Altus Group Reports Q4 & Fiscal 2025 Financial Results & Quarterly Dividend

Executive Summary

• Altus Group reported Q4 2025 revenue of C$131.9 M (up 3.6%) and Adjusted EBITDA of C$37.0 M, a 26.9% increase YoY, with an Adjusted EBITDA margin of 28.0%.
• The Board approved a cash dividend of $0.15 per common share for Q1 2026 and increased the annual capital‑return target to up to $800 million (an additional $300 M over the prior $500 M goal).
• Toronto Stock Exchange approved renewal of Altus’s Normal Course Issuer Bid (NCIB) for Feb 25 2026 – Feb 24 2027, authorizing repurchase of up to 3.25 million shares (~10% of float).

Key Details

• Financial Highlights (Q4 2025 vs Q4 2024)
• Revenue: C$131.9 M vs $126.4 M (+3.6%)
• Recurring Revenue: C$107.7 M vs $101.1 M (+5.7%)
• Software Revenue: C$49.3 M vs $46.0 M (+5.4%)
• VMS Revenue: C$48.8 M vs $44.4 M (+9.8%)
• Adjusted EBITDA: C$37.0 M vs $28.8 M (+26.9%)
• Adjusted EBITDA margin: 28.0% vs 22.8% (↑510 bps)
• Net cash from operating activities: C$31.1 M vs $24.7 M (+25.8%)

• Free Cash Flow: C$30.5 M vs $24.6 M (+23.9%)

• Profit/Loss – Continuing operations posted a loss of $(5.2) M versus profit of $32.2 M in Q4 2024 (impact of discontinued Appraisals business).

• Capital Return Objectives

• Prior target: up to $500 M for 2026.
• New target: up to $800 M, including the $162.8 M SIB already completed Jan 2026 and an additional $300 M under consideration for H1 2026.

• Funding sources: cash on hand, proceeds from planned divestitures, existing credit facilities; aim to maintain ~2.5× Funded Debt/EBITDA leverage.

• Dividend – Cash dividend of $0.15 per common share for Q1 2026, payable April 15 2026; DRIP option at 96% of five‑day VWAP prior to payment.

• NCIB Renewal Details

• Authorization period: Feb 25 2026 – Feb 24 2027.
• Maximum repurchase: 3,248,929 shares (≈10% of float).
• Daily purchase limit: 51,395 shares (≤25% of average daily volume).

• Prior NCIB (Feb 25 2025‑Feb 24 2026) purchased 3,219,967 shares at avg. $53.33 per share.

• Guidance for FY 2026 (Continuing Operations Only)

• Revenue growth: 4–6% (C$516‑526 M).
• Recurring revenue growth: 5–7% (C$428‑436 M).

• Adjusted EBITDA margin: 25–26% (350‑450 bps expansion).

• Business Outlook – Growth to be driven ~80% by volume/pricing, ~20% by new logos; margin expansion from operating efficiencies. Divestitures of Development Advisory and other non‑core analytics products planned during the year.

• Conference Call/Webcast – Thursday, Feb 19 2026 at 5:00 p.m. ET (link provided).

Notable Quotes

“We’re carrying that momentum into 2026… we are eager to activate our capital returns to capitalize on the significant dislocation in the value of our shares.” – Mike Gordon, CEO

All forward‑looking statements reflect management’s expectations as of the release date and involve risks and uncertainties.