Connect with us

Technology

GDI Integrated Facility Services Inc. Releases its Financial Results for the Second Quarter Ended June 30, 2024

Published

on

Q2 2024 revenue of $639 million, an increase of $30 million, or 5%, over Q2 2023. Q2 2024 Adjusted EBITDA* of $34 million, in line with Q2 2023.Q2 2024 net income of $2 million or $0.07 per share compared with $1 million or $0.04 per share for the second quarter of 2023.

LASALLE, QC, Aug. 7, 2024 /CNW/ – GDI Integrated Facility Services Inc. (“GDI” or the “Company”) (TSX: GDI) is pleased to announce its financial results for the second quarter ended June 30, 2024.

For the second quarter of 2024:

Revenue reached $639 million, an increase of $30 million, or 5%, over the second quarter of 2023, comprised of 6% growth from acquisitions and partially offset by 1% organic decline coming from the Technical Services segment.Adjusted EBITDA* amounted to $34 million, in line with the second quarter of 2023.Net income was $2 million or $0.07 per share compared to $1 million or $0.04 per share in Q2 2023.

For the second quarters of 2024 and 2023, the business segments performed as follows:

(in millions of

Canadian dollars)

Business Services
Canada

Business Services
USA

Technical Services

Corporate and
Other

Consolidated

2024

2023

2024

2023

2024

2023

2024

2023

2024

2023

Revenue

145

144

221

180

259

264

14

21

639

609

Organic Growth (Decline)

1 %

(1 %)

1 %

0 %

(5 %)

31 %

14 %

11 %

(1 %)

12 %

Adjusted EBITDA*

12

13

14

13

14

12

(6)

(4)

34

34

Adjusted EBITDA Margin*

8 %

9 %

6 %

7 %

5 %

5 %

N/A

N/A

5 %

6 %

For the six-month period ended June 30, 2024:

Revenue reached $1.3 billion, an increase of $83 million, or 7%, over the corresponding period of 2022, comprised of 1% organic growth and 6% growth from acquisitions.Adjusted EBITDA* amounted to $61 million, a decrease of $6 million, or 9%, over the corresponding period of 2023.Net income was $2 million or $0.09 per share compared to $5 million or $0.19 per share over the corresponding period of 2023. The decrease in net income in the first six months of 2024 compared to 2023 is mainly due to lower operating income of $14 million, which is primarily attributable to an increase in amortization and depreciation expense of $9 million resulting from a significant reduction in the amortized value of a large customer contract in the quarter, which was partially offset by lower net finance expense of $10 million and lower income tax expense of $1 million.

For the first two quarters of 2024 and 2023, the business segments performed as follows:

(in millions of

Canadian dollars)

Business Services
Canada

Business Services
USA

Technical Services

Corporate and
Other

Consolidated

2024

2023

2024

2023

2024

2023

2024

2023

2024

2023

Revenue

290

286

446

356

511

516

36

42

1,283

1,200

Organic Growth (Decline)

1 %

(1 %)

6 %

(1 %)

(3 %)

36 %

10 %

14 %

1 %

13 %

Adjusted EBITDA*

23

27

27

25

22

23

(11)

(8)

61

67

Adjusted EBITDA Margin*

8 %

9 %

6 %

7 %

4 %

4 %

N/A

N/A

5 %

6 %

GDI’s Business Services Canada segment recorded $145 million in revenue in the second quarter while generating $12 million in Adjusted EBITDA*, representing an Adjusted EBITDA margin* of 8%. GDI’s Business Services USA segment performed well in Q2 2024, recording revenue of $221 million and Adjusted EBITDA* of $14 million, representing an Adjusted EBITDA margin* of 6%.

The Technical Services segment recorded revenue of $259 million and Adjusted EBITDA* of $14 million, representing an Adjusted EBITDA margin* of 5%. Historically, the first half of the year in the Technical Services segment is seasonally slower and the business ramps up as the year progresses.

Finally, GDI’s Corporate and Other recorded revenue of $14 million compared to revenue of $21 million in Q2 2023, the decrease being attributable to the sale of its Superior cleaning and sanitation products distribution business on April 1, 2024, which was partially offset by organic growth generated by GDI’s chemical manufacturing business.

“I am pleased with GDI’s overall performance in Q2 2024, we were able to overcome specific challenges that affected our business in recent quarters and delivered solid results,” stated Claude Bigras, President & CEO of GDI. “Our Business Services Canada segment performed well with a sequential increase in Adjusted EBITDA* and Adjusted EBITDA* margin over the first quarter of 2024. Occupancy levels in the Class A office market in Canada are remaining stable and we continue to expect Adjusted EBITDA* margin in the segment to remain higher than pre-COVID levels for the near-to-mid term. Adjusted EBITDA* and Adjusted EBITDA Margin* were slightly lower than Q2 2023 due to COVID-related gains realized in the prior year’s quarter. Our Business Services USA segment performed well during the quarter to mitigate the revenue and Adjusted EBITDA* impact of the previously announced supplier realignment of one of the segment’s largest clients which became effective just prior to the start of Q2. In fact, the business delivered both positive organic revenue growth and an increase in Adjusted EBITDA* compared to Q2 2023 despite the revenue loss experienced during the quarter, which serves to demonstrate the resiliency of the business and the strength of our team. The integration of the Atalian acquisition has been progressing as planned and our margin improvement initiatives are progressively being realized. The previously announced Paramount Building Solutions acquisition, that closed on May 1, 2024, has been substantially integrated and has been performing in-line with expectations. Our Technical Services segment had a very good quarter with Adjusted EBITDA* growth of 75% over Q1 2024 and 17% over Q2 2023. The three projects in our U.S. business that negatively impacted the segment’s results in the past two quarters were successfully closed out in Q1, and enhanced procedures were put in place to augment project management in the region. The business delivered Adjusted EBITDA* margin of 5% which was in-line with historic levels in the segment’s seasonally weak second quarter. We are continuing to improve pricing and margins and still selling as much new contracts as in the past producing a near record backlog. Finally, Ainsworth completed the acquisition of RYCOM Corporation on June 1, 2024. RYCOM develops, deploys, and manages smart building solutions that enable the end-to-end transformation of real estate assets into smart buildings and is recognized as the leader in smart building solutions in Canada. This acquisition considerably strengthens Ainsworth’s Energy & Technology business unit and positions GDI as a leading player in the Canadian marketplace in building technologies, data analytics and advisory services for energy and greenhouse gas reduction,” continued Mr. Bigras.

“With the recent challenges behind us, the outlook for all of GDI’s business segments is positive for the remainder of 2024. Our initiatives to reduce working capital requirements during 2024 are continuing and we remain committed to deliver a total reduction in operating working capital in the second half of the year. Our balance sheet remains healthy and we have sufficient room on our existing credit facilities to continue to execute on our strategic growth plans. I look forward to GDI’s performance through the remainder of 2024,” concluded Mr. Bigras. 

ABOUT GDI

GDI is a leading integrated commercial facility services provider which offers a range of services in Canada and the United States to owners and managers of a variety of facility types including office buildings, educational facilities, distribution centers, industrial facilities, healthcare establishments, stadiums and event venues, hotels, shopping centres, airports and other transportation facilities. GDI’s commercial facility services capabilities include commercial janitorial and building maintenance, energy advisory and system optimization, the installation, maintenance and repair of HVAC-R, mechanical, electrical and building automation systems, as well as other complementary services such as janitorial products manufacturing and distribution. GDI’s subordinate voting shares are listed on the Toronto Stock Exchange (TSX: GDI). Additional information on GDI can be found on its website at www.gdi.com.

CAUTION CONCERNING FORWARD-LOOKING STATEMENTS

Certain statements in this MD&A may constitute forward-looking information within the meaning of securities laws. Forward looking information may relate to GDI’s future outlook and anticipated events, business, operations, financial performance, financial condition or results and, in some cases, can be identified by terminology such as “may”; “will”; “should”; “expect”; “plan”; “anticipate”; “believe”; “intend”; “estimate”; “predict”; “potential”; “continue”; “foresee”; “ensure” or other similar expressions concerning matters that are not historical facts. In particular, statements regarding GDI’s future operating results and economic performance, and its objectives and strategies are forward-looking statements. These statements are based on certain factors and assumptions including expected growth, results of operations, performance and business prospects and opportunities, which GDI believes are reasonable as of the current date. While management considers these assumptions to be reasonable based on information currently available to the Company, they may prove to be incorrect. It is impossible for GDI to predict with certainty the impact that the current economic uncertainties may have on future results. Forward-looking information is also subject to certain factors, including risks and uncertainties (described in the “Risk Factors” section) that could cause actual results to differ materially from what GDI currently expects. Namely, these factors include risks pertaining to unsuccessful implementation of the business strategy, changes to business structure, inherent operating risks from acquisition activity, failure to integrate an acquired company, decline in commercial real estate occupancy levels, increase in costs which cannot be passed on to customers, labour shortages, disruption in information technology systems and execution issues with Strategic IT projects, increases in interest rates, exchange rate fluctuations, deterioration in economic conditions, increase in competition,  influence of the principal shareholders, loss of key or long-term customers, public procurement laws and regulations, legal proceedings, reputational damage, labour disputes, disputes with franchisees, environmental, social and governance (“ESG”) considerations, goodwill and long-lived assets impairment charges, tax matters, key employees, participation in multi-employer pension plans, legislation or other governmental action, cybersecurity, data confidentiality and data protection, and public perception of our environmental footprint, many of which are beyond the Company’s control. Therefore, future events and results may vary significantly from what management currently foresees. The reader should not place undue importance on forward-looking information and should not rely upon this information as of any other date. While management may elect to, the Company is under no obligation and does not undertake to update or alter this information at any particular time, except as may be required by law.

Analyst Conference Call:

August 8, 2024 at 9:00 A.M. (ET)

Kindly note that Investors and Media representatives may attend as listeners only.

Please use the following dial-in numbers to have access to the conference call by dialing 10 minutes before the beginning of the conference:


North America Toll-Free: 1-888-664-6392

Local: 416-764-8659 (Toronto) or 514-225-6995 (Montreal)

Confirmation Code: 995327 #

RapidConnect URL: https://emportal.ink/40clg9j


A rebroadcast of the conference call will be available until August 15, 2024 by dialing:

North America Toll-Free: 1-888-390-0541

Local: 416-764-8677 (Toronto)

Confirmation Code: 995327 #

June 30, 2024 unaudited condensed consolidated interim financial statements and accompanied Management & Discussion Analysis are filed on www.sedarplus.ca.

GDI INTEGRATED FACILITY SERVICES INC.
Condensed Consolidated Interim Statements of Financial Position
(Unaudited) (In millions of Canadian dollars)

As at June 30,

2024

As at December 31,
2023

Assets

Current assets

Cash

29

17

Trade and other receivables and contract assets

600

571

Current tax assets

9

11

Inventories

37

42

Other financial assets

14

13

Prepaid expenses and other

16

11

Derivatives

1

Total current assets

705

666

Non-current assets

Property, plant and equipment

125

127

Intangible assets

121

131

Goodwill

373

356

Other assets

15

12

Total non-current assets

634

626

Total assets

1,339

1,292

Liabilities and Shareholders’ Equity

Current liabilities

  Bank indebtedness

6

14

Trade and other payables

303

298

Provisions

33

32

Contract liabilities

29

34

Current tax liabilities

6

2

Current portion of long-term debt

27

36

Total current liabilities

404

416

Non-current liabilities

  Long-term debt

444

384

Other payables

6

5

Deferred tax liabilities

27

32

Total non-current liabilities

477

421

Shareholders’ equity

  Share capital

381

380

Retained earnings

70

68

Contributed surplus

3

2

Accumulated other comprehensive income

4

5

Total shareholders’ equity

458

455

Total liabilities and shareholders’ equity

1,339

1,292

GDI INTEGRATED FACILITY SERVICES INC.
Condensed Consolidated Interim Statements of Comprehensive Income
(Unaudited) (In millions of Canadian dollars, except for earnings per share)

Three-month periods

ended June 30,

Six-month periods

ended June 30,

2024

2023

2024

2023

Revenues

639

609

1,283

1,200

Cost of services

526

497

1,063

979

Selling and administrative expenses

81

81

163

159

Transaction, reorganization and other costs

2

1

3

2

Strategic information technology projects configuration and customization costs

1

1

1

2

Amortization of intangible assets

5

6

17

11

Depreciation of property, plant and equipment

14

13

28

25

Operating income

10

10

8

22

Net finance expense

5

8

4

14

Income before income taxes

5

2

4

8

Income tax expense

3

1

2

3

Net income

2

1

2

5

Other comprehensive income (loss)

Gains (losses) that are or may be reclassified to earnings:

Foreign currency translation differences for foreign operations

3

(7)

9

(7)

Hedge of net investments in foreign operations, net of tax

(3)

7

(9)

7

Cash flow hedges, effective portion of changes in fair value, net of tax

(1)

(1)

(1)

(1)

Total comprehensive income

2

1

1

4

Earnings per share:

Basic

0.07

0.04

0.09

0.19

Diluted

0.07

0.04

0.09

0.19

GDI INTEGRATED FACILITY SERVICES INC.
Condensed Consolidated Interim Statements of Changes in Equity
Six-month periods ended June 30, 2024 and 2023
(Unaudited) (In millions of Canadian dollars, except for number of shares)

Share capital

Retained
earnings

Contributed
surplus

Accumulated
other
comprehensive
income

Total

Number

(in thousands
of shares)

Amount

Balance, January 1, 2023

23,414

379

49

4

7

439

Net income

5

5

Other comprehensive loss

(1)

(1)

Total comprehensive income for the period

5

(1)

4

Transactions with owners of the Company:

Stock options exercised

66

1

1

Share-based compensation

1

1

Shares repurchased for cancellation

(98)

(1)

(3)

(4)

Balance, June 30, 2023

23,382

379

54

2

6

441

Balance, January 1, 2024

23,414

380

68

2

5

455

Net income

2

2

Other comprehensive loss

(1)

(1)

Total comprehensive income for the period

2

(1)

1

Transactions with owners of the Company:

Stock options exercised

66

1

1

Share-based compensation

1

1

Balance, June 30, 2024

23,480

381

70

3

4

458

GDI INTEGRATED FACILITY SERVICES INC.
Condensed Consolidated Interim Statements of Cash Flows
(Unaudited) (In millions of Canadian dollars)

Six-month periods ended June 30,

2024

2023

Cash flows from (used in) operating activities

Net income

2

5

Adjustments for:

Depreciation and amortization

45

36

Equity portion of share-based compensation

1

1

Net finance expense

4

14

Income tax expense

2

3

Income taxes paid

(2)

(11)

Net changes in non-cash operating assets and liabilities   

(24)

(49)

Net cash from (used in) operating activities

28

(1)

Cash flows from (used in) financing activities

  Proceeds from issuance of long-term debt                                                                 

201

177

  Repayment of long-term debt

(157)

(118)

  Payment of lease liabilities

(19)

(16)

  Interest paid

(15)

(10)

  Other

1

(4)

  Net cash from financing activities

11

29

Cash flows (used in) from investing activities

  Business acquisitions and disposal, net of cash acquired

(7)

(2)

  Additions to property, plant and equipment

(8)

(11)

  Additions to intangible assets

(1)

(3)

  Proceeds on disposal of property, plant and equipment

2

1

  Net cash used in investing activities

(14)

(15)

  Foreign exchange (loss) gain on cash held in foreign currencies

(5)

2

  Net change in cash

20

15

  Cash (Bank indebtedness), beginning of period:

  Cash

17

7

  Bank indebtedness

(14)

(10)

3

(3)

  Cash, end of period:

  Cash

29

15

  Bank indebtedness

(6)

(3)

23

12

GDI INTEGRATED FACILITY SERVICES INC.
Segmented information
(Unaudited) (In millions of Canadian dollars)

Three-month period ended June 30, 2024

Business
Services
Canada

Business
Services

USA

Technical     
Services

Corporate
and Other 

     Total

Recurring/contractual services

127

200

32

4

363

On-call services

10

21

68

1

100

Project

159

159

Manufacturing and distribution

12

12

Other revenues

5

5

Total external revenues

142

221

259

17

639

Inter-segment revenues

3

(3)

Revenues

145

221

259

14

639

Income (loss) before income taxes

9

8

3

(15)

5

Net finance expense

1

2

2

5

Operating income (loss)

9

9

5

(13)

10

Depreciation and amortization

3

5

9

2

19

Transaction, reorganization, and other costs

2

2

Share-based compensation

2

2

Strategic information technology projects configuration and customization costs

1

1

Adjusted EBITDA

12

14

14

(6)

34

Total assets

271

409

560

99

1,339

Total liabilities

68

119

256

438

881

Additions to property, plant and equipment

1

5

8

2

16

Additions to intangible assets

1

3

4

Goodwill recorded on business acquisition

7

2

9

GDI INTEGRATED FACILITY SERVICES INC.
Segmented information
(Unaudited) (In millions of Canadian dollars)

Three-month period ended June 30, 2023

Business
Services
Canada

Business
Services

USA

Technical
Services

Corporate
and Other 

     Total

Recurring/contractual services

124

170

21

4

319

On-call services

11

10

73

2

96

Project

170

170

Manufacturing and distribution

18

18

Other revenues

6

6

Total external revenues

141

180

264

24

609

Inter-segment revenues

3

(3)

Revenues

144

180

264

21

609

Income (loss) before income taxes

10

8

2

(18)

2

Net finance expense

1

1

6

8

Operating income (loss)

10

9

3

(12)

10

Depreciation and amortization

3

4

9

3

19

Transaction, reorganization, and other costs

1

1

Share-based compensation

3

3

Strategic information technology projects configuration and customization costs

1

1

Adjusted EBITDA

13

13

12

(4)

34

Total assets

267

359

544

122

1,292

Total liabilities

69

109

253

406

837

Additions to property, plant and equipment

3

3

6

2

14

Additions to intangible assets

1

2

3

Goodwill recorded on business acquisition

2

2

GDI INTEGRATED FACILITY SERVICES INC.
Segmented information (continued)
(Unaudited) (In millions of Canadian dollars)

Six-month period ended June 30, 2024

Business
Services
Canada

Business
Services

USA

Technical
Services

Corporate
and Other 

     Total

Recurring/contractual services

253

403

62

10

728

On-call services

18

43

140

3

204

Project

309

309

Manufacturing and distribution

29

29

Other revenues

13

13

Total external revenues

284

446

511

42

1,283

Inter-segment revenues

6

(6)

Revenues

290

446

511

36

1,283

Income (loss) before income taxes

17

11

2

(26)

4

Net finance expense

1

1

2

4

Operating income (loss)

17

12

3

(24)

8

Depreciation and amortization

6

14

19

6

45

Transaction, reorganization, and other costs

1

2

3

Share-based compensation

4

4

Strategic information technology projects configuration and customization costs

1

1

Adjusted EBITDA

23

27

22

(11)

61

Total assets

271

409

560

99

1,339

Total liabilities

68

119

256

438

881

Additions to property, plant and equipment

3

6

16

3

28

Additions to intangible assets

1

3

1

5

Goodwill recorded on business acquisition

10

2

12

GDI INTEGRATED FACILITY SERVICES INC.
Segmented information (continued)
(Unaudited) (In millions of Canadian dollars)

Six-month period ended June 30, 2023

Business
Services
Canada

Business
Services

USA

Technical
Services

Corporate
and Other 

     Total

Recurring/contractual services

244

337

42

11

634

On-call services

23

19

147

3

192

Project

327

327

Manufacturing and distribution

33

33

Other revenues

13

1

14

Total external revenues

280

356

516

48

1,200

Inter-segment revenues

6

(6)

Revenues

286

356

516

42

1,200

Income (loss) before income taxes

22

16

3

(33)

8

Net finance expense

1

3

10

14

Operating income (loss)

22

17

6

(23)

22

Depreciation and amortization

5

8

16

7

36

Transaction, reorganization, and other costs

1

1

2

Share-based compensation

5

5

Strategic information technology projects configuration and customization costs

2

2

Adjusted EBITDA

27

25

23

(8)

67

Total assets

267

359

544

122

1,292

Total liabilities

69

109

253

406

837

Additions to property, plant and equipment

4

5

13

5

27

Additions to intangible assets

1

3

4

Goodwill recorded on business acquisition

2

2

GDI INTEGRATED FACILITY SERVICES INC.
Business acquisitions

Acquisition
date

Company acquired

Location

Segment
reporting

Purchase price
allocation status

2024 Acquisitions

April 1, 2024

Hussmann Canada Inc.
(“Hussmann”)

Darthmouth, Nova
Scotia

Technical

Services

Preliminary

May 1, 2024

Jade Opco, LLC, doing business
as Paramount Building Solutions
(“Paramount”)

Phoenix, Arizona

Business

Services USA

Preliminary

June 1, 2024

RYCOM Corporation (“RYCOM”)

Toronto, Ontario

Technical

Services

Preliminary

2023 Acquisitions

June 1, 2023

React Technical, Inc. (“React”)

New York, New York

Technical

Services

Completed

November 1,
2023

La Financière Atalian (“Atalian”)

Multi-sites in USA

Business
Services USA

Preliminary

Business disposal 

On April 1, 2024, the Company completed the sale of its Superior cleaning and sanitation supplies distribution business and transferred some of its related liabilities.

GDI INTEGRATED FACILITY SERVICES INC.
Supplementary Quarterly Financial Information
Three-month periods
(Unaudited) (In millions of Canadian dollars, except per share data)

Three months ended

(in millions of Canadian dollars, except per share data) (1)

June

2024

March

2024

December

2023

September

2023

Revenue

639

644

622

615

Operating (loss) income

10

(2)

9

16

Depreciation and amortization

19

26

22

19

Transaction, reorganization and other costs

2

1

2

Share-based compensation

2

2

2

2

Strategic information technology projects        
configuration and customization costs

1

1

2

2

Adjusted EBITDA

34

28

37

39

Net income for the period

2

6

8

Earnings per share

   Basic

0.07

0.02

0.26

0.35

   Diluted

0.07

0.02

0.25

0.35

Three months ended

(in millions of Canadian dollars, except per share data) (1)

June

2023

March

2023

December

2022

September

2022

Revenue

609

591

588

563

Operating income

10

12

15

19

Depreciation and amortization

19

17

22

18

Transaction, reorganization and other costs

1

1

1

1

Share-based compensation

3

2

3

2

Strategic information technology projects
configuration and customization costs

1

1

1

2

Adjusted EBITDA

34

33

42

42

Net income for the period

1

4

10

11

Earnings per share

   Basic

0.04

0.15

0.41

0.45

   Diluted

0.04

0.15

0.40

0.44

______________________________

* The terms “Adjusted EBITDA” and “Adjusted EBITDA Margin” do not have standardized definitions prescribed by International Financial Reporting Standards and therefore, may not be comparable to similar measures presented by other companies. “Adjusted EBITDA” is defined as operating income before depreciation and amortization, transaction, reorganization and other costs, share-based compensation and strategic information technology projects configuration and customization costs. The Adjusted EBITDA Margin is calculated by dividing Adjusted EBITDA by revenues. For more details and for a reconciliation of that measure to the most directly comparable IFRS measure, consult the “Segmented Information” tables at the end of this press release. 

SOURCE GDI Integrated Facility Services Inc.

Continue Reading
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

Technology

BTQ Technologies’ QSSN Selected as Core Security Infrastructure for South Korea’s First Bank-Led KRW Stablecoin Proof-of-Concept

Published

on

By

BTQ provides strategic advisory support and QSSN as core PQC security infrastructure for the iM Bank initiative on the Kaia mainnet, advancing post-quantum migration across global financial infrastructure

BTQ has been selected as the core post-quantum cryptography security technology provider for South Korea’s first bank-led KRW stablecoin proof-of-concept, delivering its Quantum Secure Stablecoin Settlement Network (“QSSN”) for the initiative.
 BTQ is providing strategic advisory support and helping coordinate implementation across the partnership with iM Bank and Finger, supporting the integration of post-quantum protections into regulated digital money infrastructure.
 Built on the Kaia mainnet, the proof-of-concept is connected to the blockchain ecosystems originally developed by Kakao and LINE, linking the initiative to two of the largest messaging and digital platform ecosystems in Korea and Japan.

VANCOUVER, BC, May 6, 2026 /PRNewswire/ – BTQ Technologies Corp. (“BTQ” or the “Company”) (Nasdaq: BTQ) (CBOE CA: BTQ), a global quantum technology company focused on securing mission-critical networks, today announced that it it has been selected as the core PQC security technology provider through its Quantum Secure Stablecoin Settlement Network (“QSSN”) in a proof-of-concept with its Korean strategic partner, Finger Inc. (“Finger”), and iM Bank, a leading Korean commercial bank, for South Korea’s first bank-led Korean won stablecoin infrastructure incorporating post-quantum cryptography (“PQC”).

The proof-of-concept represents more than a technical pilot. It marks an important step in bringing next-generation quantum security into banking infrastructure within Korea’s regulated financial system. In addition to providing QSSN as the core PQC security framework, BTQ is contributing consulting and strategic coordination across the three-way partnership, helping align the project’s security architecture, implementation approach, and long-term post-quantum migration objectives.

“Post-quantum migration requires more than a cryptographic upgrade. It requires coordination across infrastructure, implementation, and institutional stakeholders,” said Olivier Roussy Newton, Chief Executive Officer of BTQ Technologies. “In this initiative, BTQ is providing both strategic advisory support and QSSN as the post-quantum security architecture, while helping lead coordination across the three-way partnership. We believe this proof-of-concept demonstrates how financial institutions can begin integrating quantum-resilient protections into digital money systems in a practical and operationally viable way.”

South Korea’s First Bank-Led PQC Stablecoin Infrastructure Initiative

BTQ is working alongside iM Bank and Finger on a three-way initiative to validate the issuance and distribution infrastructure for a Korean won stablecoin. In addition to supplying QSSN as the PQC security layer, BTQ is providing consulting support and helping to guide coordination across the partnership as the parties evaluate how to integrate post-quantum protections into bank-led digital asset infrastructure.

The proof-of-concept will validate several key components, including real-time reconciliation between bank reserves and blockchain-issued supply, a global-standard smart contract architecture, connectivity to global infrastructure for overseas distribution, and the integration of a PQC-based dual-signature security structure. By applying BTQ’s PQC signature architecture alongside the existing ECDSA cryptographic framework, the system is designed to preserve operational continuity for financial institutions while proactively addressing future quantum computing threats.

Built on Kaia Mainnet

A notable feature of the proof-of-concept is that it will be implemented on the Kaia mainnet, one of Korea’s leading Layer 1 blockchain networks. Kaia was created through the merger of Klaytn, the blockchain originally developed by Kakao, and Finschia, the blockchain associated with LINE. Kakao and LINE sit at the center of two of the largest messaging and digital platform ecosystems in Korea and Japan, respectively, making Kaia a significant piece of regional digital infrastructure.

Klaytn previously participated in the Bank of Korea’s CBDC pilot ecosystem, and the Bank of Korea has continued to advance CBDC testing through initiatives such as Project Hangang.

By combining BTQ’s PQC technology with blockchain infrastructure tied to the Kakao and LINE ecosystems, the proof-of-concept is intended to establish a model that aligns institutional-grade security, blockchain scalability, and evolving regulatory requirements for digital money infrastructure.

QSSN as the Security Layer

The PQC security foundation for the initiative is BTQ’s Quantum Secure Stablecoin Settlement Network, or QSSN, a quantum-secure network architecture designed for stablecoin, tokenized deposit, payment, and digital asset infrastructure. QSSN is designed to protect critical issuer functions, including stablecoin issuance, burning, transfer authority, upgrade control, and administrative permissions, by integrating PQC-based signatures while maintaining existing user experience and operational workflows.

BTQ has previously announced that QSSN was highlighted in the U.S. Post-Quantum Financial Infrastructure Framework (“PQFIF”) as a model architecture for post-quantum digital money infrastructure. The Company has also positioned QSSN as a standards-oriented initiative advanced through QuINSA and aligned with emerging post-quantum financial infrastructure requirements.

Addressing the Harvest-Now, Decrypt-Later Risk

The timing of the proof-of-concept reflects the growing urgency surrounding the “Harvest-Now, Decrypt-Later” risk, in which attackers may collect encrypted financial data today and decrypt it later once sufficiently advanced quantum capabilities emerge. Global institutions are already accelerating post-quantum migration. The U.S. National Institute of Standards and Technology (“NIST”) has finalized its first set of post-quantum cryptography standards, including ML-DSA, ML-KEM, and SLH-DSA, while major technology companies and financial institutions continue to define their own post-quantum transition timelines.

BTQ’s QSSN addresses this challenge through a dual-signature design that allows existing ECDSA-based infrastructure to operate in parallel with NIST-aligned PQC signatures such as ML-DSA. This approach enables banks and payment infrastructure providers to begin a phased transition toward quantum-safe security without disrupting existing systems.

Expanding BTQ’s Korean Ecosystem

BTQ continues to expand its Korean ecosystem across digital assets, payments, banking infrastructure, and hardware-based security. In October 2025, BTQ announced that Finger had joined Danal as an early participant in BTQ’s QSSN pilot program, with the initiative expected to progress from proof-of-concept toward commercialization under QuINSA-aligned guidelines and broader industry frameworks such as PQFIF.

The commencement of the iM Bank proof-of-concept represents an important commercial signal for BTQ, indicating that demand for post-quantum migration among Korean financial institutions is beginning to move from policy discussion toward infrastructure-level implementation. As Korea advances both quantum technology policy and stablecoin-related regulatory discussions, BTQ believes QSSN is well positioned at the intersection of regulated finance, digital asset infrastructure, and post-quantum security.

About iM Bank
iM Bank is a South Korean commercial bank and a subsidiary of DGB Financial Group. Headquartered in Daegu, iM Bank presents itself as a financial companion for customers and traces its roots to Daegu Bank, which was established in 1967 as Korea’s first regional bank. For more information, please visit https://www.imbank.co.kr/

About Finger Inc. Group
Finger supplies and develops financial IT solutions to provide optimized money management strategies for employees and corporate customers. Providing “Smartphone Financial Services”, “Corporate Cash Management Services” for businesses, “Private Wealth Management Services” for private consumers.

Since the year 2000, Finger has accumulated a number of awards and patents regarding its businesses. Based on its Mobile Enterprise Application Platform(MEAP) Orchestra and its funds management system using screen-scrapping technologies, Finger was the first company in Korea to deliver a smartphone banking banking-service. For more information, please visit http://www.finger.co.kr/

About BTQ
BTQ Technologies Corp. (Nasdaq: BTQ | Cboe CA: BTQ) is a quantum technology company focused on accelerating the transition from classical networks to the quantum internet. Backed by a broad patent portfolio and deep technical expertise, BTQ is advancing a full-stack, neutral-atom quantum computing platform spanning hardware, middleware, and post-quantum security solutions for finance, telecommunications, logistics, life sciences, and defense.

Connect with BTQ: Website | LinkedIn | X/Twitter

ON BEHALF OF THE BOARD OF DIRECTORS
Olivier Roussy Newton
CEO, Chairman
Neither Cboe Canada nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.

Forward Looking Information

Certain statements herein contain forward-looking statements and forward-looking information within the meaning of applicable securities laws. Such forward-looking statements or information include but are not limited to statements or information with respect to the business plans of the Company, including with respect to its research partnerships, and anticipated markets in which the Company may be listing its common shares. Forward-looking statements or information often can be identified by the use of words such as “anticipate”, “intend”, “expect”, “plan” or “may” and the variations of these words are intended to identify forward-looking statements and information.

The Company has made numerous assumptions including among other things, assumptions about general business and economic conditions, the development of post-quantum algorithms and quantum vulnerabilities, and the quantum computing industry generally. The foregoing list of assumptions is not exhaustive.

Although management of the Company believes that the assumptions made and the expectations represented by such statements or information are reasonable, there can be no assurance that forward-looking statements or information herein will prove to be accurate. Forward-looking statements and information are based on assumptions and involve known and unknown risks which may cause actual results to be materially different from any future results, expressed or implied, by such forward-looking statements or information. These factors include risks relating to: the availability of financing for the Company; business and economic conditions in the post-quantum and encryption computing industries generally; the speculative nature of the Company’s research and development programs; the supply and demand for labour and technological post-quantum and encryption technology; unanticipated events related to regulatory and licensing matters and environmental matters; changes in general economic conditions or conditions in the financial markets; changes in laws (including regulations respecting blockchains); risks related to the direct and indirect impact of COVID-19 including, but not limited to, its impact on general economic conditions, the ability to obtain financing as required, and causing potential delays to research and development activities; and other risk factors as detailed from time to time. The Company does not undertake to update any forward-looking information, except in accordance with applicable securities laws.

View original content to download multimedia:https://www.prnewswire.com/news-releases/btq-technologies-qssn-selected-as-core-security-infrastructure-for-south-koreas-first-bank-led-krw-stablecoin-proof-of-concept-302763840.html

SOURCE BTQ Technologies Corp.

Continue Reading

Technology

Zimmer Biomet to Present at the BofA Securities 2026 Health Care Conference

Published

on

By

WARSAW, Ind., May 6, 2026 /PRNewswire/ — Zimmer Biomet Holdings, Inc. (NYSE and SIX: ZBH), a global medical technology leader, today announced that members of the Zimmer Biomet management team will participate in the Bank of America Securities Health Care Conference on Wednesday, May 13, 2026, with a fireside chat at 8:40 a.m. PT (11:40 a.m. ET).

A live audio webcast can be accessed via Zimmer Biomet’s Investor Relations website at https://investor.zimmerbiomet.com. It will be available for replay following the fireside chat.

About Zimmer Biomet 
Zimmer Biomet is a global medical technology leader with a comprehensive portfolio designed to maximize mobility and improve health. We seamlessly transform the patient experience through our innovative products and suite of integrated digital and robotic technologies that leverage data, data analytics and artificial intelligence.

With 90+ years of trusted leadership and proven expertise, Zimmer Biomet is positioned to deliver the highest quality solutions to patients and providers. Our legacy continues to come to life today through our progressive culture of evolution and innovation. 

For more information about our product portfolio, our operations in 25+ countries and sales in 100+ countries or about joining our team, visit www.zimmerbiomet.com or follow on LinkedIn at www.linkedin.com/company/zimmerbiomet or X at www.x.com/zimmerbiomet.

Contacts:

 

Media

Investors

Troy Kirkpatrick

David DeMartino

614-284-1926

646-531-6115

troy.kirkpatrick@zimmerbiomet.com

david.demartino@zimmerbiomet.com

Kirsten Fallon

Zach Weiner

781-779-5561

908-591-6955

kirsten.fallon@zimmerbiomet.com

zach.weiner@zimmerbiomet.com

View original content to download multimedia:https://www.prnewswire.com/news-releases/zimmer-biomet-to-present-at-the-bofa-securities-2026-health-care-conference-302763299.html

SOURCE Zimmer Biomet Holdings, Inc.

Continue Reading

Technology

NextLadder Ventures Announces Co-Founder Leadership Team, Investment Focus Areas For Over $1 Billion Initiative Empowering Americans with Personalized, Tech-Enabled Support Tools

Published

on

By

New senior hires from Google and The Collaborative Fund to lead product strategy and venture investing

Fund unveils first investment focus areas to catalyze new ‘Navigation Technology’ market, equipping Americans with cutting-edge tools to achieve economic security, opportunity and empowerment

ST. LOUIS, May 6, 2026 /PRNewswire/ — NextLadder Ventures, a new fund backed by more than $1 billion in capital, today announced its priority investment areas for building a new market for “Navigation Technology” (NavTech) — tools that provide Americans with personalized solutions to navigate life’s challenges and achieve greater economic mobility — and announced its co-founding team, including two new senior hires.

The fund’s active focus areas are based on extensive research identifying the key experiences and high-stakes decision points that have an outsized impact on American families’ economic mobility. Launched investment areas include financial health, career navigation, and benefits and social services access, with further exploration underway around housing, legal aid, justice and re-entry, and mental and physical health. 

The organization is also today welcoming two senior leaders: Lauren Loktev is joining NextLadder as Managing Director of Investments and Brigitte Hoyer Gosselink as Managing Director of Product. Loktev was most recently a partner at the Collaborative Fund, where she backed several breakout companies in early child development, education, and sustainability. Gosselink comes to NextLadder from Google, where she led the company’s AI and social impact portfolio. They join a growing team which has deep expertise at the intersection of economic mobility, technology, public policy, and philanthropy.

NextLadder’s Focus Areas for Investment

Today, the fund is kicking off a plan to deploy $1 billion over the next seven years to accelerate the design, development, and deployment of accessible NavTech tools that aim to help families more successfully navigate the major life experiences that determine whether they get ahead or fall behind. As NextLadder’s inaugural frontier AI lab partner, Anthropic is supporting the build-out of the organization’s AI-native capabilities and is offering technical assistance to NextLadder’s portfolio organizations. 

As an increasing proportion of Americans across income levels find themselves overextended and overwhelmed, NavTech tools are designed to help individuals and families understand their options, connect to information and resources, and take action to recover from a setback or take advantage of an opportunity and reclaim their economic futures.

“Life is getting harder, and too many Americans are stuck facing some of the most complex and consequential moments of their lives without much support,” said Ryan Rippel, CEO of NextLadder Ventures. “Every day, millions in this country face fork-in-the-road decisions that have major implications on whether they climb up the economic ladder or fall farther behind. AI has understandably intensified many Americans’ anxieties about their jobs and their security in the economy. But these technologies are now also making it possible to deliver highly personalized, affordable tools to meet the needs of tens of millions of Americans in a way that has never been practically achievable or financially viable before. With NavTech tools, built for the reality of families’ everyday experiences, we can empower Americans to overcome setbacks, navigate life’s toughest financial decisions, and build more secure futures.”

NavTech tools, built with the needs of individuals, families, and trusted community partners at the center of their design, have the potential to ease burdens most acutely faced by 90 million Americans who live in households that have difficulty in paying for usual home expenses, and turbocharge the capacity of the 1.6 million community workers in non-profit or local, state, and federal government roles who serve them. This growing category of digital technologies includes tools that help families access opportunities such as personalized financial advice and legal aid, get connected with available resources and programs, and manage unexpected hurdles like losing a job or facing an eviction – while freeing social workers and service providers to spend more time on people and less time on red tape and paperwork.

The fund’s active investment areas include:

Financial Health: Developing highly personalized, AI-powered financial health tools that can provide tailored, sustained counsel to help users build savings and protect and recover from financial shocks;
Career Navigation: Building tools to support career navigation, manage and support career transitions, and help workers, case managers, and employers identify pathways to living wage work — all designed to help people successfully find the right jobs for them.
Benefits & Social Services Access: Helping eligible Americans seamlessly identify and enroll in all the benefits and social services available to them, particularly those that support career navigation and transitions, help them navigate critical life moments, and achieve stability toward economic opportunity.

NextLadder is exploring additional focus areas, including housing, legal aid, justice and re-entry, caregiving, and mental and physical health. More on the organization’s vision of these focus areas is available HERE.

In addition to backing direct NavTech solutions, NextLadder is investing in the developers, partners, and standards required to build a durable, self-sustaining market. Across all focus areas, the fund is prioritizing efforts to ensure NavTech tools are reliable, protect users’ privacy, and are trusted by the families who depend on them.

NextLadder’s Co-Founder Leadership Team

NextLadder’s five co-founders will be CEO Ryan Rippel, Chief Strategy and Operations Officer Rhett Dornbach-Bender, Chief of Staff Callie Schwartz, and the two new senior hires: Managing Director of Investments Lauren Loktev and Managing Director of Product Brigitte Hoyer Gosselink, rounding out the fund’s expertise in investing, technology, and impact.

“We’re thrilled to welcome Lauren and Brigitte to the NextLadder team,” said Rippel. “Brigitte has spent her career proving that when applied purposefully, AI and technology can deliver meaningful benefits for communities, and she’ll set the bar for what NavTech tools can deliver for American families today and in the years to come. And with her deep experience backing mission-driven founders, Lauren is the perfect leader to build our venture practice from the ground up and accelerate the growth of the NavTech field. With this team in place, we’re positioned to make NavTech tools easier to build, fund, and access so they reach the people who need them most.”

Loktev brings 15 years of venture capital experience investing at the intersection of for-profit and for-good. Most recently at Collaborative Fund, she backed several companies to significant scale and launched Collab+Sesame, a first-of-its-kind thematic seed fund in partnership with Sesame Workshop focused on early childhood education. At NextLadder, she will build and lead the fund’s venture practice, sourcing and scaling investments in the founders building the next generation of NavTech tools.

“We have a once in a generation opportunity to help steer AI solutions toward those who need them most,” said Loktev. “Many amazing, accomplished founders see this too, and they are on a mission to build scalable, transformative businesses in the critical verticals that help people navigate life-changing moments. I couldn’t be more excited to join NextLadder and to support the most inspiring leaders building this market from the ground up. Thanks to our unique, long-term mandate, we can be creative and flexible in investing across stage and check size to partner with the entrepreneurs and leaders we believe will change the world.”

Prior to her role at NextLadder, Gosselink spent over a decade at Google in several roles including Director of AI and Social Impact, directing more than $500 million in funding for organizations applying AI to address challenges including crisis response, education, and economic opportunity. At NextLadder, she will lead AI and product strategy across the fund’s portfolio, backing solutions and setting market-wide standards for how NavTech tools are designed, evaluated, and improved over time.

“If we collectively harness the AI transformation strategically and purposefully, we can transform the way Americans are empowered to access greater economic mobility,” said Gosselink. “We believe that people-centered products, combined with shifts in the market and the services available to families, can fundamentally reshape how millions of Americans navigate critical moments and achieve prosperity on their own terms.”

To request interviews from the NextLadder Ventures leadership team, contact media@nextladder.com.

About NextLadder Ventures

NextLadder Ventures is a time-bound venture with one goal: empower millions of Americans to reach their potential by 2040. Backed by over $1 billion in capital, the organization invests in breakthrough technologies that remove barriers to economic success and put people in control of their futures. NextLadder Ventures is trailblazing a new market for tech-enabled Navigation Technology tools that help people access the resources they need to navigate pivotal moments — offering flexible, risk-tolerant capital to entrepreneurs building these transformative tools today, while creating a pipeline of tech, talent, and capital for the long run.

View original content:https://www.prnewswire.com/news-releases/nextladder-ventures-announces-co-founder-leadership-team-investment-focus-areas-for-over-1-billion-initiative-empowering-americans-with-personalized-tech-enabled-support-tools-302764095.html

SOURCE NextLadder Ventures

Continue Reading

Trending