Canlan Ice Sports Raises Quarterly Dividend to $0.04, Q2 Revenue Up 6%

Q2 2026 Financial Highlights

Canlan Ice Sports Corp. (TSX: ICE) reported its financial results for the second quarter ended June 30, 2026. Total operating revenue reached $24.9 million, an increase of $1.4 million or 6.0% compared to the same period in 2025. This growth was primarily driven by pricing and volume increases in adult and youth hockey leagues, tournaments, and food and beverage operations. Additionally, sponsorship and advertising revenue rose due to new facility naming rights agreements entered into at the beginning of 2026.

Total operating expenses increased by $1.2 million or 6.6% to $20.2 million, mainly due to higher labour costs from wage increases and staffing for increased traffic, as well as higher repair and maintenance expenses related to major maintenance projects. General and administrative expenses rose by $0.2 million or 6.3% to $2.7 million, largely due to increased salary expenses from scheduled increments and filling vacant corporate roles during the second half of 2025.

After these expenses, operating earnings were $2.0 million, consistent with the prior year. After recording depreciation of $2.0 million, net finance costs of $0.7 million, and an income tax recovery of $0.3 million, the company reported a net loss of $0.4 million, or $0.03 per share, compared to a net loss of $0.2 million, or $0.01 per share, in the second quarter of 2025.

First-Half 2026 Results

For the six months ended June 30, 2026, total operating revenue increased by $2.8 million or 5.4% to $54.3 million, driven by pricing and volume increases in third-party surface rentals, adult and youth hockey leagues, and higher tournament registrations. Food and beverage revenue grew by 6.4% or $0.5 million due to increased restaurant and concession traffic.

Operating expenses for the first half increased by $2.3 million or 6.5% to $38.3 million, mainly due to incremental labour and other variable costs to service increased business activity and higher repair and maintenance expenses. General and administrative expenses rose by $0.2 million or 4.6% to $5.3 million, primarily due to filling vacant positions in mid-2025.

Operating earnings before interest, depreciation, and taxes were $10.7 million, compared to $10.5 million in the prior year. After recording depreciation of $4.0 million, net finance costs of $1.2 million, and income tax expense of $1.2 million, net earnings were $4.2 million, or $0.31 per share, compared to $4.0 million, or $0.30 per share, in the prior year.

Dividend Increase and Capital Investments

The company's Board of Directors approved an increase in the quarterly dividend from $0.03 to $0.04 per share. The next dividend of $0.04 per share will be paid on October 15, 2026, to shareholders of record at the close of business on September 29, 2026. The dividend is designated as an "eligible" dividend under the Income Tax Act (Canada).

Canlan's capital investment program remains focused on facility upgrades and modernization. During the quarter, the company continued major renewal projects, including modernization of amenities and upgrades to air management systems. Despite these investments, operations generated $4.0 million in cash flow before borrowing costs during the first half of 2026, a significant increase from $2.1 million in the same period last year.

President and CEO Joey St-Aubin highlighted the expansion of the Game Deck at Scotia Barn in Burnaby, which builds on the success of the York location, as part of the company's commitment to enhancing customer experience. CFO Ivan Wu noted the healthy balance sheet and consistent operating results as reasons for the dividend increase.

What it means for income investors

Canlan's dividend increase reflects its stable cash flow generation and commitment to returning value to shareholders. The company's consistent operating results and healthy balance sheet support the sustainability of the new dividend level.

Reporting based on: TMX Newsfile. Figures verified against market data where available.