DATA Communications Management (TSE:DCM) Posts Quarterly Earnings Results

DATA Communications Management (TSE:DCM) announced its earnings results on Wednesday. The company reported C$0.02 earnings per share for the quarter, FiscalAI reports. DATA Communications Management had a return on equity of 10.60% and a net margin of 0.98%. The company had revenue of C$114.00 million during the quarter.

Here are the key takeaways from DATA Communications Management’s conference call:

• DCM returned to organic growth in Q3, with revenue up 8.2% year over year and organic revenue up 2.9%. Adjusted EBITDA rose to CAD 15.9 million from CAD 12.3 million, while its margin increased to 13.9% from 11.7%.
• Profitability and cash generation improved: gross margin increased to 26.5% from 23.4%, and year-to-date free cash flow reached CAD 15.5 million, compared with CAD 8.2 million a year earlier.
• Management said Octacom has retained its customer base, secured new and expanded business, and already won two cross-selling opportunities through DCM relationships. The companies are expanding IDP’s reach through DCM’s sales team and facilities, though management noted that sales cycles can take six to 12 months.
• Management expects positive momentum and organic growth to continue into Q4, which will include a full quarter of Octacom’s results. It also reported minimal tariff exposure and said it does not currently expect tariffs to have a material impact.

DATA Communications Management Price Performance

Shares of TSE DCM traded up C$0.23 during trading on Wednesday, reaching C$2.59. The company had a trading volume of 353,235 shares, compared to its average volume of 81,121. DATA Communications Management has a 52 week low of C$1.33 and a 52 week high of C$3.18. The stock has a market cap of C$162.05 million, a PE ratio of 32.38 and a beta of -0.41. The company has a debt-to-equity ratio of 533.27, a quick ratio of 0.83 and a current ratio of 1.51. The business’s 50 day moving average price is C$2.27 and its 200-day moving average price is C$1.98.

Insider Activity at DATA Communications Management

In other news, Director Gregory James Cochrane sold 75,000 shares of the stock in a transaction that occurred on Friday, August 21st. The shares were sold at an average price of C$2.80, for a total transaction of C$210,000.00. 22.41% of the stock is owned by company insiders.

DATA Communications Management Company Profile

DCM is a leading Canadian tech-enabled provider of print and digital solutions that help simplify complex marketing communications and operations workflow. DCM serves over 2,500 clients including 70 of the 100 largest Canadian corporations and leading government agencies. Our core strength lies in delivering individualized services to our clients that simplify their communications, including customized printing, highly personalized marketing communications, campaign management, digital signage, and digital asset management.