"In the first quarter, we delivered good profitability, and cash generation, despite challenges in the global economy that affected our revenue initiatives," said Sherilyn King, President and CEO of Yellow Pages Limited.
King commented on the key developments:
Good quarterly earnings. "Our Adjusted EBITDA2 for the quarter was 19.3% of revenue."
Progress on revenue initiatives. "Given the challenges in the global economy, our first quarter change in revenue was broadly stable compared to the same measure a year ago."
Strong cash balance. "Even after certain regular, seasonal cash disbursements during the quarter, our cash on hand at the end of April stood at approximately $58 million."
Cash to Shareholders and to Pension Plan by the end of June. "As announced on April 7, 2026, our Board approved a $25.0 million share buyback through a plan of arrangement, expected to be completed by the end of June. In connection with the plan of arrangement, we contributed an additional $2.0 million to the defined benefit pension plan in April 2026. This voluntary contribution, combined with an earlier $2.0 million payment made during the first quarter brings total payments to the defined benefit pension plan to $6.0 million since the annuity purchase in May 2025."
Quarterly dividend declared. "Our Board has declared a dividend of $0.25 per common share, to be paid on June 15, 2026 to shareholders of record as of May 25, 2026."
Financial Highlights (In thousands of Canadian dollars, except percentage information and per share information)
Yellow Pages Limited
For the three-month periodsended March 31,
2026
2025
Revenues
$46,828
$50,808
Adjusted EBITDA2
$9,029
$11,885
Adjusted EBITDA margin2
19.3 %
23.4 %
Income before income taxes
$5,700
$6,661
Net income
$4,078
$4,963
Basic income per share
$0.30
$0.37
Diluted income per share
$0.30
$0.35
CAPEX2
$548
$473
Adjusted EBITDA less CAPEX2
$8,481
$11,412
Adjusted EBITDA less CAPEX margin2
18.1 %
22.5 %
Cash flows (used in) from operating activities
($2,547)
$3,278
(1) The dividend will be designated as an eligible dividend pursuant to subsection 89(14) of the Income Tax Act (Canada) and any applicable provincial legislation pertaining to eligible dividends.
(2) Adjusted EBITDA is equal to Income from operations before depreciation and amortization and restructuring and other charges (defined herein as Adjusted EBITDA), as shown in Yellow Pages Limited's interim condensed consolidated statements of income. Adjusted EBITDA, Adjusted EBITDA margin, CAPEX, Adjusted EBITDA less CAPEX and Adjusted EBITDA less CAPEX margin are non-GAAP financial measures and do not have any standardized meaning under IFRS® Accounting Standards. Therefore, they are unlikely to be comparable to similar measures presented by other public companies. Refer to the section on Non-GAAP financial measures at the end of this document for more details.
First Quarter of 2026 Results
Total Revenues decreased 7.8% year-over-year and amounted to $46.8 million for the three-month period ended March 31, 2026, compared to the decrease of 7.6% reported for the same period last year.
Adjusted EBITDA less CAPEX1 totalled $8.5 million and the EBITDA less CAPEX margin1 was 18.1%.
Net income amounted to $4.1 million, or to $0.30 diluted income per share.
Financial Results for the First Quarter of 2026
Total revenues for the first quarter ended March 31, 2026 decreased by 7.8% year-over-year and amounted to $46.8 million as compared to $50.8 million for the same period last year. The decrease in revenues is mainly due to the decline of our higher margin digital media and print products and to a lesser extent to our lower margin digital services products, thereby creating pressure on our gross profit margins. The total revenues decline of 7.8% for the three-month period ended March 31, 2026 compares to 7.6% reported for the same period last year. The higher decline rate is driven by the decline in print ...
