VANCOUVER, Nov. 30, 2011 /PRNewswire/ - CIBT Education
Group Inc. (NYSE AMEX: MBA and TSX: MBA) ("CIBT Group" or the
"Company") is pleased to report its audited consolidated operating
results for the year ended August 31,
2011.
For the twelve months ended August 31, 2011, CIBT Group's revenues totalled
$58.58 million as compared to
$55.95 million for fiscal 2010, an
increase of $2.6 million or 5%. CIBT
Group's Adjusted EBITDA (earnings before interest, tax,
depreciation and amortization) (non-GAAP) was a loss of
$2.706 million for fiscal 2011, as
compared to a positive Adjusted EBITDA of $2.174 million for fiscal 2010. CIBT
Group's net loss was $10,091,064 for
fiscal 2011, compared to a net income of $582,370 for fiscal 2010. The Adjusted EBITDA
above added back non-cash expenses that have no impact on the
Company's operating cash flow. Please note that Adjusted EBITDA is
a non-GAAP measure which allows management to isolate financial
statement items that contribute to the operating performance and
cash flow activities of CIBT Group.
A number of "non-cash" items this year including
impairment of certain long-lived assets, goodwill, marketable
securities, and write-off of deferred finance fees totalled
$6.468 million. These items have no
future operational effect to the Company and these are non-cash
expenses. The following reconciles the net income (loss) to
Adjusted EBITDA (non-GAAP):
|
|
|
|
Twelve Months
Ended August 31,
2011 |
Twelve Months
Ended August 31,
2010 |
|
|
|
Net income (loss) |
$ (10,091,064) |
$ 582,370 |
|
|
|
Add: interest on long-term
debt |
153,656 |
92,346 |
Add: income tax (recovery)
provision |
(894,623) |
(2,365,055) |
Add: depreciation and
amortization |
1,657,575 |
1,537,277 |
Add: impairments |
$5,957,778 |
2,127,229 |
Add: write-off of deferred finance
fees |
$510,711 |
200,000 |
|
|
|
Adjusted EBITDA (non-GAAP) |
$ (2,705,967) |
$ 2,174,167 |
To view the Company's annual consolidated
financial statements and management's discussion and analysis,
please visit http://www.sedar.com.
"Fiscal year 2011 was another year of consistent
growth for the Company," commented Toby
Chu, President and CEO, and Vice Chairman of CIBT Education
Group Inc., "We are pleased with our 5 year revenue growth from
US$4.894 million in 2006 to
CAD$58.58 million this year. Although
we suffered some losses this year, it is important to note that the
Company has invested significant time, effort and resources to
accomplish a number of major tasks including the consolidation and
streamlining of our various subsidiaries, rightsizing the
organization by reducing our work force, invested in the
development of our state of art Global Learning Network platform,
enhanced a number of our educational programs so that these
programs are brought up to date in order to compete in the global
and domestic markets, and continued expansion of our global
delivery platform to additional satellite centers in 18 countries.
During this time, the global economy continued to retract and
economic outlook remained pessimistic. We realized that spending on
infrastructure and rightsizing of our organization will decrease
our short-term earnings, however we feel that it is critically
important for the long term benefit and competitiveness of CIBT
Group while making our organization more adaptable to changes. Our
vision is to build a multinational organization with an extensive
international distribution network while maintaining profitability.
We believe that this network will become our most valuable asset
and it will also differentiate CIBT among its peers from a global
perspective."
"As of November 18,
2011, our cash or cash equivalent position has increased to
over $8 million from $6.46 million as of August
31, 2011. Our long term debt was $1.8 million as of August
31, 2011 and continued to decline on a monthly basis. This
strong cash position will allow us to act swiftly on appealing
acquisition opportunities as they are identified. We would like to
thank our shareholders for their support and look forward to
reporting on our future progress."
About CIBT Education Group:
CIBT Education Group Inc. is an education
management company focused on the global education market. Listed
on the Toronto Stock Exchange and the NYSE Amex, CIBT Group owns
and operates a network of business, technical and language colleges
and has cooperative joint programmes in 18 countries. Its
subsidiaries include Sprott-Shaw Community College (established in
1903), Sprott-Shaw Degree College,
CIBT School of Business China, and King George International College. Through these subsidiaries,
CIBT Group offers Western and Chinese accredited business and
management degrees, and programmes in college preparation,
automotive maintenance, information technology, hotel management
and tourism, English language training, English teacher
certification, and other career/vocational training. In addition to
its wholly-owned subsidiaries, CIBT Group is the exclusive licensee
for the American Hotel & Lodging Educational Institute (AHL-EI)
in China and the Philippines, and the WyoTech Automotive
Institute for China. CIBT Group
also owns Irix Design Group, a leading design and advertising
company based in Vancouver,
Canada.
ON BEHALF OF THE BOARD OF DIRECTORS
"Toby Chu"
Toby Chu
Vice-Chairman, President & CEO
FORWARD-LOOKING STATEMENTS:
This news release contains statements of
forward-looking information (the "forward-looking statements")
about CIBT Education Group Inc. and its future plans.
Forward-looking statements are statements that are not historical
facts. The forward-looking statements in this news release are
subject to various risks, uncertainties and other factors that
could cause the company's actual results or achievements to differ
materially from those expressed in or implied by forward-looking
statements. With respect to the statement in this news release as
to the vision CIBT Group, these risks, uncertainties and other
factors include, without limitation, uncertainty as to the
company's ability to achieve the goals and satisfy the assumptions
of management; uncertainties as to the demand for the programs
offered; and general economic factors and other factors that may be
beyond the control of the company. Forward-looking statements are
based on the beliefs, opinions and expectations of the company's
management at the time they are made, and CIBT Group does not
assume any obligation to update its forward-looking statements if
those beliefs, opinions or expectations, or other circumstances,
should change.
Neither the NYSE Amex nor the Toronto Stock Exchange
accepts responsibility for the adequacy or accuracy of this news
release.
SOURCE CIBT Education Group Inc.