Dexterra Group (DXT) Q2 2026 earnings summary

Executive summary

• Q2 2026 revenue reached CAD 269.2 million, up 8% year-over-year, driven by strong workforce accommodation occupancy, organic growth, and the Right Choice acquisition, with robust free cash flow generation and improved margins.

• Adjusted EBITDA increased 9.3% year-over-year to CAD 32.8 million, reflecting growth in Support Services and higher-margin rental revenue in Asset Based Services.

• Free Cash Flow improved to CAD 21.8 million, supporting ongoing investments and shareholder returns.

• Business model remains resilient with limited exposure to tariffs and geopolitical risks, supporting continued execution of business plan goals.

• Strategic acquisitions and investments in people and technology are performing as expected, supporting U.S. expansion and future growth.

Financial highlights

• Q2 2026 revenue was CAD 269.2 million, up from CAD 249.3 million in Q2 2025; Adjusted EBITDA rose to CAD 32.8 million from CAD 30.0 million.

• Adjusted EBITDA margin was 12.2% for Q2 2026; Free Cash Flow reached CAD 21.8 million.

• Net debt declined to CAD 205.8 million at June 30, 2026, with net debt to Adjusted EBITDA at 1.5x.

• Dividend of CAD 0.10 per share declared for Q3 2026.

• Return on Equity for Q2 2026 was 15.4%.

Outlook and guidance

• Expect continued strong organic growth in Canada and U.S. portfolios, focusing on government services, integrated facilities management, and scaling U.S. operations.

• Anticipate higher Workforce Accommodations rental activity in H2 2026 and stable Access Matting utilization.

• Free Cash Flow conversion expected to exceed 50% of Adjusted EBITDA for the full year.

• Corporate costs projected at 2.5% of revenue for 2026, including technology investments.

• Debt levels expected to decrease over the remainder of the year absent acquisitions.