SGK Announces 2014 First-Quarter Results
DES PLAINES, IL--(Marketwired - Apr 30, 2014) - Schawk, Inc.
(NYSE: SGK), now marketed as SGK (the "Company"), a leading global
brand development, activation and deployment company, reported
first-quarter 2014 results. Loss from continuing operations in the
first quarter of 2014 was $2.7 million, or a loss of $0.10 per
diluted share, versus income of $1.3 million, or $0.05 per diluted
share, in the first quarter of 2013.
Included in the loss from continuing operations for the first
quarter of 2014 was $8.1 million of merger-related expenses
relating to the Company's entry into a definitive merger agreement
with Matthews International Corporation on March 16, 2014.
In addition, the Company reported income of $1.9 million in the
first quarter of 2014, relating to a decrease in the estimated
liability originally recorded in 2012 for the Company's withdrawal
from its remaining multiemployer pension plan within the United
States.
Operating loss for the first quarter of 2014 was $5.0 million
compared to operating income of $1.7 million for the same quarter
of 2013.
On a non-GAAP basis, adjusting for financial impacts relating to
merger-related expenses, the reduction in the Company's
multiemployer pension withdrawal liability and certain other items
further detailed in this release, 2014 first-quarter adjusted
operating income was $3.6 million compared to $4.4 million in the
prior-year period.
Adjusted income from continuing operations was $2.7 million, or
$0.10 per diluted share, for the first quarter of 2014 compared to
$3.0 million, or $0.11 per diluted share, during the same period of
2013. Please refer to the tables at the end of this press release
for a reconciliation of these non-GAAP measures.
Chief Executive Officer David A. Schawk commented, "As
previously announced, we entered into a definitive merger agreement
with Matthews International Corporation on March 16, 2014, which we
presently expect to close sometime during the third quarter of
2014. While we work toward completing the steps necessary to
consummate the merger, we continue to remain focused on providing
world-class brand development and deployment services to our
clients."
Consolidated Results
for the Quarter Ended March 31, 2014 Consolidated net
revenues in the first quarter of 2014 were $101.9 million compared
to $107.2 million in the prior-year period, a decrease of
approximately $5.3 million, or 4.9 percent. Year-over-year revenues
were negatively impacted by changes in foreign currency translation
rates of approximately $0.7 million, as the U.S. dollar increased
in value relative to the local currencies of certain of the
Company's non-U.S. subsidiaries.
Consumer packaged goods (CPG) client revenue during the first
quarter of 2014 was $89.0 million, or 87.3 percent of total net
revenues, compared to $94.1 million in the same period of 2013, a
decrease of 5.4 percent, due to reduced client activity within
brand development and deployment. Retail and advertising client
revenue in the first quarter of 2014 was essentially flat at $12.9
million, or 12.7 percent of total revenues, compared to $13.0
million during the same period of 2013.
Cost of services (excluding depreciation and amortization) was
$65.4 million in the first quarter of 2014, a decrease of
approximately $2.7 million from $68.2 million in the prior-year
period, mainly due to cost reduction actions taken during 2013 and
in the first quarter of 2014.
Selling, general and administrative expenses (excluding
depreciation and amortization) decreased $2.2 million to $28.3
million in the first quarter of 2014 from $30.4 million in the same
period of 2013. Reductions in expenses were driven by the Company's
cost reduction efforts implemented during 2013 and in the first
quarter of 2014.
Expenses related to the Company's pending merger with Matthews
International Corporation, which included compensation-related
expenses and professional fees, were $8.1 million during the first
quarter of 2014.
Business and systems integration expenses related to the
Company's information technology and business process improvement
initiative decreased $1.1 million to $1.6 million in the first
quarter of 2014 from $2.7 million in the prior-year period.
In addition, the Company reported $1.9 million of income
resulting from a decrease in its multiemployer pension withdrawal
liability originally recorded in 2012.
During the first quarter of 2014, operating loss was $5.0
million compared to operating income of $1.7 million in the
prior-year period driven primarily by the merger-related expenses
and a decline in consolidated net revenues, partially offset by
decreases in cost of services and SG&A as well as the
multiemployer pension withdrawal income. Non-GAAP adjusted
operating income was $3.6 million for the first quarter of 2014
compared to $4.4 million in the prior-year comparable period.
The Company reported a tax benefit of $3.1 million in the first
quarter of 2014 compared to a benefit of $0.7 million during the
same period of 2013, due primarily to the Company's loss from
continuing operations coupled with certain discrete tax benefits
recorded during the 2014 quarter.
Loss from continuing operations was $2.7 million in the first
quarter of 2014, or a loss of $0.10 per diluted share, compared to
income of $1.3 million, or $0.05 per diluted share, in the same
period of 2013. Non-GAAP adjusted income from continuing operations
was $2.7 million, or $0.10 per diluted share, for the first quarter
of 2014 compared to $3.0 million, or $0.11 per diluted share, on a
comparable basis for the prior-year period.
Management Adjusted
EBITDA Performance Management Adjusted EBITDA for the first
quarter of 2014 was $8.6 million compared to $9.0 million in the
prior-year period. Please refer to the "Reconciliation of Non-GAAP
Management Adjusted EBITDA" table attached at the end of this press
release for a reconciliation of these measures.
Conference Call
In light of the pending merger with Matthews International
Corporation, the Company will not be holding a first-quarter 2014
earnings conference call.
About SGK SGK is a leading global brand development, activation
and deployment company that drives brand performance. By creating
brands, helping sell brands, producing brand assets and protecting
brand equities, we help our clients achieve higher brand
performance. SGK's global footprint spans more than 20 countries.
For more information visit: http://www.sgkinc.com.
Non-GAAP Financial Measures In addition to the presentation
of Management Adjusted EBITDA in this release, the Company has
presented certain other non-GAAP measures in the attachment
entitled "Reconciliation of Non-GAAP measures to
GAAP." Management believes that the presentation of non-GAAP
measures provides investors with greater transparency and
supplemental data relating to the Company's financial condition and
results of operations and provides more consistent insight into the
performance of the Company's core operations from period to period
by showing the effects of certain non-operating items. These
non-GAAP measures are reconciled to the closest GAAP measures on
the schedules attached to this earnings release. The non-GAAP
measures should not be viewed as alternatives to GAAP and may not
be consistent with similar measures provided by other
companies.
Safe Harbor Statement Certain statements in this earnings
release are forward-looking statements within the meaning of
Section 21E of the Securities Exchange Act of 1934, as amended, and
are subject to the safe harbor created thereby. These statements
are made based upon current expectations and beliefs that are
subject to risk and uncertainty. Actual results may differ
materially from those contained in the forward-looking statements
because of factors, such as, among other things, the strength of
the United States economy in general and, specifically, market
conditions for the consumer products industry in the U.S. and
abroad; the level of demand for the Company's services; unfavorable
foreign exchange fluctuations; changes in or weak consumer
confidence and consumer spending; loss of key management and
operational personnel; the ability of the Company to implement its
business strategy and cost reduction plans and to realize
anticipated cost savings; the ability of the Company to comply with
the financial covenants contained in its debt agreements and obtain
waivers or amendments in the event of non-compliance; the ability
of the Company to maintain an effective system of disclosure and
internal controls and the discovery of any future control
deficiencies or weaknesses, which may require substantial costs and
resources to rectify; the stability of state, federal and foreign
tax laws; the ability of the Company to identify and capitalize on
industry trends and technological advances in the imaging industry;
higher than anticipated costs or lower than anticipated benefits
associated with the Company's ongoing information technology and
business process improvement initiative or unanticipated costs or
difficulties associated with integrating acquired operations;
higher than expected costs associated with compliance with legal
and regulatory requirements; any impairment charges due to declines
in the value of the Company's fixed and intangible assets,
including goodwill; the stability of political conditions in
foreign countries in which the Company has production capabilities;
terrorist attacks and the U.S. response to such attacks; as well as
other factors detailed in the Company's filings with the Securities
and Exchange Commission. In addition, factors relating to the
proposed merger between the Company and Matthews could cause
results to differ materially from those set forth in
forward-looking statements, including, among other things, the
impact the pending merger will have on the Company's financial
results prior to and following completion of the merger; the
ability to complete the merger in the expected timeframe or at all,
including as a result of purported class action lawsuits seeking
to, among other things, enjoin the merger; merger integration risks
and uncertainties; and disruptions to client and employee
relationships and business operations as a result of the merger.
The Company can give no assurance that the assumptions upon which
such forward-looking statements are based will prove to have been
correct, and undue reliance should not be placed on such
statements. The Company assumes no obligation to update publicly
any of these statements in light of future events.
The discussion of the Company's financial results within
this earnings release should be read and considered in context of
the Company's most recent Form 10-K and Form 10-Q filed with the
Securities and Exchange Commission.
For more information about SGK, visit its website at
http://www.sgkinc.com.
Schawk, Inc. is now marketed as SGK
| |
|
| |
|
| Schawk Inc. Consolidated Statements of Comprehensive
Income (Loss) |
|
| (Unaudited) |
|
| (In thousands, except per share amounts) |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
Three Months Ended |
|
|
|
|
|
|
|
| |
|
March 31, |
|
|
Increase (Decrease) |
|
| |
|
2014 |
|
|
2013 |
|
|
Amount |
|
|
Percent |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Net revenues |
|
$ |
101,886 |
|
|
$ |
107,158 |
|
|
$ |
(5,272 |
) |
|
(4.9 |
)% |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Operating expenses: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Cost of services (excluding depreciation and
amortization) |
|
|
65,448 |
|
|
|
68,186 |
|
|
|
(2,738 |
) |
|
(4.0 |
)% |
| Selling, general and administrative expenses (excluding
depreciation and amortization) |
|
|
28,261 |
|
|
|
30,441 |
|
|
|
(2,180 |
) |
|
(7.2 |
)% |
| Merger-related expenses |
|
|
8,135 |
|
|
|
-- |
|
|
|
8,135 |
|
|
nm |
|
| Depreciation and amortization |
|
|
4,587 |
|
|
|
4,096 |
|
|
|
491 |
|
|
12.0 |
% |
| Business and systems integration expenses |
|
|
1,608 |
|
|
|
2,658 |
|
|
|
(1,050 |
) |
|
(39.5 |
)% |
| Foreign exchange loss (gain) |
|
|
349 |
|
|
|
(242 |
) |
|
|
591 |
|
|
nm |
|
| Acquisition integration and restructuring expenses |
|
|
345 |
|
|
|
243 |
|
|
|
102 |
|
|
42.0 |
% |
| Multiemployer pension withdrawal income |
|
|
(1,870 |
) |
|
|
-- |
|
|
|
(1,870 |
) |
|
nm |
|
| Impairment of long-lived assets |
|
|
-- |
|
|
|
36 |
|
|
|
(36 |
) |
|
nm |
|
| Operating income (loss) |
|
|
(4,977 |
) |
|
|
1,740 |
|
|
|
(6,717 |
) |
|
nm |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Other income (expense) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
Interest income |
|
|
87 |
|
|
|
26 |
|
|
|
61 |
|
|
nm |
|
| |
Interest expense |
|
|
(902 |
) |
|
|
(1,095 |
) |
|
|
193 |
|
|
(17.6 |
)% |
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Income (loss) from continuing operations before income
taxes |
|
|
(5,792 |
) |
|
|
671 |
|
|
|
(6,463 |
) |
|
nm |
|
| Income tax benefit |
|
|
(3,059 |
) |
|
|
(651 |
) |
|
|
(2,408 |
) |
|
nm |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Income (loss) from continuingoperations |
|
|
(2,733 |
) |
|
|
1,322 |
|
|
|
(4,055 |
) |
|
nm |
|
| Income from discontinuedoperations, net of tax |
|
|
-- |
|
|
|
133 |
|
|
|
(133 |
) |
|
nm |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Net income (loss) |
|
$ |
(2,733 |
) |
|
$ |
1,455 |
|
|
$ |
(4,188 |
) |
|
nm |
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Diluted earnings (loss) per share: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
Income (loss) from continuingoperations |
|
$ |
(0.10 |
) |
|
$ |
0.05 |
|
|
$ |
(0.15 |
) |
|
|
|
| |
Income from discontinuedoperations |
|
|
-- |
|
|
|
0.01 |
|
|
|
(0.01 |
) |
|
|
|
| |
Net income (loss) per common share |
|
$ |
(0.10 |
) |
|
$ |
0.06 |
|
|
$ |
(0.16 |
) |
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Weighted average number of common and common equivalent
shares outstanding: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
Diluted |
|
|
26,350 |
|
|
|
26,224 |
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Comprehensive loss |
|
$ |
(2,797 |
) |
|
$ |
(886 |
) |
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| nm = not meaningful |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Schawk, Inc. |
|
| Consolidated Balance Sheets |
|
| (In thousands, except share
amounts) |
|
| |
|
| |
|
March 31, |
|
|
December 31, |
|
| |
|
2014 |
|
|
2013 |
|
| |
|
(Unaudited) |
|
|
|
|
| Assets |
|
|
|
|
|
|
|
|
| Current assets: |
|
|
|
|
|
|
|
|
| |
Cash
and cash equivalents |
|
$ |
4,947 |
|
|
$ |
6,171 |
|
| |
Trade
accounts receivable, less allowance for doubtful accounts of $2,079
at March 31, 2014 and $2,040 at December 31, 2013 |
|
|
94,128 |
|
|
|
96,559 |
|
| |
Unbilled services |
|
|
18,322 |
|
|
|
18,095 |
|
| |
Prepaid expenses and other current assets |
|
|
13,403 |
|
|
|
8,584 |
|
| |
Income tax receivable |
|
|
11,076 |
|
|
|
2,053 |
|
| |
Deferred income taxes |
|
|
1,240 |
|
|
|
1,227 |
|
| Total current assets |
|
|
143,116 |
|
|
|
132,689 |
|
| |
|
|
|
|
|
|
|
|
| Property and equipment, net |
|
|
57,098 |
|
|
|
59,003 |
|
| Goodwill, net |
|
|
201,610 |
|
|
|
201,913 |
|
| Other intangible assets, net: |
|
|
|
|
|
|
|
|
| |
Customer relationships |
|
|
23,082 |
|
|
|
24,035 |
|
| |
Other |
|
|
420 |
|
|
|
461 |
|
| Deferred income taxes |
|
|
4,295 |
|
|
|
4,218 |
|
| Other assets |
|
|
8,271 |
|
|
|
8,222 |
|
| |
|
|
|
|
|
|
|
|
| Total assets |
|
$ |
437,892 |
|
|
$ |
430,541 |
|
| |
|
|
|
|
|
|
|
|
| Liabilities and stockholders' equity |
|
|
|
|
|
|
|
|
| Current liabilities: |
|
|
|
|
|
|
|
|
| |
Trade
accounts payable |
|
$ |
16,144 |
|
|
$ |
17,132 |
|
| |
Accrued expenses |
|
|
68,620 |
|
|
|
51,137 |
|
| |
Deferred income taxes |
|
|
217 |
|
|
|
215 |
|
| |
Income taxes payable |
|
|
256 |
|
|
|
3,902 |
|
| |
Current portion of long-term debt |
|
|
1,266 |
|
|
|
1,266 |
|
| Total current liabilities |
|
|
86,503 |
|
|
|
73,652 |
|
| |
|
|
|
|
|
|
|
|
| Long-term liabilities: |
|
|
|
|
|
|
|
|
| |
Long-term debt |
|
|
60,534 |
|
|
|
56,636 |
|
| |
Deferred income taxes |
|
|
11,231 |
|
|
|
8,759 |
|
| |
Other
long-term liabilities |
|
|
38,326 |
|
|
|
40,647 |
|
| Total long-term liabilities |
|
|
110,091 |
|
|
|
106,042 |
|
| |
|
|
|
|
|
|
|
|
| Stockholders' equity: |
|
|
|
|
|
|
|
|
| |
Common stock, $0.008 par value, 40,000,000 shares authorized,
31,324,898 and 31,321,010 shares issued at March 31, 2014 and
December 31, 2013, respectively, 26,230,827 and 26,226,303 shares
outstanding at March 31, 2014 and December 31, 2013,
respectively |
|
|
229 |
|
|
|
229 |
|
| |
Additional paid-in capital |
|
|
208,596 |
|
|
|
213,247 |
|
| |
Retained earnings |
|
|
87,153 |
|
|
|
92,000 |
|
| |
Accumulated comprehensive income, net |
|
|
10,541 |
|
|
|
10,605 |
|
| |
Treasury stock, at cost, 5,094,071 and 5,094,707 shares of common
stock at March 31, 2014 and December 31, 2013, respectively |
|
|
(65,221 |
) |
|
|
(65,234 |
) |
| Total stockholders' equity |
|
|
241,298 |
|
|
|
250,847 |
|
| |
|
|
|
|
|
|
|
|
| Total liabilities and stockholders' equity |
|
$ |
437,892 |
|
|
$ |
430,541 |
|
| |
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
| Schawk Inc. Segment Financial Data |
|
| (Unaudited) |
|
| (In thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
|
|
|
|
|
|
|
|
March 31, |
|
|
Increase (Decrease) |
|
|
|
|
2014 |
|
|
2013 |
|
|
Amount |
|
|
Percent |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net revenues: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Americas |
|
$ |
73,167 |
|
|
$ |
82,574 |
|
|
$ |
(9,407 |
) |
|
(11.4 |
)% |
|
Europe |
|
|
23,566 |
|
|
|
19,872 |
|
|
|
3,694 |
|
|
18.6 |
% |
|
Asia Pacific |
|
|
10,053 |
|
|
|
9,706 |
|
|
|
347 |
|
|
3.6 |
% |
|
Intersegment revenue elimination |
|
|
(4,900 |
) |
|
|
(4,994 |
) |
|
|
94 |
|
|
1.9 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total (1) |
|
$ |
101,886 |
|
|
$ |
107,158 |
|
|
$ |
(5,272 |
) |
|
(4.9 |
)% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating segment income (loss): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Americas |
|
$ |
8,527 |
|
|
$ |
11,842 |
|
|
$ |
(3,315 |
) |
|
(28.0 |
)% |
|
Europe |
|
|
1,522 |
|
|
|
(181 |
) |
|
|
1,703 |
|
|
nm |
|
|
Asia Pacific |
|
|
581 |
|
|
|
347 |
|
|
|
234 |
|
|
67.4 |
% |
|
Corporate |
|
|
(15,607 |
) |
|
|
(10,268 |
) |
|
|
(5,339 |
) |
|
(52.0 |
)% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income (loss) |
|
$ |
(4,977 |
) |
|
$ |
1,740 |
|
|
$ |
(6,717 |
) |
|
nm |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| Quarter-over-quarter net revenues were negatively
impacted by changes in foreign currency translation rates for the
Americas and Asia Pacific segments by approximately $1.0 million
and $0.8 million, respectively. Net revenues for the Europe segment
benefited by approximately $1.1 million for the quarter. Total
consolidated net revenues were negatively impacted by changes in
foreign currency translation rates by approximately $0.7 million in
the first quarter of 2014 compared to the prior-year comparable
quarter. |
|
| |
|
| |
|
| |
|
| Schawk, Inc. |
|
| Reconciliation of Non-GAAP Measures to GAAP |
|
| (Unaudited) |
|
| (In thousands, except per share
amounts) |
|
| |
|
|
|
|
|
|
| |
|
Three Months Ended |
|
| |
|
March 31, |
|
| |
|
2014 |
|
|
2013 |
|
| |
|
|
|
|
|
|
|
|
| Operating income (loss) - GAAP |
|
$ |
(4,977 |
) |
|
$ |
1,740 |
|
| Adjustments: |
|
|
|
|
|
|
|
|
| |
Merger-related expenses |
|
|
8,135 |
|
|
|
-- |
|
| |
Business and systems integration expenses |
|
|
1,608 |
|
|
|
2,658 |
|
| |
Foreign currency (gain) loss |
|
|
349 |
|
|
|
(242 |
) |
| |
Impairment of long-lived assets |
|
|
-- |
|
|
|
36 |
|
| |
Acquisition integration and restructuring expenses |
|
|
345 |
|
|
|
243 |
|
| |
Multiemployer pension withdrawal income |
|
|
(1,870 |
) |
|
|
-- |
|
| |
|
|
|
|
|
|
|
|
| Adjusted operating income - non GAAP |
|
$ |
3,590 |
|
|
$ |
4,435 |
|
| |
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
| Income (loss) from continuing operations - GAAP |
|
$ |
(2,733 |
) |
|
$ |
1,322 |
|
| Adjustments - net of tax effects (1): |
|
|
|
|
|
|
|
|
| |
Merger-related expenses |
|
|
5,023 |
|
|
|
-- |
|
| |
Business and systems integration expenses |
|
|
1,069 |
|
|
|
1,641 |
|
| |
Foreign currency (gain) loss |
|
|
269 |
|
|
|
(174 |
) |
| |
Impairment of long-lived assets |
|
|
-- |
|
|
|
32 |
|
| |
Acquisition integration and restructuring expenses |
|
|
216 |
|
|
|
156 |
|
| |
Multiemployer pension withdrawal income |
|
|
(1,155 |
) |
|
|
-- |
|
| |
|
|
|
|
|
|
|
|
| Adjusted income from continuing operations - non
GAAP |
|
$ |
2,689 |
|
|
$ |
2,977 |
|
| |
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
| Earnings (loss) from continuing operations per diluted
share - GAAP |
|
$ |
(0.10 |
) |
|
$ |
0.05 |
|
| Adjustments - net of tax effects (1): |
|
|
|
|
|
|
|
|
| |
Merger-related expenses |
|
|
0.19 |
|
|
|
-- |
|
| |
Business and systems integration expenses |
|
|
0.04 |
|
|
|
0.06 |
|
| |
Foreign currency (gain) loss |
|
|
0.01 |
|
|
|
(0.01 |
) |
| |
Impairment of long-lived assets |
|
|
-- |
|
|
|
-- |
|
| |
Acquisition integration and restructuring expenses |
|
|
-- |
|
|
|
0.01 |
|
| |
Multiemployer pension withdrawal income |
|
|
(0.04 |
) |
|
|
-- |
|
| |
|
|
|
|
|
|
|
|
| Adjusted earnings from continuing operations per
diluted share - non GAAP |
|
$ |
0.10 |
|
|
$ |
0.11 |
|
| |
|
|
|
|
|
|
|
|
| Weighted average common and common stock |
|
|
|
|
|
|
|
|
| equivalents outstanding - GAAP (diluted) |
|
|
26,350 |
|
|
|
26,224 |
|
| |
|
|
|
|
|
|
|
|
| (1) Adjustments have been tax-effected at the
jurisdictions' statutory
rates. |
|
| |
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
| |
|
|
|
|
|
|
|
|
| Schawk, Inc. |
|
| Reconciliation of Non-GAAP Management Adjusted
EBITDA |
|
| (Unaudited) |
|
| (In thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
Twelve Months Ended |
|
|
|
|
March 31, |
|
|
March 31, |
|
|
|
|
2014 |
|
|
2013 |
|
|
2014 |
|
|
2013 |
|
|
Income (loss) from continuing operations - GAAP |
|
$ |
(2,733 |
) |
|
$ |
1,322 |
|
|
$ |
9,163 |
|
|
$ |
(20,669 |
) |
|
Interest expense |
|
|
902 |
|
|
|
1,095 |
|
|
|
4,131 |
|
|
|
3,905 |
|
|
Income tax expense (benefit) |
|
|
(3,059 |
) |
|
|
(651 |
) |
|
|
4,495 |
|
|
|
(10,705 |
) |
|
Depreciation and amortization expense |
|
|
4,587 |
|
|
|
4,096 |
|
|
|
18,627 |
|
|
|
17,163 |
|
|
Impairment of long-lived assets |
|
|
-- |
|
|
|
36 |
|
|
|
466 |
|
|
|
4,317 |
|
|
Stock based compensation |
|
|
1,247 |
|
|
|
416 |
|
|
|
2,475 |
|
|
|
1,713 |
|
|
Adjusted EBITDA - non GAAP |
|
|
944 |
|
|
|
6,314 |
|
|
|
39,357 |
|
|
|
(4,276 |
) |
|
Permitted add backs on debt covenants: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Proforma effect of acquisitions and asset sales |
|
|
-- |
|
|
|
290 |
|
|
|
210 |
|
|
|
1,601 |
|
|
Acquisition integration and restructuring expenses |
|
|
-- |
|
|
|
-- |
|
|
|
-- |
|
|
|
181 |
|
|
Business and systems integration expenses |
|
|
-- |
|
|
|
2,658 |
|
|
|
-- |
|
|
|
10,000 |
|
|
Multiemployer pension withdrawal expense |
|
|
(1,870 |
) |
|
|
-- |
|
|
|
(1,870 |
) |
|
|
31,683 |
|
|
Adjusted EBITDA for covenant compliance - non GAAP |
|
|
(926 |
) |
|
|
9,262 |
|
|
|
37,697 |
|
|
|
39,189 |
|
|
Merger-related expenses |
|
|
7,196 |
|
|
|
-- |
|
|
|
7,196 |
|
|
|
-- |
|
|
Acquisition integration and restructuring expenses |
|
|
345 |
|
|
|
243 |
|
|
|
1,876 |
|
|
|
4,234 |
|
|
Business and systems integration expenses |
|
|
1,608 |
|
|
|
-- |
|
|
|
6,438 |
|
|
|
1,647 |
|
|
Proforma effect of acquisitions and asset sales |
|
|
-- |
|
|
|
(290 |
) |
|
|
(210 |
) |
|
|
(1,601 |
) |
|
Multiemployer pension plan withdrawal expense |
|
|
-- |
|
|
|
-- |
|
|
|
-- |
|
|
|
(203 |
) |
|
Foreign exchange loss (gain) |
|
|
349 |
|
|
|
(242 |
) |
|
|
1,882 |
|
|
|
1,111 |
|
|
Management Adjusted EBITDA - non GAAP |
|
$ |
8,572 |
|
|
$ |
8,973 |
|
|
$ |
54,879 |
|
|
$ |
44,377 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Use of Non-GAAP
Adjusted EBITDA, Adjusted EBITDA for covenant compliance, and
Management adjusted EBITDA Adjusted EBITDA, as presented
within this release, is defined as earnings before interest, income
taxes, depreciation and amortization, and other certain non-cash
items. Adjusted EBITDA for covenant compliance, as defined in
the Company's current debt agreements, is defined as Adjusted
EBITDA excluding certain items, including items that are generally
considered non-operating, as permitted under the Company's current
revolving credit facility, and is used by management to gauge its
ongoing compliance with the Company's principal debt covenants, as
well as pricing on its revolving credit facility. Management
adjusted EBITDA is used to evaluate the core operating activities
of the Company from period to period. None of the measures
presented above represent cash flows from operations as defined by
generally accepted accounting principles, should not be considered
as an alternative to net income or cash flow from operations as an
indicator of our operating performance, and are not indicative of
cash available to fund all cash flow needs. These measures
also may be inconsistent with similar measures presented by other
companies or EBITDA as defined under guidance from the Securities
and Exchange Commission.
AT SGK: Timothy Allen Vice President, Finance Operations and
Investor Relations 847-827-9494 Email Contact
Grafico Azioni Schawk (NYSE:SGK)
Storico
Da Mag 2024 a Giu 2024
Grafico Azioni Schawk (NYSE:SGK)
Storico
Da Giu 2023 a Giu 2024
