Small caps to watch: Earnings from Maple Leaf Foods, Canfor, ATS, Sprott and more

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 23 per cent over the past 52 weeks. It hit a record 1,496.55 on June 2. The Russell 2000 in the U.S. is up about 15 per cent over the past 52 weeks and reached a high of 3,069.71 on Aug. 14.

Small-cap summary:

Maple Leaf Foods Inc. (MFI-T) reported third-quarter results that slightly missed expectations.

Before markets opened on Wednesday, the company reported sales of $1.03-billion for the quarter ended Sept. 30, up from $1.01-billion in the third quarter of 2025. The result missed expectations of $1.04-billion, according to S&P Capital IQ estimates.

Profit from continuing operations of $22.3-million or 18 cents per share compared with profit of $23.3-million or 19 cents per share in the same quarter last year.

On an adjusted basis, Maple Leaf says it earned 36 cents per share in its latest quarter, up from an adjusted profit of 21 cents per share a year ago. The result missed expectations of 37 cents, according to S&P Capital IQ estimates.

“We entered 2026 expecting a relatively stable external environment. That has not been the case. Renewed inflation in food production worldwide has raised costs and pressured consumers, particularly in the second half,” CEO Curtis Frank stated in a release. “We began the year expecting Adjusted EBITDA of approximately $520 million to $540 million. While we continue to expect revenue and profit growth over last year in the fourth quarter, increased pressure on consumers and more persistent cost inflation mean we now expect full-year Adjusted EBITDA to be around the bottom of that range, given the normal time lag in mitigating inflation. Growing revenue and profit in this environment reflects the resilience of our business and the strength of our execution, and it reinforces our confidence in our strategic blueprint and our ability to achieve our 2030 financial targets.”

**

Canfor Corp. (CFP-T) reported mixed results for its third quarter ended Sept. 30.

Before markets opened on Wednesday, the company reported sales of $1.28-billion, down from $1.26-billion a year earlier. The result missed expectations of $1.39-billion, according to S&P Capital IQ estimates.

Its net loss of $88.2-million or 75 cents per share compared to a loss of $172.4-million or $1.48 a year ago.

Adjusted EBITDA of $98.1-million was improved from a loss of $13.7-million a year ago and ahead of expectations of $71.8-million, according to S&P Capital IQ.

“Despite continued uncertainty across our markets, our lumber business delivered relatively stable earnings across all regions in the third quarter, while improved pulp performance and another strong quarter from our paper business contributed positively to our results,” CEO Susan Yurkovich stated. “Looking ahead, we anticipate market conditions will remain challenging through the balance of the year, with softer seasonal demand for lumber and continued pressure in global pulp markets.”

**

ATS Corp. (ATS-T) reported second-quarter results that missed expectations.

Before markets opened on Wednesday, the company reported revenue of $665.8-million for the quarter ended Sept. 27 compared to $728.5-million a year ago. The result missed expectations of $679.9-million, according to S&P Capital IQ estimates.

Its net loss was $5-million or 5 cents per share compared to net income of $33.6-million or 34 cents a year ago. Adjusted earnings were 27 cents per share, below expectations of 33 cents and down from 45 cents last year

Adjusted EBITDA was $80.7-million compared to $103.7-million a year ago. The result missed expectations of $88.1-million, according to S&P Capital IQ estimates.

“We continue to see healthy customer demand across all served markets, and our growing aftermarket business further strengthens the quality and resilience of our portfolio,” said CEO Doug Wright. “While a delay in non-life sciences Order Bookings, including from tariff uncertainty, has added near-term pressure as some customers delay capital decisions, I am encouraged by both the year-over-year and sequential increase in Order Bookings in the quarter and believe we have the pieces in place to return to strong growth at improved returns on capital.”

**

Sprott Inc. (SII-T) announced mixed third-quarter results and a 25-per-cent dividend increase.

Before markets opened on Wednesday, the company reported revenue of $75-million, up from $65-million a year earlier. The result missed expectations of $98-million, according to S&P Capital IQ estimates.

Net income for the quarter was $22-million or 86 cents per share, up from $13.2-million or 51 cents per share a year earlier.

Adjusted EBITDA was $46-million, up from $31.9-million a year earlier. The result missed expectations of $60-million, according to S&P Capital IQ estimates.

Assets under management was $57.3-billion as at September 30, up 3 per cent from $55.6-billion as at June 30 and down 4 per cent from $59.6-billion as at Dec. 31, 2025.

After markets closed on Tuesday, the company announced a third quarter dividend of 50 cents US per common share, an increase of 25 per cent over the previous quarter’s dividend, payable on Dec. 1 to shareholders of record at the close of business on Nov. 16.

**

Organigram Global Inc. (OGI-T) announced on Tuesday a friendly deal to buy rival Aurora Cannabis Inc. (ACB-T) for $7.80 per share.

The transaction, which values Aurora at approximately $561-million on a fully diluted equity value basis, comes while Aurora is fending off a hostile bid from Curaleaf Holdings Inc. (CURA-T).

Organigram says its offer is a 93-per-cent premium to the unaffected closing share price of Aurora shares on the TSX as of Aug. 10, the last full trading day for Aurora before Curaleaf’s announcement, and a 21-per-cent premium over the current bid value of the Curaleaf hostile offer.

On Oct. 5, Stamford, Conn.-based Curaleaf increased its offer for Aurora to US$5 per share.

Aurora shares closed up 22 per cent on Tuesday to $7.21 per share. The stock has traded between a high of $8.75 and a low of $3.59 in the past 52 weeks on the TSX.

In a release, Organigram said its offer “provides Aurora shareholders with compelling immediate value, meaningful choice in how they receive their consideration, and the opportunity for continued participation in the future growth and value creation of the combined company.”

It added: “Together, Organigram and Aurora will create a global cannabis champion with a leadership position in Canada, Europe and Australia and a growing presence across other key regions. The two Canadian-headquartered cannabis companies will boast a global platform with greater scale, broader capabilities, financial strength and international reach.”

Miguel Martin, executive chairman and CEO of Aurora, said the deal will l accelerate Aurora’s international growth strategy “by strengthening commercial execution, expanding our product and R&D capabilities, and extending our global operating network.”

“For Aurora’s shareholders, the transaction is the result of a robust strategic review process and delivers compelling value today, meaningful choice in how they receive it and the opportunity to participate in the future of a leading cannabis company,” Mr. Martin said.

Related: Organigram launches $561-million takeover offer for Aurora Cannabis

TD analyst Derek Lessard moved to a “sell” rating from “buy” after the takeover announcement.

“We recommend that investors tender their shares to the offer of $7.80/sh,” he wrote. “In our view, Organigram offers a potentially cleaner path to value realization than Curaleaf despite a similar headline price: cash up front, less balance-sheet risk on the equity portion, and a combination linking Aurora’s EU-GMP supply with Sanity’s German commercial platform.”

**

Shares of MTY Food Group Inc. (MTY-T) closed up 11 per cent on Tuesday after a takeover bid from privately held Canadian restaurant franchisor Foodtastic Inc. was made public.

MTY, the Montreal-based company behind Thai Express, Van Houtte and Wetzel’s Pretzels, said in a release Tuesday afternoon that it had rejected the offer.

MTY stock closed at $36.35 on the Toronto Stock Exchange on Tuesday, below Foodtastic’s $43 per share cash offer. Foodtastic said the offer is a 32-per-cent increase to MTY’s closing share price on Oct. 30.

In the past 52 weeks, the shares have traded between a high of $45.90 on Jan. 22 and a low of $28.12 on Oct. 9.

Foodtastic, which includes brands such as Pita Pit, Second Cup and Freshii, announced the bid Tuesday after MTY rebuffed it twice in recent weeks. Foodtastic said it first communicated its proposal to MTY in writing on Oct. 15 and again on Oct. 20.

Foodtastic issued a public letter, stating that the company “has unfortunately not lived up to its full potential in recent years.”

Added Foodtastic CEO Peter Mammas in the letter: “We are very excited about the proposed transaction and believe it would not only deliver full and certain value to MTY’s shareholders, but also would be an incredible combination for its franchisees and employees. We are therefore disappointed that MTY has rejected the proposed transaction without engaging in substantive dialogue. Nevertheless, we are confident that MTY’s shareholders will recognize the compelling value of our proposed transaction and that it represents a superior path forward to MTY’s standalone strategy.”

Foodtastic also criticized MTY’s acquisition strategy and operating performance in the letter.

“We believe MTY owns many wonderful brands and has many terrific franchisee partners. However, over the past decade, MTY became undisciplined in its operations and acquisitions,” it wrote. “Since 2020, MTY has written down $220 million of acquisition value, equivalent to nearly $10 per share or close to one-third of the company’s current market value.”

The company also suggested taking the company private: “MTY acquired too many concepts—some good and some bad—and it is not generating organic growth in the aggregate. We believe getting MTY’s portfolio back on track requires patient, long-term focus, which is very difficult to do under the short-term pressure of public markets.”

The offer comes weeks after MTY announced on Oct. 9 that it has ended a strategic review without finding a buyer.

In a release on Tuesday afternoon, MTY said it conducted a “robust and comprehensive process” that included “engagement with a range of interested parties and consideration of a broad set of strategic alternatives.”

It said the special committee and board “unanimously concluded that the most compelling path forward to drive shareholder value was to accelerate the evolution of the corporation’s current strategic plan, with a sharpened focus on efficiency, simplification and disciplined capital allocation.”

MTY also said in its Tuesday statement that Foodtastic had been given “multiple extensions of its exclusivity period to secure its financing and close the transaction” during the review."

In a separate release before markets opened on Tuesday, MTY said it has appointed board member Victor Mandel as CEO effective immediately, replacing Eric Lefebvre.

“The company and Mr. Lefebvre have mutually agreed that Mr. Lefebvre will depart the company and step down from the board of directors, effective immediately,” the release stated.

Related: MTY Food ends strategic review with no sale, plans to return capital to shareholders

Pointing to recent industry transactions in North America, Acumen Capital analyst Nick Corcoran sees a potential transaction value for MTY in the range of $44 to $65 on fiscal 2026 EBITDA basis and $52 to $75 on fiscal 2027 EBITDA basis.

“We note Foodtastic’s offer is just below the low end of precedent transactions,” he wrote in a note.

In a later note, Mr. Corcoran said MTY’s statement “raises questions regarding financing certainty should Foodtastic seek to pursue its offer directly with shareholders.”

He added: “Based on our discussions with Foodtastic, the company believes financing can be secured through its relationship with Oaktree.”

MTY shares were earlier halted.

Related: Restaurant franchisor Foodtastic offers $1-billion takeover deal for MTY

**

TransAlta Corp. (TA-T) shares rose on Tuesday after the company reported third-quarter results that beat expectations.

Before markets opened on Tuesday, the Calgary-based power producer reported adjusted EBITDA of $264-million, down from $238-million a year ago. The result was ahead of expectations of $249.9-million, according to S&P Capital IQ estimates.

Adjusted earnings of $56-million or 18 cents per share compared with a loss of $800,000 or 2 cents last year. The expectation was for earnings of 7 cents per share in the latest quarter.

Revenue of $536-million for the quarter ended Sept. 30, down from $615-million a year earlier.

TransAlta CEO Joel Hunter says the company delivered strong third-quarter results driven by high fleet availability, disciplined asset optimization, benefits of its environmental credit portfolio and contributions across its diversified fleet.

**

Thinkific Labs Inc. (THNC-T) reported higher revenue and a wider loss for its third quarter ended Sept. 30.

After markets closed on Tuesday, the learning commerce platform company reported revenue of US$19-million, up slightly from US$18.6-million a year earlier. The revenue result was slightly above expectations of US$18.8-million, according to S&P Capital IQ estimates.

Its net loss was US$3.8-million or 6 cents US per share compared to a loss of US$138,000 or nil a year ago. The company said the higher loss is due to US$4.7-million in restructuring costs. The expectation was for a loss of 3 cents US per share, according to S&P Capital IQ.

For the fourth quarter of 2026, the company said it expects revenue of US$18.9-million to US$19.2-million, “while improving adjusted EBITDA to a range of 20% to 25% of revenue.”

The expectation is for revenue to come in at US$18.9-million for the fourth quarter, according to S&P Capital IQ estimates on Nov. 3.

Canaccord Genuity analyst Robert Young raised his target price to $2.25 from $1.75 and maintained his “hold” after the earnings.

“Thinkific delivered a modest Q3 beat on both revenue and adjusted EBITDA, with continued strong momentum in Thinkific Plus, which grew 18% YoY, accelerating from 14% in Q2,” he wrote. “Looking ahead, management expects Plus momentum to continue to be driven by focused R&D and sales support. With limited visibility into the timing and magnitude of a broader growth re-acceleration, we prefer to remain on the sidelines.”

**

Topaz Energy Corp. (TPZ-T) reported mixed results for its third quarter ended Sept. 30.

After markets closed on Monday, the royalty and infrastructure energy company reported revenue and other income of $104.3 million, including 78 per cent from the royalty portfolio and 22 per cent from infrastructure and other income. The result was above $76.4-million a year earlier but below expectations of $107-million, according to S&P Capital IQ.

Net income of $32-million or 21 cents per share compared with net income of $25.6-million or 51 cents a year ago. Adjusted earnings of 32 cents was up from 30 cents a year ago and ahead of expectations of 30 cents.

TD analyst Aaron Bilkoski described the results as “neutral” in a note.

“Topaz continues to benefit from increasingly diversified WCSB exposure, particularly oil-weighted drilling and production. While key counterparty Tourmaline has previously announced the deferral of some capital under its five-year plan, we believe continued momentum in higher-netback oil plays, combined with resilient infrastructure revenue, provides meaningful support to CF and volumes,” he wrote.

Canaccord analyst Mike Mueller reiterated his “buy” and $36 target after the earnings.

“While the relative strength in crude prices (compared with natural gas) is certainly a contributor to the company seeing 56% of its 2026 counterparty activity being oil-focused, we note that this also reflects Topaz’s acreage across the Clearwater. That play alone has contributed 35% of this year’s activity (with the next highest play being the Montney at 24%),” he wrote.

National Bank analyst Dan Payne maintained his “outperform” (buy) and $37.50 target after the earnings report.

“A solid quarter & TPZ remains one of our most favoured income orientations in the sector, with robust exposures through the liquids fairway, continued opportunity for M&A and option value to gas, which continues to provide visibility to outsized (& under-appreciated) risk-adjusted returns,” he wrote in a note. “TPZ offers one of the best risk-adjusted return opportunities in the group (low-risk 20-25% per annum total return) & path to value ($50 scenario & +75% upside noted long term on a static multiple), which is a total dislocation of risk vs. returns as a reflection of the strength of its portfolio & attributes.”

CIBC analyst Jamie Kubik maintained his “outperformer” (buy) rating and $36 target.

“Topaz reported an in-line Q3/26 update, with production meeting expectations and cash flow slightly exceeding expectations,” he wrote in a note. “Better-than-expected liquids production was a positive variance versus our model.”

Added Mr. Kubik: “Despite additional shares being distributed from the Tourmaline secondary offering last month, the stock has performed well versus peers and continues to carry a differentiated growth outlook. The stock continues to screen well with 9% debt-adjusted production growth per share (royalty peers 8%) and a free cash flow yield of 8% in 2027E (royalty peer average 8%).”

**

5N Plus Inc. (VNP-T) shares rose nearly 25 per cent on Tuesday after the company reported third-quarter results that beat expectations.

After markets closed on Monday, the Montreal-based producer of specialty semiconductors and performance materials reported revenue of US$136.4-million, up 30 per cent from US$104.9-million year ago. The result was ahead of expectations of US$122.8-million, according to S&P Capital IQ estimates.

Net earnings were US$12.3-million or 14 cents US per share versus US$18.2-million or 20 cents US a year ago. Adjusted earnings of US$18.3-million or 20 cents US per share compared to US$16.6-million or 19 cents US last year. The expectation was for adjusted earnings of 16 cents per share.

Canaccord analyst Amr Ezzat maintained his “buy” rating and $48 target price after the earnings report.

“We would continue to accumulate shares following this morning’s conference call, which reinforced our conviction that 5N Plus is entering a potentially transformative period of growth,” the analyst said in a note. “The most consequential takeaway was management’s acknowledgement that its next phase of expansion at AZUR [its division that makes space-grade multi-junction solar cells] could be of an entirely different magnitude. After several years of annual capacity additions of 25-35%, management is now evaluating substantially larger investments to address accelerating demand in Europe and North America, with opportunities extending into 2029-31.”

He also noted that Tuesday’s share price movement follows some weak trading sessions before the earnings report.

**

Wajax Corp. (WJX-T) shares fell on Tuesday after the company reported third-quarter results that missed expectations.

After markets closed on Monday, the company reported revenue of $477.8-million, down 1 per cent from $483.1-million last year. The result was below expectations of $503.6-million, according to S&P Capital IQ estimates.

Net earnings of $12-million or 55 cents per share compared to $16.7-million or 77 cents a year ago. Adjusted net earnings of $13.1-million or 60 cents per share compared to $16.2-million or 75 cents per share last year. The expectation was for adjusted EPS of 78 cents in the current quarter.

TD analyst Patrick Sullivan said in a note that he expected shares to be weak due to the earnings miss.

“Adj. EBIT missed by about 20% on revenue shortfall and gross margin compression. Solid cost control, near-record backlog, consecutive PS growth and six straight quarters of ERS growth offer positive offsets. A favourable 2027+ Canadian outlook may cushion the blow, but investors have yet to look through misses of this magnitude for WJX historically,” he wrote.

Stifel analyst Ian Gillies said in a note that the results fell below expectations, “but it was timing related, and our 2026 full-year estimates are little changed.”

He added: “Importantly, we are encouraged by trends in key operating metrics as Product Support had its second straight strong quarter growth greater than 6.0% and backlog reached its highest level since 3Q23. We believe these metrics are supportive of our unchanged financial outlook. Meanwhile, the macro trends continue to provide an attractive setup for WJX as it stands to benefit from infrastructure and natural resource development in Canada. The company is currently in the early stages of executing its Strategic Roadmap, and we believe it could take 6–12 months to materialize.”

**

Major Drilling Group International Inc. (MDI-T) announced it has acquired Bunbury Drilling Company, an Australian-based specialized mine dewatering drilling contractor, for $70-million Australian, or about $69-million Canadian. It said the sum includes an upfront cash payment of $50-million and an additional $20 million available through an earn-out.

“This acquisition is directly aligned with our strategic plan, allowing us to offer a new line of highly specialized drilling services to senior companies in an established market, diversifying our revenue streams and expanding on existing relationships. BDC has a strong reputation in Australia, particularly among major mining companies, which has been built on decades of delivering innovation and high-quality services to its clients,” Major Drilling CEO Denis Larocques stated.

**

Tidewater Midstream and Infrastructure Ltd. (TWM-T) announced it will acquire the remaining one third shares of Tidewater Renewables Ltd. (LCFS-T) that it doesn’t already own.

Under the terms of the agreement, each Renewables share (other than Renewables shares owned by Midstream) will be exchanged for 0.88 of a common share of Midstream.

“The proposed combination follows a period of significant progress at both companies, which together with favourable regulatory decisions, is expected to drive record adjusted EBITDA for 2026,” the companies stated in a release.

The consideration implies a value of $20.58 per Renewables share and total consideration to Renewables shareholders (other than Midstream) of approximately $261-million.

The combined company will operate as Tidewater Midstream and Infrastructure Ltd. and remain listed on the TSX under the symbol “TWM.”

**

Upcoming small-cap earnings:

Nov. 4: Maple Leaf Foods Inc. (MFI-T), Killam Apartment REIT (KMP-UN-T), Russel Metals Inc. (RUS-T), SmartCentres REIT (SRU-UN-T), Stella Jones Inc. (SJ-T), Maple Leaf Foods Inc. (MFI-T), Canadian Apartment Properties REIT (CAR-UN-T), Stella Jones Inc. (SJ-T), AirBoss of America Corp. (BOS-T), Vermilion Energy Inc. (VET-T), Savaria Corp. (SIS-T), North American Construction Group Ltd. (NOA-T), DIRTT Environmental Solutions Ltd. (DRT-T), Sprott Inc. (SII-T)

Nov. 5: Western Forest Products Inc. (WEF-T), Chartwell Retirement Residences (CSH.UN-T), Cascades Inc. (CAS-T), Interfor Corp. (IFP-T), Profound Medical Corp. (PRN-T), Lightspeed Commerce Inc. (LSPD-T), Cronos Group Inc. (CRON-T), Altus Group Ltd. (AIF-T), Kinaxis Inc. (KXS-T), DRI Healthcare Trust (DHT-UN-T), MDA Space Ltd. (MDA-T), Canada Goose Holdings Inc. (GOOS-T), Plaza Retail REIT (PLZ-UN-T), TerrAscend Corp. (TSND-T), Tucows Inc. (TC-T), Keel Infrastructure Corp. (KEEL-T), Lassonde Industries Inc. (LAS-A-T), Kits Eyecare Ltd. (KITS-T), Premium Brands Holdings Corp. (PBH-T), Knight Therapeutics Inc. (GUD-T)

Nov. 6: NFI Group Inc. (NFI-T), Cineplex Inc. (CGX-T), Pollard Banknote Ltd. (PBL-T), Parex Resources Inc. (PXT-T), Doman Building Materials Group Ltd. (DBM-T), Canopy Growth Corp. (WEED-T), Aimia Inc. (AIM-T), Diversified Royalty Corp. (DIV-T)

Nov. 9: Hemlo Mining Corp. (HMMC-T), Boston Pizza Royalties Income Fund (BPF-UN-T), Dorel Industries Inc. (DII-B-T)

Nov. 10: Superior Plus Corp. (SPB-T), Stingray Group Inc. (RAY-A-T), True North Commercial REIT (TNT-UN-T), Pet Valu Holdings Ltd. (PET-T), Neo Performance Materials Inc. (NEO-T), NanoXplore Inc. (GRA-T),

Nov. 11: Cargojet Inc. (CJT-T), Bird Construction Inc. (BDT-T), BSR REIT (HOM-U-T), Fiera Capital Corp. (FSZ-T), Boyd Group Services Inc. (BYD-T), Corby Spirit and Wine Ltd. (CSW-A-T), Timbercreek Financial Corp. (TF-T), Pro REIT (PRV-UN-T), Sagicor Financial Company Ltd. (SFC-T)

Nov. 12: Sienna Senior Living Inc. (SIA-T), Apotex Health Corp. (APTX-T), Total Energy Services Inc. (TOT-T), Automotive Properties REIT (APR-UN-T), AutoCanada Inc. (ACQ-T), Grown Rogue International Inc. (GRIN-CN), K-Bro Linen Inc. (KBL-T), Ascend Wellness Holdings, Inc. (AAWH-U-CN), Auxly Cannabis Group Inc. (XLY-T), HLS Therapeutics Inc. (HLS-T), Aurora Cannabis Inc. (ACB-T), Vecima Networks Inc. (VCM-T), AGT Food and Ingredients Inc. (AGTF-T), Cipher Pharmaceuticals Inc. (CPH-T), VitalHub Corp. (VHI-T)

Nov. 16: Ballard Power Systems (BLDP-T)

Nov. 19: Real Matters Inc. (REAL-T)

Nov. 25: Blue Ant Media Corp. (BAMI-T)

Dec. 2: EQB Inc. (EQB-T)

Dec. 9: Transcontinental Inc. (TCL-A-T)

- with a file from The Canadian Press

Editor’s note: A previous version of this article incorrectly stated that Topaz Energy’s reported revenue and other income was below its Q3 report of a year earlier. This year’s Q3 result was above last year’s result.