{"id":479998,"date":"2021-04-21T17:08:26","date_gmt":"2021-04-21T21:08:26","guid":{"rendered":"https:\/\/www.marketnewsdesk.com\/index.php\/mullen-group-ltd-reports-2021-first-quarter-financial-results\/"},"modified":"2021-04-21T17:08:26","modified_gmt":"2021-04-21T21:08:26","slug":"mullen-group-ltd-reports-2021-first-quarter-financial-results","status":"publish","type":"post","link":"https:\/\/www.marketnewsdesk.com\/index.php\/mullen-group-ltd-reports-2021-first-quarter-financial-results\/","title":{"rendered":"Mullen Group Ltd. Reports 2021 First Quarter Financial Results"},"content":{"rendered":"
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PR Newswire<\/p>\n<\/p><\/div>\n

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\n OKOTOKS, AB<\/span>, April 21, 2021<\/span> \/PRNewswire\/ –\u00a0<\/b>(TSX:\u00a0MTL)\u00a0 Mullen Group Ltd. (“Mullen Group<\/b>“, “We<\/b>“, “Our<\/b>”\u00a0and\/or the “Corporation<\/b>“), one of Canada’s<\/span> largest logistics providers with a wide range of service offerings including less-than-truckload, truckload, warehousing, logistics, transload, oversized and specialized hauling transportation, today reported its financial and operating results for the period ended March\u00a031,\u00a02021,\u00a0 with comparisons to the same period last year.\u00a0 Full details of our results may be found within our First Quarter Interim Report, which is available on SEDAR at www.sedar.com<\/a> or on our website at www.mullen-group.com<\/a>. \u00a0<\/p>\n

“The quarter was dominated by two main themes.\u00a0 Unfortunately, COVID-19 continued to capture the headlines remaining the major impediment to a return to economic growth in Canada<\/span>. Government mandated business closures, disruptions to the supply chain, as well as multiple examples of manufacturing capacities being curtailed had a negative impact on freight demand, and our revenues, particularly during the first two months of the year.\u00a0 The frustrating part is that other countries that were more aggressive in addressing how the virus spread and secured vaccines well in advance of Canadian authorities, have seen a sharp rebound in economic activity.\u00a0 Until this situation is rectified, it is difficult to see any recovery in the Canadian economy<\/i>.<\/p>\n

“The second, and more positive point, relates to acquisitions. Since the start of 2021 we have announced two significant transactions, one which closed in April and the other we expect to close in the second quarter. Both companies, Bandstra Transportation Group, based in British Columbia<\/span>, and APPS Transport Group, based in Ontario<\/span>, are brand names easily recognizable in the Canadian transportation industry.\u00a0 These are precisely the type of companies we have waited to come to market, reinforcing our patient approach to acquisitions.\u00a0 Not only will we have two new platforms that will accelerate our growth in the near term, these companies when combined with our existing network provide our organization with an excellent opportunity to capture market share growth and enhance our bottom line<\/i>.<\/p>\n

“I am both excited and positive about the future of our company for a couple of reasons.\u00a0 It is only a matter of time before a sharp recovery in the Canadian economy takes place because the necessary conditions, including significant capital resources and consumer pent up demand, are waiting for COVID-19 to be brought under control.\u00a0 And, of course, the opportunities the new acquisitions bring to our company.\u00a0 In addition, I am of the view that the logistics and freight industry are ripe for further consolidation which we will be well positioned to capture, particularly “tuck-in” purchases<\/i>,” commented Mr. Murray K. Mullen<\/span>, Chairman and Chief Executive Officer.<\/p>\n

Key financial highlights for the first quarter of 2021 with comparison to 2020 are as follows:<\/p>\n

\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n\n
\n

\n
\n HIGHLIGHTS<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n<\/tr>\n
\n

\n
\n
\n (unaudited)<\/i>
\n <\/b>
\n <\/span>\n <\/p>\n

\n
\n
\n ($ millions)<\/i>
\n <\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n Three month periods ended<\/b>
\n <\/span>\n <\/p>\n

\n
\n March 31<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n 2021<\/span>\n <\/p>\n<\/td>\n

\n

\n 2020<\/span>\n <\/p>\n<\/td>\n

\n

\n Change<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n \n <\/td>\n\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n $<\/span>\n <\/p>\n<\/td>\n

\n

\n %<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Revenue<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n \u00a0\u00a0 Less-Than-Truckload<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 120.7<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n 112.9<\/span>\n <\/p>\n<\/td>\n

\n

\n 6.9<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n \u00a0\u00a0 Logistics & Warehousing<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 91.3<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n 96.2<\/span>\n <\/p>\n<\/td>\n

\n

\n (5.1)<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n \u00a0\u00a0 Specialized & Industrial Services<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 79.3<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n 111.3<\/span>\n <\/p>\n<\/td>\n

\n

\n (28.8)<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n \u00a0\u00a0 Corporate and intersegment eliminations<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n (0.8)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n (2.2)<\/span>\n <\/p>\n<\/td>\n

\n

\n –<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n
\n Total Revenue<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 290.5<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 318.2<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n (8.7)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n Operating income before depreciation and amortization (1) <\/sup><\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n
\n

\n \u00a0\u00a0 Less-Than-Truckload<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 19.3<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n 13.3<\/span>\n <\/p>\n<\/td>\n

\n

\n 45.1<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n \u00a0\u00a0 Logistics & Warehousing<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 15.9<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n 16.4<\/span>\n <\/p>\n<\/td>\n

\n

\n (3.0)<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n \u00a0\u00a0 Specialized & Industrial Services<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 15.0<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n 17.4<\/span>\n <\/p>\n<\/td>\n

\n

\n (13.8)<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n \u00a0\u00a0 Corporate<\/span>\n <\/p>\n<\/td>\n

\n

\n
\n (3.1)<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n (1.9)<\/span>\n <\/p>\n<\/td>\n

\n

\n –<\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n
\n Total Operating income before depreciation and amortization (1) <\/sup><\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 47.1<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 45.2<\/b>
\n <\/span>\n <\/p>\n<\/td>\n

\n

\n
\n 4.2<\/b>
\n <\/span>\n <\/p>\n<\/td>\n<\/tr>\n

\n

\n
\n (1)<\/sup>\u00a0Refer to notes section of Summary<\/span>\n <\/p>\n<\/td>\n

\n \n <\/td>\n\n \n <\/td>\n\n \n <\/td>\n<\/tr>\n<\/table><\/div>\n

Mullen Group operates a diversified business model combined with a highly adaptable and variable cost structure.\u00a0 The financial results for the three month period ended March 31, 2021<\/span>, are as follows:<\/p>\n