Category: news

• Sales of $120.2 million compared to $123.5 million
• EPS of $0.24 compared to $0.21 prior year; a 14% improvement
• Adjusted EBITDA growth of 8% to $17.6 million
• Free cash flow of $12.5 million or $0.31 per share in the quarter
• Maintained quarterly dividend of $0.095 per common share
• Enhanced COVID-19 operational safety measures implemented
• Balance sheet strengthens to $11.9 million net cash position

Toronto, April 29, 2020 – Exco Technologies Limited (TSX-XTC) today announced results for its second quarter of fiscal 2020 ended March 31, 2020. In addition, Exco announced a quarterly dividend of $0.095 per common share which will be paid on June 30, 2020 to shareholders of record on June 16, 2020. The dividend is an “eligible dividend” in accordance with the Income Tax Act of Canada.

“Exco performed very well despite an extremely difficult backdrop”, said Darren Kirk, Exco’s President and CEO, adding that, “I want to thank all of our employees for working safely, enabling us to meet the continuing needs of our customers throughout these challenging times”.

In response to the unprecedented global COVID-19 crises, Exco is taking the necessary actions to protect the health and safety of our employees, meet the ongoing needs of our customers, minimize the adverse impact on our finances, while making the necessary investments to further strengthen our various businesses for the recovery when it eventually takes hold.

Consolidated sales for the second quarter ended March 31, 2020 were $120.2 million compared to $123.5 million in the same quarter last year – a decrease of $3.3 million, or 3%. Foreign exchange rate fluctuations contributed $2.5 million to sales during the quarter.

The Automotive Solutions segment reported sales of $73.4 million in the second quarter – effectively unchanged from the prior year quarter. Excluding foreign exchange rate movements, segment revenues were lower by $1.5 million, or 2% during the quarter. This compares favorably to combined overall industry vehicle production volumes in North America and Europe, which were lower by roughly 16% during the quarter. Segment sales were supported by a number of program launches for both new and existing products, particularly at Polydesign and AFX. Sales were softer year over year at both Neocon and Polytech, however both these entities outperformed the market due to the strength of their product portfolios and aided – in part – by accessory product sales, which do not always sync with OEM production schedules. Automotive production throughout April 2020 is virtually at a standstill in Exco’s key markets as a result of the global COVID-19 response measures. Looking forward several OEM’s are currently planning to restart production of facilities in Europe and North America beginning in early May 2020, however there remains considerable uncertainly around the exact timing and how fast these facilities will ramp-up volume. Exco remains focused on ensuring it is able to meet demand once production recommences, while complying with stay-at-home orders in the regions where it operates.

The Casting and Extrusion segment reported sales of $46.8 million for the second quarter – a decrease of $3.4 million, or 7%, from the same period last year. Segment sales held up better during the quarter than general economic conditions would otherwise suggest given the long cycle and/or essential nature of much of the segment’s products, which feed into many critical industries. Within the group, sales were relatively stable in the Large Mould group for the quarter. The programs of this group tend to be relatively long cycle and have continued to advance despite the vehicle production stoppage through April 2020 at virtually all OEM’s ultimately served by the group. In addition, quoting activity remains decent with discussions ongoing with both current and new potential customers, holding promise for an improvement in future results. Extrusion group sales were lower during the quarter as sales from the new Extrusion facility in Mexico (which commenced commercial production April 1, 2019) were more than offset by lower sales elsewhere in North America due to softer overall market conditions. At Castool, the group’s revenues were also modestly lower as market conditions softened for both consumable and capital equipment goods in the quarter, particularly within the extrusion industry. Within the segment, steel price surcharges and steel tariffs continued to reduce during the quarter. As Exco generally aims to pass such amounts on to its customers, they positively impact on revenues when higher, but have the opposite impact when lower.

Consolidated net income for the second quarter was $9.5 million or basic and diluted earnings of $0.24 per share compared to $8.6 million or $0.21 per share in the same quarter last year – an increase in net income of 11%. Year-to-date, consolidated net income was $17.6 million or $0.44 per basic share compared to $12.4 million or $0.30 per basic share last year – an increase in net income of 42%. Excluding a net expense of $0.3 million and $6.4 million in the prior year periods related to the deconsolidation of ALC, Adjusted Net Income was higher by 7% in the quarter and lower by 7% year-to-date. The consolidated effective income tax rate for the current quarter was 22% compared to 23% the prior year period. The Automotive Solutions segment reported pretax profit of $9.4 million in the second quarter – an increase of $0.3 million or 3% over the same quarter last year. For the quarter, segment profitability was enhanced by improved overhead absorption at Polydesign and AFX, reduced bonus payments to production workers in Mexico, as well as greater operating efficiencies and favorable foreign exchange rate movements across the segment in general. The benefit of these factors outweighed an increase in accounts receivable and other provisions during the quarter to address likely near-term

stresses associated with the current global downturn. To counter ongoing pricing pressures and rising input costs, management remains focused on improving the efficiency of its operations and reducing its overall cost structure. Pricing discipline also remains a focus, although there is typically limited, if any, ability to attain increased pricing for the duration of current programs, which typically range from three to five years. New programs however embed management’s expectations for higher future costs.

The Casting and Extrusion segment reported $4.5 million of pretax profit in the second quarter – a decrease of $0.1 million or 2% from the same quarter last year. Profitability reduction occurred within the Extrusion group for the quarter due to adverse overhead absorption given the decline in extrusion die volumes. Separately, profitability at the Large Mould group was higher during the quarter as progress with various efficiency initiatives continued to move ahead. Castool’s profitability was up during the quarter despite the sales decline due to a reduction in steel prices and favorable foreign exchange rate movements.

Consolidated Adjusted EBITDA for the second quarter totaled $17.6 million compared to $16.3 million in the same quarter last year – an increase of $1.3 million, or 8%. Year-to-date, consolidated adjusted EBITDA totaled $33.0 million compared to $34.9 million last year – a decrease of $1.9 million, or 5%. For the quarter, Adjusted EBITDA as a percentage of sales increased to 14.7% in the current period compared to 13.2% the prior year driven by an improvement in segment margins in both the Automotive Solutions and Casting & Extrusion segments, as well as a reduction in Corporate cash expenses.

Operating cash flow before net change in non-cash working capital totaled $15.0 million in the second quarter. After changes in working capital requirements, net cash provided by operating activities amounted to $18.6 million. This cash flow, together with cash on hand was more than sufficient to fund $0.2 million of interest expense, $5.9 million of capital expenditures, $3.8 million of common dividend payments and $3.3 million of share repurchases.

As at March 31, 2020, Exco’s consolidated balance sheet was in a $11.9 million net cash position. Principal sources of liquidity include generated Free Cash Flow, $35.7 million of balance sheet cash and $27.0 million of unused availability under its $50 million committed credit facility, which matures February 2023. Pursuant to the terms of the credit facility, Exco is required to maintain compliance with certain financial covenants, which the Company was in compliance with as at March 31, 2020. In response to the developments resulting from the COVID-19 pandemic, the Company has stress tested its financial and liquidity position and expects to remain Free Cash Flow positive through the second half of fiscal 2020 while remaining in compliance with its financial covenants.

For further information and prior year comparison please refer to the Company’s Second Quarter Financial Statements in the Investor Relations section posted at www.excocorp.com.  Alternatively, please refer to www.sedar.com.¹ Non-IFRS Measures: In this News Release, reference may be made to Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted EPS, Adjusted Net Income, Adjusted Pretax Profit and Free Cash Flow which are not measures of financial performance under International Financial Reporting Standards (“IFRS”). Exco calculates Adjusted EBITDA as earnings before other income/expense, interest, taxes, depreciation and amortization and Adjusted EBITDA Margin as Adjusted EBITDA divided by sales. Exco calculates adjusted EPS as earnings before other income/expense divided by the weighted

average number of shares. Adjusted Net Income is calculated as net income before other income/expense, and Adjusted Pretax Profit as segmented earnings before other income/expense, interest and taxes.  Free Cash Flow is calculated as cash provided by operating activities less interest paid less investment in fixed assets net of proceeds of disposal. Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted EPS, pretax profit and Free Cash Flow are used by management, from time to time, to facilitate period-to-period operating comparisons and we believe some investors and analysts use these measures as well when evaluating Exco’s financial performance. These measures, as calculated by Exco, do not have any standardized meaning prescribed by IFRS and are not necessarily comparable to similar measures presented by other issuers.  Refer to the table in the Management Discussion and Analysis for a reconciliation of these non-IFRS Measures.

Quarterly Conference Call – April 30, 2020 at 10:00 a.m. (Toronto time):

To access the live audio webcast, please log on to www.excocorp.com, or https://edge.media-server.com/mmc/p/3hyh53ft a few minutes before the event.  The conference call can be accessed by dialing toll free at (866) 572-8261 or internationally at (703) 736-7448.  The conference ID is 8765498. 

For those unable to participate on April 30, 2020, an archived version will be available on the Exco website.

About Exco Technologies Limited:

Exco Technologies Limited is a global supplier of innovative technologies servicing the die-cast, extrusion and automotive industries.  Through our 15 strategic locations in 7 countries, we employ about 5,400 people and service a diverse and broad customer base.

Notice To Reader:  Forward Looking Statements

Information in this document relating to projected growth and financial performance of the Company’s business units, contribution of our start-up business units, contribution of awarded programs yet to be launched, margin performance, financial performance of acquisitions and operating efficiencies are forward-looking statements. This press release may contain forward-looking information and forward-looking statements within the meaning of applicable securities laws. We use words such as “anticipate”, “plan”, “may”, “will”, “should”, “expect”, “believe”, “estimate” and similar expressions to identify forward-looking information and statements especially with respect to growth and financial performance of the Company’s business units, contribution of our start-up business units, contribution of awarded programs yet to be launched, margin performance, financial performance of acquisitions, liquidity and operating efficiencies are forward-looking statements. Readers are cautioned not to place undue reliance on forward-looking statements throughout this document and are also cautioned that the foregoing list of important factors is not exhaustive. These forward-looking statements are based on our plans, intentions or expectations which are based on, among other things, the current uncertain global economic impact of the COVID-19 pandemic or similar outbreak of epidemic, pandemic, or contagious diseases that may emerge in the human population, which may have a material effect on how we and our customers operate our businesses and the duration and extent to which this will impact our future operating results, assumptions about the number of automobiles produced in North America and Europe, production mix between passenger cars and trucks, the number of extrusion dies required in North America and South America, the rate of economic growth in North America, Europe and emerging market countries, investment by OEMs in drivetrain architecture and other initiatives intended to reduce fuel consumption and/or the weight of automobiles in response to rising climate risks, raw material prices, economic conditions, currency fluctuations, trade restrictions, our ability to close or otherwise dispose of unprofitable operations in a timely manner, our ability to integrate acquisitions and the rate at which our operations in Brazil, and Mexico achieve sustained profitability. These forward-looking statements include known and unknown risks, uncertainties, assumptions and other factors which may cause actual results or achievements to be materially different from those expressed or implied. The Company will update its disclosure upon publication of each fiscal quarter’s financial results and otherwise disclaims any obligations to update publicly or otherwise revise any such factors or any of the forward-looking information or statements contained herein to reflect subsequent information, events or developments, changes in risk factors or otherwise. For a more extensive discussion of Exco’s risks and uncertainties see the ‘Risks and Uncertainties’ section in our latest Annual Report, Annual Information Form (“AIF”) and other reports and securities filings made by the Company. This information is available at www.sedar.com or www.excocorp.com.

TORONTO, April 14, 2020 (GLOBE NEWSWIRE) — Exco Technologies Limited (TSX – XTC) today announced that it will report its financial results for the second quarter ended March 31, 2020 after the close of business on Wednesday, April 29, 2020.

A conference call to discuss those results will be held on Thursday, April 30, 2020 at 10:00 a.m. (Eastern time) which can be accessed by dialing toll free at (866) 572-8261 or internationally at (703) 736-7448. The conference ID is 8765498.

To access the live audio webcast, please log on to www.excocorp.com, or https://edge.media-server.com/mmc/p/3hyh53ft a few minutes before the event.

For those unable to participate on April 30, 2020, an archived version will be available until May 5, 2020 on the Exco website or by dialing toll free at (855) 859-2056 or internationally at (404) 537-3406. The conference ID is 8765498.

Exco Technologies Limited is a global supplier of innovative technologies servicing the die-cast, extrusion and automotive industries. Through our 15 strategic locations in 7 countries, we employ approximately 5,400 people and service a diverse and broad customer base.

TORONTO, Feb. 07, 2020 (GLOBE NEWSWIRE) — Exco Technologies Limited (TSX: XTC) (“Exco” or the “Company”) today announced that the Toronto Stock Exchange (“TSX”) has approved the Company’s normal course issuer bid (“NCIB”). Under the NCIB, Exco has the right to purchase for cancellation, from February 18, 2020 to February 17, 2021, a maximum of 2,000,000 common shares, representing 8.7% of the 22,866,812 shares forming Exco’s public float as at February 7, 2020.  As of February 7, 2020, Exco had 39,936,863 common shares.

Any shares purchased by Exco under the NCIB will be effected through the facilities of TSX as well as on alternative Canadian trading systems, at prevailing market rates and any common shares purchased by the Company will be cancelled. The actual number of shares that may be purchased and the timing of any such purchases will be determined by Exco. Any purchases made by Exco pursuant to the NCIB will be made in accordance with the rules and policies of the TSX.

During the most recently-completed six months, the average daily trading volume for the common shares of Exco on the TSX was 26,236 shares. Consequently, under the policies of the TSX, Exco will have the right to repurchase under its NCIB, during any one trading day, a maximum of 6,559 shares, representing 25% of the average daily trading volume. In addition, Exco will be allowed to make, once per calendar week, a block purchase (as such term is defined in the TSX Company Manual) of shares not directly or indirectly owned by insiders of Exco, in accordance with the TSX policies. Exco will fund the purchases through available cash and/or bank facilities. Pursuant to a previous notice of intention to conduct a normal course issuer bid, under which Company sought and received approval from the TSX to purchase up to 2,100,000 common shares for the period of February 18, 2019 to February 17, 2020, the Company has purchased 1,413,218 common shares on the open market as of February 7, 2020 at a weighted average purchase price of $8.05 per common share.

Exco’s Board of Directors believes the underlying value of the Company may not be reflected in the market price of its common shares from time to time and that, at appropriate times, repurchasing its shares through the NCIB may represent a good use of Exco’s financial resources, as such action can protect and enhance shareholder value when opportunities or volatility arise. Thus, the Board has determined that the NCIB is in the best interest of the Company and its shareholders.

Exco Technologies Limited is a global supplier of innovative technologies servicing the die-cast, extrusion and automotive industries.  Through our 15 strategic locations in 7 countries, we employ 5,400 people and service a diverse and broad customer base.

TORONTO, Jan. 30, 2020 (GLOBE NEWSWIRE) — Exco Technologies Limited (TSX-XTC) announced voting results from its 2019 annual meeting of shareholders held on January 29, 2020. A total of 26,864,370 Common Shares or 66.84% of our issued and outstanding Common Shares, were voted in connection with the meeting. Shareholders voted by a show of hands in favour of each item of business. Based on proxies received prior to the meeting, each director nominee was elected by a substantial majority as follows:

Full results of the votes are included as Appendix A to this press release.

Exco Technologies Limited is a global supplier of innovative technologies servicing the die-cast, extrusion and automotive industries.  Through our 15 strategic locations in 7 countries, we employ approximately 5,400 people and service a diverse and broad customer base.

Appendix A

VOTING RESULTS – 2019 ANNUAL MEETING OF SHAREHOLDERS

Notes:
(1) Based on proxies submitted
(2) 240,801 shares were not voted
(3) 26,864,370 shares (66.84%) were voted by proxy. 1,074 shares were voted in person at the meeting.

• Sales of $120.4 million and EBITDA of $15.4 million
• EPS of $0.20 compared to $0.09 prior year
• Quarterly dividend raised 6% to $0.095 per common share
• Balance sheet remains in a net cash position

TORONTO, Jan. 29, 2020 (GLOBE NEWSWIRE) — Exco Technologies Limited (TSX-XTC) today announced results for its first quarter of fiscal 2020 ended December 31, 2019. In addition, Exco announced a 6% increase in its quarterly dividend to $0.095 per common share which will be paid on March 30, 2020 to shareholders of record on March 17, 2020. The dividend is an “eligible dividend” in accordance with the Income Tax Act of Canada. 

“Exco performed well in a challenging environment,” said Darren Kirk, Exco’s President and CEO, adding that, “we are pleased to increase our dividend payment, which signals our confidence in Exco’s ability to continue generating strong levels of free cash flow.”

Consolidated sales for the first quarter ended December 31, 2019 were $120.4 million compared to $142.1 million in the same quarter last year – a decrease of $21.7 million, or 15%. Excluding the impact of the deconsolidation of ALC from Exco’s results in January 2019 and foreign exchange rate movements, revenues were essentially flat.

The Automotive Solutions segment reported sales of $68.3 million in the first quarter – a decrease of $21.1 million, or 24% from the same quarter last year. Of this decrease, $19.8 million was due to the deconsolidation of ALC while foreign exchange rate movements were responsible for an additional $1.5 million of the reduction. Excluding the impact of ALC and foreign exchange rate movements, segment sales were up $0.2 million. This compares very favorably to overall industry vehicle production volumes in North America and Europe, which were lower by roughly 9% during the quarter. Segment sales were supported by a number of program launches for both new and existing products, particularly at Polydesign and AFX. Despite generally softer vehicle industry production levels, management continues to see ample opportunity for future growth. This view is supported by meaningful contract wins during the quarter as well as robust quoting activity for new potential programs across the segment’s various businesses.

The Casting and Extrusion segment reported sales of $52.1 million in the quarter – a decrease of $0.6 million, or 1%, from the same period last year. Excluding foreign exchange rate movements, segment sales were essentially unchanged during the quarter. Within the group, sales were relatively stable in the Large Mould group although quoting activity remains robust with discussions ongoing with both current and new potential customers. Extrusion group sales were modestly higher during the quarter as sales from the new Extrusion facility in Mexico were partially offset by lower sales elsewhere in North America due to softer overall market conditions. At Castool, the group’s revenues were modestly lower as market conditions softened for both consumable and capital equipment goods in the quarter, particularly within the extrusion industry. Within the segment, US steel tariffs continued to reduce during the quarter as certain steel distributors received exemptions of these tariffs during the second quarter of fiscal 2019. As Exco generally aims to pass such tariffs on to its customers, they positively impacted revenues when implemented, but are now having a dampening impact on revenues as they recede.

Consolidated net income for the first quarter was $8.1 million or basic and diluted earnings of $0.20 per share compared to $3.8 million or $0.09 per share in the same quarter last year – an increase in net income of 111%. Excluding a net expense of $6.1 million ($0.15 per share) related to the deconsolidation of ALC in the prior year period, Adjusted Net Income was lower by 19% year over year. The consolidated effective income tax rate for the current quarter was 18% compared to 49% the prior year period. The income tax rate in the current quarter was favorably impacted by the recognition of $0.2 million of deferred tax assets and an increase in earnings in jurisdictions with lower tax rates. As well, the prior year period was unfavorably impacted by the non-deductibility of Other Expense related to the de-consolidation of ALC in the amount of $6.1 million and $2.1 million of operating losses at ALC. Excluding these items, the effective income tax rate for the prior year quarter was 23%. 

The Automotive Solutions segment reported pretax profit of $8.0 million in the quarter – a decrease of $1.8 million or 18% over the same quarter last year. Current period results benefited from the elimination of ALC’s operations, which contributed operating losses of $2.1 million the prior year. Segment pretax profits however were nonetheless adversely impacted by higher labor costs, unfavorable product mix, adverse foreign exchange rate movements, the impact of the strike at General Motors and ongoing launch costs inefficiencies, particularly at Polydesign and AFX. To counter ongoing pricing pressures and rising input costs, management remains focused on improving the efficiency of its operations and reducing its overall cost structure. Pricing discipline also remains a focus, although there is typically limited, if any, ability to attain increased pricing for the duration of current programs, which typically range from three to five years. New programs however embed management’s expectations for higher future costs.

The Casting and Extrusion segment reported $4.3 million of pretax profit in the quarter – a decrease of $1.2 million or 22% from the same quarter last year, with much of the variance driven by adverse foreign exchange rate movements. Profitability reduction occurred within the Extrusion group which was impacted by reduced market demand for extrusion dies within North America as well as start-up losses for the Extrusion facility in Mexico. Nonetheless, despite the losses, management remains very encouraged by the early results of its latest facility. As is the case with Exco’s prior greenfield operations, these operations typically require several quarters after production commences to mature and reach sustained profitability. Separately, profitability at the Large Mould group was relatively stable during the quarter. Progress with various efficiency initiatives continues to move ahead however profitability was adversely impacted by reduced overhead absorption at one of the group’s locations due to lower volumes associated with customer timing requirements. Castool’s profitability was down modestly in the quarter due to higher delivery and selling costs as well as reduced overhead absorption and a mix shift towards lower margin products.

The Corporate segment expenses were $2.4 million in the quarter compared to $1.6 million in the prior year quarter. Year over year variances were mainly due to foreign exchange rate movements, which reduced expenses by $0.5 million the prior year and added $0.2 million to expenses the current year period.

Consolidated adjusted EBITDA for the first quarter totaled $15.4 million compared to $18.6 million in the same quarter last year – a decrease of 17%. Adjusted EBITDA as a percentage of sales decreased to 12.8% in the current quarter compared to 13.1% the prior year. The adjusted EBITDA margin in the Casting and Extrusion segment declined to 14.8% from 16.4% last year while the adjusted EBITDA margin in the Automotive Solutions segment increased to 14.5% compared to 12.9% last year.

Operating cash flow before net change in non-cash working capital totaled $13.5 million in the first quarter. After changes in working capital requirements, net cash provided by operating activities amounted to $9.8 million. This cash flow, together with cash on hand was used to fund $0.2 million of interest expense, $6.5 million of capital expenditures, $3.6 million of common dividend payments and $2.7 million of share repurchases. As at December 31, 2020, Exco’s consolidated balance sheet was in a $5.5 million net cash position.

For further information and prior year comparison please refer to the Company’s First Quarter Financial Statements in the Investor Relations section posted at www.excocorp.com.  Alternatively, please refer to www.sedar.com.

1 Non-IFRS Measures:  In this News Release, reference may be made to Adjusted EBITDA, Adjusted EBITDA Margin, adjusted EPS, adjusted net income, adjusted pretax profit and Free Cash Flow which are not measures of financial performance under International Financial Reporting Standards (“IFRS”). Exco calculates Adjusted EBITDA as earnings before other income/expense, interest, taxes, depreciation and amortization and Adjusted EBITDA Margin as Adjusted EBITDA divided by sales. Exco calculates adjusted EPS as earnings before other income/expense divided by the weighted average number of shares. Adjusted net income is calculated as net income before other income/expense,and adjusted pretax profit as segmented earnings before other income/expense, interest and taxes.  Free Cash Flow is calculated as cash provided by operating activities less interest paid less investment in fixed assets net of proceeds of disposal. Adjusted EBITDA, Adjusted EBITDA Margin, adjusted EPS, pretax profit and Free Cash Flow are used by management, from time to time, to facilitate period-to-period operating comparisons and we believe some investors and analysts use these measures as well when evaluating Exco’s financial performance. These measures, as calculated by Exco, do not have any standardized meaning prescribed by IFRS and are not necessarily comparable to similar measures presented by other issuers.  Refer to the table in the Management Discussion and Analysis for a reconciliation of these non-IFRS Measures.

Quarterly Conference Call – January 29, 2020 at 4:30 p.m. (Toronto time):
To access the live audio webcast, please log on to www.excocorp.com, or https://edge.media-server.com/mmc/p/8pdaxvhn a few minutes before the event.  The conference call can be accessed by dialing toll free at (866) 572-8261 or internationally at (703) 736-7448.  The conference ID is 7885506.  Questions can be submitted via the Q&A box on the webcast console or via the conference call. 
For those unable to participate on January 29, 2020, an archived version will be available on the Exco website.

About Exco Technologies Limited:
Exco Technologies Limited is a global supplier of innovative technologies servicing the die-cast, extrusion and automotive industries.  Through our 15 strategic locations in 7 countries, we employ about 5,400 people and service a diverse and broad customer base.

Notice To Reader:  Forward Looking Statements
Information in this document relating to projected growth and financial performance of the Company’s business units, contribution of our start-up business units, contribution of awarded programs yet to be launched, margin performance, financial performance of acquisitions and operating efficiencies are forward-looking statements.

This press release may contain forward-looking information and forward-looking statements within the meaning of applicable securities laws. We use words such as “anticipate”, “plan”, “may”, “will”, “should”, “expect”, “believe”, “estimate” and similar expressions to identify forward-looking information and statements especially with respect to growth and financial performance of the Company’s business units, contribution of our start-up business units, contribution of awarded programs yet to be launched, margin performance, financial performance of acquisitions and operating efficiencies are forward-looking statements. Readers are cautioned not to place undue reliance on forward-looking statements throughout this document and are also cautioned that the foregoing list of important factors is not exhaustive. These forward-looking statements are based on our plans, intentions or expectations which are based on, among other things, assumptions about the number of automobiles produced in North America and Europe, production mix between passenger cars and trucks, the number of extrusion dies required in North America and South America, the rate of economic growth in North America, Europe and emerging market countries, investment by OEMs in drivetrain architecture and other initiatives intended to reduce fuel consumption and/or the weight of automobiles in response to rising climate risks, raw material prices, economic conditions, currency fluctuations, trade restrictions, our ability to close or otherwise dispose of unprofitable operations in a timely manner, our ability to integrate acquisitions and the rate at which our operations in Brazil, and Mexico achieve sustained profitability. These forward-looking statements include known and unknown risks, uncertainties, assumptions and other factors which may cause actual results or achievements to be materially different from those expressed or implied. The Company will update its disclosure upon publication of each fiscal quarter’s financial results and otherwise disclaims any obligations to update publicly or otherwise revise any such factors or any of the forward-looking information or statements contained herein to reflect subsequent information, events or developments, changes in risk factors or otherwise. For a more extensive discussion of Exco’s risks and uncertainties see the ‘Risks and Uncertainties’ section in our latest Annual Report, Annual Information Form (“AIF”) and other reports and securities filings made by the Company. This information is available at www.sedar.com or www.excocorp.com.

TORONTO, Jan. 29, 2020 (GLOBE NEWSWIRE) — Exco Technologies Limited (TSX-XTC) today announced a quarterly cash dividend of $0.095 per common share to be paid on March 30, 2020 to shareholders of record on March 17, 2020. This dividend represents a 5.5% increase from previous levels. The dividend is an “eligible dividend” in accordance with the Income Tax Act of Canada.

Darren Kirk, Exco’s President and CEO, “I am pleased to announce this dividend increase, which reflects our confidence in Exco’s ability to continue generating significant free cash flow in the years ahead.” The annualized dividend represents 35% of Exco’s trailing twelve-month free cash flow. This is the twelfth time Exco has increased its dividend in eleven consecutive years.

About Exco Technologies Limited:
Exco Technologies Limited is a global supplier of innovative technologies servicing the die-cast, extrusion and automotive industries. Through our 15 strategic locations in 7 countries, we employ about 5,400 people and service a diverse and broad customer base.

Notice To Reader:  Forward Looking Statements
Information in this document relating to projected growth and financial performance of the Company’s business units, contribution of our start-up business units, contribution of awarded programs yet to be launched, margin performance, financial performance of acquisitions and operating efficiencies are forward-looking statements.

This press release may contain forward-looking information and forward-looking statements within the meaning of applicable securities laws. We use words such as “anticipate”, “plan”, “may”, “will”, “should”, “expect”, “believe”, “estimate” and similar expressions to identify forward-looking information and statements especially with respect to growth and financial performance of the Company’s business units, contribution of our start-up business units, contribution of awarded programs yet to be launched, margin performance, financial performance of acquisitions and operating efficiencies are forward-looking statements. Readers are cautioned not to place undue reliance on forward-looking statements throughout this document and are also cautioned that the foregoing list of important factors is not exhaustive. These forward-looking statements are based on our plans, intentions or expectations which are based on, among other things, assumptions about the number of automobiles produced in North America and Europe, production mix between passenger cars and trucks, the number of extrusion dies required in North America and South America, the rate of economic growth in North America, Europe and emerging market countries, investment by OEMs in drivetrain architecture and other initiatives intended to reduce fuel consumption and/or the weight of automobiles in response to rising climate risks, raw material prices, economic conditions, currency fluctuations, trade restrictions, our ability to close or otherwise dispose of unprofitable operations in a timely manner, our ability to integrate acquisitions and the rate at which our operations in Brazil, and Mexico achieve sustained profitability. These forward-looking statements include known and unknown risks, uncertainties, assumptions and other factors which may cause actual results or achievements to be materially different from those expressed or implied. The Company will update its disclosure upon publication of each fiscal quarter’s financial results and otherwise disclaims any obligations to update publicly or otherwise revise any such factors or any of the forward-looking information or statements contained herein to reflect subsequent information, events or developments, changes in risk factors or otherwise. For a more extensive discussion of Exco’s risks and uncertainties see the ‘Risks and Uncertainties’ section in our latest Annual Report, Annual Information Form (“AIF”) and other reports and securities filings made by the Company. This information is available at www.sedar.com or www.excocorp.com.

TORONTO, Jan. 06, 2020 (GLOBE NEWSWIRE) — Exco Technologies Limited (TSX – XTC) today announced that it will report its financial results for the first quarter ended December 31, 2019 after the close of business on Wednesday January 29, 2020.

The Annual Meeting of Shareholders of Exco Technologies Limited will also take place on January 29, 2020 at 4:30 p.m. (Toronto time) at the Corporation’s offices at 130 Spy Court, 2nd Floor, Markham, Ontario. Management will discuss year-end and first quarter results and will also take questions from the public at that time.

To access the live audio webcast, please log on to www.excocorp.com, or https://edge.media-server.com/mmc/p/8pdaxvhn  a few minutes before the event.  The conference call can be accessed by dialling toll free at (866) 572-8261 or internationally at (703) 736-7448.  The conference ID is 7885506.  Questions can be submitted via the Q&A box on the webcast console or via the conference call.

For those unable to participate on January 29, 2020, an archived version will be available until February 5, 2020 on the Exco website or by dialling toll free at (855) 859-2056 or internationally at (404) 537-3406.  The conference ID is 7885506.

Exco Technologies Limited is a global supplier of innovative technologies servicing the die-cast, extrusion and automotive industries.  Through our 15 strategic locations in 7 countries, we employ approximately 5,400 people and service a diverse and broad customer base.

• Sales of $121.8 million for the quarter and $507.3 million for the year
• EPS of $0.17 for the quarter and Adjusted EPS of $0.80 for the year
• EBITDA of $13.3 million in the quarter and $62.6 million for year
• Free Cash Flow of $36.5 million or $0.89 per share in Fiscal 2019
• Returned $26.9 million to shareholders in fiscal 2019 through share repurchases and dividends
• Balance sheet in a $8.7 million net cash position

Toronto, November 27, 2019 – Exco Technologies Limited (TSX-XTC) today announced results
for its fourth quarter and year ended September 30, 2019. In addition, the Company announced the
quarterly dividend of $0.09 per common share which will be paid on December 30, 2019 to
shareholders of record on December 16, 2019. The dividend is an “eligible dividend” in accordance
with the Income Tax Act of Canada.

“Fiscal 2019 proved to be a more difficult year than we anticipated and our fourth quarter was no exception”, said Darren Kirk, CEO of Exco. “But we are optimistic for improved results in the year ahead as our various businesses remain extremely well positioned, our underlying sales momentum is solid and we expect relief from the inflationary cost pressures we faced over much of the past year”, added Kirk.

Fourth quarter consolidated sales were $121.8 million – a decrease of $17.7 million or 13% from the prior year. Excluding $26.2 million in revenue from ALC in the fourth quarter of fiscal 2018, consolidated revenues increased by $8.5 million, or 8% year over year. Over the quarter, exchange rate movements increased sales by $0.8 million.

The Automotive Solutions segment experienced a 22% decrease in sales, or a reduction of $19.7 million, to $69.4 million from $89.0 million in the fourth quarter of 2018. The decrease was driven by the deconsolidation of ALC from Exco’s consolidated results in January 2019. Excluding $26.2 million of contributions from ALC in the fourth quarter of fiscal 2018, segment sales increased by $6.6 million, or 11%. In North America, overall vehicle production volumes were roughly 2% lower during the quarter compared to a year ago. The group’s three North American businesses however recorded higher revenues as newer programs ramped up, particularly at AFX. In Europe, market conditions softened during the quarter with a notable reduction in the amount of near-term takeover business available. Polydesign nonetheless recorded solid growth year over year driven by new programs launched both during the year and in the quarter.

The Casting and Extrusion segment recorded sales of $52.4 million compared to $50.5 million last year – an increase of $1.9 million or 4%. Segment sales gains were driven mainly by the Castool group, which continued to experience strong demand for its capital equipment goods and generally firm demand for its consumable tooling. Markets in Asia however remained soft, negatively impacting the group’s operations in Thailand. Revenue generated by the Extrusion group were essentially flat during the quarter despite the benefit of sales from the group’s new facility in Mexico, which began commercial production on April 1, 2019. Sales gains from this facility were offset by softer market conditions for extrusion dies elsewhere in North America. Within the segment, US steel tariffs continued to reduce during the quarter as certain steel distributors began receiving exemptions of these tariffs earlier in the year. Large mould group sales were higher due to customer timing requirements, commencement of work on new programs, and an improvement in the demand of spare parts. Looking forward, overall quoting activity for new work within our tooling operations remains decent. While there are certainly pockets of market weakness, we believe we are well positioned to growth through market share gains. Our Large Mould group is no exception where we see opportunity to take advantage of our enhanced capabilities, including the ability to deliver high quality complex moulds relatively quickly together with our leadership position in additive manufacturing for certain mould components.

Fourth quarter consolidated net income decreased to $6.7 million or earnings of $0.17 per share compared to $11.6 million or earnings of $0.27 per share in the same quarter last year – an EPS decrease of 37%. The effective income tax rate was 16% in the current quarter compared to 19% in the same quarter last year. The effective tax rate in the current period was improved by approximately $1.4 million of foreign exchange gains that are not subject to tax as well as a reduction to the corporate income tax rate in the US and a greater proportion of earnings generated in lower tax rate jurisdictions.

Fourth quarter pretax earnings in the Automotive Solutions segment totalled $5.0 million, a decrease of $7.8 million or 35% over the same quarter last year. Prior year results benefited from $2.4 million of operating earnings generated by ALC (nil in the fourth quarter of fiscal 2019) as well as a $1.8 million gain from the sale of a building. Current period results benefited from foreign exchange gains but were also adversely impacted by ongoing higher labour costs at Polytech and AFX, significant inefficiencies at Polytech and Polydesign associated with launch programs, unfavorable product mix shifts, higher severance costs and inefficiencies related to the now concluded General Motors strike. While General Motors strike related costs will continue into the first quarter of fiscal 2020, management is optimistic that its overall cost structure will improve. This is expected to occur as newer programs mature and bonus payments to Mexican production staff are anticipated to be lower than in fiscal 2019.

Pretax earnings in the Casting and Extrusion segment improved by $0.6 million or 18% over the same quarter last year to $4.0 million. The earnings improvement was mainly driven by increased contributions from the Large Mould group which benefited from its ongoing efficiency efforts as well as the completion of a few loss-making programs which negatively impacted results the prior year quarter. Profitability within the Extrusion group was lower during the quarter, as it was adversely impacted by reduced market demand for extrusion dies within North America as well as operational support and start-up costs for the new Extrusion facility in Mexico. Nonetheless, despite initial losses, management remains encouraged by the early results of this facility. As is the case with Exco’s prior greenfield operations, these operations typically require several quarters after production commences to mature and reach sustained profitability. Castool’s profitability was down modestly in the quarter due to higher delivery and selling costs associated with slower market conditions in Asia as well as a mix shift towards lower margin products. Generally, management remains focused on reducing its overall cost structure and improving manufacturing efficiencies.

Such activities, together with ongoing sales efforts are expected to lead to improved segment profitability over time.

The Corporate segment in the fourth quarter recorded expenses of $0.9 million compared to $1.8 million last year mainly due to lower incentive compensation expense in the current year. As a result of the forgoing, consolidated EBITDA in the quarter decreased to $13.3 million (11% of sales) compared to $20.1 million (14% of sales) last year.

Exco generated cash from operating activities of $29.4 million during the quarter and $21.2 million of Free Cash Flow after $8.3 million in net capital expenditures. This cash flow was more than sufficient to fund $3.7 million of dividends and $4.5 million in share repurchases. For the year, Exco generated Free Cash Flow of $36.5 million and returned $26.9 million to shareholders through combined dividend payments and share repurchases. Exco ended the year with $8.7 million in net cash and $59.5 million in available liquidity, including $26.5 million of balance sheet cash, continuing its practice of maintaining a very strong balance sheet and liquidity position.

For further information and prior year comparison please refer to the Company’s Fourth Quarter Condensed Financial Statements in the Investor Relations section posted at www.excocorp.com. Alternatively, please refer to www.sedar.com.

1 Non-IFRS Measures:  In this News Release, reference is made to Adjusted EBITDA, Adjusted EBITDA Margin, adjusted EPS, adjusted net income, adjusted pretax profit and Free Cash Flow which are not measures of financial performance under International Financial Reporting Standards (“IFRS”). Exco calculates Adjusted EBITDA as earnings before other income/expense, interest, taxes, depreciation and amortization and Adjusted EBITDA Margin as Adjusted EBITDA divided by sales. Exco calculates adjusted EPS as earnings before other income/expense divided by the weighted average number of shares.  Adjusted net income is calculated as net income before other income/expense, and adjusted pretax profit as segmented earnings before other income/expense, interest and taxes.  Free Cash Flow is calculated as cash provided by operating activities less interest paid less investment in fixed assets net of proceeds of disposal. Adjusted EBITDA, Adjusted EBITDA Margin, adjusted EPS, pretax profit and Free Cash Flow are used by management, from time to time, to facilitate period-to-period operating comparisons and we believe some investors and analysts use these measures as well when evaluating Exco’s financial performance. These measures, as calculated by Exco, do not have any standardized meaning prescribed by IFRS and are not necessarily comparable to similar measures presented by other issuers.  Refer to the table in the Management Discussion and Analysis for a reconciliation of these non-IFRS Measures.

Quarterly Conference Call: November 28, 2019 10:00 a.m.(Toronto time)
To access the live audio webcast, please log on to www.excocorp.com or https://edge.media-server.com/mmc/p/xc6m5jri a few minutes before the event.  Real Player is required for access. The conference call can be accessed by dialing toll free at (866) 572-8261 or internationally at (703) 736-7448.  The conference ID is 8053376.
For those unable to participate on November 28, 2019, an archived version will be available on the Exco website.

About Exco Technologies Limited:

Exco Technologies Limited is a global supplier of innovative technologies servicing the die-cast, extrusion and automotive industries.  Through our 15 strategic locations in 7 countries, we employ about 5,400 people and service a diverse and broad customer base.

Notice To Reader:  Forward Looking Statements

Information in this document relating to projected growth and financial performance of the Company’s business units, contribution of our start-up business units, contribution of awarded programs yet to be launched, margin performance, financial performance of acquisitions and operating efficiencies are forward-looking statements.

This press release may contain forward-looking information and forward-looking statements within the meaning of applicable securities laws. We use words such as “anticipate”, “plan”, “may”, “will”, “should”, “expect”, “believe”, “estimate” and similar expressions to identify forward-looking information and statements especially with respect to growth and financial performance of the Company’s business units, contribution of our start-up business units, contribution of awarded programs yet to be launched, margin performance, financial performance of acquisitions and operating efficiencies are forward-looking statements. Readers are cautioned not to place undue reliance on forward-looking statements throughout this document and are also cautioned that the foregoing list of important factors is not exhaustive. These forward-looking statements are based on our plans, intentions or expectations which are based on, among other things, assumptions about the number of automobiles produced in North America and Europe, production mix between passenger cars and trucks, the number of extrusion dies required in North America and South America, the rate of economic growth in North America, Europe and emerging market countries, investment by OEMs in drivetrain architecture and other initiatives intended to reduce fuel consumption and/or the weight of automobiles, raw material prices, economic conditions, currency fluctuations, trade restrictions, our ability to close or otherwise dispose of unprofitable operations in a timely manner, our ability to integrate acquisitions and the rate at which our operations in Brazil, and Mexico achieve sustained profitability. These forward-looking statements include known and unknown risks, uncertainties, assumptions and other factors which may cause actual results or achievements to be materially different from those expressed or implied. The Company will update its disclosure upon publication of each fiscal quarter’s financial results and otherwise disclaims any obligations to update publicly or otherwise revise any such factors or any of the forward-looking information or statements contained herein to reflect subsequent information, events or developments, changes in risk factors or otherwise. For a more extensive discussion of Exco’s risks and uncertainties see the ‘Risks and Uncertainties’ section in our latest Annual Report, Annual Information Form (“AIF”) and other reports and securities filings made by the Company. This information is available at www.sedar.com or www.excocorp.com.

TORONTO, Oct. 25, 2019 (GLOBE NEWSWIRE) — Exco Technologies Limited (TSX – XTC) today announced that it will report its financial results for the fourth quarter ended September 30, 2019 after the close of business on Wednesday November 27, 2019.

A conference call to discuss those results will be held on Thursday November 28, 2019 at 10:00 a.m. (Eastern time) which can be accessed by dialling toll free at (866) 572-8261 or internationally at (703) 736-7448.  The conference ID is 8053376.

To access the live audio webcast, please log on to www.excocorp.com, or https://edge.media-server.com/mmc/p/xc6m5jri a few minutes before the event.

For those unable to participate on November 28, 2019, an archived version will be available on the Exco website.  Also, a replay will be available until December 9, 2019 by dialling toll free at (855) 859-2056 or internationally at (404) 537-3406.

Exco Technologies Limited is a global supplier of innovative technologies servicing the die-cast, extrusion and automotive industries.  Through our 15 strategic locations in 7 countries, we employ approximately 5,400 people and service a diverse and broad customer base.

Source:                             Exco Technologies Limited (TSX-XTC)
Contact:                            Darren Kirk, President & Chief Executive Officer
Telephone:                       (905) 477-3065, Ext 7233
Website:                           https://www.excocorp.com

• Sales of $119.9 million and Adjusted EBITDA of $14.5 million
• EPS of $0.18 and free cash flow of $0.27 per share
• Quarterly dividend of $0.09 per share declared; issuer bid and dividend returned a total of $5.6 million to shareholders
• Mexican Extrusion tooling facility completes solid first quarter of operations
• Balance sheet and liquidity remain very strong

TORONTO, Aug. 01, 2019 (GLOBE NEWSWIRE) — Exco Technologies Limited (TSX-XTC) today announced results for its third quarter of fiscal 2019 ended June 30, 2019. In addition, the company announced a quarterly dividend of $0.09 per common share which will be paid on September 27, 2019 to shareholders of record on September 11, 2019. The dividend is an “eligible dividend” in accordance with the Income Tax Act of Canada. 

Consolidated sales for the third quarter ended June 30, 2019 were $119.9 million compared to $152.8 million in the same quarter last year – a decrease of $32.8 million, or 21%. Essentially the net sales decline during the quarter was driven by the elimination of ALC from Exco’s results, as previously disclosed.

The Automotive Solutions segment reported sales of $71.0 million in the third quarter – a decrease of $28.9 million, or 29% from the same quarter last year. Excluding the impact of ALC and foreign exchange rate movements, segment sales were up $1.7 million (or 2%) in the quarter and $2.2 million (or 1%) year-to-date. During the quarter, overall industry vehicle production volumes were modestly lower in North America and Europe. Segment sales were nonetheless supported by a number of program launches for both new and existing products, particularly at Polydesign and Neocon. More broadly, the group’s four businesses continue to focus their efforts on higher margin activity. Relatedly, the curtailment of uneconomic programs has modestly dampened sales, particularly at AFX. Despite generally softer vehicle industry production levels, management continues to see ample opportunity for future growth supported by robust quoting activity for new programs in both North America and Europe.

The Casting and Extrusion segment reported sales of $48.9 million in the third quarter – a decrease of $3.9 million, or 7%, from the same period last year. During the quarter, sales were lower at the Large Mould group due to the completion/wind-down of uneconomic programs and – to a much lesser extent – customer timing requirements. Quoting activity for new awards to absorb this unused capacity remains robust and management expects such awards to materialize in the next several quarters. At Castool, the group’s revenues were relatively flat in the quarter. Castool continues to experience solid demand for its capital equipment globally. However, demand for its consumable products has been more varied, with modestly softer market demand evident throughout the quarter, particularly in Asia. Extrusion group sales were essentially flat during the quarter as sales gains from the new Extrusion facility in Mexico were offset by softer market conditions for extrusion dies in the United States. Within the segment, US steel tariffs continued to reduce during the quarter as certain steel distributors began receiving an exemption of these tariffs during the second quarter of fiscal 2019. As Exco generally aims to pass such tariffs on to its customers, they positively impacted revenues when implemented, but are now having a dampening impact on revenues as they recede.

Consolidated net income for the third quarter was $7.5 million or basic and diluted earnings of $0.18 per share compared to $11.2 million or $0.27 per share in the same quarter last year – a decrease in net income of 33%. The consolidated effective income tax rate for the current quarter was 20% versus 23% the prior year due to the receipt of certain tax credits.

The Automotive Solutions segment reported pretax profit of $7.9 million in the third quarter – a decrease of $3.5 million or 30% over the same quarter last year. Current period results benefited from the elimination of ALC’s operations, which contributed losses of $0.1 million in the third quarter of fiscal 2018. Segment pretax profits however were nonetheless adversely impacted by a number of factors in the current year periods. In particular, Polytech and AFX continue to absorb higher wages and bonus payments to production staff associated with the previously disclosed January 2019 wage settlement. The impact of the bonus payments totaled roughly $1.5 million in the current quarter. Additional expenses of roughly $1.5 million will continue in the fourth quarter of this year however management expects they will reduce significantly in 2020. As well, AFX and Polytech experienced continuing costs associated with the labor disruption in January 2019 while severance costs associated with improving future efficiencies within the segment have also increased current period costs. Lastly, profitability and costs in the current quarter were adversely impacted by unfavorable product mix and front-end inefficiencies associated with several new product launches, particularly at Polydesign, AFX and Neocon. While such costs may continue into future quarters, management expects they will continue at lower levels than experienced in the current quarter and ultimately support higher segment profitability as the underlying programs mature.

The Casting and Extrusion segment reported $3.9 million of pretax profit in the third quarter – a decrease of $1.4 million or 26% from the same quarter last year. During the quarter, profitability within the Extrusion group was adversely impacted by reduced demand for extrusion dies within North America as well as operational support and start-up costs for the new Extrusion facility in Mexico which began commercial production on April 1, 2019. Nonetheless, despite the losses, management remains encouraged by the early results of its latest facility. As is the case with Exco’s prior greenfield operations, these operations typically require several quarters after production commences to mature and reach sustained profitability. Separately, profitability at the Large Mould group was higher during the quarter despite the revenue reduction due mainly to the recent completion of uneconomic programs. As indicated, the group is pursuing several programs which are expected to be awarded in the next couple of quarters and management remains optimistic about the prospects for continued profitability improvement within the group. Castool’s profitability was down modestly in the quarter due to higher delivery and selling costs associated with slower market conditions in Asia as well as a mix shift towards lower margin products. Generally, management remains focused on reducing its overall cost structure and improving manufacturing efficiencies and expects such activities together with its sales efforts should lead to improved segment profitability over time.

Consolidated adjusted EBITDA for the third quarter totaled $14.5 million compared to $20.1 million in the same quarter last year – a decrease of $5.6 million, or 28%. Adjusted EBITDA as a percentage of sales increased to 13.3% in the current period compared to 13.2% the prior year.

The Corporate segment expenses were $2.3 million in the third quarter compared to $1.8 million in the prior year quarter. Year over year variances were mainly due to foreign exchange rate movements.

Operating cash flow before net change in non-cash working capital totaled $13.0 million in the third quarter. After positive contributions from changes in non-cash working capital, net cash provided by operating activities amounted to $15.6 million. This cash flow was more than sufficient to fund $0.2 million of net interest expense, $4.3 million of net capital expenditures, $3.7 million of common dividend payments and $1.9 million of share repurchases net of issuance. Exco used its surplus cash flow to reduce its net debt, which totaled $4.2 million as at June 30, 2019.

For further information and prior year comparison please refer to the Company’s Third Quarter Financial Statements in the Investor Relations section posted at www.excocorp.com.  Alternatively, please refer to www.sedar.com.

Quarterly Conference Call – August 2, 2019 at 10:00 a.m. (Toronto time):

To access the live audio webcast, please log on to www.excocorp.com, or https://edge.media-server.com/mmc/p/kao3qkg6 a few minutes before the event.  The conference call can be accessed by dialing toll free at (866) 572-8261 or internationally at (703) 736-7448.  The conference ID is 1729409.

For those unable to participate on August 2, 2019, an archived version will be available on the Exco website.

Source:           Exco Technologies Limited (TSX-XTC)
Contact:          Darren Kirk, President and CEO
Telephone:     (905) 477-3065 Ext. 7233
Website:         https://www.excocorp.com

About Exco Technologies Limited:

Exco Technologies Limited is a global supplier of innovative technologies servicing the die-cast, extrusion and automotive industries.  Through our 15 strategic locations in 7 countries, we employ approximately 5,400 people and service a diverse and broad customer base.

Notice To Reader:  Forward Looking Statements

Information in this document relating to projected growth and financial performance of the Company’s business units, contribution of our start-up business units, contribution of awarded programs yet to be launched, margin performance, financial performance of acquisitions and operating efficiencies are forward-looking statements.

This press release contains forward-looking information and forward-looking statements within the meaning of applicable securities laws. We use words such as “may”, “will”, “should”, “expect”, “believe”, “estimates” and similar expressions to identify forward-looking information and statements especially with respect to growth and financial performance of the Company’s business units, contribution of our start-up business units, contribution of awarded programs yet to be launched, margin performance, financial performance of acquisitions and operating efficiencies are forward-looking statements. Readers are cautioned not to place undue reliance on forward-looking statements throughout this document and are also cautioned that the foregoing list of important factors is not exhaustive. These forward-looking statements are based on our plans, intentions or expectations which are based on, among other things, assumptions about the number of automobiles produced in North America and Europe, the number of extrusion dies required in North America and South America, the rate of economic growth in North America, Europe and emerging market countries, investment by OEMs in drivetrain architecture and other initiatives intended to reduce fuel consumption and/or the weight of automobiles, raw material prices, economic conditions including the availability and cost of labor, currency fluctuations, trade restrictions, our ability to turnaround, close or otherwise dispose of unprofitable operations in a timely manner, our ability to integrate acquisitions and the rate at which our operations in Brazil and Mexico achieve sustained profitability. These forward-looking statements include known and unknown risks, uncertainties, assumptions and other factors which may cause actual results or achievements to be materially different from those expressed or implied. The Company will update its disclosure upon publication of each fiscal quarter’s financial results and otherwise disclaims any obligations to update publicly or otherwise revise any such factors or any of the forward-looking information or statements contained herein to reflect subsequent information, events or developments, changes in risk factors or otherwise.  For a more extensive discussion of Exco’s risks and uncertainties see the ‘Risks and Uncertainties’ section in our 2018 Annual Report, our 2018 Annual Information Form (“AIF”) and other reports and securities filings made by the Company.  This information is available at www.sedar.com.

i Non-IFRS Measures:  In this News Release, reference is made to Adjusted EBITDA, Adjusted EBITDA Margin, adjusted EPS, adjusted net income, adjusted pretax profit and free cash flow which are not measures of financial performance under International Financial Reporting Standards (“IFRS”). Exco calculates Adjusted EBITDA as earnings before other income/expense, interest, taxes, depreciation and amortization and Adjusted EBITDA Margin as Adjusted EBITDA divided by sales. Exco calculates adjusted EPS as earnings before other income/expense divided by the weighted average number of shares.  Adjusted net income is calculated as net income before other income/expense,and adjusted pretax profit as segmented earnings before other income/expense, interest and taxes.  Free cash flow is calculated as cash provided by operating activities less interest paid less investment in fixed assets net of proceeds of disposal. Adjusted EBITDA, Adjusted EBITDA Margin, adjusted EPS, pretax profit and free cash flow are used by management, from time to time, to facilitate period-to-period operating comparisons and we believe some investors and analysts use these measures as well when evaluating Exco’s financial performance. These measures, as calculated by Exco, do not have any standardized meaning prescribed by IFRS and are not necessarily comparable to similar measures presented by other issuers.  Refer to the table in the Management Discussion and Analysis for a reconciliation of these non-IFRS Measures.