Montreal, November 9, 2006 – GENIVAR Income Fund (The Fund) announced today financial and operating results (unaudited) for the period from July 2 to September 30, 2006. This is the second reporting period of the Fund since it commenced business operations on May 25, 2006 and, consequently, no comparative information is provided in the Fund's interim consolidated financial statements. However, in order to provide investors with a meaningful assessment of its performance, we have included selected financial information of the Fund and its predecessor company for the nine months ended September 30, 2005 of the predecessor company.
Highlights
Revenues for the period from July 2 to September 30, 2006 were $42.6 million. The net earnings before non-controlling interest were $4.1 million or 21 cents per unit. EBITDA for this period was $7 million and the Fund generated distributable cash of $6 million or 31.76 cents per unit, higher than declared distributions of 25 cents.
"We are very pleased with these strong results which are higher than anticipated in our prospectus. We are on track with our business plan and will remain focused on delivering results and growing our national platform." said Pierre Shoiry, President and CEO of the GENIVAR Income fund.
Revenues for the nine months ended September 30, 2006 were up 30.9% to $126.4million, compared to $96.6 million for the nine months ended September30, 2005. Net revenues also increased by 33% from $68.4 million to $91.2 million for the same reporting period. EBITDA, for the same nine months period increased by 63.5% to $18.6 million from $11.3 million. Since the May 25 IPO, the Fund generated $9.4 million of distributable cash or 49.57 cents per unit, higher than declared distributions of 35.22 cents, which represents a 71% payout ratio.
"Demand for our services continues to be strong and the business outlook for our industry is positive" said Shoiry. "We see numerous acquisition opportunities in Canada and believe that our decentralized business model, which focuses on regional autonomy while giving access to our entire range of expertise throughout our network, will continue to attract firms to join our team."
The Fund's interim consolidated financial statements, as well as management's discussion and analysis of this first reporting period can be obtained via the GENIVAR website at http://www.genivar.com/EN/fonds/profil.asp or at www.sedar.com.
GENIVAR is a leading Canadian engineering services firm providing private and public sector clients with a full range of professional consulting services through all execution phases of a project including planning, design, construction and maintenance. Its clients, who are of varying sizes, fall into various market segments such as, building, industrial and power, urban infrastructure, transportation and environment. GENIVAR is one of the largest engineering services firm in Canada, in terms of number of employees, with approximately 1,500 manager, professionals, technicians and technologists and support staff, in over 30 offices in Canada an abroad. The Fund's units trade on the Toronto Stock Exchange under the symbol GNV.UN.
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For further information, please contact:
Pierre Shoiry, President and CEO
Tel. 514 340-0046, ext. 5104
For media inquiries:
Marlene Casciaro, Director of Communications
Tel. 514 340-0046, ext. 5184
