Attached files
file | filename |
---|---|
8-K - 8-K - CARLISLE COMPANIES INC | a13-19520_48k.htm |
EX-2.7 - EX-2.7 - CARLISLE COMPANIES INC | a13-19520_4ex2d7.htm |
EX-2.5 - EX-2.5 - CARLISLE COMPANIES INC | a13-19520_4ex2d5.htm |
EX-2.2 - EX-2.2 - CARLISLE COMPANIES INC | a13-19520_4ex2d2.htm |
EX-2.6 - EX-2.6 - CARLISLE COMPANIES INC | a13-19520_4ex2d6.htm |
EX-2.1 - EX-2.1 - CARLISLE COMPANIES INC | a13-19520_4ex2d1.htm |
EX-2.3 - EX-2.3 - CARLISLE COMPANIES INC | a13-19520_4ex2d3.htm |
EX-99.1 - EX-99.1 - CARLISLE COMPANIES INC | a13-19520_4ex99d1.htm |
EX-2.4 - EX-2.4 - CARLISLE COMPANIES INC | a13-19520_4ex2d4.htm |
Exhibit 99.2
10/22/13
Carlisle Companies Reports $1.18 Earnings Per Share from Continuing Operations for the Third Quarter 2013, a 9% Increase from the Prior Year
CHARLOTTE, NORTH CAROLINA, October 22, 2013 Carlisle Companies Incorporated (NYSE:CSL) reported $968.8 million in net sales from continuing operations for the third quarter of 2013, an increase of 6.4% versus the prior year. Organic sales grew by 3.7%. The acquisition of Thermax/Raydex (collectively Thermax) in the Carlisle Interconnect Technologies (CIT) segment contributed 2.6% to sales in the third quarter. Fluctuations in foreign exchange increased net sales by 0.1%.
Income from continuing operations in the third quarter of 2013 rose 9.9% to $76.6 million, or $1.18 per diluted share. Our income improvement was driven by organic sales growth primarily at Carlisle Construction Materials (CCM) and CIT, earnings improvement at Carlisle Foodservice Products (CFS) and Carlisle Transportation Products (CTP) and the Thermax acquisition. This was partially offset by lower sales volume at Carlisle Brake & Friction (CBF). Included in income from continuing operations in the prior year third quarter was $5.3 million in after tax restructuring costs at CFS.
For the nine months ended September 30, 2013, net sales from continuing operations of $2.8 billion increased 1.4% compared to the prior year, reflecting contribution from acquisitions of 2.8% partially offset by a decrease in organic sales of 1.5%. Income from continuing operations for the nine months ended September 30, 2013, declined 36% to $140.1 million, or $2.16 per diluted share, as compared to income of $219.2 million, or $3.43 per diluted share, for the same prior year period. Included in income from continuing operations for the nine months ended September 30, 2013 is an after-tax goodwill impairment charge recognized at CTP during the second quarter of 2013 of $66.1 million.
Yesterday, we announced entry into a definitive agreement to sell CTP. The results of CTP for the three and nine months ended September 30, 2013 are reported in Carlisles continuing operations. Beginning with the fourth quarter, the results for CTP will be reported as discontinued operations and all prior periods will be restated to exclude CTP from continuing operations, including the impairment charge.
All financial and percentage comparisons in our third quarter reporting are made to the same quarter of the previous year, unless otherwise stated. Reconciliations of reported amounts to results excluding the goodwill impairment charge recorded in the second quarter of 2013 are included in the financial exhibits.
Comment
David A. Roberts, Carlisles Chairman, President and CEO, said, We achieved solid sales growth in the third quarter in our commercial roofing and aerospace businesses. Partially offsetting this growth was declining sales at Carlisle Brake & Friction due to the continued weakness in the global heavy equipment market and lower sales at Carlisle Foodservice Products. Overall, organic sales were up 3.7% this quarter and EBIT (earnings before interest and taxes) increased by 12%.
Carlisle Construction Materials had a strong quarter with sales growth of 11%. CCMs EBIT was up by 4% despite lower selling prices, higher raw material costs and start-up expenses for the new insulation plant in Montgomery, NY. CCMs EBIT margin was a solid 16.4%. We continue to be positive about the outlook in the commercial roofing market for the remainder of the year and heading into 2014.
Carlisle Interconnect Technologies had a record quarter with sales growth of 29% and EBIT growth of 33%. CITs organic sales grew 7.8% in the third quarter on strong demand in aerospace including the ramp-up in the Boeing 787 program and strength in in-flight entertainment (IFE) sales. Our acquisition of Thermax in December 2012 contributed an impressive EBIT margin of 16.9% on $23.7 million in sales in the quarter.
Sales at Carlisle Brake & Friction declined by 23% over the prior year as key end markets remained depressed. CBFs EBIT margin fell to 6.1% during the third quarter on the volume decline as well as lower selling prices. As previously stated, we do not expect a near term recovery in the heavy equipment market. We continue to take proactive measures to reduce operating costs during this challenging period. In October, we announced plans to close our Akron facility and consolidate manufacturing to other U.S. operations. We expect to incur pre-tax costs for this restructuring of $3.0 million over nine months beginning in the fourth quarter of 2013, including $1.2 million of non-cash expense. We estimate pre-tax savings from this consolidation to be $0.6 million annually beginning late 2014.
Sales at Carlisle Foodservice Products declined 7.3% from the prior year. Despite the sales decline, CFS continues to execute well on its profit improvement initiatives. EBIT margin during the third quarter was 11.9%, a significant improvement over 2012.
At Carlisle Transportation Products, sales were up 4.1% reflecting higher demand in most of its primary markets. Sales to the outdoor power equipment end market improved significantly as adverse weather conditions during the first half of the year delayed sales until the third quarter. In addition to sales growth, CTPs EBIT grew by 88% on lower raw material expense and operating cost savings.
We generated exceptional free cash flow (cash provided by operating activities less capital expenditures) of $168 million during the third quarter, partially a result of our continued focus on working capital using the Carlisle Operating System. We currently have cash on hand of $332 million and $600 million of availability under our revolving credit facility. Capital expenditures for the year are expected to be approximately $108 million.
Our cash on hand, together with the anticipated $375 million proceeds from the sale of CTP, will be used in furtherance of our long-term growth initiatives, including capital projects and acquisitions. In addition, we expect to be more active with share repurchases. Under our current program, we have authority to repurchase approximately 3 million shares.
Roberts concluded by stating For continuing operations (excluding CTP), we are planning for total sales growth in 2013, including acquisitions, to be in the low single digit percentage range. EBIT margin in 2013 (excluding CTP) is expected to decline modestly from the prior year. Despite mixed performance in some of our markets during 2013, we are taking appropriate actions to achieve our long-term goals. We will have ample resources with our current cash flow and the CTP sale proceeds to pursue our growth objectives and other alternatives to increase shareholder value.
Segment Results for Third Quarter 2013
Carlisle Construction Materials (CCM): Net sales in the third quarter of 2013 of $505.7 million increased by 11%, primarily reflecting higher demand from new non-residential construction and commercial reroofing, partially offset by lower selling price. CCMs EBIT margin of 16.4% in the third quarter of 2013 declined by 100 basis points primarily due to lower selling prices, higher raw material costs impacting our insulation product lines and plant start-up expense, partially offset by higher sales volume.
Carlisle Interconnect Technologies (CIT): Net sales in the third quarter of 2013 increased 29% to $147.8 million on acquisition growth of 20.6% and organic sales growth of 7.8% versus the prior year. Sales in CITs aerospace market were up 10%, partially offset by a 11% decline in sales to the military and defense market. Sales in the test and measurement market, which comprises approximately 5% of CITs sales, nearly doubled on new business development. EBIT margin for CIT of 16.8% was up 50 basis points, primarily due to higher sales volume partially offset by negative mix changes.
Carlisle Brake & Friction (CBF): Net sales in the third quarter of 2013 declined 23% to $85.2 million versus the prior year due to lower sales volume and lower selling price realization. Sales for CBFs off-highway braking applications to the construction and mining markets declined by 28% and 46%, respectively. Partially offsetting this was solid growth in the agriculture market of 12%. CBFs EBIT margin during the third quarter decreased from 17.1% to 6.1%, primarily due to lower sales volumes and lower selling price, partially offset by operating expense reductions.
Carlisle FoodService Products (CFS): Net sales in the third quarter of 2013 declined by 7.3% to $58.1 million primarily reflecting reduced demand in the foodservice and healthcare markets as well as the negative impact of higher rebates and sales allowances. Our EBIT margin improved significantly to 11.9% from a loss of 1.9% during the third quarter primarily due to lower operating costs and the non-recurrence of $6.9 million in pre-tax restructuring charges recorded during the third quarter of 2012 related to consolidation activities.
Carlisle Transportation Products (CTP): Net sales in the third quarter of 2013 increased 4.1% to $172.0 million as compared to the prior year. Demand in nearly all of CTPs primary markets grew during the third quarter of 2013. Sales to the outdoor power equipment, power
transmission and high speed trailer grew by 18%, 12% and 5%, respectively. Sales to the agriculture/construction market were relatively flat. Partially offsetting sales growth was a 12% decline in sales to the power sports market. EBIT margin rose 360 basis points to 8.1% in the third quarter reflecting higher sales volume, lower raw material costs and operating expense savings.
Corporate Expense
Reduction in corporate expense of $2.4 million in the third quarter of 2013 to $10.4 million primarily reflects lower stock-based compensation expense and lower overseas headquarters expense. During the first quarter 2013, recognition of some stock awards were accelerated, resulting in lower expense in subsequent quarters of 2013.
Cash Flow
Cash flow provided from operations of $315.5 million for the nine months ended September 30, 2013 declined by $7.7 million versus the prior year period primarily reflecting reduced earnings from operations. For the first nine months of 2013, average working capital (defined as the average of the quarter end balances, excluding current year acquisitions, receivables, plus inventory less accounts payable) as a percentage of annualized sales (defined as year-to-date net sales, excluding current year acquisitions, calculated on an annualized basis) decreased to 20.7%, as compared to 22.1% for the prior year.
Free cash flow (defined as cash provided by operating activities less capital expenditures) was $237.8 million for the nine months ended September 30, 2013, an increase of $8.3 million versus the prior year period due to lower capital expenditures in 2013. Included in capital expenditures of $77.7 million for the first nine months of 2013 were investments in two new polyiso plants and the construction of our PVC plant at CCM.
Conference Call and Webcast
The Company will discuss third quarter 2013 results on a conference call at 8:00 a.m. ET today. The call may be accessed live by going to the Investor Relations section of the Carlisle website (http://www.carlisle.com/investor-relations/events-and-webcasts/default.aspx), or the taped call may be listened to shortly following the live call at the same website location. A PowerPoint presentation will accompany the call and can be found on the Carlisle website as well.
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on managements current expectations and are subject to uncertainty and changes in circumstances. Actual results may differ materially from these expectations due to changes in global economic, business, competitive, market and regulatory factors. More detailed information about these factors is contained in the Companys filing with the Securities and Exchange Commission. The Company undertakes no duty to update forward-looking statements.
About Carlisle Companies Incorporated
Carlisle Companies Incorporated is a global diversified company that designs, manufactures and markets a wide range of products that serve a broad range of niche markets including commercial roofing, energy, agriculture, outdoor power equipment, mining, construction, aerospace and defense electronics, foodservice, healthcare and sanitary maintenance. Through our group of decentralized operating companies led by entrepreneurial management teams, we bring innovative product solutions to solve the challenges our customers face. Our nearly 12,000 employees worldwide, who generated $3.6 billion in net sales in 2012, are focused on continuously improving the value of the Carlisle brand by developing the best products, ensuring the highest quality and providing unequaled customer service in the many industries we serve. Learn more about Carlisle at www.carlisle.com.
CONTACT: Steven J. Ford
Vice President & Chief Financial Officer
Carlisle Companies Incorporated
(704) 501-1100
www.carlisle.com
Carlisle Companies Incorporated
Unaudited Condensed Consolidated Statements of Earnings
|
|
Three Months Ended September 30, |
|
Nine Months Ended September 30, |
| ||||||||
(in millions except share amounts) |
|
2013 |
|
2012 |
|
2013 |
|
2012 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Net Sales |
|
$ |
968.8 |
|
$ |
910.2 |
|
$ |
2,821.9 |
|
$ |
2,783.8 |
|
|
|
|
|
|
|
|
|
|
| ||||
Cost and expenses: |
|
|
|
|
|
|
|
|
| ||||
Cost of goods sold |
|
734.0 |
|
684.3 |
|
2,159.3 |
|
2,091.6 |
| ||||
Selling and administrative expenses |
|
105.8 |
|
101.1 |
|
321.2 |
|
314.6 |
| ||||
Research and development expenses |
|
8.8 |
|
8.1 |
|
27.4 |
|
24.4 |
| ||||
Impairment of assets |
|
|
|
|
|
100.0 |
|
|
| ||||
Other (income) expense, net |
|
(3.2 |
) |
6.1 |
|
(2.0 |
) |
6.5 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Earnings before interest and income taxes |
|
123.4 |
|
110.6 |
|
216.0 |
|
347.1 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Interest expense, net |
|
8.5 |
|
6.2 |
|
25.4 |
|
19.2 |
| ||||
Earnings before income taxes from continuing operations |
|
114.9 |
|
104.4 |
|
190.6 |
|
327.9 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Income tax expense |
|
38.3 |
|
34.7 |
|
50.5 |
|
108.7 |
| ||||
Income from continuing operations |
|
76.6 |
|
69.7 |
|
140.1 |
|
219.2 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Discontinued operations |
|
|
|
|
|
|
|
|
| ||||
Income from discontinued operations |
|
|
|
(0.2 |
) |
(0.2 |
) |
3.3 |
| ||||
Income tax (benefit) expense |
|
|
|
|
|
(0.1 |
) |
0.1 |
| ||||
Income from discontinued operations |
|
|
|
(0.2 |
) |
(0.1 |
) |
3.2 |
| ||||
Net income |
|
$ |
76.6 |
|
$ |
69.5 |
|
$ |
140.0 |
|
$ |
222.4 |
|
|
|
|
|
|
|
|
|
|
| ||||
Basic earnings per share attributable to common shares(1) |
|
|
|
|
|
|
|
|
| ||||
Income from continuing operations |
|
$ |
1.20 |
|
$ |
1.11 |
|
$ |
2.19 |
|
$ |
3.50 |
|
Income (loss) from discontinued operations |
|
|
|
(0.01 |
) |
|
|
0.05 |
| ||||
Basic Earnings per share |
|
$ |
1.20 |
|
$ |
1.10 |
|
$ |
2.19 |
|
$ |
3.55 |
|
|
|
|
|
|
|
|
|
|
| ||||
Diluted earnings per share attributable to common shares(1) |
|
|
|
|
|
|
|
|
| ||||
Income from continuing operations |
|
$ |
1.18 |
|
$ |
1.08 |
|
$ |
2.16 |
|
$ |
3.43 |
|
Income from discontinued operations |
|
|
|
|
|
|
|
0.05 |
| ||||
Diluted earnings per share |
|
$ |
1.18 |
|
$ |
1.08 |
|
$ |
2.16 |
|
$ |
3.48 |
|
|
|
|
|
|
|
|
|
|
| ||||
Average shares outstanding - in thousands |
|
|
|
|
|
|
|
|
| ||||
Basic |
|
63,567 |
|
62,708 |
|
63,429 |
|
62,347 |
| ||||
Diluted |
|
64,890 |
|
63,946 |
|
64,714 |
|
63,520 |
| ||||
|
|
|
|
|
|
|
|
|
| ||||
Dividends declared and paid |
|
$ |
14.1 |
|
$ |
12.6 |
|
$ |
39.7 |
|
$ |
35.1 |
|
Dividends declared and paid per share |
|
$ |
0.22 |
|
$ |
0.20 |
|
$ |
0.62 |
|
$ |
0.56 |
|
(1) Numerator for basic and diluted EPS calculated based on two-class method of computing earnings per share:
Income from continuing operations |
|
$ |
76.2 |
|
$ |
69.3 |
|
$ |
139.4 |
|
$ |
217.9 |
|
Net income |
|
$ |
76.2 |
|
$ |
69.1 |
|
$ |
139.3 |
|
$ |
221.1 |
|
Carlisle Companies Incorporated
Unaudited Segment Information
|
|
Three Months Ended |
|
Increase |
|
Nine Months Ended |
|
Increase |
| ||||||||||||||
|
|
September 30, |
|
(Decrease) |
|
September 30, |
|
(Decrease) |
| ||||||||||||||
In millions, except percentages |
|
2013 |
|
2012 |
|
Amount |
|
Percent |
|
2013 |
|
2012 |
|
Amount |
|
Percent |
| ||||||
Net Sales |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
Carlisle Construction Materials |
|
$ |
505.7 |
|
$ |
456.7 |
|
$ |
49.0 |
|
10.7 |
% |
$ |
1,335.8 |
|
$ |
1,280.5 |
|
$ |
55.3 |
|
4.3 |
% |
Carlisle Interconnect Technologies |
|
147.8 |
|
115.0 |
|
32.8 |
|
28.5 |
|
434.7 |
|
340.5 |
|
94.2 |
|
27.7 |
| ||||||
Carlisle Brake & Friction |
|
85.2 |
|
110.6 |
|
(25.4 |
) |
(23.0 |
) |
269.6 |
|
361.3 |
|
(91.7 |
) |
(25.4 |
) | ||||||
Carlisle FoodService Products |
|
58.1 |
|
62.7 |
|
(4.6 |
) |
(7.3 |
) |
178.9 |
|
185.2 |
|
(6.3 |
) |
(3.4 |
) | ||||||
Carlisle Transportation Products |
|
172.0 |
|
165.2 |
|
6.8 |
|
4.1 |
|
602.9 |
|
616.3 |
|
(13.4 |
) |
(2.2 |
) | ||||||
Total |
|
$ |
968.8 |
|
$ |
910.2 |
|
$ |
58.6 |
|
6.4 |
% |
$ |
2,821.9 |
|
$ |
2,783.8 |
|
$ |
38.1 |
|
1.4 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
Earnings Before Interest and Income Taxes |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
Carlisle Construction Materials |
|
$ |
83.0 |
|
$ |
79.6 |
|
$ |
3.4 |
|
4.3 |
% |
$ |
197.0 |
|
$ |
207.0 |
|
$ |
(10.0 |
) |
(4.8 |
)% |
Carlisle Interconnect Technologies |
|
24.8 |
|
18.7 |
|
6.1 |
|
32.6 |
|
65.5 |
|
52.8 |
|
12.7 |
|
24.1 |
| ||||||
Carlisle Brake & Friction |
|
5.2 |
|
18.9 |
|
(13.7 |
) |
(72.5 |
) |
28.6 |
|
66.6 |
|
(38.0 |
) |
(57.1 |
) | ||||||
Carlisle FoodService Products |
|
6.9 |
|
(1.2 |
) |
8.1 |
|
675.0 |
|
19.3 |
|
10.0 |
|
9.3 |
|
93.0 |
| ||||||
Carlisle Transportation Products |
|
13.9 |
|
7.4 |
|
6.5 |
|
87.8 |
|
(58.4 |
) |
47.7 |
|
(106.1 |
) |
(222.4 |
) | ||||||
Corporate |
|
(10.4 |
) |
(12.8 |
) |
2.4 |
|
18.8 |
|
(36.0 |
) |
(37.0 |
) |
1.0 |
|
2.7 |
| ||||||
Total |
|
$ |
123.4 |
|
$ |
110.6 |
|
$ |
12.8 |
|
11.6 |
% |
$ |
216.0 |
|
$ |
347.1 |
|
$ |
(131.1 |
) |
(37.8 |
)% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
EBIT Margins |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| ||||||
Carlisle Construction Materials |
|
16.4 |
% |
17.4 |
% |
|
|
|
|
14.7 |
% |
16.2 |
% |
|
|
|
| ||||||
Carlisle Interconnect Technologies |
|
16.8 |
|
16.3 |
|
|
|
|
|
15.1 |
|
15.5 |
|
|
|
|
| ||||||
Carlisle Brake & Friction |
|
6.1 |
|
17.1 |
|
|
|
|
|
10.6 |
|
18.4 |
|
|
|
|
| ||||||
Carlisle FoodService Products |
|
11.9 |
|
(1.9 |
) |
|
|
|
|
10.8 |
|
5.4 |
|
|
|
|
| ||||||
Carlisle Transportation Products |
|
8.1 |
|
4.5 |
|
|
|
|
|
(9.7 |
) |
7.7 |
|
|
|
|
| ||||||
Corporate |
|
(1.1 |
) |
(1.4 |
) |
|
|
|
|
(1.3 |
) |
(1.3 |
) |
|
|
|
| ||||||
Total |
|
12.7 |
% |
12.2 |
% |
|
|
|
|
7.7 |
% |
12.5 |
% |
|
|
|
|
Carlisle Companies Incorporated
Condensed Consolidated Balance Sheets
|
|
September 30, |
|
December 31, |
| ||
(Dollars in millions except share amounts) |
|
2013 |
|
2012 |
| ||
|
|
(Unaudited) |
|
|
| ||
Assets |
|
|
|
|
| ||
Current assets: |
|
|
|
|
| ||
Cash and cash equivalents |
|
$ |
332.4 |
|
$ |
112.5 |
|
Receivables, net of allowance of $4.7 in 2013 and $6.0 in 2012 |
|
572.3 |
|
482.7 |
| ||
Inventories |
|
481.3 |
|
538.0 |
| ||
Deferred income taxes |
|
41.8 |
|
43.1 |
| ||
Prepaid expenses and other current assets |
|
34.3 |
|
29.0 |
| ||
Total current assets |
|
1,462.1 |
|
1,205.3 |
| ||
|
|
|
|
|
| ||
Property, plant and equipment, net of accumulated depreciation |
|
645.3 |
|
637.1 |
| ||
|
|
|
|
|
| ||
Other assets: |
|
|
|
|
| ||
Goodwill, net |
|
859.6 |
|
958.8 |
| ||
Other intangible assets, net |
|
590.4 |
|
617.5 |
| ||
Other long-term assets |
|
35.3 |
|
38.6 |
| ||
Non-current assets held for sale |
|
4.2 |
|
|
| ||
Total other assets |
|
1,489.5 |
|
1,614.9 |
| ||
|
|
|
|
|
| ||
TOTAL ASSETS |
|
$ |
3,596.9 |
|
$ |
3,457.3 |
|
|
|
|
|
|
| ||
Liabilities and Shareholders Equity |
|
|
|
|
| ||
Current liabilities: |
|
|
|
|
| ||
Short-term debt, including current maturities |
|
$ |
|
|
$ |
|
|
Accounts payable |
|
274.3 |
|
259.7 |
| ||
Accrued expenses |
|
224.2 |
|
193.3 |
| ||
Deferred revenue |
|
17.1 |
|
17.6 |
| ||
Total current liabilities |
|
515.6 |
|
470.6 |
| ||
|
|
|
|
|
| ||
Long-term liabilities: |
|
|
|
|
| ||
Long-term debt |
|
752.6 |
|
752.5 |
| ||
Deferred revenue |
|
140.7 |
|
135.4 |
| ||
Other long-term liabilities |
|
264.4 |
|
310.7 |
| ||
Total long-term liabilities |
|
1,157.7 |
|
1,198.6 |
| ||
|
|
|
|
|
| ||
Shareholders equity: |
|
|
|
|
| ||
Preferred stock, $1 par value per share. Authorized and unissued 5,000,000 shares |
|
|
|
|
| ||
Common stock, $1 par value per share. Authorized 100,000,000 shares; |
|
78.7 |
|
78.7 |
| ||
Additional paid-in capital |
|
194.4 |
|
171.4 |
| ||
Deferred compensation equity |
|
3.3 |
|
0.6 |
| ||
Cost of shares in treasury - 14,823,115 shares in 2013 and 15,249,714 shares in 2012 |
|
(210.0 |
) |
(215.4 |
) | ||
Accumulated other comprehensive loss |
|
(31.4 |
) |
(35.5 |
) | ||
Retained earnings |
|
1,888.6 |
|
1,788.3 |
| ||
Total shareholders equity |
|
1,923.6 |
|
1,788.1 |
| ||
|
|
|
|
|
| ||
TOTAL LIABILITIES AND SHAREHOLDERS EQUITY |
|
$ |
3,596.9 |
|
$ |
3,457.3 |
|
Carlisle Companies Incorporated
Unaudited Condensed Consolidated Statements of Cash Flows
|
|
Nine Months Ended September 30, |
| ||||
(Dollars in millions) |
|
2013 |
|
2012 |
| ||
|
|
|
|
|
| ||
Operating activities |
|
|
|
|
| ||
Net income |
|
$ |
140.0 |
|
$ |
222.4 |
|
Reconciliation of net income to cash flows from operating activities: |
|
|
|
|
| ||
Depreciation |
|
59.1 |
|
55.7 |
| ||
Amortization |
|
30.8 |
|
22.8 |
| ||
Non-cash compensation, net of tax benefit |
|
10.2 |
|
5.8 |
| ||
Gain on sale of businesses |
|
|
|
(3.7 |
) | ||
Loss on sale of property and equipment, net |
|
0.4 |
|
0.9 |
| ||
Impairment of assets |
|
100.0 |
|
6.1 |
| ||
Deferred taxes |
|
(39.6 |
) |
(4.6 |
) | ||
Foreign exchange (gain) loss |
|
(0.2 |
) |
1.8 |
| ||
Changes in assets and liabilities, excluding effects of acquisitions and divestitures: |
|
|
|
|
| ||
Receivables |
|
(90.4 |
) |
(76.4 |
) | ||
Inventories |
|
56.2 |
|
11.4 |
| ||
Prepaid expenses and other assets |
|
0.8 |
|
21.6 |
| ||
Accounts payable |
|
14.6 |
|
11.1 |
| ||
Accrued expenses and deferred revenues |
|
33.8 |
|
40.8 |
| ||
Long-term liabilities |
|
(0.9 |
) |
6.7 |
| ||
Other operating activities |
|
0.7 |
|
0.8 |
| ||
Net cash provided by operating activities |
|
315.5 |
|
323.2 |
| ||
|
|
|
|
|
| ||
Investing activities |
|
|
|
|
| ||
Capital expenditures |
|
(77.7 |
) |
(93.7 |
) | ||
Acquisitions, net of cash |
|
|
|
(49.3 |
) | ||
Proceeds from sale of property and equipment |
|
6.7 |
|
|
| ||
Proceeds from sale of businesses |
|
|
|
25.8 |
| ||
Net cash used in investing activities |
|
(71.0 |
) |
(117.2 |
) | ||
|
|
|
|
|
| ||
Financing activities |
|
|
|
|
| ||
Net change in short-term borrowings and revolving credit lines |
|
(0.2 |
) |
(189.3 |
) | ||
Dividends |
|
(39.7 |
) |
(35.1 |
) | ||
Stock options and treasury shares, net |
|
15.5 |
|
29.9 |
| ||
Net cash used in financing activities |
|
(24.4 |
) |
(194.5 |
) | ||
|
|
|
|
|
| ||
Effect of exchange rate changes on cash |
|
(0.2 |
) |
0.9 |
| ||
Change in cash and cash equivalents |
|
219.9 |
|
12.4 |
| ||
Cash and cash equivalents |
|
|
|
|
| ||
Beginning of period |
|
112.5 |
|
74.7 |
| ||
End of period |
|
$ |
332.4 |
|
$ |
87.1 |
|
Carlisle Companies Incorporated
GAAP to Non-GAAP Reconciliation
(Dollars in millions, except share amounts)
|
|
Nine Months Ended September 30, 2013 |
| |||||||||||||||||
|
|
|
|
Carlisle Companies Incorporated |
|
Carlisle Transportation Products |
| |||||||||||||
|
|
|
|
|
|
Income from |
|
Diluted Earnings |
|
|
|
|
|
|
| |||||
|
|
|
|
EBIT |
|
Continuing |
|
per Share from |
|
|
|
|
|
|
| |||||
|
|
EBIT |
|
Margin |
|
Operations |
|
Cont. Ops. |
|
Sales |
|
EBIT |
|
EBIT Margin |
| |||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
| |||||
As Reported |
|
$ |
216.0 |
|
7.7 |
% |
$ |
140.1 |
|
$ |
2.16 |
|
$ |
602.9 |
|
(58.4 |
) |
(9.7 |
)% | |
Goodwill impairment |
|
100.0 |
|
3.5 |
% |
66.1 |
(1) |
1.02 |
(1) |
|
|
100.0 |
|
16.6 |
% | |||||
Excluding Goodwill impairment |
|
$ |
316.0 |
|
11.2 |
% |
$ |
206.2 |
|
$ |
3.18 |
|
$ |
602.9 |
|
$ |
41.6 |
|
6.9 |
% |
(1) Goodwill shown net of tax benefit of $33.9 million
Non-GAAP results for segment EBIT, consolidated EBIT and consolidated Income from Continuing Operations for the nine month period ending September 30, 2013 are presented to exclude the impairment charge at Carlisle Transportation Products recognized during the second quarter of 2013. Management believes adjusted results more accurately portray the ongoing operational performance and fundamentals of the underlying business and present a more useful comparison between current results and results in prior operating periods. Management also uses the non-GAAP financial measures in making financial, operating and planning decisions and in evaluating the Companys performance.