Calian Group (TSX:CGY) continued to rake in record revenues this past quarter, as the firm says its acquisition strategy is paying off in spades.
On Wednesday the Ottawa-based tech and services firm reported revenues of $88.8 million for the three months ended June 30, an increase of 21.6 per cent year-over-year and the company’s fourth consecutive quarter of record revenues.
Calian also hit 71 straight quarters of profit with a net income of $4.3 million, up from $3.9 million a year ago.
Key to Calian’s rising revenues and consistent performance is its acquisitions strategy. While the company doesn’t break down its revenues by companies it has purchased, Calian’s new chief financial officer Patrick Houston noted that IntraGrain – a Regina-based agri-tech firm acquired late last year – made “strong contributions” to this past quarter’s results.
Calian also noted in financial filings that its past four acquisitions – Secure Tech, PriorityOne IntraGrain and SatService – added $2.2 million to its operating expenses since the start of the fiscal year, part of a total increase of $5.8 million.
“With 71 consecutive profitable quarters, strong cash flows, an innovation agenda and dedicated employee base, I continue to have confidence in our execution and progress against all elements of our four-pillar growth framework,” said Calian CEO Kevin Ford in a statement.
Shares of Calian Group were trading around $34 Thursday morning on the TSX, up roughly 3.7 per cent from market open the day previous.