Attached files
| file | filename |
|---|---|
| 8-K - FORM 8-K - UTi WORLDWIDE INC | d363791d8k.htm |
Exhibit 99.1
Contact:
Jeff Misakian
Global Vice President, Investor Relations
(562) 552-9417
jmisakian@go2uti.com
UTi WORLDWIDE REPORTS FISCAL 2013
FIRST QUARTER RESULTS
Long Beach, Calif., June 7, 2012 – UTi Worldwide Inc. (NASDAQ: UTIW) today reported financial results for its fiscal 2013 first quarter ended April 30, 2012.
Fiscal First Quarter 2013 vs. 2012 Results:
| • | Revenues were $1,148.3 million, a decrease of 4.2 percent from $1,198.7 million. |
| • | Net revenues (revenues minus purchased transportation costs) were $405.8 million, a decrease of 1.2 percent from $410.6 million. |
| • | Net income attributable to UTi Worldwide Inc. was $12.9 million, or $0.12 per diluted share, compared to $8.7 million, or $0.08 per diluted share. |
| • | Adjusting for severance costs, adjusted net income attributable to UTi Worldwide Inc. was $14.1 million, or $0.14 per diluted share. This compares to $12.2 million, or $0.12 per diluted share, which was adjusted for severance, facility exit and other costs. |
| • | All references to adjusted items in this release refer to non-GAAP results. A reconciliation of GAAP to these non-GAAP results is provided in the supplemental financial information attached to this release. |
Eric W. Kirchner, chief executive officer, said, “Results in the fiscal 2013 first quarter were impacted by the weak industry-wide airfreight environment which resulted in reduced tonnage in the quarter, particularly in the month of April. Offsetting this was an expansion in net revenue per unit, as well as an increase in ocean volumes compared to the first quarter of last year. Contract logistics and distribution revenues also grew, reflecting increased client volumes. Currency had a negative impact on results, particularly from the weaker South African rand. On an organic basis (excluding currency), net revenues actually grew 3.4 percent in the first quarter of fiscal 2013 while adjusted operating expenses increased at a slower rate. Our new integrated system is now live in the Netherlands, and we are on track to begin deployment in other countries in the second quarter.”
Page 1 of 12
Revenues decreased 4.2 percent in the 2013 fiscal first quarter compared to the prior-year first quarter primarily due to the impact of currency and weaker airfreight volumes. These factors were partially offset by the increased contract logistics and distribution activity and higher levels of ocean volumes. Net revenues decreased 1.2 percent in the first quarter, reflecting currency effects and lower airfreight tonnage partially offset by higher net revenue per unit of cargo in freight forwarding.
Operating expenses less purchased transportation costs were $382.2 million in the first quarter of fiscal 2013, compared to $391.8 million in the same period last year. Severance costs totaled $1.7 million in the fiscal 2013 first quarter, primarily related to the company’s transformation activities. The fiscal 2012 first quarter operating expenses included charges of $4.8 million, comprising severance and other costs from transformation activities and the closure of underutilized contract logistics facilities in Europe.
Excluding these costs from both periods, adjusted operating expenses less purchased transportation costs were $380.5 million, a decrease of 1.7 percent from $386.9 million in the same period last year. Adjusted operating expenses less purchased transportation costs increased 2.7 percent on an organic basis, compared to the same period last year.
Operating income in the fiscal 2013 first quarter was $23.5 million. Excluding the severance costs described above, adjusted operating income in the first quarter of fiscal 2013 was $25.2 million, or 6.2 percent of net revenues. This compares to adjusted operating income in the year-ago first quarter of $23.6 million, or 5.8 percent of net revenues.
Net interest expense in the first quarter of fiscal 2013 was lower than the same period last year primarily due to reduced average levels of debt during the quarter.
Investor Conference Call:
UTi management will host an investor conference call today, June 7, 2012, at 8:00 a.m. PDT (11:00 a.m. EDT) to review the company’s financial results for the fiscal 2013 first quarter. Investment professionals are invited to participate in the live call by dialing 800-762-8779 (domestic) or 480-629-9645 (international) using conference ID 4540128. The call will be open to all interested investors through a live, listen-only audio Internet broadcast at www.go2uti.com and www.earnings.com. For those who are not available to listen to the live broadcast, the call will be archived for one year at both Web sites. A telephonic playback of the conference call also will be available from approximately 11:00 a.m. PDT, today, through June 10, 2012, by calling 800-406-7325 (domestic) or 303-590-3030 (international) and using replay passcode 4540128.
About UTi Worldwide:
UTi Worldwide Inc. is an international, non-asset-based supply chain services and solutions company providing air and ocean freight forwarding, contract logistics, customs brokerage, distribution, inbound logistics, truckload brokerage and other supply chain management services. The company serves a large and diverse base of global and local companies, including clients operating in industries
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with unique supply chain requirements such as the pharmaceutical, retail, apparel, chemical, automotive and technology industries. The company seeks to use its global network, proprietary information technology systems, relationships with transportation providers, and expertise in outsourced logistics services to deliver competitive advantage to each of its clients’ supply chains.
Use of Non-GAAP Financial Information:
This press release includes “non-GAAP financial measures” within the meaning of the Securities and Exchange Commission rules. UTi believes that meaningful analysis of its financial performance requires an understanding of the factors underlying that performance and the company’s judgments about the likelihood that particular factors will repeat. Short-term patterns and long-term trends may be obscured by the impact of certain items. For this reason, the company has included information in this press release relating to organic revenue and organic net revenue growth, which are adjusted to exclude the impact of currency fluctuations and, where applicable, acquisitions between comparable periods. The company also has referred to operating expenses less purchased transportation costs, and to adjusted operating expenses less purchased transportation costs, which are operating expenses less purchased transportation costs that are further adjusted to exclude severance and other costs. The company has also included information relating to organic adjusted operating expenses less purchased transportation costs, which are adjusted operating expenses less purchased transportation costs that are further adjusted to exclude the impact of currency fluctuations and, where applicable, acquisitions between comparable periods. The company has further referred to adjusted operating income and adjusted net income, each of which is adjusted to exclude severance and other costs as described above. This information is among the information the company uses as a basis for evaluating company performance on a comparable basis over time, allocating resources and planning and forecasting of future periods. The company has also provided this information because such adjustments make performance information more comparable to prior disclosures for investors, and may enhance the ability of investors to analyze the company’s performance. This information is not intended to be considered in isolation or as a substitute for, or superior to, the relevant measures prepared and presented in accordance with U.S. GAAP. For more information on these non-GAAP financial measures, please see the tables at the end of this press release.
Safe Harbor Statement:
Certain statements in this news release may be deemed to be 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. The company intends that all such statements be subject to the “safe-harbor” provisions contained in those sections. Such forward-looking statements may include, but are not limited to, statements about the status and timing of the company’s freight forwarding operating and finance systems and the rollout of the integrated system throughout the world, and any other statements not of an historical nature. Many important factors may cause the company’s actual results to differ materially from
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those discussed in any such forward-looking statements, including but not limited to: volatility with respect to global trade; global economic, political and market conditions, including those in Africa, Asia and EMENA; risks associated with the company’s business transformation initiative; volatile fuel costs; transportation capacity, pricing dynamics and the ability of the company to secure space on third party aircraft, ocean vessels and other modes of transportation; changes in foreign exchange rates; material interruptions in transportation services; risks of international operations; risks associated with, and the potential for penalties, fines, costs and expenses the company may incur as a result of the ongoing publicly announced governmental investigations into the international air freight and air cargo transportation industry and other related investigations and lawsuits; the financial condition of the company’s customers; disruptions caused by epidemics, natural disasters, conflicts, wars and terrorism; and the other risks and uncertainties described in “Risk Factors” and “Forward-looking Statements” in the company’s Annual Report on Form 10-K/A for the fiscal year ended January 31, 2012, any subsequently filed Quarterly Reports on Form 10-Q and as described in the company’s other filings with the Securities and Exchange Commission. In light of the significant uncertainties inherent in the forward-looking information included herein, the inclusion of such information should not be regarded as a representation by UTi or any other person that UTi’s objectives or plans will be achieved in the timeframe anticipated or at all. Investors are cautioned not to place undue reliance on the company’s forward-looking statements. UTi undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
# # #
(Tables Follow)
Page 4 of 12
UTi Worldwide Inc.
Condensed Consolidated Statements of Income
(in thousands, except share and per share amounts)
| Three months ended April 30, | ||||||||
| 2012 | 2011 | |||||||
| Revenues: |
(Unaudited | ) | (Unaudited | ) | ||||
| Airfreight forwarding |
$ | 381,140 | $ | 439,029 | ||||
| Ocean freight forwarding |
284,707 | 281,578 | ||||||
| Customs brokerage |
28,266 | 30,253 | ||||||
| Contract logistics |
201,653 | 198,979 | ||||||
| Distribution |
148,888 | 129,353 | ||||||
| Other |
103,629 | 119,513 | ||||||
|
|
|
|
|
|||||
| Total revenues |
1,148,283 | 1,198,705 | ||||||
|
|
|
|
|
|||||
| Operating expenses: |
||||||||
| Purchased transportation costs: |
||||||||
| Airfreight forwarding |
301,822 | 350,177 | ||||||
| Ocean freight forwarding |
234,505 | 234,235 | ||||||
| Customs brokerage |
1,443 | 1,554 | ||||||
| Contract logistics |
49,983 | 45,153 | ||||||
| Distribution |
97,007 | 87,859 | ||||||
| Other |
57,756 | 69,150 | ||||||
| Staff costs |
231,188 | 233,345 | ||||||
| Depreciation |
11,496 | 12,441 | ||||||
| Amortization of intangible assets |
3,242 | 3,455 | ||||||
| Severance and other |
1,700 | 4,849 | ||||||
| Other operating expenses |
134,601 | 137,694 | ||||||
|
|
|
|
|
|||||
| Total operating expenses |
1,124,743 | 1,179,912 | ||||||
|
|
|
|
|
|||||
| Operating income |
23,540 | 18,793 | ||||||
| Interest expense, net |
(2,808 | ) | (4,224 | ) | ||||
| Other (expense)/income, net |
(28 | ) | 176 | |||||
|
|
|
|
|
|||||
| Pretax income |
20,704 | 14,745 | ||||||
| Provision for income taxes |
6,474 | 4,235 | ||||||
|
|
|
|
|
|||||
| Net income |
14,230 | 10,510 | ||||||
| Net income attributable to non-controlling interests |
1,344 | 1,767 | ||||||
|
|
|
|
|
|||||
| Net income attributable to UTi Worldwide Inc. |
$ | 12,886 | $ | 8,743 | ||||
|
|
|
|
|
|||||
| Basic earnings per common share attributable to UTi Worldwide Inc. common shareholders |
$ | 0.13 | $ | 0.09 | ||||
| Diluted earnings per common share attributable to UTi Worldwide Inc. common shareholders |
$ | 0.12 | $ | 0.08 | ||||
| Number of weighted-average common shares outstanding used for per share calculations |
||||||||
| Basic shares |
103,003,684 | 102,110,811 | ||||||
| Diluted shares |
103,947,963 | 104,015,880 | ||||||
Page 5 of 12
UTi Worldwide Inc.
Condensed Consolidated Balance Sheets
(in thousands)
| April 30, 2012 |
January 31, 2012 |
|||||||
| (Unaudited) | ||||||||
| Assets |
||||||||
| Cash and cash equivalents |
$ | 329,434 | $ | 321,761 | ||||
| Trade receivables, net |
954,793 | 947,480 | ||||||
| Deferred income taxes |
20,046 | 20,372 | ||||||
| Other current assets |
140,136 | 132,545 | ||||||
|
|
|
|
|
|||||
| Total current assets |
1,444,409 | 1,422,158 | ||||||
| Property, plant and equipment, net |
232,566 | 216,299 | ||||||
| Goodwill and other intangible assets, net |
541,196 | 534,237 | ||||||
| Investments |
1,006 | 1,108 | ||||||
| Deferred income taxes |
36,333 | 43,272 | ||||||
| Other non-current assets |
39,441 | 38,575 | ||||||
|
|
|
|
|
|||||
| Total assets |
$ | 2,294,951 | $ | 2,255,649 | ||||
|
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|
|
|
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| Liabilities & Equity |
||||||||
| Bank lines of credit |
$ | 128,574 | $ | 76,240 | ||||
| Short-term borrowings |
984 | 1,019 | ||||||
| Current portion of long-term borrowings |
23,955 | 21,775 | ||||||
| Current portion of capital lease obligations |
12,475 | 13,768 | ||||||
| Trade payables and other accrued liabilities |
833,365 | 859,086 | ||||||
| Income taxes payable |
9,570 | 12,657 | ||||||
| Deferred income taxes |
4,308 | 1,927 | ||||||
|
|
|
|
|
|||||
| Total current liabilities |
1,013,231 | 986,472 | ||||||
| Long-term borrowings, excluding current portion |
233,677 | 231,204 | ||||||
| Capital lease obligations, excluding current portion |
14,281 | 15,845 | ||||||
| Deferred income taxes |
24,327 | 31,845 | ||||||
| Other non-current liabilities |
41,188 | 38,775 | ||||||
| Commitments and contingencies |
||||||||
| UTi Worldwide Inc. shareholders’ equity: |
||||||||
| Common stock |
493,940 | 491,073 | ||||||
| Retained earnings |
516,561 | 503,675 | ||||||
| Accumulated other comprehensive loss |
(56,051 | ) | (55,983 | ) | ||||
|
|
|
|
|
|||||
| Total UTi Worldwide Inc. shareholders’ equity |
954,450 | 938,765 | ||||||
| Non-controlling interests |
13,797 | 12,743 | ||||||
|
|
|
|
|
|||||
| Total equity |
968,247 | 951,508 | ||||||
|
|
|
|
|
|||||
| Total liabilities and equity |
$ | 2,294,951 | $ | 2,255,649 | ||||
|
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|
|
|
|||||
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UTi Worldwide Inc.
Condensed Consolidated Statements of Cash Flows
(in thousands)
| Three months
ended April 30, |
||||||||
| 2012 | 2011 | |||||||
| (Unaudited) | ||||||||
| OPERATING ACTIVITIES: |
||||||||
| Net income |
$ | 14,230 | $ | 10,510 | ||||
| Adjustments to reconcile net income to net cash used in operating activities: |
||||||||
| Share-based compensation costs |
3,569 | 3,698 | ||||||
| Depreciation |
11,496 | 12,441 | ||||||
| Amortization of intangible assets |
3,242 | 3,455 | ||||||
| Amortization of debt issuance costs |
384 | 782 | ||||||
| Deferred income taxes |
2,154 | (1,717 | ) | |||||
| Uncertain tax positions |
206 | 168 | ||||||
| Excess tax benefits from share-based compensation |
(256 | ) | (398 | ) | ||||
| Loss on disposal of property, plant and equipment |
15 | 54 | ||||||
| Provision for doubtful accounts |
62 | 1,089 | ||||||
| Other |
697 | 398 | ||||||
| Net changes in operating assets and liabilities |
(46,047 | ) | (74,113 | ) | ||||
|
|
|
|
|
|||||
| Net cash used in operating activities |
(10,248 | ) | (43,633 | ) | ||||
| INVESTING ACTIVITIES: |
||||||||
| Purchases of property, plant and equipment, excluding software |
(11,790 | ) | (3,935 | ) | ||||
| Proceeds from disposal of property, plant and equipment |
1,786 | 906 | ||||||
| Purchases of software and other intangible assets |
(6,524 | ) | (5,153 | ) | ||||
| Net increase in other non-current assets |
(661 | ) | (1,620 | ) | ||||
| Other |
108 | (4 | ) | |||||
|
|
|
|
|
|||||
| Net cash used in investing activities |
(17,081 | ) | (9,806 | ) | ||||
| FINANCING ACTIVITIES: |
||||||||
| Net borrowings under bank lines of credit |
52,669 | 17,835 | ||||||
| Net (decrease)/increase in short-term borrowings |
(18 | ) | 57 | |||||
| Proceeds from issuance of long-term borrowings |
556 | 198 | ||||||
| Repayment of long-term borrowings |
(10,072 | ) | (1,787 | ) | ||||
| Debt issuance costs |
(1,112 | ) | — | |||||
| Repayment of capital lease obligations |
(5,506 | ) | (4,373 | ) | ||||
| Acquisition of non-controlling interests |
— | (1,168 | ) | |||||
| Distribution to non-controlling interests and other |
(47 | ) | (183 | ) | ||||
| Ordinary shares settled under share-based compensation plans |
(2,408 | ) | — | |||||
| Proceeds from issuance of ordinary shares |
1,449 | 1,334 | ||||||
| Excess tax benefit from share-based compensation |
256 | 398 | ||||||
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|
|
|
|
|||||
| Net cash provided by financing activities |
35,767 | 12,311 | ||||||
| Effect of foreign exchange rate changes on cash and cash equivalents |
(765 | ) | 19,330 | |||||
|
|
|
|
|
|||||
| Net increase/(decrease) in cash and cash equivalents |
7,673 | (21,798 | ) | |||||
| Cash and cash equivalents at beginning of period |
321,761 | 326,795 | ||||||
|
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|
|
|
|||||
| Cash and cash equivalents at end of period |
$ | 329,434 | $ | 304,997 | ||||
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|
|
|
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UTi Worldwide Inc.
Segment Reporting
(in thousands)
(Unaudited)
| Three months ended April 30, 2012 | ||||||||||||||||
| Freight Forwarding |
Contract Logistics and Distribution |
Corporate | Total | |||||||||||||
| Revenues |
$ | 761,548 | $ | 386,735 | $ | — | $ | 1,148,283 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Purchased transportation costs |
585,234 | 157,282 | — | 742,516 | ||||||||||||
| Staff costs |
106,432 | 115,829 | 8,927 | 231,188 | ||||||||||||
| Depreciation |
4,207 | 6,753 | 536 | 11,496 | ||||||||||||
| Amortization of intangible assets |
1,054 | 1,648 | 540 | 3,242 | ||||||||||||
| Severance and other |
667 | 826 | 207 | 1,700 | ||||||||||||
| Other operating expenses |
46,604 | 83,743 | 4,254 | 134,601 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total operating expenses |
744,198 | 366,081 | 14,464 | 1,124,743 | ||||||||||||
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|
|
|
|
|
|
|||||||||
| Operating income/(loss) |
$ | 17,350 | $ | 20,654 | $ | (14,464 | ) | 23,540 | ||||||||
|
|
|
|
|
|
|
|||||||||||
| Interest expense, net |
(2,808 | ) | ||||||||||||||
| Other expense, net |
(28 | ) | ||||||||||||||
|
|
|
|||||||||||||||
| Pretax income |
20,704 | |||||||||||||||
| Provision for income taxes |
6,474 | |||||||||||||||
|
|
|
|||||||||||||||
| Net income |
14,230 | |||||||||||||||
| Net income attributable to non-controlling interests |
1,344 | |||||||||||||||
|
|
|
|||||||||||||||
| Net income attributable to UTi Worldwide Inc. |
$ | 12,886 | ||||||||||||||
|
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|
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Page 8 of 12
UTi Worldwide Inc.
Segment Reporting
(in thousands)
(Unaudited)
| Three months ended April 30, 2011 | ||||||||||||||||
| Freight Forwarding |
Contract Logistics and Distribution |
Corporate | Total | |||||||||||||
| Revenues |
$ | 829,753 | $ | 368,952 | $ | — | $ | 1,198,705 | ||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Purchased transportation costs |
645,250 | 142,878 | — | 788,128 | ||||||||||||
| Staff costs |
109,667 | 116,713 | 6,965 | 233,345 | ||||||||||||
| Depreciation |
4,388 | 7,394 | 659 | 12,441 | ||||||||||||
| Amortization of intangible assets |
1,086 | 1,719 | 650 | 3,455 | ||||||||||||
| Severance and other |
1,973 | 2,876 | — | 4,849 | ||||||||||||
| Other operating expenses |
48,664 | 83,756 | 5,274 | 137,694 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Total operating expenses |
811,028 | 355,336 | 13,548 | 1,179,912 | ||||||||||||
|
|
|
|
|
|
|
|
|
|||||||||
| Operating income/(loss) |
$ | 18,725 | $ | 13,616 | $ | (13,548 | ) | 18,793 | ||||||||
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|
|
|
|
|
|||||||||||
| Interest expense, net |
(4,224 | ) | ||||||||||||||
| Other income, net |
176 | |||||||||||||||
|
|
|
|||||||||||||||
| Pretax income |
14,745 | |||||||||||||||
| Provision for income taxes |
4,235 | |||||||||||||||
|
|
|
|||||||||||||||
| Net income |
10,510 | |||||||||||||||
| Net income attributable to non-controlling interests |
1,767 | |||||||||||||||
|
|
|
|||||||||||||||
| Net income attributable to UTi Worldwide Inc. |
$ | 8,743 | ||||||||||||||
|
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|
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Page 9 of 12
UTi Worldwide Inc.
Geographic Reporting
(in thousands)
(Unaudited)
| Three months ended April 30, 2012 | ||||||||||||||||||||||||
| Freight Forwarding Revenue |
Contract Logistics and Distribution Revenue |
Freight Forwarding Net Revenue |
Contract Logistics and Distribution Net Revenue |
Operating (Loss)/Income |
Severance and Other |
|||||||||||||||||||
| EMENA |
$ | 244,345 | $ | 62,988 | $ | 58,164 | $ | 38,153 | $ | (540 | ) | $ | 1,030 | |||||||||||
| Americas |
186,665 | 196,723 | 46,383 | 88,611 | 6,460 | 425 | ||||||||||||||||||
| Asia Pacific |
212,864 | 16,975 | 46,539 | 11,146 | 10,805 | 25 | ||||||||||||||||||
| Africa |
117,674 | 110,049 | 25,228 | 91,543 | 21,279 | 13 | ||||||||||||||||||
| Corporate |
— | — | — | — | (14,464 | ) | 207 | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Total |
$ | 761,548 | $ | 386,735 | $ | 176,314 | $ | 229,453 | $ | 23,540 | $ | 1,700 | ||||||||||||
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|
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|
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| Three months ended April 30, 2011 | ||||||||||||||||||||||||
| Freight Forwarding Revenue |
Contract Logistics and Distribution Revenue |
Freight Forwarding Net Revenue |
Contract Logistics and Distribution Net Revenue |
Operating (Loss)/Income |
Severance and Other |
|||||||||||||||||||
| EMENA |
$ | 273,831 | $ | 56,471 | $ | 64,970 | $ | 38,025 | $ | (3,571 | ) | $ | 3,798 | |||||||||||
| Americas |
176,057 | 202,725 | 45,609 | 99,373 | 3,726 | 1,051 | ||||||||||||||||||
| Asia Pacific |
257,588 | 13,046 | 48,171 | 8,850 | 13,804 | — | ||||||||||||||||||
| Africa |
122,277 | 96,710 | 25,753 | 79,826 | 18,382 | — | ||||||||||||||||||
| Corporate |
— | — | — | — | (13,548 | ) | — | |||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
| Total |
$ | 829,753 | $ | 368,952 | $ | 184,503 | $ | 226,074 | $ | 18,793 | $ | 4,849 | ||||||||||||
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Page 10 of 12
UTi Worldwide Inc.
Supplemental Financial Information – Reconciliation to US GAAP
(in thousands, except per share amounts)
(Unaudited)
| Three months ended April 30, 2012 |
Three months ended April 30, 2011 |
|||||||
| GAAP Revenues |
$ | 1,148,283 | $ | 1,198,705 | ||||
| Less: Purchased transportation costs |
(742,516 | ) | (788,128 | ) | ||||
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|
|
|
|||||
| Net Revenues |
$ | 405,767 | $ | 410,577 | ||||
|
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|
|
|
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| GAAP Operating expenses |
$ | 1,124,743 | $ | 1,179,912 | ||||
| Less: Purchased transportation costs |
(742,516 | ) | (788,128 | ) | ||||
|
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|
|
|
|||||
| Operating expenses less purchased transportation costs |
382,227 | 391,784 | ||||||
| Severance and other (1)(2) |
(1,700 | ) | (4,849 | ) | ||||
|
|
|
|
|
|||||
| Non-GAAP Operating expenses |
$ | 380,527 | $ | 386,935 | ||||
|
|
|
|
|
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| GAAP Operating income |
$ | 23,540 | $ | 18,793 | ||||
| Severance and other (1)(2) |
1,700 | 4,849 | ||||||
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|
|
|
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| Non-GAAP Operating income |
$ | 25,240 | $ | 23,642 | ||||
|
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|
|
|
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| Percent of Net Revenues |
6.2 | % | 5.8 | % | ||||
| GAAP Pretax income |
$ | 20,704 | $ | 14,745 | ||||
| Severance and other (1)(2) |
1,700 | 4,849 | ||||||
|
|
|
|
|
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| Non-GAAP Pretax income |
$ | 22,404 | $ | 19,594 | ||||
|
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|
|
|
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| GAAP Provision for income taxes |
$ | 6,474 | $ | 4,235 | ||||
| Severance and other (1)(2) |
532 | 1,393 | ||||||
|
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|
|
|
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| Non-GAAP Provision for income taxes |
$ | 7,006 | $ | 5,628 | ||||
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|
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|
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| GAAP Net income attributable UTi Worldwide Inc. |
$ | 12,886 | $ | 8,743 | ||||
| Adjustment for: |
||||||||
| Severance and other (1)(2) |
1,700 | 4,849 | ||||||
| Income tax severance and other (3) |
(532 | ) | (1,393 | ) | ||||
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|
|
|
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| Non-GAAP Net income attributable UTi Worldwide Inc. |
$ | 14,054 | $ | 12,199 | ||||
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| GAAP Diluted earnings per common share |
$ | 0.12 | $ | 0.08 | ||||
| Adjustment for: |
||||||||
| Severance and other (1)(2) |
0.02 | 0.05 | ||||||
| Income tax severance and other (3) |
— | (0.01 | ) | |||||
|
|
|
|
|
|||||
| Non-GAAP Diluted earnings per common share |
$ | 0.14 | $ | 0.12 | ||||
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| (1) | During the three months ended April 30, 2012, the company recorded pre-tax severance of $1,700 primarily related to transformation activities. |
| (2) | During the three months ended April 30, 2011, the company recorded pre-tax severance and other charges totaling $4,849, which were comprised of $1,973 in severance costs related to transformation activities and $2,876 in severance and facility exit costs associated with the closure of certain underutilized contract logistics facilities in Europe. |
| (3) | The provisions for income tax adjustment related to the severance costs were calculated based on the prevailing tax rate in each jurisdiction. |
Page 11 of 12
UTi Worldwide Inc.
Organic Growth Reconciliation
(Unaudited)
Set forth below is a reconciliation of the company’s organic growth rates and the growth rates based on the company’s GAAP reported results in the company’s revenues, net revenues and operating expenses less purchased transportation costs for the three months ended April 30, 2012. Organic growth is a non-GAAP measure that excludes the impact of foreign currency translation and acquisitions, where applicable.
Three months ended April 30, 2012:
| Total Net Change |
+/(-) Currency Impact |
Organic Growth |
+/(-) Non-GAAP Items (4)(5) |
Adjusted Organic Growth |
||||||||||||||||
| Revenues |
(4 | )% | 3 | % | (1 | )% | — | % | (1 | )% | ||||||||||
| Net revenues |
(1 | )% | 4 | % | 3 | % | — | % | 3 | % | ||||||||||
| Operating expenses less purchased transportation costs |
(2 | )% | 4 | % | 2 | % | 1 | % | 3 | % | ||||||||||
| (4) | During the three months ended April 30, 2012, the company recorded pre-tax severance of $1,700 primarily related to transformation activities. |
| (5) | During the three months ended April 30, 2011, the company recorded pre-tax severance and other charges totaling $4,849, which were comprised of $1,973 in severance costs related to transformation activities and $2,876 in severance and facility exit costs associated with the closure of certain underutilized contract logistics facilities in Europe. |
Page 12 of 12