A look at some small-cap stocks making news – or about to.
Canada’s S&P/TSX Small Cap Index TXTW-I is up by about 30 per cent over the past 52 weeks as of Thursday. It hit a record of 1,179.02 on Oct. 15. The Russell 2000 in the U.S. is up about 2 per cent over the past 52 weeks. It hit a record 2,541.67 on Oct. 15.
Small-cap summary
Exchange Income Corp. (EIF-T) shares could see a boost today after the company reported record third-quarter results that beat expectations and a 5-per-cent dividend increase.
After markets closed on Thursday, the company reported revenues of $960-million for the quarter ended Sept 30, up from $709.9-million a year ago and ahead of expectations of $842.9-million.
Adjusted EBITDA of $231-million was up from $55.9-million a year earlier and ahead of expectations of $228-million.
Net earnings of $69-million or $1.32 per share compared $56-million or $1.18 a year ago. Adjusted EPS came in at $1.46, in line with expectations and up from $1.29 a year ago.
The company also increased its monthly dividend to an annual rate of $2.76 per share up from $2.64.
For its fiscal 2026 outlook, the company said it expects adjusted EBITDA to be between $825-million and $875-million based on “recent contractual announcements, acquisitions to date and near-term organic opportunities.” The consensus expectation is for $843-million, according to S&P Capital IQ.
The company added that “this does not include any forecasted mergers and acquisition activity, unannounced contract wins or significant growth capital expenditures for new opportunities.
It also confirmed its guidance for 2025 with an adjusted EBITDA range of $725-million to $765-million “with a bias to the midpoint of the range.” The expectation is for $741.1-million.
Ventum Capital Markets analyst Amr Ezzat reiterated his “buy” rating and $81 target price.
“Exchange Income posted all-time record Q3 results, handily exceeding both Street and our forecasts across all major metrics,” he wrote. “Results were supported by strong execution and underscore EIF’s unique exposure to several nation-building tailwinds, including Arctic sovereignty, defense, and critical minerals development now prioritized by multiple government layers.”
He said the aerospace and aviation division “was the clear standout,” while manufacturing was under pressure from project deferrals.
**
NFI Group Inc. (NFI-T) shares could be active today after the Winnipeg bus maker reported mixed third-quarter results and narrowed its guidance.
After markets closed on Thursday, NFI reported revenue of US$879.9-million, an increase of 23.7 per cent from US$711.3-million a year earlier. The result was below expectations of US$889-million.
Its net loss of US$140.9-million or US$1.18 per share was higher than the loss of US$15-million or 13 cents US a year ago. NFI said it recorded a warranty provision of US$229.9-million, reflecting estimated costs for full battery replacement on all vehicles impacted by a recall, as well as estimated future costs associated with supporting vehicles in service that have other older batteries.
Adjusted net earnings came in at US$12.1-million or 10 cents per share, which was in line with expectations and compared with a net loss of $4.8-million or 4 cents a year earlier.
Adjusted EBITDA of US$80.9 million increased from US$53.2-million last year and was ahead of expectations of US$71.5-million.
“The third quarter saw improvements in delivery performance with improved revenue and expanded margins per unit delivered as we converted our stronger backlog into results,” said CEO Paul Soubry. “These positives were partially offset by warranty charges related to a battery recall and associated support costs. We are in detailed discussions with the supplier who provides those systems and expect to reach an agreement on recall costs as we move through the fourth quarter.”
The company narrowed its 2025 guidance ranges and said it remains “confident in our ability to deliver strong revenue and margin growth in the fourth quarter,” and expects to record its highest quarterly adjusted EBITDA performance in company history.
Its fiscal revenue guidance was updated to US$3.5-billion to US$3.7-billion compared to US$3.8-billion to US$4.2-billion previously. Adjusted EBITDA of US$320-million to US$340-million was updated from US$320-million to US$360-million previously.
**
Kits Eyecare Ltd. (KITS-T) reported improved third-quarter results that largely beat expectations.
After markets closed on Thursday, the company reported record revenue of $52.4-million, in line with expectations and compared to $41.9-million a year earlier.
Adjusted EBITDA came in at $2.9-million, ahead of expectations of $2.7-million and compared to $1.6-million a year ago.
Net income came in at $1.9-million or 6 cents per share, ahead of expectations of 4 cents and compared to $132,000 or nil per share a year ago.
For the fourth quarter, the company expects revenue to be in the range of $52-million to $54-million, in line with expectations of $52.9-million.
Canaccord Genuity analyst Luke Hannan reiterating his “buy” rating and $23 target price after the earnings.
“KITS reported Q3/25 earnings results that were in line with preliminary expectations, and introduced Q4/25 guidance that implies high-teens YoY [year-over-year revenue growth and relatively stable EBITDA margins QoQ [quarter over quarter],” he wrote. “KITS witnessed relatively steady demand throughout the quarter, and no material slowdown in demand from its younger customer cohorts, a different tone than that struck by peer Warby Parker, which noted on its own Q3/25 conference call earlier this morning that it saw a general softness in spending beginning in September, particularly amongst its less affluent younger customers.”
**
Tucows Inc. (TC-T) reported stronger third-quarter results and a CEO succession.
After markets closed on Thursday, the company reported revenue of US$98.6-million, up from US$92.3-million for the third quarter of 2024.
Its net loss was $23-million or $2.08 per share, compared with a net loss of $22.3-million $2.03 per share a year ago. Adjusted EPS was a loss of $1.42 versus a loss of $1.81 a year ago.
Adjusted EBITDA was $13.3-million, up from $8.7-million for the third quarter of 2024.
“The year-over-year improvement was fueled by revenue growth across all three segments; margin expansion from Wavelo and Tucows Domains; Ting’s shift to a capital-light model, and cost discipline and AI-driven efficiencies across the company,” it stated.
It also announced the appointment of long-time Tucows executive David Woroch as president and CEO, succeeding Elliot Noss, who has been in the role for 25 years. Mr. Ross will remain on the board and as a consultant to the company’s Ting Internet business.
**
Cipher Pharmaceuticals Inc. (CPH-T) reported better-than-expected third-quarter results.
After markets closed on Thursday, the specialty pharmaceutical company reported revenue of US$12.8-million up from US$10.4-million a year ago. The result was ahead of expectations of US18.8-million.
Net income of US$5.5-million or 22 cents US per share compared to US$300,000 or a penny US per share a year ago. The company said the increase was primarily attributable to additional operating income from its U.S.-based operations, led by its Natroba treatment.
Adjusted EBITDA was US$7.3-million up from US$4.1-million and ahead of expectations of US$9.2-million.
**
Chorus Aviation Inc. (CHR-T) reported mixed third-quarter earnings.
After markets closed on Thursday, the Halifax-based company reported revenue of $323.6-million, down from $342-million a year ago. The result was below expectations of $335.8-million.
Adjusted net income of $15.4-million or 60 cents per share, above expectations of 56 cents and compared to $11.7-million or 43 cents a year ago.
Adjusted EBITDA of $51.6-million was above expectations of $50.8-million and compared to $53.6-million a year ago.
**
Interfor Corp. (IFP-T) reported third-quarter sales of $689.3-million, down from $692.7-million a year ago. The result was ahead of expectations of $674.2-million.
Its net loss of $215.8-million or $4.19 per share compared to a net loss of $105.7-million or $2.05 per share a year ago.
Adjusted EBITDA was a loss of $183.8-million versus an adjusted EBITDA loss of $22-million a year ago.
Upcoming small-cap earnings:
Nov. 10: Ascend Wellness Holdings, Inc. (AAWH-U-CN), Westport Fuel Systems Inc. (WPRT-T), Boston Pizza Royalties Income Fund (BPF-UN-T)
Nov. 11: Extendicare Inc. (EXE-T), True North Commercial REIT (TNT-UN-T), Grown Rogue International Inc. (GRIN-CN), Dream Unlimited Corp. (DRM-T), Martinrea International Inc. (MRE-T)
Nov. 12: Pollard Banknote Ltd. (PBL-T), Bird Construction Inc. (BDT-T), Thinkific Labs Inc. (THNC-T), North American Construction Group Ltd. (NOA-T)
Nov. 13: Superior Plus Corp. (SPB-T), Total Energy Services Inc. (TOT-T), Profound Medical Corp. (PRN-T), AutoCanada Inc. (ACQ-T), Ballard Power Systems (BLDP-T), KP Tissue Inc. (KPT-T), Corby Spirit and Wine Limited (CSW-A-T), Automotive Properties REIT (APR-UN-T), H&R REIT (HR-UN-T), GO Residential REIT (GO-U-T), Fiera Capital Corp. (FSZ-T), Plaza Retail REIT (PLZ-UN-T), Auxly Cannabis Group Inc. (XLY-T)
Nov. 14: Conifex Timber Inc. (CFF-T), Neo Performance Materials Inc. (NEO-T), MDA Space (MDA-T), Ag Growth International Inc. (AFN-T),
Nov. 20: Real Matters Inc. (REAL-T), Sucro Ltd. (SUGR-X)
Nov. 27: Rogers Sugar Inc. (RSI-T)
Nov. 30: Richards Packaging Income Fund (RPI-UN-T)
Dec. 3: EQB Inc. (EQB-T)
Dec. 5: Laurentian Bank (LB-T)
– with files from The Canadian Press and Dave Leeder