2016 Annual Report For Web 7.3MB

32. PROFIT (LOSS) PER SHARE
Profit (loss) per share is based on the consolidated profit (loss) for the
year divided by the weighted average number of shares outstanding
during the year. Diluted profit (loss) per share is computed in
accordance with the treasury stock method and based on the weighted
average number of shares and dilutive share equivalents.
The following reflects the income and share data used in the basic and
diluted profit per share computations:
2016
$
2015
$
Profit (loss) from continuing operations 18,953 (9,720)
Profit (loss) from discontinued operations 353 (15,509)
Profit (loss) attributable to shareholders
for basic and diluted profit per share
19,306 (25,229)
Basic weighted average number of shares 14,708,986 13,932,082
Dilutive effect of DDCP 40,105 —
Dilutive effect of RSU 211,555 —
Diluted weighted average number of shares 14,960,646 13,932,082
Profit (loss) per share from continuing operations
Basic 1.29 (0.70)
Diluted 1.27 (0.70)
Profit (loss) per share from discontinued operations
Basic 0.02 (1.11)
Diluted 0.02 (1.11)
Profit (loss) per share
Basic 1.31 (1.81)
Diluted 1.29 (1.81)
On February 15, 2017, the Company issued 1,150,000 common shares
on a “bought deal” basis [note 35].
33. REPORTABLE BUSINESS SEGMENT
The Company manufactures agricultural equipment with a focus on
grain handling, storage and conditioning products. As at December 31,
2016, aggregation of operating segments was applied to determine that
the Company had only one reportable segment. The primary factors
considered in the application of the aggregation criteria included the
similar long-term average gross margins and growth rates across the
segments, the nature of the products manufactured by the segments all
being related to the handling, storage and conditioning of agricultural
commodities, and the similarity in the production processes of the
segments.
The Company operates primarily within three geographical areas:
Canada, United States and International. The following details the
sales, property, plant and equipment, goodwill, intangible assets and
available-for-sale investment by geographical area, reconciled to the
Company’s consolidated financial statements:
SALES
PROPERTY, PLANT AND EQUIPMENT,
GOODWILL, INTANGIBLE
ASSETS AND AVAILABLE-FOR-SALE
INVESTMENT
34. COMMITMENTS AND CONTINGENCIES
[A] CONTRACTUAL COMMITMENT FOR THE PURCHASE OF
PROPERTY, PLANT AND EQUIPMENT
As of the reporting date, the Company has entered into commitments
to purchase property, plant and equipment of $44,062 [2015 – nil] for
which deposits of $27,620 [2015 – nil] were made as at December 31,
2016.
[B] LETTERS OF CREDIT
As at December 31, 2016, the Company has outstanding letters of credit
in the amount of $2,414 [2015 – $4,802].
[C] OPERATING LEASES
The Company leases office and manufacturing equipment, warehouse
facilities and vehicles under operating leases with minimum aggregate
rent payable in the future as follows:
Within one year 2,221
After one year, but no more than five years 4,657
6,878
$
35. SUBSEQUENT EVENTS
$63 MILLION BOUGHT DEAL EQUITY FINANCING
On January 26, 2017, the Company entered an agreement with a
syndicate of underwriters pursuant to which AGI will issue on a “bought
deal” basis, 1,100,000 common shares at a price of $55.10 per share to
raise gross proceeds of approximately $60 million. Also, the Company
granted the underwriters an over-allotment option, exercisable in whole
or in part for a period expiring 30 days following closing, to purchase
an additional 165,000 common shares at the same offering price. If the
over-allotment option is fully exercised, the total gross proceeds to AGI
would be approximately $70 million.
On February 15, 2017, the Company closed the public offering for
1,150,000 common shares at a price of $55.10 per share, which includes
50,000 common shares issued pursuant to the over-allotment option,
for gross proceeds of approximately $63 million.
The net proceeds of the offering will be used to repay outstanding
indebtedness, to pursue potential acquisition opportunities and for
working capital and general corporate purposes.
The 2013, 2014 and 2015 Debentures were excluded from the
calculation of diluted profit per share for the years ended December 31,
2016 and 2015 because their effect is anti-dilutive.
2016
$
2015
$
2016
$
2015
$
Canada 238,151 137,946 393,931 358,922
United States 191,643 169,445 179,015 120,479
International 101,822 106,724 62,076 21,229
531,616 414,115 635,022 500,630
The sales information above is based on the location of the customer.
The Company has no single customer that represents 10% or more of
the Company’s sales.
These leases have a life of between one and nine years with no renewal
options included in the contracts.
During the year ended December 31, 2016, the Company recognized an
expense of $2,908 [2015 – $2,261] for leasing contracts. This amount
relates only to minimum lease payments.
[D] LEGAL ACTIONS
The Company is involved in various legal matters arising in the ordinary
course of business. The resolution of these matters is not expected
to have a material adverse effect on the Company’s financial position,
results of operations or cash flows.
149 CONSOLIDATED FINANCIAL STATEMENTS
FIELD TO CONSUMER
2016 ANNUAL REPORT
CONSOLIDATED FINANCIAL STATEMENTS 150