The Western Investment Company of Canada (WI) Q3 2024 earnings summary

Executive summary

• Net income for the nine months ended September 30, 2024 was $149,959, down from $1,070,035 for the same period in 2023.

• Total assets increased to $21.1 million as of September 30, 2024, from $19.9 million at December 31, 2023.

• Western's strategy focuses on acquiring and managing private businesses in Western Canada, with a recent shift toward the insurance sector.

Financial highlights

• Revenue from equity investments for the nine months was $1,178,644, compared to $1,779,803 year-over-year.

• Expenses rose to $1,730,176 for the nine months ended September 30, 2024, up from $1,287,789 in the prior year.

• Cash decreased significantly to $6,123 at September 30, 2024, from $618,673 at year-end 2023.

• Net cash used in operating activities was $1,376,624 for the nine months, compared to $268,382 in the prior year.

• Basic and diluted EPS for the nine months was $0.005, down from $0.035 year-over-year.

Outlook and guidance

• Western is raising capital through a rights offering and a fully subscribed $30 million private placement to fund acquisitions and working capital.

• Proceeds from these financings will support future acquisitions, particularly in the insurance sector.