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May 27, 2021

Third Quarter Fiscal Year 2021 Results


Q3 2021 Revenue $37.7 million, 27% year-over-year increase

Adjusted EBITDA $7.4 million, 8% year-over-year increase

Consolidated cash position at March 31, 2021 $18.8 million, with no corporate debt

21 programs in production, with 10 being owned- or partnered-IP

Conference call and webcast scheduled for May 27 at 11 a.m. PT/ 2 p.m. ET


Vancouver, Canada, May 27 2021 — Thunderbird Entertainment Group Inc. (TSXV: TBRD, OTCQX: THBRF) (Thunderbird or the Company) today announced its financial results for the third quarter ended March 31, 2021 and provided a corporate update.

Financial Highlights

  • The Company recognized revenue of $37.7 million and $85.4 million in the three and nine months ended March 31, 2021, increases of 27% ($8.1 million) and 42% ($25.2 million) over the comparative periods.  The majority of the increases over the comparative periods in 2020 is related to growth in production services attributed to the Kids and Family Division.
  • Adjusted EBITDA was $7.4 million and $17.3 million for the three and nine months ended March 31, 2021, increases of 8% ($0.5 million) and 39% ($4.8 million), respectively.  These increases were primarily due to growth in production services revenue, as well as increases in licensing and distribution revenue due to an increased number of proprietary shows delivered over the comparable periods.
  • Production services revenue was $19.4 million and $53.2 million for the three and nine months ended March 31, 2021, increases of 52% ($6.6 million) and 53% ($18.4 million) over the comparative periods, due to an increase in the number and size of contracts. This revenue consists primarily of animation production services, which experienced continued growth.
  • Licensing and distribution revenue was $18.3 million and $32.1 million for the three and nine months ended March 31, 2021, increases of 9% ($1.5 million) and 27% ($6.8 million) over the comparative periods, due mainly to the delivery of the animated series The Last Kids on Earth in the current period. In the current quarter, the Company recognized revenue from three episodes of The Last Kids on Earth, 13 episodes of a scripted series (Kim’s Convenience Season 5) and 40 episodes of three factual series (Heavy Rescue: 401 Season 5, Mud Mountain Haulers Season 1, and $ave My Reno Season 4). In the comparative quarter, revenue was recognized from 13 episodes of Kim’s Convenience Season 4 and 35 episodes of three factual series (Heavy Rescue: 401 Season 4, High Arctic Haulers Season 1 and $ave My Reno Season 3).
  • Free cash flow was $1.8 million and $7.5 million for the three and nine months ended March 31, 2021, a decrease of $2.7 million and increase of $2.8 million, respectively. These fluctuations are mainly due to changes in working capital and production loan repayments.
  • As at March 31, 2021, the Company’s production backlog was $102.2 million compared to $86.1 million as at March 31, 2020. Backlog is defined as the undiscounted value of signed agreements for production services and licensing and distribution agreements for which the Company expects to recognize revenue in future periods.

“Thunderbird continues to grow rapidly across all of our divisions, which is reflected in the strong Q3 results. This performance can be attributed directly to the incredible work of our talented teams – in addition to the continued demand we are seeing for Thunderbird’s award-winning, quality content,” said Jennifer Twiner McCarron, President and Chief Executive Officer, Thunderbird Entertainment. “We are doubling down on our commitment to making a positive difference in the world, and we are proud to have recently won the BC Business “Business of Good Award” for Diversity and Inclusion. Not only is this work a major component of our core mission and values, but it also reflects our commitment to helping advance issues of gender representation and inclusion of BIPOC and LGBTQ2S+ communities.”

Thunderbird’s Q3 2021 Corporate Highlights

  • During Q3, Thunderbird had 21 programs in various stages of production. The Company’s work currently airs on Netflix, Peacock, Nickelodeon, AppleTV+, Hulu, PBS, Bell Media’s Discovery, Disney+, Corus Entertainment and the CBC, among others. Ten of the programs are Company-owned intellectual property (“IP”) or partner-managed.
  • The Factual and Scripted Division, Great Pacific Media (GPM), was in production on six series and one documentary special: Highway Thru Hell (Season 10), Heavy Rescue: 401 (Season 6), $ave My Reno (Season 4), Mud Mountain Haulers (Season 1), The Teenager and the Lost Mayan City (Documentary for CBC), Strays (Season 1) and Dr. Savannah: Wild Rose Vet (Season 1) in conjunction with Wapanatahk Media.
  • GPM commenced work on a new scripted spin-off of Kim’s Convenience called Strays. Strays is slated to premiere on CBC Television in the 2021–22 television season.
  • GPM also partnered with a new production company in the quarter, Wapanatahk Media, to create an array of top-quality content focused on original and authentic Indigenous stories. The first series in production is Dr. Savannah: Wild Rose Vet, which has already been sold to APTN and Blue Ant Media.
  • The Kids and Family Division, Atomic Cartoons, was in various stages of production on 12 animated series, and two feature length animated productions – 14 productions in total. Productions include co-producing Mighty Express with Spin Master for Netflix, Molly of Denali (Season 2) for GBH/ PBS KIDS, The Last Kids on Earth for Netflix and My Little Pony for eOne/Hasbro. A Curious George production is also in production for Peacock.
  • During Q3, Atomic’s The Last Kids on Earth franchise announced two milestones: an interactive special episode of the Emmy Award-winning animated series and the first-ever graphic novel in the best-selling book series (The Last Kids on Earth: Thrilling Tales from the Tree House). Subsequent to the quarter, June 2021 launch timing for The Last Kids on Earth and the Staff of Doom video game was announced.
  • During, and subsequent to the quarter, the Company, its productions, and team members were recognized with nominations and awards from the following outlets and organizations:
    o YWCA Women of Distinction (Nadine Westerbarkey)
    o Report on Business’ Best Executive Awards (Barb Harwood);
    o BC Business’ Business of Good Awards (Diversity and Inclusion category);
    o BC Business’ Women of the Year (Equity and Inclusion Champion – Jennifer Twiner McCarron);
    o Banff Rockie Awards 2021(Children Animation category – Molly of Denali);
    o Youth Media Alliance (Animation (Ages 6-9 and 9+) – The Last Kids on Earth and Molly of Denali);
    o Kidscreen (Best Inclusivity – Molly of Denali);
    o Nickelodeon Kids’ Choice Awards (Favorite Animated Series – LEGO: Jurassic World: Legend of Isla Nublar);
    o The Canadian Screen Awards (Best Photography/Comedy, Best Lead Actor/Comedy, Best Supporting Actor/Comedy, and Best Guest Actor/Comedy – Kim’s Convenience); and
    o The Leo Awards (17 nominations across seven productions/series).
  • Subsequent to the quarter, the Company promoted Sarah Nathanson to the role of Chief Operating Officer and Corporate Secretary. Prior to this promotion, Nathanson served as Thunderbird’s General Counsel, a responsibility she maintains as part of her expanded portfolio.

Grant of Stock Options

Thunderbird’s Board of Directors authorized the grant of an aggregate of 228,000 incentive stock options in accordance with the terms of the Company’s stock option plan to employees at the management level. The options are exercisable at a price of $4.90 per share and have a seven year term, subject to vesting provisions.

Conference Call Webcast on May 27, 2021 at 11 a.m. PT/ 2 p.m. ET

Thunderbird will hold a conference call and webcast to share the Company’s Q3 financial results on May 27, 2021 at 11 a.m. PT/ 2 p.m. ET. The conference call will be webcast live and available for replay via the “Investors” section of the Thunderbird website.

Conference Call and Webcast Access:

Toll-free dial-in number: (833) 900-1530
International dial-in number: (236) 712-2271
Conference ID: 3745038
Webcast: https://event.on24.com/wcc/r/3082365/9C344958FF7B08DA9DFBFFBA5299ADC9

Participants joining by phone are requested to call the conference line ten minutes early to avoid wait times while connecting to the call. The conference call will be webcast live and available for replay via the “Investors” section of the Thunderbird website. Investors can access a replay of the teleconference at: (+1) 416-621-4642 or toll-free at (+1) 800-585-8367 three hours after the call’s completion. The Conference ID # is 3745038. The teleconference replay will be available through June 10, 2021.

On Behalf of Thunderbird Entertainment Group Inc.

Jennifer Twiner McCarron
Chief Executive Officer



Neither the TSX-V nor its Regulation Services Provider (as that term is defined in the policies of the TSX-V) accepts responsibility of the adequacy or accuracy of this release, which has been prepared by management.


Cautionary Statement Regarding Forward-Looking Information

This news release includes certain “forward-looking statements” under applicable Canadian securities legislation that are not historical facts. Forward-looking statements involve risks, uncertainties, and other factors that could cause actual results, performance, prospects, and opportunities to differ materially from those expressed or implied by such forward-looking statements. Forward-looking statements in this news release include, but are not limited to, statements with respect to the Company’s objectives, goals or future plans and the business and operations of the Company. Forward-looking statements are necessarily based on a number of estimates and assumptions that, while considered reasonable, are subject to known and unknown risks, uncertainties and other factors which may cause actual results and future events to differ materially from those expressed or implied by such forward-looking statements. Such factors include, but are not limited to: general business, economic and social uncertainties; litigation, legislative, environmental and other judicial, regulatory, political and competitive developments; those additional risks set out in the Company’s Filing Statement and other public documents filed on SEDAR at www.sedar.com; and other matters discussed in this news release. Although the Company believes that the assumptions and factors used in preparing the forward-looking statements are reasonable, undue reliance should not be placed on these statements, which only apply as of the date of this news release, and no assurance can be given that such events will occur in the disclosed time frames or at all. Except where required by law, the Company disclaims any intention or obligation to update or revise any forward-looking statement, whether as a result of new information, future events, or otherwise.


In addition to the results reported in accordance with IFRS, the Company uses various non-IFRS financial measures which are not recognized under IFRS, as supplemental indicators of our operating performance and financial position.  These non-IFRS financial measures are provided to enhance the user’s understanding of our historical and current financial performance and our prospects for the future.  Management believes that these measures provide useful information in that they exclude amounts that are not indicative of our core operating results and ongoing operations and provide a more consistent basis for comparison between periods. The following discussion explains the Company’s use of EBITDA, Adjusted EBITDA, and Free Cash Flow as measures of performance.

“EBITDA” is calculated based on earnings before interest, income taxes, depreciation and amortization. “Adjusted EBITDA” is calculated based on EBITDA, asset impairment charges, accretion, share-based compensation, share of loss of associates, unrealized foreign exchange gain/loss and items of an unusual or one-time nature that do not reflect our ongoing operations. EBITDA and Adjusted EBITDA are commonly reported and widely used by investors and lenders as an indicator of a company’s operating performance and ability to incur and service debt, and as a valuation metric.  EBITDA and Adjusted EBITDA are not earnings measures recognized by IFRS and therefore do not have a standardized meaning prescribed by IFRS.  Therefore, EBITDA and Adjusted EBITDA may not be comparable to similar measures presented by other issuers.

“Free Cash Flow” (“FCF”) is calculated based on cash flows from operations, purchase of property and equipment and net interim production financing. FCF represents the cash a company generates after accounting for cash outflows to support operations and maintain its capital assets.

“Backlog” is defined as the undiscounted value of signed agreements for production services and intellectual property (“IP”) in relation to licensing and distribution agreements for which the Company expects to recognize revenue in future periods.  Backlog excludes estimates of variable consideration for transactions involving sales or usage-based royalties in exchange for licenses of IP.  The extent of eventual revenue recognized in future periods may be materially higher or lower than this amount, depending upon factors which include, but are not limited to the following: (i) contract modifications, (ii) fluctuations in foreign exchange rates for contracts not denominated in Canadian dollars, (iii) changes to production and delivery schedules, or (iv) valuation issues in connection with the collectability of fees.