Myers Industries Announces First Quarter 2024 Results
Newly acquired Signature Systems delivers strong results due to Infrastructure tailwinds.
Management maintains full-year outlook guiding to lower end of earnings-per-share range, based on Q1 results and weakness in
Additional Self-Help actions to be taken in near term to improve EBITDA while executing five-year roadmap as outlined during recent Investor Day.
First Quarter 2024 Financial Highlights
-
Net sales of
$207.1 million compared with$215.7 million in the prior-year period - GAAP gross margin of 31.0%, down 190 basis points versus the prior-year period
- Adjusted gross margin of 32.7%, down 30 basis points versus the prior-year period
-
GAAP net income per diluted share of
$0.09 compared with$0.35 in the prior-year period -
Adjusted earnings per diluted share of
$0.21 compared with$0.38 in the prior-year period -
Cash flow provided by operations was
$20.3 million and free cash flow was$14.6 million
President and CEO
McGaugh continued, “During our Investor Day, we spoke of the Strategic Lens that would guide how we approached our portfolio. The Grow part of Myers includes differentiated businesses with higher barriers to entry and stronger profit margins. An example is our recent acquisition of Signature Systems, which delivered a record quarter of results, driven by investments in Infrastructure. The Maximize Value part of Myers has businesses that are less differentiated with lower barriers to entry and smaller profit margins. In this part of the Company, we are focusing on increasing efficiencies and reducing costs.
“As I’ve consistently referenced, we will use our Self-Help playbook, including our Operational and Commercial Excellence tools, to help us weather the current demand challenges in our more cyclical end markets. To that end, we are in the process of identifying decisive actions to further reduce costs and improve performance, targeting
McGaugh concluded, “We continue to be excited about the shareholder value creation opportunities for our Company. We believe the Signature acquisition will continue to serve as a positive pivot point in the transformation of Myers. We also continue to have a cautious outlook for the near term due to demand weakness in the cyclical Vehicle and Consumer end markets. On balance, our strategy, as rolled out during Investor Day, explains how we will invest in and grow our differentiated business and how we will use cost reduction and efficiency to drive improvement in our less differentiated businesses.”
First Quarter 2024 Financial Summary
|
|
Quarter Ended |
||||
(Dollars in thousands, except per share data) |
|
2024 |
|
2023 |
|
% Inc
|
Net sales |
|
|
|
|
|
(4.0)% |
Gross profit |
|
|
|
|
|
(9.6)% |
Gross margin |
|
31.0% |
|
32.9% |
|
|
Operating income |
|
|
|
|
|
(42.6)% |
Net income |
|
|
|
|
|
(73.0)% |
Net income per diluted share |
|
|
|
|
|
(74.3)% |
|
|
|
|
|
|
|
Adjusted operating income |
|
|
|
|
|
(18.0)% |
Adjusted net income |
|
|
|
|
|
(43.4)% |
Adjusted earnings per diluted share |
|
|
|
|
|
(44.7)% |
Adjusted EBITDA |
|
|
|
|
|
(3.0)% |
Net sales were
Gross profit decreased
First Quarter 2024 Segment Results
(Dollar amounts in the segment tables below are reported in millions)
Material Handling
|
|
|
Op Income |
|
Op Income Margin |
|
Adj EBITDA |
|
Adj EBITDA Margin |
||
Q1 2024 Results |
|
|
|
|
14.6% |
|
|
|
21.4% |
||
Q1 2023 Results |
|
|
|
|
16.6% |
|
|
|
19.9% |
||
$ Increase (decrease) vs prior year |
( |
|
( |
|
|
|
|
|
|
||
% Increase (decrease) vs prior year |
(0.2)% |
|
(12.2)% |
|
-200bps |
|
7.1% |
|
+150bps |
||
Items in this table may not recalculate due to rounding |
Net sales for the Material Handling segment were
Operating income decreased 12.2% to
Distribution
|
|
|
Op Income |
|
Op Income Margin |
|
Adj EBITDA |
|
Adj EBITDA Margin |
||
Q1 2024 Results |
|
|
|
|
1.1% |
|
|
|
2.5% |
||
Q1 2023 Results |
|
|
|
|
3.5% |
|
|
|
5.4% |
||
$ Increase (decrease) vs prior year |
( |
|
( |
|
|
|
( |
|
|
||
% Increase (decrease) vs prior year |
(13.1)% |
|
(73.0)% |
|
-240bps |
|
(59.4)% |
|
-290bps |
||
Items in this table may not recalculate due to rounding |
Net sales for the Distribution segment were
Operating income decreased
Balance Sheet & Cash Flow
As of
2024 Outlook
Based on current exchange rates, market outlook and business forecast, the Company had previously provided the following outlook for fiscal 2024:
- Net sales growth of 15% to 20%
-
Net income per diluted share in the range of
$1.05 to$1.22 -
Adjusted earnings per diluted share in the range of
$1.30 to$1.45 -
Capital expenditures in the range of
$35 million to$40 million - Effective tax rate to approximate 25%
Incorporating the first quarter results, the Company forecasts that the outlook for net sales growth, net income per diluted share and adjusted earnings per diluted share will likely be at the low end of the previously communicated ranges. Myers will continue to monitor market conditions and provide updates throughout the year
Conference Call Details
The Company will host an earnings conference call and webcast for investors and analysts on
Use of Non-GAAP Financial Measures
The Company uses certain non-GAAP measures in this release. Adjusted operating income (loss), adjusted operating income margin, adjusted earnings before interest, taxes, depreciation and amortization (EBITDA), adjusted EBITDA margin, adjusted net income, adjusted earnings per diluted share (adjusted EPS), and free cash flow are non-GAAP financial measures and are intended to serve as a supplement to results provided in accordance with accounting principles generally accepted in
About
Caution on Forward-Looking Statements
Statements in this release include contains “forward-looking statements” within the meaning of the safe harbor provisions of the
Specific factors that could cause such a difference on our business, financial position, results of operations and/or liquidity include, without limitation, raw material availability, increases in raw material costs, or other production costs; risks associated with our strategic growth initiatives or the failure to achieve the anticipated benefits of such initiatives; unanticipated downturn in business relationships with customers or their purchases; competitive pressures on sales and pricing; changes in the markets for the Company’s business segments; changes in trends and demands in the markets in which the Company competes; operational problems at our manufacturing facilities or unexpected failures at those facilities; future economic and financial conditions in
M-INV
|
||||||||
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS (UNAUDITED) |
||||||||
(Dollars in thousands, except share and per share data) |
||||||||
|
|
Quarter Ended |
|
|||||
|
|
|
|
|
|
|
||
Net sales |
|
$ |
207,102 |
|
|
$ |
215,739 |
|
Cost of sales |
|
|
142,833 |
|
|
|
144,674 |
|
Gross profit |
|
|
64,269 |
|
|
|
71,065 |
|
Selling, general and administrative expenses |
|
|
53,457 |
|
|
|
52,081 |
|
(Gain) loss on disposal of fixed assets |
|
|
(67 |
) |
|
|
27 |
|
Operating income (loss) |
|
|
10,879 |
|
|
|
18,957 |
|
Interest expense, net |
|
|
6,079 |
|
|
|
1,646 |
|
Income (loss) before income taxes |
|
|
4,800 |
|
|
|
17,311 |
|
Income tax expense (benefit) |
|
|
1,297 |
|
|
|
4,335 |
|
Net income (loss) |
|
$ |
3,503 |
|
|
$ |
12,976 |
|
Net income (loss) per common share: |
|
|
|
|
|
|
||
Basic |
|
$ |
0.09 |
|
|
$ |
0.35 |
|
Diluted |
|
$ |
0.09 |
|
|
$ |
0.35 |
|
Weighted average common shares outstanding: |
|
|
|
|
|
|
||
Basic |
|
|
36,908,169 |
|
|
|
36,564,775 |
|
Diluted |
|
|
37,123,019 |
|
|
|
36,815,956 |
|
|
|
|
|
|
|
|
|
||||||||
CONDENSED CONSOLIDATED STATEMENTS OF FINANCIAL POSITION (UNAUDITED) |
||||||||
(Dollars in thousands) |
||||||||
|
|
|
|
|
|
|
||
Assets |
|
|
|
|
|
|
||
Current Assets |
|
|
|
|
|
|
||
Cash |
|
$ |
32,730 |
|
|
$ |
30,290 |
|
Trade accounts receivable, net |
|
|
130,431 |
|
|
|
113,907 |
|
Other accounts receivable, net |
|
|
8,818 |
|
|
|
14,726 |
|
Inventories, net |
|
|
105,035 |
|
|
|
90,844 |
|
Other current assets |
|
|
6,683 |
|
|
|
6,854 |
|
Total Current Assets |
|
|
283,697 |
|
|
|
256,621 |
|
Property, plant, & equipment, net |
|
|
135,155 |
|
|
|
107,933 |
|
Right of use asset - operating leases |
|
|
34,560 |
|
|
|
27,989 |
|
|
|
|
479,063 |
|
|
|
140,521 |
|
Deferred income taxes |
|
|
209 |
|
|
|
209 |
|
Other assets |
|
|
14,452 |
|
|
|
8,358 |
|
Total Assets |
|
$ |
947,136 |
|
|
$ |
541,631 |
|
Liabilities & Shareholders' Equity |
|
|
|
|
|
|
||
Current Liabilities |
|
|
|
|
|
|
||
Accounts payable |
|
$ |
81,494 |
|
|
$ |
79,050 |
|
Accrued expenses |
|
|
53,813 |
|
|
|
53,523 |
|
Operating lease liability - short-term |
|
|
6,708 |
|
|
|
5,943 |
|
Finance lease liability - short-term |
|
|
604 |
|
|
|
593 |
|
Long-term debt - current portion |
|
|
19,581 |
|
|
|
25,998 |
|
Total Current Liabilities |
|
|
162,200 |
|
|
|
165,107 |
|
Long-term debt |
|
|
381,045 |
|
|
|
31,989 |
|
Operating lease liability - long-term |
|
|
27,195 |
|
|
|
22,352 |
|
Finance lease liability - long-term |
|
|
8,461 |
|
|
|
8,615 |
|
Other liabilities |
|
|
13,476 |
|
|
|
12,108 |
|
Deferred income taxes |
|
|
63,108 |
|
|
|
8,660 |
|
Total Shareholders' Equity |
|
|
291,651 |
|
|
|
292,800 |
|
Total Liabilities & Shareholders' Equity |
|
$ |
947,136 |
|
|
$ |
541,631 |
|
|
||||||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) |
||||||||
(Dollars in thousands) |
||||||||
|
|
Quarter Ended |
|
|||||
|
|
2024 |
|
|
2023 |
|
||
Cash Flows From Operating Activities |
|
|
|
|
|
|
||
Net income |
|
$ |
3,503 |
|
|
$ |
12,976 |
|
Adjustments to reconcile net income to net cash provided by (used for) operating activities |
|
|
|
|
|
|
||
Depreciation and amortization |
|
|
8,497 |
|
|
|
5,618 |
|
Amortization of deferred financing costs |
|
|
231 |
|
|
|
78 |
|
Amortization of acquisition-related inventory step-up |
|
|
3,115 |
|
|
|
— |
|
Non-cash stock-based compensation expense |
|
|
682 |
|
|
|
1,904 |
|
(Gain) loss on disposal of fixed assets |
|
|
(67 |
) |
|
|
27 |
|
Other |
|
|
(6 |
) |
|
|
(827 |
) |
Cash flows provided by (used for) working capital |
|
|
|
|
|
|
||
Accounts receivable - trade and other, net |
|
|
7,964 |
|
|
|
3,181 |
|
Inventories |
|
|
186 |
|
|
|
(8,778 |
) |
Prepaid expenses and other current assets |
|
|
885 |
|
|
|
1,220 |
|
Accounts payable and accrued expenses |
|
|
(4,720 |
) |
|
|
10,387 |
|
Net cash provided by (used for) operating activities |
|
|
20,270 |
|
|
|
25,786 |
|
Cash Flows From Investing Activities |
|
|
|
|
|
|
||
Capital expenditures |
|
|
(5,707 |
) |
|
|
(9,091 |
) |
Acquisition of business, net of cash acquired |
|
|
(348,890 |
) |
|
|
(160 |
) |
Proceeds from sale of property, plant, and equipment |
|
|
75 |
|
|
|
33 |
|
Net cash provided by (used for) investing activities |
|
|
(354,522 |
) |
|
|
(9,218 |
) |
Cash Flows From Financing Activities |
|
|
|
|
|
|
||
Net borrowings (repayments) from revolving credit facility |
|
|
(11,000 |
) |
|
|
(5,200 |
) |
Proceeds from Term Loan A |
|
|
400,000 |
|
|
|
— |
|
Repayments of senior unsecured notes |
|
|
(38,000 |
) |
|
|
— |
|
Payments on finance lease |
|
|
(143 |
) |
|
|
(129 |
) |
Cash dividends paid |
|
|
(5,345 |
) |
|
|
(5,274 |
) |
Proceeds from issuance of common stock |
|
|
2,408 |
|
|
|
1,132 |
|
Shares withheld for employee taxes on equity awards |
|
|
(1,874 |
) |
|
|
(1,999 |
) |
Deferred financing fees |
|
|
(9,172 |
) |
|
|
— |
|
Net cash provided by (used for) financing activities |
|
|
336,874 |
|
|
|
(11,470 |
) |
Foreign exchange rate effect on cash |
|
|
(182 |
) |
|
|
4 |
|
Net increase (decrease) in cash |
|
|
2,440 |
|
|
|
5,102 |
|
Beginning Cash |
|
|
30,290 |
|
|
|
23,139 |
|
Ending Cash |
|
$ |
32,730 |
|
|
$ |
28,241 |
|
|
||||||||||||||||||||
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES |
||||||||||||||||||||
GROSS PROFIT, OPERATING INCOME AND EBITDA (UNAUDITED) |
||||||||||||||||||||
(Dollars in thousands) |
||||||||||||||||||||
|
|
Quarter Ended |
|
|||||||||||||||||
|
|
Material Handling |
|
|
Distribution |
|
|
Segment Total |
|
|
Corporate & Other |
|
|
Total |
|
|||||
Net sales |
|
$ |
152,225 |
|
|
$ |
54,894 |
|
|
$ |
207,119 |
|
|
$ |
(17 |
) |
|
$ |
207,102 |
|
Net income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3,503 |
|
||||
Net income margin |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
1.7 |
% |
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Gross profit |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
64,269 |
|
||||
Add: Restructuring expenses and other adjustments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
241 |
|
||||
Add: Acquisition-related inventory step-up |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
3,115 |
|
||||
Adjusted gross profit |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
67,625 |
|
||||
Gross margin as adjusted |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
32.7 |
% |
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Operating income (loss) |
|
|
22,256 |
|
|
|
605 |
|
|
|
22,861 |
|
|
|
(11,982 |
) |
|
|
10,879 |
|
Operating income margin |
|
|
14.6 |
% |
|
|
1.1 |
% |
|
|
11.0 |
% |
|
n/a |
|
|
|
5.3 |
% |
|
Add: Restructuring expenses and other adjustments |
|
|
241 |
|
|
|
— |
|
|
|
241 |
|
|
|
— |
|
|
|
241 |
|
Add: Acquisition and integration costs |
|
|
98 |
|
|
|
— |
|
|
|
98 |
|
|
|
3,312 |
|
|
|
3,410 |
|
Add: Acquisition-related inventory step-up |
|
|
3,115 |
|
|
|
— |
|
|
|
3,115 |
|
|
|
— |
|
|
|
3,115 |
|
Less: Insurance recovery of legal fees |
|
|
(702 |
) |
|
|
— |
|
|
|
(702 |
) |
|
|
— |
|
|
|
(702 |
) |
Less: Environmental reserves, net(2) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
(300 |
) |
|
|
(300 |
) |
Adjusted operating income (loss)(1) |
|
|
25,008 |
|
|
|
605 |
|
|
|
25,613 |
|
|
|
(8,970 |
) |
|
|
16,643 |
|
Adjusted operating income margin |
|
|
16.4 |
% |
|
|
1.1 |
% |
|
|
12.4 |
% |
|
n/a |
|
|
|
8.0 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Add: Depreciation and amortization |
|
|
7,525 |
|
|
|
773 |
|
|
|
8,298 |
|
|
|
199 |
|
|
|
8,497 |
|
Adjusted EBITDA |
|
$ |
32,533 |
|
|
$ |
1,378 |
|
|
$ |
33,911 |
|
|
$ |
(8,771 |
) |
|
$ |
25,140 |
|
Adjusted EBITDA margin |
|
|
21.4 |
% |
|
|
2.5 |
% |
|
|
16.4 |
% |
|
n/a |
|
|
|
12.1 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
(1) Includes gross profit adjustments of |
|
|||||||||||||||||||
(2) Includes environmental charges of |
|
|||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
|
|
Quarter Ended |
|
|||||||||||||||||
|
|
Material Handling |
|
|
Distribution |
|
|
Segment Total |
|
|
Corporate & Other |
|
|
Total |
|
|||||
Net sales |
|
$ |
152,562 |
|
|
$ |
63,185 |
|
|
$ |
215,747 |
|
|
$ |
(8 |
) |
|
$ |
215,739 |
|
Net income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
12,976 |
|
||||
Net income margin |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
6.0 |
% |
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Gross profit |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
71,065 |
|
||||
Add: Restructuring expenses and other adjustments |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
102 |
|
||||
Adjusted gross profit |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
71,167 |
|
||||
Gross margin as adjusted |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
33.0 |
% |
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Operating income (loss) |
|
|
25,351 |
|
|
|
2,237 |
|
|
|
27,588 |
|
|
|
(8,631 |
) |
|
|
18,957 |
|
Operating income margin |
|
|
16.6 |
% |
|
|
3.5 |
% |
|
|
12.8 |
% |
|
n/a |
|
|
|
8.8 |
% |
|
Add: Restructuring expenses and other adjustments |
|
|
421 |
|
|
|
179 |
|
|
|
600 |
|
|
|
10 |
|
|
|
610 |
|
Add: Acquisition and integration costs |
|
|
— |
|
|
|
109 |
|
|
|
109 |
|
|
|
126 |
|
|
|
235 |
|
Less: Environmental reserves, net(2) |
|
|
— |
|
|
|
— |
|
|
|
— |
|
|
|
500 |
|
|
|
500 |
|
Adjusted operating income (loss)(1) |
|
|
25,772 |
|
|
|
2,525 |
|
|
|
28,297 |
|
|
|
(7,995 |
) |
|
|
20,302 |
|
Adjusted operating income margin |
|
|
16.9 |
% |
|
|
4.0 |
% |
|
|
13.1 |
% |
|
n/a |
|
|
|
9.4 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||
Add: Depreciation and amortization |
|
|
4,599 |
|
|
|
873 |
|
|
|
5,472 |
|
|
|
146 |
|
|
|
5,618 |
|
Adjusted EBITDA |
|
$ |
30,371 |
|
|
$ |
3,398 |
|
|
$ |
33,769 |
|
|
$ |
(7,849 |
) |
|
$ |
25,920 |
|
Adjusted EBITDA margin |
|
|
19.9 |
% |
|
|
5.4 |
% |
|
|
15.7 |
% |
|
n/a |
|
|
|
12.0 |
% |
|
|
|
|||||||||||||||||||
(1) Includes gross profit adjustments of |
|
|||||||||||||||||||
(2) Includes environmental charges of |
|
|
||||||||
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES |
||||||||
ADJUSTED OPERATING INCOME, ADJUSTED EBITDA AND FREE CASH FLOW (UNAUDITED) |
||||||||
(Dollars in thousands) |
||||||||
|
|
Quarter Ended |
|
|||||
|
|
2024 |
|
|
2023 |
|
||
Adjusted operating income (loss) reconciliation: |
|
|
|
|
|
|
||
Operating income (loss) |
|
$ |
10,879 |
|
|
$ |
18,957 |
|
Restructuring expenses and other adjustments |
|
|
241 |
|
|
|
610 |
|
Acquisition and integration costs |
|
|
3,410 |
|
|
|
235 |
|
Acquisition-related inventory step-up |
|
|
3,115 |
|
|
|
— |
|
Insurance recovery of legal fees |
|
|
(702 |
) |
|
|
— |
|
Environmental reserves, net |
|
|
(300 |
) |
|
|
500 |
|
Adjusted operating income (loss) |
|
$ |
16,643 |
|
|
$ |
20,302 |
|
|
|
|
|
|
|
|
||
Adjusted EBITDA reconciliation: |
|
|
|
|
|
|
||
Net income (loss) |
|
$ |
3,503 |
|
|
$ |
12,976 |
|
Income tax expense (benefit) |
|
|
1,297 |
|
|
|
4,335 |
|
Interest expense, net |
|
|
6,079 |
|
|
|
1,646 |
|
Operating income (loss) |
|
|
10,879 |
|
|
|
18,957 |
|
Depreciation and amortization |
|
|
8,497 |
|
|
|
5,618 |
|
Restructuring expenses and other adjustments |
|
|
241 |
|
|
|
610 |
|
Acquisition and integration costs |
|
|
3,410 |
|
|
|
235 |
|
Acquisition-related inventory step-up |
|
|
3,115 |
|
|
|
— |
|
Insurance recovery of legal fees |
|
|
(702 |
) |
|
|
— |
|
Environmental reserves, net |
|
|
(300 |
) |
|
|
500 |
|
Adjusted EBITDA |
|
$ |
25,140 |
|
|
$ |
25,920 |
|
|
|
|
|
|
|
|
||
Free cash flow reconciliation: |
|
|
|
|
|
|
||
Net cash provided by (used for) operating activities |
|
$ |
20,270 |
|
|
$ |
25,786 |
|
Capital expenditures |
|
|
(5,707 |
) |
|
|
(9,091 |
) |
Free cash flow |
|
$ |
14,563 |
|
|
$ |
16,695 |
|
|
||||||||
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES |
||||||||
ADJUSTED NET INCOME AND ADJUSTED EARNINGS PER DILUTED SHARE (UNAUDITED) |
||||||||
(Dollars in thousands, except per share data) |
||||||||
|
|
Quarter Ended |
|
|||||
|
|
2024 |
|
|
2023 |
|
||
Adjusted net income (loss) reconciliation: |
|
|
|
|
|
|
||
Net income (loss) |
|
$ |
3,503 |
|
|
$ |
12,976 |
|
Income tax expense (benefit) |
|
|
1,297 |
|
|
|
4,335 |
|
Income (loss) before income taxes |
|
|
4,800 |
|
|
|
17,311 |
|
Restructuring expenses and other adjustments |
|
|
241 |
|
|
|
610 |
|
Acquisition and integration costs |
|
|
3,410 |
|
|
|
235 |
|
Acquisition-related inventory step-up |
|
|
3,115 |
|
|
|
— |
|
Insurance recovery of legal fees |
|
|
(702 |
) |
|
|
— |
|
Environmental reserves, net |
|
|
(300 |
) |
|
|
500 |
|
Adjusted income (loss) before income taxes |
|
|
10,564 |
|
|
|
18,656 |
|
Income tax expense, as adjusted (1) |
|
|
(2,641 |
) |
|
|
(4,664 |
) |
Adjusted net income (loss) |
|
$ |
7,923 |
|
|
$ |
13,992 |
|
|
|
|
|
|
|
|
||
Adjusted earnings per diluted share reconciliation: |
|
|
|
|
|
|
||
Net income (loss) per common diluted share |
|
$ |
0.09 |
|
|
$ |
0.35 |
|
Restructuring expenses and other adjustments |
|
|
0.01 |
|
|
|
0.02 |
|
Acquisition and integration costs |
|
|
0.09 |
|
|
|
0.01 |
|
Acquisition-related inventory step-up |
|
|
0.08 |
|
|
|
— |
|
Insurance recovery of legal fees |
|
|
(0.02 |
) |
|
|
— |
|
Environmental reserves, net |
|
|
(0.01 |
) |
|
|
0.01 |
|
Adjusted effective income tax rate impact |
|
|
(0.03 |
) |
|
|
(0.01 |
) |
Adjusted earnings per diluted share(2) |
|
$ |
0.21 |
|
|
$ |
0.38 |
|
|
|
|
|
|
|
|
||
Items in this table may not recalculate due to rounding |
|
|||||||
(1) Income taxes are calculated using the normalized effective tax rate for each year. The rate used in 2024 is 25% and in 2023 is 25%. |
||||||||
(2) Adjusted earnings per diluted share is calculated using the weighted average common shares outstanding for the respective period. |
|
|||||||
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES |
|||||||
GUIDANCE FOR FULL YEAR ADJUSTED EARNINGS PER DILUTED SHARE |
|||||||
(UNAUDITED) |
|||||||
|
Full Year 2024 Guidance |
|
|||||
|
Low |
|
|
High |
|
||
GAAP diluted net income per common share |
$ |
1.05 |
|
|
$ |
1.22 |
|
Add: Net restructuring expenses and other adjustments |
|
0.10 |
|
|
|
0.07 |
|
Add: Acquisition and integration costs (3) |
|
0.24 |
|
|
|
0.24 |
|
Less: Insurance recovery of legal fees |
|
(0.02 |
) |
|
|
(0.02 |
) |
Less: Environmental reserves, net |
|
(0.01 |
) |
|
|
(0.01 |
) |
Less: Adjusted effective income tax rate impact (1) |
|
(0.06 |
) |
|
|
(0.05 |
) |
Adjusted earnings per diluted share (2) |
$ |
1.30 |
|
|
$ |
1.45 |
|
|
|
|
|
|
|
||
(1) Income taxes are calculated using the normalized effective tax rate for each year. The rate used in 2024 is 25%. |
|
||||||
(2) Adjusted earnings per diluted share is calculated using the weighted average common shares outstanding. |
|
||||||
(3) Includes acquisition-related inventory step-up costs |
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20240507372515/en/
Source: