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Press release content from Business Wire. The AP news staff was not involved in its creation.

Enerpac Tool Group Reports First Quarter 2020 Results

December 19, 2019 GMT

MILWAUKEE--(BUSINESS WIRE)--Dec 19, 2019--

Enerpac Tool Group, which is the doing business name of Actuant Corporation (NYSE: EPAC) (the “Company”), today announced results for its fiscal 2020 first quarter ended November 30, 2019.

“We had a solid start to fiscal 2020 and are pleased to deliver first quarter results consistent with our expectations, as we continue navigating a challenging economic environment. While demand was softer in the Americas, we saw stabilization in Europe along with continued growth in Middle East service and our Cortland business, demonstrating that our initiatives around commercial effectiveness and new product development are contributing to both the top and bottom line,” commented Randy Baker, Enerpac Tool Group’s President and CEO.

Mr. Baker continued, “During the quarter we also delivered on a key step in our strategic plan by completing the EC&S divestiture. The EC&S sale proceeds were used to pay down debt, and we are moving ahead with a strong balance sheet that will provide superior financial flexibility to execute our go-forward strategy as Enerpac Tool Group. We continue to pursue a balanced capital allocation strategy, including returning capital to shareholders through the repurchase of shares.”

Mr. Baker concluded, “Over the past four years we have repositioned the company as a premier pure play tool business and launched Enerpac Tool Group. This past month we announced Judy Altmaier as our newest Board member and I look forward to leveraging her leadership and operations experience. Management and the Board look forward to executing our strategy while continuously examining all options to optimize shareholder value.”

 

Consolidated Results from Continuing Operations

(US$ in millions)

Three Months Ended

November 30

2019

2018

Net Sales

$146.7

 

$158.6

Net Income (Loss)

$6.4

 

($16.4)

 

Earnings (Loss) Per Share

$0.11

 

($0.27)

Adjusted Earnings Per Share

$0.12

 

$0.11

 

Industrial Tools & Services

(US$ in millions)

Three Months Ended

November 30

2019

 

2018

Sales

$135.6

 

$148.7

Operating Profit

$26.1

 

$26.4

Adjusted Op Profit (1)

$25.9

 

$26.4

Adjusted Op Profit % (1)

19.1%

 

17.7%

(1) Excludes $1.2 million of restructuring charges, along with $1.4 million of net impairment and divestiture gains in the first quarter of fiscal 2020.

Corporate Expenses and Income Taxes (excluding restructuring items)

Discontinued Operations

Discontinued operations represent the operating results for the divested EC&S segment for all periods presented up to the October 31, 2019 completion date of the divestiture. The first quarter of fiscal 2020 includes a $4.1 million, after-tax charge related to the closure of the sale of the EC&S segment.

Balance Sheet and Leverage

(US$ in millions)

Period Ended

November 30,

2019

 

August 31,

2019

 

November 30,

2018

Cash Balance

$206.8

 

$211.2

 

$203.4

Debt Balance

$286.2

 

$460.4

 

$525.4

Net Debt to Adjusted EBITDA**

0.8

 

1.7

 

2.1

Net debt at November 30, 2019 was approximately $79 million (total debt of $286 million less $207 million of cash), which decreased approximately $170 million from the end of fiscal 2019. Net Debt to Adjusted EBITDA was 0.8x at November 30, 2019.

**Adjusted EBITDA is calculated for the twelve months then ended.

Outlook

Mr. Baker said, “As we enter the second quarter of fiscal 2020, we continue to focus on growth and cost savings initiatives to drive best in class returns for our shareholders. During the quarter, we completed our previously announced planned exits of low-margin product lines. Through these strategic actions and our other cost saving initiatives, we expect to achieve our targeted EBITDA margin run rate of 20% by the end of the fiscal year. Our full year fiscal 2020 outlook remains unchanged and reflects our view of the year given current geopolitical and economic conditions in our end markets.”

The company re-confirms its outlook for continuing operations for the full year of fiscal 2020:

For the second quarter of fiscal 2020, we expect:

All guidance excludes restructuring, impairment and divestiture charges, accelerated debt issuance costs, one-time tax adjustments and the impact of potential future acquisitions, dispositions, share repurchases and tariffs.

Conference Call Information

An investor conference call is scheduled for 10:00 am CT today, December 19, 2019. Webcast information and conference call materials are available on the Enerpac Tool Group company website ( www.enerpactoolgroup.com ).

Safe Harbor Statement

Certain of the above comments represent forward-looking statements made pursuant to the provisions of the Private Securities Litigation Reform Act of 1995. Management cautions that these statements are based on current estimates of future performance and are highly dependent upon a variety of factors, which could cause actual results to differ from these estimates. Among other risks and factors, Enerpac Tool Group’s results are subject to general economic conditions, variation in demand from customers, the impact of geopolitical activity on the economy, continued market acceptance of the Company’s new product introductions, the successful integration of acquisitions, restructuring, operating margin risk due to competitive pricing and operating efficiencies, supply chain risk, material and labor cost increases, tax reform, foreign currency fluctuations and interest rate risk. See Actuant Corporation’s Form 10-K for the fiscal year ended August 31, 2019 filed with the Securities and Exchange Commission for further information regarding risk factors. Enerpac Tool Group disclaims any obligation to publicly update or revise any forward-looking statements as a result of new information, future events or any other reason.

Non-GAAP Financial Information

This press release contains financial measures that are not measures presented in conformity with GAAP. They include EBITDA from continuing operations, adjusted EBITDA from continuing operations, adjusted EPS from continuing operations, adjusted operating profit from continuing operations, free cash flow and net debt. This press release includes reconciliations of these non-GAAP measures to the most comparable GAAP measure, including in the tables attached to this press release. Management believes these non-GAAP measures are commonly used financial measures for investors to evaluate Enerpac Tool Group’s operating performance and financial position with respect to the periods presented and, when read in conjunction with the condensed consolidated financial statements, present a useful tool to evaluate ongoing operations and provide investors with metrics they can use to evaluate aspects of the Company’s performance from period to period. In addition, these are some of the factors management uses in internal evaluations of the overall performance of the Company’s business. Management acknowledges that there are many items that impact a company’s reported results and the adjustments reflected in these non-GAAP measures are not intended to present all items that may have impacted these results. In addition, these non-GAAP measures are not necessarily comparable to similarly-titled measures used by other companies.

About Enerpac Tool Group

Enerpac Tool Group is a premier industrial tools and services company serving a broad and diverse set of customers in more than 90 countries. The Company’s businesses are global leaders in high pressure hydraulic tools, controlled force products and solutions for precise positioning of heavy loads that help customers safely and reliably tackle some of the most challenging jobs around the world. The Company was founded in 1910 and is headquartered in Menomonee Falls, Wisconsin. Enerpac Tool Group trades on the NYSE under the symbol EPAC. Although the Company has adopted “Enerpac Tool Group” as its doing-business name, its legal name continues to be Actuant Corporation until the change is approved by its shareholders. For further information on Enerpac Tool Group and its businesses, visit the Company’s website at www.enerpactoolgroup.com.

(tables follow)

Actuant Corporation
Condensed Consolidated Balance Sheets
(Dollars in thousands)
(Unaudited)
 

November 30,

 

August 31,

2019

 

2019

ASSETS
Current assets
Cash and cash equivalents

$

206,780

 

$

211,151

 

Accounts receivable, net

 

122,027

 

 

125,883

 

Inventories, net

 

79,508

 

 

77,187

 

Assets held for sale

 

1,697

 

 

-

 

Assets from discontinued operations

 

-

 

 

285,578

 

Other current assets

 

42,720

 

 

30,526

 

Total current assets

 

452,732

 

 

730,325

 

 
Property, plant and equipment, net

 

56,094

 

 

56,729

 

Goodwill

 

263,969

 

 

260,415

 

Other intangible assets, net

 

51,235

 

 

52,375

 

Other long-term assets

 

84,482

 

 

24,430

 

 
Total assets

$

908,512

 

$

1,124,274

 

 
LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities
Trade accounts payable

$

68,790

 

$

76,914

 

Accrued compensation and benefits

 

25,281

 

 

26,421

 

Current maturities of debt

 

-

 

 

7,500

 

Income taxes payable

 

6,853

 

 

4,838

 

Liabilities held for sale

 

1,697

 

 

-

 

Liabilities from discontinued operations

 

-

 

 

143,763

 

Other current liabilities

 

54,649

 

 

40,965

 

Total current liabilities

 

157,270

 

 

300,401

 

 
Long-term debt, net

 

286,236

 

 

452,945

 

Deferred income taxes

 

1,567

 

 

1,564

 

Pension and postretirement benefit liabilities

 

19,806

 

 

20,213

 

Other long-term liabilities

 

90,380

 

 

47,972

 

Total liabilities

 

555,259

 

 

823,095

 

 
Shareholders' equity
Capital stock

 

16,450

 

 

16,384

 

Additional paid-in capital

 

187,772

 

 

181,213

 

Treasury stock

 

(658,017

)

 

(640,212

)

Retained earnings

 

921,460

 

 

915,466

 

Accumulated other comprehensive loss

 

(114,412

)

 

(171,672

)

Stock held in trust

 

(3,157

)

 

(3,070

)

Deferred compensation liability

 

3,157

 

 

3,070

 

Total shareholders' equity

 

353,253

 

 

301,179

 

 
Total liabilities and shareholders' equity

$

908,512

 

$

1,124,274

 

Actuant Corporation
Condensed Consolidated Statements of Operations
(Dollars in thousands, except per share amounts)
(Unaudited)
 

Three Months Ended

November 30,

 

November 30,

2019

 

2018

Net sales

$

146,674

 

$

158,551

 

Cost of products sold

 

77,986

 

 

88,239

 

Gross profit

 

68,688

 

 

70,312

 

 
Selling, administrative and engineering expenses

 

51,831

 

 

53,121

 

Amortization of intangible assets

 

1,872

 

 

2,297

 

Restructuring charges

 

1,972

 

 

(29

)

Impairment & divestiture charges

 

(1,356

)

 

23,477

 

Operating profit (loss)

 

14,369

 

 

(8,554

)

 
Financing costs, net

 

6,729

 

 

7,298

 

Other expense, net

 

318

 

 

505

 

Income (loss) before income tax expense

 

7,322

 

 

(16,357

)

 
Income tax expense

 

950

 

 

66

 

Earnings (loss) from continuing operations

 

6,372

 

 

(16,423

)

Loss from discontinued operations, net of income taxes

 

(4,251

)

 

(1,029

)

Net earnings (loss)

$

2,121

 

$

(17,452

)

 
Earnings (loss) from continuing operations per share
Basic

$

0.11

 

$

(0.27

)

Diluted

 

0.11

 

 

(0.27

)

 
Loss from discontinued operations
Basic

$

(0.07

)

$

(0.02

)

Diluted

 

(0.07

)

 

(0.02

)

 
Earnings (loss) per share
Basic

$

0.04

 

$

(0.29

)

Diluted

 

0.03

 

 

(0.29

)

 
Weighted average common shares outstanding
Basic

 

60,081

 

 

61,031

 

Diluted

 

60,601

 

 

61,031

 

Actuant Corporation
Condensed Consolidated Statements of Cash Flows
(In thousands)
(Unaudited)
 

Three Months Ended

November 30,

 

November 30,

2019

 

2018

Operating Activities
Cash used by operating activities

$

(22,930

)

$

(29,110

)

 
Investing Activities
Capital expenditures

 

(4,602

)

 

(7,666

)

Proceeds from sale of property, plant and equipment

 

317

 

 

11

 

Proceeds from sale of EC&S segment, net of transaction costs

 

208,901

 

 

-

 

Proceeds from sale of IT&S product lines, net of transaction costs

 

8,726

 

 

-

 

Cash provided by (used in) investing activities

 

213,342

 

 

(7,655

)

 
Financing Activities
Principal repayments on term loan

 

(175,000

)

 

(7,500

)

Borrowings on revolver

 

100,000

 

 

-

 

Principal payments on revolver

 

(100,000

)

 

-

 

Purchase of treasury shares

 

(17,805

)

 

-

 

Taxes paid related to the net share settlement of equity awards

 

(2,635

)

 

(201

)

Stock option exercises & other

 

2,640

 

 

552

 

Payment of cash dividend

 

(2,419

)

 

(2,439

)

Cash used in financing activities

 

(195,219

)

 

(9,588

)

 
Effect of exchange rate changes on cash

 

436

 

 

(694

)

Net decrease in cash and cash equivalents

 

(4,371

)

 

(47,047

)

Cash and cash equivalents - beginning of period

 

211,151

 

 

250,490

 

Cash and cash equivalents - end of period

$

206,780

 

$

203,443

 

ACTUANT CORPORATION
SUPPLEMENTAL UNAUDITED DATA
(Dollars in thousands)

FISCAL 2019

 

FISCAL 2020

Q1

Q2

Q3

Q4

TOTAL

 

Q1

Q2

Q3

Q4

TOTAL

SALES
INDUSTRIAL TOOLS & SERVICES SEGMENT

$

148,655

 

$

149,521

 

$

166,732

 

$

144,607

 

$

609,515

 

$

135,592

 

$

-

 

$

-

 

$

-

 

$

135,592

 

OTHER

 

9,896

 

 

10,267

 

 

11,363

 

 

13,717

 

 

45,243

 

 

11,082

 

 

-

 

 

-

 

 

-

 

 

11,082

 

TOTAL

$

158,551

 

$

159,788

 

$

178,095

 

$

158,324

 

$

654,758

 

$

146,674

 

$

-

 

$

-

 

$

-

 

$

146,674

 

 
% SALES GROWTH
INDUSTRIAL TOOLS & SERVICES SEGMENT

 

5

%

 

9

%

 

5

%

 

-6

%

 

3

%

 

-9

%

 

0

%

 

0

%

 

0

%

 

-9

%

OTHER

 

-28

%

 

-12

%

 

-3

%

 

5

%

 

-10

%

 

12

%

 

0

%

 

0

%

 

0

%

 

12

%

TOTAL

 

2

%

 

8

%

 

4

%

 

-5

%

 

2

%

 

-7

%

 

0

%

 

0

%

 

0

%

 

-7

%

 
OPERATING PROFIT (LOSS) FROM CONTINUING OPERATIONS
INDUSTRIAL TOOLS & SERVICES SEGMENT

$

26,345

 

$

26,596

 

$

35,992

 

$

27,252

 

$

116,185

 

$

25,928

 

$

-

 

$

-

 

$

-

 

$

25,928

 

OTHER

 

(484

)

 

1,091

 

 

1,787

 

 

1,515

 

 

3,910

 

 

399

 

 

-

 

 

-

 

 

-

 

 

399

 

CORPORATE / GENERAL

 

(10,967

)

 

(11,659

)

 

(9,481

)

 

(9,679

)

 

(41,787

)

 

(11,342

)

 

-

 

 

-

 

 

-

 

 

(11,342

)

ADJUSTED OPERATING PROFIT

$

14,894

 

$

16,028

 

$

28,298

 

$

19,088

 

$

78,308

 

$

14,985

 

$

-

 

$

-

 

$

-

 

$

14,985

 

IMPAIRMENT & DIVESTITURE CHARGES

 

(23,477

)

 

(3,543

)

 

12,988

 

 

(8,796

)

 

(22,827

)

 

1,356

 

 

-

 

 

-

 

 

-

 

 

1,356

 

RESTRUCTURING & OTHER EXIT CHARGES (1)

 

29

 

 

(46

)

 

(1,115

)

 

(4,842

)

 

(5,973

)

 

(1,972

)

 

-

 

 

-

 

 

-

 

 

(1,972

)

DEBT MODIFICATION COSTS

 

-

 

 

-

 

 

(288

)

 

-

 

 

(288

)

 

-

 

 

-

 

 

-

 

 

-

 

 

-

 

DEPRECIATION & AMORTIZATION TRUE UP (2)

 

-

 

 

-

 

 

(1,704

)

 

-

 

 

(1,704

)

 

-

 

 

-

 

 

-

 

 

-

 

 

-

 

OPERATING PROFIT (LOSS)

$

(8,554

)

$

12,439

 

$

38,179

 

$

5,450

 

$

47,516

 

$

14,369

 

$

-

 

$

-

 

$

-

 

$

14,369

 

 
ADJUSTED OPERATING PROFIT %
INDUSTRIAL TOOLS & SERVICES SEGMENT

 

17.7

%

 

17.8

%

 

21.6

%

 

18.8

%

 

19.1

%

 

19.1

%

 

0.0

%

 

0.0

%

 

0.0

%

 

19.1

%

OTHER

 

-4.9

%

 

10.6

%

 

15.7

%

 

11.0

%

 

8.6

%

 

3.6

%

 

0.0

%

 

0.0

%

 

0.0

%

 

3.6

%

ADJUSTED OPERATING PROFIT %

 

9.4

%

 

10.0

%

 

15.9

%

 

12.1

%

 

12.0

%

 

10.2

%

 

0.0

%

 

0.0

%

 

0.0

%

 

10.2

%

 
EBITDA FROM CONTINUING OPERATIONS
EARNINGS (LOSS) FROM CONTINUING OPERATIONS

$

(16,423

)

$

765

 

$

26,858

 

$

(3,133

)

$

8,067

 

$

6,372

 

$

-

 

$

-

 

$

-

 

$

6,372

 

FINANCING COSTS, NET

 

7,298

 

 

7,157

 

 

7,146

 

 

6,563

 

 

28,163

 

 

6,729

 

 

-

 

 

-

 

 

-

 

$

6,729

 

INCOME TAX EXPENSE

 

66

 

 

4,002

 

 

4,962

 

 

1,626

 

 

10,657

 

 

950

 

 

-

 

 

-

 

 

-

 

$

950

 

DEPRECIATION & AMORTIZATION

 

5,056

 

 

4,305

 

 

6,109

 

 

4,746

 

 

20,217

 

 

4,779

 

 

-

 

 

-

 

 

-

 

 

4,779

 

EBITDA

$

(4,003

)

$

16,229

 

$

45,075

 

$

9,802

 

$

67,104

 

$

18,830

 

$

-

 

$

-

 

$

-

 

$

18,830

 

 
ADJUSTED EBITDA FROM CONTINUING OPERATIONS (3)
INDUSTRIAL TOOLS & SERVICES SEGMENT

$

30,038

 

$

30,153

 

$

40,015

 

$

29,964

 

$

130,171

 

$

28,996

 

$

-

 

$

-

 

$

-

 

$

28,996

 

OTHER

 

337

 

 

1,087

 

 

1,786

 

 

2,395

 

 

5,605

 

 

1,275

 

 

-

 

 

-

 

 

-

 

 

1,275

 

CORPORATE / GENERAL

 

(10,930

)

 

(11,422

)

 

(8,311

)

 

(8,919

)

 

(39,584

)

 

(10,825

)

 

-

 

 

-

 

 

-

 

 

(10,825

)

ADJUSTED EBITDA

$

19,445

 

$

19,818

 

$

33,490

 

$

23,440

 

$

96,192

 

$

19,446

 

$

-

 

$

-

 

$

-

 

$

19,446

 

IMPAIRMENT & DIVESTITURE CHARGES

 

(23,477

)

 

(3,543

)

 

12,988

 

 

(8,796

)

 

(22,827

)

 

1,356

 

 

-

 

 

-

 

 

-

 

 

1,356

 

RESTRUCTURING & OTHER EXIT CHARGES (1)

 

29

 

 

(46

)

 

(1,115

)

 

(4,842

)

 

(5,973

)

 

(1,972

)

 

-

 

 

-

 

 

-

 

 

(1,972

)

DEBT MODIFICATION COSTS

 

-

 

 

-

 

 

(288

)

 

-

 

 

(288

)

 

-

 

 

-

 

 

-

 

 

-

 

 

-

 

EBITDA

$

(4,003

)

$

16,229

 

$

45,075

 

$

9,802

 

$

67,104

 

$

18,830

 

$

-

 

$

-

 

$

-

 

$

18,830

 

 
ADJUSTED EBITDA %
INDUSTRIAL TOOLS & SERVICES SEGMENT

 

20.2

%

 

20.2

%

 

24.0

%

 

20.7

%

 

21.4

%

 

21.4

%

 

0.0

%

 

0.0

%

 

0.0

%

 

21.4

%

OTHER

 

3.4

%

 

10.6

%

 

15.7

%

 

17.5

%

 

12.4

%

 

11.5

%

 

0.0

%

 

0.0

%

 

0.0

%

 

11.5

%

ADJUSTED EBITDA %

 

12.3

%

 

12.4

%

 

18.8

%

 

14.8

%

 

14.7

%

 

13.3

%

 

0.0

%

 

0.0

%

 

0.0

%

 

13.3

%

 
Notes:
(1) Approximately $1.8 million of the Q4 fiscal 2019 restructuring & exit charges were recorded in cost of products sold.
(2) Represents the depreciation and amortization expense true up for the Cortland business assets that were reclassified out of held for sale in Q3 fiscal 2019, as though the assets had never been classified as held for sale.
(3) EBITDA represents net earnings (loss) from continuing operations before financing costs, net, income tax (benefit) expense, and depreciation & amortization. EBITDA is not a calculation based upon GAAP. The amounts included in the EBITDA and Adjusted EBITDA calculation, however, are derived from amounts included in the Condensed Consolidated Statements of Operations. EBITDA should not be considered as an alternative to net earnings (loss), operating profit (loss) or operating cash flows. Actuant has presented EBITDA because it regularly reviews this performance measure. In addition, EBITDA is used by many of our investors and lenders, and is presented as a convenience to them. The EBITDA measure presented may not always be comparable to similarly titled measures reported by other companies due to differences in the components of the calculation.
ACTUANT CORPORATION
SUPPLEMENTAL UNAUDITED DATA
RECONCILIATION OF GAAP MEASURES TO NON-GAAP MEASURES
(Dollars in thousands, except for per share amounts)
 

FISCAL 2019

 

FISCAL 2020

Q1

Q2

Q3

Q4

TOTAL

 

Q1

Q2

Q3

Q4

TOTAL

ADJUSTED EARNINGS (1)
NET EARNINGS (LOSS) (GAAP MEASURE)

$

(17,452

)

$

2,753

 

$

32,418

 

$

(266,864

)

$

(249,145

)

$

2,121

 

$

-

$

-

$

-

$

2,121

 

DISCONTINUED OPERATIONS, NET OF INCOME TAX

 

(1,029

)

 

1,988

 

 

5,560

 

 

(263,731

)

 

(257,212

)

 

(4,251

)

 

-

 

-

 

-

 

(4,251

)

EARNINGS (LOSS) FROM CONTINUING OPERATIONS

$

(16,423

)

$

765

 

$

26,858

 

$

(3,133

)

$

8,067

 

$

6,372

 

$

-

$

-

$

-

$

6,372

 

IMPAIRMENT & DIVESTITURE CHARGES, NET OF TAX EFFECT

 

23,477

 

 

3,543

 

 

(13,001

)

 

6,912

 

 

20,930

 

 

(1,095

)

 

-

 

-

 

-

 

(1,095

)

RESTRUCTURING & OTHER EXIT CHARGES, NET OF TAX EFFECT

 

(90

)

 

(148

)

 

(766

)

 

6,262

 

 

5,257

 

 

1,805

 

 

-

 

-

 

-

 

1,805

 

ACCELERATED DEBT ISSUANCES & MODIFICATION COSTS,

 

-

 

 

-

 

 

358

 

 

-

 

 

358

 

 

479

 

 

-

 

-

 

-

 

479

 

NET OF TAX EFFECT
DEPRECIATION & AMORTIZATION TRUE UP, NET OF TAX EFFECT

 

-

 

 

-

 

 

1,302

 

 

-

 

 

1,302

 

 

-

 

 

-

 

-

 

-

 

-

 

OTHER INCOME TAX EXPENSE

 

-

 

 

3,160

 

 

3,076

 

 

2,709

 

 

8,945

 

 

-

 

 

-

 

-

 

-

 

-

 

ADJUSTED EARNINGS FROM CONTINUING OPERATIONS

$

6,964

 

$

7,320

 

$

17,827

 

$

12,750

 

$

44,859

 

$

7,561

 

$

-

$

-

$

-

$

7,561

 

ADJUSTED DILUTED EARNINGS PER SHARE (1)
NET EARNINGS (LOSS) (GAAP MEASURE)

$

(0.29

)

$

0.04

 

$

0.52

 

$

(4.38

)

$

(4.04

)

$

0.03

 

$

-

$

-

$

-

$

0.03

 

DISCONTINUED OPERATIONS, NET OF INCOME TAX

 

(0.02

)

 

0.03

 

 

0.09

 

 

(4.33

)

 

(4.18

)

 

(0.07

)

 

-

 

-

 

-

 

(0.07

)

EARNINGS (LOSS) FROM CONTINUING OPERATIONS

$

(0.27

)

$

0.01

 

$

0.43

 

$

(0.05

)

$

0.13

 

$

0.11

 

$

-

$

-

$

-

$

0.11

 

IMPAIRMENT & DIVESTITURE CHARGES, NET OF TAX EFFECT

 

0.38

 

 

0.06

 

 

(0.21

)

 

0.11

 

 

0.34

 

 

(0.02

)

 

-

 

-

 

-

 

(0.02

)

RESTRUCTURING & OTHER EXIT CHARGES, NET OF TAX EFFECT

 

-

 

 

-

 

 

(0.01

)

 

0.10

 

 

0.09

 

 

0.02

 

 

-

 

-

 

-

 

0.02

 

ACCELERATED DEBT ISSUANCES & MODIFICATION COSTS,

 

-

 

 

-

 

 

0.01

 

 

-

 

 

0.01

 

 

0.01

 

 

-

 

-

 

-

 

0.01

 

NET OF TAX EFFECT
DEPRECIATION & AMORTIZATION TRUE UP, NET OF TAX EFFECT

 

-

 

 

-

 

 

0.02

 

 

-

 

 

0.02

 

 

-

 

 

-

 

-

 

-

 

-

 

OTHER INCOME TAX EXPENSE

 

-

 

 

0.05

 

 

0.05

 

 

0.05

 

 

0.14

 

 

-

 

 

-

 

-

 

-

 

-

 

ADJUSTED DILUTED EARNINGS PER SHARE FROM CONTINUING OPERATIONS

$

0.11

 

$

0.12

 

$

0.29

 

$

0.21

 

$

0.73

 

$

0.12

 

$

-

$

-

$

-

$

0.12

 

 
FOOTNOTES
Note: The total of the individual quarters may not equal the annual or year-to-date total due to rounding. The continuing operations and discontinued operations earning (loss) per share may not equal total earning (loss) per share due to rounding.
(1) Adjusted earnings from continuing operations and adjusted diluted earnings per share represent net earnings (loss) and diluted earnings (loss) per share per the Condensed Consolidated Statements of Operations net of charges or credits for items to be highlighted for comparability purposes. These measures are not calculated based upon generally accepted accounting principles (GAAP) and should not be considered as an alternative to net earnings (loss) or diluted earnings (loss) per share or as an indicator of the Company's operating performance. However, this presentation is important to investors for understanding the operating results of the current portfolio of Actuant companies. The total of the individual components may not equal due to rounding and the impact of share dilution on the calculation of the net loss per share and discontinued operations per share.
ACTUANT CORPORATION
SUPPLEMENTAL UNAUDITED DATA
RECONCILIATION OF GAAP TO NON-GAAP GUIDANCE
(Dollars in millions, except for per share amounts)
  
 Q2 FISCAL 2020FISCAL 2020
 LOWHIGHLOWHIGH
RECONCILIATION OF CONTINUING OPERATIONS GAAP DILUTED EARNINGS 
PER SHARE TO ADJUSTED DILUTED EARNINGS PER SHARE GUIDANCE 
GAAP DILUTED EARNINGS PER SHARE 

$

0.03

 

$

0.09

 

$

0.52

 

$

0.70

 

IMPAIRMENT & OTHER DIVESTITURE CHARGES, NET OF TAX EFFECT 

 

TBD

 

 

TBD

 

 

(0.01

)

 

(0.01

)

RESTRUCTURING CHARGES, NET OF TAX EFFECT 

 

0.05

 

 

0.03

 

 

0.17

 

 

0.12

 

OTHER INCOME TAX (BENEFIT) EXPENSE 

 

TBD

 

 

TBD

 

TBD

 

 

TBD

ADJUSTED DILUTED EARNINGS PER SHARE GUIDANCE 

$

0.08

 

$

0.12

 

$

0.68

 

$

0.81

 

  
RECONCILIATION OF CONTINUED OPERATIONS GAAP OPERATING PROFIT 
TO ADJUSTED EBITDA 
GAAP OPERATING PROFIT 

$

5.0

 

$

9.0

 

$

53

 

$

67

 

IMPAIRMENT & OTHER DIVESTITURE CHARGES 

 

-

 

 

-

 

 

(1

)

 

(1

)

RESTRUCTURING CHARGES 

 

4.0

 

 

3.0

 

 

13

 

 

9

 

ADJUSTED OPERATING PROFIT 

$

9.0

 

$

12.0

 

$

65

 

$

75

 

OTHER EXPENSE (INCOME), NET 

 

(2.0

)

 

(2.0

)

 

(8

)

 

(8

)

DEPRECIATION & AMORTIZATION 

 

5.5

 

 

5.5

 

 

21

 

 

21

 

ADJUSTED EBITDA 

$

16.5

 

$

19.5

 

$

94

 

$

104

 

  
RECONCILIATION OF GAAP CASH FLOW FROM OPERATIONS TO FREE CASH FLOW 
CASH FLOW FROM OPERATIONS 

$

62

 

$

85

 

CAPITAL EXPENDITURES 

 

(12

)

 

(10

)

OTHER 

 

-

 

 

-

 

FREE CASH FLOW GUIDANCE 

$

50

 

$

75

 

  
FOOTNOTES 
NOTE:Management does not provide guidance on GAAP financial measures as we are unable to predict and estimate with certainty items such as potential impairments, refinancing costs, business divestiture gains/losses, discrete tax adjustments, or other items impacting GAAP financial metrics. As a result, we have included above only those items about which we are aware and are reasonably likely to occur during the guidance period covered.

 

View source version on businesswire.com:https://www.businesswire.com/news/home/20191219005142/en/

CONTACT: Barb Bolens

EVP and Chief Strategy Officer

262.293.1562

KEYWORD: UNITED STATES NORTH AMERICA WISCONSIN

INDUSTRY KEYWORD: ENGINEERING OTHER ENERGY OTHER CONSTRUCTION & PROPERTY MANUFACTURING ENERGY CONSTRUCTION & PROPERTY OTHER MANUFACTURING

SOURCE: Enerpac Tool Group

Copyright Business Wire 2019.

PUB: 12/19/2019 08:30 AM/DISC: 12/19/2019 08:31 AM

http://www.businesswire.com/news/home/20191219005142/en