TriMas Reports Fourth Quarter and Full Year 2020 Results
TriMas' Packaging Group Achieves Record Fourth Quarter and Full Year Sales
Company Provides First Quarter 2021 Outlook
TriMas Highlights
-
Increased fourth quarter and full year 2020 sales by 10.1% and 6.4%, respectively, driven by record sales in
TriMas' Packaging group -
Increased fourth quarter diluted EPS from continuing operations 80.0% to
$0.54 , while adjusted diluted EPS from continuing operations(1) increased 22.6% to$0.38 compared to fourth quarter 2019 -
Generated full year 2020 net cash provided by operating activities from continuing operations of
$127.4 million , an increase of 33.1% compared to$95.7 million in 2019 -
Ended 2020 with
$312.3 million of unrestricted cash and aggregate availability, and a net leverage ratio of 1.8x, even after share repurchases and three acquisitions - Acquired Affaba & Ferrari, a designer and manufacturer of engineered caps and closures for food and beverage, and industrial applications, further expanding TriMas’ Packaging group
Fourth Quarter 2020
TriMas reported fourth quarter net sales of
The Company reported fourth quarter 2020 income from continuing operations of
Full Year 2020
For the full year 2020, TriMas reported net sales of
The Company reported a full year 2020 loss from continuing operations of
"While 2020 presented us with unprecedented challenges, we leveraged our TriMas Business Model to anticipate disruptions to our plan, and in turn, took swift actions to implement changes to both protect our workforce and meet customer demands," said
"Our solid financial performance allowed us to achieve the full year adjusted EPS(1) and Free Cash Flow(2) outlook we set forth at the start of 2020 prior to the onset of the pandemic. We were able to effectively convert on robust organic sales growth opportunities in our Packaging group, and achieve higher consolidated sales, earnings per share and cash flow from operating activities during the fourth quarter compared to the year ago period. Our strong execution was complemented by our disciplined and balanced approach to capital allocation and managing our balance sheet. We remain focused on maintaining our financial and strategic flexibility, which will enable us to continue to fund organic growth initiatives and pursue strategic acquisitions to build out our Packaging and Aerospace platforms, as well as return capital to shareholders through share repurchases.
"Given the continued market uncertainties arising from the global COVID-19 pandemic, we are providing first quarter outlook at this time. We expect first quarter sales growth of 4% to 9% compared to first quarter 2020, and first quarter 2021 adjusted diluted EPS(1) is expected to range from
Financial Position
The Company reported net cash provided by operating activities from continuing operations of
During 2020, the Company used
TriMas ended 2020 with
Fourth Quarter Results - From Continuing Operations
Packaging (Approximately 63% of TriMas 2020 net sales)
Aerospace (Approximately 22% of TriMas 2020 net sales)
Specialty Products (Approximately 15% of TriMas 2020 net sales)
TriMas' Specialty Products segment, which includes the Norris Cylinder™ and Arrow® Engine brands, designs, manufactures and distributes highly-engineered steel cylinders, and wellhead engines and compressor systems, for use within the welding, HVAC, medical, military, industrial, and oil and gas end markets. Norris Cylinder is the only steel cylinder manufacturer in
Non-cash Impairment Charges
During the third quarter of 2020, the Company recorded pre-tax, non-cash goodwill and indefinite-lived intangible asset impairment charges of
Discontinued Operations
On
Outlook
Given the continued market uncertainties arising from the global COVID-19 pandemic, the Company is providing first quarter outlook only at this time, with the objective of reverting to full year outlook as the impacts of the pandemic and related economic recovery are better understood and visibility improves. For the first quarter of 2021, the Company expects TriMas’ consolidated sales to increase 4% to 9% as compared to first quarter 2020, with sales in the Packaging segment anticipated to increase, partially offset by continued weaker demand in the Aerospace and Specialty Products segments. The Company expects first quarter 2021 adjusted diluted earnings per share(1) in the range of
"As we move through the next couple of months, we believe we will be able to better assess customer demands and future order patterns for our products that are both positively and negatively impacted by the pandemic. In 2021, our objective remains to execute against our long-term growth strategy, driving growth through product and process innovation, as well as via acquisitions, while continuing to apply a disciplined approach to capital allocation. We remain excited about our prospects for the future, and believe our strategic actions during the past two years to focus TriMas on the more attractive packaging and aerospace markets for the long-term will continue to drive value for our shareholders." said Amato.
All of the above amounts considered as 2021 guidance are after adjusting for any current or future amounts that may be considered Special Items. The inability to predict the amount and timing of the impacts of these Special Items makes a detailed reconciliation of these forward-looking non-GAAP financial measures impracticable.(4)
Conference Call Information
TriMas will host its fourth quarter and full year 2020 earnings conference call today,
Notice Regarding Forward-Looking Statements
Any "forward-looking" statements, within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, contained herein, including those relating to TriMas’ business, financial condition or future results, involve risks and uncertainties with respect to, including, but not limited to: the severity and duration of the ongoing coronavirus (“COVID-19”) pandemic on our operations, customers and suppliers, as well as related actions taken by governmental authorities and other third parties in response, each of which is uncertain, rapidly changing and difficult to predict; general economic and currency conditions; material and energy costs; risks and uncertainties associated with intangible assets, including goodwill or other intangible asset impairment charges; competitive factors; future trends; our ability to realize our business strategies; our ability to identify attractive acquisition candidates, successfully integrate acquired operations or realize the intended benefits of such acquisitions; information technology and other cyber-related risks; the performance of our subcontractors and suppliers; supply constraints; market demand; intellectual property factors; litigation; government and regulatory actions, including, without limitation, climate change legislation and other environmental regulations, as well as the impact of tariffs, quotas and surcharges; our leverage; liabilities imposed by our debt instruments; labor disputes; changes to fiscal and tax policies; contingent liabilities relating to acquisition activities; the disruption of operations from catastrophic or extraordinary events, including natural disasters and public health crises; the potential impact of Brexit; our future prospects; and other risks that are detailed in the Company's Annual Report on Form 10-K for the fiscal year ended
Non-GAAP Financial Measures
In this release, certain non-GAAP financial measures are used. Reconciliations of these non-GAAP financial measures to the most directly comparable GAAP financial measure may be found in Appendix I at the end of this release. Additional information is available at www.trimascorp.com under the “Investors” section.
|
(1) |
Appendix I details certain costs, expenses and other amounts or charges, collectively described as "Special Items," that are included in the determination of net income, earnings per share and/or cash flows from operating activities under GAAP, but that management believes should be separately considered when evaluating the quality of the Company’s core operating results, given they may not reflect the ongoing activities of the business. Management believes that presenting these non-GAAP financial measures, adjusted to remove the impact of Special Items, provides useful information to investors by helping them identify underlying trends in the Company’s businesses and facilitating comparisons of performance with prior and future periods. These non-GAAP financial measures should be considered in addition to, and not as a replacement for or superior to, the comparable GAAP financial measures. |
|
(2) |
The Company defines Free Cash Flow as Net Cash Provided by/Used for Operating Activities from Continuing Operations, excluding the cash impact of Special Items, less Capital Expenditures. Please see Appendix I for additional details. |
|
(3) |
The Company defines Net Debt as Total Debt less Cash and Cash Equivalents. Please see Appendix I for additional details. |
|
(4) |
Reconciliations of these forward-looking non-GAAP financial measures to the most directly comparable GAAP financial measures are not provided because the Company is unable to provide such reconciliations without unreasonable effort, due to the uncertainty and inherent difficulty of predicting the occurrence and the financial impact of such items impacting comparability and the periods in which such items may be recognized. For the same reasons, the Company is unable to address the probable significance of the unavailable information, which could be material to future results. |
About TriMas
TriMas is a manufacturer and provider of products for customers primarily in the consumer products, aerospace and industrial end markets, with approximately 3,200 dedicated employees in 11 countries. We provide customers with a wide range of innovative and quality product solutions through our market-leading businesses. Our TriMas family of businesses has strong brand names in the markets served, and operates under a common set of values and strategic priorities under the TriMas Business Model. TriMas is publicly traded on the NASDAQ under the ticker symbol “TRS,” and is headquartered in
|
Condensed Consolidated Balance Sheet (Dollars in thousands) |
||||||||
|
|
|
|
|
|
||||
|
Assets |
|
|
|
|
||||
|
Current assets: |
|
|
|
|
||||
|
Cash and cash equivalents |
|
$ |
73,950 |
|
|
$ |
172,470 |
|
|
Receivables, net |
|
113,410 |
|
|
108,860 |
|
||
|
Inventories |
|
149,380 |
|
|
132,660 |
|
||
|
Prepaid expenses and other current assets |
|
15,090 |
|
|
20,050 |
|
||
|
Total current assets |
|
351,830 |
|
|
434,040 |
|
||
|
Property and equipment, net |
|
253,060 |
|
|
214,330 |
|
||
|
Operating lease right-of-use assets |
|
37,820 |
|
|
27,850 |
|
||
|
|
|
303,970 |
|
|
334,640 |
|
||
|
Other intangibles, net |
|
206,200 |
|
|
161,390 |
|
||
|
Deferred income taxes |
|
19,580 |
|
|
500 |
|
||
|
Other assets |
|
21,420 |
|
|
19,950 |
|
||
|
Total assets |
|
$ |
1,193,880 |
|
|
$ |
1,192,700 |
|
|
Liabilities and Shareholders' Equity |
|
|
|
|
||||
|
Current liabilities: |
|
|
|
|
||||
|
Accounts payable |
|
$ |
69,910 |
|
|
$ |
72,670 |
|
|
Accrued liabilities |
|
60,540 |
|
|
42,020 |
|
||
|
Operating lease liabilities, current portion |
|
6,740 |
|
|
5,100 |
|
||
|
Total current liabilities |
|
137,190 |
|
|
119,790 |
|
||
|
Long-term debt, net |
|
346,290 |
|
|
294,690 |
|
||
|
Operating lease liabilities |
|
31,610 |
|
|
23,100 |
|
||
|
Deferred income taxes |
|
24,850 |
|
|
16,830 |
|
||
|
Other long-term liabilities |
|
69,690 |
|
|
40,810 |
|
||
|
Total liabilities |
|
609,630 |
|
|
495,220 |
|
||
|
Total shareholders' equity |
|
584,250 |
|
|
697,480 |
|
||
|
Total liabilities and shareholders' equity |
|
$ |
1,193,880 |
|
|
$ |
1,192,700 |
|
|
Consolidated Statement of Operations (Dollars in thousands, except share and per share amounts) |
||||||||||||||||
|
|
|
Three months ended
|
|
Twelve months ended
|
||||||||||||
|
|
|
2020 |
|
2019 |
|
2020 |
|
2019 |
||||||||
|
|
|
(unaudited) |
|
|
|
|
||||||||||
|
Net sales |
|
$ |
188,170 |
|
|
$ |
170,920 |
|
|
$ |
769,970 |
|
|
$ |
723,530 |
|
|
Cost of sales |
|
(141,620) |
|
|
(126,590) |
|
|
(587,890) |
|
|
(529,630) |
|
||||
|
Gross profit |
|
46,550 |
|
|
44,330 |
|
|
182,080 |
|
|
193,900 |
|
||||
|
Selling, general and administrative expenses |
|
(27,990) |
|
|
(23,440) |
|
|
(134,480) |
|
|
(102,530) |
|
||||
|
Net loss on dispositions of assets |
|
(210) |
|
|
(100) |
|
|
(1,290) |
|
|
(150) |
|
||||
|
Impairment of goodwill and indefinite-lived intangible assets |
|
— |
|
|
— |
|
|
(134,600) |
|
|
— |
|
||||
|
Operating profit (loss) |
|
18,350 |
|
|
20,790 |
|
|
(88,290) |
|
|
91,220 |
|
||||
|
Other expense, net: |
|
|
|
|
|
|
|
|
||||||||
|
Interest expense |
|
(3,400) |
|
|
(3,500) |
|
|
(14,660) |
|
|
(13,950) |
|
||||
|
Other income (expense), net |
|
390 |
|
|
(260) |
|
|
240 |
|
|
990 |
|
||||
|
Other expense, net |
|
(3,010) |
|
|
(3,760) |
|
|
(14,420) |
|
|
(12,960) |
|
||||
|
Income (loss) before income tax expense |
|
15,340 |
|
|
17,030 |
|
|
(102,710) |
|
|
78,260 |
|
||||
|
Income tax (benefit) expense |
|
8,350 |
|
|
(3,600) |
|
|
22,950 |
|
|
(16,320) |
|
||||
|
Income (loss) from continuing operations |
|
23,690 |
|
|
13,430 |
|
|
(79,760) |
|
|
61,940 |
|
||||
|
Income from discontinued operations, net of income taxes |
|
— |
|
|
24,970 |
|
|
— |
|
|
36,680 |
|
||||
|
Net income (loss) |
|
$ |
23,690 |
|
|
$ |
38,400 |
|
|
$ |
(79,760) |
|
|
$ |
98,620 |
|
|
Basic earnings (loss) per share: |
|
|
|
|
|
|
|
|
||||||||
|
Continuing operations |
|
$ |
0.55 |
|
|
$ |
0.30 |
|
|
$ |
(1.83) |
|
|
$ |
1.37 |
|
|
Discontinued operations |
|
— |
|
|
0.56 |
|
|
— |
|
|
0.81 |
|
||||
|
Net income (loss) per share |
|
$ |
0.55 |
|
|
$ |
0.86 |
|
|
$ |
(1.83) |
|
|
$ |
2.18 |
|
|
Weighted average common shares - basic |
|
43,202,937 |
|
|
44,868,503 |
|
|
43,581,232 |
|
|
45,303,659 |
|
||||
|
Diluted earnings (loss) per share: |
|
|
|
|
|
|
|
|
||||||||
|
Continuing operations |
|
$ |
0.54 |
|
|
$ |
0.30 |
|
|
$ |
(1.83) |
|
|
$ |
1.36 |
|
|
Discontinued operations |
|
— |
|
|
0.55 |
|
|
— |
|
|
0.80 |
|
||||
|
Net income (loss) per share |
|
$ |
0.54 |
|
|
$ |
0.85 |
|
|
$ |
(1.83) |
|
|
$ |
2.16 |
|
|
Weighted average common shares - diluted |
|
43,493,781 |
|
|
45,144,353 |
|
|
43,581,232 |
|
|
45,595,154 |
|
||||
|
Consolidated Statement of Cash Flows (Dollars in thousands) |
||||||||
|
|
|
Twelve months ended
|
||||||
|
|
|
2020 |
|
2019 |
||||
|
Cash Flows from Operating Activities: |
|
|
|
|
||||
|
Net income (loss) |
|
$ |
(79,760) |
|
|
$ |
98,620 |
|
|
Income from discontinued operations |
|
— |
|
|
36,680 |
|
||
|
Income (loss) from continuing operations |
|
(79,760) |
|
|
61,940 |
|
||
|
Adjustments to reconcile income (loss) from continuing operations to net cash provided by operating activities, net of acquisition impact: |
|
|
|
|
||||
|
Impairment of goodwill and indefinite-lived intangible assets |
|
134,600 |
|
|
— |
|
||
|
Loss on dispositions of assets |
|
1,290 |
|
|
150 |
|
||
|
Depreciation |
|
29,020 |
|
|
24,870 |
|
||
|
Amortization of intangible assets |
|
20,750 |
|
|
18,630 |
|
||
|
Amortization of debt issue costs |
|
1,150 |
|
|
1,130 |
|
||
|
Deferred income taxes |
|
(33,710) |
|
|
2,100 |
|
||
|
Non-cash compensation expense |
|
8,170 |
|
|
6,450 |
|
||
|
Non-cash change in legacy liability estimate |
|
23,400 |
|
|
— |
|
||
|
Decrease in receivables |
|
9,580 |
|
|
3,280 |
|
||
|
Decrease in inventories |
|
3,980 |
|
|
740 |
|
||
|
Decrease (increase) in prepaid expenses and other assets |
|
4,400 |
|
|
(6,930) |
|
||
|
Increase (decrease) in accounts payable and accrued liabilities |
|
4,490 |
|
|
(12,780) |
|
||
|
Other operating activities |
|
50 |
|
|
(3,870) |
|
||
|
Net cash provided by operating activities of continuing operations |
|
127,410 |
|
|
95,710 |
|
||
|
Net cash used for operating activities of discontinued operations |
|
— |
|
|
(20,110) |
|
||
|
Net cash provided by operating activities |
|
127,410 |
|
|
75,600 |
|
||
|
Cash Flows from Investing Activities: |
|
|
|
|
||||
|
Capital expenditures |
|
(40,480) |
|
|
(29,670) |
|
||
|
Acquisition of businesses, net of cash acquired |
|
(193,540) |
|
|
(67,090) |
|
||
|
Net proceeds from dispositions of businesses, property and equipment |
|
1,950 |
|
|
128,080 |
|
||
|
Net cash provided by (used for) investing activities of continuing operations |
|
(232,070) |
|
|
31,320 |
|
||
|
Net cash used for investing activities of discontinued operations |
|
— |
|
|
(2,240) |
|
||
|
Net cash provided by (used for) investing activities |
|
(232,070) |
|
|
29,080 |
|
||
|
Cash Flows from Financing Activities: |
|
|
|
|
||||
|
Proceeds from borrowings on revolving credit facilities |
|
367,280 |
|
|
189,060 |
|
||
|
Repayments of borrowings on revolving credit facilities |
|
(319,120) |
|
|
(189,340) |
|
||
|
Payments to purchase common stock |
|
(39,420) |
|
|
(36,740) |
|
||
|
Shares surrendered upon exercise and vesting of equity awards to cover taxes |
|
(2,600) |
|
|
(3,340) |
|
||
|
Net cash provided by (used for) financing activities of continuing operations |
|
6,140 |
|
|
(40,360) |
|
||
|
Net cash provided by financing activities of discontinued operations |
|
— |
|
|
— |
|
||
|
Net cash provided by (used for) financing activities |
|
6,140 |
|
|
(40,360) |
|
||
|
Cash and Cash Equivalents: |
|
|
|
|
||||
|
Increase (decrease) for the year |
|
(98,520) |
|
|
64,320 |
|
||
|
At beginning of year |
|
172,470 |
|
|
108,150 |
|
||
|
At end of year |
|
$ |
73,950 |
|
|
$ |
172,470 |
|
|
Supplemental disclosure of cash flow information: |
|
|
|
|
||||
|
Cash paid for interest |
|
$ |
13,210 |
|
|
$ |
12,430 |
|
|
Cash paid for income taxes |
|
$ |
9,060 |
|
|
$ |
44,020 |
|
|
Appendix I
Additional Information Regarding Special Items Impacting Reported GAAP Financial Measures Continuing Operations (Unaudited - dollars in thousands) |
||||||||||||||||
|
|
|
Three months ended
|
|
Twelve months ended
|
||||||||||||
|
|
|
2020 |
|
2019 |
|
2020 |
|
2019 |
||||||||
|
Packaging |
|
|
|
|
|
|
|
|
||||||||
|
Net sales |
|
$ |
124,340 |
|
|
$ |
94,030 |
|
|
$ |
488,340 |
|
|
$ |
392,340 |
|
|
Operating profit |
|
$ |
23,650 |
|
|
$ |
20,750 |
|
|
$ |
93,990 |
|
|
$ |
80,770 |
|
|
Special Items to consider in evaluating operating profit: |
|
|
|
|
|
|
|
|
||||||||
|
Reversal of a contingent deferred purchase price liability |
|
— |
|
|
(3,950) |
|
|
— |
|
|
(3,950) |
|
||||
|
Purchase accounting costs |
|
— |
|
|
— |
|
|
750 |
|
|
1,280 |
|
||||
|
Business restructuring and severance costs |
|
500 |
|
|
2,700 |
|
|
3,230 |
|
|
3,060 |
|
||||
|
Adjusted operating profit |
|
$ |
24,150 |
|
|
$ |
19,500 |
|
|
$ |
97,970 |
|
|
$ |
81,160 |
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
Aerospace |
|
|
|
|
|
|
|
|
||||||||
|
Net sales |
|
$ |
37,080 |
|
|
$ |
48,460 |
|
|
$ |
167,740 |
|
|
$ |
194,110 |
|
|
Operating profit (loss) |
|
$ |
(810) |
|
|
$ |
7,680 |
|
|
$ |
(133,440) |
|
|
$ |
28,950 |
|
|
Special Items to consider in evaluating operating profit: |
|
|
|
|
|
|
|
|
||||||||
|
Impairment of goodwill and indefinite-lived intangible assets |
|
— |
|
|
— |
|
|
134,600 |
|
|
— |
|
||||
|
Pre-acquisition contingent liability |
|
— |
|
|
— |
|
|
2,000 |
|
|
— |
|
||||
|
Business restructuring and severance costs |
|
1,300 |
|
|
— |
|
|
9,410 |
|
|
440 |
|
||||
|
Purchase accounting costs |
|
— |
|
|
— |
|
|
2,030 |
|
|
— |
|
||||
|
Adjusted operating profit |
|
$ |
490 |
|
|
$ |
7,680 |
|
|
$ |
14,600 |
|
|
$ |
29,390 |
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
Specialty Products |
|
|
|
|
|
|
|
|
||||||||
|
Net sales |
|
$ |
26,750 |
|
|
$ |
28,430 |
|
|
$ |
113,890 |
|
|
$ |
137,080 |
|
|
Operating profit |
|
$ |
3,480 |
|
|
$ |
2,270 |
|
|
$ |
4,350 |
|
|
$ |
16,000 |
|
|
Special Items to consider in evaluating operating profit: |
|
|
|
|
|
|
|
|
||||||||
|
Business restructuring and severance costs |
|
— |
|
|
200 |
|
|
9,700 |
|
|
200 |
|
||||
|
Adjusted operating profit |
|
$ |
3,480 |
|
|
$ |
2,470 |
|
|
$ |
14,050 |
|
|
$ |
16,200 |
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
Corporate Expenses |
|
|
|
|
|
|
|
|
||||||||
|
Operating loss |
|
$ |
(7,970) |
|
|
$ |
(9,910) |
|
|
$ |
(53,190) |
|
|
$ |
(34,500) |
|
|
Special Items to consider in evaluating operating loss: |
|
|
|
|
|
|
|
|
||||||||
|
Change in accounting policy for asbestos-related costs |
|
— |
|
|
— |
|
|
23,400 |
|
|
— |
|
||||
|
M&A diligence and transaction costs |
|
920 |
|
|
1,440 |
|
|
2,700 |
|
|
3,960 |
|
||||
|
Business restructuring and severance costs |
|
— |
|
|
— |
|
|
640 |
|
|
— |
|
||||
|
Adjusted operating loss |
|
$ |
(7,050) |
|
|
$ |
(8,470) |
|
|
$ |
(26,450) |
|
|
$ |
(30,540) |
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
|
|
|
|
|
|
|
||||||||
|
Net sales |
|
$ |
188,170 |
|
|
$ |
170,920 |
|
|
$ |
769,970 |
|
|
$ |
723,530 |
|
|
Operating profit (loss) |
|
$ |
18,350 |
|
|
$ |
20,790 |
|
|
$ |
(88,290) |
|
|
$ |
91,220 |
|
|
Total Special Items to consider in evaluating operating profit |
|
2,720 |
|
|
390 |
|
|
188,460 |
|
|
4,990 |
|
||||
|
Adjusted operating profit |
|
$ |
21,070 |
|
|
$ |
21,180 |
|
|
$ |
100,170 |
|
|
$ |
96,210 |
|
|
Appendix I
Additional Information Regarding Special Items Impacting Reported GAAP Financial Measures (Unaudited - dollars in thousands, except share and per share amounts) |
||||||||||||||||
|
|
|
Three months ended
|
|
Twelve months ended
|
||||||||||||
|
|
|
2020 |
|
2019 |
|
2020 |
|
2019 |
||||||||
|
Income (loss) from continuing operations, as reported |
|
$ |
23,690 |
|
|
$ |
13,430 |
|
|
$ |
(79,760) |
|
|
$ |
61,940 |
|
|
Special Items to consider in evaluating quality of income (loss) from continuing operations: |
|
|
|
|
|
|
|
|
||||||||
|
Impairment of goodwill and indefinite-lived intangible assets |
|
— |
|
|
— |
|
|
134,600 |
|
|
— |
|
||||
|
Change in accounting policy for asbestos-related costs |
|
— |
|
|
— |
|
|
23,400 |
|
|
— |
|
||||
|
Business restructuring and severance costs |
|
1,800 |
|
|
2,900 |
|
|
22,980 |
|
|
3,700 |
|
||||
|
M&A diligence and transaction costs |
|
920 |
|
|
1,440 |
|
|
3,000 |
|
|
3,960 |
|
||||
|
Purchase accounting costs |
|
— |
|
|
— |
|
|
2,780 |
|
|
1,280 |
|
||||
|
Reversal of a contingent deferred purchase price liability |
|
— |
|
|
(3,950) |
|
|
— |
|
|
(3,950) |
|
||||
|
Pre-acquisition contingent liability |
|
— |
|
|
— |
|
|
2,000 |
|
|
— |
|
||||
|
Change in recognized tax benefits |
|
(9,040) |
|
|
— |
|
|
(9,040) |
|
|
— |
|
||||
|
Income tax effect of Special Items (1) |
|
(880) |
|
|
120 |
|
|
(31,070) |
|
|
(740) |
|
||||
|
Adjusted income from continuing operations |
|
$ |
16,490 |
|
|
$ |
13,940 |
|
|
$ |
68,890 |
|
|
$ |
66,190 |
|
|
|
|
|
|
|
|
|
|
|
||||||||
|
|
|
Three months ended
|
|
Twelve months ended
|
||||||||||||
|
|
|
2020 |
|
2019 |
|
2020 |
|
2019 |
||||||||
|
Diluted earnings (loss) per share from continuing operations, as reported |
|
$ |
0.54 |
|
|
$ |
0.30 |
|
|
$ |
(1.83) |
|
|
$ |
1.36 |
|
|
Dilutive impact (2) |
|
— |
|
|
— |
|
|
0.01 |
|
|
— |
|
||||
|
Special Items to consider in evaluating quality of EPS from continuing operations: |
|
|
|
|
|
|
|
|
||||||||
|
Impairment of goodwill and indefinite-lived intangible assets |
|
— |
|
|
— |
|
|
3.07 |
|
|
— |
|
||||
|
Change in accounting policy for asbestos-related costs |
|
— |
|
|
— |
|
|
0.53 |
|
|
— |
|
||||
|
Business restructuring and severance costs |
|
0.04 |
|
|
0.07 |
|
|
0.52 |
|
|
0.08 |
|
||||
|
M&A diligence and transaction costs |
|
0.02 |
|
|
0.03 |
|
|
0.07 |
|
|
0.09 |
|
||||
|
Purchase accounting costs |
|
— |
|
|
— |
|
|
0.06 |
|
|
0.03 |
|
||||
|
Reversal of a contingent deferred purchase price liability |
|
— |
|
|
(0.09) |
|
|
— |
|
|
(0.09) |
|
||||
|
Pre-acquisition contingent liability |
|
— |
|
|
— |
|
|
0.05 |
|
|
— |
|
||||
|
Change in recognized tax benefits |
|
(0.20) |
|
|
— |
|
|
(0.20) |
|
|
— |
|
||||
|
Income tax effect of Special Items (1) |
|
(0.02) |
|
|
— |
|
|
(0.71) |
|
|
(0.02) |
|
||||
|
Adjusted diluted EPS from continuing operations |
|
$ |
0.38 |
|
|
$ |
0.31 |
|
|
$ |
1.57 |
|
|
$ |
1.45 |
|
|
Weighted-average shares outstanding |
|
43,493,781 |
|
|
45,144,353 |
|
|
43,821,123 |
|
|
45,595,154 |
|
||||
|
(1) |
Income tax effect of Special Items is calculated on an item-by-item basis, utilizing the tax rate in the jurisdiction where the Special Item occurred. For the three and twelve month periods ended |
|
(2) |
239,891 shares for the twelve months ended |
|
Appendix I
Additional Information Regarding Special Items Impacting Reported GAAP Financial Measures (Unaudited - dollars in thousands) |
||||||||||||||||||||||||
|
|
|
Three months ended |
||||||||||||||||||||||
|
|
|
2020 |
|
2019 |
||||||||||||||||||||
|
|
|
As
|
|
Special
|
|
As
|
|
As
|
|
Special
|
|
As
|
||||||||||||
|
Net cash provided by operating activities from continuing operations |
|
$ |
48,300 |
|
|
$ |
1,350 |
|
|
$ |
49,650 |
|
|
$ |
35,100 |
|
|
$ |
830 |
|
|
$ |
35,930 |
|
|
Less: Capital expenditures |
|
(22,810) |
|
|
— |
|
|
(22,810) |
|
|
(7,670) |
|
|
— |
|
|
(7,670) |
|
||||||
|
Free Cash Flow |
|
25,490 |
|
|
1,350 |
|
|
26,840 |
|
|
27,430 |
|
|
830 |
|
|
28,260 |
|
||||||
|
Income from continuing operations |
|
23,690 |
|
|
(7,200) |
|
|
16,490 |
|
|
13,430 |
|
|
510 |
|
|
13,940 |
|
||||||
|
Free Cash Flow as a percentage of income from continuing operations |
|
108 |
% |
|
|
|
163 |
% |
|
204 |
% |
|
|
|
203 |
% |
||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
|
|
|
Twelve months ended |
||||||||||||||||||||||
|
|
|
2020 |
|
2019 |
||||||||||||||||||||
|
|
|
As
|
|
Special
|
|
As
|
|
As
|
|
Special
|
|
As
|
||||||||||||
|
Net cash provided by operating activities from continuing operations |
|
$ |
127,410 |
|
|
$ |
8,450 |
|
|
$ |
135,860 |
|
|
95,710 |
|
|
$ |
4,960 |
|
|
$ |
100,670 |
|
|
|
Less: Capital expenditures |
|
(40,480) |
|
|
— |
|
|
(40,480) |
|
|
(29,670) |
|
|
— |
|
|
(29,670) |
|
||||||
|
Free Cash Flow |
|
86,930 |
|
|
8,450 |
|
|
95,380 |
|
|
66,040 |
|
|
4,960 |
|
|
71,000 |
|
||||||
|
Income (loss) from continuing operations |
|
(79,760) |
|
|
148,650 |
|
|
68,890 |
|
|
61,940 |
|
|
4,250 |
|
|
66,190 |
|
||||||
|
Free Cash Flow as a percentage of income (loss) from continuing operations |
|
(109) |
% |
|
|
|
138 |
% |
|
107 |
% |
|
|
|
107 |
% |
||||||||
|
|
|
|
|
|
||||
|
Long-term debt, net |
|
$ |
346,290 |
|
|
$ |
294,690 |
|
|
Less: Cash and cash equivalents |
|
73,950 |
|
|
172,470 |
|
||
|
Net Debt |
|
$ |
272,340 |
|
|
$ |
122,220 |
|
View source version on businesswire.com: https://www.businesswire.com/news/home/20210225005150/en/
VP, Investor Relations
(248) 631-5506
sherrylauderback@trimascorp.com
Source: TriMas
