Canlan Sports achieves record revenue and profit growth for 2024

Canlan Ice Sports Corp., based in Burnaby, British Columbia, released its financial results for the year that concluded on December 31, 2024. The company reported a total operating revenue of $94.0 million, an increase of $7.9 million or 9.2% compared to 2023. This growth in revenue was attributed to multiple factors, including enhancements made within the company's facilities, the execution of strategic initiatives, and an increased focus on operational excellence. Additionally, the food and beverage revenue surged by 9.8% year-over-year, reflecting the positive impact of these enhancements on customer experience and engagement. Overall earnings also saw significant improvements; total operating earnings rose to $13.7 million, marking a substantial 45.4% increase from the previous year's $9.4 million. During this commercial growth, Canlan Sports proactively managed its expenses, with roof remediation costs decreasing by $0.8 million to $4.5 million. Earnings from facility operations, excluding general and administrative (G&A) expenses, reached $24.6 million, which also showcased commendable growth, increasing by 27.2%. After accounting for the G&A expenses totaling $11.0 million, the corporation successfully achieved an operating income of $13.7 million, which highlights the effective cost control measures implemented by the management team. Net earnings for the year amounted to $2.8 million or $0.21 per share, substantially improving on the previous year's $0.4 million or $0.03 per share. For the fourth quarter alone, Canlan Sports reported total operating revenue of $26.0 million, reflecting an increase of $1.4 million or 5.8% compared to Q4 of 2023. This uptick in quarterly revenues was largely driven by heightened earnings from third-party field contracts and enhanced operations within the food and beverage segment. Moreover, facility operating expenses for the quarter fell by $0.3 million, primarily due to decreased repair and maintenance costs in comparison to the same period last year. After deducting G&A expenses totaling $3.2 million, operating earnings for the final quarter reached $5.2 million, showcasing a significant 71.6% increase compared to the previous year. Notably, net earnings for the quarter also saw remarkable growth, rising to $2.4 million or $0.18 per share, a considerable increase from just $40,000 or less than $0.01 per share recorded during Q4 of 2023. The firm continued its commitment to deliver value to shareholders by maintaining a quarterly dividend. Canlan's dividends are categorized as 'eligible' under the Income Tax Act in Canada, ensuring tax advantages for its investors. Executives within the company, including President and CEO Joey St-Aubin and CFO Ivan Wu, expressed confidence in the company’s strategic initiatives and capital projects aimed at further enhancing customer experiences and ensuring long-term growth and sustainability. Management reflected on their successful efforts in enhancing infrastructure, increasing asset value, and generating robust cash flow from operations, all of which position Canlan Sports favorably for the future, despite the challenges faced in the broader economic landscape. Thus, Canlan's financial performance in 2024 illustrates a successful year of growth, resilience, and strategic positioning within the sports and recreation industry.