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2024 Consolidated Operating Highlights

Operating revenue increased 7.0% to $241,560,000 in 2024 from $225,865,000 in 2023 due to the incremental real estate revenue from 34 Highland Gate home sales compared to 31 in 2023. The Canadian golf club operations segment has seen a strong golf demand resulting in increases in annual dues and golf revenue.

Direct operating expenses increased 6.3% to $197,504,000 in 2024 from $185,804,000 in 2023 due to the increase in real estate cost of sales from more home sales in 2024.

Net operating income for the Canadian golf club operations segment increased to $44,305,000 in 2024 from $42,730,000 in 2023 due to an increase in Championship golf rounds from 2023 and increases in annual dues and golf revenue.

Interest, net and investment income increased 31.1% to $11,767,000 in 2024 from $8,973,000 in 2023 due to higher cash balances and the income earned on these balances along with less borrowings.

Other items consist of the following income (loss) items:

At December 31, 2024, the Company recorded an unrealized gain of $1,043,000 on its investment in marketable securities (December 31, 2023 - losses of 20,763,000). This gain is attributable to the fair market value adjustments of the Company's investment in Automotive Properties REIT.

On July 3, 2024, the Company announced the closing of the sale of the former Woodlands Golf Club to a joint venture managed by 13th Floor Homes. TWC is a 50% partner in the joint venture along with 13th Floor Homes. A gain of $7,788,000 (US$5,711,000) was recorded as a result of the sale and represents one-half of the total gain due to the sale to a joint venture owned 50% by the Company. This represents the majority of the total gain on property, plant and equipment recorded at December 31, 2024.

Net earnings increased to $40,597,000 in 2024 from $22,042,000 in 2023 due to the $21,806,000 change in unrealized gain on the Company’s investment in Automotive Properties REIT as compared to 2023 and the $7,788,000 gain on sale of Woodlands Golf Club recorded in 2024. Basic and diluted earnings per share increased to $1.66 per share in 2024, compared to basic and diluted earnings per share of 90 cents in 2023.

Non-IFRS Measures

TWC uses non-IFRS measures as a benchmark measurement of our own operating results and as a benchmark relative to our competitors. We consider these non-IFRS measures to be a meaningful supplement to net earnings. We also believe these non-IFRS measures are commonly used by securities analysts, investors and other interested parties to evaluate our financial performance. These measures, which included direct operating expenses and net operating income do not have standardized meaning under IFRS. While these non-IFRS measures have been disclosed herein to permit a more complete comparative analysis of the Company’s operating performance and debt servicing ability relative to other companies, readers are cautioned that these non-IFRS measures as reported by TWC may not be comparable in all instances to non-IFRS measures as reported by other companies.

The glossary of financial terms is as follows:

Direct operating expenses = expenses that are directly attributable to company’s business units and are used by management in the assessment of their performance. These exclude expenses which are attributable to major corporate decisions such as impairment.
Net operating income = operating revenue – direct operating expenses

Net operating income is an important metric used by management in evaluating the Company’s operating performance as it represents the revenue and expense items that can be directly attributable to the specific business unit’s ongoing operations. It is not a measure of financial performance under IFRS and should not be considered as an alternative to measures of performance under IFRS. The most directly comparable measure specified under IFRS is net earnings.

Deer Creek

On February 4, 2025, the Company announced it had acquired Deer Creek, one of Canada’s largest golf and event complexes, located in Ajax, Ontario, and includes 45-holes of championship golf, a nine-hole short course, large driving range and performance academy. It also features a 57,000 square foot clubhouse and event centre. Prominently located in Durham Region on 445 acres of land (375 owned and 70 leased), and just minutes away from three, 400-series highways (401, 407 and 412), Deer Creek will be a Daily Fee Club in the ClubLink network and will continue to serve daily fee golfers, members, tournaments, weddings, banquets and restaurant guests.

Eligible Dividend

Today, TWC Enterprises Limited announced an eligible cash dividend of 9 cents per common share to be paid on March 31, 2025 to shareholders of record as at March 17, 2025. This is a 20% increase to the previous quarterly dividend of 7.5 cents per common share.

Corporate Profile

TWC is engaged in golf club operations under the trademark, “ClubLink One Membership More Golf.” TWC is Canada’s largest owner, operator and manager of golf clubs with 47 18-hole equivalent championship and 2.5 18-hole equivalent academy courses (including three managed properties) at 35 locations in Ontario, Quebec and Florida.

For further information please contact:

Andrew Tamlin
Chief Financial Officer
15675 Dufferin Street
King City, Ontario L7B 1K5
Tel: 905-841-5372 Fax: 905-841-8488
atamlin@clublink.ca

Management’s discussion and analysis, financial statements and other disclosure information relating to the Company is available through SEDAR and at www.sedar.com and on the Company website at www.twcenterprises.ca