Corus Entertainment Announces Fiscal 2016 Fourth Quarter and Year-End Results

Mittwoch, 19.10.2016 13:05 von

PR Newswire

  • Consolidated revenues up 99% for the quarter and 44% for the year
  • Consolidated segment profit(1) up 90% for the quarter and 48% (43% adjusted(1)(2)) for the year
  • Net income attributable to shareholders of $nil ($nil per share basic) for the quarter and net income attributable to shareholders of $125.9 million ($0.96 earnings per share basic) for the year
  • Adjusted basic earnings per share(2) of $0.07 per share for the quarter and $0.98 per share for the year
  • Free cash flow for the year of $188.2 million

TORONTO, Oct. 19, 2016 /PRNewswire/ - Corus Entertainment Inc. (TSX: CJR.B) announced its fourth quarter and year-end financial results today.

"This has been a transformational year for Corus as we build a leading integrated media and content company with competitive scale to drive growth over the long term," said Doug Murphy, President and Chief Executive Officer. "Our talented team is focused on advancing our strategic priorities while securing our cost synergies and executing our integration plan to position Corus well for 2017 and beyond."

 

Financial Highlights 






Three months ended

Year ended 


August 31,

August 31, 

(unaudited - in thousands of Canadian dollars except per share amounts) 

2016

2015

2016

2015

Revenues 






Television

347,283

154,338

1,015,609

653,770


Radio

37,184

39,261

155,705

161,545


384,467

193,599

1,171,314

815,315






Segment profit(1)






Television

106,817

52,575

404,225

260,129


Radio

8,509

8,503

36,159

37,007


Corporate

(9,955)

(5,585)

(29,370)

(19,949)


105,371

55,493

411,014

277,187






Net income (loss) attributable to shareholders 

25

17,835

125,931

(25,154)

Adjusted net income attributable to shareholders(1) (2)

14,535

23,967

129,033

135,922






Basic earnings (loss) per share 

$ 0.00

$ 0.21

$ 0.96

$(0.29)

Adjusted basic earnings per share(1) (2)

$ 0.07

$ 0.28

$ 0.98

$ 1.57

Diluted earnings (loss) per share 

$ 0.00

$ 0.21

$ 0.96

$(0.29)






Free cash flow(1)

61,397

45,170

188,165

201,213

(1) Segment profit, adjusted segment profit, adjusted net income attributable to shareholders, adjusted basic earnings per share, and free cash flow do not have standardized meanings prescribed by IFRS.  The Company believes these non-IFRS measures are frequently used as key measures to evaluate performance.  For definitions and explanations, see discussion under the Key Performance Indicators section of the Fiscal 2016 Report to Shareholders.  

(2) For the three months ended August 31, 2016, adjusted net income attributable to shareholders excludes business acquisition, integration and restructuring charges of $19.6 million ($0.07 per share). For the year ended August 31, 2016, adjusted net income attributable to shareholders represents net income attributable to shareholders adjusted to include amortization of disposed Pay TV programming assets of $15.6 million ($0.09 per share); and excludes business acquisition, integration and restructuring charges of $57.2 million ($0.35 per share); a gain on the disposal of the Pay TV disposal group of $86.2 million ($0.58 per share); and debt refinancing costs of $61.2 million ($0.34 per share). For the three months ended August 31, 2015, adjusted net income attributable to shareholders excludes business acquisition, integration and restructuring charges of $8.3 million ($0.07 per share).  For the year ended August 31, 2015, adjusted net income attributable to shareholders excludes radio broadcast license and goodwill impairment charges of intangible asset impairment charges of $130.0 million ($1.44 per share), intangible impairment charges of $51.8 million ($0.44 per share), business acquisition, integration and restructuring charges of $19.0 million ($0.15 per share), offset by a gain on distribution of investment of $17.0 million ($0.17 per share).


 

Consolidated Results from Operations

Commencing April 1, 2016, 100% of the operating results of Shaw Media Inc. ("Shaw Media"), as well as its assets and liabilities, have been fully consolidated as a business combination in accordance with IFRS 3 – Business Combinations and, as a result, Shaw Media has been accounted for by applying the acquisition method as of that date.  Shaw Media has been reported as part of the Television segment (further discussion is provided in note 18 of the Company's interim condensed consolidated financial statements for the period ended August 31, 2016).

In addition, for fiscal 2016, certain of Corus' Pay Television business' ("Pay TV") assets and liabilities were reclassified as held for disposal effective November 19, 2015 as a consequence of meeting the definition of assets held for sale under IFRS 5 – Non-current Assets Held for Sale and Discontinued Operations.  The disposal group, Pay TV, did not qualify for discontinued operations presentation and as a result, its operating results remain in continuing operations in the consolidated statement of income and comprehensive income for the year ended August 31, 2016.  However, intangible assets classified as held for disposal ceased being amortized effective November 19, 2015 and as a consequence, amortization of program and film rights in the Television segment for the year ended August 31, 2016 is $15.6 million lower than it would have been had amortization on these assets not ceased.  On February 29, 2016, the Pay TV disposition was completed and the related proceeds and gain associated with this disposal group were recognized (further discussion is provided in note 18 of the Company's interim condensed consolidated financial statements for the period ended August 31, 2016).

Consolidated revenues for the three months ended August 31, 2016 were $384.5 million, up 99% from $193.6 million last year.  Consolidated segment profit was $105.4 million, up 90% from $55.5 million last year.  Net income attributable to shareholders for the quarter ended August 31, 2016 was $nil ($nil per share basic and diluted), as compared to
$17.8 million ($0.21 per share basic and diluted) last year.  Net income attributable to shareholders for the fourth quarter of fiscal 2016 includes business acquisition, integration and restructuring costs of $19.6 million ($0.07 per share).  Adjusting for the impact of these items results in an adjusted net income attributable to shareholders of $14.5 million ($0.07 per share basic) in the quarter.  Net income attributable to shareholders for the prior year quarter includes business acquisition, integration and restructuring costs of $8.3 million ($0.07 per share).  Adjusting for the impact of this item results in an adjusted net income attributable to shareholders of $24.0 million ($0.28 per share) in the prior year quarter. 

Consolidated revenues for the year ended August 31, 2016 were $1,171.3 million, up 44% from $815.3 million last year.  Consolidated segment profit was $411.0 million, up 48% from $277.2 million last year, however, excludes amortization of disposed Pay TV program and film rights of $15.6 million.  Adjusting for this, segment profit would be $395.4 million, up 43% from last year.  Net income attributable to shareholders for the year ended August 31, 2016 was $125.9 million ($0.96 per share), compared to a net loss of $25.2 million ($0.29 loss per share) last year.  Net income attributable to shareholders for the year ended August 31, 2016 includes business acquisition, integration and restructuring costs of $57.2 million ($0.35 per share), debt refinancing costs of $61.2 million ($0.34 per share), a gain relating to the discontinuation of the Pay TV business, and the disposal of certain assets of $86.2 million ($0.58 per share), and excludes amortization of disposed of Pay TV program and film rights of $15.6 million ($0.09 per share).  Adjusting for the impact of these items results in an adjusted net income attributable to shareholders of $129.0 million ($0.98 per share basic) for the current fiscal year.  Net loss attributable to shareholders for the year ended August 31, 2015 includes Radio broadcast license and goodwill impairment charges of $130.0 million ($1.44 per share), intangible asset impairment charges of $51.8 million ($0.44 per share) and business acquisition, integration and restructuring costs of $19.0 million ($0.15 per share basic), offset by a gain on disposition of investment of $17.0 million ($0.17 per share).  Adjusting for the impact of these items results in an adjusted net income attributable to shareholders of $135.9 million ($1.57 per share) for the prior fiscal year.

Operational Results - Highlights

Television

  • Ceased Pay TV operations on February 29, 2016
  • Shaw Media operating results included for the five months ended August 31, 2016
  • Advertising revenues increased 324% in Q4 2016 and 116% for the year
  • Subscriber revenues increased 50% in Q4 2016 and 19% for the year
  • Merchandising, distribution and other revenues increased 17% in Q4 2016 and 26% for the year
  • Segment profit(1) increased 103% in Q4 2016 and 55% for the year
  • Adjusted segment profit(1)(2) increased 49% for the year
  • Adjusted segment profit margin(1)(2) was 31% in Q4 2016 and 38% for the year

Radio

  • Segment revenues decreased 5% in Q4 2016 and 4% for the year
  • Segment profit(1) was comparable in Q4 2016 and decreased 2% for the year
  • Segment profit margin(1) of 23%, both in Q4 2016 and for the year

Corporate

  • Free cash flow(1) of $188.2 million for the year

(1) Segment profit, adjusted segment profit, segment profit margin, adjusted segment profit margin and free cash flow do not have standardized meanings prescribed by IFRS. The Company reports on these because they are key measures used to evaluate performance. For definitions and explanations, see discussion under the Key Performance Indicators section of the 2016 Report to Shareholders.

(2) For the year ended August 31, 2016, segment profit has been adjusted to include amortization of disposed Pay TV program and film rights of $15.6 million.

 

Corus Entertainment Inc. reports in Canadian dollars.

The unaudited consolidated financial statements and accompanying notes for the three months and year ended
August 31, 2016 and Management's Discussion and Analysis are available on the Company's website at www.corusent.com in the Investor Relations section.

A conference call with Corus senior management is scheduled for October 19, 2016 at 2:00 p.m. ET.  While this call is directed at analysts and investors, members of the media are welcome to listen in. The dial-in number for the conference call for local and international callers is 1.416.981.9005 and for North America is 1.800.923.9042.  More information can be found on the Corus Entertainment website at www.corusent.com in the Investor Relations section.

Use of Non-IFRS Financial Measures

This press release includes the non-IFRS financial measures of adjusted net income, adjusted basic earnings per share and free cash flow that are not in accordance with, nor an alternate to, generally accepted accounting principles ("IFRS") and may be different from non-IFRS measures used by other companies.  In addition, these non-IFRS measures are not based on any comprehensive set of accounting rules or principles.

Non-IFRS financial measures should not be considered as a substitute for, or superior to, measures of financial performance prepared in accordance with IFRS. They are limited in value because they exclude charges that have a material effect on the Company's reported results and, therefore, should not be relied upon as the sole financial measures to evaluate the Company's financial results. The non-IFRS financial measures are meant to supplement, and to be viewed in conjunction with, IFRS financial results.  A reconciliation of the Company's non-IFRS measures is included in the Company's most recent Report to Shareholders which is available on Corus' website at www.corusent.com as well as on SEDAR.

Caution Concerning Forward-Looking Statements

This press release contains forward-looking information and should be read subject to the following cautionary language:

To the extent any statements made in this report contain information that is not historical, these statements are forward-looking statements and may be forward-looking information within the meaning of applicable securities laws (collectively, "forward-looking statements"). These forward-looking statements relate to, among other things, our objectives, goals, strategies, intentions, plans, estimates and outlook, including advertising, distribution, merchandise and subscription revenues, operating costs and tariffs, taxes and fees, and can generally be identified by the use of the words such as "believe", "anticipate", "expect", "intend", "plan", "will", "may" and other similar expressions.  In addition, any statements that refer to expectations, projections or other characterizations of future events or circumstances are forward-looking statements.  Although Corus believes that the expectations reflected in such forward-looking statements are reasonable, such statements involve risks and uncertainties and undue reliance should not be placed on such statements.  Certain material factors or assumptions are applied in making forward-looking statements, including without limitation factors and assumptions regarding advertising, distribution, merchandise and subscription revenues, operating costs and tariffs, taxes and fees and actual results may differ materially from those expressed or implied in such statements.  Important factors that could cause actual results to differ materially from these expectations include, among other things: our ability to attract and retain advertising revenues; audience acceptance of our television programs and cable networks; our ability to recoup production costs, the availability of tax credits and the existence of co-production treaties; our ability to compete in any of the industries in which we do business; the opportunities (or lack thereof) that may be presented to and pursued by us; conditions in the entertainment, information and communications industries and technological developments therein; changes in laws or regulations or the interpretation or application of those laws and regulations; our ability to integrate and realize anticipated benefits from our acquisitions and to effectively manage our growth; our ability to successfully defend ourselves against litigation matters arising out of the ordinary course of business;  and changes in accounting standards. Additional information about these factors and about the material assumptions underlying such forward-looking statements may be found in our Annual Information Form.  Corus cautions that the foregoing list of important factors that may affect future results is not exhaustive.  When relying on our forward-looking statements to make decisions with respect to Corus, investors and other should carefully consider the foregoing factors and other uncertainties and potential events. Unless otherwise required by applicable securities laws, Corus disclaims any intention or obligation to publicly update or revise any forward-looking statements whether as a result of new information, events or circumstances that arise after the date thereof or otherwise.

About Corus Entertainment Inc.

Corus Entertainment Inc. (TSX: CJR.B) is a leading media and content company that creates and delivers high quality brands and content across platforms for audiences around the world. The company's portfolio of multimedia offerings encompasses 45 specialty television services, 39 radio stations, 15 conventional television stations, a global content business, digital assets, live events, children's book publishing, animation software, technology and media services. Corus' roster of premium brands include Global Television, W Network, OWN: Oprah Winfrey Network Canada, HGTV Canada, Food Network Canada, HISTORY®, Showcase, National Geographic, Q107, CKNW, Fresh Radio, Disney Channel Canada, YTV and Nickelodeon Canada. Visit Corus at www.corusent.com.


 

 

CORUS ENTERTAINMENT INC.

CONSOLIDATED STATEMENTS OF FINANCIAL POSITION





As at August 31,

As at August 31,

(unaudited - in thousands of Canadian dollars)

2016

2015

ASSETS



Current



Cash and cash equivalents

71,363

37,422

Accounts receivable

379,861

164,600

Income taxes recoverable

12,439

Prepaid expenses and other

18,835

13,855




Total current assets

470,059

228,316




Tax credits receivable

19,860

25,958

Investments and other assets

46,759

42,958

Property, plant and equipment

282,105

139,140

Program and film rights

682,268

315,899

Film investments

45,164

36,549

Intangibles

2,076,237

974,615

Goodwill

2,390,652

827,859

Deferred income tax assets

80,281

40,815


6,093,385

2,632,109




LIABILITIES AND SHAREHOLDERS' EQUITY



Current



Accounts payable and accrued liabilities

393,367

210,971

Current portion of long-term debt

115,000

150,000

Income taxes payable

1,982

Provisions

21,390

8,930

Total current liabilities

531,739

369,901




Long-term debt

2,081,020

651,002

Other long-term liabilities

539,672

138,833

Deferred income tax liabilities

464,607

252,462

Total liabilities

3,617,038

1,412,198




SHAREHOLDERS' EQUITY



Share capital

2,168,543

994,571

Contributed surplus

10,444

9,471

Retained earnings

142,499

191,182

Accumulated other comprehensive income (loss)

(3,569)

7,353

Total equity attributable to shareholders

2,317,917

1,202,577

Equity attributable to non-controlling interest

158,430

17,334

Total shareholders' equity

2,476,347

1,219,911


6,093,385

2,632,109

 


 

 

CORUS ENTERTAINMENT INC.

CONSOLIDATED STATEMENTS OF INCOME AND COMPREHENSIVE INCOME







Three months ended

Year ended


August 31,

August 31,

(unaudited - in thousands of Canadian dollars except per share amounts)

2016

2015

2016

2015

Revenues

384,467

193,599

1,171,314

815,315

Direct cost of sales, general and administrative expenses

279,096

138,106

760,300

538,128

Depreciation and amortization

33,585

6,138

73,969

24,057

Interest expense

39,788

12,369

110,862

50,936

Broadcast license and goodwill impairment

130,000

Debt refinancing

61,248

Intangible impairment

51,786

Business acquisition, integration and restructuring costs

19,559

8,337

57,198

19,032

Gain on disposition

(86,151)

Other (income) expense, net

1,716

2,574

8,752

(10,117)






Income before income taxes

10,723

26,075

185,136

11,493

Income tax expense

2,218

6,031

41,575

30,993






Net income (loss) for the period

8,505

20,044

143,561

(19,500)






Net income (loss) attributable to:





Shareholders

25

17,835

125,931

(25,154)

Non-controlling interest

8,480

2,209

17,630

5,654


8,505

20,044

143,561

(19,500)






Earnings (loss) per share attributable to shareholders:






Basic

$ 0.00

$ 0.21

$ 0.96

$ (0.29)


Diluted

$ 0.00

$ 0.21

$ 0.96

$ (0.29)






Net income (loss) for the period

8,505

20,044

143,561

(19,500)

Other comprehensive income (loss), net of income taxes:





  Items that may be reclassified subsequently to income:






Unrealized foreign currency translation adjustment

12

1,148

(49)

4,158


Unrealized change in fair value of available-for-sale investments

(610)

(115)

(620)

(306)


Unrealized change in fair value of cash flow hedges

(5,045)

(3)

(10,253)

(266)


Actuarial (loss) gain on employee future benefits

(5,459)

686

(3,489)

686


(11,102)

1,716

(14,411)

4,272






Comprehensive income (loss) for the period

(2,597)

21,760

129,150

(15,228)






Comprehensive income (loss) attributable to:






Shareholders

(11,077)

19,551

111,520

(20,882)


Non-controlling interest

8,480

2,209

17,630

5,654


(2,597)

21,760

129,150

(15,228)

 


CORUS ENTERTAINMENT INC.


CONSOLIDATED STATEMENTS OF CHANGES IN EQUITY





























(unaudited - in thousands of Canadian dollars)

Share capital

Contributed surplus

Retained earnings

Accumulated
other
comprehensive
income (loss)

Total equity
attributable
to shareholders

Non-
controlling
interest

Total equity



At August 31, 2015

994,571

9,471

191,182

7,353

1,202,577

17,334

1,219,911


Comprehensive income

125,931

(14,411)

111,520

17,630

129,150


Dividends declared

(171,125)

(171,125)

(19,824)

(190,949)


Issuance of shares under public equity offering

279,762

279,762

279,762


Issuance of shares to related party

833,541

833,541

833,541


Existing non-controlling ownership interest from acquisition

143,290

143,290


Issuance of shares under dividend reinvestment plan

60,669

60,669

60,669


Actuarial gain on post-retirement benefit plans

(3,489)

3,489


Share-based compensation expense

973

973

973


At August 31, 2016

2,168,543

10,444

142,499

(3,569)

2,317,917

158,430

2,476,347




















(unaudited - in thousands of Canadian dollars)

Share capital

Contributed surplus

Retained earnings

Accumulated
other
comprehensive
income (loss)

Total equity
attributable
to
shareholders

Non-
controlling
interest

Total equity



At August 31, 2014

967,330

8,385

313,361

3,767

1,292,843

17,283

1,310,126


Comprehensive income

(25,154)

4,272

(20,882)

5,654

(15,228)


Dividends declared

(97,711)

(97,711)

(5,603)

(103,314)


Issuance of shares under stock option plan

6,741

(1,090)

5,651

5,651


Issuance of shares under dividend reinvestment plan

20,500

20,500

20,500


Actuarial loss on post-retirement benefit plans

686

(686)


Share-based compensation expense

2,176

2,176

2,176


At August 31, 2015

994,571

9,471

191,182

7,353

1,202,577

17,334

1,219,911











 


 

 

CORUS ENTERTAINMENT INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS







Three months ended August 31,

Year ended August 31,

(unaudited - in thousands of Canadian dollars)

2016

2015

2016

2015

OPERATING ACTIVITIES





Net income (loss) for the period

8,505

20,044

143,561

(19,500)

Adjustments to reconcile net income (loss) to cash provided by operating activities:






Amortization of program and film rights

114,514

51,676

313,300

213,457


Amortization of film investments

8,800

9,441

22,690

27,851


Depreciation and amortization

33,585

6,138

73,969

24,057


Broadcast license and goodwill impairment

130,000


Deferred income taxes

(42)

751

(22,399)

(2,970)


Intangible asset impairment (recovery)

(822)

(822)

51,786


Share-based compensation expense

304

334

973

2,176


Imputed interest

12,523

3,567

45,429

14,620


Debt refinancing costs

61,248


Gain on disposition of investment

(677)

(1,210)

(16,964)


Gain on assets held for disposal

(86,151)


CRTC Benefit Payments  

(17,213)

(2,515)

(25,740)

(5,905)


Other

2,100

1,795

6,776

5,360

Net change in non-cash working capital





   balances related to operations

38,417

29,980

43,074

18,183

Payment of program and film rights

(129,067)

(67,539)

(344,855)

(202,728)

Net additions to film investments

2,086

(252)

(29,616)

(34,965)

Cash provided by operating activities

73,013

53,420

200,227

204,458






INVESTING ACTIVITIES





Additions to property, plant and equipment

(11,594)

(3,976)

(22,550)

(16,671)

Net proceeds from disposition

209,474

Business combinations, net of acquired cash

11,871

(1,827,452)

Proceeds from disposition of investment

1,684

18,490

Net cash flows for intangibles, investments and other assets

(8,352)

(4,274)

(19,583)

(24,829)

Cash used in investing activities

(8,075)

(8,250)

(1,658,427)

(23,010)






FINANCING ACTIVITIES





Increase (decrease) in bank loans

(28,086)

(29,807)

1,959,209

(74,670)

Redemption of notes

(550,000)

Debt refinancing costs

(55,671)

Financing fees

(23,595)

(750)

Share subscription, net of issuance costs

276,529

Issuance of shares under stock option plan

5,651

Dividends paid

(25,133)

(20,227)

(89,702)

(76,228)

Dividends paid to non-controlling interest

(6,822)

(1,050)

(19,824)

(5,603)

Other

(1,171)

(512)

(4,805)

(4,011)

Cash provided by (used in) financing activities

(61,212)

(51,596)

1,492,141

(155,611)

Net change in cash and cash equivalents





   during the period

3,726

(6,426)

33,941

25,837

Cash and cash equivalents, beginning of the period

67,637

43,848

37,422

11,585

Cash and cash equivalents, end of the period

71,363

37,422

71,363

37,422

 


CORUS ENTERTAINMENT INC.

BUSINESS SEGMENT INFORMATION


(unaudited - in thousands of Canadian dollars)







Three months ended August 31, 2016



Television

Radio

Corporate

Consolidated

Revenues

347,283

37,184

384,467

Direct cost of sales, general and administrative expenses

240,466

28,675

9,955

279,096

Segment profit (loss)(1)

106,817

8,509

(9,955)

105,371

Depreciation and amortization




33,585

Interest expense




39,788

Business acquisition, integration and restructuring costs




19,559

Other expense, net




1,716

Income before income taxes




10,723







Three months ended August 31, 2015



Television

Radio

Corporate

Consolidated

Revenues

154,338

39,261

193,599

Direct cost of sales, general and administrative expenses

101,763

30,758

5,585

138,106

Segment profit (loss)(1)

52,575

8,503

(5,585)

55,493

Depreciation and amortization




6,138

Interest expense




12,369

Business acquisition, integration and restructuring costs




8,337

Other expense, net




2,574

Income before income taxes




26,075







Year ended August 31, 2016







Television

Radio

Corporate

Consolidated

Revenues

1,015,609

155,705

1,171,314

Direct cost of sales, general and administrative expenses

611,384

119,546

29,370

760,300

Segment profit (loss)(1)

404,225

36,159

(29,370)

411,014

Depreciation and amortization




73,969

Interest expense




110,862

Debt refinancing costs




61,248

Business acquisition, integration and restructuring costs




57,198

Gain on disposition




(86,151)

Other expense, net




8,752

Income before income taxes




185,136







Year ended August 31, 2015








Television

Radio

Corporate

Consolidated


Revenues

653,770

161,545

815,315


Direct cost of sales, general and administrative expenses

393,641

124,538

19,949

538,128


Segment profit (loss)(1)

260,129

37,007

(19,949)

277,187


Depreciation and amortization




24,057


Interest expense




50,936


Broadcast license and goodwill impairment




130,000


Intangible asset impairment




51,786


Business acquisition, integration and restructuring costs




19,032


Other income, net




(10,117)


Income before income taxes




11,493


(1) Segment profit does not have a standardized meaning prescribed by IFRS. For definitions and explanations, see discussion under the Key Performance Indicators section of the 2015 Report to Shareholders.











 

Revenues by type






Three months ended

Year ended


August 31,

August 31,


2016

2015

2016

2015

Advertising

226,250

82,049

661,818

390,295

Subscriber fees

128,179

85,379

405,728

340,320

Merchandising, distribution and other

30,038

26,171

103,768

84,700


384,467

193,599

1,171,314

815,315

 


Non-IFRS financial measures






Three months ended

Year ended


August 31,

August 31,


2016

2015

2016

2015

Adjusted segment profit






Reported segment profit

105,371

55,493

411,014

277,187


Adjustments:







Amortization not taken on Pay TV assets disposed of

(15,585)


Adjusted segment profit

105,371

55,493

395,429

277,187








Adjusted net income attributable to shareholders






Reported net income (loss) attributable to shareholders

25

17,835

125,931

(25,154)


Adjustments, net of income taxes:







Gain on disposal of Pay TV assets

(76,631)



Amortization of certain Pay TV assets

(11,455)



Business acquisition, integration and restructuring costs

14,510

6,132

46,171

13,753



Debt refinancing costs

45,017



Gain from disposition of investment

(14,716)



Broadcast license and goodwill impairment charges

123,984



Intangible asset impairment charges

38,055


Adjusted net income attributable to shareholders

14,535

23,967

129,033

135,922








Adjusted basic earnings per share

$0.07

$0.28

$0.98

$1.57








Free cash flow




Cash provided by (used in):






Operating activities

73,013

53,420

200,227

204,458


Investing activities

(8,075)

(8,250)

(1,658,427)

(23,010)




64,938

45,170

(1,458,200)

181,448


Add back:  cash used for business combinations and strategic investments (1)

(3,541)

1,855,839

19,765


Deduct:      net proceeds from disposition

(209,474)


Free cash flow

61,397

45,170

188,165

201,213

(1)

Strategic investments are comprised of investments in venture funds and associated companies.

 

 

SOURCE Corus Entertainment Inc.