Discovery Air is a Tier One sponsor of the Discovery Air Hawk One Project – Celebrating 100 years of powered flight in Canada! To learn more, please visit www.hawkone.ca.
Headquartered in Yellowknife, Northwest Territories, Great Slave Helicopters and its group of companies is one of the largest helicopter operators in Canada.
Discovery Mining Services is a mining service and expediting company serving the needs of companies operating throughout Canada.
Air Tindi operates a diversified fleet of fixed-wing aircraft and offers air ambulance, tourism, cargo transport, charter flying and scheduled service across Canada’s north.
Discovery Air Defence Services is the prime supplier of Airborne Training services to the Canadian Army, Navy and Air Force.
Discovery Air Inc.’s Class A common voting shares and unsecured debentures trade on the Toronto Stock Exchange (symbols DA.A and DA.DB.A, respectively).
Discovery Air Technical Services (DATS) is a Transport Canada Approved Maintenance Organization (AMO 23-10) with a wide range of capabilities. We are authorized to perform maintenance and modifications on all U.S. registered aircraft as listed in the U.S./Canada bilateral agreement (Ref. CFR 43.17) and under EASA 145 (European Aviation Safety Agency).
Discovery Air Inc. announces $11.8 million in net earnings for its second quarter ended July 31, 2010
Discovery Air Inc.’s President and CEO Dave Jennings commented on the quarter: “In generating $11.8 million in net earnings this quarter we realized our highest quarterly earnings ever. Our strong quarterly earnings benefited from revenue levels seen prior to the economic downturn, as well as from continued monitoring of our operating costs. This was demonstrated in our year over year increase in quarterly EBITDA of 32% and net earnings increase of 48% on a revenue increase of 28%.”
SECOND QUARTER FINANCIAL HIGHLIGHTS
• Revenues were $58.4 million for the quarter and $84.3 million year-to-date compared to revenues of $45.7 million and $71.3 million for the comparative periods last year.
• EBITDA was $24.8 million for the quarter and $26.3 million year-to-date compared to $18.8 million and $19.5 million for the comparative periods last year.
• Net earnings for the quarter were $11.8 million or $0.09 per share ($0.09 diluted) compared to net earnings of $8.0 million or $0.06 per share ($0.06 diluted) for the same period last year.
• Year-to-date net earnings were $7.9 million or $0.06 per share ($0.06 diluted) compared to $2.9 million or $0.02 per share ($0.02 diluted) last year.
• Consolidated revenues of Discovery Air Inc. (the “Corporation”) for the current quarter (“Q2 2011”) and year to date (“year-to-date 2011”) ending July 31, 2010 were $58.4 million and $84.3 million, respectively. This represents an increase of 28% and 18%, respectively, over prior year comparatives (“Q2 2010” and “year-to-date 2010”). The year over year increase in the Corporation’s Q2 2011 revenue was largely attributable to a significant increase in demand for resource and forest fire-based services. Increased activities in these sectors resulted in the Corporation’s Northern Services segment recording a 38% increase in revenues for Q2 2011 and a 37% increase in revenue for year-to-date 2011 over prior period comparatives. The Corporation’s Government Services segment recorded a 13% increase in revenues in Q2 2011, while year-to-date 2011 revenues were lower by 3% compared to the prior period comparative. The Government Services segment benefited from increased forest fire management activity in Q2 2011 compared to the prior period comparative, which brought the segment’s year to date revenues closer in line with year ago results.
• The Corporation reported EBITDA of $24.9 million for Q2 2011 and $26.3 million for year-to-date 2011, representing a year over year increase of 32% and 35%. While the increase in earnings from operations is largely attributable to increased revenue, the Corporation also benefited from lower incremental operating costs in relation to the increase in revenue. The strong cost management discipline seen in the past year continued to be maintained in the current year to date, contributing to increased margins.
• The Corporation generated net earnings of $11.8 million and $7.9 million for Q2 2011 and year-to-date 2011, respectively, a year over year increase of 48% and 174%. The Corporation incurred a financing charge of $0.3 million in the current quarter for the renewal of its operating line of credit compared to $0.8 million incurred in Q1 2010 for the setup of an operating line of credit and other related finance fees. With Q2 2011 and year-to-date 2011 amortization expense largely unchanged and an interest expense increase of only approximately 6% compared to the prior period comparatives, the higher incremental earnings from operations resulted in higher net earnings.
Forward-looking information and statements are included in this earnings release. Please refer to the statement regarding forward-looking statements contained in the Corporation’s Management’s Discussion and Analysis for the quarter ended July 31, 2010 which is incorporated herein by reference. That statement provides an explanation as to what forward-looking statements are, and the factors, uncertainties and potential events that the Corporation has specifically identified for the attention of readers. When relying on forward-looking information and statements to make decisions, investors and others should carefully consider these factors and other uncertainties and potential events. There is no undertaking to update any forward-looking statement that is contained in this earnings release or made from time to time by the Corporation.
The Corporation’s interim financial statements and Management's Discussion and Analysis for the quarter ended July 31, 2010 have been filed concurrently and are available on Discovery Air's website at www.discoveryair.com and on SEDAR at www.sedar.com. The reader is encouraged to review the interim financial statements and Management's Discussion and Analysis for more complete disclosure on Discovery Air's financial condition and results of operations.
Discovery Air’s Class A common shares and debentures trade on the Toronto Stock Exchange under the symbols DA.A and DA.DB respectively.
FOR FURTHER INFORMATION PLEASE CONTACT:
Rolf S. Dawson, Vice President Corporate Finance and Administration
(867) 873-5350, Extension 304
Sheila Venman, Investor Relations
Both Great Slave Helicopters and Air Tindi are co-sponsors of the Government of the Northwest Territories Aviation Bursary Program that provides eight $5,000 scholarships to young Northerners looking to pursue a career in aviation within the NWT industry each year.
If you would like to concentrate on flying aircraft while knowing you are in the safest hands around, our team of maintainers will take care of all aspects of managing your fleet.
Discovery Air Fire Services operates with four divisions
Discovery Air Fire Services has been active in the aviation industry for over 60 years and is organized into four operating divisions; Fire, Charter, Imagery and Training.Read More
Discovery Air International was established to expand Discovery Air’s range of specialty aviation services domestically and internationally and will focus initially on executive charter, medevac and repatriation services out of Western Canada with its primary base and main operations based out of Calgary, Alberta.
The Northlinx Network brings together many of the Great Slave Helicopters Aboriginal Joint-Venture Partnerships allowing all participants to benefit from pan-territorial mega-projects requiring helicopter services in the North. Presently there are twelve partnerships operating in this profitable model around the NWT and Nunavut. On top of that, Air Tindi has an additional four Aboriginal partnerships and Discovery Mining Services has two.
We are committed to providing our customers with specialty aviation solutions whenever and wherever they are required. Our pilots, maintainers, logisticians and administrators operate with precision and pride in some of the most challenging environments in the world.
Discovery Air is committed to recruiting and retaining the best talent in aviation industry. By joining Discovery Air you will have the opportunity to participate in a unique and dynamic environment focused on growth, entrepreneurship, innovation and teamwork.
Discovery Aviation Academy is a flight school based in Sudbury, Ontario that offers many different types of pilot flight training to meet the needs of all aspiring aviators.