Company Announcements

Pitney Bowes Announces Third Quarter 2020 Financial Results

STAMFORD, Conn.--(BUSINESS WIRE)--Oct. 30, 2020-- Pitney Bowes Inc. (NYSE: PBI), a global technology company that provides commerce solutions in the areas of ecommerce, shipping, mailing and financial services, today announced its financial results for the third quarter 2020.

“We grew revenue 13 percent in the third quarter, which is the strongest organic revenue growth rate we have achieved in well over a decade,” said Marc B. Lautenbach, President and CEO, Pitney Bowes. “I am extremely proud of what the team has accomplished, especially during these challenging times.

“Several years ago, we implemented a strategy to shift our portfolio to the growth areas of the market,” Lautenbach continued. “The investments we have made are paying off especially with our shipping-related revenues, which comprise half of our overall revenue. Although uncertainties remain given the Covid-19 pandemic, we are pleased with the momentum in our businesses and believe we are well positioned to capitalize on the market opportunities ahead of us.”

Third Quarter - Financial Overview:

  • Revenue of $892 million, growth of 13 percent
  • GAAP EPS of $0.07; Adjusted EPS of $0.08
  • GAAP cash from operations of $104 million; free cash flow of $85 million

Third Quarter - Other Highlights:

  • The Company repaid the $100 million drawn against the revolving credit facility.
  • The Company ended the third quarter with $820 million in cash and short-term investments.
  • Shipping-related revenues represented 50 percent of total revenue.
  • Global Ecommerce revenue exceeded $400 million for the first time, representing 47 percent growth.
  • Global Ecommerce Domestic Parcel volumes more than doubled from prior year.
  • Presort Services productivity measures resulted in 115,000 fewer labor hours to sort nearly 4.1 billion pieces.
  • SendTech shipping revenue was $32 million and grew at a double-digit rate.
  • SendTech shipped nearly 12,000 units of the SendPro Mailstation since launching in April.

Third Quarter Results

Revenue totaled $892 million, which was growth of 13 percent over prior year.

GAAP earnings per share were $0.07 and adjusted earnings per share were $0.08.

GAAP cash from operations was $104 million and free cash flow was $85 million. Free cash flow increased over prior year largely due to changes in working capital, particularly around timing of accounts receivable, which was partly offset by lower net income.

During the quarter, the Company repaid the $100 million drawn against the revolving credit facility, invested $21 million in capital expenditures, paid $9 million in dividends and made $5 million in restructuring payments.

On a year-to-date basis, GAAP cash from operations is $191 million and free cash flow is $186 million.

Earnings per share results for the third quarter are summarized in the table below:

 

Third Quarter*

 

2020

2019

GAAP EPS

$0.07

($0.02)

Discontinued operations

-

0.05

GAAP EPS from continuing operations

$0.06

$0.03

Restructuring and asset impairments

0.02

0.20

Adjusted EPS

$0.08

$0.24

* The sum of the earnings per share may not equal the totals due to rounding.

Business Segment Reporting

The Commerce Services group includes the Global Ecommerce and Presort Services segments. Global Ecommerce facilitates domestic retail and ecommerce shipping solutions, including fulfillment and returns, and global cross-border ecommerce transactions. Presort Services provides sortation services to qualify large volumes of First Class Mail, Marketing Mail, Marketing Mail Flats and Bound Printed Matter for postal workshare discounts.

The Sending Technology Solutions segment offers physical and digital mailing and shipping technology solutions, financing, services, supplies and other applications for small and medium businesses to help simplify and save on the sending, tracking and receiving of letters, parcels and flats.

The sum of the segment results may not equal the totals due to rounding.

Commerce Services

 

Third Quarter

($ millions)

2020

2019

B/(W)
Reported

B/(W) Ex
Currency

Revenue

 

 

 

 

Global Ecommerce

$410

$279

47%

47%

Presort Services

128

131

(3%)

(3%)

Commerce Services

$538

$410

31%

31%

 

 

 

 

 

EBITDA

 

 

 

 

Global Ecommerce

($3)

($4)

34%

 

Presort Services

23

25

(11%)

 

Commerce Services

$20

$21

(6%)

 

 

 

 

 

 

EBIT

 

 

 

 

Global Ecommerce

($20)

($22)

9%

 

Presort Services

14

18

(18%)

 

Commerce Services

($5)

($4)

(28%)

 

Global Ecommerce

Revenue increased driven by strong volume growth in Domestic Parcel, Digital Delivery and Cross Border Services. EBIT margin improved from prior year driven by increased volumes, partly offset by investments to support growth and gain share along with incremental costs associated with Covid-19.

Presort Services

Revenue improved from second quarter as the year-over-year volume declines moderated. Revenue declined from prior year due to lower Marketing Mail and First Class volumes processed. Marketing Mail Flats and Bound Printed Matter volumes continued to grow at a double-digit rate over prior year. EBIT and EBITDA margins improved slightly quarter-to-quarter. Compared to prior year, EBIT and EBITDA margins were impacted primarily by the lower revenue.

SendTech Solutions

 

 

Third Quarter

 

($ millions)

2020

2019

B/(W)

Reported

B/(W) Ex
Currency

Revenue

$354

$380

(7%)

(7%)

EBITDA

$121

$141

(14%)

 

EBIT

$113

$131

(14%)

 

 

 

 

Revenue improved from second quarter as year-over-year declines moderated. Revenue declined from prior year largely driven by lower equipment sales, support services, supplies and financing. Business services revenues grew over prior year as clients increased their usage of shipping offerings and capabilities. EBIT and EBITDA margins declined from prior year primarily driven by the lower revenue performance.

2020 Guidance

Given the continued level of uncertainty around the depth and duration of Covid-19, the Company will not provide guidance which is consistent with prior quarters.

Conference Call and Webcast

Management of Pitney Bowes will discuss the Company’s results in a broadcast over the Internet today at 8:00 a.m. ET. Instructions for listening to the earnings results via the Web are available on the Investor Relations page of the Company’s web site at www.pitneybowes.com.

About Pitney Bowes

Pitney Bowes (NYSE:PBI) is a global technology company providing commerce solutions that power billions of transactions. Clients around the world, including 90 percent of the Fortune 500, rely on the accuracy and precision delivered by Pitney Bowes solutions, analytics, and APIs in the areas of ecommerce fulfillment, shipping and returns; cross-border ecommerce; office mailing and shipping; presort services; and financing. For 100 years, Pitney Bowes has been innovating and delivering technologies that remove the complexity of getting commerce transactions precisely right. For additional information visit Pitney Bowes, the Craftsmen of Commerce, at www.pitneybowes.com.

Use of Non-GAAP Measures

The Company's financial results are reported in accordance with generally accepted accounting principles (GAAP); however, in its disclosures the Company uses certain non-GAAP measures, such as adjusted earnings before interest and taxes (EBIT), adjusted earnings before interest, taxes, depreciation and amortization (EBITDA), adjusted earnings per share (EPS), revenue growth on a constant currency basis and free cash flow.

The Company reports measures such as adjusted EBIT, adjusted EBITDA and adjusted EPS to exclude the impact of items like discontinued operations, restructuring charges, gains, losses and costs related to acquisitions and dispositions, asset impairment charges, goodwill impairment charges and other unusual or one-time items. While these are actual Company income or expenses, they can mask underlying trends associated with its business. Such items are often inconsistent in amount and frequency and as such, the non-GAAP measures provide investors greater insight into the underlying operating trends of the business.

In addition, revenue growth is presented on a constant currency basis to exclude the impact of changes in foreign currency exchange rates since the prior period under comparison. Constant currency is calculated by converting the current period non-U.S. dollar denominated revenue using the prior year’s exchange rate for the comparable quarter. We believe that excluding the impacts of currency exchange rates provides investors a better understanding of the underlying revenue performance. A reconciliation of reported revenue to constant currency revenue can be found in the attached financial schedules.

The Company reports free cash flow in order to provide investors insight into the amount of cash that management could have available for other discretionary uses. Free cash flow adjusts GAAP cash from operations for cash flows of discontinued operations, capital expenditures, restructuring payments, changes in customer deposits held at the Pitney Bowes Bank, transaction costs and other special items. A reconciliation of GAAP cash from operations to free cash flow can be found in the attached financial schedules.

Segment EBIT is the primary measure of profitability and operational performance at the segment level. Segment EBIT is determined by deducting from segment revenue the related costs and expenses attributable to the segment. Segment EBIT excludes interest, taxes, general corporate expenses not allocated to a particular business segment, restructuring charges and goodwill and asset impairments, which are recognized on a consolidated basis. The Company also provides segment EBITDA, which further excludes depreciation and amortization expense for the segment, as an additional useful measure of segment profitability and operational performance. A reconciliation of segment EBIT and EBITDA to net income can be found in the attached financial schedules.

Pitney Bowes has provided a quantitative reconciliation to GAAP in supplemental schedules. This information can be found at the Company's web site www.pb.com/investorrelations.

This document contains “forward-looking statements” about the Company’s expected or potential future business and financial performance. Forward-looking statements include, but are not limited to, statements about its future revenue and earnings guidance and other statements about future events or conditions. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that could cause actual results to differ materially from those projected. These risks and uncertainties include the severity, magnitude and duration of the Covid-19 pandemic (Covid-19), including governments' responses to Covid-19, its continuing impact on our operations, employees, the availability and cost of labor, global supply chain and demand across our and our clients' businesses as well as any deterioration or instability in global macroeconomic conditions. Other factors, which could cause future financial performance to differ materially from the expectations, and which may also be exacerbated by Covid-19 or a negative change in the economy, include, without limitation: declining physical mail volumes; changes in postal regulations, or the financial health of posts in the U.S. or other major markets or the loss of, or significant changes to, our contractual relationship with the United States Postal Service (USPS); our ability to continue to grow and manage volumes, gain additional economies of scale and improve profitability within our Commerce Services group; changes in political conditions and their potential impacts on the operations of the USPS and broader mailing and shipping industry; the loss of some of our larger clients in our Commerce Services group; expenses and potential impacts resulting from a breach of security, including cyber-attacks or other comparable events; changes in labor conditions and transportation costs; our success at managing customer credit risk; third-party suppliers' ability to provide products and services required by us and our clients; capital market disruptions or credit rating downgrades that adversely impact our ability to access capital markets at reasonable costs; and other factors as more fully outlined in the Company's 2019 Form 10-K Annual Report and other reports filed with the Securities and Exchange Commission. Pitney Bowes assumes no obligation to update any forward-looking statements contained in this document as a result of new information, events or developments.

Note: Consolidated statements of income; revenue, EBIT and EBITDA by business segment; and reconciliations of GAAP to non-GAAP measures for the three months and nine months ended September 30, 2020 and 2019, and consolidated balance sheets at September 30, 2020 and December 31, 2019 are attached.

Pitney Bowes Inc.
Consolidated Statements of Income (Loss)
(Unaudited; in thousands, except per share amounts)
 

Three months ended September 30,

Nine months ended September 30,

 

2020

 

 

2019

 

 

2020

 

 

2019

 

Revenue:
Business services

$

550,954

 

$

419,101

 

$

1,524,323

 

$

1,243,609

 

Support services

 

117,519

 

 

126,274

 

 

353,320

 

 

382,578

 

Financing

 

86,218

 

 

90,577

 

 

260,758

 

 

280,039

 

Equipment sales

 

79,572

 

 

89,618

 

 

213,682

 

 

264,956

 

Supplies

 

39,635

 

 

44,818

 

 

118,117

 

 

142,261

 

Rentals

 

18,000

 

 

19,737

 

 

55,458

 

 

60,339

 

Total revenue

 

891,898

 

 

790,125

 

 

2,525,658

 

 

2,373,782

 

 
Costs and expenses:
Cost of business services

 

482,965

 

 

338,519

 

 

1,311,941

 

 

1,003,483

 

Cost of support services

 

37,647

 

 

41,086

 

 

114,132

 

 

123,453

 

Financing interest expense

 

11,626

 

 

11,026

 

 

36,054

 

 

33,433

 

Cost of equipment sales

 

59,766

 

 

59,859

 

 

165,045

 

 

182,094

 

Cost of supplies

 

10,132

 

 

12,225

 

 

30,751

 

 

37,533

 

Cost of rentals

 

6,055

 

 

5,090

 

 

18,455

 

 

23,223

 

Selling, general and administrative

 

238,618

 

 

254,092

 

 

720,882

 

 

757,228

 

Research and development

 

9,255

 

 

12,272

 

 

28,838

 

 

38,421

 

Restructuring charges

 

3,766

 

 

47,017

 

 

12,505

 

 

56,616

 

Goodwill impairment

 

-

 

 

-

 

 

198,169

 

 

-

 

Interest expense, net

 

27,175

 

 

28,704

 

 

79,504

 

 

84,325

 

Other components of net pension and postretirement (income), expense

 

(109

)

 

(882

)

 

126

 

 

(3,138

)

Other (income) expense, net

 

(6,325

)

 

667

 

 

9,787

 

 

18,350

 

Total costs and expenses

 

880,571

 

 

809,675

 

 

2,726,189

 

 

2,355,021

 

 
Income (loss) from continuing operations before taxes

 

11,327

 

 

(19,550

)

 

(200,531

)

 

18,761

 

Provision (benefit) for income taxes

 

554

 

 

(24,895

)

 

7,540

 

 

(13,351

)

Income (loss) from continuing operations

 

10,773

 

 

5,345

 

 

(208,071

)

 

32,112

 

Income (loss) from discontinued operations, net of tax

 

616

 

 

(8,470

)

 

7,648

 

 

(14,199

)

Net income (loss)

$

11,389

 

$

(3,125

)

$

(200,423

)

$

17,913

 

 
Basic earnings (loss) per share (1):
Continuing operations

$

0.06

 

$

0.03

 

$

(1.21

)

$

0.18

 

Discontinued operations

 

-

 

 

(0.05

)

 

0.04

 

 

(0.08

)

Net income (loss)

$

0.07

 

$

(0.02

)

$

(1.17

)

$

0.10

 

 
Diluted earnings (loss) per share (1):
Continuing operations

$

0.06

 

$

0.03

 

$

(1.21

)

$

0.18

 

Discontinued operations

 

-

 

 

(0.05

)

 

0.04

 

 

(0.08

)

Net income (loss)

$

0.07

 

$

(0.02

)

$

(1.17

)

$

0.10

 

 
Weighted-average shares used in diluted earnings per share

 

174,704

 

 

171,201

 

 

171,388

 

 

179,096

 

 

(1)

The sum of the earnings per share amounts may not equal the totals due to rounding.
Pitney Bowes Inc.
Consolidated Balance Sheets
(Unaudited; in thousands)
 
Assets September 30,
2020
December 31,
2019
Current assets:
Cash and cash equivalents

$

799,177

 

$

924,442

 

Short-term investments

 

21,185

 

 

115,879

 

Accounts and other receivables, net

 

348,565

 

 

373,471

 

Short-term finance receivables, net

 

559,148

 

 

629,643

 

Inventories

 

66,974

 

 

68,251

 

Current income taxes

 

11,477

 

 

5,565

 

Other current assets and prepayments

 

115,981

 

 

101,601

 

Assets of discontinued operations

 

-

 

 

17,229

 

Total current assets

 

1,922,507

 

 

2,236,081

 

 
Property, plant and equipment, net

 

367,466

 

 

376,177

 

Rental property and equipment, net

 

40,352

 

 

41,225

 

Long-term finance receivables, net

 

587,548

 

 

625,487

 

Goodwill

 

1,142,144

 

 

1,324,179

 

Intangible assets, net

 

167,493

 

 

190,640

 

Operating lease assets

 

213,490

 

 

200,752

 

Noncurrent income taxes

 

69,305

 

 

71,903

 

Other assets

 

533,726

 

 

400,456

 

Total assets

$

5,044,031

 

$

5,466,900

 

 
Liabilities and stockholders' equity
Current liabilities:
Accounts payable and accrued liabilities

$

760,363

 

$

793,690

 

Customer deposits at Pitney Bowes Bank

 

610,582

 

 

591,118

 

Current operating lease liabilities

 

38,007

 

 

36,060

 

Current portion of long-term debt

 

63,509

 

 

20,108

 

Advance billings

 

102,919

 

 

101,920

 

Current income taxes

 

2,527

 

 

17,083

 

Liabilities of discontinued operations

 

-

 

 

9,713

 

Total current liabilities

 

1,577,907

 

 

1,569,692

 

 
Long-term debt

 

2,531,712

 

 

2,719,614

 

Deferred taxes on income

 

279,526

 

 

274,435

 

Tax uncertainties and other income tax liabilities

 

40,642

 

 

38,834

 

Noncurrent operating lease liabilities

 

192,789

 

 

177,711

 

Other noncurrent liabilities

 

342,330

 

 

400,518

 

Total liabilities

 

4,964,906

 

 

5,180,804

 

 
Stockholders' equity:
Common stock

 

323,338

 

 

323,338

 

Additional paid-in-capital

 

67,512

 

 

98,748

 

Retained earnings

 

5,190,914

 

 

5,438,930

 

Accumulated other comprehensive loss

 

(813,572

)

 

(840,143

)

Treasury stock, at cost

 

(4,689,067

)

 

(4,734,777

)

Total stockholders' equity

 

79,125

 

 

286,096

 

Total liabilities and stockholders' equity

$

5,044,031

 

$

5,466,900

 

 
Pitney Bowes Inc.
Business Segment Revenue
(Unaudited; in thousands)
 
Three months ended September 30, Nine months ended September 30,

 

2020

 

 

2019

% Change

 

2020

 

2019

% Change

REVENUE
Global Ecommerce

$

409,981

 

$

278,995

47

%

$

1,100,757

$

827,568

33

%

Presort Services

 

127,705

 

 

131,483

(3

%)

 

386,552

 

394,468

(2

%)

Commerce Services

 

537,686

 

 

410,478

31

%

 

1,487,309

 

1,222,036

22

%

 
Sending Technology Solutions

 

354,212

 

 

379,647

(7

%)

 

1,038,349

 

1,151,746

(10

%)

Total revenue - GAAP

 

891,898

 

 

790,125

13

%

 

2,525,658

 

2,373,782

6

%

Currency impact on revenue

 

(2,454

)

 

-

 

2,514

 

-

Revenue, at constant currency

$

889,444

 

$

790,125

13

%

$

2,528,172

$

2,373,782

7

%

 
Pitney Bowes Inc.
Business Segment EBIT & EBITDA
(Unaudited; in thousands)
 
Three months ended September 30,

2020

 

2019

 

% change

EBIT (1)

D&A

EBITDA

EBIT (1)

D&A

EBITDA

EBIT

EBITDA

 
Global Ecommerce

$

(19,757

)

$

16,824

$

(2,933

)

$

(21,793

)

$

17,356

$

(4,437

)

9

%

34

%

Presort Services

 

14,481

 

 

8,031

 

22,512

 

 

17,687

 

 

7,667

 

25,354

 

(18

%)

(11

%)

Commerce Services

 

(5,276

)

 

24,855

 

19,579

 

 

(4,106

)

 

25,023

 

20,917

 

(28

%)

(6

%)

 
Sending Technology Solutions

 

112,599

 

 

7,955

 

120,554

 

 

130,954

 

 

9,579

 

140,533

 

(14

%)

(14

%)

 
Segment total

$

107,323

 

$

32,810

 

140,133

 

$

126,848

 

$

34,602

 

161,450

 

(15

%)

(13

%)

 
Reconciliation of Segment EBITDA to Net (Loss) Income:
Segment depreciation and amortization

 

(32,810

)

 

(34,602

)

Interest, net

 

(38,801

)

 

(39,730

)

Unallocated corporate expenses (2)

 

(53,429

)

 

(58,277

)

Restructuring charges and asset impairments

 

(3,766

)

 

(47,017

)

Loss on debt extinguishment

 

-

 

 

(667

)

Transaction costs and other

 

-

 

 

(707

)

(Provision) benefit for income taxes

 

(554

)

 

24,895

 

Income from continuing operations

 

10,773

 

 

5,345

 

Income (loss) from discontinued operations, net of tax

 

616

 

 

(8,470

)

Net income (loss)

$

11,389

 

$

(3,125

)

 
 
 

 

Nine months ended September 30,

 

 

2020

 

 

2019

 

 

% change

EBIT (1)

D&A

EBITDA

EBIT (1)

D&A

EBITDA

EBIT

EBITDA

 
Global Ecommerce

$

(68,126

)

$

52,187

$

(15,939

)

$

(51,969

)

$

50,697

$

(1,272

)

(31

%)

>(100%)
Presort Services

 

42,758

 

 

23,662

 

66,420

 

 

48,215

 

 

21,675

 

69,890

 

(11

%)

(5

%)

Commerce Services

 

(25,368

)

 

75,849

 

50,481

 

 

(3,754

)

 

72,372

 

68,618

 

>(100%)

(26

%)

 
Sending Technology Solutions

 

323,429

 

 

25,771

 

349,200

 

 

378,095

 

 

30,347

 

408,442

 

(14

%)

(15

%)

 
Segment Total

$

298,061

 

$

101,620

 

399,681

 

$

374,341

 

$

102,719

 

477,060

 

(20

%)

(16

%)

 
Reconciliation of Segment EBITDA to Net Income:
Segment depreciation and amortization

 

(101,620

)

 

(102,719

)

Interest, net

 

(115,558

)

 

(117,758

)

Unallocated corporate expenses (2)

 

(146,640

)

 

(160,283

)

Restructuring charges and asset impairments

 

(12,505

)

 

(56,616

)

Goodwill impairment

 

(198,169

)

 

-

 

Gain on sale of equity investment

 

11,908

 

 

-

 

Loss on debt extinguishment

 

(36,987

)

 

(667

)

Loss on dispositions and transaction costs

 

(641

)

 

(20,256

)

(Provision) benefit for income taxes

 

(7,540

)

 

13,351

 

(Loss) income from continuing operations

 

(208,071

)

 

32,112

 

Income (loss) from discontinued operations, net of tax

 

7,648

 

 

(14,199

)

Net (loss) income

$

(200,423

)

$

17,913

 

 
(1) Segment EBIT excludes interest, taxes, general corporate expenses, restructuring charges, and other items that are not allocated to a particular business segment.
(2) Includes corporate depreciation and amortization expense of $5,806 and $5,935 for the three months ended September 30, 2020 and 2019, respectively and $18,783 and $15,795 for the nine months ended September 30, 2020 and 2019, respectively.
Pitney Bowes Inc.
Reconciliation of Reported Consolidated Results to Adjusted Results
(Unaudited; in thousands, except per share amounts)
 
Three months ended September 30, Nine months ended September 30,

 

2020

 

 

2019

 

 

2020

 

 

2019

 

 
Reconciliation of reported net income (loss) to adjusted net income, adjusted EBIT and adjusted EBITDA
Net income (loss)

$

11,389

 

$

(3,125

)

$

(200,423

)

$

17,913

 

(Income) loss from discontinued operations, net of tax

 

(616

)

 

8,470

 

 

(7,648

)

 

14,199

 

Restructuring charges and asset impairments

 

2,639

 

 

34,722

 

 

8,493

 

 

41,709

 

Goodwill impairment

 

-

 

 

-

 

 

196,600

 

 

-

 

Gain on sale of equity investment

 

-

 

 

-

 

 

(8,943

)

 

-

 

Tax on surrender of company owned life insurance policies

 

-

 

 

-

 

 

12,229

 

 

-

 

Loss on debt extinguishment

 

-

 

 

497

 

 

27,777

 

 

497

 

Loss on dispositions and transaction costs

 

-

 

 

527

 

 

487

 

 

21,313

 

Adjusted net income

 

13,412

 

 

41,091

 

 

28,572

 

 

95,631

 

Interest, net

 

38,801

 

 

39,730

 

 

115,558

 

 

117,758

 

Provision (benefit) for income taxes, as adjusted

 

1,681

 

 

(12,250

)

 

7,291

 

 

669

 

Adjusted EBIT

 

53,894

 

 

68,571

 

 

151,421

 

 

214,058

 

Depreciation and amortization

 

38,616

 

 

40,537

 

 

120,403

 

 

118,514

 

Adjusted EBITDA

$

92,510

 

$

109,108

 

$

271,824

 

$

332,572

 

 
Reconciliation of reported diluted earnings (loss) per share to adjusted diluted earnings per share
Diluted earnings (loss) per share

$

0.07

 

$

(0.02

)

$

(1.17

)

$

0.10

 

(Income) loss from discontinued operations, net of tax

 

-

 

 

0.05

 

 

(0.04

)

 

0.08

 

Restructuring charges and asset impairments

 

0.02

 

 

0.20

 

 

0.05

 

 

0.23

 

Goodwill impairment

 

-

 

 

-

 

 

1.14

 

 

-

 

Gain on sale of equity investment

 

-

 

 

-

 

 

(0.05

)

 

-

 

Tax on surrender of company owned life insurance policies

 

-

 

 

-

 

 

0.07

 

 

-

 

Loss on debt extinguishment

 

-

 

 

-

 

 

0.16

 

 

-

 

Loss on dispositions and transaction costs

 

-

 

 

-

 

 

-

 

 

0.12

 

Adjusted diluted earnings per share

$

0.08

 

$

0.24

 

$

0.17

 

$

0.53

 

 
Note: The sum of the earnings per share amounts may not equal the totals due to rounding.
 
Reconciliation of reported net cash from operating activities to free cash flow
Net cash provided by operating activities

$

103,815

 

$

95,502

 

$

190,624

 

$

182,284

 

Net cash (provided by) used in operating activities - discontinued operations

 

-

 

 

(10,324

)

 

38,423

 

 

(15,858

)

Capital expenditures

 

(20,833

)

 

(36,034

)

 

(80,787

)

 

(95,221

)

Restructuring payments

 

4,504

 

 

5,840

 

 

15,869

 

 

18,845

 

Change in customer deposits at PB Bank

 

(2,867

)

 

11,441

 

 

19,464

 

 

3,125

 

Transaction costs paid

 

-

 

 

2,917

 

 

2,117

 

 

9,025

 

Free cash flow

$

84,619

 

$

69,342

 

$

185,710

 

$

102,200

 

 

 

Editorial -
Bill Hughes
Chief Communications Officer
203/351-6785

Financial -
Adam David
VP, Investor Relations
203/351-7175

Source: Pitney Bowes Inc.

Editorial -
Bill Hughes
Chief Communications Officer
203/351-6785

Financial -
Adam David
VP, Investor Relations
203/351-7175