MONTRÉAL, March 13, 2019
/PRNewswire/ - Quebecor Inc. ("Quebecor" or the "Corporation")
today reported its consolidated financial results for the fourth
quarter and full year of 2018. Quebecor consolidates the
financial results of Quebecor Media Inc. ("Quebecor Media"), a
wholly owned subsidiary since June 22, 2018.
Highlights
2018 financial year and recent developments
- Revenues: $4.18 billion, up
$55.9 million (1.4%) from 2017.
- Adjusted EBITDA1 $1.73 billion, up $114.9
million (7.1%).
- Net income attributable to shareholders: $401.5 million ($1.68 per basic share) in 2018, compared with
$390.5 million ($1.61 per basic share) in 2017, an increase of
$11.0 million ($0.07 per basic share).
- Adjusted income from continuing operating
activities:2 $468.1
million ($1.96 per basic
share) in 2018, compared with $347.9
million ($1.44 per basic
share) in 2017, an increase of $120.2
million ($0.52 per basic
share) or 34.6%.
- The Telecommunications segment grew its revenues by
$94.2 million (2.9%) and its adjusted
EBITDA by $119.2 million (7.7%) in
2018.
- Videotron Ltd. ("Videotron") significantly increased its
revenues from mobile telephony ($64.6
million or 13.8%), Internet access ($48.4 million or 4.7%) and the Club illico
over‑the‑top video service ("Club illico") ($7.3 million or 18.4%) in 2018.
- Videotron's total average billing per unit3 ("ABPU")
was $49.51 in 2018, compared with
$48.23 in 2017, a $1.28 (2.7%) increase. Mobile ABPU was up
$0.39 (0.7%) to $53.62 in 2018 compared with $53.23 in 2017.
- There was a net increase of 109,200 revenue generating
units3 ("RGU") (1.9%) in 2018, including 129,800
connections to the mobile telephony service (12.7%), 38,000
subscriptions to the cable Internet access service (2.3%) and
59,200 memberships in Club illico (16.4%).
- Videotron sold its 4Degrees Colocation Inc. ("4Degrees
Colocation") data centre operations on January 24, 2019 for $261.6 million paid in cash, subject to certain
future conditions, resulting in an estimated gain on disposal of
$118.0 million, which will be
recognized in the first quarter of 2019, while an amount of
$53.0 million will be deferred in
connection with the estimated present value of the future
conditional adjustments.
- On May 11 and June 22, 2018, Quebecor Media repurchased a total
of 16,064,215 of its Common Shares held by CDP Capital d'Amérique
Investissements inc. ("CDP Capital"), a subsidiary of the Caisse de
dépôt et placement du Québec, for a total aggregate purchase price
of $1.54 billion, paid in cash. On
June 22, 2018, Quebecor purchased
1,564,696 Common Shares of Quebecor Media held by CDP Capital in
consideration of the issuance of a convertible debenture in the
principal amount of $150.0 million,
convertible into Class B Subordinate Voting Shares ("Class B
Shares") of Quebecor. Upon completion of these transactions, the
Corporation's interest in Quebecor Media increased from 81.53% to
100.0%.
- In the first quarter of 2018, the Corporation increased its
quarterly dividend on its Class A Multiple Voting Shares ("Class A
Shares") and Class B Shares by 100% from $0.0275 to $0.055
per share.
- On January 7, 2019, the
Corporation announced the following senior management changes:
-
- Mr. Jean‑François Pruneau, previously Senior Vice President and
Chief Financial Officer of Quebecor and Quebecor Media, was
appointed President and Chief Executive Officer of Videotron,
succeeding Ms. Manon Brouillette, whose name was submitted to
the Corporation's Human Resources Committee and Corporate
Governance Committee at the beginning of 2019 for appointment
to the Board of Directors of Quebecor. On the same day,
Mr. Hugues Simard was appointed Chief Financial Officer of
Quebecor and Quebecor Media.
- Mr. Marc M. Tremblay was
appointed Chief Operating Officer, Chief Legal Officer and
Corporate Secretary of Quebecor and Quebecor Media.
Mr. Tremblay was previously Senior Vice President, Chief Legal
Officer and Public Affairs, and Corporate Secretary of Quebecor and
Quebecor Media.
___________________________
|
1
|
See "Adjusted EBITDA"
under "Definitions."
|
2
|
See "Adjusted income
from continuing operating activities" under
"Definitions."
|
3
|
See "Key performance
indicators" under "Definitions."
|
Fourth quarter 2018
- Revenues: $1.09 billion, a
$27.6 million (2.6%) increase.
- Adjusted EBITDA: $450.0 million,
a $32.0 million (7.7%) increase.
- Net income attributable to shareholders: $116.8 million ($0.46 per basic share) in the fourth quarter of
2018, compared with $70.4 million
($0.29 per basic share) in the same
period of 2017, a favourable variance of $46.4 million ($0.17 per basic share).
- Adjusted income from continuing operating activities:
$132.7 million ($0.52 per basic share) in the fourth quarter of
2018, compared with $83.3 million
($0.35 per basic share) in the same
period of 2017, an increase of $49.4
million ($0.17 per basic
share) or 59.3%.
- There was a net increase of 34,400 RGUs (0.6%) in the fourth
quarter of 2018, including 33,100 connections (3.0%) to the mobile
telephony service, 7,000 subscriptions to the cable Internet access
service (0.4%) and 17,900 memberships in Club illico (4.4%).
"Our positive results in the fourth quarter of 2018 cap what was
an excellent year in many respects, driven once again by
Videotron's strong numbers," commented Pierre Karl Péladeau,
President and Chief Executive Officer of Quebecor. "Quebecor also
achieved a major milestone in its history in 2018 by
completing the repurchase of all the shares of its Quebecor Media
subsidiary held by CDP Capital, its leading financial partner
since the acquisition of Groupe Vidéotron ltée in 2000. With
this share repurchase, we now have access to all the cash flows
generated by Quebecor Media, giving us full control over our
assets, our development and our future. The financial leverage
obtained by this share repurchase, combined with our increased
profitability, are fully reflected in the 59.3% increase in
our adjusted income from continuing operating activities in the
fourth quarter of 2018.
"With respect to innovation and development, we are well
positioned to benefit from the latest technological advances in
order to take on competition on all fronts. Among other things, in
late 2018, we launched Fizz, our new advantageously priced, fully
digital cellphone service, which will enable us to reach an
entirely new market. We are also planning a large‑scale roll‑out
in 2019 of our Helix platform, based on our partner
Comcast Corporation's Xfinity X1 platform, which will let our
customers take advantage of convergence among all the technologies
they use in their home, as well as access aggregation and
recommendation tools for rich content from both conventional and
over‑the‑top broadcasting platforms.
"In our Media segment, we pressed ahead with our strategy to
diversify our revenue streams and enhance our content offerings. To
this end, we made a number of acquisitions in 2018 and early 2019,
including the companies in the Incendo Media Inc. group
("Incendo Media"), the Serdy Media inc. and Serdy Vidéo
inc. groups, Audio Zone Inc., LC Media Inc., and the assets of
Mobilimage inc. In addition, we launched QUB radio, our new
online and mobile app audio platform," Mr. Péladeau added.
"In 2018, the results of the mobile telephony, Internet access
and Club illico services continued their strong uptrend and
remained growth drivers in which we continue to invest," said
Jean‑François Pruneau, President and Chief Executive Officer of
Videotron. "Subscriptions to the mobile telephony service increased
by 12.7%, to Internet access by 2.3%, and to Club illico
by 16.4%, highlighting once again the quality and diversity of
the services Videotron offers its customers. We are very proud of
the substantial increase in the subscriber base for the mobile
version of Club illico since its launch in the fall of 2018. By
December 31, 2018 it stood at more than
127,000 customers, which is consistent with consumer trends,
as viewers increasingly turn to digital platforms to access
content. Our efforts to expand our customer base and reach new
geographic regions, combined with our effective targeting of
customer needs, have been instrumental in our success.
"Videotron also owes its success in large part to the engaged
and talented employees who deliver excellent customer experience
day after day. We are therefore pleased to report that Videotron
ranked as one of Montréal's Top Employers on Mediacorp Canada's
2019 list, after being named one of Canada's Top 100 Employers in
November 2018," Mr. Pruneau said.
The Media segment's adjusted EBITDA increased by $5.1 million (22.8%) in the fourth quarter
of 2018, with a 9.0% increase for TVA Group Inc.
("TVA Group").
"All our business segments contributed to the significant
increase in TVA Group's profitability in the fourth quarter
of 2018," said France Lauzière, President and Chief Executive
Officer of TVA Group. "The various cost‑cutting initiatives
implemented in recent quarters offset the impact of the decrease in
broadcasting and magazine advertising revenues. In the Film
Production & Audiovisual Services segment, soundstage and
equipment rentals and postproduction revenues contributed to the
increase in adjusted EBITDA.
"In the fourth quarter of 2018, TVA Group's market share
continued to grow to 36.6 %. The specialty channels increased their
market share by 1.4 points to 13.5%. LCN, by far
Québec's most‑watched specialty channel, increased its market share
by 0.5 points.
"We were very pleased to close the acquisition of the Évasion
and Zeste specialty channels on February 13, 2019. They
will enhance our television content offerings to the benefit of our
viewers and advertisers. We also reached an agreement on
February 22, 2019 to acquire the companies in the Incendo
Media group, a producer and distributor of television products for
international markets. The transaction is in keeping with our push
to increase our revenues from other markets, step up our
international development and expand our footprint, especially in
English‑language markets." concluded France Lauzière.
In the Sports and Entertainment segment, the Videotron Centre
completed its third year of operation in September 2018.
During that year, the Videotron Centre hosted 91 sporting
events and concerts, an 8.3% increase from the previous year.
In April 2018, Billboard magazine ranked the
Videotron Centre number 5 on its list of top Canadian arenas,
based on concert receipts.
"In 2018, Quebecor redeemed, for cash, convertible debentures in
the aggregate principal amount of $87.5 million and redeemed the entirety of
its remaining convertible debentures, with a book value of
$784.8 million at the redemption
date, in consideration of the issuance of
30,129,869 Class B Shares," said Hugues Simard, Chief Financial Officer of
Quebecor. "The Corporation also purchased and cancelled
11,390,300 Class B Shares under its normal course issuer
bid in 2018 for a cash consideration of $291.7 million.
Since the inception of its normal course issuer bid, the
Corporation has purchased a total of 31,091,200 Class B
Shares for a total cash consideration of $570.8 million.
The Corporation has therefore been able to capitalize on its growth
to limit the dilutive impact on shareholders of the financial
operations it conducted for the purpose of repurchasing the shares
of Quebecor Media."
"In 2018, we again demonstrated our ability to implement
positive strategies while staying focused on executing our business
plan and managing our operations," Pierre Karl Péladeau concluded.
"In a time of far‑reaching change, we are looking to the future and
to solid profitability based on structured growth, to the benefit
of our customers, our employees and our shareholders."
Table
1
|
Quebecor financial
highlights, 2014 to 2018
|
(in millions of
Canadian dollars, except per share data)
|
|
|
2018
|
|
2017
|
|
2016
|
|
2015
|
|
2014
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
$
|
4,181.0
|
$
|
4,125.1
|
$
|
4,057.1
|
$
|
3,901.9
|
$
|
3,629.2
|
Adjusted
EBITDA
|
|
1,732.1
|
|
1,617.2
|
|
1,555.6
|
|
1,472.0
|
|
1,432.5
|
Income from
continuing operating activities
attributable to shareholders
|
|
398.0
|
|
375.7
|
|
233.1
|
|
183.8
|
|
41.5
|
Net income (loss)
attributable to shareholders
|
|
401.5
|
|
390.5
|
|
233.9
|
|
169.7
|
|
(17.6)
|
Adjusted income from
continuing operating
activities
|
|
468.1
|
|
347.9
|
|
343.9
|
|
258.1
|
|
222.2
|
Per basic
share:
|
|
|
|
|
|
|
|
|
|
|
Income from continuing
operating activities attributable
to shareholders
|
|
1.66
|
|
1.55
|
|
0.96
|
|
0.75
|
|
0.17
|
Net income (loss)
attributable to shareholders
|
|
1.68
|
|
1.61
|
|
0.96
|
|
0.69
|
|
(0.07)
|
Adjusted income from
continuing operating
activities
|
|
1.96
|
|
1.44
|
|
1.41
|
|
1.05
|
|
0.90
|
Discontinued operations
On January 24, 2019, Videotron
sold its 4Degrees Colocation data centre operations for an amount
of $261.6 million, which was fully paid in cash at the
date of transaction. The determination of the final proceeds from
the sale is however subject to certain adjustments based on the
realization of future conditions over a period of up to
10 years. Accordingly, an estimated gain on disposal
of $118.0 million will be accounted for in the first
quarter of 2019, while an amount of $53.0 million from the proceeds received at
the date of transaction will be deferred in connection with the
estimated present value of the future conditional adjustments. The
results of operations and cash flows of these businesses were
reclassified as discontinued operations in the consolidated
statements of income and cash flows. The amount deferred will be
revaluated on a quarterly basis and any change will also be
recorded in income from discontinued operations. In this press
release, only continuing operating activities of Quebecor Media are
included in the analysis of the Corporation's activities and in the
analysis of its segment operating results.
Changes in accounting policies
On January 1, 2018, the
Corporation adopted on a fully retroactive basis the new rules
under IFRS 15, Revenue from Contracts with Customers,
which specify how and when an entity should recognize revenue. The
adoption of IFRS 15 had significant impacts on the
consolidated financial statements, mainly in the Telecommunications
segment, with regard to the timing of the recognition of its
revenues, the classification of its revenues, as well as the
capitalization of costs. Among other impacts, the adoption of
IFRS 15 resulted in an increase in the revenue from the device
sale and in a decrease in the mobile service revenue recognized
over the contract term. As well, costs to obtain a contract and
connection costs are now fully amortized as operating expenses over
the contract term or over the period of time the customer is
expected to maintain its service. A description of the new rules
and details of the retroactive adjustments to comparative data are
provided in note 1(b) to Quebecor's consolidated financial
statements for 2018 and under "Changes in accounting policies"
in Quebecor's Management Discussion and Analysis for the same
period. As well, to clarify the impact of IFRS 15 on non‑IFRS
measures, columns presenting the non‑IFRS measures without
application of IFRS 15 have been added to the tables showing
the calculation and reconciliation of non‑IFRS measures, as
presented under "Definitions" below.
Tables 2 and 3 below present segmented revenues and adjusted
EBITDA for the last eight quarters, restated to reflect the
retroactive application of IFRS 15.
Table
2
|
Quebecor's
segmented revenues for the past eight quarters
|
(in millions of
Canadian dollars)
|
|
|
Q4‑2018
|
|
Q3‑2018
|
|
Q2‑2018
|
|
Q1‑2018
|
|
Q4‑2017
|
|
Q3‑2017
|
|
Q2‑2017
|
|
Q1‑2017
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Telecommunications
|
$
|
866.1
|
$
|
854.8
|
$
|
842.4
|
$
|
818.7
|
$
|
841.7
|
$
|
825.1
|
$
|
822.0
|
$
|
799.0
|
Media
|
|
198.0
|
|
170.9
|
|
186.5
|
|
173.2
|
|
199.5
|
|
186.8
|
|
199.5
|
|
184.1
|
Sports and
Entertainment
|
|
53.5
|
|
54.5
|
|
36.9
|
|
37.2
|
|
50.3
|
|
56.7
|
|
36.0
|
|
38.3
|
Head Office
and Intersegment
|
|
(30.5)
|
|
(27.0)
|
|
(27.1)
|
|
(27.1)
|
|
(32.0)
|
|
(32.5)
|
|
(23.5)
|
|
(25.9)
|
Total
|
$
|
1,087.1
|
$
|
1,053.2
|
$
|
1,038.7
|
$
|
1,002.0
|
$
|
1,059.5
|
$
|
1,036.1
|
$
|
1,034.0
|
$
|
995.5
|
Table
3
|
Quebecor's
segmented adjusted EBITDA for the past eight
quarters
|
(in millions of
Canadian dollars)
|
|
|
Q4‑2018
|
|
Q3‑2018
|
|
Q2‑2018
|
|
Q1‑2018
|
|
Q4‑2017
|
|
Q3‑2017
|
|
Q2‑2017
|
|
Q1‑2017
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Telecommunications
|
$
|
425.9
|
$
|
423.5
|
$
|
419.7
|
$
|
407.9
|
$
|
394.9
|
$
|
387.6
|
$
|
395.0
|
$
|
380.3
|
Media
|
|
27.5
|
|
29.6
|
|
(0.7)
|
|
(1.1)
|
|
22.4
|
|
35.7
|
|
13.4
|
|
(2.2)
|
Sports and
Entertainment
|
|
1.9
|
|
7.2
|
|
(2.0)
|
|
(2.1)
|
|
2.3
|
|
8.3
|
|
(3.6)
|
|
(0.8)
|
Head
Office
|
|
(5.3)
|
|
2.8
|
|
(2.8)
|
|
0.1
|
|
(1.6)
|
|
(2.2)
|
|
(3.3)
|
|
(9.0)
|
Total
|
$
|
450.0
|
$
|
463.1
|
$
|
414.2
|
$
|
404.8
|
$
|
418.0
|
$
|
429.4
|
$
|
401.5
|
$
|
368.3
|
Changes to key performance indicators
Following adoption of IFRS 15, and to reflect changes in
its activities and services, including the growth of its mobile
telephony business, the Corporation reviewed the nature and
definition of its key performance indicators. Accordingly, average
monthly revenue per user ("ARPU") has been abandoned and replaced
by the new ABPU metric. ABPU will be used henceforth to measure the
performance of mobile activities and the performance of all
activities combined. The definition of the new ABPU metric is
provided under "Key performance indicators" below. The
definition of a RGU has also been added in the same section; the
nature and calculation of the metric are unchanged.
Table 4 presents the new ABPU metric for mobile activities and
all activities combined for the last eight quarters.
Table
4
|
Videotron's ABPU
for the past eight quarters
|
(in Canadian
dollars)
|
|
|
Q4‑2018
|
|
Q3‑2018
|
|
Q2‑2018
|
|
Q1‑2018
|
|
Q4‑2017
|
|
Q3‑2017
|
|
Q2‑2017
|
|
Q1‑2017
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Mobile
ABPU
|
$
|
53.25
|
$
|
54.28
|
$
|
53.70
|
$
|
53.25
|
$
|
53.56
|
$
|
53.34
|
$
|
53.32
|
$
|
52.64
|
Total ABPU
|
$
|
49.84
|
$
|
49.70
|
$
|
49.68
|
$
|
48.82
|
$
|
48.90
|
$
|
48.50
|
$
|
48.12
|
$
|
47.41
|
2018/2017 financial year comparison
Revenues: $4.18 billion, a $55.9 million (1.4%) increase.
- Revenues increased in Telecommunications ($94.2 million or 2.9% of segment revenues)
and in Sports and Entertainment ($0.8 million or 0.4%).
- Revenues decreased in Media ($41.3 million or ‑5.4%).
Adjusted EBITDA: $1.73 billion, up $114.9 million (7.1%).
- Adjusted EBITDA increased in Telecommunications ($119.2 million or 7.7% of segment adjusted
EBITDA). There was a favourable variance at Head Office
($10.9 million), mainly due to lower
compensation costs.
- There was an unfavourable variance in Media ($14.0 million or ‑20.2%) and in Sports and
Entertainment ($1.2 million or
‑19.4%).
- The change in the fair value of Quebecor Media stock options
resulted in a $0.5 million
unfavourable variance in the stock‑based compensation charge in
2018 compared with 2017. The change in the fair value of Quebecor
stock options and in the value of Quebecor stock‑price‑based share
units resulted in a $2.1 million
favourable variance in the Corporation's stock‑based compensation
charge in 2018.
Net income attributable to shareholders: $401.5 million ($1.68 per basic share) in 2018, compared
with $390.5 million ($1.61 per basic share) in 2017, an
increase of $11.0 million
($0.07 per basic share).
- The main favourable variances were:
-
- $138.5 million favourable
variance in losses on valuation and translation of financial
instruments, including $137.0 million without any tax
consequences;
- $114.9 million increase in
adjusted EBITDA;
- $100.5 million favourable
variance in non‑controlling interest;
- $43.8 million favourable
variance in impairment of goodwill and intangible assets;
- $15.6 million favourable
variance in the loss on debt refinancing.
- The main unfavourable variances were:
-
- $330.9 million gain on the
sale of spectrum licences recognized in 2017, including
$165.5 million without any tax
consequences;
- $16.1 million increase in
financial expenses;
- $16.0 million increase in
the income tax expense;
- $14.4 million unfavourable
variance in income from discontinued operations;
- $12.6 million unfavourable
variance in the charge for restructuring of operations, litigation
and other items;
- $12.3 million increase in
the depreciation and amortization charge.
Adjusted income from continuing operating activities:
$468.1 million ($1.96 per basic share) in 2018, compared
with $347.9 million ($1.44 per basic share) in 2017, an increase
of $120.2 million ($0.52 per basic share) or 34.6%.
2018/2017 fourth quarter comparison
Revenues: $1.09 billion, a $27.6 million (2.6%) increase.
- Revenues increased in Telecommunications ($24.4 million or 2.9% of segment revenues)
and in Sports and Entertainment ($3.2 million or 6.4%).
- Revenues decreased in Media ($1.5 million or ‑0.8%).
Adjusted EBITDA: $450.0 million, a $32.0 million (7.7%) increase.
- Adjusted EBITDA increased in Telecommunications ($31.0 million or 7.9% of segment adjusted
EBITDA) and in Media ($5.1 million or 22.8%).
- Adjusted EBITDA decreased in Sports and Entertainment
($0.4 million or ‑17.4%) and
there was an unfavourable variance at Head Office
(‑$3.7 million). The change at Head Office was essentially due
to higher compensation costs, including the stock‑based
compensation charge.
- The change in the fair value of Quebecor Media stock options
resulted in a $2.3 million
unfavourable variance in the stock‑based compensation charge in the
fourth quarter of 2018 compared with the same period of 2017.
The change in the fair value of Quebecor stock options and in the
value of Quebecor stock‑price‑based share units resulted in a
$2.2 million unfavourable
variance in the Corporation's stock‑based compensation charge in
the fourth quarter of 2018.
Net income attributable to shareholders: $116.8 million ($0.46 per basic share) in the fourth quarter
of 2018, compared with $70.4 million ($0.29 per basic share) in the same period of
2017, a favourable variance of $46.4 million ($0.17 per basic share).
- The main favourable variances were:
-
- $32.0 million increase in
adjusted EBITDA;
- $19.0 million favourable
variance in non‑controlling interest;
- $10.8 million decrease in
the depreciation and amortization charge.
- The main unfavourable variances were:
-
- $8.2 million increase in the
income tax expense;
- $7.3 million increase in
financial expenses.
Adjusted income from continuing operating activities:
$132.7 million ($0.52 per basic share) in the fourth quarter
of 2018, compared with $83.3 million ($0.35 per basic share) in the same period of
2017, an increase of $49.4 million ($0.17 per basic share) or 59.3%.
Financial transactions
- On February 15, 2019, Quebecor
Media amended its $300.0 million
secured revolving credit facility, extending its term to
July 2022. Certain conditions were
also amended.
- On November 26, 2018, Quebecor
amended its secured revolving credit facility, reducing it from
$300.0 million to $50.0 million and extending its term to
July 2020, while Videotron amended
its secured revolving credit facility, increasing it from
$965.0 million to $1.50 billion and extending its term to
July 2023. Certain conditions related
to those credit facilities were also amended.
- On August 21, 2018, the
Corporation issued a notice regarding the redemption on
October 12, 2018 of all its
outstanding 4.125% convertible debentures maturing on October 15, 2018, in the aggregate principal
amount of $362.5 million. In
accordance with the terms of the convertible debentures, the
Corporation elected to exercise its right to settle the redemption
of all the outstanding debentures in shares. Consequently, Quebecor
issued and delivered 30,129,869 Class B Shares to the holders on
October 12, 2018. In February and
May 2018, the Corporation also issued
notices regarding the redemption on April
4 and July 24, 2018 of
convertible debentures in the aggregate principal amount of
$87.5 million. The redemption prices
were paid upon redemption of the debentures.
- In 2018, the Corporation increased its interest in Quebecor
Media from 81.53% to 100.0% through the following
transactions:
-
- On May 11 and June 22, 2018, Quebecor Media repurchased for
cancellation a total of 16,064,215 of its Common Shares held by
CDP Capital for a total aggregate purchase price of
$1.54 billion, paid in
cash.
- On June 22, 2018, Quebecor
purchased 1,564,696 Common Shares of Quebecor Media held by
CDP Capital in consideration of the issuance of $150.0 million aggregate principal amount of
convertible debentures of Quebecor. The debentures bear interest at
an annual rate of 4.00% and mature in June
2024. The convertible debentures are convertible into
Class B Shares of Quebecor in accordance with the terms of the
trust indenture, subject to a floor price of $26.85 per share
(that is, a maximum number of approximately
5,586,592 Class B Shares of Quebecor corresponding to a
ratio of $150.0 million to the floor price) and a ceiling
price of $33.5625 per share (that is,
a minimum number of approximately 4,469,274 Class B
Shares of Quebecor corresponding to a ratio of $150.0 million to the ceiling price),
subject to adjustments in accordance with the terms of the trust
indenture. The other terms and conditions of the convertible
debentures are substantially consistent with the terms of the
convertible debentures issued under the Corporation's trust
agreement dated October 11, 2012, as amended.
- In view of the Corporation's current and prospective financial
profile, the Board of Directors examined the dividend policy in the
first quarter of 2018 and set a dividend target of 30% to 50%
of the Corporation's annual free cash flows, to be achieved
gradually by the end of a four‑year period. Accordingly, the
Corporation's quarterly dividend was increased by 100%.
Participation in 600 MHz spectrum auction
In December 2018, Videotron
qualified as a bidder in the auction for spectrum licences in the
600 MHz band announced by Innovation, Science and Economic
Development Canada ("ISED Canada"). The auction is scheduled
to commence on March 12, 2019.
In December 2018, Videotron
contracted new unsecured on‑demand credit facilities under which
letters of credit were issued and submitted to ISED Canada as
a pre‑auction deposit, with the application to bid. The submission
of these letters of credit did not have the effect of reducing the
Corporation's net available liquidity. In accordance with the rules
of confidentially established by ISED Canada respecting
restrictions on communications during the auction process, it is
strictly forbidden for the Corporation to disclose the amount of
these letters of credit. Videotron may withdraw the letters of
credit at any time prior to the opening of the auction.
The full licencing framework for spectrum in the 600 MHz band
published by ISED Canada, including the method used to determine
the amount of the pre‑auction deposit, is available on the ISED
Canada website at
<http://www.ic.gc.ca/eic/site/smt-gst.nsf/eng/h_sf11331.html>.
Dividend
On March 12, 2019, the Board of
Directors of Quebecor declared a quarterly dividend of $0.055 per share on the Corporation's
Class A Shares and Class B Shares, payable on
April 23, 2019 to shareholders of
record as of the record date of March 29, 2019. This
dividend is designated an eligible dividend, as provided under
subsection 89(14) of the Canadian Income Tax Act and
its provincial counterpart.
Normal course issuer bid
On August 8, 2018, the Board of
Directors of Quebecor authorized the renewal of its 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
7,800,000 Class B Shares, representing approximately 5.0%
of issued and outstanding Class B Shares as of
August 1, 2018. The purchases can be made from
August 15, 2018 to August 14,
2019 at prevailing market prices on the open market through
the facilities of the Toronto Stock Exchange ("TSX") or other
alternative trading systems. All the repurchased shares will be
cancelled.
On August 9, 2018, the Corporation
announced that it had entered into an automatic securities purchase
plan ("the plan"), as of August 10, 2018, with a
designated broker under its normal course issuer bid, 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. 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 are
made at the discretion of the designated broker, within parameters
established by the Corporation prior to the blackout periods.
Outside the blackout periods, purchases are made at the discretion
of the Corporation's management. The plan received prior approval
from the TSX. It came into effect on August 15, 2018
and terminates on the same date as the normal course issuer
bid.
In 2018, the Corporation purchased and cancelled
11,390,300 Class B Shares for a total cash consideration
of $291.7 million (5,590,700 Class B Shares for
a total cash consideration of $127.5 million in 2017). The $257.6 million excess of the purchase price
over the carrying value of the repurchased Class B Shares was
recorded in reduction of retained earnings ($117.0 million in 2017).
In 2018, 100,000 Class B Shares were issued upon exercise
of stock options for a cash consideration of $1.3 million
(100,000 Class B Shares for a cash consideration of
$1.1 million in 2017). Following
this transaction, the contributed surplus was increased
by $1.2 million ($1.2 million in 2017) and the stock option
plan liability was reduced by the same amount.
Detailed financial information
For a detailed analysis of Quebecor's fourth quarter and
full‑year 2018 results, please refer to the Management Discussion
and Analysis and consolidated financial statements of Quebecor,
available on the Corporation's website at
<www.quebecor.com/en/quarterly_doc_quebecor_inc> 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 fourth
quarter and full‑year 2018 results on March 13, 2019 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 48006#. A
tape recording of the call will be available from March 13 to June 13, 2019 by dialling
1 877 293‑8133, conference number 1243153, access code
for participants 48006#. 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.
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 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, 2018.
The forward‑looking statements in this press release reflect
Quebecor's expectations as of March 13, 2019 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
On a transitional basis and to clarify the impact of the
retroactive adoption of IFRS 15, as described under "Changes
in accounting policies," columns have been added to the calculation
and reconciliation tables for financial measures not defined in
accordance with International Financial Reporting Standards
("IFRS"). Accordingly, those tables also show the calculation and
reconciliation of non‑IFRS measures in 2018 and 2017
based on the former accounting policies with respect to revenue
recognition, i.e. without the adjustments required by adoption
of IFRS 15.
Adjusted EBITDA (formerly "Adjusted operating
income")
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, gains and losses on valuation and translation of
financial instruments, restructuring of operations, litigation and
other items, gain on sale of spectrum licences, impairment of
goodwill and intangible assets, 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 other financial operating 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 significant 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 segment operations and free cash flows from continuing
operating activities of the Quebecor Media subsidiary. The
Corporation's definition of adjusted EBITDA may not be the same as
similarly titled measures reported by other companies.
Table 5 below provides a reconciliation of adjusted EBITDA to
net income as disclosed in Quebecor's consolidated financial
statements. The consolidated financial information for the
three‑month periods ended December 31, 2018 and 2017
presented in Table 5 is drawn from the unaudited consolidated
statements of income.
Table
5
|
Reconciliation of
the adjusted EBITDA measure used in this press release to the net
income measure used in the consolidated financial
statements
|
(in millions of
Canadian dollars)
|
|
With adoption of
IFRS151
|
Without
IFRS152
|
|
Years ended
December 31
|
Three months
ended
December 31
|
Years ended
December 31
|
Three months
ended
December 31
|
|
|
2018
|
|
2017
|
|
2018
|
|
2017
|
|
2018
|
|
2017
|
|
2018
|
|
2017
|
Adjusted EBITDA
(negative adjusted
EBITDA):
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Telecommunications
|
$
|
1,677.0
|
$
|
1,557.8
|
$
|
425.9
|
$
|
394.9
|
$
|
1,654.5
|
$
|
1,523.0
|
$
|
409.5
|
$
|
386.7
|
Media
|
|
55.3
|
|
69.3
|
|
27.5
|
|
22.4
|
|
55.3
|
|
69.3
|
|
27.5
|
|
22.4
|
Sports and
Entertainment
|
|
5.0
|
|
6.2
|
|
1.9
|
|
2.3
|
|
5.0
|
|
6.2
|
|
1.9
|
|
2.3
|
Head Office
|
|
(5.2)
|
|
(16.1)
|
|
(5.3)
|
|
(1.6)
|
|
(5.2)
|
|
(16.1)
|
|
(5.3)
|
|
(1.6)
|
|
|
1,732.1
|
|
1,617.2
|
|
450.0
|
|
418.0
|
|
1,709.6
|
|
1,582.4
|
|
433.6
|
|
409.8
|
Depreciation and
amortization
|
|
(720.2)
|
|
(707.9)
|
|
(182.2)
|
|
(193.0)
|
|
(720.2)
|
|
(707.9)
|
|
(182.2)
|
|
(193.0)
|
Financial
expenses
|
|
(323.5)
|
|
(307.4)
|
|
(84.4)
|
|
(77.1)
|
|
(323.5)
|
|
(307.4)
|
|
(84.4)
|
|
(77.1)
|
Loss on valuation
and translation of
financial instruments
|
|
(61.3)
|
|
(199.8)
|
|
(10.6)
|
|
(8.1)
|
|
(61.3)
|
|
(199.8)
|
|
(10.6)
|
|
(8.1)
|
Restructuring of
operations, litigation and other
items
|
|
(29.8)
|
|
(17.2)
|
|
(7.7)
|
|
(9.9)
|
|
(29.8)
|
|
(17.2)
|
|
(7.7)
|
|
(9.9)
|
Gain on sale of
spectrum licences
|
|
̶
|
|
330.9
|
|
̶
|
|
̶
|
|
̶
|
|
330.9
|
|
̶
|
|
̶
|
Impairment of
goodwill and intangible
assets
|
|
̶
|
|
(43.8)
|
|
̶
|
|
̶
|
|
̶
|
|
(43.8)
|
|
̶
|
|
̶
|
Loss on debt
refinancing
|
|
̶
|
|
(15.6)
|
|
̶
|
|
̶
|
|
̶
|
|
(15.6)
|
|
̶
|
|
̶
|
Income
taxes
|
|
(161.9)
|
|
(145.9)
|
|
(46.4)
|
|
(38.2)
|
|
(161.9)
|
|
(145.9)
|
|
(46.4)
|
|
(38.2)
|
Income from
discontinued operations
|
|
3.8
|
|
18.2
|
|
1.1
|
|
0.7
|
|
3.8
|
|
18.2
|
|
1.1
|
|
0.7
|
Impact of IFRS
15
|
|
̶
|
|
̶
|
|
̶
|
|
̶
|
|
22.5
|
|
34.8
|
|
16.4
|
|
8.2
|
Net income
|
$
|
439.2
|
$
|
528.7
|
$
|
119.8
|
$
|
92.4
|
$
|
439.2
|
$
|
528.7
|
$
|
119.8
|
$
|
92.4
|
|
|
1
|
Non‑IFRS measures
presented in these columns are calculated based on the new
IFRS 15 rules adopted by the Corporation on a retroactive
basis and described under "Changes in Accounting
Policies."
|
2
|
Non‑IFRS measures
presented in these columns are calculated based on the
Corporation's former accounting policies with respect to revenue
recognition, i.e. without the impact of IFRS 15
adoption.
|
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 gains and losses on valuation and translation
of financial instruments, restructuring of operations, litigation
and other items, gain on sale of spectrum licences, impairment of
goodwill and intangible assets, loss on debt refinancing, net of
income tax related to adjustments and of net income attributable to
non‑controlling interest related to adjustments, and before 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 6 provides a reconciliation of adjusted income from
continuing operating activities to the net income attributable to
shareholders' measure used in Quebecor's consolidated financial
statements. The consolidated financial information for the
three‑month periods ended December 31, 2018 and 2017
presented in Table 6 is drawn from the unaudited consolidated
statements of income.
Table
6
|
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 consolidated financial
statements
|
(in millions of
Canadian dollars)
|
|
With adoption of
IFRS 151
|
Without IFRS
152
|
|
Years ended
December 31
|
Three months
ended
December 31
|
Years ended
December 31
|
Three months
ended
December 31
|
|
|
2018
|
|
2017
|
|
2018
|
|
2017
|
|
2018
|
|
2017
|
|
2018
|
|
2017
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted income from
continuing operating
activities
|
$
|
468.1
|
$
|
347.9
|
$
|
132.7
|
$
|
83.3
|
$
|
450.7
|
$
|
327.1
|
$
|
120.6
|
$
|
78.5
|
Loss on valuation and
translation of financial
instruments
|
|
(61.3)
|
|
(199.8)
|
|
(10.6)
|
|
(8.1)
|
|
(61.3)
|
|
(199.8)
|
|
(10.6)
|
|
(8.1)
|
Restructuring of
operations, litigation and other
items
|
|
(29.8)
|
|
(17.2)
|
|
(7.7)
|
|
(9.9)
|
|
(29.8)
|
|
(17.2)
|
|
(7.7)
|
|
(9.9)
|
Gain on sale of
spectrum licences
|
|
−
|
|
330.9
|
|
−
|
|
−
|
|
−
|
|
330.9
|
|
̶
|
|
−
|
Impairment of
goodwill and intangible
assets
|
|
−
|
|
(43.8)
|
|
−
|
|
−
|
|
−
|
|
(43.8)
|
|
̶
|
|
−
|
Loss on debt
refinancing
|
|
−
|
|
(15.6)
|
|
−
|
|
−
|
|
−
|
|
(15.6)
|
|
̶
|
|
−
|
Income taxes related
to adjustments3
|
|
19.2
|
|
16.0
|
|
1.3
|
|
2.9
|
|
19.2
|
|
16.0
|
|
1.3
|
|
2.9
|
Net income
attributable to non‑controlling
interest related to adjustments
|
|
1.8
|
|
(42.7)
|
|
−
|
|
1.7
|
|
1.8
|
|
(42.7)
|
|
̶
|
|
1.7
|
Discontinued
operations
|
|
3.5
|
|
14.8
|
|
1.1
|
|
0.5
|
|
3.5
|
|
14.8
|
|
1.1
|
|
0.5
|
Impact of IFRS
15
|
|
−
|
|
−
|
|
−
|
|
−
|
|
17.4
|
|
20.8
|
|
12.1
|
|
4.8
|
Net income
attributable to shareholders
|
$
|
401.5
|
$
|
390.5
|
$
|
116.8
|
$
|
70.4
|
$
|
401.5
|
$
|
390.5
|
$
|
116.8
|
$
|
70.4
|
|
|
1
|
Non‑IFRS measures
presented in these columns are calculated based on the new IFRS 15
rules adopted by the Corporation on a retroactive basis and
described under "Changes in accounting policies."
|
2
|
Non‑IFRS measures
presented in these columns are calculated based on the
Corporation's former accounting policies with respect to revenue
recognition, i.e. without the impact of IFRS 15
adoption.
|
3
|
Includes impact of
fluctuations in income taxes applicable to adjusted items, either
for statutory reasons or in connection with tax
transactions.
|
KEY PERFORMANCE INDICATORS
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 cable Internet, cable television and Club
illico services, and subscriber connections to the mobile telephony
and cable 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.
Average billing per unit
The Corporation uses ABPU, an industry metric, as a key
performance indicator. This indicator is used to measure monthly
average subscription billing per average RGU. ABPU is not a
measurement that is consistent with IFRS and the Corporation's
definition and calculation of ABPU may not be the same as
identically titled measurements reported by other companies.
Mobile ABPU is calculated by dividing the average subscription
billing for mobile telephony services by the average number of
mobile RGUs during the applicable period, and then dividing
the resulting amount by the number of months in the applicable
period.
Total ABPU is calculated by dividing the combined average
subscription billing for cable Internet, cable television,
Club illico, mobile telephony and cable telephony services by
the total average number of RGUs from cable Internet, cable
television, mobile telephony and cable telephony services during
the applicable period, and then dividing the resulting amount by
the number of months in the applicable period.
QUEBECOR
INC.
|
|
|
|
|
|
|
|
|
|
CONSOLIDATED
STATEMENTS OF INCOME
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(in millions of
Canadian dollars, except for earnings per share
data)
|
Three months
ended
|
|
Twelve months
ended
|
(unaudited)
|
December
31
|
|
December
31
|
|
|
2018
|
|
2017
|
|
|
2018
|
|
2017
|
|
|
(restated)
|
|
|
(restated)
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
$
|
1,087.1
|
$
|
1,059.5
|
|
$
|
4,181.0
|
$
|
4,125.1
|
|
|
|
|
|
|
|
|
|
|
Employee
costs
|
|
174.4
|
|
172.3
|
|
|
700.5
|
|
712.1
|
Purchase of goods and
services
|
|
462.7
|
|
469.2
|
|
|
1,748.4
|
|
1,795.8
|
Depreciation and
amortization
|
|
182.2
|
|
193.0
|
|
|
720.2
|
|
707.9
|
Financial
expenses
|
|
84.4
|
|
77.1
|
|
|
323.5
|
|
307.4
|
Loss on valuation and
translation of financial instruments
|
|
10.6
|
|
8.1
|
|
|
61.3
|
|
199.8
|
Restructuring of
operations, litigation and other items
|
|
7.7
|
|
9.9
|
|
|
29.8
|
|
17.2
|
Gain on sale of
spectrum licences
|
|
-
|
|
-
|
|
|
-
|
|
(330.9)
|
Impairment of
goodwill and intangible assets
|
|
-
|
|
-
|
|
|
-
|
|
43.8
|
Loss on debt
refinancing
|
|
-
|
|
-
|
|
|
-
|
|
15.6
|
Income before
income taxes
|
|
165.1
|
|
129.9
|
|
|
597.3
|
|
656.4
|
Income taxes
(recovery):
|
|
|
|
|
|
|
|
|
|
Current
|
|
1.7
|
|
(5.7)
|
|
|
154.9
|
|
8.8
|
Deferred
|
|
44.7
|
|
43.9
|
|
|
7.0
|
|
137.1
|
|
|
46.4
|
|
38.2
|
|
|
161.9
|
|
145.9
|
|
|
|
|
|
|
|
|
|
|
Income from
continuing operations
|
|
118.7
|
|
91.7
|
|
|
435.4
|
|
510.5
|
Income from
discontinued operations
|
|
1.1
|
|
0.7
|
|
|
3.8
|
|
18.2
|
Net
income
|
$
|
119.8
|
$
|
92.4
|
|
$
|
439.2
|
$
|
528.7
|
|
|
|
|
|
|
|
|
|
|
Income from
continuing operations attributable to
|
|
|
|
|
|
|
|
|
|
Shareholders
|
$
|
115.7
|
$
|
69.9
|
|
$
|
398.0
|
$
|
375.7
|
Non-controlling
interests
|
|
3.0
|
|
21.8
|
|
|
37.4
|
|
134.8
|
|
|
|
|
|
|
|
|
|
|
Net income
attributable to
|
|
|
|
|
|
|
|
|
|
Shareholders
|
$
|
116.8
|
$
|
70.4
|
|
$
|
401.5
|
$
|
390.5
|
Non-controlling
interests
|
|
3.0
|
|
22.0
|
|
|
37.7
|
|
138.2
|
|
|
|
|
|
|
|
|
|
|
Earnings per share
attributable to shareholders
|
|
|
|
|
|
|
|
|
|
Basic:
|
|
|
|
|
|
|
|
|
|
From continuing
operations
|
$
|
0.45
|
$
|
0.29
|
|
$
|
1.66
|
$
|
1.55
|
From discontinued
operations
|
|
0.01
|
|
-
|
|
|
0.02
|
|
0.06
|
Net income
|
|
0.46
|
|
0.29
|
|
|
1.68
|
|
1.61
|
Diluted:
|
|
|
|
|
|
|
|
|
|
From continuing
operations
|
$
|
0.45
|
$
|
0.29
|
|
$
|
1.65
|
$
|
1.55
|
From discontinued
operations
|
|
0.01
|
|
-
|
|
|
0.02
|
|
0.06
|
Net income
|
|
0.46
|
|
0.29
|
|
|
1.67
|
|
1.61
|
|
|
|
|
|
|
|
|
|
|
Weighted average
number of shares outstanding (in millions)
|
|
255.1
|
|
239.7
|
|
|
239.3
|
|
241.8
|
Weighted average
number of diluted shares (in millions)
|
|
255.5
|
|
240.0
|
|
|
239.8
|
|
242.1
|
QUEBECOR
INC.
|
|
|
|
|
|
|
|
|
|
CONSOLIDATED
STATEMENTS OF COMPREHENSIVE INCOME
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(in millions of
Canadian dollars)
|
Three months
ended
|
|
Twelve months
ended
|
(unaudited)
|
December
31
|
|
December
31
|
|
|
2018
|
|
2017
|
|
|
2018
|
|
2017
|
|
|
(restated)
|
|
|
(restated)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from
continuing operations
|
$
|
118.7
|
$
|
91.7
|
|
$
|
435.4
|
$
|
510.5
|
|
|
|
|
|
|
|
|
|
|
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
|
|
34.7
|
|
(20.1)
|
|
|
(10.1)
|
|
43.7
|
Deferred income
taxes
|
|
(10.8)
|
|
2.5
|
|
|
(5.7)
|
|
28.0
|
|
|
|
|
|
|
|
|
|
|
Items that will not
be reclassified to income:
|
|
|
|
|
|
|
|
|
|
Defined benefit
plans:
|
|
|
|
|
|
|
|
|
Re-measurement
loss
|
|
(6.1)
|
|
(3.8)
|
|
|
(6.1)
|
|
(3.8)
|
Deferred income
taxes
|
|
1.7
|
|
1.0
|
|
|
1.7
|
|
1.0
|
|
|
19.5
|
|
(20.4)
|
|
|
(20.2)
|
|
68.9
|
|
|
|
|
|
|
|
|
|
|
Comprehensive
income from continuing operations
|
|
138.2
|
|
71.3
|
|
|
415.2
|
|
579.4
|
|
|
|
|
|
|
|
|
|
|
Income from
discontinued operations
|
|
1.1
|
|
0.7
|
|
|
3.8
|
|
18.2
|
Comprehensive
income
|
$
|
139.3
|
$
|
72.0
|
|
$
|
419.0
|
$
|
597.6
|
|
|
|
|
|
|
|
|
|
|
Comprehensive
income from continuing operations attributable to
|
|
|
|
|
|
|
|
|
|
Shareholders
|
$
|
135.0
|
$
|
53.1
|
|
$
|
385.2
|
$
|
431.5
|
Non-controlling
interests
|
|
3.2
|
|
18.2
|
|
|
30.0
|
|
147.9
|
|
|
|
|
|
|
|
|
|
|
Comprehensive
income attributable to
|
|
|
|
|
|
|
|
|
|
Shareholders
|
$
|
136.1
|
$
|
53.6
|
|
$
|
388.7
|
$
|
446.3
|
Non-controlling
interests
|
|
3.2
|
|
18.4
|
|
|
30.3
|
|
151.3
|
QUEBECOR
INC.
|
|
|
|
|
|
|
|
|
|
|
SEGMENTED
INFORMATION
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(in millions of
Canadian dollars)
|
|
|
|
|
|
|
|
|
|
|
(unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended
December 31, 2018
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sports
|
|
Head
|
|
|
|
|
|
|
|
|
|
and
|
|
office
|
|
|
|
|
|
Telecommuni-
|
|
|
|
Enter-
|
|
and
Inter-
|
|
|
|
|
|
cations
|
|
Media
|
|
tainment
|
|
segments
|
|
Total
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
$
|
866.1
|
$
|
198.0
|
$
|
53.5
|
$
|
(30.5)
|
$
|
1,087.1
|
|
|
|
|
|
|
|
|
|
|
|
|
Employee
costs
|
|
95.4
|
|
57.5
|
|
9.3
|
|
12.2
|
|
174.4
|
Purchase of goods and
services
|
|
344.8
|
|
113.0
|
|
42.3
|
|
(37.4)
|
|
462.7
|
Adjusted
EBITDA1
|
|
425.9
|
|
27.5
|
|
1.9
|
|
(5.3)
|
|
450.0
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
|
|
|
|
|
|
|
|
182.2
|
Financial
expenses
|
|
|
|
|
|
|
|
|
|
84.4
|
Loss on valuation and
translation of financial instruments
|
|
|
|
|
|
|
|
|
|
10.6
|
Restructuring of
operations, litigation and other items
|
|
|
|
|
|
|
|
|
|
7.7
|
Income before
income taxes
|
|
|
|
|
|
|
|
|
$
|
165.1
|
|
|
|
|
|
|
|
|
|
|
|
|
Additions to
property, plant and equipment
|
$
|
124.8
|
$
|
9.9
|
$
|
0.8
|
$
|
-
|
$
|
135.5
|
Additions to
intangible assets
|
|
69.5
|
|
1.2
|
|
0.8
|
|
(1.4)
|
|
70.1
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three months ended
December 31, 2017
|
|
|
(restated)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sports
|
|
Head
|
|
|
|
|
|
|
|
|
|
and
|
|
office
|
|
|
|
|
|
Telecommuni-
|
|
|
|
Enter-
|
|
and Inter-
|
|
|
|
|
|
cations
|
|
Media
|
|
tainment
|
|
segments
|
|
Total
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
$
|
841.7
|
$
|
199.5
|
$
|
50.3
|
$
|
(32.0)
|
$
|
1,059.5
|
|
|
|
|
|
|
|
|
|
|
|
|
Employee
costs
|
|
97.2
|
|
55.2
|
|
9.2
|
|
10.7
|
|
172.3
|
Purchase of goods and
services
|
|
349.6
|
|
121.9
|
|
38.8
|
|
(41.1)
|
|
469.2
|
Adjusted
EBITDA1
|
|
394.9
|
|
22.4
|
|
2.3
|
|
(1.6)
|
|
418.0
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
|
|
|
|
|
|
|
|
193.0
|
Financial
expenses
|
|
|
|
|
|
|
|
|
|
77.1
|
Loss on valuation and
translation of financial instruments
|
|
|
|
|
|
|
|
|
|
8.1
|
Restructuring of
operations, litigation and other items
|
|
|
|
|
|
|
|
|
|
9.9
|
Income before income
taxes
|
|
|
|
|
|
|
|
|
$
|
129.9
|
|
|
|
|
|
|
|
|
|
|
|
|
Additions to
property, plant and equipment
|
$
|
132.2
|
$
|
7.4
|
$
|
0.4
|
$
|
0.1
|
$
|
140.1
|
Additions to
intangible assets
|
|
45.3
|
|
0.7
|
|
1.8
|
|
0.5
|
|
48.3
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve months
ended December 31, 2018
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sports
|
|
Head
|
|
|
|
|
|
|
|
|
|
and
|
|
office
|
|
|
|
|
|
Telecommuni-
|
|
|
|
Enter-
|
|
and
Inter-
|
|
|
|
|
|
cations
|
|
Media
|
|
tainment
|
|
segments
|
|
Total
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
$
|
3,382.0
|
$
|
728.6
|
$
|
182.1
|
$
|
(111.7)
|
$
|
4,181.0
|
|
|
|
|
|
|
|
|
|
|
|
|
Employee
costs
|
|
387.1
|
|
234.4
|
|
38.8
|
|
40.2
|
|
700.5
|
Purchase of goods and
services
|
|
1,317.9
|
|
438.9
|
|
138.3
|
|
(146.7)
|
|
1,748.4
|
Adjusted
EBITDA1
|
|
1,677.0
|
|
55.3
|
|
5.0
|
|
(5.2)
|
|
1,732.1
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
|
|
|
|
|
|
|
|
720.2
|
Financial
expenses
|
|
|
|
|
|
|
|
|
|
323.5
|
Loss on valuation and
translation of financial instruments
|
|
|
|
|
|
|
|
|
|
61.3
|
Restructuring of
operations, litigation and other items
|
|
|
|
|
|
|
|
|
|
29.8
|
Income before
income taxes
|
|
|
|
|
|
|
|
|
$
|
597.3
|
|
|
|
|
|
|
|
|
|
|
|
|
Additions to
property, plant and equipment
|
$
|
516.7
|
$
|
28.7
|
$
|
1.5
|
$
|
6.1
|
$
|
553.0
|
Additions to
intangible assets
|
|
190.2
|
|
4.8
|
|
3.5
|
|
(1.1)
|
|
197.4
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Twelve months ended
December 31, 2017
|
|
|
(restated)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Sports
|
|
Head
|
|
|
|
|
|
|
|
|
|
and
|
|
office
|
|
|
|
|
|
Telecommuni-
|
|
|
|
Enter-
|
|
and Inter-
|
|
|
|
|
|
cations
|
|
Media
|
|
tainment
|
|
segments
|
|
Total
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revenues
|
$
|
3,287.8
|
$
|
769.9
|
$
|
181.3
|
$
|
(113.9)
|
$
|
4,125.1
|
|
|
|
|
|
|
|
|
|
|
|
|
Employee
costs
|
|
388.8
|
|
232.0
|
|
37.6
|
|
53.7
|
|
712.1
|
Purchase of goods and
services
|
|
1,341.2
|
|
468.6
|
|
137.5
|
|
(151.5)
|
|
1,795.8
|
Adjusted
EBITDA1
|
|
1,557.8
|
|
69.3
|
|
6.2
|
|
(16.1)
|
|
1,617.2
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
|
|
|
|
|
|
|
|
|
707.9
|
Financial
expenses
|
|
|
|
|
|
|
|
|
|
307.4
|
Loss on valuation and
translation of financial instruments
|
|
|
|
|
|
|
|
|
|
199.8
|
Restructuring of
operations, litigation and other items
|
|
|
|
|
|
|
|
|
|
17.2
|
Gain on sale of
spectrum licences
|
|
|
|
|
|
|
|
|
|
|
(330.9)
|
Impairment of
goodwill and intangible assets
|
|
|
|
|
|
|
|
|
|
43.8
|
Loss on debt
refinancing
|
|
|
|
|
|
|
|
|
|
|
15.6
|
Income before income
taxes
|
|
|
|
|
|
|
|
|
$
|
656.4
|
|
|
|
|
|
|
|
|
|
|
|
|
Additions to
property, plant and equipment
|
$
|
570.9
|
$
|
29.4
|
$
|
1.3
|
$
|
0.5
|
$
|
602.1
|
Additions to
intangible assets
|
|
132.3
|
|
3.3
|
|
4.3
|
|
2.0
|
|
141.9
|
|
|
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, loss on valuation and
translation of financial instruments, restructuring of
operations, litigation and other items, gain on sale of spectrum
licences, impairment of goodwill and intangible assets, 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
attributable
to
non-
controlling interests
|
|
|
|
|
|
|
|
|
|
Accumulated
other
com-
prehensive
loss
|
|
|
|
|
|
|
|
|
|
Retained
earnings
(deficit)
|
|
|
|
|
|
|
Capital
stock
|
|
Contributed
surplus
|
|
|
|
|
Total
equity
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Balance as of
December 31, 2016, as previously reported
|
$
|
323.3
|
$
|
2.3
|
$
|
235.7
|
$
|
(106.1)
|
$
|
392.0
|
$
|
847.2
|
Changes in accounting
policies
|
|
-
|
|
-
|
|
143.7
|
|
-
|
|
33.6
|
|
177.3
|
Balance as of
December 31, 2016, as restated
|
|
323.3
|
|
2.3
|
|
379.4
|
|
(106.1)
|
|
425.6
|
|
1,024.5
|
Net income
|
|
-
|
|
-
|
|
390.5
|
|
-
|
|
138.2
|
|
528.7
|
Other comprehensive
income
|
|
-
|
|
-
|
|
-
|
|
55.8
|
|
13.1
|
|
68.9
|
Issuance of Class B
Shares
|
|
1.1
|
|
1.2
|
|
-
|
|
-
|
|
-
|
|
2.3
|
Dividends or
distributions
|
|
-
|
|
-
|
|
(25.3)
|
|
-
|
|
(18.7)
|
|
(44.0)
|
Repurchase of Class B
Shares
|
|
(10.5)
|
|
-
|
|
(117.0)
|
|
-
|
|
-
|
|
(127.5)
|
Non-controlling
interests acquisition
|
-
|
|
-
|
|
(25.7)
|
|
(0.4)
|
|
(17.8)
|
|
(43.9)
|
Balance as of
December 31, 2017
|
|
313.9
|
|
3.5
|
|
601.9
|
|
(50.7)
|
|
540.4
|
|
1,409.0
|
Net income
|
|
-
|
|
-
|
|
401.5
|
|
-
|
|
37.7
|
|
439.2
|
Other comprehensive
loss
|
|
-
|
|
-
|
|
-
|
|
(12.8)
|
|
(7.4)
|
|
(20.2)
|
Issuance of Class B
Shares
|
|
786.1
|
|
1.2
|
|
-
|
|
-
|
|
-
|
|
787.3
|
Dividends or
distributions
|
|
-
|
|
-
|
|
(46.3)
|
|
-
|
|
(9.4)
|
|
(55.7)
|
Repurchase of Class B
Shares
|
|
(34.1)
|
|
-
|
|
(257.6)
|
|
-
|
|
-
|
|
(291.7)
|
Non-controlling
interests acquisition
|
-
|
|
-
|
|
(1,198.2)
|
|
(19.2)
|
|
(472.6)
|
|
(1,690.0)
|
Balance as of
December 31, 2018
|
$
|
1,065.9
|
$
|
4.7
|
$
|
(498.7)
|
$
|
(82.7)
|
$
|
88.7
|
$
|
577.9
|
QUEBECOR
INC.
|
|
|
|
|
|
|
|
|
|
CONSOLIDATED
STATEMENTS OF CASH FLOWS
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(in millions of
Canadian dollars)
|
Three months
ended
|
|
Twelve months
ended
|
(unaudited)
|
December
31
|
|
December
31
|
|
|
2018
|
|
2017
|
|
|
2018
|
|
2017
|
|
|
(restated)
|
|
|
(restated)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash flows related
to operating activities
|
|
|
|
|
|
|
|
|
|
Income from
continuing operations
|
$
|
118.7
|
$
|
91.7
|
|
$
|
435.4
|
$
|
510.5
|
Adjustments
for:
|
|
|
|
|
|
|
|
|
|
Depreciation of
property, plant and equipment
|
|
155.1
|
|
167.0
|
|
|
614.7
|
|
604.1
|
Amortization of
intangible assets
|
|
27.1
|
|
26.0
|
|
|
105.5
|
|
103.8
|
Loss on valuation and
translation of financial instruments
|
|
10.6
|
|
8.1
|
|
|
61.3
|
|
199.8
|
Gain on sale of
spectrum licences
|
|
-
|
|
-
|
|
|
-
|
|
(330.9)
|
Restructuring of
operations and impairment of goodwill and intangible
assets
|
|
-
|
|
-
|
|
|
14.9
|
|
43.8
|
Loss on debt
refinancing
|
|
-
|
|
-
|
|
|
-
|
|
15.6
|
Amortization of
financing costs and long-term debt discount
|
|
1.8
|
|
1.8
|
|
|
7.1
|
|
7.1
|
Deferred income
taxes
|
|
44.7
|
|
43.9
|
|
|
7.0
|
|
137.1
|
Other
|
|
(1.5)
|
|
1.6
|
|
|
(5.7)
|
|
4.1
|
|
|
356.5
|
|
340.1
|
|
|
1,240.2
|
|
1,295.0
|
Net change in
non-cash balances related to operating activities
|
|
(41.6)
|
|
(33.3)
|
|
|
147.3
|
|
(133.3)
|
Cash flows provided
by continuing operating activities
|
|
314.9
|
|
306.8
|
|
|
1,387.5
|
|
1,161.7
|
Cash flows related
to investing activities
|
|
|
|
|
|
|
|
|
|
Non-controlling
interests acquisition
|
|
-
|
|
-
|
|
|
(1,540.0)
|
|
(43.9)
|
Business
acquisitions
|
|
(3.1)
|
|
-
|
|
|
(10.3)
|
|
(5.8)
|
Additions to
property, plant and equipment
|
|
(135.5)
|
|
(140.1)
|
|
|
(553.0)
|
|
(602.1)
|
Additions to
intangible assets
|
|
(70.1)
|
|
(48.3)
|
|
|
(197.4)
|
|
(141.9)
|
Proceeds from
disposals of assets
|
|
3.0
|
|
2.7
|
|
|
9.4
|
|
620.7
|
Other
|
|
(10.1)
|
|
(5.9)
|
|
|
(11.3)
|
|
(10.6)
|
Cash flows used in by
continuing investing activities
|
|
(215.8)
|
|
(191.6)
|
|
|
(2,302.6)
|
|
(183.6)
|
Cash flows related
to financing activities
|
|
|
|
|
|
|
|
|
|
Net change in bank
indebtedness
|
|
2.6
|
|
0.8
|
|
|
23.5
|
|
(18.1)
|
Net change under
revolving facilities
|
|
19.5
|
|
56.9
|
|
|
565.8
|
|
(33.7)
|
Issuance of long-term
debt, net of financing fees
|
|
-
|
|
(0.3)
|
|
|
-
|
|
844.0
|
Repayment of
long-term debt
|
|
(4.1)
|
|
(9.1)
|
|
|
(20.5)
|
|
(695.6)
|
Repayment of
convertible debentures
|
|
-
|
|
-
|
|
|
(158.4)
|
|
(95.2)
|
Settlement of hedging
contracts
|
|
(0.8)
|
|
19.8
|
|
|
(1.6)
|
|
16.6
|
Issuance of Class B
Shares
|
|
-
|
|
-
|
|
|
1.3
|
|
1.1
|
Repurchase of Class B
Shares
|
|
(105.4)
|
|
(60.6)
|
|
|
(291.7)
|
|
(127.5)
|
Dividends
|
|
(14.2)
|
|
(6.5)
|
|
|
(46.3)
|
|
(25.3)
|
Dividends or
distributions paid to non-controlling interests
|
|
-
|
|
(4.6)
|
|
|
(9.4)
|
|
(18.7)
|
Cash flows (used in)
provided by continuing financing activities
|
|
(102.4)
|
|
(3.6)
|
|
|
62.7
|
|
(152.4)
|
|
|
|
|
|
|
|
|
|
|
Net change in cash
and cash equivalents from continuing operations
|
|
(3.3)
|
|
111.6
|
|
|
(852.4)
|
|
825.7
|
|
|
|
|
|
|
|
|
|
|
Cash flows provided
by discontinued operations
|
|
1.4
|
|
12.9
|
|
|
8.5
|
|
16.9
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents at beginning of period
|
|
22.9
|
|
740.4
|
|
|
864.9
|
|
22.3
|
Cash and cash
equivalents at end of period
|
$
|
21.0
|
$
|
864.9
|
|
$
|
21.0
|
$
|
864.9
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents consist of
|
|
|
|
|
|
|
|
|
|
Cash
|
$
|
20.2
|
$
|
863.2
|
|
$
|
20.2
|
$
|
863.2
|
Cash
equivalents
|
|
0.8
|
|
1.7
|
|
|
0.8
|
|
1.7
|
|
$
|
21.0
|
$
|
864.9
|
|
$
|
21.0
|
$
|
864.9
|
|
|
|
|
|
|
|
|
|
|
Interest and taxes
reflected as operating activities
|
|
|
|
|
|
|
|
|
|
Cash interest
payments
|
$
|
116.7
|
$
|
108.9
|
|
$
|
316.3
|
$
|
292.9
|
Cash income tax
payments (net of refunds)
|
|
5.6
|
|
1.2
|
|
|
18.0
|
|
58.7
|
QUEBECOR
INC.
|
|
|
|
|
|
CONSOLIDATED
BALANCE SHEETS
|
|
|
|
|
|
|
|
|
|
|
|
(in millions of
Canadian dollars)
|
|
|
|
|
|
(unaudited)
|
|
December
31
|
|
|
December
31
|
|
|
2018
|
|
|
2017
|
|
|
|
|
|
(restated)
|
|
|
|
|
|
|
Assets
|
|
|
|
|
|
|
|
|
|
|
|
Current
assets
|
|
|
|
|
|
Cash and cash
equivalents
|
$
|
21.0
|
|
$
|
864.9
|
Accounts
receivable
|
|
553.8
|
|
|
543.4
|
Contract
assets
|
|
144.4
|
|
|
132.8
|
Income
taxes
|
|
4.8
|
|
|
29.3
|
Inventories
|
|
186.3
|
|
|
188.1
|
Other current
assets
|
|
120.5
|
|
|
119.8
|
Assets held for
sale
|
|
95.0
|
|
|
-
|
|
|
1,125.8
|
|
|
1,878.3
|
|
|
|
|
|
|
Non-current
assets
|
|
|
|
|
|
Property, plant and
equipment
|
|
3,451.8
|
|
|
3,594.6
|
Intangible
assets
|
|
1,135.3
|
|
|
983.1
|
Goodwill
|
|
2,678.3
|
|
|
2,695.8
|
Derivative financial
instruments
|
|
887.0
|
|
|
591.8
|
Deferred income
taxes
|
|
51.8
|
|
|
33.2
|
Other
assets
|
|
201.6
|
|
|
185.1
|
|
|
8,405.8
|
|
|
8,083.6
|
Total
assets
|
$
|
9,531.6
|
|
$
|
9,961.9
|
|
|
|
|
|
|
Liabilities and
equity
|
|
|
|
|
|
|
|
|
|
|
|
Current
liabilities
|
|
|
|
|
|
Bank
indebtedness
|
$
|
24.3
|
|
$
|
0.8
|
Accounts payable and
accrued charges
|
|
832.0
|
|
|
738.7
|
Provisions
|
|
33.5
|
|
|
25.4
|
Deferred
revenue
|
|
340.7
|
|
|
346.8
|
Income
taxes
|
|
119.2
|
|
|
13.3
|
Convertible
debentures
|
|
-
|
|
|
450.0
|
Embedded derivatives
related to convertible debentures
|
|
-
|
|
|
442.2
|
Current portion of
long-term debt
|
|
57.9
|
|
|
20.4
|
Liabilities held for
sale
|
|
6.6
|
|
|
-
|
|
|
1,414.2
|
|
|
2,037.6
|
|
|
|
|
|
|
Non-current
liabilities
|
|
|
|
|
|
Long-term
debt
|
|
6,370.3
|
|
|
5,516.2
|
Derivative financial
instruments
|
|
-
|
|
|
34.1
|
Convertible
debentures
|
|
150.0
|
|
|
-
|
Other
liabilities
|
|
240.0
|
|
|
215.8
|
Deferred income
taxes
|
|
779.2
|
|
|
749.2
|
|
|
7,539.5
|
|
|
6,515.3
|
Equity
|
|
|
|
|
|
Capital
stock
|
|
1,065.9
|
|
|
313.9
|
Contributed
surplus
|
|
4.7
|
|
|
3.5
|
(Deficit) retained
earnings
|
|
(498.7)
|
|
|
601.9
|
Accumulated other
comprehensive loss
|
|
(82.7)
|
|
|
(50.7)
|
Equity
attributable to shareholders
|
|
489.2
|
|
|
868.6
|
Non-controlling
interests
|
|
88.7
|
|
|
540.4
|
|
|
577.9
|
|
|
1,409.0
|
|
|
|
|
|
|
Total liabilities
and equity
|
$
|
9,531.6
|
|
$
|
9,961.9
|
View original
content:http://www.prnewswire.com/news-releases/quebecor-inc-reports-consolidated-results-for-fourth-quarter-and-full-year-2018-300811375.html
SOURCE Quebecor