UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, DC 20549
FORM 8-K
CURRENT REPORT
Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934
Date of Report (Date of earliest event reported) February 20, 2015 (February 20, 2015)
GIBRALTAR INDUSTRIES, INC.
(Exact name of registrant as specified in its charter)
Delaware | 0-22462 | 16-1445150 | ||
(State or other jurisdiction of incorporation ) | (Commission File Number) | (IRS Employer Identification No.) | ||
3556 Lake Shore Road
P.O. Box 2028
Buffalo, New York 14219-0228
(Address of principal executive offices) (Zip Code)
(716) 826-6500
(Registrant’s telephone number, including area code)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:
o Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
o Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
o Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
o Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
TABLE OF CONTENTS
Item 2.02 Results of Operations and Financial Condition | 3 | |||||
Item 7.01 Regulation FD Disclosure | 3 | |||||
Item 9.01 Financial Statements and Exhibits | 3 | |||||
SIGNATURE | 4 | |||||
EX - 99.1 | ||||||
Item 2.02 Results of Operations and Financial Condition
and
Item 7.01 Regulation FD Disclosure
The following information is furnished pursuant to both Item 2.02 and Item 7.01:
On February 20, 2015, Gibraltar Industries, Inc. (the “Company”) issued a news release and held a conference call regarding results for the three and twelve months ended December 31, 2014. A copy of the news release (the “Release”) is furnished herewith as Exhibit 99.1 and is incorporated herein by reference.
The Company references non-GAAP financial information in both the Release and the conference call. A reconciliation of these non-GAAP financial measures is contained in the Release. The information in this Form 8-K under the captions Items 2.02 and 7.01 and Item 9.01, including the Release, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934 (the “Exchange Act”) or otherwise subject to liabilities under that Section and shall not be deemed to be incorporated by reference into any filing of the Company under the Securities Act of 1933 (the “Securities Act”) or the Exchange Act, unless the Company specifically incorporates it by reference in a document filed under the Securities Act or the Exchange Act.
Item 9.01 Financial Statements and Exhibits
(a)-(c) Not Applicable
(d) Exhibits:
Exhibit No. | Description | |
99.1 | Earnings Release issued by Gibraltar Industries, Inc. on February 20, 2015 | |
SIGNATURE
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
GIBRALTAR INDUSTRIES, INC. | ||||
Date: | February 20, 2015 | |||
By: | /s/ Timothy F. Murphy | |||
Timothy F. Murphy | ||||
Vice President, Treasurer and Secretary | ||||
Gibraltar Reports Fourth-Quarter 2014 Financial Results
• | Q4 Adjusted EPS of $0.02; Q4 Sales Up 7% Versus Prior Year |
• | Generates $33M of Operating Cash Flow in 2014; Contributes to $209M of Liquidity |
Buffalo, New York, February 20, 2015 - Gibraltar Industries, Inc. (Nasdaq: ROCK), a leading manufacturer and distributor of products for residential and industrial markets, today reported its financial results for the three and twelve months ended December 31, 2014. All financial metrics in this release reflect only the Company’s continuing operations unless otherwise noted.
Fourth-Quarter Consolidated Results
Gibraltar’s net sales for the fourth quarter of 2014 increased 7% to $202.0 million, compared with $188.8 million for the fourth quarter of 2013. Fourth-quarter 2014 adjusted net income was $0.7 million, or $0.02 per diluted share, compared with adjusted net income of $2.4 million, or $0.08 per diluted share, in the fourth quarter of 2013. The adjusted fourth-quarter 2014 results exclude special items with an after-tax net charge totaling $96.4 million, or $3.10 per share, resulting primarily from a non-cash intangible assets impairment. The impairment relates primarily to businesses within the Company’s Industrial and Infrastructure Products segment and reflects reductions in the estimated fair values of these businesses. The adjusted fourth-quarter 2013 results exclude special items with an after-tax net benefit totaling $1.6 million, or $0.05 per diluted share, resulting primarily from the non-cash gain associated with the reversal of the Company's tax valuation allowance. Including these items in the respective periods, the Company’s fourth-quarter 2014 GAAP results were a net loss of $95.7 million, or $3.08 per share, compared with net income of $4.0 million, or $0.13 per diluted share, in the fourth quarter of 2013.
Twelve-month Consolidated Results
For the twelve months ended December 31, 2014, total net sales increased 4% to $862.1 million, from $827.6 million in 2013. Adjusted net income from continuing operations was $14.6 million, or $0.47 per diluted share, compared with $21.4 million, or $0.69 per diluted share, in 2013. The adjusted results for the twelve months of 2014 exclude special items with a non-cash after-tax net charge totaling $96.4 million, or $3.10 per share, resulting primarily from the aforementioned intangible assets impairment. The adjusted results for 2013 exclude after-tax special charges of $27.0 million, or $0.87 per diluted share, primarily for intangible asset impairment and debt refinancing costs. Including these items, GAAP net loss for 2014 was $81.8 million, or $2.63 per share, compared with a net loss of $5.6 million, or $0.18 per share, in 2013.
Management Comments
“Gibraltar closed 2014 with a solid fourth quarter,” said Chief Executive Officer Frank Heard. “Net sales for the fourth quarter exceeded the high end of our guidance, growing 7% year-over-year. For the full year, net sales were up 4% representing growth primarily driven by stronger product demand in our postal storage and roofing-related businesses in the Residential Products segment, partially offset by lower demand in our Industrial and Infrastructure Products segment. Reflecting the impact of our operational initiatives, partially offset by pricing and material cost inflation, adjusted EPS for the fourth quarter came in near the top end of the range at $0.02 per share. For the full year, adjusted EPS matched the high end of our guidance at $0.47 per share.”
“The fourth-quarter 2014 intangible assets impairment charge relates primarily to our Industrial and Infrastructure Products segment,” stated Chief Financial Officer Kenneth Smith. “The segment’s revenues and profit margins have decreased, and future cash flows are expected to be modest in the near term. This reflects, in part, slower economic conditions, excess capacity and increased competition, plus greater and ongoing uncertainty regarding government funding for future U.S. transportation projects.”
“Despite the non-cash charge this quarter, our businesses in the Industrial and Infrastructure Products segment remain very competitive, have strong operational capabilities, and are competing aggressively in the end markets served,” Heard said. “Looking ahead to 2015 and future years, our goals are to achieve stronger financial results, make more efficient use of Gibraltar’s capital, and deliver higher shareholder returns than we did in 2014. To make meaningful progress toward achieving these goals, we will need to be aggressive in three key areas. The first is operational excellence; the second is portfolio management; and the third is to make effective use of acquisitions as a strategic accelerator for the business. Our overarching goal is to achieve best-in-class as it relates to sustainable value creation and shareholder returns over the long term. We look forward to reporting our progress in executing against this goal in 2015, as well as delivering improved financial results.”
Fourth-Quarter Segment Results
Residential Products
Fourth-quarter 2014 net sales in Gibraltar’s Residential Products segment increased 23% to $105.4 million, compared with $85.5 million for the fourth quarter of 2013. Fourth-quarter 2014 adjusted operating margin decreased 190 basis points year over year to 5.0%. Sales growth in this segment reflected strong demand for postal storage products as growth in conversions to centralized delivery continue. The segment’s equivalent adjusted operating margin reflected the benefit of higher volume, offset by price reductions provided in certain product lines and costs to build out manufacturing capacity.
Industrial and Infrastructure Products
Fourth-quarter 2014 net sales in Gibraltar’s Industrial & Infrastructure Products segment decreased 6% to $96.6 million, compared to $103.3 million for the fourth quarter 2013. Fourth-quarter 2014 adjusted operating margin decreased 380 basis points year over year to 2.5%. Sales in the segment reflected lower shipment volumes to both the industrial and transportation infrastructure markets. Industrial demand was slightly lower than prior year as the domestic energy and mining markets declined. Meanwhile, the transportation infrastructure market continues to be impacted by short-term uncertainty in federal funding programs. This segment’s adjusted operating margin reflected lower volume and a less profitable mix compared with the year-earlier quarter due to lower infrastructure shipments. Higher raw material costs also contributed to the reduced margins for the segment.
Business Outlook
Gibraltar’s net sales for full-year 2015 are currently forecasted to be in the range of $870 million to $880 million - with growth expected in residential-related product lines. At this range, and reflecting anticipated profit expansion from cost reduction and other initiatives, adjusted earnings for 2015 are expected to be in the range of $0.55 to $0.65 per diluted share. For the first quarter of 2015, adjusted EPS are expected to be modestly improved compared to the first quarter of 2014.
Fourth-Quarter Conference Call Details
Gibraltar has scheduled a conference call today starting at 9:00 a.m. ET to review its results for the fourth quarter of 2014. Interested parties may access the call by dialing (877) 407-5790 or (201) 689-8328. The presentation slides that will be discussed in the conference call are expected to be available this morning, prior to the start of the call. The slides may be downloaded from the Gibraltar website: http://www.gibraltar1.com. A webcast replay of the conference call and a copy of the transcript will be available on the website following the call.
About Gibraltar
Gibraltar Industries is a leading manufacturer and distributor of building products, focused on residential and low-rise commercial building markets, as well as industrial and transportation infrastructure markets. The Company generates more than 80% of its sales from products that hold leading positions in their markets, and serves customers across North America and Europe. Gibraltar’s strategy is to grow organically by expanding its product portfolio and penetration of existing customer accounts, while broadening its market and geographic coverage through the acquisition of companies with leadership positions in adjacent product categories. Comprehensive information about Gibraltar can be found on its website at http://www.gibraltar1.com.
Safe Harbor Statement
Information contained in this news release, other than historical information, contains forward-looking statements and is subject to a number of risk factors, uncertainties, and assumptions. Risk factors that could affect these statements include, but are not limited to, the following: the availability of raw materials and the effects of changing raw material prices on the
Company’s results of operations; energy prices and usage; changing demand for the Company’s products and services; changes in the liquidity of the capital and credit markets; risks associated with the integration of acquisitions; and changes in interest and tax rates. In addition, such forward-looking statements could also be affected by general industry and market conditions, as well as general economic and political conditions. The Company undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable law or regulation.
Non-GAAP Financial Data
To supplement Gibraltar’s consolidated financial statements presented on a GAAP basis, Gibraltar also presented certain adjusted financial data in this news release. Adjusted financial data excluded special charges consisting of intangible asset impairments, restructuring primarily associated with the closing and consolidation of our facilities, acquisition-related items, non-cash adjustments to the tax valuation allowance, and note re-financing costs. These adjustments are shown in the non-GAAP reconciliation of adjusted operating results excluding special charges provided in the financial schedules that accompany this news release. The Company believes that the presentation of results excluding special charges provides meaningful supplemental data to investors, as well as management, that are indicative of the Company’s core operating results and facilitates comparison of operating results across reporting periods as well as comparison with other companies. Special charges are excluded since they may not be considered directly related to our ongoing business operations. These adjusted measures should not be viewed as a substitute for our GAAP results, and may be different than adjusted measures used by other companies.
Next Earnings Announcement
Gibraltar expects to release its financial results for the three month period ending March 31, 2015, on Thursday, May 7, and hold its earnings conference call later that morning, starting at 9:00 a.m. ET.
Contact:
Kenneth Smith
Chief Financial Officer
716.826.6500 ext. 3217
kwsmith@gibraltar1.com
GIBRALTAR INDUSTRIES, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(in thousands, except per share data)
Three Months Ended December 31, | Twelve Months Ended December 31, | ||||||||||||||
2014 | 2013 | 2014 | 2013 | ||||||||||||
Net sales | $ | 201,994 | $ | 188,835 | $ | 862,087 | $ | 827,567 | |||||||
Cost of sales | 173,514 | 153,383 | 722,042 | 669,470 | |||||||||||
Gross profit | 28,480 | 35,452 | 140,045 | 158,097 | |||||||||||
Selling, general, and administrative expense | 24,325 | 29,299 | 102,492 | 113,457 | |||||||||||
Intangible asset impairment | 107,970 | — | 107,970 | 23,160 | |||||||||||
(Loss) income from operations | (103,815 | ) | 6,153 | (70,417 | ) | 21,480 | |||||||||
Interest expense | 3,433 | 3,811 | 14,421 | 22,489 | |||||||||||
Other expense (income) | 84 | (36 | ) | (88 | ) | (177 | ) | ||||||||
(Loss) income before taxes | (107,332 | ) | 2,378 | (84,750 | ) | (832 | ) | ||||||||
(Benefit of) provision for income taxes | (11,624 | ) | (1,631 | ) | (2,958 | ) | 4,797 | ||||||||
(Loss) income from continuing operations | (95,708 | ) | 4,009 | (81,792 | ) | (5,629 | ) | ||||||||
Discontinued operations: | — | — | |||||||||||||
Loss before taxes | — | — | (51 | ) | (7 | ) | |||||||||
Provision for (benefit of) income taxes | 1 | — | (19 | ) | (3 | ) | |||||||||
Loss from discontinued operations | (1 | ) | — | (32 | ) | (4 | ) | ||||||||
Net (loss) income | $ | (95,709 | ) | $ | 4,009 | $ | (81,824 | ) | $ | (5,633 | ) | ||||
Net earnings per share – Basic: | |||||||||||||||
(Loss) income from continuing operations | $ | (3.08 | ) | $ | 0.13 | $ | (2.63 | ) | $ | (0.18 | ) | ||||
Loss from discontinued operations | — | — | — | — | |||||||||||
Net (loss) income | $ | (3.08 | ) | $ | 0.13 | $ | (2.63 | ) | $ | (0.18 | ) | ||||
Weighted average shares outstanding – Basic | 31,122 | 30,972 | 31,066 | 30,930 | |||||||||||
Net earnings per share – Diluted: | |||||||||||||||
(Loss) income from continuing operations | $ | (3.08 | ) | $ | 0.13 | $ | (2.63 | ) | $ | (0.18 | ) | ||||
Loss from discontinued operations | — | — | — | — | |||||||||||
Net (loss) income | $ | (3.08 | ) | $ | 0.13 | $ | (2.63 | ) | $ | (0.18 | ) | ||||
Weighted average shares outstanding – Diluted | 31,122 | 31,183 | 31,066 | 30,930 | |||||||||||
GIBRALTAR INDUSTRIES, INC.
CONSOLIDATED BALANCE SHEETS
(in thousands, except per share data)
December 31, 2014 | December 31, 2013 | ||||||
Assets | |||||||
Current assets: | |||||||
Cash and cash equivalents | $ | 110,610 | $ | 97,039 | |||
Accounts receivable, net of reserve | 101,141 | 90,082 | |||||
Inventories | 128,743 | 121,152 | |||||
Other current assets | 19,937 | 14,127 | |||||
Total current assets | 360,431 | 322,400 | |||||
Property, plant, and equipment, net | 129,575 | 131,752 | |||||
Goodwill | 236,044 | 341,174 | |||||
Acquired intangibles | 82,215 | 91,777 | |||||
Other assets | 5,895 | 7,059 | |||||
$ | 814,160 | $ | 894,162 | ||||
Liabilities and Shareholders’ Equity | |||||||
Current liabilities: | |||||||
Accounts payable | $ | 81,246 | $ | 69,625 | |||
Accrued expenses | 52,439 | 49,879 | |||||
Current maturities of long-term debt | 400 | 409 | |||||
Total current liabilities | 134,085 | 119,913 | |||||
Long-term debt | 213,200 | 213,598 | |||||
Deferred income taxes | 49,772 | 55,124 | |||||
Other non-current liabilities | 29,874 | 33,778 | |||||
Shareholders’ equity: | |||||||
Preferred stock, $0.01 par value; authorized 10,000 shares; none outstanding | — | — | |||||
Common stock, $0.01 par value; authorized 50,000 shares; 31,342 and 31,131 shares outstanding at December 31, 2014 and 2013, respectively | 313 | 311 | |||||
Additional paid-in capital | 247,232 | 243,389 | |||||
Retained earnings | 154,625 | 236,449 | |||||
Accumulated other comprehensive loss | (9,551 | ) | (3,585 | ) | |||
Cost of 429 and 395 common shares held in treasury in 2014 and 2013 | (5,390 | ) | (4,815 | ) | |||
Total shareholders’ equity | 387,229 | 471,749 | |||||
$ | 814,160 | $ | 894,162 | ||||
GIBRALTAR INDUSTRIES, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(in thousands)
Year Ended December 31, | |||||||
2014 | 2013 | ||||||
Cash Flows from Operating Activities | |||||||
Net loss | $ | (81,824 | ) | $ | (5,633 | ) | |
Loss from discontinued operations | (32 | ) | (4 | ) | |||
Loss from continuing operations | (81,792 | ) | (5,629 | ) | |||
Adjustments to reconcile net (loss) income to net cash provided by operating activities: | |||||||
Depreciation and amortization | 25,432 | 27,050 | |||||
Intangible asset impairment | 107,970 | 23,160 | |||||
Loss on early note redemption | — | 7,166 | |||||
Stock compensation expense | 3,150 | 2,564 | |||||
Non-cash charges to interest expense | 1,012 | 1,006 | |||||
Benefit of deferred income taxes | (6,640 | ) | (1,237 | ) | |||
Other non-cash adjustments | (1,362 | ) | 3,800 | ||||
Increase (decrease) in cash resulting from changes in the following (excluding the effects of acquisitions): | |||||||
Accounts receivable | (14,323 | ) | (1,020 | ) | |||
Inventories | (8,599 | ) | (4,971 | ) | |||
Other current assets and other assets | (2,456 | ) | (398 | ) | |||
Accounts payable | 11,205 | 417 | |||||
Accrued expenses and other non-current liabilities | (1,014 | ) | 8,396 | ||||
Net cash provided by operating activities of continuing operations | 32,583 | 60,304 | |||||
Net cash used in operating activities of discontinued operations | (41 | ) | (9 | ) | |||
Net cash provided by operating activities | 32,542 | 60,295 | |||||
Cash Flows from Investing Activities | |||||||
Purchases of property, plant, and equipment | (23,291 | ) | (14,940 | ) | |||
Cash paid for acquisitions, net of cash acquired | — | (5,536 | ) | ||||
Proceeds from other investment | 277 | — | |||||
Net proceeds from sale of property and equipment | 5,992 | 12,610 | |||||
Net cash used in investing activities | (17,022 | ) | (7,866 | ) | |||
Cash Flows from Financing Activities | |||||||
Long-term debt payments | (407 | ) | (205,094 | ) | |||
Proceeds from long-term debt | — | 210,000 | |||||
Payment of note redemption fees | — | (3,702 | ) | ||||
Payment of deferred financing fees | (35 | ) | (3,899 | ) | |||
Purchase of treasury stock at market prices | (575 | ) | (714 | ) | |||
Excess tax benefit from stock compensation | 100 | 72 | |||||
Net proceeds from issuance of common stock | 595 | 648 | |||||
Net cash used in financing activities | (322 | ) | (2,689 | ) | |||
Effect of exchange rate changes on cash | (1,627 | ) | (729 | ) | |||
Net increase in cash and cash equivalents | 13,571 | 49,011 | |||||
Cash and cash equivalents at beginning of year | 97,039 | 48,028 | |||||
Cash and cash equivalents at end of year | $ | 110,610 | $ | 97,039 | |||
GIBRALTAR INDUSTRIES, INC.
Non-GAAP Reconciliation of Adjusted Statements of Operations
(in thousands, except per share data)
(Unaudited)
Three Months Ended December 31, 2014 | ||||||||||||||||||||
As Reported In GAAP Statements | Acquisition Related Items | Intangible Asset Impairment | Restructuring Costs | Adjusted Statement of Operations | ||||||||||||||||
Net Sales | ||||||||||||||||||||
Residential Products | $ | 105,432 | — | — | — | $ | 105,432 | |||||||||||||
Industrial & Infrastructure Products | 96,819 | — | — | — | 96,819 | |||||||||||||||
Less Inter-Segment Sales | (257 | ) | — | — | — | (257 | ) | |||||||||||||
96,562 | — | — | — | 96,562 | ||||||||||||||||
Consolidated sales | 201,994 | — | — | — | 201,994 | |||||||||||||||
(Loss) income from operations | ||||||||||||||||||||
Residential Products | (10,324 | ) | — | 15,435 | 120 | 5,231 | ||||||||||||||
Industrial & Infrastructure Products | (90,361 | ) | — | 92,535 | 285 | 2,459 | ||||||||||||||
Segment (loss) income | (100,685 | ) | — | 107,970 | 405 | 7,690 | ||||||||||||||
Unallocated corporate expense | (3,130 | ) | (73 | ) | — | — | (3,203 | ) | ||||||||||||
Consolidated (loss) income from operations | (103,815 | ) | (73 | ) | 107,970 | 405 | 4,487 | |||||||||||||
Interest expense | 3,433 | — | — | — | 3,433 | |||||||||||||||
Other expense | 84 | — | — | — | 84 | |||||||||||||||
(Loss) income before income taxes | (107,332 | ) | (73 | ) | 107,970 | 405 | 970 | |||||||||||||
(Benefit of) provision for income taxes | (11,624 | ) | (26 | ) | 11,811 | 111 | 272 | |||||||||||||
(Loss) income from continuing operations | $ | (95,708 | ) | $ | (47 | ) | $ | 96,159 | $ | 294 | $ | 698 | ||||||||
(Loss) income from continuing operations per share – diluted | $ | (3.08 | ) | $ | — | $ | 3.09 | $ | 0.01 | $ | 0.02 | |||||||||
Operating margin | ||||||||||||||||||||
Residential Products | (9.8 | )% | — | % | 14.6 | % | 0.1 | % | 5.0 | % | ||||||||||
Industrial & Infrastructure Products | (93.6 | )% | — | % | 95.8 | % | 0.3 | % | 2.5 | % | ||||||||||
Segments Margin | (49.8 | )% | — | % | 53.5 | % | 0.2 | % | 3.8 | % | ||||||||||
Consolidated | (51.4 | )% | — | % | 53.5 | % | 0.2 | % | 2.2 | % | ||||||||||
GIBRALTAR INDUSTRIES, INC.
Non-GAAP Reconciliation of Adjusted Statements of Operations
(in thousands, except per share data)
(Unaudited)
Three Months Ended December 31, 2013 | ||||||||||||||||
As Reported In GAAP Statements | Acquisition Related & Restructuring Costs | Deferred Tax Valuation Allowance | Adjusted Statement of Operations | |||||||||||||
Net Sales | ||||||||||||||||
Residential Products | $ | 85,535 | — | — | $ | 85,535 | ||||||||||
Industrial & Infrastructure Products | 103,479 | — | — | 103,479 | ||||||||||||
Less Inter-Segment Sales | (179 | ) | — | — | (179 | ) | ||||||||||
103,300 | — | — | 103,300 | |||||||||||||
Consolidated sales | 188,835 | — | — | 188,835 | ||||||||||||
Income from operations | ||||||||||||||||
Residential Products | 5,040 | 880 | — | 5,920 | ||||||||||||
Industrial & Infrastructure Products | 6,445 | 41 | — | 6,486 | ||||||||||||
Segment Income | 11,485 | 921 | — | 12,406 | ||||||||||||
Unallocated corporate expense | (5,332 | ) | (230 | ) | — | (5,562 | ) | |||||||||
Consolidated income from operations | 6,153 | 691 | — | 6,844 | ||||||||||||
Interest expense | 3,811 | — | — | 3,811 | ||||||||||||
Other income | (36 | ) | — | — | (36 | ) | ||||||||||
Income before income taxes | 2,378 | 691 | — | 3,069 | ||||||||||||
(Benefit of) provision for income taxes | (1,631 | ) | 260 | 2,048 | 677 | |||||||||||
Income (loss) from continuing operations | $ | 4,009 | $ | 431 | $ | (2,048 | ) | $ | 2,392 | |||||||
Income (loss) from continuing operations per share – diluted | $ | 0.13 | $ | 0.02 | $ | (0.07 | ) | $ | 0.08 | |||||||
Operating margin | ||||||||||||||||
Residential Products | 5.9 | % | 1.0 | % | — | % | 6.9 | % | ||||||||
Industrial & Infrastructure Products | 6.2 | % | — | % | — | % | 6.3 | % | ||||||||
Segments Margin | 6.1 | % | 0.5 | % | — | % | 6.6 | % | ||||||||
Consolidated | 3.3 | % | 0.4 | % | — | % | 3.6 | % | ||||||||
GIBRALTAR INDUSTRIES, INC.
Non-GAAP Reconciliation of Adjusted Statements of Operations
(in thousands, except per share data)
(Unaudited)
Twelve Months Ended December 31, 2014 | ||||||||||||||||||||
As Reported In GAAP Statements | Acquisition Related Items | Intangible Asset Impairment | Restructuring Costs | Adjusted Statement of Operations | ||||||||||||||||
Net Sales | ||||||||||||||||||||
Residential Products | $ | 431,915 | — | — | — | $ | 431,915 | |||||||||||||
Industrial & Infrastructure Products | 431,432 | — | — | — | 431,432 | |||||||||||||||
Less Inter-Segment Sales | (1,260 | ) | — | — | — | (1,260 | ) | |||||||||||||
430,172 | — | — | — | 430,172 | ||||||||||||||||
Consolidated sales | 862,087 | — | — | — | 862,087 | |||||||||||||||
Income (loss) from operations | ||||||||||||||||||||
Residential Products | 16,416 | 206 | 15,435 | 752 | 32,809 | |||||||||||||||
Industrial & Infrastructure Products | (74,634 | ) | — | 92,535 | 919 | 18,820 | ||||||||||||||
Segment (loss) income | (58,218 | ) | 206 | 107,970 | 1,671 | 51,629 | ||||||||||||||
Unallocated corporate expense | (12,199 | ) | (1,594 | ) | — | — | (13,793 | ) | ||||||||||||
Consolidated (loss) income from operations | (70,417 | ) | (1,388 | ) | 107,970 | 1,671 | 37,836 | |||||||||||||
Interest expense | 14,421 | — | — | — | 14,421 | |||||||||||||||
Other income | (88 | ) | — | — | — | (88 | ) | |||||||||||||
(Loss) income before income taxes | (84,750 | ) | (1,388 | ) | 107,970 | 1,671 | 23,503 | |||||||||||||
(Benefit of) provision for income taxes | (2,958 | ) | (510 | ) | 11,811 | 593 | 8,936 | |||||||||||||
(Loss) income from continuing operations | $ | (81,792 | ) | $ | (878 | ) | $ | 96,159 | $ | 1,078 | $ | 14,567 | ||||||||
(Loss) income from continuing operations per share – diluted | $ | (2.63 | ) | $ | (0.02 | ) | $ | 3.09 | $ | 0.03 | $ | 0.47 | ||||||||
Operating margin | ||||||||||||||||||||
Residential Products | 3.8 | % | — | % | 3.6 | % | 0.2 | % | 7.6 | % | ||||||||||
Industrial & Infrastructure Products | (17.3 | )% | — | % | 21.5 | % | 0.2 | % | 4.4 | % | ||||||||||
Segments Margin | (6.8 | )% | — | % | 12.5 | % | 0.2 | % | 6.0 | % | ||||||||||
Consolidated | (8.2 | )% | (0.2 | )% | 12.5 | % | 0.2 | % | 4.4 | % | ||||||||||
GIBRALTAR INDUSTRIES, INC.
Non-GAAP Reconciliation of Adjusted Statements of Operations
(in thousands, except per share data)
(Unaudited)
Twelve Months Ended December 31, 2013 | ||||||||||||||||||||||||
As Reported In GAAP Statements | Acquisition Related & Restructuring Costs | Intangible Asset Impairment | Note Refinancing | Deferred Tax Valuation Allowance | Adjusted Statement of Operations | |||||||||||||||||||
Net Sales | ||||||||||||||||||||||||
Residential Products | $ | 394,071 | — | — | — | — | 394,071 | |||||||||||||||||
Industrial & Infrastructure Products | 435,168 | — | — | — | — | 435,168 | ||||||||||||||||||
Less Inter-Segment Sales | (1,672 | ) | — | — | — | — | (1,672 | ) | ||||||||||||||||
433,496 | — | — | — | — | 433,496 | |||||||||||||||||||
Consolidated sales | 827,567 | — | — | — | — | 827,567 | ||||||||||||||||||
Income from operations | ||||||||||||||||||||||||
Residential Products | 34,965 | 3,001 | 1,000 | — | — | 38,966 | ||||||||||||||||||
Industrial & Infrastructure Products | 7,169 | 324 | 22,160 | — | — | 29,653 | ||||||||||||||||||
Segment Income | 42,134 | 3,325 | 23,160 | — | — | 68,619 | ||||||||||||||||||
Unallocated corporate expense | (20,654 | ) | 87 | — | — | — | (20,567 | ) | ||||||||||||||||
Consolidated income from operations | 21,480 | 3,412 | 23,160 | — | — | 48,052 | ||||||||||||||||||
Interest expense | 22,489 | — | — | (7,166 | ) | — | 15,323 | |||||||||||||||||
Other income | (177 | ) | — | — | — | — | (177 | ) | ||||||||||||||||
(Loss) income before income taxes | (832 | ) | 3,412 | 23,160 | 7,166 | — | 32,906 | |||||||||||||||||
Provision for income taxes | 4,797 | 1,318 | 753 | 2,616 | 2,048 | 11,532 | ||||||||||||||||||
(Loss) income from continuing operations | $ | (5,629 | ) | $ | 2,094 | $ | 22,407 | $ | 4,550 | $ | (2,048 | ) | $ | 21,374 | ||||||||||
(Loss) income from continuing operations per share – diluted | $ | (0.18 | ) | $ | 0.07 | $ | 0.72 | $ | 0.15 | $ | (0.07 | ) | $ | 0.69 | ||||||||||
Operating margin | ||||||||||||||||||||||||
Residential Products | 8.9 | % | 0.8 | % | 0.3 | % | — | % | — | % | 9.9 | % | ||||||||||||
Industrial & Infrastructure Products | 1.7 | % | 0.1 | % | 5.1 | % | — | % | — | % | 6.8 | % | ||||||||||||
Segments Margin | 5.1 | % | 0.4 | % | 2.8 | % | — | % | — | % | 8.3 | % | ||||||||||||
Consolidated | 2.6 | % | 0.4 | % | 2.8 | % | — | % | — | % | 5.8 | % | ||||||||||||