Summary of the Market Performance

As of March 27, the Canadian S&P/TSX SmallCap Index has surged by approximately 10.8% over the past year, contrasting with the 2.3% decline of the U.S. Russell 2000 Index. Here are some notable movements in small-cap stocks that investors should be keeping an eye on:

Aimia Inc. in the Limelight

Aimia Inc. (AIM-T), the former operator of Canada's Aeroplan loyalty rewards program, recently reported a significant uptick in fourth-quarter earnings, prompting a noteworthy rise in its stock. Nevertheless, the company's financial results were a mix of positive and underwhelming figures. Revenue hit $127.2 million, a considerable 27% increase from last year’s $100.1 million, although it slightly fell short of the expected $130.5 million. Aimia's net loss decreased, showing $41.2 million, or 48 cents per share, compared to a heavier loss of $59 million, or 69 cents per share, the previous year.

Remarkably, Aimia’s adjusted EBITDA soared to $17.3 million from a loss of $1.1 million a year earlier, surpassing analyst expectations of $10 million. Moreover, the company projects adjusted EBITDA guidance for 2025 between $88 million and $95 million, representing a growth forecast of 13.8%.

In a strategic move, Aimia has undergone a board reshuffling, parting ways with several directors, including Executive Chairman Tom Finke, who stepped aside for Rhys Summerton. This board restructuring aims to streamline decision-making and implement a more focused strategy for maximizing shareholder value.

Fast-Food Chain Odd Burger Pulls Back on U.S. Expansion

In a striking turn of events, Odd Burger Corp. (ODD-X), a Canadian vegan fast-food chain, announced it would halt its ambitious U.S. expansion plans due to rising political tensions between Canada and the U.S. Co-founder and CEO, James McInnes, cited the unpredictability of tariffs and expressed a commitment to concentrate on strengthening their Canadian operations instead. Odd Burger has made a name for itself with its plant-based protein offerings and aims to leverage growing consumer demand domestically.

Small Cap Earnings Updates

1. Lassonde Industries Inc. (LAS-A-T): The beverage giant reported a strong fourth-quarter performance with sales soaring to $738.1 million—up from $604.8 million. Earnings also jumped to $27.1 million or $3.97 per share, both exceeding expectations and contributing to a solid stock price near its 52-week high.

2. Dominion Lending Centres Inc. (DLCG-T): Showcasing revenue growth of 41% year-over-year to $22.3 million, the company continues to track well amid a competitive mortgage market.

3. Bitfarms Ltd. (BITF-T): The Bitcoin mining company revealed a 21% revenue increase to US$56 million compared to the previous year, coupled with a surprising net income of US$15 million.

4. Telesat Corp. (TSAT-T): The satellite operator reported a concerning net loss of $447 million alongside a 23% drop in revenue. This highlights the turbulent environment for businesses reliant on global markets.

5. Allied Gold Corp. (AAUC-T): Despite a revenue decline from the previous year, the corporation's earnings surprised stakeholders, showcasing resilience in the market.

6. Lightspeed Commerce Inc. (LSPD-T): Facing headwinds from macroeconomic conditions and lowered revenue outlooks, the company is focusing on a renewed strategic direction in North America and Europe.

Emerging from this busy news cycle, investors are encouraged to keep a pulse on these developing situations to capitalize on potential opportunities and navigate the ever-evolving landscape of small-cap stocks. With more earnings reports set to drop soon, including Pizza Pizza Royalty Corp. and AGF Management Ltd., the excitement is palpable. Stay tuned!