Highlights - Consolidated Annual Guidance 2022 1
Revenue is expected to be between
Net income is expected to be between
Earnings before interest, taxes, depreciation and amortization ('EBITDA')2 is expected to be between
Outlook
The Company expects to see continued strength in 2022 across its two largest operating segments, Registry Operations and Services. Both have benefitted from strong economic conditions in 2021, including an overall positive impact on transactions and seasonality trends during the pandemic.
While the pandemic has disrupted various sectors of the
Consequently, we expect that Registry Operations will continue to be a robust contributor to our results in 2022, due largely to the strong cash flow this business generates on a consistent basis. Additional investments in 2022 related to people and technology will be made within this segment to ensure continued high levels of service as well as secure and efficient systems.
We expect Services to continue to deliver organic growth in 2022, aided by continuous technology advancements driving operational efficiency and new product innovation. We are deliberate in growing our business with existing customers and acquiring and onboarding new customers, particularly with our new cloud-based Registry Complete software. A focus on investments in people and technology to advance our growth will be important. This will allow us to expand our offering to existing customers and facilitate the acquisition of new customers throughout the year. The recent announcement of the acquisition of UPLevel will also support this expansion.
In
As economic trends potentially revert to pre-COVID-19 levels, we expect our results to reflect those levels more closely. However, our results from the last seven quarters have demonstrated the resilience of our business to economic adversity as well its ability to benefit from a strong economy. The Company's diversified range of services, pursuit of growth opportunities, and strong core offerings position us well for continued success in the years to come.
In keeping with our strategy, the Company will actively explore appropriate acquisition targets in 2022 that complement or add value to our existing lines of business or provide new key service offerings that will also drive value.
Based on the above, we expect revenue for 2022 to be between
Notes
1. Consolidated annual guidance for 2022 includes UPLevel which ISC acquired, through its wholly-owned subsidiary,
2. EBITDA is not a recognized measure under International Financial Reporting Standards ('IFRS') and does not have a standardized meaning prescribed by IFRS and, therefore, it may not be comparable to similar measures reported by other corporations. Please refer to section 8 for 'Non-IFRS Financial Measures' and 'Financial Measures and Key Performance Indicators' in Management's Discussion and Analysis for the three and nine months ended
About ISC
Headquartered in
Cautionary Note Regarding Forward-Looking Information
This news release includes forward-looking information within the meaning of applicable Canadian securities laws including, without limitation, expectations with respect to future results, including revenue, net income and EBITDA, the industries in which we operate, economic activity, growth opportunities, investments, completion of projects, the impact of COVID-19 and acquisitions. Forward-looking information involves known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those expressed or implied by such forward-looking information. Important factors that could cause actual results to differ materially from the Company's plans or expectations include risks relating to changes in economic, market and business conditions, including those arising from public health concerns, reliance on key customers and licences, dependence on key projects and clients, securing new business and fixed-price contracts, identification of viable growth opportunities, implementation of our growth strategy, competition and other risks detailed from time to time in the filings made by the Company including those detailed in ISC's Annual Information Form for the year ended
The forward-looking information in this release is made as of the date hereof and, except as required under applicable securities laws, ISC assumes no obligation to update or revise such information to reflect new events or circumstances.
Non-GAAP Performance Measures
Included within this news release is reference to the following non-GAAP performance measure. This measure is reviewed regularly by management and the Board of Directors in assessing our performance and making decisions regarding the ongoing operations of our business and its ability to generate returns. This measure may also be used by external parties in decision making related to ISC's performance. This is not a recognized measure under GAAP and does not have a standardized meaning under IFRS, so may not be reliable ways to compare us to other companies.
Contact:
Senior Director
Investor Relations & Capital Markets
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T: 1-306-798-1137
E: investor.relations@isc.ca
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