DATA Communications Management (DCM) 17th Annual LD Micro Main Event Conference summary

Business overview and market position

• Operates as a technology-enabled provider of print and digital marketing solutions, serving over 450 enterprise clients, including 75 of the largest 100 companies in Canada.

• Achieved CAD 473 million in revenue last year, with analysts projecting over CAD 500 million this year; EBITDA expected to rise from CAD 53 million to about CAD 70 million.

• Holds approximately 5% market share in a CAD 10 billion Canadian print and marketing industry, positioning as the second largest player.

• Focuses on high-value, integrated print and digital marketing services, not low-margin print jobs.

• Major clients include Bank of Montreal and Air Canada, providing both physical and digital communications.

Growth strategy and acquisitions

• Pursues industry consolidation through acquisitions, notably acquiring Moore Canada Corporation, adding about CAD 200 million in revenue.

• Acquisition of Moore Canada Corporation led to a significant revenue and EBITDA jump, with ongoing integration to improve margins.

• Plans to continue acquiring print and marketing services companies, consolidating operations to drive efficiency and margin improvement.

• M&A remains a core growth lever, with additional acquisitions and new marketing services targeted for 2025.

• Free cash flow may be allocated to acquisitions, share buybacks, or dividends, with decisions expected in 2025.

Technology and product innovation

• Recently launched Assemble, an AI-enabled digital asset management (DAM) platform to help enterprises organize and retrieve digital content efficiently.

• Assemble leverages AI for accurate tagging and searchability of digital assets, differentiating from competitors.

• Strategy includes cross-selling new technology products like Assemble to existing large enterprise clients.

• Technology innovation is a key pillar, with ongoing investment in R&D to enhance service offerings and margins.