St. Albert, Alberta--(Newsfile Corp. - March 13, 2020) -  Enterprise Group, Inc. (TSX: E) ("Enterprise," or "the Company"), a consolidator of services to the energy sector; focused primarily on construction services and specialized equipment rental, today released its Q4 2019 and FY2019 results.

• An unseasonably wet spring and summer delayed the start and completion of many projects. Activity in certain regions of Alberta came to a complete halt due to wet conditions, which is uncommon. Activity in Northeastern B.C. continued to increase and positively impacted operations. Regional diversity helped the Company during the fourth quarter and the fiscal year, however the increased activity in Northeastern B.C. was not enough to offset the decline in Alberta. Customer activity has had, and will continue to have, a significant impact on company performance.

• Despite the wet weather, lower activity levels and lower revenue, the Company generated positive cash flow from operations of $3,609,571 for the year ended December 31, 2019, which was similar to the prior year of $3,797,399. During the year, the Company purchased and cancelled 4,171,500 shares at a cost of $720,529. As result, the Company's share capital account was reduced by $5,991,273, representing the average share value of outstanding shares. Enterprise believes its stock remains undervalued and will continue to re-invest positive cash flow to buy-back shares to enhance shareholder value.

• Revenue for the three months ended December 31, 2019, was $5,349,256 compared to $5,581,767 a decrease of $232,511 compared to the prior period. Revenue for the year ended December 31, 2019, of $19,521,797 decreased by $957,815 compared to the prior year.

• Gross margin for the three months ended December 31, 2019, was $1,556,657 or 29%, an increase of $82,504 compared to the prior period of $1,474,153 or 26%. EBITDA was $1,032,448 for the three months ended December 31, 2019, an increase of $289,799 compared to the prior period. For the year ended December 31, 2019, gross margin was $5,044,970 or 26%, an increase of $2,171,148 compared to the prior year of $2,873,822 or 14%. EBITDA was $2,879,683 for the year ended December 31, 2019, an increase of $2,798,027 compared to the prior year. The implementation of IFRS 16 resulted in an increase of gross margin for the three months and year ended December 31, 2019 by $80,137 and $671,746 respectively. The implementation of IFRS 16 also resulted in an increase of EBITDA for the three months and year ended December 31, 2019 by $93,252 and $727,921 respectively. Enterprise is realizing the benefits of its efforts to improve gross margin and EBITDA, which includes reducing third party rentals, reducing the use of external contactors and effectively managing resources and staffing levels.

OUTLOOK

Positive news coming from Canada's LNG sector is highly promising to Enterprise, as the Company's site infrastructure clients are substantially all natural gas (NG) and gas liquids producers. The LNG Canada project alone is estimated to export over 26 million tons per annum or 3.5 billion cubic feet of NG per day. Other LNG projects in British Columbia are at various stages of government approval and final investment contemplation and will further add to the demand for Canadian NG stocks. The financial impact for Enterprise and its clients will be meaningful as a robust LNG economy continues to develop in western Canada.

Unseasonably wet conditions in the spring and summer months of 2019 pushed the start of several projects into to Q4 with many projects being delayed until 2020. Given recent market conditions and world events, management will continue discussions with customers to determine its outlook for the remainder of 2020. Enterprise is committed to its customer base throughout the Western Canadian provinces and strives to provide excellent customer service.

Enterprise's customers include some of Canada's largest energy producers and utility service providers. The Company employs experienced management and is committed to maintaining a high quality of service provided to its clients. With the diversification of the Company's services, streamlining of our operations and our cash management measures, management believes the Company is well positioned to navigate a difficult commodity price environment.

Management continues to drive cost reductions throughout the Company to assist in offsetting pricing pressures and reduced activity. In 2019, Enterprise benefited from cost reductions through increased margins and reduced expenses compared to prior periods. Cost reductions will continue in 2020, with management remaining committed to maintaining the quality of service provided to its clients to position the Company for the future increases in activity levels and large project approval.

Management will maintain a conservative approach towards capital spending and will continue to spend sufficient maintenance capital to keep its equipment fleet modern and to meet customer demands.

About Enterprise Group, Inc.

Enterprise Group, Inc. is a consolidator of construction services companies operating in the energy, utility and transportation infrastructure industries. The Company's focus is primarily specialized equipment rental. The Company's strategy is to acquire complementary service companies in Western Canada, consolidating capital, management, and human resources to support continued growth. More information is available at the Company's website Corporate filings can be found on

For questions or additional information, please contact:
Leonard Jaroszuk: President & CEO, or
Desmond O'Kell: Senior Vice-President

780-418-4400

Forward Looking Information
Certain statements contained in this news release constitute forward-looking information. These statements relate to future events or the Company's future performance. The use of any of the words "could", "expect", "believe", "will", "projected", "estimated" and similar expressions and statements relating to matters that are not historical facts are intended to identify forward-looking information and are based on the Company's current belief or assumptions as to the outcome and timing of such future events. Actual future results may differ materially. The Company's Annual Information Form and other documents filed with securities regulatory authorities (accessible through the SEDAR website ) describe the risks, material assumptions and other factors that could influence actual results and which are incorporated herein by reference. The Company disclaims any intention or obligation to publicly update or revise any forward-looking information, whether as a result of new information, future events or otherwise, except as may be expressly required by applicable securities laws.

Non-IFRS Measures
The Company uses International Financial Reporting Standards ("IFRS"). EBITDAS is not a measure that has any standardized meaning prescribed by IFRS and is therefore referred to as a non-IFRS measure. This news release contains references to EBITDAS. This non-IFRS measure used by the Company may not be comparable to a similar measure used by other companies. Management believes that in addition to net income, EBITDAS is a useful supplemental measure as it provides an indication of the results generated by the Company's principal business activities prior to consideration of how those activities are financed or how the results are taxed. EBITDAS is calculated as net income excluding depreciation, amortization, interest, taxes and stock based compensation.

To view the source version of this press release, please visit