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UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWSFor the three months and six months ended March 31, 2025 and 2024(Canadian dollars in thousands) Three months ended Six months ended March 31, March 31, 2025 2024 2025 2024CASH FLOWS GENERATED FROM (USED IN) OPERATING ACTIVITIES Net profit$295 $4,925 $(681) $10,450 Items not affecting cash: Interest expense 1,612 1,426 2,907 2,524 Changes in fair value related to contingent earn-out 558 4,088 1,116 4,814 Lease obligations interest expense 499 308 987 757 Income tax expense (recovery) (180) 2,426 1,170 4,532 Employee share purchase plan expense 115 134 289 296 Share based compensation expense 834 1,010 1,751 2,023 Depreciation and amortization 11,474 10,113 23,014 19,119 Deemed compensation 1,470 911 3,033 1,515 16,677 25,341 33,586 46,030 Change in non-cash working capital Accounts receivable (55,935) (49,996) (56,102) (61,185)Work in process 668 1,341 900 443 Prepaid expenses and other 3,884 (3,483) 1,146 (3,557)Inventory 2,637 3,570 (3,605) 980 Accounts payable and accrued liabilities 48,068 59,181 47,210 74,697 Unearned contract revenue 1,092 4,534 2,386 4,740 17,091 40,488 25,521 62,148 Interest paid (2,111) (1,734) (3,894) (3,281)Income tax paid (5,120) (2,966) (7,385) (5,541) 9,860 35,788 14,242 53,326 CASH FLOWS GENERATED FROM (USED IN) FINANCING ACTIVITIES Issuance of common shares net of costs 664 945 1,545 1,639 Dividends (3,292) (3,319) (6,584) (6,633)Net draw on debt facility 5,000 (24,750) 31,000 31,250 Payment of lease obligations (1,664) (1,429) (3,106) (2,600)Repurchase of common shares (4,384) — (9,310) (1,357) (3,676) (28,553) 13,545 22,299 CASH FLOWS USED IN INVESTING ACTIVITIES Business acquisitions (678) (10,840) (11,893) (58,297)Property, plant and equipment (2,396) (2,796) (3,532) (5,196) (3,074) (13,636) (15,425) (63,493) NET CASH INFLOW (OUTFLOW)$3,110 $(6,401) $12,362 $12,132 CASH AND CASH EQUIVALENTS, BEGINNING OF PERIOD 61,040 52,267 51,788 33,734 CASH AND CASH EQUIVALENTS, END OF PERIOD$64,150 $45,866 $64,150 $45,866 Reconciliation of Non-GAAP Measures to Most Comparable IFRS Measures These non-GAAP measures are mainly derived from the consolidated financial statements, but do not have a standardized meaning prescribed by IFRS; therefore, others using these terms may calculate them differently.
Adjusted EBITDA Three months ended Six months ended March 31, March 31, 2025 20241 2025 20241Net profit$295 $4,925 $(681) $10,450 Share based compensation 949 1,128 2,040 2,318 Restructuring expense 372 1,495 1,064 1,495 Depreciation and amortization 11,474 10,113 23,014 19,119 Mergers and acquisition costs 2,373 5,329 4,693 7,309 Interest expense 2,111 1,734 3,894 3,281 Income tax (180) 2,426 1,170 4,532 Adjusted EBITDA$17,394 $27,150 $35,194 $48,504 Adjusted EBITDA per share - Basic 1.48 2.29 3.00 4.10 Adjusted EBITDA per share - Diluted$1.46 $2.26 $2.95 $4.02 Adjusted Net Profit and Adjusted EPS Three months ended Six months ended March 31, March 31, 2025 20241 2025 20241Net profit$295 $4,925 $(681) $10,450 Share based compensation 949 1,128 2,040 2,318 Restructuring expense 372 1,495 1,064 1,495 Mergers and acquisition costs 2,373 5,329 4,693 7,309 Amortization of intangibles 7,066 6,149 14,400 11,384 Adjusted net profit 11,055 19,026 21,516 32,956 Weighted average number of common shares basic 11,726,127 11,846,338 11,749,796 11,829,456 Adjusted EPS Basic 0.94 1.61 1.83 2.79 Adjusted EPS Diluted$0.93 $1.58 $1.81 $2.73 Operating Free Cash Flow Three months ended Six months ended March 31, March 31, 2025 20241 2025 20241Cash flows generated from operating activities (free cash flow)$9,860 $35,788 $14,242 $53,326 Adjustments: M&A costs included in operating activities 345 330 544 980 Change in non-cash working capital (414) (15,147) 8,065 (16,118) Operating free cash flow$9,791 $20,971 $22,851 $38,188 Operating free cash flow per share - basic 0.83 1.77 1.94 3.23 Operating free cash flow per share - diluted 0.82 1.74 1.92 3.17 Operating free cash flow conversion 56 % 77 % 65 % 79 % Net Debt to Adjusted EBITDA March 31, September 30, 2025 20241Cash$64,150 $45,866 Debt facility 120,750 69,000 Net debt (net cash) 56,600 23,134 Trailing twelve month adjusted EBITDA 78,846 86,355 Net debt to adjusted EBITDA 0.7 0.3 Operating free cash flow measures the company’s cash profitability after required capital spending when excluding working capital changes.
UNAUDITED INTERIM CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITIONAs at March 31, 2025 and September 30, 2024(Canadian dollars in thousands, except per share data) March 31, September 30, 2025 2024ASSETS CURRENT ASSETS Cash and cash equivalents$64,150 $51,788 Accounts receivable 213,476 157,376 Work in process 19,537 20,437 Inventory 26,805 23,199 Prepaid expenses 23,328 23,978 Derivative assets 71 32 Total current assets 347,367 276,810 NON-CURRENT ASSETS Property, plant and equipment 40,835 40,962 Right of use assets 41,556 36,383 Prepaid expenses 7,018 7,820 Deferred tax asset 3,464 3,425 Investments 3,875 3,875 Acquired intangible assets 116,457 128,253 Goodwill 214,640 210,392 Total non-current assets 427,845 431,110 TOTAL ASSETS$775,212 $707,920 LIABILITIES AND SHAREHOLDERS’ EQUITY CURRENT LIABILITIES Accounts payable and accrued liabilities$171,962 $124,884 Provisions 1,873 3,075 Unearned contract revenue 41,447 41,723 Lease obligations 6,103 5,645 Contingent earn-out 30,978 39,136 Derivative liabilities 151 92 Total current liabilities 252,514 214,555 NON-CURRENT LIABILITIES Debt facility 120,750 89,750 Lease obligations 38,714 33,798 Unearned contract revenue 17,164 14,503 Contingent earn-out 2,692 2,697 Deferred tax liabilities 21,557 25,862 Total non-current liabilities 200,877 166,610 TOTAL LIABILITIES 453,391 381,165 SHAREHOLDERS’ EQUITY Issued capital 226,347 225,747 Contributed surplus 5,193 6,019 Retained earnings 78,501 91,268 Accumulated other comprehensive income (loss) 11,780 3,721 TOTAL SHAREHOLDERS’ EQUITY 321,821 326,755 TOTAL LIABILITIES AND SHAREHOLDERS’ EQUITY$775,212 $707,920 Number of common shares issued and outstanding 11,690,276 11,802,364 CALIAN GROUP LTD.
