Q2 2026 Yellow Pages Ltd Earnings Call Transcript
Key Points
- Solid profitability and cash generation despite ongoing revenue pressures from macroeconomic uncertainty.
- Adjusted EBITDA margin remained solid at 19.1%, supported by cost discipline and operating efficiencies.
- Completed plan of arrangement, distributing CAD 25 million to shareholders through a share buyback.
- Cash on hand grew to approximately CAD 38 million as of July 31, 2026, following shareholder and pension disbursements.
- Board declared a dividend of CAD 0.25 per common share, payable on September 15, 2026.
- Digital revenue decline rate improved slightly year-over-year (from 6.4% to 6.2%), driven by higher average spend per customer.
- Net income increased to CAD 3.3 million in Q2 2026, up from CAD 1.5 million in Q2 2025, partly due to lower financial charges and a settlement loss in the prior year.
- Continued optimization of cost of sales and reductions in other operating costs, including workforce reductions.
- Total revenues decreased 8% year-over-year, with a higher decline rate compared to 7.4% in the same period last year.
- Print revenues declined 14.8% year-over-year, driven by a decrease in print customers.
- Adjusted EBITDA decreased by CAD 1.6 million (15.1%) to CAD 9.1 million, with margin down to 19.1% from 20.7%.
- Gross profit margins under pressure due to product mix shift toward lower-margin digital services products.
- Higher bad debt expense negatively impacted Adjusted EBITDA.
- Cash-settled share-based compensation expense increased due to the company's share price.
- Revenue pressures and product mix changes are expected to continue causing margin pressure in upcoming quarters.
- Adjusted EBITDA less CapEx decreased by CAD 1.7 million to CAD 8.6 million, driven by lower Adjusted EBITDA.
Good morning, ladies and gentlemen. Welcome to Yellow Pages' second quarter 2026 earnings release call. Today's conference call contains forward-looking information about Yellow Pages' outlook, objectives, and strategy. These statements are based on assumptions and are subject to important risks and uncertainties. Yellow Pages' actual results could differ materially from expectations discussed.
The details of Yellow Pages' caution regarding forward-looking information, including key assumptions and risks, can be found in Yellow Pages' management discussion and analysis for the second quarter of 2026. This call is being recorded and webcast, and all of the disclosure documents are available on the company's website and on SEDAR. I would now like to turn the meeting over to Mrs. Sherilyn King, President and Chief Executive Officer. Please go ahead, madam.
Thank you, Roy. Good morning, everyone. Welcome to our second quarter 2026 analyst call. We really appreciate your interest in
| Access to All Earning Calls and Stock Analysis | |
| 30-Year Financial on one screen | |
| All-in-one Stock Screener with unlimited filters | |
| Customizable Stock Dashboard | |
| Real Time Insider Trading Transactions | |
| 8,000+ Institutional investors’ 13F holdings | |
| Powerful Excel Add-in and Google sheets Add-on | |
| All data downloadable | |
| Quick customer support | |
| And much more... |
Trustpilot
We'd love to learn more about your experiences on GuruFocus.com and how we can improve!
Take Survey
