Red Deer, Alberta--(Newsfile Corp. - August 12, 2025) - Gamehost Inc. (TSX: GH)
Management and Directors of Gamehost Inc. (the "Company") present results for the six and three months ended June 30, 2025 (the "Period" and "Quarter" respectively).
Operating revenue for the Quarter was up 2.3% to $20,771,100 ($20,303,500 - 2024). Earning before interest, taxes, depreciation and amortization ("EBITDA") was up 6.2% to $8,489,800 ($7,991,200 - 2024). Earnings per share for the Quarter was $0.25 ($0.23 - 2024). The hotel segment again provided double digit growth to offset weakness in table holds during the Quarter. Food and beverage sales also posted respectable growth.
Grande Prairie, in the centre of the province, reported solid growth during the Quarter, while weakness persisted in Fort McMurray. Calgary continued its winning ways.
During the Quarter, the Company repurchased 198,100 common shares for an aggregate $2,194,200, and paid dividends of $3,128,500. A further $792,600 was invested in capital improvements, largely to refresh the Company's investment property which was left out of the program of extensive improvements undertaken on other properties during the pandemic.
The seesaw of USA tariff proclamations that initially stunned the mindsets of business leaders and consumers in the previous Quarter has not had the dire impact first thought. While caution is still front of mind, Alberta consumers, at least, continue to spend and beneficially with a Canadian made or local bias. Federal and provincial governments appear to be working with earnest to reduce interprovincial trade barriers and advance nation building projects. We will maintain optimism that progress will stimulate long-lead investment decisions beneficial to Alberta.
| Gamehost Inc. | |||||||||||||||||||||||||||||
| Financial Highlights | |||||||||||||||||||||||||||||
| Unaudited - Canadian dollars (thousands except per share figures) | |||||||||||||||||||||||||||||
| six months ended June 30 | three months ended June 30 | ||||||||||||||||||||||||||||
| 2025 | 2024 | % Chg. | 2025 | 2024 | % Chg. | ||||||||||||||||||||||||
| Operating revenue | $ | 41,993.4 | $ | 40,850.8 | 2.8% | $ | 20,771.1 | $ | 20,303.5 | 2.3% | |||||||||||||||||||
| Cost of sales | |||||||||||||||||||||||||||||
| Other | (23,180.8 | ) | (23,186.1 | ) | (11,506.7 | ) | (11,557.1 | ) | |||||||||||||||||||||
| Depreciation | (1,608.4 | ) | (1,649.3 | ) | (802.9 | ) | (828.5 | ) | |||||||||||||||||||||
| (24,789.2 | ) | (24,835.4 | ) | (12,309.6 | ) | (12,385.6 | ) | ||||||||||||||||||||||
| Gross profit | 17,204.2 | 16,015.4 | 7.4% | 8,461.5 | 7,917.9 | 6.9% | |||||||||||||||||||||||
| Lease and other income | 114.7 | 102.2 | 60.2 | 55.9 | |||||||||||||||||||||||||
| Administrative expenses | |||||||||||||||||||||||||||||
| Other | (1,991.2 | ) | (1,966.4 | ) | (866.5 | ) | (865.6 | ) | |||||||||||||||||||||
| Depreciation | (412.7 | ) | (434.1 | ) | (206.4 | ) | (217.1 | ) | |||||||||||||||||||||
| (2,403.9 | ) | (2,400.5 | ) | (1,072.9 | ) | (1,082.7 | ) | ||||||||||||||||||||||
| Profit from operating activities | 14,915.0 | 13,717.1 | 8.7% | 7,448.8 | 6,891.1 | 8.1% | |||||||||||||||||||||||
| Gain on disposal of assets | - | 9.4 | - | - | |||||||||||||||||||||||||
| Net finance costs | (968.8 | ) | (1,292.6 | ) | (517.6 | ) | (625.6 | ) | |||||||||||||||||||||
| Profit before income tax | 13,946.2 | 12,433.9 | 6,931.2 | 6,265.5 | |||||||||||||||||||||||||
| Income tax expense | (3,266.9 | ) | (2,898.0 | ) | (1,647.5 | ) | (1,475.8 | ) | |||||||||||||||||||||
| Profit and comprehensive profit | 10,679.3 | 9,535.9 | 12.0% | 5,283.7 | 4,789.7 | 10.3% | |||||||||||||||||||||||
| Earnings per share | |||||||||||||||||||||||||||||
| Basic and fully diluted | $ | 0.51 | $ | 0.45 | 14.2% | $ | 0.25 | $ | 0.23 | 12.6% | |||||||||||||||||||
| Weighted average number of common shares outstanding | |||||||||||||||||||||||||||||
| Basic and fully diluted (x 000) | 20,902.0 | 21,312.0 | 20,826.0 | 21,265.0 | |||||||||||||||||||||||||
| EBITDA | $ | 17,004.0 | $ | 15,911.9 | 6.9% | $ | 8,489.8 | $ | 7,991.2 | 6.2% | |||||||||||||||||||
| EBITDA % | 40.3% | 38.7% | 40.7% | 39.1% | |||||||||||||||||||||||||
| 30-Jun-25 | 31-Dec-24 | ||||||||||||||||||||||||||||
| Cash | $ | 15,226.5 | $ | 14,393.6 | |||||||||||||||||||||||||
| Total assets | $ | 175,612.4 | $ | 175,838.4 | |||||||||||||||||||||||||
| Total debt | $ | 35,393.3 | $ | 37,393.2 | |||||||||||||||||||||||||
Gamehost has declared a regular monthly cash dividend for the month of August 2025 of $0.05 (CDN) per common share which equates to $0.60 (CDN) per common share on an annualized basis. The dividend will be paid on September 15, 2025 to shareholders of record on August 31, 2025. This dividend is considered an "Eligible Dividend" and therefore, eligible for the enhanced gross-up and dividend tax credit available to Canadian shareholders.
This press release may contain certain "forward-looking information" or statements within the meaning of applicable securities legislation and may contain words such as "anticipates", "believes", "could", "expects", "indicates", "plans", "withstand", "further" or other similar expressions that suggest future outcomes or events. Forward-looking information is based on the Company's current expectations, estimates, projections and assumptions that were made by the Company in light of its historical trends and other factors. All information or statements, other than statements of historical fact, are forward-looking information including any statements that address expectations related to future economic outcomes or the Company's dividend. Forward-looking statements reflect reasonable assumptions made on the basis of management's current beliefs with information known by management at the time of writing. Many factors could cause actual results to differ from the results discussed in forward-looking statements. Actual results may not be consistent with these forward-looking statements.
The Company has included non-International Financial Reporting Standards ("non-IFRS") measures in this press release. EBITDA, as defined by the Company, means earnings before interest and financing costs, income taxes, depreciation and amortization, and foreign exchange gains or losses. The Company believes EBITDA is a useful measure because it provides information to management and investors about the Company's performance in generating operating cash flow to fund working capital needs, service debt obligations, fund future capital expenditures and support dividend policy. Readers are cautioned that non-IFRS measures do not have any standardized meaning prescribed by IFRS and should not be taken as alternatives to net earnings measured in accordance with IFRS. The Company's method of calculating non-IFRS measures may not be comparable to similarly titled measures used by other reporting entities.
Gamehost is a corporation established under the laws of the Province of Alberta. The Company's operations are all located in the Province of Alberta, Canada. Operations of the Company include the Rivers Casino & Entertainment Centre in Ft. McMurray, the Great Northern Casino, Service Plus Inns & Suites and Encore Suites hotels as well as a strip mall all located in Grande Prairie and the Deerfoot Inn & Casino in S.E. Calgary.
These consolidated interim financial results include the accounts of Gamehost Inc. and its subsidiaries; however, they do not include all disclosures normally provided in consolidated interim financial statements and should be read in conjunction with the 2025 Q2 consolidated interim financial statements. Further, while the financial figures included in this announcement have been computed in accordance with IFRS applicable to annual periods, this announcement does not contain sufficient information to constitute an annual financial report and should be read in conjunction with the 2024 annual financial report for the twelve and three months ended December 31, 2024. This interim report will be filed in its entirety, along with historical financial reports on the Company's website at www.gamehost.ca and on SEDAR+ at https://www.sedarplus.ca/landingpage/ along with the Company's other continuous disclosure documents, when they are available.
Gamehost common shares trade on the Toronto Stock Exchange (TSX) under the symbol GH. For more information, contact:
Craig M. Thomas or Darcy J. Will
P (877) 703-4545
F (403) 340-0683
E ir@gamehost.ca
Not intended for distribution to U.S. newswire services or for dissemination in the U.S.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/262262
