TORONTO, Aug. 27, 2021 (GLOBE NEWSWIRE) -- Dynamic Technologies Group Inc. (TSXV: DTG, OTC:ERILF) ( the “Company”) today reported its unaudited consolidated financial results for the quarter ended June 30, 2021. The consolidated financial statements and MD&A have been filed on SEDAR and can be viewed at or at

“The second quarter involved an intense effort by our Dynamic commissioning team, working on site in Pigeon Forge with our partners, the owners of The Island theme park, to bring all the elements together successfully. We have been very satisfied to see the strong early attendance results and the very positive social media reviews from the opening of SkyFly: Soar America on July 9.” Said Guy Nelson, Executive Chairman and Chief Executive Officer. “This co-venture, which we have an option to buy 50%, serves as proof of concept for our co-venture initiative. This will provide a significant boost to our re-financing efforts. Our prudent processing of our reduced backlog, the continued development and financing of our co-venture pipeline, and the diversification of revenue sources from Dynamic Structures will position the Company to emerge in the post-pandemic world. The pivot in strategy will result in a more resilient and much more valuable company, with an increased focus on recurring profit from co-ventures and a much improved profit outlook on a much lower level of sales.”

Summary of first quarter consolidated results

  • Revenues decreased to $8.8 million in second quarter 2021, down 46% from second quarter 2020.
  • Adjusted EBITDA1 decreased to $2.0 million Adjusted EBITDA loss in second quarter 2021 compared to 1.0 Adjusted EBITDA earnings in second quarter 2020.
  • Net loss from continuing operations was 5.1 million in second quarter 2021 compared to $1.8 million in second quarter 2020.
  • Cash used in operating activities was $0.9 million in second quarter 2021 compared to cash generated by operating activities of $1.0 million in second quarter 2020.
  • Total cash on hand at June 30, 2021 was $1.8 million as compared to $7.7 million as of June 30, 2020.
  • Contract Backlog was $106 million as of June 30, 2021, down 6% from the end of 2020. 70% of the backlog is non-first generation contracts. Currently 70% of the backlog (5 contracts) are on hold because of client and/or pandemic caused delays.

For the 3 and 6 month periods ended June 30, 2021
($ millions, except per-share amounts) Q2
Revenue 8.8 16.3 19.5 33.8
Adjusted EBITDA ($)* (2.0) 1.0 (1.8) 1.0
Loss from continuing operations before tax (5.1) (1.8) (8.1) (5.5)
Net loss (5.6) (2.4) (8.6) (6.6)

Per Share Information (Basic & Diluted)        
Loss per share – continuing operations (0.03) (0.01) (0.05) (0.03)
Loss per share – discontinued operations (0.00) (0.00) (0.00) (0.01)
Loss per share – all operations (0.03) (0.01) (0.05) (0.04)

* Adjusted Earnings (loss) before interest, tax, depreciation and amortization (EBITDA) is not defined by IFRS. The definition of EBITDA does not consider the Company’s share of profit of an associate investments, gains and losses on the disposal of assets, non-controlling interest share of net income (loss) and non-cash components of stock-based compensation. While not IFRS measures, Adjusted EBITDA is used by management, creditors, analysts, investors and other financial stakeholders to assess the Company’s performance and management from a financial and operational perspective.

The Company has been executing a three-pronged operational plan to accommodate the reduced backlog from its ride division and the company’s working capital deficit:

  • accelerate our development plans for the co-venture business (Dynamic Entertainment);
  • restructure and continue to reduce the cost structure of the ride manufacturing business (Dynamic Attractions) to withstand this industry slowdown; and
  • aggressively market Dynamic Structures’ innovative engineering capability to diversify the Company’s revenue sources beyond the attractions industry.

Cash generated in the first six months of 2021 from operating activities was $3.2 million. This was a big improvement from the $0.3 million of cash generated in continuing operations in the first six months of 2020. We also managed to reduce our senior debt in the first six months by $7.2 million. The Company needs to strengthen its balance sheet through debt reduction, conversion of short term to long term debt and equity investment which is all part of the refinancing effort currently underway. The Company has engaged an investment bank to actively implement a financing plan to improve our working capital, reduce our current debt and fund four specific co-ventures the company is developing. We expect the ride division to start to recover as the pandemic abates and park owners look to increase their capital expenditures and our backlog eventually grows again.

Update on Co-ventures

The Company continues to be bullish on its ability to penetrate the tourist location, entertainment market by leveraging its world class attraction IP. It is the Company’s view that its co-venture strategy is well suited to capitalize on the entertainment opportunities in a post-pandemic world as pent-up demand and increased customer savings seek out memorable guest experiences.

The Company’s first co-venture, Sky FlyTM - Soar America, opened July 9 in the Island in Pigeon Forge, Tennessee, at the gateway to the Smoky Mountains, one of the most popular tourist destinations in America. The strong early attendance and positive public reviews on social media, serves as a proof-of-concept for the co-venture initiative. The Company holds an option to acquire a 50% share of the flying theatre attraction.

The Company’s pipeline of co-venture prospects is geographically broad and progressing, in spite of travel restrictions. Our co-venture offices in Toronto and Orlando have been able to cover North America and the UK effectively and our offices in Singapore and Shanghai have allowed us to continue to develop our prospects in Asia and South Asia. We have three senior executives in Asia, and this is helping to continue to advance our prospects in this key market. The robustness of our co-venture outlook is what is driving interest in the Company’s financing initiative.

About Dynamic Technologies Group Inc.

Dynamic is a world leader in the design engineering, production, and commissioning of iconic, media-based attractions and ride systems for the global theme park industry and entertainment destinations. It also applies these same engineering integration and problem solving skills for special projects in diversified industries such as alternative energy and large optical telescopes and enclosures. Dynamic also has commenced an initiative to leverage its world class flying theater products and attraction development capability on a co-venture ownership basis. It was selected as a 2020 TSX Venture 50 company. The 2020 TSX Venture 50 is a ranking of top performers on the TSX Venture Exchange over the past year. The ranking is comprised of 10 companies from each of 5 industry sectors, with Dynamic being selected in the Diversified Industry category. Selection was based on three equally weighted criteria; share price, trading and market capitalization. Dynamic’s common shares are listed on the TSX Venture Exchange under the symbol DTG.

For more information about the Company, visit or contact:

Guy NelsonAllan Francis
Executive Chair & CEOVice President – Corporate Affairs and Administration
Phone: (416) 366-7977Phone: (204) 589-9301
Email: gnelson@dynamictechgroup.comEmail:

Reader Advisory
This news release contains forward-looking statements, within the meaning of applicable securities legislation, concerning Dynamic’s business and affairs. In certain cases, forward-looking statements can be identified by the use of words such as “plans”, “expects” or “does not expect”, “budget”, “booked”, “scheduled”, “positions”, “estimates”, “forecasts”, “intends”, “anticipates”, “believes” or variations of such words and phrases or state that certain actions, events or results “may”, “may be”, “could”, “should”, “would”, “might” or “will”, “occur” or “be achieved”. Such statements include statements with respect to (i) the Company’s ability to execute its co-venture plan, ride business restructuring, and R&D diversification plan, (ii) the Company’s ability to source the funding required to implement its co-venture plan and to correct its working capital deficiency. These statements involve known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking statements. Although Dynamic believes these statements to be reasonable, no assurance can be given that these expectations will prove to be correct and such forward-looking statements included in this news release should not be unduly relied upon. Actual results could differ materially from those anticipated in these forward-looking statements as a result of prevailing economic conditions, and other factors, many of which are beyond the control of the Company. The forward-looking statements contained in this news release represent Dynamic’s expectations as of the date hereof, and are subject to change after such date. The Company disclaims any intention or obligation to update or revise any forward-looking statements whether as a result of new information, future events or otherwise, except as may be required by applicable securities regulations. Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy or accuracy of this release.


1 This is a non-GAAP financial measure. Refer to the Non-GAAP Financial Measures section of the MD&A and the note to the chart below for more information on each non-GAAP financial measure

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