People Corporation Announces 2019 Financial Results for the Fourth Quarter and Full Year - Seite 2

The Company's financial results for the three and twelve months ended August 31, 2019, fully reflect the effect of last year's acquisitions of Assurances Dalbec (“Dalbec”), Rockwater Benefits Company Ltd. (“Rockwater”), Lane Quinn Benefit Consultants Ltd. (“Lane Quinn”) and Silverberg & Associates Inc. (“Silverberg”). In addition, the effect of the current year acquisitions of Benefit Partners Inc. ("BPI"), Life Benefit Solutions Inc. ("Life") and ACL Student Benefits Ltd. (“ACL”) are reflected in the current period.

	Three months ended August 31				Year ended August 31
(In 000’s)		2019		2018		2019		2018
Revenue	$43,192		$36,279		$162,494		$130,518
Adjusted EBITDA	$9,927		$7,745		$36,072		$27,542
Adjusted net earnings	$1,733		$1,131		$6,221		$7,400
Net income (loss) Net income (loss) per share (basic) Adjusted net earnings per share (basic)	$2,931 $0.05 $0.03		($9,479) ($0.17) $0.02		($2,609) ($0.04) $0.10		($6,921) ($0.13) $0.14

The Company realized revenue growth for the three months ended August 31, 2019, of $6.9 million (19.1%). Organic growth of $3.3 million (9.1%) was recognized primarily from gaining new clients, increasing product and service penetration with existing clients and natural inflationary factors.  The Company recognized acquired growth of $3.6 million (10.0%) resulting from the acquired operations of Silverberg, Life, BPI, and ACL.

Adjusted EBITDA for the three months ended August 31, 2019, was $9.9 million, an increase of $2.2 million (28.2%). Growth in Adjusted EBITDA for the three month period was primarily driven by contribution from acquired operations and the increase in fourth quarter organic revenue growth.  This growth was partially offset by increases in variable compensation expenses tied directly to the higher revenue and expanded leadership primarily in Ontario and Western Canada to accommodate integration and current growth. The Company continued its investment in sales and support staff, along with marginal increases within the Corporate support function. The increase in Adjusted EBITDA was supplemented by a decrease in the amount due to the holders of the REI of $0.1 million (6.4%), primarily as a result of additional economic interest acquired by the Company during the year.