Q1 in thousands of dollars, except per-share amounts 2025 2024 Change Revenue $ 220,232 $ 209,444 5.2 % Gross profit $ 83,251 $ 75,394 10.4 % % of revenue 37.8 % 36.0 % 180 bps Operating income $ 21,238 $ 17,721 19.8 % Net earnings1 $ 12,479 $ 11,629 7.3 % Diluted net earnings per share1 $ 0.17 $ 0.16 6.3 % Adjusted net earnings*1 $ 16,516 $ 14,333 15.2 % Adjusted net earnings per share*1 $ 0.23 $ 0.20 15.0 % Adjusted EBITDA* $ 40,647 $ 34,681 17.2 % Adjusted EBITDA per share* $ 0.57 $ 0.49 16.3 % % of revenue 18.5 % 16.6 % 190 bps *Non-IFRS measures are described and reconciled in sections 3, 6 and 8 of the MD&A.
1 The amounts for 2024 reflect adjustments made for Q1 2024 , as detailed and explained in Section 7 of the MD&A.
Words from the Executive Chairman and from the President & CEO
“These times are unusual and often called uncertain. While that is true, Savaria remains strong in its vision – to serve an aging population with products for mobility. There is certainty in aging, and it is our job to continue to design and build innovative and reliable products that meet market needs. Since 1989, I have held the belief that we are fortunate to be in this industry. I have great faith in our 2,500 employees to continue to deliver their best,” said Marcel Bourassa, Executive Chairman.
“We delivered our best-ever first-quarter adjusted EBITDA* of $40.6M in 2025, representing a 17.2% improvement over last year. Notably our Accessibility segment reported 20.1% adjusted EBITDA margin* , up from 17.2% in 2024. In spite of changing economic threats, Savaria products are USMCA-compliant and, to add capacity, we have opened a new final assembly line for our popular Eclipse home elevator in Greenville, South Carolina. This 200,000 square foot Span-owned facility availed us an opportunity to expeditiously add 60,000 square feet for our new production line. We have also recently contracted to build out an additional 55,000 square feet at this site to be completed in 2026, investing $30M to meet future growth. Our agility to push through during uncertainty is a hallmark of Savaria and I remain optimistic about the future,” said Sébastien Bourassa, President and Chief Executive Officer.
First Quarter Results - Q1 2025 compared to Q1 2024
REVENUE
Revenue reached $220.2M, up $10.8M or 5.2%. The increase was mainly due to a positive foreign exchange impact of 3.3% and organic growth of 0.8%. The revenue contribution from the acquisition of Matot was partially offset by the divestitures of Van-Action and Freedom Motors.
Accessibility segment (77% of Q1-25 revenue): Revenue was $170.2M, an increase of $9.8M or 6.1%.Patient Care segment (23% of Q1-25 revenue): Revenue was $50.1M, an increase of $1.0M or 2.1%. OPERATING INCOME
Operating income was $21.2M, up $3.5M or 19.8%, representing an operating margin of 9.6% compared to 8.5% in Q1 2024. The increase was mainly attributable to the additional revenue contribution and higher gross margins while partially offset by increased selling and administrative expenses.
ADJUSTED EBITDA
Adjusted EBITDA* and adjusted EBITDA margin* was $40.6M and 18.5%, respectively, compared to $34.7M and 16.6% for Q1 2024.
Accessibility segment: Adjusted EBITDA* and adjusted EBITDA margin* was $34.2M and 20.1%, respectively, compared to $27.6M and 17.2% for Q1 2024.Patient Care segment: Adjusted EBITDA* and adjusted EBITDA margin* stood at $9.4M and 18.8%, respectively, compared to $9.1M and 18.5% for Q1 2024. LIQUIDITY AND CAPITAL RESOURCES
Savaria generated $31.3M of cash from operations which was primarily used to invest in capital projects, repay debt and pay interest and dividends.
As at March 31, 2025, the Corporation had a net debt* position of $249.5M and a ratio of net debt to adjusted EBITDA* of 1.49 compared to 1.63 as of December 31, 2024.
*Non-IFRS measures are described and reconciled in sections 3, 6 and 8 of the MD&A.
Outlook
Savaria’s fiscal 2025 forecast projects revenue of approximately $925M, with an adjusted EBITDA margin* between 17% and 20%. We anticipate revenue growth of 5-8%, driven by volume and price increases, new product launches, and favorable foreign exchange effects across the Accessibility and Patient Care segments. However, given the current macro environment and potential tariff impacts, we have tempered our growth expectations.
Despite these geopolitical uncertainties, the completion of Savaria One positions us well to sustain profitability. Structural improvements have enhanced production capacity, increased operational efficiencies, and generated meaningful cost savings through streamlined procurement.
As one of the global leaders in the accessibility industry with extensive operations in Canada and the United States, Savaria is assessing its supply chain and evaluating and implementing strategies to optimize its North American manufacturing footprint. These efforts aim to maintain competitiveness and ensure continued service for our valued dealer partners.
The above-mentioned outlook is a “forward-looking statement” within the meaning of the securities laws of Canada and subject to the Corporation’s disclosure statement.
Environmental, Social and Governance (“ESG”) Values
As a global leader within the accessibility industry, Savaria is committed to minimizing its environmental footprint and upholding the highest social and governance standards. We believe that promoting environmentally and socially responsible behaviour across our organization is key to achieving sustainable growth and long-term value creation.
By delivering products and solutions that promote accessibility, health, and wellness, improving operational efficiencies and resource usage, and engaging our employees and stakeholders, we’ll create a stronger, more resilient business that will continue to be an industry leader while delivering positive social change.
We recognize this work requires long-term vision, planning, and collaboration, yet also must be grounded in clear actions and an ongoing commitment to transparency.
To that end, on April 30, 2025 Savaria published its ESG report for the fiscal year ended December 31, 2024. Through this report, Savaria discloses its strategy and initiatives on ESG matters that are important to its stakeholders, and where it sees an opportunity to have a positive and meaningful influence. The 2024 ESG report can be found under the investor relations section of our website at savaria.com.
*Non-IFRS measures are described and reconciled in sections 3, 6 and 8 of the MD&A.
Savaria Corporation (savaria.com) is a global leader in the accessibility industry. It provides accessibility solutions for the physically challenged to increase their comfort, their mobility and their independence. Its product line is one of the most comprehensive on the market. Savaria designs, manufactures, distributes and installs accessibility equipment, such as elevators for home and commercial use, stairlifts for straight and curved stairs, vertical and inclined wheelchair lifts and dumbwaiters. In addition, Savaria manufactures and markets a comprehensive selection of pressure management products, medical beds, as well as an extensive line of medical equipment and solutions for the safe movement of patients, such as transfer, lifting and repositioning aids. The Corporation operates a sales network of dealers worldwide and direct sales offices in North America, Europe (UK, Netherlands, Switzerland, Italy, Germany, Poland and Czech Republic) and Australia. Savaria employs approximately 2,500 people globally and its plants are located across Canada, the United States, Mexico, Europe and China.
Compliance with International Financial Reporting Standards (“IFRS”)
The information appearing in this press release has been prepared in accordance with IFRS. However, Savaria uses EBITDA, adjusted EBITDA, adjusted EBITDA margin, adjusted EBITDA per share, adjusted net earnings, adjusted net earnings per share, available funds, net debt and ratio of net debt to adjusted EBITDA for analysis purposes to measure its financial performance. These measures have no standardized definitions in accordance with IFRS and are therefore regarded as non-IFRS measures. These measures may therefore not be comparable to similar measures reported by other companies. Additional details for these non-IFRS measures can be found in sections 3, 6 and 8 of Savaria’s MD&A, which is posted on Savaria’s website at savaria.com, and filed with SEDAR+ at sedarplus.ca. Reconciliation of adjusted net earnings and adjusted EBITDA with net earnings is presented in the section below.
Forward-Looking Statements
This press release includes certain statements that are “forward-looking statements” within the meaning of the securities laws of Canada. Any statement in this press release that is not a statement of historical fact may be deemed to be a forward-looking statement. When used in this press release, the words “believe”, “could”, “should”, “intend”, “expect”, “estimate”, “assume” and other similar expressions are generally intended to identify forward-looking statements. It is important to know that the forward-looking statements in this document describe the Corporation’s expectations as at the date hereof, which are not guarantees of future performance of Savaria or its industry, and involve known and unknown risks and uncertainties that may cause Savaria’s or the industry’s outlook, actual results or performance to be materially different from any future results or performance expressed or implied by such statements. The Corporation’s actual results could be materially different from its expectations if known or unknown risks affect its business, or if its estimates or assumptions turn out to be inaccurate.
A change affecting an assumption can also have an impact on other interrelated assumptions, which could increase or diminish the effect of the change. As a result, the Corporation cannot guarantee that any forward-looking statement will materialize and, accordingly, the reader is cautioned not to place undue reliance on these forward-looking statements. Forward-looking statements do not take into account the effect that transactions or special items announced or occurring after the statements are made may have on the Corporation’s business. For example, they do not include the effect of sales of assets, monetizations, mergers, acquisitions, other business combinations or transactions, asset write-downs or other charges announced or occurring after forward-looking statements are made.
Unless otherwise required by applicable securities laws, Savaria disclaims any intention or obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise. The foregoing risks and uncertainties include the risks set forth under “Risks and Uncertainties” in Savaria’s latest Annual MD&A as well as other risks detailed from time to time in reports filed by Savaria with securities regulators in Canada.
Results webcast and conference call on May 8, 2025, at 8:30 a.m. (EDT)
Savaria will host a conference call on Thursday, May 8th at 8:30 a.m. Eastern Daylight Time with financial analysts to discuss results of the period ended March 31, 2025. Investors and members of the media are invited to participate on a listen-only basis.
Conference call access: To register: https://register-conf.media-server.com/register/BI15f7212f37f94fe8a302ac7d97aab003Webcast (en): https://edge.media-server.com/mmc/p/odhihq5q/
Link to the replay of the webcast will be available on the Corporation’s website at savaria.com.
For further information: Sébastien BourassaPresident and Chief Executive [email protected] Stephen Reitknecht, CPAChief Financial [email protected] facebook.com/savariabettermobilitytwitter.com/Mobilityforlife www.savaria.com Reconciliation of adjusted net earnings and adjusted EBITDA with net earnings is provided below. Complete financial statements and the management’s report for Q1 2025 will be available shortly on Savaria’s website and on SEDAR+ sedarplus.ca.
Reconciliation of adjusted net earnings*1 and adjusted EBITDA* with net earnings1
Q1 in thousands of dollars, except per-share amounts 2025 2024 Net earnings1 $ 12,479 $ 11,629 Strategic initiatives expenses 4,670 5,299 Other expenses (incomes) 773 (1,191 ) Income tax related to strategic initiatives and other expenses (1,406 ) (1,404 ) Adjusted net earnings*1 $ 16,516 $ 14,333 Adjusted net earnings per share*1 $ 0.23 $ 0.20 Income tax related to strategic initiatives and other expenses 1,406 1,404 Income tax expense 5,237 3,751 Depreciation of fixed assets 2,735 2,137 Depreciation of right-of-use assets 3,162 2,681 Amortization of intangible assets 7,341 7,444 Net finance costs 3,522 2,341 Stock-based compensation 728 590 Adjusted EBITDA* $ 40,647 $ 34,681 Adjusted EBITDA per share* $ 0.57 $ 0.49 Diluted weighted average number of shares 71,868,735 71,213,393 *Non-IFRS measures are described and reconciled in sections 3, 6 and 8 of the MD&A.
1 The amounts for 2024 reflect adjustments made for Q1 2024 , as detailed and explained in Section 7 of the MD&A.