Quarterhill Announces Q 3 Fiscal 2022 Financial Results.

TORONTO: Quarterhill Inc. ("Quarterhill" or the "Company") (TSX: QTRH) (OTCQX: QTRHF) a leading provider of tolling and enforcement solutions in the Intelligent Transportation System ("ITS") industry, as well as, through its Wi-LAN Inc. ("WiLAN") subsidiary, a leader in Intellectual Property licensing, announces its financial results for the three- and nine-month periods ended September 30, 2022. All financial information in this press release is reported in Canadian dollars, unless otherwise indicated.

Q3 Fiscal 2022 Highlights

ITS revenue of $42.2 million; consolidated revenue of $42.4 million

ITS Adjusted EBITDA1 of $1.9 million; consolidated Adjusted EBITDA of ($2.7) million

Cash, cash equivalents, and short-term investments were $76.0 million at September 30, 2022

Working capital2 was $112.8 million at September 30, 2022

Total expected revenue backlog3 of US$581 million

Alameda CTC Issues an "Intent to Award" Electronic Transaction Consultants ("ETC") a Contract for Electronic Toll System Integration

International Bridge, Tunnel & Turnpike Association Recognizes ETC with 2022 Toll Excellence Award for Private Sector

International Road Dynamics ("IRD") awarded a two-year $13.8 million contract in New York State

Reduced leverage with a $20.8 million debt repayment; total long-term debt was $30.2 million at quarter-end compared to $62.1 million at September 30, 2021

"With the benefit of a pick-up in implementation activity, our ITS business delivered solid sequential growth in Q3 with revenue increasing 8% from Q2 and Adjusted EBITDA increasing to $1.9 million from negative $4.5 million," said Bret Kidd, CEO of Quarterhill. "The environment for implementation activity improved in Q3, though certain factors, such as labour scarcity and shifting customer priorities, continue to have some impact on the pace of certain project roll-outs and inflationary conditions are putting upward pressure on costs for some materials. While these market conditions have persisted into Q4, we expect to continue to make progress on our implementation activity in the current quarter, which we believe will result in sequential top-line growth though inflationary pressures are expected to lead to flat-to-modestly-higher Adjusted EBITDA."

"Looking out to 2023, we expect to grow both our top-line and expand our Adjusted EBITDA margin. With a solid base of contracted revenue in place for 2023, a sales pipeline valued in the billions and the potential for follow-on...

To continue reading

Request your trial

VLEX uses login cookies to provide you with a better browsing experience. If you click on 'Accept' or continue browsing this site we consider that you accept our cookie policy. ACCEPT