Technology
GDI Integrated Facility Services Inc. Releases its Financial Results for the Second Quarter Ended June 30, 2024
Published
2 years agoon
By
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.
You may like
Technology
BTQ Technologies’ QSSN Selected as Core Security Infrastructure for South Korea’s First Bank-Led KRW Stablecoin Proof-of-Concept
Published
12 hours agoon
May 6, 2026By
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.
Technology
Zimmer Biomet to Present at the BofA Securities 2026 Health Care Conference
Published
12 hours agoon
May 6, 2026By
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
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.
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
12 hours agoon
May 6, 2026By
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.
SOURCE NextLadder Ventures
Three reasons why Ether price rallies fizzle near $2.4K
Bitcoin market dominance moves above 61%: Will altcoins follow?
US Senator says crypto market structure vote could happen by August
Send Rakhi to UK swiftly with UK Gifts Portal
Whiteboard Series with NEAR | Ep: 45 Joel Thorstensson from ceramic.network
New Gooseneck Omni Antennas Offer Enhanced Signals in a Durable Package
Why You Should Build on #NEAR – Co-founder Illia Polosukhin at CV Labs
Whiteboard Series with NEAR | Ep: 45 Joel Thorstensson from ceramic.network
NEAR End of Year Town Hall 2021: The Open Web World, MetaBUILD 2 Hackathon and 2021 recap
Trending
-
Coin Market5 days ago
Bitcoin rally extends, yet BTC options price only 25% chance of $84K in May
-
Coin Market5 days ago
CLARITY Act stablecoin yield rules finalised: ‘Go time’ for crypto bill
-
Technology5 days agoFirst Online Conversations Are Changing in 2026, According to New Secretmeet Research
-
Technology4 days agoPOVADDO AND PROLEGIS ANNOUNCE STRATEGIC PARTNERSHIP TO EXPAND ACCESS TO PUBLIC POLICY PROFESSIONALS FOR OPINION RESEARCH
-
Technology4 days agoPOVADDO AND PROLEGIS ANNOUNCE STRATEGIC PARTNERSHIP TO EXPAND ACCESS TO PUBLIC POLICY PROFESSIONALS FOR OPINION RESEARCH
-
Technology5 days ago/C O R R E C T I O N — Applied Intuition, Inc./
-
Coin Market5 days ago
Riot posts $167M in Q1 revenue as data center arm pulls in $33M in first quarter
-
Technology5 days agoUS Startup PerZeption Inc. Announces Collaboration with Alcon Research
