Attached files
| file | filename |
|---|---|
| EX-99.2 - EX-99.2 - Multi Packaging Solutions International Ltd | mpsx_8kex992.htm |
| 8-K - 8-K - Multi Packaging Solutions International Ltd | mpsx_8kcurrentfolio.htm |
Exhibit 99.1
Multi Packaging Solutions Announces First Quarter Results
Completes debt refinancing and two acquisitions
New York, NY, November 8, 2016 – Multi Packaging Solutions International Limited (NYSE: MPSX), (“MPS” or the “Company”), a global leader in value-added print and packaging solutions for the branded consumer, healthcare, and multi-media markets, today announced results for its first quarter ended September 30, 2016.
1Q FY 2017 vs. 1Q FY 2016:
|
· |
GAAP sales of $407.8 million vs. $459.1 million |
|
§ |
Negative foreign exchange impact of $17.4 million |
|
· |
GAAP operating income of $27.7 million vs. $40.7 million |
|
· |
GAAP net income attributable to MPS of $13.3 million vs. $13.0 million |
|
· |
GAAP net income attributable to MPS of $0.17 per share vs. $0.21 per share |
|
§ |
The impact of the additional shares outstanding associated with the IPO results in a comparative EPS of $0.17 in both periods. |
|
· |
Non GAAP net income attributable to MPS of $13.1 million vs. $18.1 million |
|
· |
Non GAAP net income attributable to MPS per share of $0.17 per share vs. $0.29 per share |
|
§ |
The impact of the additional shares outstanding associated with the IPO results in a comparative Non GAAP EPS of $0.17 and $0.23 in 1Q FY 2017 and 1Q FY 2016, respectively. |
|
· |
Adjusted EBITDA of $60.1 million vs. $77.2 million |
|
§ |
Negative foreign exchange impact of $2.5 million |
|
· |
Adjusted EBITDA margin of 14.7% vs 16.8% |
Recent Activity
|
· |
Completed debt refinancing transaction in October 2016 |
|
§ |
Redeemed $200 million 8.5% Senior Notes |
|
§ |
Raised $220 million new incremental Term Loan D |
|
§ |
Repriced outstanding Euro Tranche B Term Loans and Sterling Tranche B Term Loans |
|
§ |
Upsized Revolving Credit Facility |
|
· |
Completed two acquisitions in second quarter with combined trailing 12 months revenue of $25 million, one in the European label market, and one in the North American transaction card market |
|
· |
Previously announced relocation of business of the Stuttgart, Germany facility, and the closure of the Bradford, United Kingdom plant. Announces closure of Louisville, Kentucky media plant |
|
· |
UK Field Group Pension Plan cash deficit payments completed in August 2016 |
Marc Shore, Chief Executive Officer, commented, “As we expected, the first quarter was challenging due to the headwinds that were previously discussed: continued negative impact of foreign exchange rates, the discontinuation of a specific toy program, the exit from the tobacco business and the continued decline in multimedia sales. Furthermore, we continued to struggle at four facilities, and some of our core customers had weaker sales than budgeted. As previously noted, we will cycle through all of these challenges by the end of our fiscal second quarter, except for foreign exchange and media declines.
Page 1
Notwithstanding these headwinds, there were significant accomplishments in the quarter. We have a robust pipeline of new business which we will start benefiting from in early 2017. This is driven in part by our ability to give customers consistently high quality products on a global basis. MPS has also completed two strategic acquisitions in October and November that will enhance our offering for both labels in Europe and transaction cards in North America. These acquisitions currently have combined annual revenue of $25 million.
MPS has also taken several steps that are important to our future success:
|
· |
The completion of our debt refinancing which will result in lower annual cash interest costs of approximately $10 million. |
|
· |
The final funding payment under the UK Pension Funding Arrangement was made, which will save approximately $9 million cash annually. |
|
· |
Progress in streamlining our operational footprint. We have internally announced the closure of three facilities and by June 30th 2017, we expect to close a total of six facilities. This will result in approximately $20 million in savings annually. |
|
· |
Progress in our supply chain rationalization. |
In summary, the first half of fiscal 2017 will be challenging. However, we are confident that the new sales pipeline, significant cost cutting measures, optimization of footprint, and strategic acquisitions will create momentum in the fiscal second half and drive our future growth and success.”
Discussion of Fiscal 2017 First Quarter Results
The Company completed its initial public offering in October 2015, and the comparability of the amounts below related to the balance sheet, debt and related interest expenses, and earnings per share amounts are significantly impacted on a year over year basis due to the offering.
GAAP net sales for 1Q FY 2017 were $407.8 million vs. net sales for 1Q FY 2016 of $459.1 million, which includes negative foreign exchange effects in 1Q FY 2017 of $17.4 million when compared to the prior period. On a segment basis, North American sales were down $26.2 million from the prior year principally due to the decline in the multi-media market and some weakness in health care. European sales were down $25.7 million principally due to foreign exchange, and weakness in the European drinks market. Asia sales were relatively flat year over year.
In the multi-media market, sales in the quarter were down $20.6 million, of which $5.5 million was related to the toy project. In the consumer market, sales to customers in the tobacco industry and the drinks market for the United Kingdom were down $5.3 million and $3.9 million, respectively. Health care market sales in North America were down $5.2 million.
Gross margin in 1Q FY 2017 was 20.7% compared to 21.6% in the prior year. The decline is principally due to the operational issues at specific facilities identified in the fourth quarter of FY 2016 that continued into the first quarter of FY 2017. These issues relate to the transfer of work from Scotland to China for the drinks business, lower absorption from manufacturing operations in the transaction card business due to weakness in EMV card sales, and costs associated with the German operations as they implement new ERP systems.
GAAP operating income for 1Q FY 2017 was $27.7 million vs. $40.7 million for 1Q FY 2016. Included in the current quarter is approximately $2.9 million of restructuring charges which primarily relate to the
Page 2
previously announced relocation of the Company’s operations in Stuttgart, Germany as well as the announced closure of its Bradford, United Kingdom site which serves certain tobacco customers. The Company will also close one of its media facilities located in Louisville, Kentucky.
Cash balances as of September 30, 2016 were $50.6 million. There were no amounts outstanding under the Company’s revolving credit facility as of that date. Total debt, net of cash, was $853.7 million including deferred finance fees and debt discount of $15.1 million. At September 30, 2016, trailing twelve months acquisition adjusted pro forma EBITDA was $237.7 million, and the pro forma leverage ratio was 3.65.
Fiscal 2017 First Quarter Earnings Conference Call and Webcast
The Company will host a conference call on November 8, 2016 at 4:30pm ET, which can be accessed by dialing 877-705-6003 (domestic) or 201-493-6725 (international). Supplemental materials for today’s call can also be found on the investor relations portion of the Company’s website
The Company will also host a live webcast of its conference call which may be accessed on the Investor Relations section of the Company's website at multipkg.com. A replay will be available approximately three hours after the call, through November 15, 2016, accessible by dialing 844-512-2921 (domestic), or 412-317-6671 (international). The passcode for the replay is 13648641.
Non GAAP Financial Measures
The historical financial information included in this presentation includes financial information that is not presented in accordance with generally accepted accounting principles in the United States (“GAAP”), including Adjusted Net Income, pro forma adjusted net income per share, Adjusted Operating Income, Adjusted EBITDA, Free Cash Flow, Adjusted Free Cash Flow and acquisition adjusted pro forma EBITDA. Management uses these non GAAP financial measures in the analysis of financial and operating performance because they assist in the evaluation of underlying trends in our business. Our use of the terms Adjusted Net Income, pro forma adjusted net income per share, Adjusted Operating Income Adjusted EBITDA, Free Cash Flow, Adjusted Free Cash Flow and acquisition adjusted pro forma EBITDA may differ from that of others in our industry. These items should not be considered as alternatives to net income (loss), operating income (loss), or any other performance measures prepared in accordance with GAAP as measures of operating performance or operating cash flows or as measures of liquidity. Adjusted Net Income, pro forma adjusted net income per share, Adjusted Operating Income, Adjusted EBITDA, Free Cash Flow, Adjusted Free Cash Flow and acquisition adjusted pro forma EBITDA have important limitations as analytical tools and should be considered in conjunction with, and not as substitutes for, our results as reported under GAAP. This presentation includes a reconciliation of certain non GAAP financial measures with the most directly comparable financial measures calculated in accordance with GAAP.
About Multi Packaging Solutions
Multi Packaging Solutions is a leading global provider of value-added packaging solutions to a diverse customer base across the healthcare, consumer and multi-media markets. MPS provides its customers with an extensive array of print-based specialty packaging solutions, including premium folding cartons, inserts, labels and rigid packaging across a variety of substrates and finishes. MPS has manufacturing locations across North America, Europe and Asia.
Page 3
Cautionary Statement Concerning Forward-Looking Statements
This release contains certain forward-looking statements regarding MPS and its subsidiaries. All of these statements are based on management’s expectations as well as estimates and assumptions prepared by management that, although they believe to be reasonable, are inherently uncertain. These statements involve risks and uncertainties, including, but not limited to, economic, competitive, governmental and technological factors outside of MPS’ control that may cause its business, industry, strategy, financing activities or actual results to differ materially. MPS undertakes no obligation to update or revise any of the forward looking statements contained herein, whether as a result of new information, future events or otherwise.
Contact:
Multi Packaging Solutions
Richard Zubek, Investor Relations
646-885-0005
ir@multipkg.com
Source: Multi Packaging Solutions International Limited
MPSX-IR
Page 4
Multi Packaging Solutions International Limited And Subsidiaries
Condensed Consolidated Balance Sheets
(in thousands, except share amounts)
|
|
|
September 30, |
|
June 30, |
|
||
|
|
|
2016 |
|
2016 |
|
||
|
|
|
(unaudited) |
|
|
|
|
|
|
Current assets |
|
|
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
50,573 |
|
$ |
44,769 |
|
|
Accounts receivable, net |
|
|
262,303 |
|
|
237,179 |
|
|
Inventories |
|
|
162,097 |
|
|
165,617 |
|
|
Prepaid expenses and other current assets |
|
|
27,136 |
|
|
30,742 |
|
|
Total current assets |
|
|
502,109 |
|
|
478,307 |
|
|
|
|
|
|
|
|
|
|
|
Property, plant and equipment |
|
|
|
|
|
|
|
|
Land |
|
|
51,237 |
|
|
52,093 |
|
|
Buildings and improvements |
|
|
68,447 |
|
|
65,827 |
|
|
Machinery and equipment |
|
|
399,347 |
|
|
393,206 |
|
|
Furniture and fixtures |
|
|
16,223 |
|
|
15,580 |
|
|
Construction in progress |
|
|
13,876 |
|
|
12,689 |
|
|
Total |
|
|
549,130 |
|
|
539,395 |
|
|
Less: Accumulated depreciation |
|
|
(176,510) |
|
|
(155,700) |
|
|
Total property, plant and equipment, net |
|
|
372,620 |
|
|
383,695 |
|
|
|
|
|
|
|
|
|
|
|
Other assets |
|
|
|
|
|
|
|
|
Intangible assets, net |
|
|
323,297 |
|
|
340,858 |
|
|
Goodwill |
|
|
462,488 |
|
|
464,714 |
|
|
Deferred income taxes |
|
|
7,107 |
|
|
7,210 |
|
|
Other assets |
|
|
35,446 |
|
|
32,806 |
|
|
Total assets |
|
$ |
1,703,067 |
|
$ |
1,707,590 |
|
|
Current liabilities |
|
|
|
|
|
|
|
|
Accounts payable |
|
$ |
175,398 |
|
$ |
171,935 |
|
|
Payroll and benefits |
|
|
33,122 |
|
|
36,977 |
|
|
Other current liabilities |
|
|
37,093 |
|
|
40,892 |
|
|
Current portion of long-term debt |
|
|
6,916 |
|
|
7,307 |
|
|
Income taxes payable |
|
|
6,043 |
|
|
4,489 |
|
|
Total current liabilities |
|
|
258,572 |
|
|
261,600 |
|
|
|
|
|
|
|
|
|
|
|
Long-term debt, less current portion |
|
|
897,380 |
|
|
900,516 |
|
|
Deferred income taxes |
|
|
71,636 |
|
|
72,625 |
|
|
Other long-term liabilities |
|
|
28,804 |
|
|
29,955 |
|
|
Total liabilities |
|
|
1,256,392 |
|
|
1,264,696 |
|
|
|
|
|
|
|
|
|
|
|
Shareholders’ equity |
|
|
|
|
|
|
|
|
Authorized share capital – $1.00 par value, 1,000,000,000 shares authorized |
|
|
|
|
|
|
|
|
Preference shares – no shares issued |
|
|
— |
|
|
— |
|
|
Common shares – 77,452,946 issued and outstanding |
|
|
77,453 |
|
|
77,453 |
|
|
Additional paid-in capital |
|
|
470,612 |
|
|
469,698 |
|
|
Accumulated deficit |
|
|
(29,984) |
|
|
(43,233) |
|
|
Accumulated other comprehensive loss |
|
|
(72,663) |
|
|
(63,290) |
|
|
Total Multi Packaging Solutions International Limited shareholders’ equity |
|
|
445,418 |
|
|
440,628 |
|
|
Noncontrolling interest |
|
|
1,257 |
|
|
2,266 |
|
|
Total shareholders’ equity |
|
|
446,675 |
|
|
442,894 |
|
|
Total liabilities and shareholders’ equity |
|
$ |
1,703,067 |
|
$ |
1,707,590 |
|
Page 5
Multi Packaging Solutions International Limited And Subsidiaries
Condensed Consolidated Statements of Operations and Comprehensive Income
(in thousands, except per share amounts)
(unaudited)
|
|
|
Three Months Ended |
|
||||
|
|
|
September 30, |
|
||||
|
|
|
2016 |
|
2015 |
|
||
|
Net sales |
|
$ |
407,825 |
|
$ |
459,051 |
|
|
|
|
|
|
|
|
|
|
|
Cost of goods sold |
|
|
323,481 |
|
|
359,710 |
|
|
Gross profit |
|
|
84,344 |
|
|
99,341 |
|
|
|
|
|
|
|
|
|
|
|
Selling, general and administrative expenses |
|
|
|
|
|
|
|
|
Selling, general and administrative expenses |
|
|
56,334 |
|
|
58,312 |
|
|
Transaction related expenses |
|
|
284 |
|
|
350 |
|
|
Total selling, general and administrative expenses |
|
|
56,618 |
|
|
58,662 |
|
|
|
|
|
|
|
|
|
|
|
Operating income |
|
|
27,726 |
|
|
40,679 |
|
|
|
|
|
|
|
|
|
|
|
Other income (expense), net |
|
|
2,937 |
|
|
(3,635) |
|
|
Interest expense |
|
|
(14,642) |
|
|
(18,729) |
|
|
Total other expense, net |
|
|
(11,705) |
|
|
(22,364) |
|
|
|
|
|
|
|
|
|
|
|
Income before income taxes |
|
|
16,021 |
|
|
18,315 |
|
|
|
|
|
|
|
|
|
|
|
Income tax expense |
|
|
(3,152) |
|
|
(5,231) |
|
|
|
|
|
|
|
|
|
|
|
Consolidated net income |
|
|
12,869 |
|
|
13,084 |
|
|
|
|
|
|
|
|
|
|
|
Net loss (income) attributable to noncontrolling interest |
|
|
380 |
|
|
(77) |
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to shareholders of |
|
$ |
13,249 |
|
$ |
13,007 |
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to shareholders of |
|
|
|
|
|
|
|
|
Basic |
|
$ |
0.17 |
|
$ |
0.21 |
|
|
Diluted |
|
$ |
0.17 |
|
$ |
0.21 |
|
|
|
|
|
|
|
|
|
|
|
Weighted-average number of common shares outstanding: |
|
|
|
|
|
|
|
|
Basic |
|
|
77,453 |
|
|
61,939 |
|
|
Diluted |
|
|
77,453 |
|
|
61,939 |
|
|
|
|
|
|
|
|
|
|
|
Other comprehensive income (loss) |
|
|
|
|
|
|
|
|
Cumulative foreign currency translation adjustment |
|
$ |
(8,868) |
|
$ |
(9,692) |
|
|
Adjustment on available-for-sale securities |
|
|
(16) |
|
|
(17) |
|
|
Pension adjustments |
|
|
(489) |
|
|
792 |
|
|
Total other comprehensive loss |
|
|
(9,373) |
|
|
(8,917) |
|
|
|
|
|
|
|
|
|
|
|
Comprehensive income |
|
|
3,496 |
|
|
4,090 |
|
|
Comprehensive loss (income) attributable to non-controlling interests |
|
|
380 |
|
|
(12) |
|
|
Comprehensive income attributable to shareholders of |
|
$ |
3,876 |
|
$ |
4,078 |
|
Page 6
Multi Packaging Solutions International Limited And Subsidiaries
Condensed Consolidated Statements of Cash Flows
(in thousands)
(unaudited)
|
|
|
Three Months Ended September 30, |
|
||||
|
|
|
2016 |
|
2015 |
|
||
|
Operating Activities |
|
|
|
|
|
|
|
|
Net income |
|
$ |
12,869 |
|
$ |
13,084 |
|
|
Adjustments to reconcile net income to net cash and cash equivalents provided by operating activities: |
|
|
|
|
|
|
|
|
Depreciation expense |
|
|
16,729 |
|
|
19,247 |
|
|
Amortization expense |
|
|
12,712 |
|
|
14,064 |
|
|
Amortization of deferred financing fees |
|
|
946 |
|
|
1,221 |
|
|
Deferred income taxes |
|
|
(158) |
|
|
(697) |
|
|
Stock compensation |
|
|
285 |
|
|
(414) |
|
|
Unrealized foreign currency (gain) loss |
|
|
(2,184) |
|
|
1,183 |
|
|
Other |
|
|
(341) |
|
|
1,255 |
|
|
Change in assets and liabilities: |
|
|
|
|
|
|
|
|
Accounts receivable |
|
|
(26,406) |
|
|
(29,546) |
|
|
Inventories |
|
|
2,409 |
|
|
933 |
|
|
Prepaid expenses and other current assets |
|
|
3,660 |
|
|
(859) |
|
|
Other assets |
|
|
(3,595) |
|
|
(4,496) |
|
|
Accounts payable |
|
|
4,985 |
|
|
15,724 |
|
|
Payroll and benefits |
|
|
(3,836) |
|
|
(348) |
|
|
Other current liabilities |
|
|
(3,823) |
|
|
(101) |
|
|
Income taxes payable |
|
|
1,527 |
|
|
3,957 |
|
|
Other long-term liabilities |
|
|
(715) |
|
|
(1,188) |
|
|
Net cash and cash equivalents provided by operating activities |
|
|
15,064 |
|
|
33,019 |
|
|
|
|
|
|
|
|
|
|
|
Investing Activities |
|
|
|
|
|
|
|
|
Additions to property, plant and equipment |
|
|
(6,645) |
|
|
(12,321) |
|
|
Additions to intangible assets |
|
|
(34) |
|
|
(28) |
|
|
Proceeds from sale of assets |
|
|
45 |
|
|
325 |
|
|
Acquisitions of businesses, net of cash acquired |
|
|
— |
|
|
(2,749) |
|
|
Net cash and cash equivalents used in investing activities |
|
|
(6,634) |
|
|
(14,773) |
|
|
|
|
|
|
|
|
|
|
|
Financing Activities |
|
|
|
|
|
|
|
|
Proceeds from short-term borrowings |
|
|
— |
|
|
26,483 |
|
|
Payments on short-term borrowings |
|
|
— |
|
|
(24,965) |
|
|
Payments on long-term debt |
|
|
(2,874) |
|
|
(4,094) |
|
|
Net cash and cash equivalents used in financing activities |
|
|
(2,874) |
|
|
(2,576) |
|
|
|
|
|
|
|
|
|
|
|
Effect of exchange rate changes on cash and cash equivalents |
|
|
248 |
|
|
3,934 |
|
|
Increase in cash and cash equivalents |
|
|
5,804 |
|
|
19,604 |
|
|
Cash and cash equivalents—beginning |
|
|
44,769 |
|
|
55,675 |
|
|
Cash and cash equivalents—ending |
|
$ |
50,573 |
|
$ |
75,279 |
|
Page 7
Multi Packaging Solutions International Limited And Subsidiaries
Reconciliation of Non‐GAAP Results
Adjusted EBITDA, Adjusted Operating Income and Adjusted Net Income
|
Non-GAAP Adjusted EBITDA |
|
Three Months Ended |
|
||||
|
|
|
September 30, |
|
||||
|
(amounts in thousands) |
|
2016 |
|
2015 |
|
||
|
Consolidated net income |
|
$ |
12,869 |
|
$ |
13,084 |
|
|
Depreciation and amortization |
|
|
29,441 |
|
|
33,311 |
|
|
Interest expense |
|
|
14,642 |
|
|
18,729 |
|
|
Income tax expense |
|
|
3,152 |
|
|
5,231 |
|
|
EBITDA |
|
|
60,104 |
|
|
70,355 |
|
|
|
|
|
|
|
|
|
|
|
Adjustments related to operating income |
|
|
|
|
|
|
|
|
Transaction related expenses |
|
|
284 |
|
|
350 |
|
|
Stock based and deferred compensation expenses |
|
|
309 |
|
|
(272) |
|
|
Purchase accounting adjustments |
|
|
228 |
|
|
331 |
|
|
Restructuring related costs |
|
|
2,868 |
|
|
2,826 |
|
|
Loss on sale of fixed assets |
|
|
107 |
|
|
194 |
|
|
Other adjustments to operating income |
|
|
(907) |
|
|
(455) |
|
|
Adjustments related to operating income (A) |
|
|
2,889 |
|
|
2,974 |
|
|
|
|
|
|
|
|
|
|
|
Adjustments related to non-operating income |
|
|
|
|
|
|
|
|
Foreign currency (gains) losses |
|
|
(2,440) |
|
|
2,867 |
|
|
Other adjustments to non-operating income |
|
|
(497) |
|
|
1,000 |
|
|
Adjustments related to non-operating income |
|
|
(2,937) |
|
|
3,867 |
|
|
|
|
|
|
|
|
|
|
|
Total adjustments (B) |
|
|
(48) |
|
|
6,841 |
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA |
|
$ |
60,056 |
|
$ |
77,196 |
|
|
|
|
|
|
|
|
|
|
|
Pre-acquisition Adjusted EBITDA |
|
|
— |
|
|
297 |
|
|
Proforma Adjusted EBITDA |
|
$ |
60,056 |
|
$ |
77,493 |
|
|
Non-GAAP Adjusted Operating Income |
|
Three Months Ended |
|
||||
|
|
|
September 30, |
|
||||
|
(amounts in thousands) |
|
2016 |
|
2015 |
|
||
|
Operating income |
|
$ |
27,726 |
|
$ |
40,679 |
|
|
Adjustments related to operating income (A) |
|
|
2,889 |
|
|
2,974 |
|
|
Adjusted operating income |
|
$ |
30,615 |
|
$ |
43,653 |
|
Page 8
|
Non-GAAP Adjusted Net Income |
|
Three Months Ended |
|
||||
|
|
|
September 30, |
|
||||
|
(amounts in thousands, except per share data) |
|
2016 |
|
2015 |
|
||
|
Consolidated net income |
|
$ |
12,869 |
|
$ |
13,084 |
|
|
Adjustments related to net income (B) |
|
|
(48) |
|
|
6,841 |
|
|
Tax impact of adjusting entries |
|
|
(145) |
|
|
(1,743) |
|
|
Adjusted net income |
|
|
12,676 |
|
|
18,182 |
|
|
|
|
|
|
|
|
|
|
|
Net loss (income) attributable to noncontrolling interest |
|
|
380 |
|
|
(77) |
|
|
Adjusted net income attributable to shareholders of |
|
$ |
13,056 |
|
$ |
18,105 |
|
|
|
|
|
|
|
|
|
|
|
Weighted average number of |
|
|
77,453 |
|
|
61,939 |
|
|
|
|
|
|
|
|
|
|
|
Adjusted net income per share |
|
$ |
0.17 |
|
$ |
0.29 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Pro Forma for IPO share issuance |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income attributable to shareholders of |
|
$ |
13,249 |
|
$ |
13,007 |
|
|
Proforma weighted average number of |
|
|
77,453 |
|
|
77,453 |
|
|
|
|
|
|
|
|
|
|
|
Pro Forma net income per share |
|
$ |
0.17 |
|
$ |
0.17 |
|
|
|
|
|
|
|
|
|
|
|
Adjusted net income attributable to shareholders of |
|
$ |
13,056 |
|
$ |
18,105 |
|
|
Proforma weighted average number of |
|
|
77,453 |
|
|
77,453 |
|
|
|
|
|
|
|
|
|
|
|
Pro Forma adjusted net income per share |
|
$ |
0.17 |
|
$ |
0.23 |
|
Page 9
Multi Packaging Solutions International Limited And Subsidiaries
Net Sales by Segment and Market
|
|
|
Three Months Ended |
|
||||
|
|
|
September 30, |
|
||||
|
(amounts in thousands) |
|
2016 |
|
2015 |
|
||
|
North America |
|
|
|
|
|
|
|
|
Consumer |
|
$ |
80,247 |
|
$ |
79,292 |
|
|
Healthcare |
|
|
70,422 |
|
|
75,653 |
|
|
Multi-Media |
|
|
38,631 |
|
|
60,587 |
|
|
|
|
$ |
189,300 |
|
$ |
215,532 |
|
|
|
|
|
|
|
|
|
|
|
Europe |
|
|
|
|
|
|
|
|
Consumer |
|
$ |
108,995 |
|
$ |
137,154 |
|
|
Healthcare |
|
|
77,434 |
|
|
76,892 |
|
|
Multi-Media |
|
|
9,244 |
|
|
7,367 |
|
|
|
|
$ |
195,673 |
|
$ |
221,413 |
|
|
|
|
|
|
|
|
|
|
|
Asia |
|
|
|
|
|
|
|
|
Consumer |
|
$ |
16,931 |
|
$ |
16,892 |
|
|
Healthcare |
|
|
5,921 |
|
|
5,214 |
|
|
|
|
$ |
22,852 |
|
$ |
22,106 |
|
|
|
|
|
|
|
|
|
|
|
Total |
|
$ |
407,825 |
|
$ |
459,051 |
|
Page 10
Multi Packaging Solutions International Limited And Subsidiaries
Free Cash Flow and Adjusted Free Cash Flow Reconciliation
The Company defines Free Cash Flow as cash provided by operating activities (a GAAP measure) less capital expenditures, plus proceeds from sale of assets. The Company views Free Cash Flow as an important measure because it is one factor in evaluating the amount of cash available for discretionary investments and repayment of outstanding borrowings. For the three and trailing twelve months ended September 30, 2016 and 2015, Free Cash Flow was calculated as follows:
|
|
|
Three Months |
|
|
Trailing 12 Months |
|
||||||||
|
(amounts in thousands) |
|
2016 |
|
2015 |
|
|
2016 |
|
2015 |
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net cash and cash equivalents provided by operating activities |
|
$ |
15,064 |
|
$ |
33,019 |
|
|
$ |
114,717 |
|
$ |
139,788 |
|
|
Additions to property, plant and equipment |
|
|
(6,645) |
|
|
(12,321) |
|
|
|
(53,278) |
|
|
(61,370) |
|
|
Proceeds from sale of assets |
|
|
45 |
|
|
325 |
|
|
|
3,946 |
|
|
6,572 |
|
|
Free Cash Flow |
|
$ |
8,464 |
|
$ |
21,023 |
|
|
$ |
65,385 |
|
$ |
84,990 |
|
As supplemental information, the Company also provides Adjusted Free Cash Flow, which is defined as Adjusted EBITDA less capital expenditures, plus proceeds from sale of assets, less cash interest paid, cash tax paid, core working capital changes (accounts reveivable, accounts payable, inventory) and payments made related to the funding of the UK Field pension plan. The Company views Adjusted Free Cash Flow as an important measure because it is one factor in evaluating the amount of cash generated by the core business operations.
|
|
|
Three Months |
|
|
Trailing 12 Months |
|
||||||||
|
(amounts in thousands) |
|
2016 |
|
2015 |
|
|
2016 |
|
2015 |
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA |
|
$ |
60,056 |
|
$ |
77,196 |
|
|
$ |
237,163 |
|
$ |
246,988 |
|
|
Less: Capital Expenditures |
|
|
(6,645) |
|
|
(12,321) |
|
|
|
(53,278) |
|
|
(61,370) |
|
|
Plus: Proceeds from sale of assets |
|
|
45 |
|
|
325 |
|
|
|
3,946 |
|
|
6,572 |
|
|
Less: Cash Interest |
|
|
(13,696) |
|
|
(17,087) |
|
|
|
(57,091) |
|
|
(70,133) |
|
|
Less: Cash Taxes |
|
|
(2,028) |
|
|
(2,891) |
|
|
|
(11,705) |
|
|
(7,557) |
|
|
Less: Change in Core Working Capital (1) |
|
|
(19,012) |
|
|
(12,889) |
|
|
|
(10,406) |
|
|
29,645 |
|
|
Less: Pension Payments (2) |
|
|
(1,312) |
|
|
(2,322) |
|
|
|
(7,813) |
|
|
(9,288) |
|
|
Adjusted Free Cash Flow |
|
$ |
17,408 |
|
$ |
30,011 |
|
|
$ |
100,817 |
|
$ |
134,858 |
|
|
(1) |
Represents the impact of total cash flows associated with the change in accounts receivable, inventory and accounts payable, as per the Consolidated Statements of Cash Flows |
|
(2) |
Represents cash payments made for the Field Group Pension Plan in the United Kingdom |
Page 11