Announcement • Apr 26
Investor group led by Warburg Pincus LLC and Goodview Capital Corp completed the acquisition of ECN Capital Corp. (TSX:ECN). Investor group led by Warburg Pincus LLC and Goodview Capital Corp signed a definitive agreement to acquire ECN Capital Corp. (TSX:ECN) for approximately CAD 940 million on November 13, 2025. 281.479009 million common shares of the Company will be acquired at CAD 3.10 per share, paid in cash. 3.7124 million Series C cumulative 5-year minimum rate reset preferred shares will be purchased at CAD 26.00 per share, in cash. 27.45 million Series E mandatory convertible preferred shares will also be purchased at CAD 3.10 per share, in cash. The transaction will be financed from equity commitment and debt financing. A termination fee of CAD 35.4 million would be payable by ECN Capital in certain circumstances, including in the context of a superior proposal supported by the Company. A reverse termination fee of CAD 53.1 million would be payable to the Purchaser if the Transaction is not completed in certain circumstances.
The transaction is subject to approval by regulatory board, approval of offer by target shareholders and subject to court approval. The transaction has been unanimously approved by the Special Committee and ECN Capital’s Board of Directors. The Board of Directors of ECN Capital Corp. formed a special committee for the transaction. The Transaction is expected to close in the first half of 2026. As of January 20, 2026, ECN Capital shareholders approved the transaction. Completion of the Arrangement remains subject to other customary conditions including receipt of a final order from the Ontario Superior Court of Justice (Commercial List) (the "Final Order") and certain key regulatory approvals. The anticipated hearing date for the Final Order is January 22, 2026. As of January 22, 2026, ECN Capital has obtained a final order from the Ontario Superior Court of Justice. As of February 26, 2026, ECN Capital is actively engaged in obtaining the necessary approvals for the transaction and progress is tracking to closing early in the second quarter of 2026.
CIBC Capital Markets acted as financial advisor for ECN Capital Corp. CIBC World Markets, Inc. acted as fairness opinion provider for ECN Capital Corp. Blake, Cassels & Graydon LLP and Baker & Hostetler LLP acted as legal advisors to ECN Capital Corp. RBC Capital Markets, LLC also acted as financial advisor to ECN Capital Corp. Macquarie Capital, BMO Capital Markets and Truist Securities acted as financial advisors to the Purchaser Group led by Warburg Pincus LLC. Stikeman Elliott LLP; Mark F. Veblen, Michael J. Schobel, Joshua M. Holmes and Ian Boczko of Wachtell, Lipton, Rosen & Katz LLP; Eric Wedel, Ben Steadman, Charles Pesant, Timothy Cruickshank, Caroline Epstein and Christodoulos Kaoutzanis of Paul, Weiss, Rifkind, Wharton & Garrison LLP, and Mayer Brown LLP acted as legal advisors to the Purchaser Group. Computershare Investor Services LLC acted as transfer agent to ECN Capital Corp. Carson Proxy Advisors Ltd acted as proxy solicitor to ECN Capital Corp and will receive a fee of CAD 0.05 million. Josh Zelig, Lisa Collier of Paul Hastings Advises Financing Sources for Warburg Pincus.
Investor group led by Warburg Pincus LLC and Goodview Capital Corp completed the acquisition of ECN Capital Corp. (TSX:ECN) on April 24, 2026. As a result of the completion of the Arrangement, it is expected that the Common Shares and Series C Preferred Shares will be de-listed from the Toronto Stock Exchange. Lawrence Krimke has been appointed as Chief Executive Officer. Sean Milne has been appointed as Chief Executive Officer. Declared Dividend • Mar 04
Fourth quarter dividend of CA$0.01 announced Shareholders will receive a dividend of CA$0.01. Ex-date: 20th March 2026 Payment date: 31st March 2026 Dividend yield will be 1.3%, which is lower than the industry average of 3.4%. Sustainability & Growth Dividend is covered by both earnings (64% earnings payout ratio) and cash flows (70% cash payout ratio). The dividend has decreased over the past 96 years, indicating a lack of growth and stability in payments. EPS is expected to grow by 87% over the next 2 years, which should provide support to the dividend and adequate earnings cover. New Risk • Mar 02
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 38% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. Currently, the following risks have been identified for the company: Major Risk Debt is not well covered by operating cash flow (1.9% operating cash flow to total debt). Minor Risk Large one-off items impacting financial results. Reported Earnings • Feb 28
Full year 2025 earnings: Revenues exceed analysts expectations while EPS lags behind Full year 2025 results: EPS: US$0.05 (up from US$0 in FY 2024). Revenue: US$226.5m (up 36% from FY 2024). Net income: US$20.6m (up US$20.7m from FY 2024). Profit margin: 9.1% (up from net loss in FY 2024). The move to profitability was driven by higher revenue. Revenue exceeded analyst estimates by 4.1%. Earnings per share (EPS) missed analyst estimates by 47%. Revenue is forecast to grow 16% p.a. on average during the next 2 years, compared to a 15% growth forecast for the Diversified Financial industry in Canada. Over the last 3 years on average, earnings per share has increased by 53% per year but the company’s share price has remained flat, which means it is significantly lagging earnings. Announcement • Feb 27
ECN Capital Corp. Declares A Quarterly Dividend, Payable on March 31, 2026 ECN Capital Corp.'s Board of Directors has authorized and declared a quarterly dividend of CAD 0.01 per outstanding common share to be paid on March 31, 2026, to shareholders of record at the close of business on March 20, 2026. Price Target Changed • Feb 04
Price target decreased by 14% to CA$3.10 Down from CA$3.60, the current price target is an average from 3 analysts. New target price is approximately in line with last closing price of CA$3.05. The company is forecast to post earnings per share of US$0.095 next year compared to a net loss per share of US$0.00031 last year. Upcoming Dividend • Dec 05
Upcoming dividend of CA$0.01 per share Eligible shareholders must have bought the stock before 12 December 2025. Payment date: 31 December 2025. The company is paying out more than 100% of its profits but is generating plenty of cash to support the dividend. Trailing yield: 1.3%. Lower than top quartile of Canadian dividend payers (5.9%). Lower than average of industry peers (5.8%). New Risk • Nov 21
New minor risk - Earnings quality The company has large one-off items impacting its financial results. One-off items were 27% of the size of the rest of the company's trailing 12-month earnings before tax. This is considered a minor risk. One-off items are incomes or expenses that the company does not expect to repeat in future periods. Examples include profits from the sale of a business or expenses from a restructuring or legal settlements. If the company's reported statutory earnings include a large proportion of one-off items it means they may be an unreliable indicator of its true business performance as the earnings were skewed by these incomes or expenses. Currently, the following risks have been identified for the company: Major Risk Debt is not well covered by operating cash flow (11% operating cash flow to total debt). Minor Risk Large one-off items impacting financial results. New Risk • Nov 16
New major risk - Financial position The company's debt is not well covered by operating cash flow. Operating cash flow to total debt ratio: 11% This is considered a major risk. If the company's operating cash flows are too small relative to the size of their debt, it increases their balance sheet risk. The company has less cash from operations to cover its expenses from servicing large debt and it increases the risk of liquidity issues. It also extends the time it would take for the company to pay back the debt in full, meaning it may not be able to easily pay it all off in a distress scenario. This is currently the only risk that has been identified for the company. Announcement • Nov 07
ECN Capital Corp. to Report Q3, 2025 Results on Nov 12, 2025 ECN Capital Corp. announced that they will report Q3, 2025 results After-Market on Nov 12, 2025 Upcoming Dividend • Sep 05
Upcoming dividend of CA$0.01 per share Eligible shareholders must have bought the stock before 12 September 2025. Payment date: 01 October 2025. The company is paying out more than 100% of its profits but is generating plenty of cash to support the dividend. Trailing yield: 1.4%. Lower than top quartile of Canadian dividend payers (5.9%). Lower than average of industry peers (5.8%). Declared Dividend • Aug 11
Second quarter dividend of CA$0.01 announced Shareholders will receive a dividend of CA$0.01. Ex-date: 12th September 2025 Payment date: 1st October 2025 Dividend yield will be 1.4%, which is lower than the industry average of 3.4%. Sustainability & Growth Dividend is not covered by earnings (128% earnings payout ratio). However, it is well covered by cash flows (4% cash payout ratio). The dividend has decreased over the past 96 years, indicating a lack of growth and stability in payments. The company's earnings per share (EPS) would need to grow by 43% to bring the payout ratio under control. However, EPS is expected to remain steady over the next year, which means the dividend may need to be reduced to reach a sustainable payout ratio. Reported Earnings • Aug 10
Second quarter 2025 earnings: Revenues exceed analyst expectations Second quarter 2025 results: Revenue: US$48.7m (up 13% from 2Q 2024). Net income: US$2.26m (down 60% from 2Q 2024). Profit margin: 4.6% (down from 13% in 2Q 2024). Revenue exceeded analyst estimates by 3.9%. Revenue is forecast to grow 26% p.a. on average during the next 2 years, compared to a 5.5% growth forecast for the Diversified Financial industry in North America. Over the last 3 years on average, earnings per share has fallen by 12% per year but the company’s share price has fallen by 26% per year, which means it is performing significantly worse than earnings. Announcement • Aug 08
ECN Capital Corp. Declares Quarterly Dividend, Payable on October 1, 2025 ECN Capital Corp.'s Board of Directors has authorized and declared a quarterly dividend of CAD 0.01 per outstanding common share to be paid on October 1, 2025, to shareholders of record at the close of business on September 12, 2025. Announcement • Jul 26
ECN Capital Corp. to Report Q2, 2025 Results on Aug 07, 2025 ECN Capital Corp. announced that they will report Q2, 2025 results After-Market on Aug 07, 2025 Recent Insider Transactions • Jun 09
CEO & Executive Director recently bought CA$521k worth of stock On the 6th of June, Steven Hudson bought around 200k shares on-market at roughly CA$2.60 per share. This transaction amounted to 1.2% of their direct individual holding at the time of the trade. In the last 3 months, they made an even bigger purchase worth CA$1.6m. Steven has been a buyer over the last 12 months, purchasing a net total of CA$1.8m worth in shares. Upcoming Dividend • Jun 06
Upcoming dividend of CA$0.01 per share Eligible shareholders must have bought the stock before 13 June 2025. Payment date: 30 June 2025. The company is paying out more than 100% of its profits but is generating plenty of cash to support the dividend. Trailing yield: 1.5%. Lower than top quartile of Canadian dividend payers (6.2%). Lower than average of industry peers (6.0%). Recent Insider Transactions Derivative • May 28
Senior VP & Head of Capital Markets exercised options to buy CA$161k worth of stock. On the 22nd of May, Christopher Johnson exercised options to buy 60k shares at a strike price of around CA$2.00, costing a total of CA$120k. This transaction amounted to 76% of their direct individual holding at the time of the trade. Since March 2025, Christopher has owned 79.40k shares directly. Company insiders have collectively bought CA$1.7m more than they sold, via options and on-market transactions, in the last 12 months. Board Change • May 14
Insufficient new directors There is 1 new director who has joined the board in the last 3 years. The company's board is composed of: 1 new director. 1 experienced director. 5 highly experienced directors. Independent Director Tawn Kelley was the last director to join the board, commencing their role in 2023. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Declared Dividend • May 12
First quarter dividend of CA$0.01 announced Shareholders will receive a dividend of CA$0.01. Ex-date: 13th June 2025 Payment date: 30th June 2025 Dividend yield will be 1.3%, which is lower than the industry average of 3.4%. Sustainability & Growth Dividend is not covered by earnings (118% earnings payout ratio). However, it is well covered by cash flows (10% cash payout ratio). The dividend has decreased over the past 96 years, indicating a lack of growth and stability in payments. The company's earnings per share (EPS) would need to grow by 31% to bring the payout ratio under control. EPS is expected to grow by 79% over the next year, which is sufficient to bring the dividend into a sustainable range. Reported Earnings • May 09
First quarter 2025 earnings released First quarter 2025 results: Net income: (up US$8.54m from 1Q 2024). Over the last 3 years on average, earnings per share has fallen by 35% per year but the company’s share price has only fallen by 20% per year, which means it has not declined as severely as earnings. New Risk • May 09
New major risk - Revenue and earnings growth Earnings have declined by 37% per year over the past 5 years. This is considered a major risk. Ultimately, shareholders want to see a good return on their investment and that generally comes from sharing in the company's profits. If profits are declining over an extended period, then in most cases the share price will decline over time unless the company can turn around its fortunes. A trend of falling earnings can be very difficult to turn around. If the company is well already established it may also be a sign the company has matured and is in decline. In addition, if the company pays dividends it will also likely need to reduce or cut them, striking a dual blow to total shareholder returns. This is currently the only risk that has been identified for the company. Announcement • May 09
ECN Capital Corp. Declares Quarterly Dividend, Payable on June 30, 2025 ECN Capital Corp. announced that its Board of Directors has authorized and declared a quarterly dividend of CAD 0.01 per outstanding common share to be paid on June 30, 2025 to shareholders of record at the close of business on June 13, 2025. Announcement • Apr 23
ECN Capital Corp. to Report Q1, 2025 Results on May 08, 2025 ECN Capital Corp. announced that they will report Q1, 2025 results After-Market on May 08, 2025 Recent Insider Transactions • Apr 11
CEO & Executive Director recently bought CA$1.6m worth of stock On the 4th of April, Steven Hudson bought around 600k shares on-market at roughly CA$2.65 per share. This transaction amounted to 3.8% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Steven has been a buyer over the last 12 months, purchasing a net total of CA$1.2m worth in shares. Announcement • Apr 01
ECN Capital Corp., Annual General Meeting, May 22, 2025 ECN Capital Corp., Annual General Meeting, May 22, 2025. Upcoming Dividend • Mar 13
Upcoming dividend of CA$0.01 per share Eligible shareholders must have bought the stock before 20 March 2025. Payment date: 31 March 2025. The company is not currently making a profit but it is cash flow positive. Trailing yield: 1.5%. Lower than top quartile of Canadian dividend payers (6.4%). Lower than average of industry peers (6.3%). Reported Earnings • Feb 28
Full year 2024 earnings released Full year 2024 results: Revenue: US$169.7m (up 114% from FY 2023). Net income: US$7.63m (up US$120.5m from FY 2023). Profit margin: 4.5% (up from net loss in FY 2023). The move to profitability was primarily driven by higher revenue. Revenue is forecast to grow 27% p.a. on average during the next 2 years, compared to a 13% growth forecast for the Diversified Financial industry in Canada. Over the last 3 years on average, earnings per share has fallen by 53% per year but the company’s share price has only fallen by 20% per year, which means it has not declined as severely as earnings. Announcement • Feb 28
ECN Capital Corp. Declares A Quarterly Dividend, Payable on March 31, 2025 ECN Capital Corp.’s Board of Directors has authorized and declared a quarterly dividend of CAD 0.01 per outstanding common share to be paid on March 31, 2025 to shareholders of record at the close of business on March 20, 2025. Announcement • Feb 18
ECN Capital Corp. to Report Q4, 2024 Results on Feb 27, 2025 ECN Capital Corp. announced that they will report Q4, 2024 results After-Market on Feb 27, 2025 Upcoming Dividend • Dec 06
Upcoming dividend of CA$0.01 per share Eligible shareholders must have bought the stock before 13 December 2024. Payment date: 31 December 2024. The company is not currently making a profit but it is cash flow positive. Trailing yield: 1.5%. Lower than top quartile of Canadian dividend payers (6.1%). Lower than average of industry peers (6.5%). Recent Insider Transactions • Nov 13
Independent Director recently bought CA$77k worth of stock On the 11th of November, Paul Stoyan bought around 25k shares on-market at roughly CA$3.07 per share. This transaction amounted to 3.0% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Insiders have collectively bought CA$3.9m more in shares than they have sold in the last 12 months. Declared Dividend • Nov 11
Third quarter dividend of CA$0.01 announced Shareholders will receive a dividend of CA$0.01. Ex-date: 13th December 2024 Payment date: 31st December 2024 Dividend yield will be 1.4%, which is lower than the industry average of 3.4%. Sustainability & Growth Dividend is being paid despite the company being loss-making over the last 12 months. However, the dividend is well covered by cash flows (17% cash payout ratio). The dividend has decreased over the past 86 years, indicating a lack of growth and stability in payments. Price Target Changed • Nov 10
Price target increased by 15% to CA$2.85 Up from CA$2.47, the current price target is an average from 5 analysts. New target price is approximately in line with last closing price of CA$2.93. Stock is up 19% over the past year. The company is forecast to post earnings per share of US$0.05 next year compared to a net loss per share of US$0.44 last year. Reported Earnings • Nov 08
Third quarter 2024 earnings: Revenues exceed analysts expectations while EPS lags behind Third quarter 2024 results: EPS: US$0.02 (up from US$0.024 loss in 3Q 2023). Revenue: US$52.2m (up 108% from 3Q 2023). Net income: US$8.14m (up US$14.1m from 3Q 2023). Profit margin: 16% (up from net loss in 3Q 2023). Revenue exceeded analyst estimates by 12%. Earnings per share (EPS) missed analyst estimates by 33%. Revenue is forecast to grow 41% p.a. on average during the next 2 years, compared to a 15% growth forecast for the Diversified Financial industry in Canada. Over the last 3 years on average, earnings per share has fallen by 40% per year and the company’s share price has also fallen by 40% per year. Announcement • Oct 19
ECN Capital Corp. to Report Q3, 2024 Results on Nov 07, 2024 ECN Capital Corp. announced that they will report Q3, 2024 results After-Market on Nov 07, 2024 Upcoming Dividend • Sep 06
Upcoming dividend of CA$0.01 per share Eligible shareholders must have bought the stock before 13 September 2024. Payment date: 01 October 2024. The company is not currently making a profit and is not cash flow positive. Trailing yield: 1.9%. Lower than top quartile of Canadian dividend payers (6.0%). Lower than average of industry peers (3.2%). New Risk • Aug 18
New minor risk - Insider selling There has been significant insider selling in the company's shares over the past 3 months. Total value of shares sold: CA$137k This is considered a minor risk. There are several reasons why an insider may be selling, including to cover a tax obligation or pay for some other expense. However, we generally consider it a negative if insiders have been selling, especially if they do so below the current price. It implies that they considered a lower price to be reasonable. This is a weak signal, but if there is a pattern of unexplained selling, it can be a sign the insider believes the company's stock is overpriced. Note: We only include open market transactions and private dispositions of directly owned stock by individuals, not by corporations or trusts. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-US$63m free cash flow). Dividend is not well covered by earnings and cash flows. Paying a dividend despite being loss-making. Paying a dividend despite having no free cash flows. Minor Risks Shareholders have been diluted in the past year (14% increase in shares outstanding). Significant insider selling over the past 3 months (CA$137k sold). Declared Dividend • Aug 11
Second quarter dividend of CA$0.01 announced Shareholders will receive a dividend of CA$0.01. Ex-date: 13th September 2024 Payment date: 1st October 2024 Dividend yield will be 1.9%, which is lower than the industry average of 3.4%. Sustainability & Growth Dividend is being paid despite the company being loss-making over the last 12 months and having no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has decreased over the past 86 years, indicating a lack of growth and stability in payments. New Risk • Aug 09
New major risk - Financial position The company has less than a year of cash runway based on its current free cash flow trend. Free cash flow: -US$63m This is considered a major risk. With less than a year's worth of cash, the company will need to raise capital or take on debt unless its cash flows improve. This would dilute existing shareholders or increase balance sheet risk. Currently, the following risks have been identified for the company: Major Risks Less than 1 year of cash runway based on free cash flow trend (-US$63m free cash flow). Dividend is not well covered by earnings and cash flows. Paying a dividend despite being loss-making. Paying a dividend despite having no free cash flows. Minor Risk Shareholders have been diluted in the past year (14% increase in shares outstanding). Reported Earnings • Aug 09
Second quarter 2024 earnings: EPS and revenues exceed analyst expectations Second quarter 2024 results: EPS: US$0.02 (up from US$0.12 loss in 2Q 2023). Revenue: US$43.1m (up 127% from 2Q 2023). Net income: US$8.16m (up US$38.2m from 2Q 2023). Profit margin: 19% (up from net loss in 2Q 2023). Revenue exceeded analyst estimates by 6.2%. Earnings per share (EPS) also surpassed analyst estimates by 13%. Revenue is forecast to grow 44% p.a. on average during the next 2 years, compared to a 15% growth forecast for the Diversified Financial industry in Canada. Over the last 3 years on average, earnings per share has fallen by 54% per year but the company’s share price has only fallen by 42% per year, which means it has not declined as severely as earnings. Announcement • Aug 09
ECN Capital Corp. announces Quarterly dividend, payable on October 01, 2024 ECN Capital Corp. announced Quarterly dividend of CAD 0.0100 per share payable on October 01, 2024, ex-date on September 13, 2024 and record date on September 13, 2024. Price Target Changed • Aug 08
Price target increased by 9.0% to CA$2.38 Up from CA$2.18, the current price target is an average from 6 analysts. New target price is 10.0% above last closing price of CA$2.16. Stock is down 20% over the past year. The company is forecast to post earnings per share of US$0.067 next year compared to a net loss per share of US$0.44 last year. Announcement • Aug 08
ECN Capital Corp. (TSX:ECN) agreed to acquire 54% stake in Paramount Capital Group, Inc. for $5.4 million. ECN Capital Corp. (TSX:ECN) agreed to acquire 54% stake in Paramount Capital Group, Inc. for $5.4 million on July 24, 2024. Consideration is comprised of cash consideration of $4.5 million and deferred contingent consideration of $0.9 million, subject to final working capital adjustments. The transaction is subject to receipt of required state regulatory approvals and is expected to close in the third quarter of 2024. Announcement • Jul 17
ECN Capital Corp. to Report Q2, 2024 Results on Aug 07, 2024 ECN Capital Corp. announced that they will report Q2, 2024 results After-Market on Aug 07, 2024 Recent Insider Transactions • Jun 13
Independent Director recently bought CA$144k worth of stock On the 6th of June, Paul Stoyan bought around 77k shares on-market at roughly CA$1.87 per share. This transaction amounted to 10% of their direct individual holding at the time of the trade. In the last 3 months, there was an even bigger purchase from another insider worth CA$539k. Insiders have collectively bought CA$5.8m more in shares than they have sold in the last 12 months. Upcoming Dividend • Jun 07
Upcoming dividend of CA$0.01 per share Eligible shareholders must have bought the stock before 14 June 2024. Payment date: 02 July 2024. The company is not currently making a profit but it is cash flow positive. Trailing yield: 2.1%. Lower than top quartile of Canadian dividend payers (6.3%). Lower than average of industry peers (3.3%). Declared Dividend • May 15
First quarter dividend of CA$0.01 announced Shareholders will receive a dividend of CA$0.01. Ex-date: 14th June 2024 Payment date: 2nd July 2024 Dividend yield will be 2.1%, which is lower than the industry average of 3.4%. Sustainability & Growth Dividend is being paid despite the company being loss-making over the last 12 months. However, the dividend is well covered by cash flows (10% cash payout ratio). The dividend has decreased over the past 86 years, indicating a lack of growth and stability in payments. Reported Earnings • May 10
First quarter 2024 earnings: Revenues exceed analysts expectations while EPS lags behind First quarter 2024 results: US$0.03 loss per share (improved from US$0.085 loss in 1Q 2023). Revenue: US$31.4m (up 5.3% from 1Q 2023). Net loss: US$7.17m (loss narrowed 66% from 1Q 2023). Revenue exceeded analyst estimates by 5.7%. Earnings per share (EPS) missed analyst estimates by 52%. Revenue is forecast to grow 49% p.a. on average during the next 2 years, compared to a 14% growth forecast for the Diversified Financial industry in Canada. Over the last 3 years on average, earnings per share has fallen by 45% per year but the company’s share price has only fallen by 38% per year, which means it has not declined as severely as earnings. Board Change • May 01
Insufficient new directors There is 1 new director who has joined the board in the last 3 years. The company's board is composed of: 1 new director. 6 experienced directors. No highly experienced directors. Director Tawn Kelley was the last director to join the board, commencing their role in 2023. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Announcement • Apr 28
ECN Capital Corp. to Report Q1, 2024 Results on May 09, 2024 ECN Capital Corp. announced that they will report Q1, 2024 results After-Market on May 09, 2024 Announcement • Mar 29
ECN Capital Corp., Annual General Meeting, May 23, 2024 ECN Capital Corp., Annual General Meeting, May 23, 2024. Recent Insider Transactions • Mar 27
CEO & Executive Director recently bought CA$537k worth of stock On the 25th of March, Steven Hudson bought around 300k shares on-market at roughly CA$1.79 per share. This transaction amounted to 2.0% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Steven has been a buyer over the last 12 months, purchasing a net total of CA$3.8m worth in shares. Declared Dividend • Mar 25
Fourth quarter dividend of CA$0.01 announced Shareholders will receive a dividend of CA$0.01. Ex-date: 8th April 2024 Payment date: 19th April 2024 Dividend yield will be 2.2%, which is lower than the industry average of 3.4%. Sustainability & Growth Dividend is being paid despite the company being loss-making over the last 12 months and having no free cash flows available, indicating it may be using cash reserves or debt to pay the dividend. The dividend has decreased over the past 7 years, but has still been somewhat stable with no excessively large reductions to payments. Price Target Changed • Mar 24
Price target decreased by 14% to CA$2.50 Down from CA$2.91, the current price target is an average from 7 analysts. New target price is 39% above last closing price of CA$1.80. Stock is down 32% over the past year. The company is forecast to post earnings per share of US$0.04 next year compared to a net loss per share of US$0.44 last year. Reported Earnings • Mar 22
Full year 2023 earnings: EPS and revenues miss analyst expectations Full year 2023 results: US$0.44 loss per share (down from US$0.007 profit in FY 2022). Revenue: US$80.9m (down 47% from FY 2022). Net loss: US$106.8m (down US$108.5m from profit in FY 2022). Revenue missed analyst estimates by 70%. Earnings per share (EPS) also missed analyst estimates by 89%. Revenue is forecast to grow 45% p.a. on average during the next 2 years, compared to a 15% growth forecast for the Diversified Financial industry in Canada. Over the last 3 years on average, earnings per share has fallen by 32% per year but the company’s share price has fallen by 40% per year, which means it is performing significantly worse than earnings. Announcement • Mar 22
BharCap Partners, LLC acquired Red OAK Inventory Finance, LLC from ECN Capital Corp. (TSX:ECN). BharCap Partners, LLC acquired Red OAK Inventory Finance, LLC from ECN Capital Corp. (TSX:ECN) on February 21, 2024. The net proceeds from the transaction were initially used to pay down debt under the Company’s credit facility and are expected to be available to be redeployed into ECN’s manufactured housing and RV & Marine origination platforms. As part of the transaction, RBC Capital Markets acted as financial advisor and Cravath, Swaine & Moore LLP acted as legal advisor to the ECN Capital Corp.BharCap Partners, LLC completed the acquisition of Red OAK Inventory Finance, LLC from ECN Capital Corp. (TSX:ECN) on February 21, 2024. Announcement • Mar 08
ECN Capital Corp. to Report Q4, 2023 Results on Mar 21, 2024 ECN Capital Corp. announced that they will report Q4, 2023 results After-Market on Mar 21, 2024 Upcoming Dividend • Dec 07
Upcoming dividend of CA$0.01 per share at 1.5% yield Eligible shareholders must have bought the stock before 14 December 2023. Payment date: 02 January 2024. The company is not currently making a profit and is not cash flow positive. Trailing yield: 1.5%. Lower than top quartile of Canadian dividend payers (6.6%). Lower than average of industry peers (3.6%). Recent Insider Transactions • Nov 18
CEO & Executive Director recently bought CA$523k worth of stock On the 15th of November, Steven Hudson bought around 250k shares on-market at roughly CA$2.09 per share. This transaction amounted to 1.8% of their direct individual holding at the time of the trade. In the last 3 months, they made an even bigger purchase worth CA$610k. Steven has been a buyer over the last 12 months, purchasing a net total of CA$2.2m worth in shares. Announcement • Nov 15
ECN Capital Corp. Declares Quarterly Dividend, Payable on January 2, 2024 ECN Capital Corp. Board of Directors has authorized and declared a quarterly dividend of CAD 0.01 per outstanding common share to be paid on January 2, 2024 to shareholders of record at the close of business on December 15, 2023. Price Target Changed • Nov 15
Price target decreased by 13% to CA$2.71 Down from CA$3.11, the current price target is an average from 7 analysts. New target price is 19% above last closing price of CA$2.28. Stock is down 30% over the past year. The company is forecast to post a net loss per share of US$0.16 compared to earnings per share of US$0.0068 last year. Reported Earnings • Nov 15
Third quarter 2023 earnings released: US$0.02 loss per share (vs US$0.026 profit in 3Q 2022) Third quarter 2023 results: US$0.02 loss per share (down from US$0.026 profit in 3Q 2022). Revenue: US$26.0m (down 37% from 3Q 2022). Net loss: US$4.57m (down 173% from profit in 3Q 2022). Revenue is forecast to grow 33% p.a. on average during the next 3 years, compared to a 4.6% growth forecast for the Diversified Financial industry in Canada. Over the last 3 years on average, earnings per share has fallen by 18% per year but the company’s share price has fallen by 28% per year, which means it is performing significantly worse than earnings. Announcement • Nov 09
ECN Capital Corp. to Report Q3, 2023 Results on Nov 13, 2023 ECN Capital Corp. announced that they will report Q3, 2023 results After-Market on Nov 13, 2023 Price Target Changed • Oct 26
Price target decreased by 7.7% to CA$3.00 Down from CA$3.25, the current price target is an average from 7 analysts. New target price is 70% above last closing price of CA$1.76. Stock is down 57% over the past year. The company is forecast to post a net loss per share of US$0.19 compared to earnings per share of US$0.0068 last year. New Risk • Sep 27
New minor risk - Shareholder dilution The company's shareholders have been diluted in the past year. Increase in shares outstanding: 13% This is considered a minor risk. Shareholder dilution occurs when there is an increase in the number of shares on issue that is not proportionally distributed between all shareholders. Often due to the company raising equity capital or some options being converted into stock. All else being equal, if there are more shares outstanding then each existing share will be entitled to a lower proportion of the company's total earnings, thus reducing earnings per share (EPS). While dilution might not always result in lower EPS (like if the company is using the capital to fund an EPS accretive acquisition) in a lot cases it does, along with lower dividends per share and less voting power at shareholder meetings. This is currently the only risk that has been identified for the company. Recent Insider Transactions • Sep 24
CEO & Executive Director recently bought CA$590k worth of stock On the 21st of September, Steven Hudson bought around 250k shares on-market at roughly CA$2.36 per share. This transaction amounted to 1.8% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Steven has been a buyer over the last 12 months, purchasing a net total of CA$1.1m worth in shares. Upcoming Dividend • Sep 07
Upcoming dividend of CA$0.01 per share at 1.6% yield Eligible shareholders must have bought the stock before 14 September 2023. Payment date: 02 October 2023. The company is not currently making a profit and is not cash flow positive. Trailing yield: 1.6%. Lower than top quartile of Canadian dividend payers (6.2%). Lower than average of industry peers (3.0%). Recent Insider Transactions • Aug 18
CEO & Executive Director recently bought CA$515k worth of stock On the 15th of August, Steven Hudson bought around 200k shares on-market at roughly CA$2.58 per share. This transaction amounted to 1.5% of their direct individual holding at the time of the trade. This was the largest purchase by an insider in the last 3 months. Steven has been a buyer over the last 12 months, purchasing a net total of CA$2.0m worth in shares. Major Estimate Revision • Aug 17
Consensus revenue estimates decrease by 15% The consensus outlook for fiscal year 2023 has been updated. 2023 revenue forecast fell from US$239.5m to US$203.6m. EPS estimate unchanged from -US$0.15 per share at last update. Diversified Financial industry in Canada expected to see average net income growth of 23% next year. Consensus price target down from CA$3.38 to CA$3.25. Share price fell 3.7% to CA$2.60 over the past week. Announcement • Aug 09
ECN Capital Corp. to Report Q2, 2023 Results on Aug 14, 2023 ECN Capital Corp. announced that they will report Q2, 2023 results at 4:00 PM, US Eastern Standard Time on Aug 14, 2023 Upcoming Dividend • Jun 07
Upcoming dividend of CA$0.01 per share at 1.3% yield Eligible shareholders must have bought the stock before 14 June 2023. Payment date: 30 June 2023. The company is not currently making a profit and is not cash flow positive. Trailing yield: 1.3%. Lower than top quartile of Canadian dividend payers (6.2%). Lower than average of industry peers (3.2%). 