Altus Group reports fourth quarter and fiscal 2021 financial results

Q4 2021 summary

• Consolidated revenues were $162.9 million, up 16.8% (19.9% on a constant currency basis).

• Consolidated profit from continuing operations, in accordance with IFRS, was $6.9 million, up 49.1% from $4.6 million.

• Consolidated earnings per share from continuing operations, in accordance with IFRS, was $0.16 per share basic and $0.15 per share diluted, compared to $0.11 per share basic and diluted.

• Consolidated Adjusted EBITDA was $25.9 million, down 3.3% (up 1.3% on a constant currency basis).

• Adjusted EPS was $0.42 down from $0.44.

• Altus Analytics revenues were $72.4 million, up 40.6% (46.6% on a constant currency basis), of which Over Time revenues were $59.8 million, up 37.6% (41.0% on a constant currency basis), and Adjusted EBITDA was $10.7 million, up 9.0% (19.1% on a constant currency basis).

• Altus Analytics Bookings totaled $31.1 million, up 109.5% (113.3% on a constant currency basis), of which organic growth in Bookings was 86.9% (90.7% on a constant currency basis).

• CRE Consulting revenues were $90.6 million, up 2.9% (4.2% on a constant currency basis) and Adjusted EBITDA was $24.2 million, in line with 2021.

• Completed a $172.5 million equity financing, including the issuance of approximately 2.8 million shares priced at $62.00 per common share in October 2021, and further amended our bank credit facilities in November 2021 to increase borrowing capacity to $400 million, with certain provisions to further increase the limit to $450 million.

2021 full year summary

• Consolidated revenues were $625.4 million, up 11.4% (14.7% on a constant currency basis).

• Consolidated profit from continuing operations, in accordance with IFRS, was $25.6 million, down 5.3% from $27.0 million.

• Consolidated earnings per share from continuing operations, in accordance with IFRS, was $0.62 per share basic and $0.60 per share diluted, compared to $0.67 and $0.66, respectively.

• Consolidated Adjusted EBITDA* was $109.8 million, up 10.9% (15.1% on a constant currency basis).

• Adjusted EPS* was $1.90, up 13.8% from $1.67.

• Altus Analytics revenues were $251.1 million, up 23.3% (29.9% on a constant currency basis), of which Over Time revenues* were $207.8 million, up 23.9% (29.4% on a constant currency basis), and Adjusted EBITDA was $41.6 million, up 16.0% (25.2% on a constant currency basis).

• Altus Analytics Bookings* totaled $95.1 million, up 76.1% (84.9% on a constant currency basis), of which organic growth in Bookings was 65.3% (74.1% on a constant currency basis).

• At the end of 2021, 42%* of the Company’s total ARGUS Enterprise (“AE”) user base had been contracted on ARGUS Cloud, compared to 14% at the end of 2020.

• CRE Consulting revenues were $374.6 million, up 4.7% (6.0% on a constant currency basis) and Adjusted EBITDA was $104.1 million, up 13.0% (14.0% on a constant currency basis).

• As at December 31, 2021, bank debt was $287.6 million and cash and cash equivalents was $51.3 million (representing a funded debt to Adjusted EBITDA leverage ratio of 2.47 times, as such ratio is defined in our credit facility agreement, or a net debt to Adjusted EBITDA leverage ratio* of 2.17 times).

• During the year three highly strategic acquisitions were completed:

  • Finance Active, a debt management SaaS solution that provides Altus with a platform for CRE debt valuation and risk management and an international footprint;

  • StratoDem Analytics, a data-science-as-a-service for the real estate sector that, together with Altus’ data and technology, provides predictive analytics to maximize asset and portfolio performance; and

  • Reonomy, an AI-powered data platform for the CRE industry that provides comprehensive data and technology for the delivery of Altus’ intelligence-as-a-service offering capabilities and strategically position Altus for accelerated transformative innovation in AI predictive data analytics.