TWC Enterprises Limited (TSX: TWC) has reported its first quarter 2025 consolidated operating highlights, with net earnings increasing to $1,084,000 from a loss of $701,000 in the same period last year.
Key highlights from the first quarter 2025 results include:
- Operating revenue decreased 37.6% to $40,764,000 for the three-month period ended March 31, 2025, compared to $65,346,000 in 2024.
- Direct operating expenses decreased 46.4% to $32,631,000 for the three-month period ended March 31, 2025, compared to $60,889,000 in 2024.
- Net operating income for the Canadian golf club operations segment decreased to $3,332,000 for the three-month period ended March 31, 2025, compared to $3,554,000 in 2024.
- Interest, net and investment income decreased 4.2% to $2,668,000 for the three-month period ended March 31, 2025, compared to $2,785,000 in 2024.
One significant development from the first quarter 2025 results is the acquisition of Deer Creek, one of Canada’s largest golf and event complexes, located in Ajax, Ontario. Deer Creek includes 45-holes of championship golf, a nine-hole short course, large driving range, and performance academy.
The acquisition was made on February 3, 2025, and is expected to expand ClubLink’s presence in the Ontario market.
The company’s lease of the National Pines Golf Club in Innisfil, Ontario concluded as of November 15, 2024.
Operating revenue decreased due to the decline in revenue from five Highland Gate home sales, compared to 21 in 2024.
Direct operating expenses decreased due to the decline in Highland Gate home sales, as described above.
Net operating income for the Canadian golf club operations segment decreased due to the added off-season fixed costs from the Deer Creek acquisition.
Interest, net and investment income decreased due to a reduction in interest rates on cash.
Other items consist of foreign exchange gain (loss), unrealized loss on investment in marketable securities, business combination transaction costs, gain (loss) on sale of property, plant and equipment, and equity income from investments in joint ventures.
At March 31, 2025, the company recorded unrealized losses of $6,352,000 on its investment in marketable securities.
The company’s eligible dividend payment for the first quarter 2025 will be 9 cents per common share to be paid on June 16, 2025, to shareholders of record as at May 30, 2025.
TWC Enterprises Limited is engaged in golf club operations under the trademark, “ClubLink One Membership More Golf.” The company is Canada’s largest owner, operator, and manager of golf clubs with 47 18-hole equivalent championship and 2.5 18-hole equivalent academy courses at 35 locations in Ontario, Quebec, and Florida.
The company’s corporate profile can be found on its website.
| Non-IFRS Measures | Description | Description |
|---|---|---|
| Direct Operating Expenses | Expenses that are directly attributable to company’s business units and are used by management in the assessment of their performance. | These exclude expenses which are attributable to major corporate decisions such as impairment. |
| Net Operating Income | Operating revenue – direct operating expenses | This is an important metric used by management in evaluating the Company’s operating performance as it represents the revenue and expense items that can be directly attributable to the specific business unit’s ongoing operations. |
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