New Risk • 1h
New major risk - Revenue and earnings growth Earnings have declined by 15% 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. Currently, the following risks have been identified for the company: Major Risks Interest payments are not well covered by earnings (2.8x net interest cover). Earnings have declined by 15% per year over the past 5 years. Announcement • 23h
Cogeco Inc. Declares Quarterly Dividend Cogeco Inc. at its July 15, 2026 meeting, the Board of Directors of Cogeco declared a quarterly dividend of $0.987 per share, an increase of 7.0% compared to $0.922 per share in the comparable quarter of fiscal 2025. Announcement • Jun 17
Cogeco Inc. to Report Q3, 2026 Results on Jul 15, 2026 Cogeco Inc. announced that they will report Q3, 2026 results After-Market on Jul 15, 2026 Declared Dividend • Apr 16
Second quarter dividend of CA$0.99 announced Shareholders will receive a dividend of CA$0.99. Ex-date: 23rd April 2026 Payment date: 7th May 2026 Dividend yield will be 6.1%, which is higher than the industry average of 4.7%. Sustainability & Growth Dividend is well covered by both earnings (43% earnings payout ratio) and cash flows (9% cash payout ratio). The dividend has increased by an average of 14% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. Earnings per share has remained steady over the last 5 years. Unless this trend deteriorates, it should provide adequate earnings cover for the dividend. Reported Earnings • Apr 12
Second quarter 2026 earnings released: EPS: CA$2.00 (vs CA$1.91 in 2Q 2025) Second quarter 2026 results: EPS: CA$2.00 (up from CA$1.91 in 2Q 2025). Revenue: CA$713.0m (down 5.3% from 2Q 2025). Net income: CA$19.0m (up 4.4% from 2Q 2025). Profit margin: 2.7% (up from 2.4% in 2Q 2025). The increase in margin was driven by lower expenses. Revenue is expected to decline by 2.3% p.a. on average during the next 2 years, while revenues in the Telecom industry in Canada are expected to grow by 1.9%. Over the last 3 years on average, earnings per share has increased by 17% per year but the company’s share price has only increased by 2% per year, which means it is significantly lagging earnings growth. New Risk • Apr 10
New major risk - Revenue and earnings growth Earnings have declined by 15% 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. Currently, the following risks have been identified for the company: Major Risks Interest payments are not well covered by earnings (2.7x net interest cover). Earnings have declined by 15% per year over the past 5 years. Announcement • Mar 12
Cogeco Inc. to Report Q2, 2026 Results on Apr 09, 2026 Cogeco Inc. announced that they will report Q2, 2026 results After-Market on Apr 09, 2026 Board Change • Feb 01
High number of new directors There are 5 new directors who have joined the board in the last 3 years. Independent Director Bernard Lord was the last director to join the board, commencing their role in 2026. The company’s lack of board continuity is considered a risk according to the Simply Wall St Risk Model. Declared Dividend • Jan 22
First quarter dividend of CA$0.99 announced Shareholders will receive a dividend of CA$0.99. Ex-date: 28th January 2026 Payment date: 11th February 2026 Dividend yield will be 5.4%, which is higher than the industry average of 4.7%. Sustainability & Growth Dividend is well covered by both earnings (43% earnings payout ratio) and cash flows (8% cash payout ratio). The dividend has increased by an average of 14% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. Earnings per share has remained steady over the last 5 years. Unless this trend deteriorates, it should provide adequate earnings cover for the dividend. Price Target Changed • Jan 16
Price target increased by 8.8% to CA$93.00 Up from CA$85.50, the current price target is an average from 2 analysts. New target price is 30% above last closing price of CA$71.56. Stock is up 33% over the past year. The company posted earnings per share of CA$8.94 last year. Reported Earnings • Jan 15
First quarter 2026 earnings released: EPS: CA$2.97 (vs CA$3.13 in 1Q 2025) First quarter 2026 results: EPS: CA$2.97 (down from CA$3.13 in 1Q 2025). Revenue: CA$735.6m (down 3.8% from 1Q 2025). Net income: CA$28.2m (down 5.4% from 1Q 2025). Profit margin: 3.8% (down from 3.9% in 1Q 2025). The decrease in margin was driven by lower revenue. Revenue is expected to decline by 2.8% p.a. on average during the next 2 years, while revenues in the Telecom industry in Canada are expected to grow by 2.1%. Over the last 3 years on average, earnings per share has increased by 11% per year whereas the company’s share price has increased by 7% per year. Announcement • Jan 15
Cogeco Inc. Declares A Quarterly Dividend At its January 14, 2026 meeting, the Board of Directors of Cogeco Inc. declared a quarterly dividend of $0.987 per share, an increase of 7.0% compared to $0.922 per share in the comparable quarter of fiscal 2025. Announcement • Dec 17
Cogeco Inc. to Report Q1, 2026 Results on Jan 14, 2026 Cogeco Inc. announced that they will report Q1, 2026 results After-Market on Jan 14, 2026 Announcement • Nov 12
Cogeco Inc., Annual General Meeting, Jan 15, 2026 Cogeco Inc., Annual General Meeting, Jan 15, 2026. Location: quebec, montreal Canada Recent Insider Transactions Derivative • Nov 07
Chief Financial Officer exercised options to buy CA$141k worth of stock. On the 31st of October, Patrice Ouimet exercised options to buy 2k shares at a strike price of around CA$58.98, costing a total of CA$136k. This transaction amounted to 22% of their direct individual holding at the time of the trade. Since December 2024, Patrice has owned 10.35k shares directly. Company insiders have collectively bought CA$391k more than they sold, via options and on-market transactions, in the last 12 months. Declared Dividend • Nov 06
Fourth quarter dividend of CA$0.99 announced Shareholders will receive a dividend of CA$0.99. Ex-date: 12th November 2025 Payment date: 26th November 2025 Dividend yield will be 6.2%, which is higher than the industry average of 4.7%. Sustainability & Growth Dividend is well covered by both earnings (41% earnings payout ratio) and cash flows (7% cash payout ratio). The dividend has increased by an average of 14% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. Earnings per share has grown by 2.1% over the last 5 years. Unless this trend reverses, it should provide support to the dividend and adequate earnings cover. Reported Earnings • Oct 31
Full year 2025 earnings released: EPS: CA$8.94 (vs CA$8.63 in FY 2024) Full year 2025 results: EPS: CA$8.94. Revenue: CA$3.01b (down 2.1% from FY 2024). Net income: CA$85.0m (down 12% from FY 2024). Profit margin: 2.8% (down from 3.1% in FY 2024). The decrease in margin was driven by lower revenue. Revenue is expected to decline by 2.3% p.a. on average during the next 2 years, while revenues in the Telecom industry in Canada are expected to grow by 2.3%. Announcement • Sep 25
Cogeco Inc. to Report Q4, 2025 Results on Oct 29, 2025 Cogeco Inc. announced that they will report Q4, 2025 results After-Market on Oct 29, 2025 Declared Dividend • Jul 21
Third quarter dividend of CA$0.92 announced Shareholders will receive a dividend of CA$0.92. Ex-date: 29th July 2025 Payment date: 12th August 2025 Dividend yield will be 6.0%, which is higher than the industry average of 4.7%. Sustainability & Growth Dividend is well covered by both earnings (39% earnings payout ratio) and cash flows (6% cash payout ratio). The dividend has increased by an average of 14% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. Earnings per share has grown by 3.0% over the last 5 years. Unless this trend reverses, it should provide support to the dividend and adequate earnings cover. Reported Earnings • Jul 16
Third quarter 2025 earnings released: EPS: CA$2.16 (vs CA$1.99 in 3Q 2024) Third quarter 2025 results: EPS: CA$2.16 (up from CA$1.99 in 3Q 2024). Revenue: CA$758.5m (down 2.4% from 3Q 2024). Net income: CA$20.5m (up 8.1% from 3Q 2024). Profit margin: 2.7% (up from 2.4% in 3Q 2024). The increase in margin was driven by lower expenses. Revenue is forecast to stay flat during the next 3 years compared to a 2.0% growth forecast for the Telecom industry in Canada. Over the last 3 years on average, earnings per share has remained flat whereas the company’s share price has fallen by 3% per year. Announcement • Jun 19
Cogeco Inc. to Report Q3, 2025 Results on Jul 15, 2025 Cogeco Inc. announced that they will report Q3, 2025 results After-Market on Jul 15, 2025 Declared Dividend • Apr 14
Second quarter dividend of CA$0.92 announced Shareholders will receive a dividend of CA$0.92. Ex-date: 23rd April 2025 Payment date: 7th May 2025 Dividend yield will be 6.1%, which is higher than the industry average of 4.7%. Sustainability & Growth Dividend is well covered by both earnings (39% earnings payout ratio) and cash flows (11% cash payout ratio). The dividend has increased by an average of 15% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. Earnings per share has grown by 15% over the last 5 years. Unless this trend reverses, it should provide support to the dividend and adequate earnings cover. New Risk • Apr 13
New major risk - Financial position The company's interest payments are not well covered by earnings. Net interest cover: 2.8x This is considered a major risk. If the company is unable to fund interest repayments on its debt through profits, it may be forced into reducing its debt burden through selling assets, undertaking a potentially costly capital raising or even into bankruptcy in the worst case scenario. This is currently the only risk that has been identified for the company. Reported Earnings • Apr 10
Second quarter 2025 earnings released: EPS: CA$1.91 (vs CA$2.32 in 2Q 2024) Second quarter 2025 results: EPS: CA$1.91 (down from CA$2.32 in 2Q 2024). Revenue: CA$753.2m (flat on 2Q 2024). Net income: CA$18.2m (down 24% from 2Q 2024). Profit margin: 2.4% (down from 3.2% in 2Q 2024). Revenue is forecast to stay flat during the next 3 years compared to a 2.3% growth forecast for the Telecom industry in Canada. Over the last 3 years on average, earnings per share has fallen by 5% per year but the company’s share price has fallen by 12% per year, which means it is performing significantly worse than earnings. Announcement • Apr 10
Cogeco Inc. Declares Quarterly Eligible Dividend At its April 9, 2025 meeting, the Board of Directors of Cogeco Inc. declared a quarterly eligible dividend of $0.922 per share, an increase of 8.0% compared to $0.854 per share in the comparable quarter of fiscal 2024. Announcement • Mar 12
Cogeco Inc. to Report Q2, 2025 Results on Apr 09, 2025 Cogeco Inc. announced that they will report Q2, 2025 results After-Market on Apr 09, 2025 Declared Dividend • Jan 17
First quarter dividend of CA$0.92 announced Shareholders will receive a dividend of CA$0.92. Ex-date: 27th January 2025 Payment date: 10th February 2025 Dividend yield will be 6.6%, which is higher than the industry average of 4.7%. Sustainability & Growth Dividend is well covered by both earnings (37% earnings payout ratio) and cash flows (12% cash payout ratio). The dividend has increased by an average of 15% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. Earnings per share has grown by 18% over the last 5 years. Unless this trend reverses, it should provide support to the dividend and adequate earnings cover. New Risk • Jan 15
New major risk - Financial position The company's interest payments are not well covered by earnings. Net interest cover: 2.9x This is considered a major risk. If the company is unable to fund interest repayments on its debt through profits, it may be forced into reducing its debt burden through selling assets, undertaking a potentially costly capital raising or even into bankruptcy in the worst case scenario. This is currently the only risk that has been identified for the company. Reported Earnings • Jan 14
First quarter 2025 earnings released: EPS: CA$3.13 (vs CA$2.23 in 1Q 2024) First quarter 2025 results: EPS: CA$3.13. Revenue: CA$765.0m (down 1.4% from 1Q 2024). Net income: CA$29.8m (down 14% from 1Q 2024). Profit margin: 3.9% (down from 4.5% in 1Q 2024). Revenue is forecast to stay flat during the next 2 years compared to a 2.3% growth forecast for the Telecom industry in Canada. Announcement • Dec 17
Cogeco Inc. to Report Q1, 2025 Results on Jan 13, 2025 Cogeco Inc. announced that they will report Q1, 2025 results After-Market on Jan 13, 2025 Recent Insider Transactions Derivative • Nov 21
Chief Financial Officer exercised options to buy CA$53k worth of stock. On the 15th of November, Patrice Ouimet exercised 1.98k options to receive shares at no cost, then sold around 1.09k of them at CA$59.53 each and kept the remainder. Since December 2023, Patrice has owned 9.46k shares directly. Company insiders have collectively bought CA$73k more than they sold, via options and on-market transactions, in the last 12 months. Announcement • Nov 11
Cogeco Inc., Annual General Meeting, Jan 14, 2025 Cogeco Inc., Annual General Meeting, Jan 14, 2025. Location: quebec, montreal Canada Declared Dividend • Nov 07
Fourth quarter dividend of CA$0.92 announced Shareholders will receive a dividend of CA$0.92. Ex-date: 14th November 2024 Payment date: 28th November 2024 Dividend yield will be 5.7%, which is higher than the industry average of 4.7%. Sustainability & Growth Dividend is well covered by both earnings (40% earnings payout ratio) and cash flows (11% cash payout ratio). The dividend has increased by an average of 15% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. Earnings per share has grown by 19% over the last 5 years. Unless this trend reverses, it should provide support to the dividend and adequate earnings cover. Price Target Changed • Nov 04
Price target increased by 8.2% to CA$85.50 Up from CA$79.00, the current price target is an average from 2 analysts. New target price is 39% above last closing price of CA$61.68. Stock is up 29% over the past year. The company posted earnings per share of CA$8.63 last year. Reported Earnings • Nov 02
Full year 2024 earnings released: EPS: CA$8.63 (vs CA$4.54 in FY 2023) Full year 2024 results: EPS: CA$8.63 (up from CA$4.54 in FY 2023). Revenue: CA$3.07b (flat on FY 2023). Net income: CA$96.7m (up 37% from FY 2023). Profit margin: 3.1% (up from 2.3% in FY 2023). Revenue is forecast to stay flat during the next 2 years compared to a 2.3% growth forecast for the Telecom industry in Canada. Over the last 3 years on average, earnings per share has fallen by 16% per year but the company’s share price has only fallen by 10% per year, which means it has not declined as severely as earnings. Price Target Changed • Oct 24
Price target increased by 11% to CA$84.00 Up from CA$76.00, the current price target is an average from 2 analysts. New target price is 36% above last closing price of CA$61.94. Stock is up 31% over the past year. The company posted earnings per share of CA$4.53 last year. Announcement • Sep 17
Cogeco Inc. to Report Q4, 2024 Results on Oct 31, 2024 Cogeco Inc. announced that they will report Q4, 2024 results After-Market on Oct 31, 2024 Announcement • Sep 03
Cogeco Welcomes Mike Henry as Chief Commercial Officer Cogeco Inc. and Cogeco Communications Inc. announced the arrival of Mike Henry, who joined the organization as Chief Commercial Officer on Monday, August 26, 2024. He will be responsible for leading the sales and marketing, digital, brand, product and community relations teams of Cogeco's telecommunications business across Canada and the United States. Henry brings 30 years of leadership experience from the financial sector, where he has led pivotal transformations and overseen value creation, while keeping customer experience at the forefront of the organizations he has served. Henry most recently held the position of Executive Vice-President, Consumer Banking, Digital and Strategy at Home Trust. He previously held multiple executive roles at Scotiabank, acting as Executive Vice-President and Chief Data Officer. Henry holds an MBA from the Schulich School of Business at York University, and has completed leadership programs at both Harvard Business School and Duke University. He also holds the ICD.D designation from the Institute of Corporate Directors. Declared Dividend • Jul 17
Third quarter dividend of CA$0.85 announced Shareholders will receive a dividend of CA$0.85. Ex-date: 25th July 2024 Payment date: 8th August 2024 Dividend yield will be 6.4%, which is higher than the industry average of 4.7%. Sustainability & Growth Dividend is well covered by both earnings (39% earnings payout ratio) and cash flows (14% cash payout ratio). The dividend has increased by an average of 15% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. Earnings per share has grown by 23% over the last 5 years. Unless this trend reverses, it should provide support to the dividend and adequate earnings cover. Reported Earnings • Jul 12
Third quarter 2024 earnings released: EPS: CA$1.99 (vs CA$2.22 loss in 3Q 2023) Third quarter 2024 results: EPS: CA$1.99 (up from CA$2.22 loss in 3Q 2023). Revenue: CA$777.2m (up 1.3% from 3Q 2023). Net income: CA$19.0m (up CA$53.4m from 3Q 2023). Profit margin: 2.4% (up from net loss in 3Q 2023). The move to profitability was primarily driven by lower expenses. Revenue is forecast to stay flat during the next 2 years compared to a 2.3% growth forecast for the Telecom industry in Canada. Over the last 3 years on average, earnings per share has fallen by 20% per year and the company’s share price has also fallen by 20% per year. Announcement • Jun 06
Cogeco Inc. to Report Q3, 2024 Results on Jul 11, 2024 Cogeco Inc. announced that they will report Q3, 2024 results After-Market on Jul 11, 2024 Declared Dividend • Apr 23
Second quarter dividend of CA$0.85 announced Shareholders will receive a dividend of CA$0.85. Ex-date: 24th April 2024 Payment date: 9th May 2024 Dividend yield will be 6.1%, which is higher than the industry average of 4.7%. Sustainability & Growth Dividend is covered by both earnings (85% earnings payout ratio) and cash flows (12% cash payout ratio). The dividend has increased by an average of 16% per year over the past 10 years and has been stable with no material reductions to payments, indicating a long track record of dividend growth and stability. The company's earnings per share (EPS) would need to decline by 6.1% to shift the payout ratio to a potentially unsustainable range, which is more than the 4.9% EPS decline seen over the last 5 years. Announcement • Apr 13
Cogeco Inc. Declares Quarterly Dividend Cogeco Inc. declared a quarterly eligible dividend of $0.854 per share, an increase of 16.8% compared to $0.731 per share in the comparable quarter of fiscal 2023. Reported Earnings • Apr 12
Second quarter 2024 earnings released: EPS: CA$2.32 (vs CA$2.17 in 2Q 2023) Second quarter 2024 results: EPS: CA$2.32. Revenue: CA$751.9m (flat on 2Q 2023). Net income: CA$24.0m (down 29% from 2Q 2023). Profit margin: 3.2% (down from 4.5% in 2Q 2023). Revenue is forecast to grow 1.1% p.a. on average during the next 2 years, compared to a 2.6% growth forecast for the Telecom industry in Canada. Announcement • Mar 20
Cogeco Inc. to Report Q2, 2024 Results on Apr 11, 2024 Cogeco Inc. announced that they will report Q2, 2024 results After-Market on Apr 11, 2024 Announcement • Mar 12
Cogeco Inc. and Cogeco Communications Inc. Announce Chief Executive Officer Changes The Boards of Directors of Cogeco Inc. and of Cogeco Communications Inc. announced that they have appointed Frédéric Perron as Chief Executive Officer of both Companies, effective immediately, succeeding Philippe Jetté who is retiring. Mr. Perron previously held the position of President of Cogeco Connexion, Cogeco's Canadian broadband business. This appointment follows a thorough Board-led succession planning process. To facilitate a seamless transition in leadership, Mr. Jetté will serve as a strategic advisor to the incoming CEO and Boards of Directors until August 31, 2024. Since joining Cogeco in September 2020, Mr. Perron successfully repositioned Cogeco's Canadian broadband business by building a high-performing team, step-changing execution, accelerating customer growth, completing three important acquisitions, scaling a digital flanker brand and expanding Cogeco's high speed network. Prior to joining Cogeco, Mr. Perron led T-Mobile's consumer business in Poland, held executive roles at Vodafone in the United Kingdom and the Czech Republic, and ran customer base management at Rogers Communications. He has a proven track record as a change agent with broad experience in broadband, wireless and the credit card industry across five countries leading marketing, sales, customer service, operations, digital, product, network, IT, and legal. Announcement • Mar 11
Cogeco Inc. and Cogeco Communications Inc. Announce Management Changes The Boards of Directors of Cogeco Inc. and of Cogeco Communications Inc. announced that they have appointed Frédéric Perron as President and Director of both Companies, effective immediately, succeeding Philippe Jetté who is retiring. Mr. Perron previously held the position of President of Cogeco Connexion, Cogeco's Canadian broadband business. This appointment follows a thorough Board-led succession planning process. To facilitate a seamless transition in leadership, Mr. Jetté will serve as a strategic advisor to the incoming CEO and Boards of Directors until August 31, 2024. Since joining Cogeco in September 2020, Mr. Perron successfully repositioned Cogeco's Canadian broadband business by building a high-performing team, step-changing execution, accelerating customer growth, completing three important acquisitions, scaling a digital flanker brand and expanding Cogeco's high speed network. Prior to joining Cogeco, Mr. Perron led T-Mobile's consumer business in Poland, held executive roles at Vodafone in the United Kingdom and the Czech Republic, and ran customer base management at Rogers Communications. He has a proven track record as a change agent with broad experience in broadband, wireless and the credit card industry across five countries leading marketing, sales, customer service, operations, digital, product, network, IT, and legal. Mr. Jetté will step down as a director of both companies, effective March 11, 2024. Upcoming Dividend • Jan 16
Upcoming dividend of CA$0.85 per share at 5.8% yield Eligible shareholders must have bought the stock before 23 January 2024. Payment date: 07 February 2024. Payout ratio is on the higher end at 75%, however this is supported by cash flows. Trailing yield: 5.8%. Lower than top quartile of Canadian dividend payers (6.4%). Lower than average of industry peers (6.6%). Announcement • Jan 13
Cogeco Inc. Elects Robin Bienenstock as Director Cogeco Inc. announced Robin Bienenstock elected as director of Cogeco during its Annual Shareholders' Meeting held virtually on January 11, 2024. Reported Earnings • Jan 11
First quarter 2024 earnings released: EPS: CA$2.23 (vs CA$2.68 in 1Q 2023) First quarter 2024 results: EPS: CA$2.23 (down from CA$2.68 in 1Q 2023). Revenue: CA$776.2m (down 1.7% from 1Q 2023). Net income: CA$34.5m (down 18% from 1Q 2023). Profit margin: 4.5% (down from 5.3% in 1Q 2023). Revenue is forecast to stay flat during the next 2 years compared to a 3.3% growth forecast for the Telecom industry in Canada. Over the last 3 years on average, earnings per share has fallen by 16% per year but the company’s share price has only fallen by 10% per year, which means it has not declined as severely as earnings. Announcement • Jan 11
Cogeco Declares a Quarterly Eligible Dividend At its January 10, 2024 meeting, the Board of Directors of Cogeco declared a quarterly eligible dividend of $0.854 per share, an increase of 16.8% compared to $0.731 per share in the comparable quarter of fiscal 2023. Announcement • Dec 15
Cogeco Inc. to Report Q1, 2024 Results on Jan 11, 2024 Cogeco Inc. announced that they will report Q1, 2024 results After-Market on Jan 11, 2024 Price Target Changed • Dec 13
Price target increased by 14% to CA$81.50 Up from CA$71.50, the current price target is an average from 2 analysts. New target price is 50% above last closing price of CA$54.19. Stock is down 11% over the past year. The company posted earnings per share of CA$4.53 last year. Announcement • Dec 12
Cogeco Inc. (TSX:CGO) announces an Equity Buyback for 5,969,360 shares, representing 38.2% for CAD 280.02 million. Cogeco Inc. (TSX:CGO) announces a share repurchase program. Under the program, the company will repurchase up to 5,969,360 shares, representing 38.2% for CAD 280.02 million. The shares will be repurchased at a price not more than CAD 46.91 per share. The company will fund CAD 117 million in proceeds resulting from a repurchase for cancellation by Cogeco Communications from Cogeco of CCA SVS at the CCA SVS Price, CAD 73 million will be funded from a sale by Cogeco to CDPQ of CCA SVS at the CCA SVS Price and from its term loan and credit facilities. The shares will be repurchased from Caisse de dépôt et placement du Québec. Recent Insider Transactions Derivative • Nov 16
President exercised options to buy CA$107k worth of stock. On the 9th of November, Philippe Jette exercised 5.18k options to receive shares at no cost, then sold around 2.85k of them at CA$80.34 each and kept the remainder. Since December 2022, Philippe has owned 12.38k shares directly. Company insiders have collectively bought CA$655k more than they sold, via options and on-market transactions, in the last 12 months. Upcoming Dividend • Nov 07
Upcoming dividend of CA$0.85 per share at 6.1% yield Eligible shareholders must have bought the stock before 14 November 2023. Payment date: 29 November 2023. Payout ratio is a comfortable 64% and this is well supported by cash flows. Trailing yield: 6.1%. Lower than top quartile of Canadian dividend payers (6.5%). Lower than average of industry peers (6.9%). Price Target Changed • Nov 05
Price target decreased by 9.2% to CA$74.00 Down from CA$81.50, the current price target is an average from 2 analysts. New target price is 52% above last closing price of CA$48.60. Stock is down 12% over the past year. The company posted earnings per share of CA$4.53 last year. Announcement • Nov 04
Cogeco Inc., Annual General Meeting, Jan 11, 2024 Cogeco Inc., Annual General Meeting, Jan 11, 2024. Reported Earnings • Nov 02
Full year 2023 earnings released: EPS: CA$4.53 (vs CA$9.43 in FY 2022) Full year 2023 results: EPS: CA$4.53 (down from CA$9.43 in FY 2022). Revenue: CA$3.08b (up 2.9% from FY 2022). Net income: CA$70.6m (down 53% from FY 2022). Profit margin: 2.3% (down from 5.0% in FY 2022). Over the last 3 years on average, earnings per share has fallen by 8% per year but the company’s share price has fallen by 15% per year, which means it is performing significantly worse than earnings. Announcement • Nov 02
Cogeco Inc. Declares Quarterly Dividend Cogeco Inc. at its November 1, 2023 meeting, the Board of Directors of the company declared a quarterly eligible dividend of $0.854 per share, an increase of 16.8% compared to $0.731 per share last year. With this increase, the dividends per share of the Corporation and Cogeco Communications are now fully aligned. Announcement • Sep 29
Cogeco Inc. to Report Q4, 2023 Results on Nov 01, 2023 Cogeco Inc. announced that they will report Q4, 2023 results After-Market on Nov 01, 2023 Announcement • Sep 19
Cogeco Inc. and Cogeco Communications Inc. Appoints Valery Zamuner as Senior Vice-President and Chief Corporate Affairs and Legal Officer Cogeco Inc. and Cogeco Communications Inc. announced the appointment of Valery Zamuner as Senior Vice-President and Chief Corporate Affairs and Legal Officer, effective September 18, 2023. She will be based at the company's head office in Montreal. Ms. Zamuner is a seasoned executive with outstanding experience in sectors ranging from financial and professional services to media and retail. During her career, she has held positions with ever-increasing responsibility, led key legal functions, piloted landmark mergers and acquisitions, and helped shape the strategies of the companies she has worked for. Her most recent roles include Senior Vice-President, General Counsel and Corporate Secretary for Alimentation Couche-Tard, and Senior Vice-President of Mergers, Acquisitions Strategic Initiatives for Stingray Inc. Ms. Zamuner will lead the Corporate Affairs teams as well as the Legal, Regulatory and Government teams; this will bring together the various fields of expertise related to its key interactions with external stakeholders. Ms. Zamuner holds a law degree from Universite Laval and an MBA from Concordia University. She is a member of the Quebec Bar. Announcement • Sep 08
Cogeco Inc. and Cogeco Communications Inc. Announces Appointment of Tim Dinesen as Senior Vice-President and Chief Technology Officer Cogeco Inc. and Cogeco Communications Inc. announced the appointment of Tim Dinesen as Senior Vice-President and Chief Technology Officer, effective September 11, 2023. He will be based at the head office in Montreal. Until recently, in addition to his consulting work, he has held management roles at Xplornet, Canadian Tire and Bell Canada, among others. During his career, he has acquired extensive experience of broadband networks, information technologies, mobility and customer operations in Canada and the United States. Mr. Dinesen holds a PhD in Chemical Physics from McGill University and an MBA from Queen's University. New Risk • Jul 15
New major risk - Financial position The company's debt is not well covered by operating cash flow. Operating cash flow to total debt ratio: 20% 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. Currently, the following risks have been identified for the company: Major Risk Debt is not well covered by operating cash flow (20% operating cash flow to total debt). Minor Risks Large one-off items impacting financial results. Profit margins are more than 30% lower than last year (2.5% net profit margin). Reported Earnings • Jul 14
Third quarter 2023 earnings released: CA$2.22 loss per share (vs CA$2.38 profit in 3Q 2022) Third quarter 2023 results: CA$2.22 loss per share (down from CA$2.38 profit in 3Q 2022). Revenue: CA$767.6m (up 1.7% from 3Q 2022). Net loss: CA$34.5m (down 192% from profit in 3Q 2022). Revenue is forecast to grow 1.4% p.a. on average during the next 2 years, compared to a 1.6% growth forecast for the Media industry in Canada. Over the last 3 years on average, earnings per share has fallen by 1% per year but the company’s share price has fallen by 15% per year, which means it is performing significantly worse than earnings. Announcement • Jun 09
Cogeco Inc. to Report Q3, 2023 Results on Jul 13, 2023 Cogeco Inc. announced that they will report Q3, 2023 results at 4:00 PM, US Eastern Standard Time on Jul 13, 2023 Price Target Changed • May 05
Price target decreased by 17% to CA$84.50 Down from CA$102, the current price target is an average from 2 analysts. New target price is 55% above last closing price of CA$54.44. Stock is down 23% over the past year. The company posted earnings per share of CA$9.43 last year. Upcoming Dividend • Apr 19
Upcoming dividend of CA$0.73 per share at 5.1% yield Eligible shareholders must have bought the stock before 26 April 2023. Payment date: 11 May 2023. Payout ratio is a comfortable 28% and this is well supported by cash flows. Trailing yield: 5.1%. Lower than top quartile of Canadian dividend payers (6.1%). Higher than average of industry peers (3.4%). Reported Earnings • Apr 14
Second quarter 2023 earnings released: EPS: CA$2.17 (vs CA$2.30 in 2Q 2022) Second quarter 2023 results: EPS: CA$2.17 (down from CA$2.30 in 2Q 2022). Revenue: CA$757.2m (up 1.2% from 2Q 2022). Net income: CA$33.8m (down 7.8% from 2Q 2022). Profit margin: 4.5% (down from 4.9% in 2Q 2022). The decrease in margin was driven by higher expenses. Revenue is forecast to grow 1.1% p.a. on average during the next 2 years, compared to a 2.8% growth forecast for the Media industry in Canada. Over the last 3 years on average, earnings per share has increased by 12% per year but the company’s share price has fallen by 12% per year, which means it is significantly lagging earnings. Board Change • Feb 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. 2 highly experienced directors. Director Caroline Papadatos 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. Valuation Update With 7 Day Price Move • Jan 19
Investor sentiment deteriorated over the past week After last week's 16% share price decline to CA$57.63, the stock trades at a trailing P/E ratio of 5.9x. Average forward P/E is 9x in the Media industry in Canada. Total loss to shareholders of 33% over the past three years. Announcement • Jan 17
Cogeco Inc. Approves Election of Caroline Papadatos as Director Cogeco Inc. at its AGM held on January 13, 2023 approved election of Caroline Papadatos as director. Reported Earnings • Jan 14
First quarter 2023 earnings released: EPS: CA$2.68 (vs CA$2.42 in 1Q 2022) First quarter 2023 results: EPS: CA$2.68 (up from CA$2.42 in 1Q 2022). Revenue: CA$789.7m (up 6.0% from 1Q 2022). Net income: CA$42.1m (up 9.2% from 1Q 2022). Profit margin: 5.3% (up from 5.2% in 1Q 2022). The increase in margin was driven by higher revenue. Over the last 3 years on average, earnings per share has increased by 18% per year but the company’s share price has fallen by 13% per year, which means it is significantly lagging earnings. Board Change • Nov 16
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. 5 experienced directors. 3 highly experienced directors. Independent Director Patricia Curadeau-Grou was the last director to join the board, commencing their role in 2020. The company’s insufficient board refreshment is considered a risk according to the Simply Wall St Risk Model. Announcement • Nov 05
Cogeco Inc., Annual General Meeting, Jan 13, 2023 Cogeco Inc., Annual General Meeting, Jan 13, 2023.