MONTREAL, Nov. 4, 2021 /PRNewswire/ - Quebecor Inc.
("Quebecor" or the "Corporation") today reported its consolidated
financial results for the third quarter of 2021. Quebecor
consolidates the financial results of its wholly owned Quebecor
Media Inc. ("Quebecor Media") subsidiary.
Third quarter 2021 highlights
- Revenues: $1.15 billion in the
third quarter of 2021, up $36.5
million (3.3%) from the same period of 2020.
- Adjusted EBITDA:1 $520.3
million, up $6.9 million
(1.3%) despite the $18.8 million
unfavourable impact of the recognition of a one‑time item in the
Telecommunications segment in the third quarter of 2020.
- Net income attributable to shareholders: $173.1 million ($0.71 per basic share), an increase of
$32.2 million ($0.15 per basic share).
- Adjusted income from continuing operating
activities:2 $176.1
million ($0.73 per basic
share), an increase of $3.0 million
($0.04 per basic share).
- Cash flows from operations:3 $365.8 million, a $19.7
million (5.7%) increase.
- The Telecommunications segment's revenues grew by $1.6 million (0.2%) in the third quarter of 2021
and its adjusted EBITDA decreased by $6.8
million (‑1.4%), reflecting the $18.8
million unfavourable impact of the recognition of a one-time
item in the third quarter of 2020.
- Videotron Ltd. ("Videotron") significantly increased its
revenues from Internet access services ($15.9 million or 5.6%) and mobile telephony
($13.4 million or 8.0%) in the third
quarter of 2021.
- There was a net increase of 25,600 revenue-generating
units4 ("RGUs") (0.4%) in the third quarter of 2021,
including 40,900 connections (2.7%) to the mobile telephony service
and 22,500 subscriptions (1.2%) to Internet access services.
- Quebecor announced, on July 29,
2021, an investment by Videotron of nearly $830.0 million in the acquisition of 294 blocks
of spectrum in the 3500 MHz band across the country, including 175
blocks in four Canadian provinces outside Québec: Ontario, Manitoba, Alberta and British
Columbia.
- On August 17, 2021, Videotron
launched Vrai, a new Québec subscription platform that will meet
the strong demand for unscripted lifestyle, documentary and
entertainment content. Vrai offers thousands of hours of
all-French, on‑demand content, including more than 40 first-run
exclusive original Québec productions.
- Quebecor unveiled the new QUB digital platform, on September 15, 2021, which brings together all of
its news and entertainment content in one place. Available on the
Internet and via a mobile app, QUB is differentiated by its vast
quantity of multisource, multiformat content, including text,
music, video and audio, available live or on demand in a single,
easy‑to navigate environment that promotes content
discoverability.
- TVA Group Inc. ("TVA Group") announced, on July 16, 2021, that the studios of Canadian film
and television industry leader MELS will be enlarged with the
construction of MELS 4, with the support of the Government of
Québec and the City of Montréal. The project will strengthen MELS'
position on the market for foreign blockbusters and series.
- Videotron and TVA Sports announced, on September 9, 2021, a partnership with the Lions
de Trois‑Rivières, the new ECHL hockey team. The new Trois-Rivières
arena will be named the "Colisée Vidéotron" and TVA Sports will be
the exclusive official broadcaster of the Lions de Trois‑Rivières'
home games as they begin their first season.
- Event Management Gestev Inc., a subsidiary of the Sports and
Entertainment Group, announced, on October
6, 2021, that it will be the new manager of the Cabaret du
Casino de Montréal. It will operate the acoustically outstanding
multipurpose venue and present unique programming to its thousands
of visitors.
_____________________
|
1
|
See "Adjusted EBITDA"
under "Definitions."
|
2
|
See "Adjusted income
from continuing operating activities" under
"Definitions."
|
3
|
See "Cash flows from
operations" under "Definitions."
|
4
|
See "Key performance
indicators" under "Definitions."
|
"With the economy recovering in many of our lines of business,
we generated strong results in the third quarter of 2021, from
both the financial and operational standpoints," said Pierre Karl
Péladeau, President and Chief Executive Officer of Quebecor. "Our
steady performance is reflected in increases of 3.3% in revenues,
1.3% in adjusted EBITDA and 5.7% in cash flow from operations,
despite the unfavourable impact of a one-time item.
"Videotron and Fizz continue to stand out with their ability to
reach new customers and to enhance the richness of their offerings.
Together, they achieved an unprecedented 37% market share of new
subscriber connections to mobile services in the third quarter
of 2021, ranking them first and second respectively in Québec.
Over the past 12 months, our mobile telephony and Internet access
services have posted sustained growth, with increases in RGUs of
118,700 (8.2%) and 62,900 (3.6%) respectively.
"The appeal of our Helix platform continues to growth steadily
month after month, as evidenced by an increase of over
145,000 RGUs in the third quarter of 2021, pushing
the total number since the service launched in September 2019
past the 1 million mark. We also continue promoting
high-quality, diverse content through our Club illico and Vrai
subscription services, and we are pleased that more and more
Quebecers are taking advantage of them, as evidenced by the 3.2%
increase in the subscriber base over the past 12 months.
Club illico is promising an outstanding 2021-2022 program
line-up, with the largest number of original series and films
released in a single year since the service was launched ", Pierre
Karl Péladeau continued.
"Furthermore, our digital ambitions continue to propel our
successes and drive forward-looking projects. As a leading player
in our industry, we are very proud to be supporting the
acceleration of Québec's digital transformation, notably through a
partnership with the Québec‑based tech firm
Groupe X-Telia inc., which offers an expansive range of
Internet of Things solutions to meet the needs of Québec
municipalities and businesses. Videotron also recently landed a
major contract with the Société de Transport de Montréal (STM) for
IoT services, strengthening its leadership position in Québec.
"The 3,500 MHz spectrum auction was also completed this quarter.
Our announced investment of nearly $830.0 million to acquire 5G spectrum
for Videotron attests to our determination to become Canada's fourth mobile carrier in order to
create real competition, foster innovation and deliver better
prices for Canadians. The spectrum acquisition will, among other
things, enable us to take advantage of CRTC Decision 2021-130,
which requires the incumbents Bell, Telus and Rogers to allow new
carriers MVNO access to their networks. That was precisely how
Videotron launched its wireless telephony service in 2006. When the
current regulatory proceeding on technical arrangements and rates
is completed, Videotron will therefore be able to launch its
wireless service in the areas where it has acquired spectrum,
namely Ontario, Manitoba, Alberta and British
Columbia. All the carriers that acquired spectrum can launch
an MVNO service and must roll out a network within 7 years," said
Pierre Karl Péladeau.
"TVA Group continues to benefit from the business recovery in
most of its segments, as indicated by the 26.1% and
52.0% increases in revenues and adjusted EBITDA respectively
in the third quarter of 2021. The results were driven in particular
by film production and audiovisual services, which were in high
demand during the quarter, and by advertising revenues at the
TVA Network and the specialty channels, which increased for
the third consecutive quarter compared with the same period of the
previous year. TVA Group's total market share was 38.2%
in the third quarter of 2021 and our programs were among the most
watched in Québec," said Pierre Karl Péladeau.
"Innovation has always been one of Quebecor's major competitive
advantages and our recently unveiled QUB digital platform is a
prime example. Quebecor is proud to promote local content and
anticipate the needs of consumers and the market by bringing all
the content from our powerful ecosystem of media outlets, platforms
and brands, including TVA+, QUB music, QUB radio, Vrai,
Le Journal de Montréal and Le Journal de Québec,
together on a single platform," commented Pierre Karl Péladeau.
"I want to express my sincere gratitude to France Lauzière, who
recently announced her resignation as President and Chief Executive
Officer of TVA Group and Chief Content Officer of Quebecor
Content, for her significant contribution to the Corporation over
the past 20 years. At every stage of her career, she always
impressed me with her commitment to the company's success.
France played a key role in
strengthening Group TVA's dominant position as Québec's
television leader. She paved the way for some major innovations in
content creation, content acquisition and multiplatform
distribution that have been very important for showcasing Québec
culture and have given our artists and crews a chance to shine,"
said Pierre Karl Péladeau.
"The continuing reopening of the economy is enabling us to stay
on track toward our growth and profitability targets. In addition,
our strong financial performance positions us very advantageously
to capitalize on our many operational and technological advances
and on our potential for cross-Canada expansion," Pierre Karl Péladeau
concluded.
COVID-19 pandemic
The COVID-19 pandemic has had a significant impact on the
economic environment in Canada and
around the world. In order to limit the spread of the virus, the
Québec government has imposed a number of restrictions and special
preventive measures since the beginning of this health crisis,
including the suspension of some business activities. The Québec
government has gradually implemented a new reopening plan since
May 2021 and has imposed the use of a vaccination passport
starting September 1, 2021 to be admitted to certain
locations or to participate in certain non-essential activities.
Since March 2020, this health crisis has curtailed the
operations of many of Quebecor's business partners and has led to a
significant slowdown in some of the Corporation's segments. Among
other impacts, the restrictions and preventive measures imposed by
the Québec government caused a reduction in volume at Videotron's
retail outlets; a reduction in advertising revenues, a decrease in
sports events broadcast by the TVA Sports specialty channel
in 2020 and a reduction in film and audiovisual content
activity in the Media segment; and the cancellation of most shows
and events in the Sports and Entertainment segment. Despite the
constraints created by this pandemic, Quebecor has provided
essential telecommunications and news services during this health
crisis, while safeguarding the health and safety of the public and
its employees. Due to the decrease in their revenues, most of the
business units in the Media segment and Sports and Entertainment
segment have qualified for the Canadian Emergency Wage Subsidy and
subsidies totalling $9.4 million
were recorded in the first nine months of 2021 as a
reduction in employee costs ($14.4 million in the third quarter of 2020
and $43.9 million in the first
nine months of 2020).
Non-IFRS financial measures
The Corporation uses financial measures not standardized under
International Financial Reporting Standards ("IFRS"), such as
adjusted EBITDA, adjusted income from continuing operating
activities, cash flows from operations, free cash flows from
continuing operating activities and consolidated net debt leverage
ratio, and key performance indicators, including RGU. Definitions
of the non‑IFRS measures and the key performance indicator used by
the Corporation are provided in the "Definitions" and
"Key Performance Indicator" sections.
Financial table
Table 1
Consolidated summary of income, cash flows
and balance sheet
(in millions of Canadian dollars,
except number of shares and per basic share data)
|
|
Three months
ended Sept. 30
|
|
Nine months
ended Sept. 30
|
|
|
2021
|
|
2020
|
|
2021
|
|
2020
|
|
|
|
|
|
|
|
|
|
Income
|
|
|
|
|
|
|
|
|
Revenues:
|
|
|
|
|
|
|
|
|
Telecommunications
|
$
|
939.5
|
$
|
937.9
|
$
|
2,781.9
|
$
|
2,681.7
|
Media
|
|
190.6
|
|
157.2
|
|
563.6
|
|
464.7
|
Sports and
Entertainment
|
|
49.1
|
|
48.5
|
|
113.8
|
|
109.2
|
Inter‑segment
|
|
(31.0)
|
|
(31.9)
|
|
(88.8)
|
|
(84.6)
|
|
$
|
1,148.2
|
$
|
1,111.7
|
$
|
3,370.5
|
$
|
3,171.0
|
Adjusted EBITDA
(negative adjusted EBITDA):1
|
|
|
|
|
|
|
|
|
Telecommunications
|
$
|
476.8
|
$
|
483.6
|
$
|
1,409.2
|
$
|
1,382.7
|
Media
|
|
36.6
|
|
24.9
|
|
54.6
|
|
36.6
|
Sports and
Entertainment
|
|
11.0
|
|
7.6
|
|
16.2
|
|
6.6
|
Head
Office
|
|
(4.1)
|
|
(2.7)
|
|
(5.6)
|
|
(0.1)
|
|
|
520.3
|
|
513.4
|
|
1,474.4
|
|
1,425.8
|
Depreciation and
amortization
|
|
(194.3)
|
|
(195.9)
|
|
(586.2)
|
|
(589.7)
|
Financial
expenses
|
|
(83.8)
|
|
(80.1)
|
|
(253.9)
|
|
(249.1)
|
Gain (loss) on
valuation and translation of financial
|
|
6.0
|
|
(18.6)
|
|
7.2
|
|
8.9
|
instruments
|
Restructuring of
operations and other items
|
|
(12.4)
|
|
(18.9)
|
|
3.7
|
|
(33.1)
|
Loss on debt
refinancing
|
|
–
|
|
–
|
|
(80.9)
|
|
–
|
Income
taxes
|
|
(56.6)
|
|
(56.4)
|
|
(140.4)
|
|
(147.7)
|
Income from
discontinued operations
|
|
–
|
|
–
|
|
–
|
|
33.8
|
Net
income
|
$
|
179.2
|
$
|
143.5
|
$
|
423.9
|
$
|
448.9
|
Income from
continuing operations attributable
|
|
173.1
|
$
|
140.9
|
$
|
417.9
|
$
|
413.6
|
to
shareholders
|
$
|
Net income
attributable to shareholders
|
|
173.1
|
|
140.9
|
|
417.9
|
|
447.4
|
Adjusted income from
continuing operating activities1
|
|
176.1
|
|
173.1
|
|
464.3
|
|
429.5
|
Per basic
share:
|
|
|
|
|
|
|
|
|
Income
from continuing operations attributable to
shareholders
|
|
0.71
|
|
0.56
|
|
1.71
|
|
1.64
|
Net
income attributable to shareholders
|
|
0.71
|
|
0.56
|
|
1.71
|
|
1.77
|
Adjusted
income from continuing operating activities1
|
|
0.73
|
|
0.69
|
|
1.90
|
|
1.70
|
_____________
|
1 See "Non-IFRS
Financial Measures."
|
|
|
Three months
ended Sept. 30
|
|
Nine months
ended Sept. 30
|
|
|
|
|
|
2021
|
|
2020
|
|
2021
|
|
2020
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Additions to
property, plant and equipment and
to
intangible assets1
|
|
|
|
|
|
|
|
|
|
|
|
|
Telecommunications
|
|
|
$
|
139.5
|
$
|
157.7
|
$
|
428.9
|
$
|
431.5
|
|
|
Media
|
|
|
|
12.3
|
|
7.9
|
|
27.6
|
|
23.2
|
|
|
Sports and
Entertainment
|
|
|
|
1.0
|
|
0.9
|
|
2.6
|
|
2.5
|
|
|
Head Office
|
|
|
|
1.7
|
|
0.8
|
|
3.8
|
|
1.4
|
|
|
|
|
|
|
154.5
|
|
167.3
|
|
462.9
|
|
458.6
|
|
|
Cash
flows
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows from
operations:1
|
|
|
|
|
|
|
.
|
|
|
|
|
|
Telecommunications
|
|
|
|
337.3
|
|
325.9
|
|
980.3
|
|
951.2
|
|
|
Media
|
|
|
|
24.3
|
|
17.0
|
|
27.0
|
|
13.4
|
|
|
Sports and
Entertainment
|
|
|
|
10.0
|
|
6.7
|
|
13.6
|
|
4.1
|
|
|
Head Office
|
|
|
|
(5.8)
|
|
(3.5)
|
|
(9.4)
|
|
(1.5)
|
|
|
|
|
|
|
365.8
|
|
346.1
|
|
1,011.5
|
|
967.2
|
|
|
Free cash flows from
continuing operating activities1
|
|
|
|
213.5
|
|
168.4
|
|
381.4
|
|
548.2
|
|
|
Cash flows provided by
continuing operating activities
|
|
|
|
368.2
|
|
339.4
|
|
859.5
|
|
1,054.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sept. 30
2021
|
|
Dec. 31
2020
|
|
|
Balance
sheet
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
|
|
|
|
|
|
$
|
480.7
|
$
|
136.7
|
|
|
Working
capital
|
|
|
|
|
|
|
|
478.3
|
|
(70.4)
|
|
|
Net assets related to
derivative financial instruments
|
|
|
|
|
|
|
|
389.6
|
|
597.1
|
|
|
Total
assets
|
|
|
|
|
|
|
|
10,534.0
|
|
9,861.6
|
|
|
Total debt (current
and long‑term)
|
|
|
|
|
|
|
|
6,256.8
|
|
5,773.4
|
|
|
Lease liabilities
(current and long‑term)
|
|
|
|
|
|
|
|
181.6
|
|
173.3
|
|
|
Convertible
debentures, including embedded derivatives
|
|
|
|
|
|
|
|
148.9
|
|
156.5
|
|
|
Equity attributable to
shareholders
|
|
|
|
|
|
|
|
1,255.0
|
|
1,112.6
|
|
|
Equity
|
|
|
|
|
|
|
|
1,372.7
|
|
1,214.1
|
|
|
Number of common
shares outstanding (in millions)
|
|
|
|
|
|
|
|
241.1
|
|
248.2
|
|
|
Consolidated net
debt leverage ratio1
|
|
|
|
|
|
|
|
2.80x
|
|
2.68x
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
_____________
|
1 See "Non-IFRS
Financial Measures."
|
2021/2020 third quarter comparison
Revenues: $1.15 billion, a $36.5 million (3.3%) increase.
- Revenues increased in Telecommunications ($1.6 million or 0.2% of segment revenues), Media
($33.4 million or 21.2%), and Sports
and Entertainment ($0.6 million or
1.2%).
Adjusted EBITDA: $520.3 million, a $6.9 million (1.3%) increase.
- Adjusted EBITDA increased in Media ($11.7 million or 47.0% of segment adjusted
EBITDA) and Sports and Entertainment ($3.4
million or 44.7%).
- Adjusted EBITDA decreased in the Telecommunications segment
($6.8 million or -1.4%), reflecting
the $18.8 million unfavourable impact
of the recognition of a one-time item in the third quarter of
2020.
- The change in the fair value of Quebecor and Quebecor Media
stock options and in the value of Quebecor stock‑price‑based share
units resulted in a $6.4 million
favourable variance in the Corporation's stock-based compensation
charge in the third quarter of 2021 compared with the same period
of 2020.
Net income attributable to shareholders:
$173.1 million ($0.71 per basic share) in the third quarter
of 2021, compared with $140.9 million ($0.56 per basic share) in the same period of
2020, an increase of $32.2 million ($0.15 per basic share).
- The main favourable variances were:
-
- $24.6 million favourable
variance in gains and losses on valuation and translation of
financial instruments, including $23.6 million without any tax
consequences;
- $6.9 million increase in
adjusted EBITDA;
- $6.5 million decrease in the
charge for restructuring of operations and other items.
- The main unfavourable variances were:
-
- $3.7 million increase in
financial expenses.
Adjusted income from continuing operating activities:
$176.1 million ($0.73 per basic share) in the third quarter
of 2021, compared with $173.1 million ($0.69 per basic share) in the same period of
2020, an increase of $3.0 million ($0.04 per basic share).
Cash flows from operations: $365.8 million, a $19.7 million (5.7%) increase due to the
$12.8 million decrease in
additions to property, plant and equipment and to intangible
assets, and the $6.9 million
increase in adjusted EBITDA.
Cash flows provided by continuing operating activities:
$368.2 million, a $28.8 million (8.5%) increase due primarily
to the favourable net change in non-cash balances related to
operating activities.
2021/2020 year-to-date comparison
Revenues: $3.37 billion, a $199.5 million (6.3%) increase.
- Revenues increased in Telecommunications ($100.2 million or 3.7% of segment revenues),
Media ($98.9 million or 21.3%), and
Sports and Entertainment ($4.6 million or 4.2%).
Adjusted EBITDA: $1.47 billion, a $48.6 million (3.4%) increase.
- Adjusted EBITDA increased in Telecommunications ($26.5 million or 1.9% of segment
adjusted EBITDA), despite the $12.6 million unfavourable impact of the
recognition of a one-time item in the third quarter of 2020,
Media ($18.0 million or 49.2%), and
Sports and Entertainment ($9.6 million).
- There was a decrease at Head Office ($5.5 million) due, among other things, to a
budget variance in intersegment charges.
- The change in the fair value of Quebecor and Quebecor Media
stock options and in the value of Quebecor stock‑price‑based share
units resulted in a $3.1 million
favourable variance in the Corporation's stock-based compensation
charge in the first nine months of 2021 compared
with the same period of 2020.
Net income attributable to shareholders: $417.9 million ($1.71 per basic share) in the first nine months
of 2021, compared with $447.4 million ($1.77 per basic share) in the same period of
2020, a decrease of $29.5 million ($0.06 per basic share).
- The main unfavourable variances were:
-
- $80.9 million unfavourable
variance related to debt refinancing;
- $33.8 million decrease in
income from discontinued operations;
- $4.8 million increase in
financial expenses.
- The main favourable variances were:
-
- $48.6 million increase in
adjusted EBITDA;
- $36.8 million favourable
variance in restructuring of operations and other items;
- $7.3 million decrease in the
income tax expense.
Adjusted income from continuing operating activities:
$464.3 million ($1.90 per basic share) in the first
nine months of 2021, compared with $429.5 million ($1.70 per basic share) in the same period of
2020, an increase of $34.8 million ($0.20 per basic share).
Cash flows from operations: $1.01 billion, a $44.3 million (4.6%) increase due to the
$48.6 million increase in
adjusted EBITDA, partially offset by a $4.3 million increase in additions to
property, plant and equipment and to intangible assets.
Cash flows provided by continuing operating activities:
$859.5 million, a $195.0 million decrease, due primarily to
the unfavourable net change in non‑cash balances related to
operating activities, partially offset by the increase in adjusted
EBITDA.
Consolidated net debt leverage ratio: 2.80x at
September 30, 2021 compared with
2.68x at December 31, 2020.
Investing and financing operations
- On July 5, 2021, Quebecor Media
completed the early redemption of the entirety of its 6.625% Senior
Notes due January 15, 2023, in
aggregate principal amount of $500.0
million, at a redemption price of 107.934% of their
principal amount, in accordance with a notice issued on
June 3, 2021.
- On July 6, 2021, Videotron
completed the early redemption of the entirety of its 5.000% Senior
Notes due July 15, 2022, in aggregate
principal amount of US$800.0 million,
at a redemption price of 104.002% of their principal amount, in
accordance with a notice issued on June 3,
2021. The related hedges in an asset position were also
unwound.
Senior management
- On April 14, 2021, France
Lauzière decided to take time off from her professional duties for
family reasons. Ms. Lauzière is now resigning from her position as
President and Chief Executive Officer of TVA Group and Chief
Content Officer of Quebecor Content, for the same reasons. She will
remain available to work with the company on strategic projects.
Pierre Karl Péladeau, President and Chief Executive Officer of
Quebecor, will continue to serve as acting President of TVA Group
and Quebecor Content.
3500 MHz spectrum auction
On July 29, 2021, Quebecor
announced an investment of nearly $830.0 million in the acquisition by
Videotron of 294 blocks of spectrum in the
3500 MHz band across the country. More than half of the
investment is concentrated in four Canadian provinces outside
Québec: southern and eastern Ontario, Manitoba, Alberta and British
Columbia. Quebecor now holds 175 blocks of spectrum in
the 3500 MHz band (with an average size of 32 MHz)
in four Canadian provinces outside Québec and plans to roll out its
mobile telephony service to certain rural and urban areas in the
rest of Canada. Videotron made an
initial deposit of $166.0 million in the third quarter
of 2021 for the acquisition of these spectrum licences.
Innovation, Science and Economic Development Canada ("ISED") had
initially set October 4, 2021 as the date for payment of
the balance. However, delivery of the licenses has been postponed
to give ISED time to conduct technical consultations with respect
to the 3500 MHz band. ISED has not yet determined the date on
whish the spectrum licences will be issued and delivered, as well
as the date the final payment of $664.0 million will become due. In late
August 2021, two competitors launched legal proceedings in
Federal Court contesting the awarding of 3500 MHz licences in
Western Canada to Videotron. These
cases are currently before the Federal Court. On
October 22, 2021, the Federal Court dismissed an
application for an interlocutory injunction filed by one of these
competitors to halt the granting of spectrum licences in
Western Canada.
Capital stock
On August 4, 2021, the Corporation
authorized a normal course issuer bid for a maximum of
1,000,000 Class A Shares representing approximately 1.3%
of issued and outstanding Class A Shares, and for a maximum of
6,000,000 Class B Shares representing approximately 3.6%
of issued and outstanding Class B Shares as of July 30, 2021. The purchases can be made from
August 15, 2021 to August 14, 2022 at
prevailing market prices on the open market through the facilities
of the Toronto Stock Exchange or other alternative trading systems.
All shares purchased under the bid will be cancelled.
On August 6, 2021, the Corporation
entered into an automatic securities purchase plan
("the plan") with a designated broker whereby shares may be
repurchased under the plan at times when such purchases would
otherwise be prohibited pursuant to regulatory restrictions or
self-imposed blackout periods. The plan received prior approval
from the Toronto Stock Exchange. It came into effect on
August 15, 2021 and will terminate on the same date as
the normal course issuer bid.
Under the plan, before entering a self-imposed blackout period,
the Corporation may, but is not required to, ask the designated
broker to make purchases under the normal course issuer bid. Such
purchases shall be made at the discretion of the designated broker,
within parameters established by the Corporation prior to the
blackout periods. Outside the blackout periods, purchases will be
made at the discretion of the Corporation's management.
In the first nine months of 2021, the Corporation purchased and
cancelled 7,064,650 Class B Shares for a total cash
consideration of $225.9 million
(4,695,800 Class B Shares for a total cash consideration
of $143.4 million in the same
period of 2020). The excess of $184.2 million of the
purchase price over the carrying value of Class B Shares
repurchased was recorded in reduction of retained earnings
($115.7 million in the same
period of 2020).
Dividend
On November 3, 2021, the Board of
Directors of Quebecor declared a quarterly dividend of $0.275 per share on its Class A Shares and
Class B Shares, payable on December 14,
2021 to shareholders of record at the close of business on
November 19, 2021. This dividend is designated an
eligible dividend, as provided under subsection 89(14) of the
Canadian Income Tax Act and its provincial counterpart.
Detailed financial information
For a detailed analysis of Quebecor's third quarter 2021
results, please refer to the Management Discussion and Analysis and
condensed consolidated financial statements of Quebecor, available
on the Corporation's website at
<www.quebecor.com/en/investors/financial-documentation> or
from the SEDAR filing service at <www.sedar.com>.
Conference call for investors and webcast
Quebecor will hold a conference call to discuss its third
quarter 2021 results on November 4,
2021, at 11:00 a.m. EDT. There will be a question
period reserved for financial analysts. To access the conference
call, please dial 1‑877‑293 8052, access code for participants
20561#. The conference call will also be broadcast live on
Quebecor's website at
<www.quebecor.com/en/investors/conferences-and-annual-meeting>.
It is advisable to ensure the appropriate software is installed
before accessing the call. Instructions and links to free player
downloads are available at the Internet address shown above. Anyone
unable to attend the conference call will be able to listen to a
recording by dialing 1-877-293-8133, access code 20561#,
recording access code 0100757#. The recording will be
available until February 2,
2022.
Cautionary statement regarding forward-looking
statements
The statements in this press release that are not historical
facts are forward-looking statements and are subject to significant
known and unknown risks, uncertainties and assumptions that could
cause the Corporation's actual results for future periods to differ
materially from those set forth in the forward-looking statements.
Forward-looking statements may be identified by the use of the
conditional or by forward-looking terminology such as the terms
"plans," "expects," "may," "anticipates," "intends," "estimates,"
"projects," "seeks," "believes," or similar terms, variations of
such terms or the negative of such terms. Certain factors that may
cause actual results to differ from current expectations include
seasonality (including seasonal fluctuations in customer orders),
operating risk (including fluctuations in demand for Quebecor's
products and pricing actions by competitors), new competition, and
Quebecor's ability to retain its current customers and attract new
ones, risks related to fragmentation of the advertising market,
insurance risk, risks associated with capital investments
(including risks related to technological development and equipment
availability and breakdown), environmental risks, risks associated
with cybersecurity and the protection of personal information,
risks associated with service interruptions resulting from
equipment breakdown, network failure, the threat of natural
disaster, epidemics, pandemics or other public health crises,
including the COVID-19 pandemic, political instability is some
countries, risks associated with emergency measures implemented by
various governments, risks associated with labour agreements,
credit risk, financial risks, debt risks, risks related to interest
rate fluctuations, foreign exchange risks, risks associated with
government acts and regulations, risks related to changes in tax
legislation, and changes in the general political and economic
environment. Investors and others are cautioned that the foregoing
list of factors that may affect future results is not exhaustive
and that undue reliance should not be placed on any forward‑looking
statements. For more information on the risks, uncertainties and
assumptions that could cause Quebecor's actual results to differ
from current expectations, please refer to Quebecor's public
filings, available at <www.sedar.com> and
<www.quebecor.com>, including, in particular, the "Risks and
Uncertainties" section of Quebecor's Management Discussion and
Analysis for the year ended December 31, 2020.
The forward-looking statements in this press release reflect
Quebecor's expectations as of November 4, 2021 and are
subject to change after that date. Quebecor expressly disclaims any
obligation or intention to update or revise any forward‑looking
statements, whether as a result of new information, future events
or otherwise, except as required by applicable securities laws.
About Quebecor
Quebecor, a Canadian leader in telecommunications,
entertainment, news media and culture, is one of the
best-performing integrated communications companies in the
industry. Driven by their determination to deliver the best
possible customer experience, all of Quebecor's subsidiaries and
brands are differentiated by their high-quality, multiplatform,
convergent products and services.
Quebecor (TSX: QBR.A, QBR.B) is headquartered in Québec and
employs more than 10,000 people in Canada.
A family business founded in 1950, Quebecor is strongly
committed to the community. Every year, it actively supports more
than 400 organizations in the vital fields of culture, health,
education, the environment, and entrepreneurship.
Visit our website: <www.quebecor.com>
Follow us on Twitter: www.twitter.com/Quebecor
DEFINITIONS
Adjusted EBITDA
In its analysis of operating results, the Corporation defines
adjusted EBITDA, as reconciled to net income under IFRS, as
net income before depreciation and amortization, financial
expenses, gain (loss) on valuation and translation of financial
instruments, restructuring of operations and other items, loss on
debt refinancing, income tax, and income from discontinued
operations. Adjusted EBITDA as defined above is not a measure
of results that is consistent with IFRS. It is not intended to be
regarded as an alternative to IFRS financial performance measures
or to the statement of cash flows as a measure of liquidity. It
should not be considered in isolation or as a substitute for
measures of performance prepared in accordance with IFRS. The
Corporation uses adjusted EBITDA in order to assess the
performance of its investment in Quebecor Media. The Corporation's
management and Board of Directors use this measure in evaluating
its consolidated results as well as the results of the
Corporation's operating segments. This measure eliminates the
significant level of impairment and depreciation/amortization of
tangible and intangible assets and is unaffected by the capital
structure or investment activities of the Corporation and its
business segments. Adjusted EBITDA is also relevant because it is a
component of the Corporation's annual incentive compensation
programs. A limitation of this measure, however, is that it does
not reflect the periodic costs of tangible and intangible assets
used in generating revenues in the Corporation's segments. The
Corporation also uses other measures that do reflect such costs,
such as cash flows from operations and free cash flows from
continuing operating activities. The Corporation's definition
of adjusted EBITDA may not be the same as similarly titled measures
reported by other companies.
Table 2 provides a reconciliation of adjusted EBITDA to net
income as disclosed in Quebecor's condensed consolidated financial
statements.
Table 2
Reconciliation of the adjusted EBITDA
measure used in this press release to the net income measure used
in the condensed consolidated financial
statements
(in millions of Canadian dollars)
|
|
|
Three months
ended Sept. 30
|
|
Nine months
ended Sept. 30
|
|
|
|
2021
|
|
2020
|
|
2021
|
|
2020
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA
(negative adjusted EBITDA):
|
|
|
|
|
|
|
|
|
|
Telecommunications
|
|
$
|
476.8
|
$
|
483.6
|
$
|
1,409.2
|
$
|
1,382.7
|
Media
|
|
|
36.6
|
|
24.9
|
|
54.6
|
|
36.6
|
Sports and
Entertainment
|
|
|
11.0
|
|
7.6
|
|
16.2
|
|
6.6
|
Head
Office
|
|
|
(4.1)
|
|
(2.7)
|
|
(5.6)
|
|
(0.1)
|
|
|
|
520.3
|
|
513.4
|
|
1,474.4
|
|
1,425.8
|
Depreciation and
amortization
|
|
|
(194.3)
|
|
(195.9)
|
|
(586.2)
|
|
(589.7)
|
Financial
expenses
|
|
|
(83.8)
|
|
(80.1)
|
|
(253.9)
|
|
(249.1)
|
Gain (loss) on
valuation and translation of financial
instruments
|
|
|
6.0
|
|
(18.6)
|
|
7.2
|
|
8.9
|
Restructuring of
operations and other items
|
|
|
(12.4)
|
|
(18.9)
|
|
3.7
|
|
(33.1)
|
Loss on debt
refinancing
|
|
|
−
|
|
−
|
|
(80.9)
|
|
−
|
Income
taxes
|
|
|
(56.6)
|
|
(56.4)
|
|
(140.4)
|
|
(147.7)
|
Income from
discontinued operations
|
|
|
−
|
|
−
|
|
−
|
|
33.8
|
Net
income
|
|
$
|
179.2
|
$
|
143.5
|
$
|
423.9
|
$
|
448.9
|
Adjusted income from continuing operating activities
The Corporation defines adjusted income from continuing
operating activities, as reconciled to net income attributable to
shareholders under IFRS, as net income attributable to
shareholders before gain (loss) on valuation and translation of
financial instruments, restructuring of operations and other items,
and loss on debt refinancing, net of income tax related to
adjustments and net income attributable to non-controlling interest
related to adjustments, and before the income from discontinued
operations attributable to shareholders. Adjusted income from
continuing operating activities, as defined above, is not a measure
of results that is consistent with IFRS. It should not be
considered in isolation or as a substitute for measures of
performance prepared in accordance with IFRS.
The Corporation uses adjusted income from continuing operating
activities to analyze trends in the performance of its businesses.
The above‑listed items are excluded from the calculation of this
measure because they impair the comparability of financial results.
Adjusted income from continuing operating activities is more
representative for forecasting income. The Corporation's definition
of adjusted income from continuing operating activities may not be
identical to similarly titled measures reported by other
companies.
Table 3 provides a reconciliation of adjusted income from
continuing operating activities to the net income attributable to
shareholders' measure used in Quebecor's condensed consolidated
financial statements.
Table 3
Reconciliation of the adjusted income from
continuing operating activities measure used in this press release
to the net income attributable to shareholders' measure used in the
condensed consolidated financial statements
(in millions of Canadian dollars)
|
|
|
Three months
ended Sept. 30
|
|
Nine months
ended Sept. 30
|
|
|
|
2021
|
|
2020
|
|
2021
|
|
2020
|
|
|
|
|
|
|
|
|
|
|
Adjusted income from
continuing operating activities
|
|
$
|
176.1
|
$
|
173.1
|
$
|
464.3
|
$
|
429.5
|
Gain (loss) on
valuation and translation of financial
instruments
|
|
|
6.0
|
|
(18.6)
|
|
7.2
|
|
8.9
|
Restructuring of
operations and other items
|
|
|
(12.4)
|
|
(18.9)
|
|
3.7
|
|
(33.1)
|
Loss on debt
refinancing
|
|
|
−
|
|
−
|
|
(80.9)
|
|
−
|
Income taxes related
to adjustments1
|
|
|
3.4
|
|
4.5
|
|
23.6
|
|
7.0
|
Net income
attributable to non-controlling interest
related to
adjustments
|
|
|
−
|
|
0.8
|
|
−
|
|
1.3
|
Discontinued
operations
|
|
|
−
|
|
−
|
|
−
|
|
33.8
|
Net income
attributable to shareholders
|
|
$
|
173.1
|
$
|
140.9
|
$
|
417.9
|
$
|
447.4
|
1 Includes
impact of fluctuations in income tax applicable to adjusted items,
either for statutory reasons or in connection with tax
transactions.
Cash flows from operations and free cash flows from
continuing operating activities
Cash flows from operations
Cash flows from operations represents adjusted EBITDA, less
additions to property, plant and equipment and to intangible assets
(excluding licence acquisitions and renewals). Cash flows from
operations represents funds available for interest and income tax
payments, expenditures related to restructuring programs, business
acquisitions, licence acquisitions and renewals, payment of
dividends, repayment of long-term debt and lease liabilities, and
share repurchases. Cash flows from operations is not a measure of
liquidity that is consistent with IFRS. It is not intended to be
regarded as an alternative to IFRS financial performance measures
or to the statement of cash flows as a measure of liquidity. Cash
flows from operations is used by the Corporation's management and
Board of Directors to evaluate the cash flows generated by the
operations of all of its segments, on a consolidated basis, in
addition to the operating cash flows generated by each segment.
Cash flows from operations is also relevant because it is a
component of the Corporation's annual incentive compensation
programs. The Corporation's definition of cash flows from
operations may not be identical to similarly titled measures
reported by other companies.
Free cash flows from continuing operating activities
Free cash flows from continuing operating activities represents
cash flows provided by continuing operating activities calculated
in accordance with IFRS, less cash flows used for additions to
property, plant and equipment and to intangible assets (excluding
expenditures related to licence acquisitions and renewals), plus
proceeds from disposal of assets. Free cash flows from continuing
operating activities is used by the Corporation's management and
Board of Directors to evaluate cash flows generated by the
Corporation's operations. Free cash flows from continuing operating
activities represents available funds for business acquisitions,
licence acquisitions and renewals, payment of dividends, repayment
of long-term debt and lease liabilities, and share repurchases.
Free cash flows from continuing operating activities is not a
measure of liquidity that is consistent with IFRS. It is not
intended to be regarded as an alternative to IFRS financial
performance measures or to the statement of cash flows as a measure
of liquidity. The Corporation's definition of free cash flows
from continuing operating activities may not be identical to
similarly titled measures reported by other companies.
Tables 4 and 5 provide a reconciliation of cash flows from
operations and free cash flows from continuing operating activities
to cash flows provided by continuing operating activities reported
in the condensed consolidated financial statements.
Table 4
Cash flows from
operations
(in millions of Canadian dollars)
|
|
|
Three months
ended
Sept. 30
|
Nine months ended
Sept. 30
|
|
|
|
|
|
2021
|
|
2020
|
|
2021
|
|
2020
|
|
Adjusted EBITDA
(negative adjusted EBITDA)
|
|
|
|
|
|
|
|
|
|
|
|
Telecommunications
|
|
|
$
|
476.8
|
$
|
483.6
|
$
|
1,409.2
|
$
|
1,382.7
|
|
Media
|
|
|
|
36.6
|
|
24.9
|
|
54.6
|
|
36.6
|
|
Sports and
Entertainment
|
|
|
|
11.0
|
|
7.6
|
|
16.2
|
|
6.6
|
|
Head
Office
|
|
|
|
(4.1)
|
|
(2.7)
|
|
(5.6)
|
|
(0.1)
|
|
|
|
|
|
520.3
|
|
513.4
|
|
1,474.4
|
|
1,425.8
|
|
Minus
|
|
|
|
|
|
|
|
|
|
|
|
Additions to
property, plant and equipment:1
|
|
|
|
|
|
|
|
|
|
|
|
Telecommunications
|
|
|
|
(103.5)
|
|
(115.7)
|
|
(316.5)
|
|
(298.2)
|
|
Media
|
|
|
|
(6.4)
|
|
(3.2)
|
|
(10.6)
|
|
(6.7)
|
|
Sports and Entertainment
|
|
|
|
(0.3)
|
|
(0.1)
|
|
(0.4)
|
|
(0.2)
|
|
Head Office
|
|
|
|
(0.4)
|
|
(0.8)
|
|
(1.6)
|
|
(1.3)
|
|
|
|
|
|
(110.6)
|
|
(119.8)
|
|
(329.1)
|
|
(306.4)
|
|
Additions to
intangible assets:2
|
|
|
|
|
|
|
|
|
|
|
|
Telecommunications
|
|
|
|
(36.0)
|
|
(42.0)
|
|
(112.4)
|
|
(133.3)
|
|
Media
|
|
|
|
(5.9)
|
|
(4.7)
|
|
(17.0)
|
|
(16.5)
|
|
Sports and
Entertainment
|
|
|
|
(0.7)
|
|
(0.8)
|
|
(2.2)
|
|
(2.3)
|
|
Head
Office
|
|
|
|
(1.3)
|
|
−
|
|
(2.2)
|
|
(0.1)
|
|
|
|
|
|
(43.9)
|
|
(47.5)
|
|
(133.8)
|
|
(152.2)
|
|
Cash flows from
operations
|
|
|
|
|
|
|
|
|
|
|
|
Telecommunications
|
|
|
|
337.3
|
|
325.9
|
|
980.3
|
|
951.2
|
|
Media
|
|
|
|
24.3
|
|
17.0
|
|
27.0
|
|
13.4
|
|
Sports and
Entertainment
|
|
|
|
10.0
|
|
6.7
|
|
13.6
|
|
4.1
|
|
Head
Office
|
|
|
|
(5.8)
|
|
(3.5)
|
|
(9.4)
|
|
(1.5)
|
|
|
|
|
$
|
365.8
|
$
|
346.1
|
$
|
1,011.5
|
$
|
967.2
|
|
1
Reconciliation to cash flows used for additions to property,
plant and equipment as per condensed consolidated financial
statements:
|
Three months ended
Sept. 30
|
Nine months ended
Sept. 30
|
|
|
2021
|
|
|
2020
|
|
2021
|
|
2020
|
|
|
|
Additions to
property, plant and equipment
|
$
(110.6)
|
|
$
(119.8)
|
|
$
(329.1)
|
|
$
(306.4)
|
|
|
Net variance in
current non-cash items related to additions to property, plant and
equipment (excluding government credits receivable for major
capital projects)
|
(9.8)
|
|
(18.3)
|
|
(8.6)
|
|
(18.4)
|
|
|
Cash flows used for
additions to property, plant and equipment
|
$
(120.4)
|
|
$
(138.1)
|
|
$
(337.7)
|
|
$
(324.8)
|
|
|
2
Reconciliation to cash flows used for additions to intangible
assets as per condensed consolidated financial
statements:
|
Three months ended
Sept. 30
|
Nine months ended
Sept. 30
|
|
|
2021
|
|
|
2020
|
|
2021
|
|
2020
|
|
|
|
Additions to
intangible assets
|
$
(43.9)
|
|
$
(47.5)
|
|
$
(133.8)
|
|
$
(152.2)
|
|
|
Net variance in current
non-cash items related to additions to intangible assets (excluding
government credits receivable for major capital
projects)
|
6.5
|
|
13.2
|
|
(12.8)
|
|
(32.9)
|
|
|
Cash flows used for
licence deposit
|
(166.0)
|
|
−
|
|
(166.0)
|
|
−
|
|
|
Cash flows used for
additions to intangible assets
|
$
(203.4)
|
|
$
(34.3)
|
|
$
(312.6)
|
|
$
(185.1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Table 5
Free cash flows from continuing operating
activities and cash flows provided by continuing operating
activities reported in the condensed consolidated financial
statements
(in millions of Canadian dollars)
|
|
|
Three months
ended
Sept. 30
|
|
Nine months ended
Sept. 30
|
|
|
|
|
|
|
|
|
|
|
|
|
|
2021
|
|
2020
|
|
2021
|
|
2020
|
|
|
|
|
|
|
|
|
|
|
Cash flows from
operations from Table 4
|
|
$
|
365.8
|
$
|
346.1
|
$
|
1,011.5
|
$
|
967.2
|
Plus
(minus)
|
|
|
|
|
|
|
|
|
|
Cash portion of
financial expenses
|
|
|
(82.0)
|
|
(78.1)
|
|
(247.7)
|
|
(243.0)
|
Cash portion related
to restructuring of operations and
other items
|
|
|
(12.4)
|
|
(11.8)
|
|
(14.5)
|
|
(26.2)
|
Current income
taxes
|
|
|
(63.5)
|
|
(60.7)
|
|
(191.3)
|
|
(181.0)
|
Other
|
|
|
3.5
|
|
1.3
|
|
5.9
|
|
3.9
|
Net change in non‑cash
balances related to operating
activities
|
|
|
5.4
|
|
(23.3)
|
|
(161.1)
|
|
78.6
|
Net change in current
non-cash items related to additions to property, plant and equipment
(excluding government credits receivable
for major capital
projects)
|
|
|
(9.8)
|
|
(18.3)
|
|
(8.6)
|
|
(18.4)
|
Net change in current
non-cash items related to additions to intangible assets
(excluding government
credits receivable for major capital projects)
|
|
|
6.5
|
|
13.2
|
|
(12.8)
|
|
(32.9)
|
Free cash flows
from continuing operating
activities
|
|
|
213.5
|
|
168.4
|
|
381.4
|
|
548.2
|
Plus
(minus)
|
|
|
|
|
|
|
|
|
|
Cash flows used for
additions to property, plant and
equipment
|
|
|
120.4
|
|
138.1
|
|
337.7
|
|
324.8
|
Cash flows used for
additions to intangible assets (excluding expenditures related to licence
acquisitions and renewals)
|
|
|
37.4
|
|
34.3
|
|
146.6
|
|
185.1
|
Proceeds from disposal
of assets
|
|
|
(3.1)
|
|
(1.4)
|
|
(6.2)
|
|
(3.6)
|
Cash flows
provided by continuing operating
activities
|
|
$
|
368.2
|
$
|
339.4
|
$
|
859.5
|
$
|
1,054.5
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Consolidated net debt leverage ratio
The consolidated net debt leverage ratio represents consolidated
net debt, excluding convertible debentures, divided by the trailing
12‑month adjusted EBITDA. Consolidated net debt, excluding
convertible debentures, represents total long-term debt plus bank
indebtedness, lease liabilities, the current portion of lease
liabilities and liabilities related to derivative financial
instruments, less assets related to derivative financial
instruments and cash and cash equivalents. The consolidated net
debt leverage ratio serves to evaluate the Corporation's financial
leverage and is used by management and the Board of Directors in
its decisions on the Corporation's capital structure, including its
financing strategy, and in managing debt maturity risks. The
consolidated net debt leverage ratio excludes convertible
debentures because, subject to certain conditions, those debentures
can be repurchased at the Corporation's discretion by issuing
Quebecor Class B Shares. Consolidated net debt leverage ratio is
not a measure established in accordance with IFRS. It is not
intended to be used as an alternative to IFRS measures or the
balance sheet to evaluate its financial position.
The Corporation's definition of consolidated net debt leverage
ratio may not be identical to similarly titled measures reported by
other companies.
Table 6 provides the calculation of consolidated net debt
leverage ratio and the reconciliation to balance sheet items
reported in Quebecor's condensed consolidated financial
statements.
Table 6
Consolidated net debt leverage
ratio
(in millions of Canadian dollars)
|
|
|
Sept. 30,
2021
|
Dec. 31,
2020
|
|
|
|
|
|
|
|
|
|
Total long‑term
debt1
|
|
|
|
|
$
|
6,284.7
|
$
|
5,786.4
|
Plus
(minus)
|
|
|
|
|
|
|
|
|
Lease
liabilities
|
|
|
|
|
|
145.2
|
|
139.0
|
Current portion of
lease liabilities
|
|
|
|
|
|
36.4
|
|
34.3
|
Bank
indebtedness
|
|
|
|
|
|
5.6
|
|
1.7
|
Assets related to
derivative financial instruments
|
|
|
|
|
|
(406.3)
|
|
(625.5)
|
Liabilities related to
derivative financial instruments
|
|
|
|
|
|
16.7
|
|
28.4
|
Cash and cash
equivalents
|
|
|
|
|
|
(480.7)
|
|
(136.7)
|
Consolidated net debt
excluding convertible debentures
|
|
|
|
|
|
5,601.6
|
|
5,227.6
|
Divided
by:
|
|
|
|
|
|
|
|
|
Trailing 12‑month
adjusted EBITDA
|
|
|
|
|
$
|
2,001.2
|
$
|
1,952.6
|
Consolidated net
debt leverage ratio
|
|
|
|
|
|
2.80x
|
|
2.68x
|
1 Excluding
changes in the fair value of long-term debt related to hedged
interest rate risk and financing costs.
KEY PERFORMANCE INDICATOR
Revenue-generating unit
The Corporation uses RGU, an industry metric, as a key
performance indicator. An RGU represents, as the case may be,
subscriptions to the Internet access, television and over-the-top
video services, and subscriber connections to the mobile and
wireline telephony services. RGU is not a measurement that is
consistent with IFRS and the Corporation's definition and
calculation of RGU may not be the same as identically titled
measurements reported by other companies or published by public
authorities.
QUEBECOR
INC.
|
|
|
|
|
|
|
|
|
|
CONSOLIDATED
STATEMENTS OF INCOME
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(in millions of
Canadian dollars, except for earnings per share
data)
|
Three months
ended
|
|
Nine months
ended
|
(unaudited)
|
September
30
|
|
September
30
|
|
|
2021
|
|
2020
|
|
|
2021
|
|
2020
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
$
|
1,148.2
|
$
|
1,111.7
|
|
$
|
3,370.5
|
$
|
3,171.0
|
|
|
|
|
|
|
|
|
|
|
Employee
costs
|
|
172.1
|
|
156.5
|
|
|
518.0
|
|
471.2
|
Purchase of goods and
services
|
|
455.8
|
|
441.8
|
|
|
1,378.1
|
|
1,274.0
|
Depreciation and
amortization
|
|
194.3
|
|
195.9
|
|
|
586.2
|
|
589.7
|
Financial
expenses
|
|
83.8
|
|
80.1
|
|
|
253.9
|
|
249.1
|
(Gain) loss on
valuation and translation of financial instruments
|
|
(6.0)
|
|
18.6
|
|
|
(7.2)
|
|
(8.9)
|
Restructuring of
operations and other items
|
|
12.4
|
|
18.9
|
|
|
(3.7)
|
|
33.1
|
Loss on debt
refinancing
|
|
-
|
|
-
|
|
|
80.9
|
|
-
|
|
|
|
|
|
|
|
|
|
|
Income before
income taxes
|
|
235.8
|
|
199.9
|
|
|
564.3
|
|
562.8
|
|
|
|
|
|
|
|
|
|
|
Income taxes
(recovery):
|
|
|
|
|
|
|
|
|
|
Current
|
|
63.5
|
|
60.7
|
|
|
191.3
|
|
181.0
|
Deferred
|
|
(6.9)
|
|
(4.3)
|
|
|
(50.9)
|
|
(33.3)
|
|
|
|
|
|
|
|
|
|
|
|
|
56.6
|
|
56.4
|
|
|
140.4
|
|
147.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from
continuing operations
|
|
179.2
|
|
143.5
|
|
|
423.9
|
|
415.1
|
|
|
|
|
|
|
|
|
|
|
Income from
discontinued operations
|
|
-
|
|
-
|
|
|
-
|
|
33.8
|
|
|
|
|
|
|
|
|
|
|
Net
income
|
$
|
179.2
|
$
|
143.5
|
|
$
|
423.9
|
$
|
448.9
|
|
|
|
|
|
|
|
|
|
|
Income from
continuing operations attributable to
|
|
|
|
|
|
|
|
|
|
Shareholders
|
$
|
173.1
|
$
|
140.9
|
|
$
|
417.9
|
$
|
413.6
|
Non-controlling
interests
|
|
6.1
|
|
2.6
|
|
|
6.0
|
|
1.5
|
|
|
|
|
|
|
|
|
|
|
Net income
attributable to
|
|
|
|
|
|
|
|
|
|
Shareholders
|
$
|
173.1
|
$
|
140.9
|
|
$
|
417.9
|
$
|
447.4
|
Non-controlling
interests
|
|
6.1
|
|
2.6
|
|
|
6.0
|
|
1.5
|
|
|
|
|
|
|
|
|
|
|
Earnings per share
attributable to shareholders
|
|
|
|
|
|
|
|
|
|
Basic:
|
|
|
|
|
|
|
|
|
|
From
continuing operations
|
$
|
0.71
|
$
|
0.56
|
|
$
|
1.71
|
$
|
1.64
|
From
discontinued operations
|
|
-
|
|
-
|
|
|
-
|
|
0.13
|
Net
income
|
|
0.71
|
|
0.56
|
|
|
1.71
|
|
1.77
|
Diluted:
|
|
|
|
|
|
|
|
|
|
From
continuing operations
|
|
0.68
|
|
0.56
|
|
|
1.66
|
|
1.58
|
From
discontinued operations
|
|
-
|
|
-
|
|
|
-
|
|
0.13
|
Net
income
|
|
0.68
|
|
0.56
|
|
|
1.66
|
|
1.71
|
|
|
|
|
|
|
|
|
|
|
Weighted average
number of shares outstanding (in millions)
|
|
242.7
|
|
250.5
|
|
|
244.8
|
|
252.4
|
Weighted average
number of diluted shares (in millions)
|
|
247.5
|
|
250.7
|
|
|
249.6
|
|
258.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
QUEBECOR
INC.
|
|
|
|
|
|
|
|
|
|
CONSOLIDATED
STATEMENTS OF COMPREHENSIVE INCOME
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(in millions of
Canadian dollars)
|
Three months
ended
|
|
Nine months
ended
|
(unaudited)
|
September
30
|
|
September
30
|
|
|
2021
|
|
2020
|
|
|
2021
|
|
2020
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from
continuing operations
|
$
|
179.2
|
$
|
143.5
|
|
$
|
423.9
|
$
|
415.1
|
|
|
|
|
|
|
|
|
|
|
Other comprehensive
income (loss) from continuing operations:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Items that may be
reclassified to income:
|
|
|
|
|
|
|
|
|
|
Cash flow
hedges:
|
|
|
|
|
|
|
|
|
|
Gain (loss) on
valuation of derivative financial instruments
|
|
15.7
|
|
(25.0)
|
|
|
11.5
|
|
18.9
|
Deferred income
taxes
|
|
(3.8)
|
|
6.1
|
|
|
1.0
|
|
(2.5)
|
|
|
|
|
|
|
|
|
|
|
Items that will not
be reclassified to income:
|
|
|
|
|
|
|
|
|
|
Defined benefit
plans:
|
|
|
|
|
|
|
|
|
|
Re-measurement gain
(loss)
|
|
27.5
|
|
(25.0)
|
|
|
202.0
|
|
(87.0)
|
Deferred income
taxes
|
|
(7.3)
|
|
6.6
|
|
|
(53.7)
|
|
22.6
|
|
|
|
|
|
|
|
|
|
|
Equity
investment:
|
|
|
|
|
|
|
|
|
|
Gain on revaluation
of an equity investment
|
|
2.4
|
|
-
|
|
|
2.4
|
|
-
|
Deferred income
taxes
|
|
(0.3)
|
|
-
|
|
|
(0.3)
|
|
-
|
|
|
|
|
|
|
|
|
|
|
Reclassification to
income:
|
|
|
|
|
|
|
|
|
|
Gain related to cash
flow hedges
|
|
-
|
|
-
|
|
|
(1.0)
|
|
-
|
Deferred income
taxes
|
|
-
|
|
-
|
|
|
0.6
|
|
-
|
|
|
34.2
|
|
(37.3)
|
|
|
162.5
|
|
(48.0)
|
|
|
|
|
|
|
|
|
|
|
Comprehensive
income from continuing operations
|
|
213.4
|
|
106.2
|
|
|
586.4
|
|
367.1
|
|
|
|
|
|
|
|
|
|
|
Income from
discontinued operations
|
|
-
|
|
-
|
|
|
-
|
|
33.8
|
|
|
|
|
|
|
|
|
|
|
Comprehensive
income
|
$
|
213.4
|
$
|
106.2
|
|
$
|
586.4
|
$
|
400.9
|
|
|
|
|
|
|
|
|
|
|
Comprehensive
income (loss) from continuing operations
|
|
|
|
|
|
|
|
|
|
attributable
to
|
|
|
|
|
|
|
|
|
|
Shareholders
|
$
|
205.4
|
$
|
104.8
|
|
$
|
570.1
|
$
|
370.3
|
Non-controlling
interests
|
|
8.0
|
|
1.4
|
|
|
16.3
|
|
(3.2)
|
|
|
|
|
|
|
|
|
|
|
Comprehensive
income (loss) attributable to
|
|
|
|
|
|
|
|
|
|
Shareholders
|
$
|
205.4
|
$
|
104.8
|
|
$
|
570.1
|
$
|
404.1
|
Non-controlling
interests
|
|
8.0
|
|
1.4
|
|
|
16.3
|
|
(3.2)
|
QUEBECOR
INC.
|
|
|
|
|
|
|
|
|
SEGMENTED
INFORMATION
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(in millions of
Canadian dollars)
|
|
|
|
|
|
|
(unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended
September 30, 2021
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sports
|
|
Head
|
|
|
|
|
|
|
|
|
and
|
|
office
|
|
|
|
|
Telecommuni-
|
|
|
|
Enter-
|
|
and
Inter-
|
|
|
|
|
cations
|
|
Media
|
|
tainment
|
|
segments
|
|
Total
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
$
|
939.5
|
$
|
190.6
|
$
|
49.1
|
$
|
(31.0)
|
$
|
1,148.2
|
|
|
|
|
|
|
|
|
|
|
|
Employee
costs
|
|
103.8
|
|
53.7
|
|
8.4
|
|
6.2
|
|
172.1
|
Purchase of goods and
services
|
|
358.9
|
|
100.3
|
|
29.7
|
|
(33.1)
|
|
455.8
|
Adjusted
EBITDA1
|
|
476.8
|
|
36.6
|
|
11.0
|
|
(4.1)
|
|
520.3
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
|
|
|
|
|
|
|
|
194.3
|
Financial
expenses
|
|
|
|
|
|
|
|
|
|
83.8
|
Gain on valuation and
translation of financial instruments
|
|
|
|
|
|
|
|
|
|
(6.0)
|
Restructuring of
operations and other items
|
|
|
|
|
|
|
|
|
|
12.4
|
Income before
income taxes
|
|
|
|
|
|
|
|
|
$
|
235.8
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows used
for:
|
|
|
|
|
|
|
|
|
|
|
Additions to
property, plant and equipment
|
$
|
114.8
|
$
|
4.9
|
$
|
0.3
|
$
|
0.4
|
$
|
120.4
|
|
|
|
|
|
|
|
|
|
|
|
Additions to
intangible assets
|
|
197.3
|
|
4.2
|
|
0.7
|
|
1.2
|
|
203.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended
September 30, 2020
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sports
|
|
Head
|
|
|
|
|
|
|
|
|
and
|
|
office
|
|
|
|
|
Telecommuni-
|
|
|
|
Enter-
|
|
and Inter-
|
|
|
|
|
cations
|
|
Media
|
|
tainment
|
|
segments
|
|
Total
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
$
|
937.9
|
$
|
157.2
|
$
|
48.5
|
$
|
(31.9)
|
$
|
1,111.7
|
|
|
|
|
|
|
|
|
|
|
|
Employee
costs
|
|
101.4
|
|
38.6
|
|
7.5
|
|
9.0
|
|
156.5
|
Purchase of goods and
services
|
|
352.9
|
|
93.7
|
|
33.4
|
|
(38.2)
|
|
441.8
|
Adjusted
EBITDA1
|
|
483.6
|
|
24.9
|
|
7.6
|
|
(2.7)
|
|
513.4
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
|
|
|
|
|
|
|
|
195.9
|
Financial
expenses
|
|
|
|
|
|
|
|
|
|
80.1
|
Loss on valuation and
translation of financial instruments
|
|
|
|
|
|
|
|
|
|
18.6
|
Restructuring of
operations and other items
|
|
|
|
|
|
|
|
|
|
18.9
|
Income before income
taxes
|
|
|
|
|
|
|
|
|
$
|
199.9
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows used
for:
|
|
|
|
|
|
|
|
|
|
|
Additions to
property, plant and equipment
|
$
|
133.9
|
$
|
3.4
|
$
|
0.1
|
$
|
0.7
|
$
|
138.1
|
|
|
|
|
|
|
|
|
|
|
|
Additions to
intangible assets
|
|
29.6
|
|
3.9
|
|
0.8
|
|
-
|
|
34.3
|
QUEBECOR
INC.
|
|
|
|
|
|
|
|
|
SEGMENTED
INFORMATION (continued)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(in millions of
Canadian dollars)
|
|
|
|
|
|
|
(unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine months ended
September 30, 2021
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sports
|
|
Head
|
|
|
|
|
|
|
|
|
|
and
|
|
office
|
|
|
|
|
|
Telecommuni-
|
|
|
|
Enter-
|
|
and
Inter-
|
|
|
|
|
|
cations
|
|
Media
|
|
tainment
|
|
segments
|
|
Total
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
$
|
2,781.9
|
$
|
563.6
|
$
|
113.8
|
$
|
(88.8)
|
$
|
3,370.5
|
|
|
|
|
|
|
|
|
|
|
|
|
Employee
costs
|
|
310.0
|
|
164.7
|
|
23.0
|
|
20.3
|
|
518.0
|
Purchase of goods and
services
|
|
1,062.7
|
|
344.3
|
|
74.6
|
|
(103.5)
|
|
1,378.1
|
Adjusted
EBITDA1
|
|
1,409.2
|
|
54.6
|
|
16.2
|
|
(5.6)
|
|
1,474.4
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
|
|
|
|
|
|
|
|
586.2
|
Financial
expenses
|
|
|
|
|
|
|
|
|
|
253.9
|
Gain on valuation and
translation of financial instruments
|
|
|
|
|
|
|
|
|
|
(7.2)
|
Restructuring of
operations and other items
|
|
|
|
|
|
|
|
|
|
(3.7)
|
Loss on debt
refinancing
|
|
|
|
|
|
|
|
|
|
|
80.9
|
Income before
income taxes
|
|
|
|
|
|
|
|
|
$
|
564.3
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows used
for:
|
|
|
|
|
|
|
|
|
|
|
Additions to
property, plant and equipment
|
$
|
323.7
|
$
|
12.0
|
$
|
0.4
|
$
|
1.6
|
$
|
337.7
|
|
|
|
|
|
|
|
|
|
|
|
|
Additions to
intangible assets
|
|
290.7
|
|
17.4
|
|
2.2
|
|
2.3
|
|
312.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Nine months ended
September 30, 2020
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sports
|
|
Head
|
|
|
|
|
|
|
|
|
|
and
|
|
office
|
|
|
|
|
|
Telecommuni-
|
|
|
|
Enter-
|
|
and Inter-
|
|
|
|
|
|
cations
|
|
Media
|
|
tainment
|
|
segments
|
|
Total
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
$
|
2,681.7
|
$
|
464.7
|
$
|
109.2
|
$
|
(84.6)
|
$
|
3,171.0
|
|
|
|
|
|
|
|
|
|
|
|
|
Employee
costs
|
|
305.0
|
|
124.5
|
|
21.6
|
|
20.1
|
|
471.2
|
Purchase of goods and
services
|
|
994.0
|
|
303.6
|
|
81.0
|
|
(104.6)
|
|
1,274.0
|
Adjusted
EBITDA1
|
|
1,382.7
|
|
36.6
|
|
6.6
|
|
(0.1)
|
|
1,425.8
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
|
|
|
|
|
|
|
|
589.7
|
Financial
expenses
|
|
|
|
|
|
|
|
|
|
249.1
|
Gain on valuation and
translation of financial instruments
|
|
|
|
|
|
|
|
|
|
(8.9)
|
Restructuring of
operations and other items
|
|
|
|
|
|
|
|
|
|
33.1
|
Income before income
taxes
|
|
|
|
|
|
|
|
|
$
|
562.8
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows used
for:
|
|
|
|
|
|
|
|
|
|
|
Additions to
property, plant and equipment
|
$
|
312.3
|
$
|
11.2
|
$
|
0.2
|
$
|
1.1
|
$
|
324.8
|
|
|
|
|
|
|
|
|
|
|
|
|
Additions to
intangible assets
|
|
165.7
|
|
17.0
|
|
2.3
|
|
0.1
|
|
185.1
|
1
|
The Chief Executive
Officer uses adjusted EBITDA as the measure of profit to assess the
performance of each segment. Adjusted EBITDA is referred
as
|
|
a non-IFRS measure
and is defined as net income before depreciation and amortization,
financial expenses, (gain) loss on valuation and translation
of
|
|
financial
instruments, restructuring of operations and other items, loss on
debt refinancing, income taxes and income from discontinued
operations.
|
QUEBECOR
INC.
|
|
|
|
|
|
|
|
|
|
CONSOLIDATED
STATEMENTS OF EQUITY
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(in millions of
Canadian dollars)
|
|
|
|
|
|
|
|
|
(unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity
attributable to shareholders
|
|
Equity
|
|
|
|
|
|
|
|
|
|
Accumulated
|
|
attributable
|
|
|
|
|
|
|
|
|
Retained
|
|
other
com-
|
|
to
non-
|
|
|
|
|
Capital
|
|
Contributed
|
|
earnings
|
|
prehensive
|
|
controlling
|
|
Total
|
|
|
stock
|
surplus
|
|
(deficit)
|
|
(loss)
income
|
|
interests
|
|
equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance as of
December 31, 2019
|
$
|
1,055.9
|
$
|
17.4
|
$
|
(31.7)
|
$
|
(64.1)
|
$
|
94.6
|
$
|
1,072.1
|
Net income
|
|
-
|
|
-
|
|
447.4
|
|
-
|
|
1.5
|
|
448.9
|
Other comprehensive
loss
|
|
-
|
|
-
|
|
-
|
|
(43.3)
|
|
(4.7)
|
|
(48.0)
|
Dividends
|
|
-
|
|
-
|
|
(151.3)
|
|
-
|
|
(0.2)
|
|
(151.5)
|
Repurchase of Class B
Shares
|
|
(27.7)
|
|
-
|
|
(115.7)
|
|
-
|
|
-
|
|
(143.4)
|
Balance as of
September 30, 2020
|
|
1,028.2
|
|
17.4
|
|
148.7
|
|
(107.4)
|
|
91.2
|
|
1,178.1
|
Net income
|
|
-
|
|
-
|
|
159.8
|
|
-
|
|
8.7
|
|
168.5
|
Other comprehensive
(loss) income
|
|
-
|
|
-
|
|
-
|
|
(26.5)
|
|
1.6
|
|
(24.9)
|
Dividends
|
|
-
|
|
-
|
|
(49.8)
|
|
-
|
|
-
|
|
(49.8)
|
Repurchase of Class B
Shares
|
|
(10.4)
|
|
-
|
|
(47.4)
|
|
-
|
|
-
|
|
(57.8)
|
Balance as of
December 31, 2020
|
|
1,017.8
|
|
17.4
|
|
211.3
|
|
(133.9)
|
|
101.5
|
|
1,214.1
|
Net income
|
|
-
|
|
-
|
|
417.9
|
|
-
|
|
6.0
|
|
423.9
|
Other comprehensive
income
|
|
-
|
|
-
|
|
-
|
|
152.2
|
|
10.3
|
|
162.5
|
Dividends
|
|
-
|
|
-
|
|
(201.8)
|
|
-
|
|
(0.1)
|
|
(201.9)
|
Repurchase of Class B
Shares
|
|
(41.7)
|
|
-
|
|
(184.2)
|
|
-
|
|
-
|
|
(225.9)
|
Balance as of
September 30, 2021
|
$
|
976.1
|
$
|
17.4
|
$
|
243.2
|
$
|
18.3
|
$
|
117.7
|
$
|
1,372.7
|
QUEBECOR
INC.
|
|
|
|
|
|
|
|
|
|
CONSOLIDATED
STATEMENTS OF CASH FLOWS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(in millions of
Canadian dollars)
|
Three months
ended
|
|
Nine months
ended
|
(unaudited)
|
September
30
|
|
September
30
|
|
|
2021
|
|
2020
|
|
|
2021
|
|
2020
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows related
to operating activities
|
|
|
|
|
|
|
|
|
|
Income from
continuing operations
|
$
|
179.2
|
$
|
143.5
|
|
$
|
423.9
|
$
|
415.1
|
Adjustments
for:
|
|
|
|
|
|
|
|
|
|
Depreciation of
property, plant and equipment
|
|
142.9
|
|
149.5
|
|
|
434.9
|
|
455.3
|
Amortization of
intangible assets
|
|
40.8
|
|
37.0
|
|
|
120.3
|
|
107.2
|
Amortization of
right-of-use assets
|
|
10.6
|
|
9.4
|
|
|
31.0
|
|
27.2
|
(Gain) loss on
valuation and translation of financial instruments
|
|
(6.0)
|
|
18.6
|
|
|
(7.2)
|
|
(8.9)
|
Gain on disposal of
other assets
|
|
-
|
|
(0.2)
|
|
|
(19.0)
|
|
(0.4)
|
Impairment of
assets
|
|
-
|
|
7.3
|
|
|
0.8
|
|
7.3
|
Loss on debt
refinancing
|
|
-
|
|
-
|
|
|
80.9
|
|
-
|
Amortization of
financing costs
|
|
1.8
|
|
2.0
|
|
|
6.2
|
|
6.1
|
Deferred income
taxes
|
|
(6.9)
|
|
(4.3)
|
|
|
(50.9)
|
|
(33.3)
|
Other
|
|
0.4
|
|
(0.1)
|
|
|
(0.3)
|
|
0.3
|
|
|
362.8
|
|
362.7
|
|
|
1,020.6
|
|
975.9
|
Net change in
non-cash balances related to operating activities
|
|
5.4
|
|
(23.3)
|
|
|
(161.1)
|
|
78.6
|
Cash flows provided
by continuing operating activities
|
|
368.2
|
|
339.4
|
|
|
859.5
|
|
1,054.5
|
Cash flows related
to investing activities
|
|
|
|
|
|
|
|
|
|
Business
acquisitions
|
|
0.8
|
|
-
|
|
|
(21.0)
|
|
(10.8)
|
Additions to
property, plant and equipment
|
|
(120.4)
|
|
(138.1)
|
|
|
(337.7)
|
|
(324.8)
|
Additions to
intangible assets
|
|
(203.4)
|
|
(34.3)
|
|
|
(312.6)
|
|
(185.1)
|
Proceeds from
disposals of assets
|
|
3.1
|
|
1.4
|
|
|
6.2
|
|
3.6
|
Other
|
|
-
|
|
(48.5)
|
|
|
(8.0)
|
|
(51.4)
|
Cash flows used in
continuing investing activities
|
|
(319.9)
|
|
(219.5)
|
|
|
(673.1)
|
|
(568.5)
|
Cash flows related
to financing activities
|
|
|
|
|
|
|
|
|
|
Net change in bank
indebtedness
|
|
-
|
|
(5.4)
|
|
|
3.9
|
|
(14.2)
|
Net change under
revolving facilities
|
|
(16.1)
|
|
10.3
|
|
|
6.7
|
|
(124.9)
|
Issuance of long-term
debt, net of financing costs
|
|
-
|
|
-
|
|
|
1,986.8
|
|
-
|
Repayment of
long-term debt
|
|
(1,564.4)
|
|
(0.4)
|
|
|
(1,565.0)
|
|
(1.0)
|
Repayment of lease
liabilities
|
|
(10.4)
|
|
(10.8)
|
|
|
(31.4)
|
|
(31.3)
|
Settlement of hedging
contracts
|
|
185.2
|
|
-
|
|
|
184.4
|
|
(0.8)
|
Repurchase of Class B
Shares
|
|
(94.4)
|
|
(47.8)
|
|
|
(225.9)
|
|
(143.4)
|
Dividends
|
|
(66.8)
|
|
(50.1)
|
|
|
(201.8)
|
|
(151.3)
|
Dividends paid to
non-controlling interests
|
|
-
|
|
-
|
|
|
(0.1)
|
|
(0.2)
|
Cash flows (used in)
provided by continuing financing activities
|
|
(1,566.9)
|
|
(104.2)
|
|
|
157.6
|
|
(467.1)
|
|
|
|
|
|
|
|
|
|
|
Cash flows (used in)
provided by continuing operations
|
|
(1,518.6)
|
|
15.7
|
|
|
344.0
|
|
18.9
|
|
|
|
|
|
|
|
|
|
|
Cash flows provided
by discontinued operations
|
|
-
|
|
-
|
|
|
-
|
|
7.8
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents at beginning of period
|
|
1,999.3
|
|
25.0
|
|
|
136.7
|
|
14.0
|
Cash and cash
equivalents at end of period
|
$
|
480.7
|
$
|
40.7
|
|
$
|
480.7
|
$
|
40.7
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents consist of
|
|
|
|
|
|
|
|
|
|
Cash
|
$
|
479.6
|
$
|
39.5
|
|
$
|
479.6
|
$
|
39.5
|
Cash
equivalents
|
|
1.1
|
|
1.2
|
|
|
1.1
|
|
1.2
|
|
$
|
480.7
|
$
|
40.7
|
|
$
|
480.7
|
$
|
40.7
|
|
|
|
|
|
|
|
|
|
|
Interest and taxes
reflected as operating activities
|
|
|
|
|
|
|
|
|
|
Cash interest
payments
|
$
|
49.2
|
$
|
41.3
|
|
$
|
205.3
|
$
|
198.5
|
Cash income tax
payments (net of refunds)
|
|
58.0
|
|
70.7
|
|
|
225.1
|
|
93.6
|
QUEBECOR
INC.
|
|
|
|
|
CONSOLIDATED
BALANCE SHEETS
|
|
|
|
|
|
(in millions of
Canadian dollars)
|
|
|
|
|
(unaudited)
|
September
30
|
|
December
31
|
|
|
2021
|
|
2020
|
Assets
|
|
|
|
|
|
|
|
|
|
Current
assets
|
|
|
|
|
Cash and cash
equivalents
|
$
|
480.7
|
$
|
136.7
|
Restricted
cash
|
|
202.3
|
|
-
|
Accounts
receivable
|
|
700.6
|
|
563.6
|
Contract
assets
|
|
153.3
|
|
174.9
|
Income
taxes
|
|
7.3
|
|
4.9
|
Inventories
|
|
312.9
|
|
250.7
|
Other current
assets
|
|
134.2
|
|
113.0
|
|
|
1,991.3
|
|
1,243.8
|
|
|
|
|
|
Non-current
assets
|
|
|
|
|
Property, plant and
equipment
|
|
3,095.3
|
|
3,189.2
|
Intangible
assets
|
|
1,643.8
|
|
1,466.7
|
Goodwill
|
|
2,718.5
|
|
2,714.0
|
Right-of-use
assets
|
|
150.8
|
|
143.1
|
Derivative financial
instruments
|
|
406.3
|
|
625.5
|
Deferred income
taxes
|
|
39.8
|
|
45.5
|
Other
assets
|
|
488.2
|
|
433.8
|
|
|
8,542.7
|
|
8,617.8
|
Total
assets
|
$
|
10,534.0
|
$
|
9,861.6
|
|
|
|
|
|
Liabilities and
equity
|
|
|
|
|
|
|
|
|
|
Current
liabilities
|
|
|
|
|
Bank
indebtedness
|
$
|
5.6
|
$
|
1.7
|
Accounts payable,
accrued charges and provisions
|
|
893.6
|
|
872.2
|
Deferred
revenue
|
|
301.7
|
|
307.5
|
Deferred
subsidies
|
|
202.3
|
|
-
|
Income
taxes
|
|
38.1
|
|
70.0
|
Current portion of
long-term debt
|
|
35.3
|
|
28.5
|
Current portion of
lease liabilities
|
|
36.4
|
|
34.3
|
|
|
1,513.0
|
|
1,314.2
|
|
|
|
|
|
Non-current
liabilities
|
|
|
|
|
Long-term
debt
|
|
6,221.5
|
|
5,744.9
|
Derivative financial
instruments
|
|
16.7
|
|
28.4
|
Convertible
debentures
|
|
150.0
|
|
150.0
|
Lease
liabilities
|
|
145.2
|
|
139.0
|
Deferred income
taxes
|
|
844.7
|
|
848.2
|
Other
liabilities
|
|
270.2
|
|
422.8
|
|
|
7,648.3
|
|
7,333.3
|
Equity
|
|
|
|
|
Capital
stock
|
|
976.1
|
|
1,017.8
|
Contributed
surplus
|
|
17.4
|
|
17.4
|
Retained
earnings
|
|
243.2
|
|
211.3
|
Accumulated other
comprehensive income (loss)
|
|
18.3
|
|
(133.9)
|
Equity
attributable to shareholders
|
|
1,255.0
|
|
1,112.6
|
Non-controlling
interests
|
|
117.7
|
|
101.5
|
|
|
1,372.7
|
|
1,214.1
|
|
|
|
|
|
Total liabilities
and equity
|
$
|
10,534.0
|
$
|
9,861.6
|
View original
content:https://www.prnewswire.com/news-releases/quebecor-inc-reports-consolidated-results-for-third-quarter-2021-301415858.html
SOURCE Quebecor