AIMIA REPORTS SOLID THIRD QUARTER 2025 RESULTS AND RE-ITERATES GUIDANCE FOR YEAR
TORONTO, Nov. 12, 2025 /CNW/ - Aimia Inc, (TSX: AIM) ("Aimia" or the "Company"), today reported its financial results for the three and nine months ended September 30, 2025. All amounts are in Canadian currency unless otherwise noted.
SENIOR LEADERSHIP COMMENTARY
"Aimia generated its first profit for equity holders in more than three years due to the solid performances of our core holdings and our ongoing efforts to reduce HoldCo costs," said Rhys Summerton, Aimia's Executive Chairman. "In addition, we ended Q3 with increased liquidity, more operating cash flow, and improved adjusted EBITDA despite unfavourable macroeconomic and geopolitical headwinds.
"Our core holdings, in fact, showed resilience against a backdrop of increased competitive pressure and softer demand in certain markets by reducing costs and taking advantage of product mix. When compared to their peers, Bozzetto and Cortland each had robust results in Q3," Mr. Summerton also said.
"We continued to make progress against our three-step strategy in the third quarter," said Steven Leonard, Aimia's President and CFO. "In particular, we reduced HoldCo costs to $1.9 million and gained increased confidence in the market value of core holdings, strengthening our readiness towards future capital allocation activities."
AIMIA'S Q3 2025 HIGHLIGHTS
- Reported consolidated revenue of $126.4 million, down 2.1% from $129.1 million generated in Q3 2024. The decline was attributable to unfavourable economic and market conditions that impacted Cortland and Bozzetto.
- Generated consolidated Adjusted EBITDA of $20.3 million, up 35.3% from $15.0 million reported in Q3 2024.
- Generated net cash flow from operating activities of $15.1 million, up from $1.3 million in Q3 2024.
- Reported consolidated net earnings of $1.4 million, an improvement from a net loss of $2.2 million in Q3 2024. Aimia's net earnings in Q3 2025 marked its first quarter of profitability attributable to equity holders since Q3 2022.
- Ended Q3 2025 with cash and cash equivalents of $106.5 million.
- Received a $29.3 million tax refund from the Canada Revenue Agency (CRA) relating to a 2013 income tax audit.
- Repurchased 960,300 common shares for cancellation for a total consideration of $3 million. Through September 30, 2025 Aimia repurchased 1,508,300 common shares, or 25.5%, of the 5,906,629 common shares it is allowed to purchase under a normal course issuer bid approved by the Toronto Stock Exchange for the period June 6, 2025 to June 5, 2026. Subsequent to quarter end, Aimia repurchased 233,100 common shares for a total consideration of $0.7 million.
HIGHLIGHTS SUBSEQUENT TO QUARTER END
- Notified that the processing of notices of reassessment for the 2013 income tax audit of a Company's former subsidiary was finalized. As a result, Aimia expects to receive a total refund of $8.5 million from Revenu Québec.
CONSOLIDATED FINANCIAL HIGHLIGHTS
| Aimia |
3-Months Ended September 30 |
9-Months Ended September 30 |
||||
| (in $millions except for margin and per share data) |
2025 |
2024 |
Change |
2025 |
2024 |
Change |
| Revenue |
126.4 |
129.1 |
(2.1) % |
384.9 |
373.6 |
3.0 % |
| Gross Profit |
34.1 |
35.1 |
(2.8) % |
104.6 |
100.9 |
3.7 % |
| Gross Margin |
27.0 % |
27.2 % |
(0.2) pp |
27.2 % |
27.0 % |
0.2 pp |
| Selling, general and administrative expenses |
(26.3) |
(29.4) |
10.5 % |
(77.7) |
(102.9) |
24.5 % |
| Operating Income (loss) |
7.8 |
5.7 |
36.8 % |
26.9 |
(2.0) |
NM |
| Adjusted EBITDA1 |
20.3 |
15.0 |
35.3 % |
59.7 |
34.0 |
75.6 % |
| Net earnings (loss) |
1.4 |
(2.2) |
163.6 % |
(4.3) |
(12.3) |
65.0 % |
| Earnings (loss) per share |
-- |
(0.07) |
100.0 % |
0.48 |
(0.26) |
NM |
| |
|
|
|
|
|
|
| _______________________________ |
|
| 1 |
Adjusted EBITDA is a non-GAAP measure. |
This press release should be read in conjunction with Aimia's consolidated financial statements and management discussions and analysis (MD&A) for the three and nine-month periods ended September 30, 2025, which can be accessed from SEDAR+ and www.aimia.com.
Balance Sheet and Liquidity
As at September 30, 2025, Aimia had $106.5 million in cash and cash equivalents. As at June 30, 2025, Aimia had $70.5 million of cash and cash equivalents.
The quarter over quarter increase in Aimia's liquidity was largely attributable to receipt of the $29.3 million refund from the CRA and $15.1 million in net cash flows from operating activities in Q3 2025. The increase was offset by a number of items, including $4.2 million of investments in property, plant and equipment, $3.3 million for common share buybacks, including tax paid on the repurchase of equity, $2 million of principal repayments by Bozzetto on its credit facilities; and $0.7 million of preferred share dividend payments.
Of Aimia's cash and cash equivalents held at September 30, 2025, $47.3 million was held in Bozzetto, $12.2 million in Cortland International, and $47 million in the Holdings segment.
Subsequent to quarter end, Aimia was notified that the processing of notices of reassessment related to the 2013 income tax audit of a former subsidiary was finalized by Revenue Québec. The Company expects to receive an $8.5 million refund as a result.
Available Tax Losses
As at September 30, 2025, Aimia had $1,096.6 million of tax losses available for carry forward that may be used to reduce taxable income in future years. The total available for carry forward is comprised of $523.7 million of operating tax losses and $572.9 million of capital tax losses.
Dividends
Aimia paid $0.7 million in dividends for the third quarter ended September 30, 2025, on its three series of outstanding preferred shares. In the same period of 2024, Aimia paid $3.9 million in dividends. The year-over-year decline reflects the successful completion of the Corporation's substantial issuer bid that resulted in the purchase for cancellation 7,889,931 Preferred Shares in consideration for the 9.75% senior unsecured notes.
Aimia's Board of Directors declared quarterly dividends of $0.392563 per Series 1 preferred share, $0.485813 per Series 3 preferred share and $0.432337 per Series 4 preferred share, in each case payable on December 31, 2025, to shareholders of record on December 17, 2025. Dividends paid by Aimia to Canadian residents on its preferred shares are "eligible dividends" for the purpose of the Income Tax Act (Canada) and any similar applicable provincial legislation.
SEGMENT RESULTS
Aimia is comprised of three segments: Bozzetto, Cortland International, and Holdings. Financial highlights for each segment for the three-month and nine-month periods ended September 30, 2025 follow.
Bozzetto
Aimia owns a 94.18%2 equity stake in Bozzetto, one of the world's leading providers of sustainable specialty chemicals with solutions in textile, home and personal care, geothermal, construction, and agrochemical markets. Bozzetto's management team owns the remaining 5.82%.
| Bozzetto |
3-Months Ended September 30 |
9-Months Ended September 30 |
||||
| (in $ millions except for margin data ) |
2025 |
2024 |
Change |
2025 |
2024 |
Change |
| Revenue |
88.8 |
86.0 |
3.3 % |
268.8 |
261.5 |
2.8 % |
| Gross Profit |
26.1 |
25.0 |
4.4 % |
78.5 |
76.1 |
3.2 % |
| Gross Margin |
29.4 % |
29.1 % |
0.3 pp |
29.2 % |
29.1 % |
0.1 pp |
| Selling, general and administrative expenses |
(17.3) |
(16.2) |
(6.8) % |
(46.8) |
(54.2) |
13.7 % |
| Operating Income (loss) |
8.8 |
8.8 |
-- % |
31.7 |
21.9 |
44.7 % |
| Earnings (loss) before income taxes |
5.0 |
4.7 |
6.4 % |
19.9 |
10.0 |
99.0 % |
| Adjusted EBITDA3 |
16.8 |
14.5 |
15.9 % |
50.7 |
45.1 |
12.4 % |
| Adjusted EBITDA margin |
18.9 % |
16.9 % |
2.0 pp |
18.9 % |
17.2 % |
1.7 pp |
| |
|
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|
|
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| ____________________________________ |
|
| 2 |
In Q3 2025, Aimia purchased 0.084% of equity from a member of Bozzetto's management team, increasing its equity stake in the core holding to 94.18%. |
| 3 |
Adjusted EBITDA and Adjusted EBITDA Margin are non-GAAP measures. |
- Bozzetto generated revenue of $88.8 million in the third quarter of 2025, up 3.3% from $86.0 million generated in the comparable period for 2024. On a constant currency basis, Bozzetto's revenue decreased by $3.3 million or 3.8%. The variance is due to lower volume sold by Bozzetto's Textile Solutions sector largely as a result of weaker demand caused by the uncertainty of U.S. tariffs and by geopolitical developments in certain markets. The decline was partially offset by improved pricing and product mix within Bozzetto's Dispersion Solutions sector, which primarily serves plasterboard, agrochemical, and concrete markets outside of the U.S., and Bozzetto's Water Solutions sector, which primarily serves home care, institutional cleaning, personal care, and industrial water treatment markets.
- SG&A costs in Q3 2025 were impacted by a $1.6 million accounting loss on the disposal of an idle manufacturing facility and $0.1 million of legal fees. Excluding these costs and non-ordinary course expenses of $0.3 million in prior comparative period, Bozzetto's SG&A expenses declined by approximately $0.3 million from last year. The disposal of the idle facility generated $1.8 million in cash proceeds.
- Adjusted EBITDA for Q3 2025 was $16.8 million, which represents a margin of 18.9%. These compare to $14.5 million and 16.9%, respectively, for Q3 2024. On a constant currency basis, Adjusted EBITDA improved by $1.2 million or 8.3% due to lower SG&A and improved pricing and product mix within Bozzetto's Dispersion and Water Solutions sectors. The improvements were offset by the softer performance of Bozzetto's Textile Solutions sector relative to Q3 2024.
- Bozzetto's Adjusted EBITDA for the nine-month period ending September 30, 2025 was $50.7 million, putting Aimia on track to achieve its guidance for the year.
Cortland International
Aimia owns a 100% equity stake in Cortland International, the rebranded combination of Tufropes and Cortland Industrial, a global leader in the manufacturing of high-performance synthetic fiber ropes and netting solutions for maritime and other industrial customers.
| Cortland International |
3-Months ended September 30 |
9-Months ended September 30 |
||||
| (in millions of dollars except for margin data) |
2025 |
2024 |
Change |
2025 |
2024 |
Change |
| Revenue |
37.6 |
43.1 |
(12.8) % |
116.1 |
112.1 |
3.6 % |
| Gross Profit |
8.0 |
10.1 |
(20.8) % |
26.1 |
24.8 |
5.2 % |
| Gross Margin |
21.3 % |
23.4 % |
(2.1) pp |
22.5 % |
22.1 % |
0.4 pp |
| Selling, general and administrative expenses |
(6.4) |
(7.9) |
19.0 % |
(22.4) |
(24.5) |
8.6 % |
| Operating Income (loss) |
1.6 |
2.2 |
(27.3) % |
3.7 |
0.3 |
NM |
| Earnings (loss) before taxes |
(1.6) |
-- |
NM |
(4.3) |
(3.0) |
(43.3) % |
| Adjusted EBITDA4 |
5.5 |
5.4 |
1.9 % |
15.8 |
13.0 |
21.5 % |
| Adjusted EBITDA Margin |
14.6 % |
12.5 % |
2.1 pp |
13.6 % |
11.6 % |
2.0 pp |
| |
|
|
|
|
|
|
| _______________________________ |
|
| 4 |
Adjusted EBITDA and Adjusted EBITDA Margin are non-GAAP measures. |
- Cortland generated revenue of $37.6 million for Q3 2025, down 12.8% from $43.1 million generated in Q3 2024. On a constant currency basis, Cortland's revenue declined by $5.9 million or 13.7%. The year-over-year decline was due to a combination of factors, including a softness in rope sales with maritime and shipping customers as a result of new tariff policies and competitive pricing pressure in netting solutions. In Q3 2024, Cortland experienced strong sales in North America, especially among customers within the oil and gas industry, that did not reoccur in 2025.
- Adjusted EBITDA for Q3 2025 was $5.5 million, representing a margin of 14.6%. These compare to $5.4 million and 12.5%, respectively, for Q3 2024. In Q3 2024, Cortland incurred $1 million of advisory fees relating to a business transformation initiative aimed at accelerating its growth. Excluding these advisory fees from the prior comparative period, Adjusted EBITDA decreased by $0.9 million, primarily driven by lower sales but offset, in part, by lower SG&A expenses.
- Cortland's Adjusted EBITDA for the nine-month period ending September 30 was $15.8 million, putting Aimia on track to meet its guidance for the year.
Holdings Segment
The Holdings Segment includes Aimia's investments in Clear Media Limited as well as minority investments in public company securities and limited partnerships. The results of the Holdings Segment include corporate operating costs, including costs related to public company disclosure and board, executive leadership, legal, finance and administration.
| Holdings |
3-months ended September 30 |
9-months ended September 30 |
||||
| (in millions of dollars) |
2025 |
2024 |
Change |
2025 |
2024 |
Change |
| Selling, general and administrative expenses |
(2.6) |
(5.3) |
50.9 % |
(8.5) |
(24.2) |
64.9 % |
| Earnings (loss) before taxes |
(0.9) |
(4.5) |
80.0 % |
(13.9) |
(11.3) |
(23.0) % |
| Adjusted EBITDA5 |
(2.0) |
(4.9) |
59.2 % |
(6.8) |
(24.1) |
71.8 % |
| |
|
|
|
|
|
|
| __________________________________ |
|
| 5 |
Adjusted EBITDA is a non-GAAP measure. |
- SG&A expenses for the Holdings segment in Q3 2025 were $2.6 million, down from $5.3 million incurred in Q3 2024. In Q3 2024 Aimia incurred $2.1 million of shareholder activism expenses, mostly relating to a cooperation agreement signed with the Company's largest shareholder.
- Adjusted EBITDA in Q3 2025 improved by $2.9 million due principally to the absence of shareholder activism expenses and to lower professional and advisory fees, insurance costs, and directors' fees.
Outlook and Guidance
Aimia's performance through the nine-month period tracks favourably against its targets for 2025.
Through September 30, 2025, Aimia's core holdings generated $66.5 million of adjusted EBITDA on a combined basis. As a result, the Company has re-iterated its guidance. Aimia will continue to closely monitor global trade developments and their impact on the performance of its core holdings.
Through September 30, 2025 Holding Company costs were $6.4 million, net of one-time related professional fees associated with the settlement of the tax audit. The guidance is exclusive of one-time costs.
| (in millions of dollars) |
Guidance for 2025 |
Year to Date |
| Adjusted EBITDA at Bozzetto and Cortland on a Combined Basis6 |
$88 - $95 |
$66.5 |
| Holding Company Costs7 |
$9 |
$6.4 |
| |
|
|
| ______________________________ |
|
| 6 |
Adjusted EBITDA is a non-GAAP measure. |
| 7 |
Holding Company costs are a non-GAAP measure. |
Quarterly Conference Call and Audio Webcast Information
Aimia will host a conference call to discuss its third quarter 2025 financial results at 8:30 am ET on November 12. The call will be webcast at the following URL: https://app.webinar.net/5a0dQ5RZwkl. Interested parties can listen to conference call by dialing 1 888 699 1199 or 1 416 945 7677 (internationally). A slide presentation intended for simultaneous viewing with the conference call and an archived audio webcast will be available for 90 days following the original broadcast available at: https://www.aimia.com/investor-relations/events-presentations/.
About Aimia
Aimia Inc. (TSX: AIM) is a diversified company focused on enhancing the value of its two core global businesses, Bozzetto, a sustainable specialty chemicals company, and Cortland International, a rope and netting solutions company. Headquartered in Toronto, Aimia's priorities include reducing its holding company costs, reducing the discount of its share price to the intrinsic value of its businesses, and efficiently utilizing its loss carry-forwards to create shareholder value. For more information about Aimia, visit www.aimia.com.
Non-GAAP Financial Measures and Reconciliation to Comparable GAAP Measures
"GAAP" means Canadian Generally Accepted Accounting Principles (which are in accordance with the International Financial Reporting Standards).
Adjusted EBITDA
Adjusted EBITDA is not a measurement based on GAAP, is not considered an alternative to net earnings in measuring profitability, does not have a standardized meaning and is not directly comparable to similar measures used by other issuers. Adjusted EBITDA should not be used as an exclusive measure of cash flow because it does not account for the impact of working capital growth, capital expenditures, debt repayments and other sources and uses of cash, which are disclosed in the statements of cash flows. A reconciliation to operating income (loss) is provided.
Adjusted EBITDA is used by management to evaluate the performance of its Bozzetto, Cortland International and Holdings segments. Management believes Adjusted EBITDA assists investors in comparing Aimia's performance on a consistent basis excluding depreciation and amortization, impairment charges related to non-financial assets and share-based compensation, which are non-cash in nature and can vary significantly depending on accounting methods as well as non-operating factors such as historical cost. Aimia's management believes that the exclusion of business acquisition and/or disposal related expenses assists investors by excluding expenses that are not representative of the run-rate cost structure of its operations.
Adjusted EBITDA is operating income (loss) adjusted to exclude depreciation, amortization, impairment charges related to non-financial assets, cost of sales expense related to inventory fair value step up resulting from purchase price allocation, share-based compensation, expenses related to Cortland International's long-term management incentive plan, gain/loss from the disposal of manufacturing property and land, costs related to the termination of the Paladin agreements, as well as transaction costs related to business acquisitions.
For a reconciliation of Adjusted EBITDA to operating income (loss), please refer to the tables below.
| Bozzetto |
Three Months Ended September 30, |
Nine Months Ended September 30, |
|||||
| (in millions of Canadian dollars) |
2025 |
2024 |
2025 |
2024 |
|||
| Reconciliation of Adjusted EBITDA |
|
|
|
|
|
|
|
| Operating income (loss) |
8.8 |
|
8.8 |
|
31.7 |
|
21.9 |
| Depreciation and amortization |
6.4 |
|
5.6 |
|
18.5 |
|
16.6 |
| Cost of sales expense related to inventory fair value step up resulting from purchase price allocation |
-- |
|
-- |
|
-- |
|
0.7 |
| Loss from the disposal of manufacturing property and land |
1.6 |
|
-- |
|
1.6 |
|
-- |
| Cost related to the termination of Paladin agreements |
-- |
|
-- |
|
-- |
|
4.9 |
| Transaction related (income) costs |
-- |
|
0.1 |
|
(1.1) |
|
1.0 |
| |
|
|
|
|
|
|
|
| Adjusted EBITDA |
16.8 |
|
14.5 |
|
50.7 |
|
45.1 |
| Adjusted EBITDA margin |
18.9 % |
|
16.9 % |
|
18.9 % |
|
17.2 % |
| Cortland International |
Three Months Ended September 30, |
Nine Months Ended September 30, |
||||||
| (in millions of Canadian dollars) |
2025 |
2024 |
2025 |
2024 |
||||
| Reconciliation of Adjusted EBITDA |
|
|
|
|
|
|
|
|
| Operating income (loss) |
1.6 |
|
2.2 |
|
3.7 |
|
0.3 |
|
| Depreciation and amortization |
2.8 |
|
3.0 |
|
8.9 |
|
8.9 |
|
| Cost related to the termination of Paladin agreements |
-- |
|
-- |
|
-- |
|
1.5 |
|
| Long-term management incentive plan |
1.1 |
|
-- |
|
3.2 |
|
-- |
|
| Transaction and transition related costs |
-- |
|
0.2 |
|
-- |
|
2.3 |
|
| |
|
|
|
|
|
|
|
|
| Adjusted EBITDA |
5.5 |
|
5.4 |
|
15.8 |
|
13.0 |
|
| Adjusted EBITDA margin |
14.6 % |
|
12.5 % |
|
13.6 % |
|
11.6 % |
|
| Holdings |
Three Months Ended September 30, |
Nine Months Ended September 30, |
||||||
| (in millions of Canadian dollars) |
2025 |
2024 |
2025 |
2024 |
||||
| Reconciliation of Adjusted EBITDA |
|
|
|
|
|
|
|
|
| Operating income (loss) |
(2.6) |
|
(5.3) |
|
(8.5) |
|
(24.2) |
|
| Share-based compensation expense (reversal) |
0.6 |
|
0.4 |
|
1.7 |
|
(0.7) |
|
| Costs related to the termination of Paladin agreements |
-- |
|
-- |
|
-- |
|
0.8 |
|
| Adjusted EBITDA |
(2.0) |
|
(4.9) |
|
(6.8) |
|
(24.1) |
|
For a reconciliation of Holdco costs to the Holdings segment's Selling, general and administrative expenses, please refer to the table below.
| Holdings |
Three Months Ended September 30, |
Nine Months Ended September 30, |
| (in millions of Canadian dollars) |
2025 |
2025 |
| Selling, general and administrative expenses |
(2.6) |
(8.5) |
| Share-based compensation expense (reversal) |
0.6 |
1.7 |
| Legal fees incurred in relation with CRA settlement |
0.1 |
0.4 |
| Holdco Costs |
(1.9) |
(6.4) |
Forward-Looking Statements
This press release contains statements that constitute "forward-looking information" within the meaning of Canadian securities laws ("forward-ling statements"), which are based upon Aimia's current expectations, estimates, projections, assumptions and beliefs. All information that is not clearly historical in nature may constitute forward-looking statements. Forward-looking statements are typically identified by the use of terms such as "anticipate", "believe", "could", "estimate", "expect", "intend", "may", "plan", "predict", "project", "will", "would" and "should", and similar terms and phrases, including references to assumptions.
Forward-looking statements in this press release include, but are not limited to, Aimia's future capital allocation activities; Aimia's potential refund of $8.5 million from Revenu Québec; Aimia's reaching its guidance; Aimia's reduction in holding company costs; the potential use of Aimia's tax loss carry forwards; and the impact of tariffs on Aimia's outlook and guidance.
Forward-looking statements, by their nature, are based on assumptions and are subject to known and unknown risks and uncertainties, both general and specific, that contribute to the possibility that the forward-looking statement will not occur. The forward-looking statements in this press release speak only as of the date hereof and reflect several material factors, expectations and assumptions. Undue reliance should not be placed on any predictions or forward-looking statements as these may be affected by, among other things, changing external events and general uncertainties of the business. A discussion of the material risks applicable to the Company can be found in Aimia's current Management's Discussion and Analysis and Annual Information Form, each of which have been or will be filed on SEDAR+ and can be accessed at www.sedarplus.ca. Except as required by applicable securities laws, forward-looking statements speak only as of the date on which they are made and Aimia disclaims any intention and assumes no obligation to publicly update or revise any forward-looking statement, whether as a result of new information, future events or otherwise.
SOURCE Aimia Inc.
For more information, please contact: Joe Racanelli Vice President, Investor Relations, 647 970 2200, [email protected]
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