Altus Group reports second quarter 2022 financial results

Q2 2022 summary

• Consolidated revenues were $206.4 million, up 19.0% (19.9% on a constant currency* basis)

• Consolidated profit, in accordance with IFRS, was $12.5 million, down 23.5%

• Consolidated earnings per share, in accordance with IFRS, was $0.28 per share basic and diluted, compared to $0.40 and $0.39 respectively

• Consolidated Adjusted EBITDA* was $49.7 million, up 17.8% (20.3% on a constant currency basis)

• Adjusted EPS* was $0.77, up 2.7% from $0.75

• Altus Analytics revenues were $82.1 million, up 38.4% (37.0% on a constant currency basis), of which Over Time Revenues* were $70.9 million, up 41.5% (40.6% on a constant currency basis), and Adjusted EBITDA was $13.8 million, up 54.1% (49.0% on a constant currency basis)

• Altus Analytics Bookings* totaled $23.5 million, up 6.0% (5.1% on a constant currency basis). Bookings that are recurring in nature were up significantly. Bookings that relate to one-time engagements were down, due to a number of sizeable one-time projects that closed in the second quarter of 2021 that did not recur.

• At the end of the second quarter, 52% of the Company’s total ARGUS Enterprise (“AE”) user base had been contracted on ARGUS Cloud (cloud adoption rate*).

• CRE Consulting revenues were $124.5 million, up 8.9% (11.1% on a constant currency basis) and Adjusted EBITDA was $46.6 million, up 9.8% (13.7% on a constant currency basis). The annuity billings in the U.K. Property Tax business contributed $33.2 million in revenues (compared to $25.7 million in the second quarter of 2021).

• As at June 30, 2022, bank debt was $345.0 million and cash and cash equivalents were $67.1 million (representing a funded debt to Adjusted EBITDA leverage ratio of 2.63 times, as such ratio is defined in the Company’s credit facility agreement, or a net debt to Adjusted EBITDA leverage ratio* of 2.37 times).