Third Quarter 2019
Highlights*
- Total net sales were $295 million for the quarter. Core
sales increased 3% on a year-over-year basis while foreign currency
decreased net sales 4% and the impact from acquisitions and
divestitures decreased net sales by 6%.
- The Industrial Tools & Services (“IT&S”) segment
achieved third quarter revenues of $167 million and delivered a
core net sales increase of 8% year-over-year.
- The Engineered Components & Systems (“EC&S”) segment
achieved revenues of $129 million with a core net sales decrease of
2%.
- GAAP Operating Margin was 16.0% versus 10.3% in third quarter
2018 (see Consolidated Results below, along with the attached
reconciliation of earnings). Adjusted Operating Margin
expanded 280bps over third quarter 2018 to 13.5%, from 10.7%.
- Adjusted EBITDA Margin increased by 190bps with sustained
improvement in operating leverage over the third quarter of
2018.
- GAAP diluted earnings per share (“EPS”) was $0.52 in the third
quarter of fiscal 2019, versus $0.48 in the comparable period in
2018. Adjusted EPS was $0.45, a 15% improvement over third
quarter 2018 adjusted EPS of $0.39.
- Continued reduction in year-over-year leverage (Net Debt to
Adjusted EBITDA), achieving 1.8x at the end of third quarter 2019,
down from 2.6x at the end of third quarter 2018.
- Retaining the remaining Cortland business following a
comprehensive sale process and strategic review of Cortland’s
future growth opportunities, specifically in the medical business.
*This news release contains non-GAAP financial measures in addition
to financial measures in accordance with GAAP.
Reconciliations of the GAAP to non-GAAP financial measures can be
found in the tables accompanying this release.
Actuant Corporation (NYSE: ATU) today announced results for its
fiscal 2019 third quarter ended May 31, 2019.
“We are pleased with the continued strong performance of our
IT&S segment, which was driven by solid product sales in North
America and very strong service sales in the Middle East and North
Sea. Despite challenging year-over-year comparisons, this quarter
marks five consecutive quarters of total core growth and seven
quarters of core product sales growth within the consolidated
IT&S business. We continue to take actions to enhance growth
and profitability, including driving new product development and
executing on our previously announced restructuring actions,”
commented Randy Baker, Actuant’s President and CEO.
Mr. Baker continued, “Our results this quarter reflect the solid
execution of our growth and profitability plans resulting from the
hard work of our teams around the world. I appreciate their
incredible dedication, which has been instrumental in getting us to
where we are today. We are well positioned to become a top-tier
industrial tools and services company, and we have a bright future
ahead of us.”
Consolidated
Results
(US$ in millions)
Three Months Ended May 31
Nine Months Ended May 31
2019
2018
2019
2018
Sales
$295.3
$317.1
$859.7
$881.2
Operating Profit
$47.4
$32.7
$54.4
$57.2
Adjusted Op Profit
$39.9
$33.9
$90.7
$72.3
Adjusted Op Profit %
13.5%
10.7%
10.6%
8.2%
Earnings Per Share
$0.52
$0.48
$0.29
$0.26
Adjusted Earnings Per Share
$0.45
$0.39
$0.90
$0.71
Net Income
$32.4
$29.0
$17.7
$16.0
EBITDA
$56.2
$43.2
$78.1
$87.1
Adjusted EBITDA
$47.1
$44.4
$112.7
$102.2
EBITDA Margin%
19.0%
13.6%
9.1%
9.9%
Adjusted EBITDA Margin%
15.9%
14.0%
13.1%
11.6%
- Consolidated net sales for the third quarter were $295.3
million, compared to $317.1 million in the prior year quarter. Core
sales improved 3% year-over-year, while foreign currency rate
changes decreased net sales by 4% and the impact of divestitures
(Precision-Hayes International and Cortland Fibron) reduced net
sales by 6%.
- Fiscal 2019 third quarter net income and EPS were $32.4 million
and $0.52, compared to a net income of $29.0 million and EPS of
$0.48, respectively, in the comparable prior year quarter. Fiscal
2019 third quarter earnings included:
- Net benefit of $9.9 million, or $0.16 per share after tax,
related to an impairment and divestiture benefit, along with a
depreciation/amortization true-up resulting from Cortland assets
being reclassified into assets held for use, partially offset by
EC&S divestiture costs;
- Restructuring charges of $1.1 million, $0.7 million benefit net
of tax ($0.01 per share) related to the previously announced
IT&S restructuring;
- $5.4 million ($0.09 per share) of charges primarily related to
an adjustment to the original provision for U.S. tax reform;
and
- Debt issuance costs of $0.5 million related to the modification
of our revolving credit facilities in the third quarter.
- Fiscal 2018 third quarter earnings included restructuring
charges of $1.2 million (benefit of $0.2 million and no EPS impact,
after tax) and a $4.9 million ($0.09 per share) benefit related to
an adjustment to the original provision for U.S. tax reform.
- Excluding impairment, other divestiture and restructuring
charges, adjusted EPS for the third quarter of fiscal 2019 was
$0.45, compared to $0.39 in the comparable prior year period (see
attached reconciliation of earnings).
- Consolidated net sales for the nine months ended May 31, 2019
were $859.7 million, compared to $881.2 million in the prior year
period. Core sales improved 4% year-over-year while foreign
currency rates decreased net sales by 3% and the net impact of
acquisitions and divestitures also decreased net sales by 3%.
- Fiscal 2019’s first nine months’ net income and EPS were $17.7
million and $0.29, respectively, compared to a net income and EPS
of $16.0 million and $0.26, respectively, in the comparable prior
year period.
Segment
Results
Industrial Tools & Services Segment
(IT&S)
(US$ in millions)
Three Months Ended May 31
Nine Months Ended May 31
2019
2018
2019
2018
Sales
$166.7
$158.7
$464.9
$437.7
Operating Profit
$34.9
$31.7
$87.8
$71.5
Adjusted Op Profit (1)
$36.0
$32.2
$88.9
$74.9
Adjusted Op Profit Margin% (1)
21.6%
20.3%
19.1%
17.1%
(1) Excludes $1.1 million of restructuring
charges in both the third quarter of fiscal 2019 and the nine
months ended May 31, 2019 compared to $0.5 million in the third
quarter of fiscal 2018 and $3.4 million in the nine months ended
May 31, 2018.
- Third quarter fiscal 2019 IT&S segment net sales were
$166.7 million, 5% higher than the prior year. Core sales increased
8%, the impact of foreign currency exchange rates decreased net
sales by 4% year-over-year, and acquisitions added 1%.
- Solid top line growth in both product and service resulted from
the continued strength of our end markets and the impact of our
prior commercial investments. The Middle East experienced double
digit top line growth in product and service and North America
experienced solid product sales.
- Adjusted operating profit improved as a result of increased
sales volume and continued product margin expansion.
Engineered Components & Systems
Segment (EC&S)
(US$ in millions)
Three Months Ended May 31
Nine Months Ended May 31
2019
2018
2019
2018
Sales
$128.5
$158.4
$394.8
$443.5
Operating Profit
$19.6
$9.6
$(10.1)
$9.2
Adjusted Op Profit (2)
$10.7
$9.7
$24.7
$16.0
Adjusted Op Profit Margin% (2)
8.3%
6.1%
6.3%
3.6%
(2) The third quarter of fiscal 2019
excludes a net $10.6 million impairment and divestiture benefit,
along with $1.7 million of depreciation/amortization true-up
related to Cortland assets being reclassified into assets held for
use. The third quarter of 2018 excludes $0.1 million of
restructuring charges. The nine months ended May 31, 2019 excludes
restructuring charges of $0.4 million, impairment and other
divestiture charges of $32.7 million and $1.7 million of
depreciation/amortization true-up also related to Cortland assets
being reclassified into assets held for use. The nine months ended
May 31, 2018 excludes restructuring charges of $3.8 million and
$3.0 million of impairment and other divestiture charges.
- Third quarter fiscal 2019 EC&S net sales were $128.5
million, a 19% decrease from the prior year. The divestiture of
Precision-Hayes International and Cortland Fibron resulted in a
decrease in net sales of $21.7 million (14%) and the strengthening
of the US dollar reduced net sales an additional 3%.
- Core sales were down 2% due to weather-related challenges in
the U.S. agriculture market along with softening in the U.S. frac
and European truck markets.
- Adjusted operating profit margin improved due to pricing,
operating efficiencies and lower incentive compensation
expense.
Corporate Expenses and Income Taxes
(excluding restructuring, debt-issuance and one-time tax
items)
- Corporate expenses for the third quarter of fiscal 2019 were
$6.8 million, $1.3 million lower than the comparable prior year
period, primarily resulting from decreased incentive compensation
expense.
- The third quarter effective income tax rate of approximately
15% was in line with expectations but higher than the prior year
rate of 9%.
Balance Sheet and
Leverage
(US$ in millions)
Period Ending
May 31, 2019
Aug 31, 2018
May 31, 2018
Cash Balance
$201.3
$250.5
$189.5
Debt Balance
$475.2
$532.7
$540.0
Net Debt to Adjusted EBITDA
1.8
1.9
2.6
- Net debt at May 31, 2019 was approximately $274 million (total
debt of $475 million less $201 million of cash), which decreased
approximately $57.5 million from the end of fiscal 2018 and $77
million from third quarter of fiscal 2018. Net Debt to Adjusted
EBITDA was 1.8x at May 31, 2019.
Outlook for Q4 2019
The company provides the following updated outlook for its
fourth quarter 2019:
- Annual sales: $1.125 to $1.135 billion, with annual core sales
growth between 2% and 3%;
- Full year adjusted EBITDA: $151 to $155 million;
- Full year adjusted EPS: $1.15 to $1.21;
- Full year free cash flow: $62 to $70 million;
- Fourth quarter sales: $265 to $275 million;
- Fourth quarter adjusted EBITDA: $38 to $42 million; and
- Fourth quarter adjusted EPS: $0.25 to $0.31.
Mr. Baker said, “Our outlook for the year reflects the continued
positive fundamentals of the IT&S business and its solid
end-markets, offset by some softness in several EC&S
end-markets. Looking forward, we are excited about the IT&S
opportunities we see to drive growth and operate even more
efficiently as we execute our strategies to deliver enhanced value
for shareholders.”
All guidance excludes restructuring, impairment and divestiture
charges, one-time tax adjustments and the impact of potential
future acquisitions, dispositions, share repurchases and
tariffs.
EC&S Divestiture
Process
As previously announced, the Company intends to solely focus on
the IT&S segment and pursue a standalone strategy as a pure
play industrial tools and services company. To achieve its
objective, the Company initiated a process to unlock value of the
remaining EC&S segment and enhance long-term value for its
shareholders through a potential divestiture of the segment.
The process continues and the Company will comment on or provide
updates regarding these matters (including the status of the
divestiture) only when the Company determines that further
disclosure is appropriate or required. No assurance can be given
that any transaction will result from the EC&S sale process or
as to its timing.
Conference Call
Information
An investor conference call is scheduled for 10am CT today, June
26, 2019. Webcast information and conference call materials will be
made available on the Actuant company website (www.actuant.com)
prior to the start of the call.
Safe Harbor Statement
Certain of the above comments represent forward-looking
statements made pursuant to the provisions of the Private
Securities Litigation Reform Act of 1995. Management cautions that
these statements are based on current estimates of future
performance and are highly dependent upon a variety of factors,
which could cause actual results to differ from these estimates.
Among other risks and factors, Actuant’s results are subject to
general economic conditions, variation in demand from customers,
the impact of geopolitical activity on the economy, continued
market acceptance of the Company’s new product introductions, the
successful integration of acquisitions, restructuring, operating
margin risk due to competitive pricing and operating efficiencies,
supply chain risk, material and labor cost increases, tax reform,
foreign currency fluctuations and interest rate risk. See the
Company’s Form 10-K for the fiscal year ended August 31, 2018 filed
with the Securities and Exchange Commission for further information
regarding risk factors. Actuant disclaims any obligation to
publicly update or revise any forward-looking statements as a
result of new information, future events or any other reason.
Non-GAAP Financial
Information
This press release contains financial measures that are not
measures presented in conformity with GAAP. They include EBITDA,
Adjusted EBITDA, Adjusted EPS, Adjusted Operating Profit, Free Cash
Flow and Net Debt. This press release includes reconciliations of
these non-GAAP measures to the most comparable GAAP measure,
including in the tables attached to this press release. Management
believes these non-GAAP measures are commonly used financial
measures for investors to evaluate Actuant’s operating performance
and financial position with respect to the periods presented and,
when read in conjunction with the condensed consolidated financial
statements, present a useful tool to evaluate ongoing operations
and provide investors with metrics they can use to evaluate aspects
of the Company’s performance from period to period. In addition,
these are some of the factors management uses in internal
evaluations of the overall performance of the Company’s business.
Management acknowledges that there are many items that impact a
company’s reported results and the adjustments reflected in these
non-GAAP measures are not intended to present all items that may
have impacted these results. In addition, these non-GAAP measures
are not necessarily comparable to similarly-titled measures used by
other companies.
About Actuant
Corporation
Actuant Corporation is a diversified industrial company serving
customers from operations in more than 30 countries. The Actuant
businesses are leaders in a broad array of niche markets including
branded hydraulic tools and solutions; specialized products and
services for energy markets and highly engineered position and
motion control systems. The Company was founded in 1910 and is
headquartered in Menomonee Falls, Wisconsin. Actuant trades on the
NYSE under the symbol ATU. For further information on Actuant and
its businesses, visit the Company's website at www.actuant.com.
(tables follow)
Actuant Corporation
Condensed Consolidated Balance
Sheets
(Dollars in thousands)
(Unaudited)
May 31,
August 31,
2019
2018
ASSETS Current assets Cash and cash equivalents
$
201,334
$
250,490
Accounts receivable, net
202,808
187,749
Inventories, net
167,592
156,356
Assets held for sale
-
23,573
Other current assets
44,475
42,732
Total current assets
616,209
660,900
Property, plant and equipment, net
89,973
90,220
Goodwill
491,499
512,412
Other intangible assets, net
158,182
181,037
Other long-term assets
37,293
36,769
Total assets
$
1,393,156
$
1,481,338
LIABILITIES AND SHAREHOLDERS' EQUITY Current
liabilities Trade accounts payable
$
126,145
$
130,838
Accrued compensation and benefits
39,929
54,508
Current maturities of debt
6,250
30,000
Income taxes payable
8,762
4,091
Liabilities held for sale
-
44,225
Other current liabilities
52,477
67,299
Total current liabilities
233,563
330,961
Long-term debt, net
468,984
502,695
Deferred income taxes
21,101
21,933
Pension and postretirement benefit liabilities
14,275
14,869
Other long-term liabilities
47,809
52,168
Total liabilities
785,732
922,626
Shareholders' equity Capital stock
16,374
16,285
Additional paid-in capital
177,584
167,448
Treasury stock
(617,731
)
(617,731
)
Retained earnings
1,184,749
1,166,955
Accumulated other comprehensive loss
(153,552
)
(174,245
)
Stock held in trust
(3,075
)
(2,450
)
Deferred compensation liability
3,075
2,450
Total shareholders' equity
607,424
558,712
Total liabilities and shareholders' equity
$
1,393,156
$
1,481,338
Actuant Corporation Condensed Consolidated Statements of
Earnings (Dollars in thousands, except per share
amounts) (Unaudited)
Three Months Ended
Nine Months Ended
May 31,
May 31,
May 31,
May 31,
2019
2018
2019
2018
Net sales
$
295,266
$
317,096
$
859,704
$
881,216
Cost of products sold
183,365
200,587
545,309
574,100
Gross profit
111,901
116,509
314,395
307,116
Selling, administrative and engineering expenses
69,612
77,463
213,548
220,228
Amortization of intangible assets
4,411
5,184
12,131
15,483
Restructuring charges
1,115
1,170
1,578
11,249
Impairment & divestiture charges
(10,597
)
-
32,741
2,987
Operating profit
47,360
32,692
54,397
57,169
Financing costs, net
7,255
7,756
21,703
22,874
Other expense (income), net
378
(81
)
1,946
830
Income before income tax expense (benefit)
39,727
25,017
30,748
33,465
Income tax expense (benefit)
7,309
(3,995
)
13,029
17,448
Net earnings
$
32,418
$
29,012
$
17,719
$
16,017
Earnings per share Basic
$
0.53
$
0.48
$
0.29
$
0.27
Diluted
0.52
0.48
0.29
0.26
Weighted average common shares outstanding Basic
61,422
60,683
61,232
60,291
Diluted
61,840
61,064
61,701
60,850
Actuant Corporation Condensed Consolidated Statements of
Cash Flows (In thousands) (Unaudited)
Three Months Ended
Nine Months Ended
May 31,
May 31,
May 31,
May 31,
2019
2018
2019
2018
Operating Activities Net earnings
$
32,418
$
29,012
$
17,719
$
16,017
Adjustments to reconcile net earnings to net cash provided by
operating activities: Impairment & divestiture charges, net of
tax effect
(11,162
)
-
29,362
12,385
Depreciation and amortization
9,263
10,415
25,604
30,800
Stock-based compensation expense
3,091
3,659
10,253
11,951
Benefit for deferred income taxes
(684
)
(3,455
)
(2,129
)
(10,579
)
Amortization of debt issuance costs
282
413
884
1,239
Other non-cash adjustments
199
147
262
347
Changes in components of working capital and other, excluding
acquisitions and divestitures: Accounts receivable
11,393
(4,584
)
(25,043
)
(21,456
)
Inventories
2,135
(4,157
)
(22,662
)
(22,590
)
Trade accounts payable
1,443
6,915
(1,367
)
5,162
Prepaid expenses and other assets
5,392
(4,524
)
(4,029
)
(13,692
)
Income tax accounts
2,881
8,484
4,412
25,989
Accrued compensation and benefits
2,623
7,778
(13,817
)
(2,181
)
Other accrued liabilities
(6,769
)
7,592
(18,258
)
2,197
Cash provided by operating activities
52,505
57,695
1,191
35,589
Investing Activities Capital expenditures
(8,052
)
(6,169
)
(23,719
)
(18,716
)
Proceeds from sale of property, plant and equipment
1,297
35
1,349
148
Rental asset buyout for Viking divestiture
-
-
-
(27,718
)
Proceeds from sale of business, net of transaction costs
-
-
36,159
8,780
Cash paid for business acquisitions, net of cash acquired
-
(5,809
)
-
(22,326
)
Cash (used in) provided by investing activities
(6,755
)
(11,943
)
13,789
(59,832
)
Financing Activities Principal repayments on term
loan
(10,000
)
(7,500
)
(57,500
)
(22,500
)
Payment for redemption of term loan
(200,000
)
-
(200,000
)
-
Proceeds from issuance of term loan
200,000
-
200,000
-
Payment of debt issuance costs
(2,125
)
-
(2,125
)
-
Stock option exercises & other
321
130
1,352
10,435
Taxes paid related to the net share settlement of equity awards
(322
)
(172
)
(1,811
)
(1,279
)
Cash dividend
-
-
(2,439
)
(2,390
)
Cash used in financing activities
(12,126
)
(7,542
)
(62,523
)
(15,734
)
Effect of exchange rate changes on cash
(2,678
)
(2,315
)
(1,613
)
(104
)
Net increase (decrease) in cash and cash equivalents
30,946
35,895
(49,156
)
(40,081
)
Cash and cash equivalents - beginning of period
170,388
153,595
250,490
229,571
Cash and cash equivalents - end of period
$
201,334
$
189,490
$
201,334
$
189,490
ACTUANT CORPORATION SUPPLEMENTAL UNAUDITED DATA
(Dollars in thousands) FISCAL 2018 FISCAL
2019 Q1 Q2 Q3 Q4 TOTAL
Q1 Q2 Q3 Q4 TOTAL
SALES INDUSTRIAL TOOLS & SERVICES SEGMENT
$
141,991
$
136,986
$
158,735
$
153,373
$
591,085
$
148,655
$
149,521
$
166,732
$
-
$
464,908
ENGINEERED COMPONENTS & SYSTEMS SEGMENT
146,964
138,179
158,361
148,022
591,526
143,876
122,386
128,534
-
394,796
TOTAL
$
288,955
$
275,165
$
317,096
$
301,395
$
1,182,611
$
292,531
$
271,907
$
295,266
$
-
$
859,704
% SALES GROWTH INDUSTRIAL TOOLS
& SERVICES SEGMENT
2
%
5
%
8
%
12
%
7
%
5
%
9
%
5
%
-
6
%
ENGINEERED COMPONENTS & SYSTEMS SEGMENT
16
%
7
%
7
%
6
%
9
%
-2
%
-11
%
-19
%
-
-11
%
TOTAL
9
%
6
%
7
%
9
%
8
%
1
%
-1
%
-7
%
-
-2
%
OPERATING PROFIT (LOSS) INDUSTRIAL TOOLS &
SERVICES SEGMENT
$
22,218
$
20,510
$
32,206
$
28,783
$
103,718
$
26,345
$
26,596
$
35,992
$
-
$
88,933
ENGINEERED COMPONENTS & SYSTEMS SEGMENT
5,107
1,177
9,714
8,789
24,787
8,593
5,484
10,664
-
24,741
CORPORATE / GENERAL
(6,023
)
(4,612
)
(8,042
)
(5,298
)
(23,976
)
(7,400
)
(8,780
)
(6,786
)
-
(22,966
)
ADJUSTED OPERATING PROFIT
$
21,302
$
17,075
$
33,878
$
32,274
$
104,529
$
27,538
$
23,300
$
39,870
$
-
$
90,708
IMPAIRMENT & DIVESTITURE CHARGES
-
(2,987
)
-
(70,071
)
(73,058
)
(36,453
)
(6,886
)
10,597
-
(32,742
)
RESTRUCTURING CHARGES (1)
(6,629
)
(4,284
)
(1,186
)
(746
)
(12,845
)
(403
)
(60
)
(1,115
)
-
(1,578
)
DEBT MODIFICATION COSTS
-
-
-
-
-
-
-
(288
)
-
(288
)
DEPRECIATION & AMORTIZATION TRUE UP (2)
-
-
-
-
-
-
-
(1,704
)
-
(1,704
)
OPERATING PROFIT (LOSS)
$
14,673
$
9,804
$
32,692
$
(38,543
)
$
18,626
$
(9,318
)
$
16,354
$
47,360
$
-
$
54,396
ADJUSTED OPERATING PROFIT % INDUSTRIAL TOOLS &
SERVICES SEGMENT
15.6
%
15.0
%
20.3
%
18.8
%
17.5
%
17.7
%
17.8
%
21.6
%
-
19.1
%
ENGINEERED COMPONENTS & SYSTEMS SEGMENT
3.5
%
0.9
%
6.1
%
5.9
%
4.2
%
6.0
%
4.5
%
8.3
%
-
6.3
%
ADJUSTED OPERATING PROFIT %
7.4
%
6.2
%
10.7
%
10.7
%
8.8
%
9.4
%
8.6
%
13.5
%
-
10.6
%
EBITDA INDUSTRIAL TOOLS & SERVICES
SEGMENT
$
25,567
$
24,594
$
36,394
$
32,763
$
119,318
$
30,038
$
30,153
$
40,015
$
-
$
100,206
ENGINEERED COMPONENTS & SYSTEMS SEGMENT
11,004
7,267
15,093
15,114
48,478
12,841
8,486
12,651
-
33,978
CORPORATE / GENERAL
(5,508
)
(5,073
)
(7,113
)
(4,672
)
(22,366
)
(7,362
)
(8,544
)
(5,615
)
-
(21,521
)
ADJUSTED EBITDA
$
31,063
$
26,788
$
44,374
$
43,205
$
145,430
$
35,517
$
30,095
$
47,051
$
-
$
112,663
IMPAIRMENT & DIVESTITURE CHARGES
-
(2,987
)
-
(70,071
)
(73,058
)
(36,453
)
(6,886
)
10,597
-
(32,742
)
RESTRUCTURING CHARGES (1)
(6,629
)
(4,284
)
(1,186
)
(746
)
(12,845
)
(403
)
(60
)
(1,115
)
-
(1,578
)
DEBT MODIFICATION COSTS
-
-
-
-
-
-
-
(288
)
-
(288
)
EBITDA
$
24,434
$
19,517
$
43,188
$
(27,612
)
$
59,527
$
(1,339
)
$
23,149
$
56,245
$
-
$
78,055
ADJUSTED EBITDA % INDUSTRIAL TOOLS &
SERVICES SEGMENT
18.0
%
18.0
%
22.9
%
21.4
%
20.2
%
20.2
%
20.2
%
24.0
%
-
21.6
%
ENGINEERED COMPONENTS & SYSTEMS SEGMENT
7.5
%
5.3
%
9.5
%
10.2
%
8.2
%
8.9
%
6.9
%
9.8
%
-
8.6
%
ADJUSTED EBITDA %
10.8
%
9.7
%
14.0
%
14.3
%
12.3
%
12.1
%
11.1
%
15.9
%
-
13.1
%
Notes: (1) Approximately $0.8 million of the Q2
fiscal 2018 restructuring charges were recorded in cost of products
sold. De minimis restructuring charges were also recorded in cost
of products sold in Q3 fiscal 2018. (2) Represents the depreciation
and amortization expense true up for the Cortland business assets
that were reclassified out of held for sale in Q3 fiscal 2019, as
though the assets had never been classified as held for sale.
ACTUANT CORPORATION
SUPPLEMENTAL UNAUDITED DATA RECONCILIATION OF GAAP
MEASURES TO NON-GAAP MEASURES (Dollars in thousands, except
for per share amounts) FISCAL 2018
FISCAL 2019 Q1 Q2 Q3 Q4
TOTAL Q1 Q2 Q3 Q4 TOTAL
ADJUSTED EARNINGS (1) NET EARNINGS (LOSS) (GAAP MEASURE)
$
5,226
$
(18,221
)
$
29,012
$
(37,664
)
$
(21,648
)
$
(17,452
)
$
2,753
$
32,418
$
-
$
17,719
IMPAIRMENT & DIVESTITURE CHARGES, NET OF TAX EFFECT
-
12,385
-
62,949
75,334
33,836
6,688
(11,162
)
-
29,362
RESTRUCTURING CHARGES, NET OF TAX EFFECT (1)
6,254
3,784
(249
)
(337
)
9,452
300
(191
)
(749
)
-
(640
)
ACCELERATED DEBT ISSUANCES & MODIFICATION COSTS,
-
-
-
601
601
-
-
358
-
358
NET OF TAX EFFECT DEPRECIATION & AMORTIZATION TRUE UP, NET OF
TAX EFFECT
-
-
-
-
-
-
-
1,302
-
1,302
OTHER INCOME TAX (BENEFIT) EXPENSE
-
9,705
(4,891
)
(1,831
)
2,983
-
2,258
5,412
-
7,670
ADJUSTED EARNINGS
$
11,480
$
7,653
$
23,872
$
23,718
$
66,722
$
16,684
$
11,508
$
27,579
$
-
$
55,771
ADJUSTED DILUTED EARNINGS PER SHARE (2) NET EARNINGS
(LOSS) (GAAP MEASURE)
$
0.09
$
(0.30
)
$
0.48
$
(0.62
)
$
(0.36
)
$
(0.29
)
$
0.04
$
0.52
$
-
$
0.29
IMPAIRMENT & DIVESTITURE CHARGES, NET OF TAX EFFECT
-
0.21
-
1.03
1.24
0.55
0.11
(0.18
)
-
0.47
RESTRUCTURING CHARGES, NET OF TAX EFFECT (1)
0.10
0.06
-
(0.01
)
0.15
0.01
-
(0.01
)
-
(0.01
)
ACCELERATED DEBT ISSUANCES & MODIFICATION COSTS,
-
-
-
0.01
0.01
-
-
0.01
-
0.01
NET OF TAX EFFECT DEPRECIATION & AMORTIZATION TRUE UP, NET OF
TAX EFFECT
-
-
-
-
-
-
-
0.02
-
0.02
OTHER INCOME TAX (BENEFIT) EXPENSE
-
0.16
(0.09
)
(0.02
)
0.05
-
0.04
0.09
-
0.12
ADJUSTED DILUTED EARNINGS PER SHARE
$
0.19
$
0.13
$
0.39
$
0.39
$
1.09
$
0.27
$
0.19
$
0.45
$
-
$
0.90
ADJUSTED EBITDA (3) NET EARNINGS (LOSS) (GAAP
MEASURE)
$
5,226
$
(18,221
)
$
29,012
$
(37,664
)
$
(21,648
)
$
(17,452
)
$
2,753
$
32,418
$
-
$
17,719
FINANCING COSTS, NET
7,514
7,604
7,756
8,617
31,491
7,295
7,153
7,255
-
21,703
INCOME TAX (BENEFIT) EXPENSE
1,604
19,839
(3,995
)
(8,472
)
8,976
(72
)
5,792
7,309
-
13,029
DEPRECIATION & AMORTIZATION
10,090
10,295
10,415
9,907
40,708
8,890
7,451
9,263
-
25,604
EBITDA
$
24,434
$
19,517
$
43,188
$
(27,612
)
$
59,527
$
(1,339
)
$
23,149
$
56,245
$
-
$
78,055
IMPAIRMENT & OTHER DIVESTITURE CHARGES
-
2,987
-
70,071
73,058
36,453
6,886
(10,597
)
-
32,742
RESTRUCTURING CHARGES
6,629
4,284
1,186
746
12,845
403
60
1,115
-
1,578
DEBT MODIFICATION COSTS
-
-
-
-
-
-
-
288
-
288
ADJUSTED EBITDA
$
31,063
$
26,788
$
44,374
$
43,205
$
145,430
$
35,517
$
30,095
$
47,051
$
-
$
112,663
FOOTNOTES
NOTE:
The total of the individual quarters may not equal the annual total
due to rounding.
(1)
Approximately $0.8 million of Q2 fiscal 2018 restructuring charges
were recorded in cost of products sold. De minimis restructuring
charges were also recorded in cost of products sold in Q3 fiscal
2018.
(2)
Adjusted earnings and adjusted diluted earnings per share represent
net earnings (loss) and diluted earnings (loss) per share per the
Condensed Consolidated Statements of Operations net of charges or
credits for items to be highlighted for comparability purposes.
These measures should not be considered as an alternative to net
earnings (loss) or diluted earnings (loss) per share or as an
indicator of the Company's operating performance. However, this
presentation is important to investors for understanding the
operating results of the current portfolio of Actuant companies.
The total of the individual components may not equal due to
rounding.
(3)
EBITDA represents net earnings (loss) before financing costs, net,
income tax (benefit) expense, and depreciation & amortization.
EBITDA is not a calculation based upon generally accepted
accounting principles (GAAP). The amounts included in the EBITDA
and Adjusted EBITDA calculation, however, are derived from amounts
included in the Condensed Consolidated Statements of Earnings.
EBITDA should not be considered as an alternative to net earnings
(loss), operating profit (loss) or operating cash flows. Actuant
has presented EBITDA because it regularly reviews this performance
measure. In addition, EBITDA is used by many of our investors and
lenders, and is presented as a convenience to them. The EBITDA
measure presented may not always be comparable to similarly titled
measures reported by other companies due to differences in the
components of the calculation.
ACTUANT CORPORATION
SUPPLEMENTAL UNAUDITED DATA RECONCILIATION OF GAAP TO
NON-GAAP GUIDANCE (Dollars in millions, except for per share
amounts) Q4 FISCAL 2019 FISCAL 2019
LOW HIGH LOW HIGH RECONCILIATION OF
GAAP DILUTED EARNINGS PER SHARE TO ADJUSTED DILUTED EARNINGS
PER SHARE GUIDANCE GAAP DILUTED EARNINGS PER SHARE
$
0.14
$
0.22
$
0.43
$
0.51
IMPAIRMENT & OTHER DIVESTITURE CHARGES, NET OF TAX EFFECT TBD
TBD
0.47
0.47
RESTRUCTURING CHARGES, NET OF TAX EFFECT
0.11
0.09
0.10
0.08
ACCELERATED DEBT ISSUANCES & MODIFICATION COSTS, NET OF TAX
EFFECT
-
-
0.01
0.01
DEPRECIATION & AMORTIZATION TRUE UP, NET OF TAX EFFECT
-
-
0.02
0.02
OTHER INCOME TAX (BENEFIT) EXPENSE TBD TBD
0.12
0.12
ADJUSTED DILUTED EARNINGS PER SHARE GUIDANCE
$
0.25
$
0.31
$
1.15
$
1.21
RECONCILIATION OF GAAP CASH FLOW FROM OPERATIONS
TO FREE CASH FLOW CASH FLOW FROM OPERATIONS
$
87
$
100
CAPITAL EXPENDITURES
(25
)
(30
)
OTHER
-
-
FREE CASH FLOW GUIDANCE
$
62
$
70
FOOTNOTES
NOTE:
Management does not provide guidance on GAAP financial measures as
we are unable to predict and estimate with certainty items such as
potential impairments, refinancing costs, business divestiture
gains/losses, discrete tax adjustments, or other items impacting
GAAP financial metrics. As a result, we have included above only
those items about which we are aware and are reasonably likely to
occur during the guidance period covered.
View source
version on businesswire.com: https://www.businesswire.com/news/home/20190626005220/en/
Contact: Barb Bolens VP Corporate Strategy & Investor
Relations 262-293-1562
Actuant (NYSE:ATU)
Gráfica de Acción Histórica
De May 2024 a Jun 2024
Actuant (NYSE:ATU)
Gráfica de Acción Histórica
De Jun 2023 a Jun 2024