ClubLink Enterprises Limited announces third quarter 2009 results and regular



    Financial Highlights
                                   Three months ended     Nine months ended
    (in thousands of dollars      September  September  September  September
     except per share amounts)     30, 2009   30, 2008   30, 2009   30, 2008
    Operating revenue                90,378     91,662    165,531    167,876
    Net operating income(1)          36,604     37,994     50,587     51,805
    Net membership fee income(1)      3,085      3,235      9,177      9,040
    EBITDA(1)                        39,689     41,229     59,764     60,845
    Net earnings                     17,001     14,544     13,367     11,208
    Basic and diluted earnings
     per share                        $0.63      $0.64      $0.55      $0.49
    Weighted average shares
     outstanding (000's)             26,788     22,926     24,122     22,877
    (1) Net operating income, net membership fee income and EBITDA are not
        recognized performance measures under Canadian GAAP. EBITDA is
        defined as earnings before taxes, interest, depreciation,
        amortization, non-controlling interest and earnings from equity
        accounted investments. Management believes that in addition to net
        earnings, these measures are useful supplemental information to
        provide investors with an indication of a company's performance.
        Investors should be cautioned, however, that these measures should
        not be construed as an alternative to net earnings determined in
        accordance with GAAP as an indicator of the Company's performance.

Third Quarter 2009 Highlights

Net operating income from the golf club and resort operations decreased 9.0% to $20,115,000 for the third quarter of 2009, compared to $22,100,000 in 2008, due to declines in discretionary spending in categories such as food and beverage, corporate events and rooms caused by the recession and a cool and wet summer.

Total Golf Members increased 2.6% to 17,321 as at September 30, 2009, from 16,886 as at September 30, 2008. New membership sales and transfer fees during the third quarter of 2009 increased to $7,316,000 (855 members) from $4,852,000 (436 members) during the third quarter of 2008. This increase is due to the successful "Test Drive at Bond Head" advertising and membership campaign. Resignations and terminations increased to $343,000 (20 members) from $202,000 (18 members) in 2008. Membership fee instalments received in cash decreased to $5,134,000 from $6,494,000 in 2008.

Operating income from the rail, tourism and port segment decreased slightly to US $15,275,000 for the third quarter of 2009, compared to US $15,778,000 in 2008, due to a decline of US $589,000 in operating revenue. During the third quarter, three cruise ships were cancelled due to high winds which contributed to this decline in operating revenue. Also contributing was a decrease in the passenger capture rate from cruise ships to 42.2% in the third quarter of 2009, from 47.4% in 2008.

The majority of earnings from the rail, tourism and port operations are generated in US dollars. For the quarter ended September 30, 2009, the impact of foreign exchange is estimated to have increased operating income by 5 cents per share as compared to the same period in 2008.

Consolidated EBITDA for the quarter ended September 30, 2009, was $39,689,000 compared with $41,229,000 for the quarter ended September 30, 2008, and was impacted by the decline in golf club and resort segment operating income.

Amortization and rent increased 5.9% to $6,612,000 for the quarter ended September 30, 2009, from $6,245,000 in 2008, due to the incremental rent from the long-term 21 golf-season lease for The Club at Bond Head entered into by ClubLink on April 7, 2009.

Interest, net and other decreased 9.1% to an expense of $5,863,000 for the quarter ended September 30, 2009, compared to $6,448,000 for the same period in 2008. This was caused by a 3.3% decline in debt levels from September 30, 2008 and a decline in interest rates attached to variable rate financing.

Net earnings increased 16.9% to $17,001,000 for the quarter ended September 30, 2009,compared to $14,544,000 in 2008, due to a decline in the expense associated with the non-controlling interest of ClubLink Corporation in the amount of $2,390,000. This decline was a result of the business combination privatizing ClubLink Corporation on July 28, 2009.

Weighted average shares for the three month period ending September 30, 2009 increased to 26,788,343 as compared to 22,925,921 in 2008 due to the 5,164,015 common shares issued by the Company on July 28, 2009 as part of the business combination.

Eligible Dividend

Today, ClubLink Enterprises Limited announced an eligible dividend of 7.5 cents per share to be paid on December 31, 2009 to shareholders of record as at December 15, 2009.

In order to receive the dividend, pre-amalgamation ClubLink Corporation shareholders must have properly exchanged those shares for common shares of ClubLink Enterprises Limited.

ClubLink Enterprises has a proven record of building and delivering value through its corporate investment operations. In addition to owning all of the shares in ClubLink Corporation, ClubLink Enterprises also owns a 100% interest in the historic White Pass & Yukon Route Railway, including strategic holdings in the port operations and supporting excursions, based in Skagway, Alaska.

Management's discussion and analysis, financial statements and other disclosure information relating to the Company is available through SEDAR and at and on the Company website at


For further information: For further information: Mr. Robert Visentin, Chief Financial Officer, 15675 Dufferin Street, King City, Ontario, L7B 1K5, Tel: (905) 841-5360, Fax: (905) 841-1134, Email:

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