. Figures represent ABC prior to the acquisitions of dlhBOWLES and Etzel. The Company offers six product groups: HVAC Systems, Interior Systems, Exterior Systems, Fluid Management, Air Induction Systems, and Flexible & Other.
Contact:
Nathan Barton
Investor Relations
E: investors@abctech.com
ABC TECHNOLOGIES HOLDINGS INC. 
