Issue 11 – K-Bro Is Executing on the Plan

K-Bro Linen Inc. (TSX: KBL) owns and operates laundry and linen processing facilities in Canada. On March 14th , 2019, KBL announced its 2018 fourth quarter results. The company’s 4Q revenue came in at $59.4 million. They benefited from their strategic acquisition in late 2018 and from organic growth. However, as expected, margins continued to be challenged in Q4 as KBL continued to upgrade their Vancouver and Toronto facilities. It’s important to note that this was the first quarter of margin improvement from 9.4% to 11.1%, but far from their 2015 level.

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By Charles Marleau, CIM & Joany Pagé, CFA

 

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By Hubert Marleau

 

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By William Mitchell