Worthington Reports Second Quarter Fiscal 2014 Results
COLUMBUS, OH--(Marketwired - Dec 19, 2013) - Worthington
Industries, Inc. (NYSE: WOR) today reported net sales of $769.9
million and net earnings of $23.0 million, or $0.32 per diluted
share, for its fiscal 2014 second quarter ended November 30, 2013.
In the second quarter of the prior year, the Company reported net
sales of $622.6 million and net earnings of $31.8 million, or $0.45
per diluted share. Net earnings in the current quarter include
non-cash, pre-tax impairment charges of $30.7 million related to
the write-off of certain trade name assets in connection with a
branding initiative launched during the quarter to re-brand
substantially all of the Company's businesses under the Worthington
Industries name. Net earnings also include the impact of a pre-tax
gain of $2.5 million within miscellaneous income related to
insurance proceeds received during the quarter for property damaged
in a fire at the Company's Pressure Cylinders facility in Austria
on August 19, 2013. Adding back the net after tax impact of these
two items would increase earnings by $0.25 per share.
Financial highlights for the current and comparative periods are
as follows:
(U.S. dollars in millions, except per share data)
|
|
|
|
|
|
|
|
|
|
|
|
|
2Q 2014 |
|
1Q 2014 |
|
2Q 2013 |
|
6M2014 |
|
6M2013 |
Net sales |
|
$ |
769.9 |
|
$ |
692.3 |
|
$ |
622.6 |
|
$ |
1,462.2 |
|
$ |
1,288.7 |
Operating income |
|
|
19.5 |
|
|
38.6 |
|
|
28.8 |
|
|
58.1 |
|
|
62.2 |
Equity income |
|
|
21.1 |
|
|
27.0 |
|
|
25.2 |
|
|
48.0 |
|
|
47.9 |
Net earnings |
|
|
23.0 |
|
|
54.6 |
|
|
31.8 |
|
|
77.5 |
|
|
65.8 |
Earnings per share |
|
$ |
0.32 |
|
$ |
0.76 |
|
$ |
0.45 |
|
$ |
1.08 |
|
$ |
0.94 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
"We had a very good second quarter with strong results from
Steel Processing and solid results from Pressure Cylinders and our
joint ventures," said John McConnell, Chairman and CEO. "We are now
positioning our businesses under one single brand, Worthington
Industries. The Company is growing organically and through
acquisitions, providing us with new platforms and new markets. As a
result, we want to make sure our brand is front and center for our
customers and shareholders."
Consolidated Quarterly Results
Net sales for the second quarter ended November 30, 2013, were
$769.9 million, up 24% from the comparable quarter in the prior
year, when net sales were $622.6 million. The increase resulted
from higher overall volumes, which were aided by the impact of
acquisitions.
Gross margin for the current quarter was $128.2 million,
compared to $94.9 million in the prior year quarter. The $33.3
million increase was primarily the result of an increase in volumes
and the impact of inventory holding gains in Steel Processing in
the current quarter, compared to inventory holding losses in the
prior year quarter. SG&A expense increased $13.3 million over
the prior year quarter to $78.4 million driven primarily by the
impact of acquisitions and higher profit sharing and bonus
expense.
Operating income for the current quarter was $19.5 million,
compared to $28.8 million in the prior year quarter, as the
improvement in gross margin was more than offset by the trade name
impairment and an increase in SG&A expense. Operating income in
the current quarter also includes net restructuring gains of $1.2
million, driven primarily by a $2.0 million gain on the sale of the
Company's North American industrial gas and acetylene cylinders
business, and $0.8 million of net charges related to joint venture
transactions.
Interest expense of $6.3 million in the quarter was essentially
flat versus the prior year quarter.
Equity in net income from unconsolidated joint ventures
decreased $4.1 million from the prior year quarter to $21.1 million
on sales of $357.2 million. The decrease was driven primarily by
the consolidation of TWB on July 31, 2013. Since that date, TWB's
results have been fully consolidated versus reported in equity
income. All joint ventures posted positive results, led by WAVE,
ClarkDietrich, and WSP, which contributed $15.6 million, $2.3
million, and $1.5 million of equity income, respectively. The
equity portion of income from WSP and WAVE exceeded the prior year
quarter by $1.0 million and $0.8 million, respectively.
For the current quarter, income tax expense of $8.5 million
decreased $6.9 million from the prior year quarter due primarily to
lower earnings and a lower effective tax rate, driven by a
favorable tax adjustment related to the acquisition of an
additional 10% interest in TWB. The current quarter income tax
expense reflects an estimated annual effective tax rate of 27.8%
compared to 32.7% for the prior year quarter.
Balance Sheet
At quarter end, total debt was $450.2 million, down $19.0
million from August 31, 2013 due to lower short-term borrowings. As
of November 30, 2013, the Company had utilized $30.0 million of its
$100.0 million trade accounts receivable securitization facility,
and $8.4 million was drawn on the Company's $425.0 million
revolving credit facility.
Quarterly Segment Results
Steel Processing's net sales of $492.1 million were up 43%, or
$148.0 million, from the prior year quarter, on higher volumes
resulting from the consolidation of TWB and increased sales in the
automotive, construction and agriculture markets. Excluding the
impact of TWB, the mix of direct versus toll tons processed was 57%
to 43% this quarter, compared with a 55% to 45% mix in the
comparable quarter of the prior year. Operating income increased by
$21.0 million to $34.8 million due primarily to higher overall
volumes and the positive impact of inventory holding gains in the
current quarter compared to inventory holding losses in the prior
year quarter.
Pressure Cylinders' net sales of $214.0 million were up 3%, or
$6.5 million, from the comparable prior year quarter driven by
recent acquisitions. Operating income was $8.3 million, down $8.8
million from the prior year quarter, as the impact of the recent
acquisitions was more than offset by the trade name impairment, of
which $11.6 million relates to Pressure Cylinders, and an increase
in SG&A expense. The impact of these items was partially offset
by a $2.0 million gain on the sale of the Company's North American
industrial gas and acetylene cylinders business.
Engineered Cabs' net sales of $47.9 million were down 17%, or
$9.9 million, from the comparable prior year quarter driven by
lower volumes and the impact of lower average selling prices.
Operating income decreased $21.5 million driven almost entirely by
the trade name impairment, of which $19.1 million relates to
Engineered Cabs, and to a lesser extent lower volumes from key
customers.
The "Other" category includes the Construction Services and
Energy Innovations operating segments, as well as non-allocated
expenses. Operations in the "Other" category reported net sales of
$15.9 million, an increase of $2.7 million from the prior year
quarter, mostly due to the Energy Innovations business. The "Other"
category reported a combined loss of $2.7 million for the quarter
compared to $2.6 million in the prior year quarter, as the
improvement in the Energy Innovations business was offset by higher
restructuring charges resulting from the wind down of the
commercial stairs and metal framing businesses.
Recent Business Developments
- The Company committed to a re-branding initiative to brand
substantially all of its businesses under the Worthington
Industries name. In connection with the branding strategy, the
Company plans to discontinue the use of non-Worthington trade names
except for retail brand names including BernzOmatic® and Balloon
Time®. As a result, the Company recognized an impairment charge of
$30.7 million during the quarter ended November 30, 2013.
- On October 18, 2013, the Company finalized an agreement with
Nisshin Steel Co., Ltd. and Marubeni-Itochu Steel Inc. to form
Zhejiang Nisshin Worthington Precision Specialty Steel Co., Ltd.,
which is awaiting regulatory approval. The joint venture will
construct a plant in Zhejiang Province in the People's Republic of
China that will produce cold rolled strip steel primarily for the
automotive industry. Initially, the Company will own a 10% interest
in the joint venture with the option to increase its ownership
interest to 34%.
- On November 12, 2013, the Company entered into an agreement to
sell the operating assets related to its small and medium high
pressure industrial gas and acetylene cylinders business in North
America. The Company recognized a net gain of $2.0 million in
connection with this transaction.
- On December 18, 2013, the board of directors declared a
quarterly dividend of $0.15 per share payable on March 28, 2014 to
shareholders of record at March 14, 2014.
Outlook
"We are positioned to continue to provide positive results in
all of our businesses as our focus remains on growth, improved
efficiency and performance," McConnell said. "We continue to look
for opportunities to invest in new and growing markets and to
develop new products for our customers. We have driven results in
an environment where the U.S. economy has been sluggish, though
gaining momentum, and Europe remains flat. We believe we can
continue to do so."
Conference Call
Worthington will review second quarter results during its
quarterly conference call on December 19, 2013, at 1:30 p.m.,
Eastern Time. Details regarding the conference call can be found on
the Company web site at www.WorthingtonIndustries.com.
Corporate Profile
Worthington Industries is a leading diversified metals
manufacturing company with 2013 fiscal year sales of $2.6 billion.
The Columbus, Ohio based company is North America's premier
value-added steel processor and a leader in manufactured metal
products, such as propane, oxygen, refrigerant and industrial
cylinders, hand torches, camping cylinders, scuba tanks, compressed
natural gas storage cylinders, helium balloon kits and exploration,
recovery and production tanks for global energy markets;
custom-engineered open and enclosed cabs and operator stations for
heavy mobile equipment; laser welded blanks; steel pallets and
racks; and through joint ventures, suspension grid systems for
concealed and lay-in panel ceilings, current and past model
automotive service stampings and light gauge steel framing for
commercial and residential construction. Worthington employs
approximately 10,000 people and operates 82 facilities in 11
countries.
Founded in 1955, the Company operates under a long-standing
corporate philosophy rooted in the golden rule. Earning money for
its shareholders is the first corporate goal. This philosophy
serves as an unwavering commitment to the customer, supplier, and
shareholder, and it serves as the Company's foundation for one of
the strongest employee-employer partnerships in American
industry.
Safe Harbor Statement
The Company wishes to take advantage of the Safe Harbor
provisions included in the Private Securities Litigation Reform Act
of 1995 (the "Act"). Statements by the Company relating to business
plans or future or expected growth, performance, sales, volumes,
cash flows, earnings, balance sheet strengths, debt, financial
condition or other financial measures; projected profitability
potential, capacity, and working capital needs; demand trends for
the Company or its markets; additions to product lines and
opportunities to participate in new markets; pricing trends for raw
materials and finished goods and the impact of pricing changes;
anticipated capital expenditures and asset sales; anticipated
improvements and efficiencies in costs, operations, sales,
inventory management, sourcing and the supply chain and the results
thereof; the ability to make acquisitions and the projected timing,
results, benefits, costs, charges and expenditures related to
acquisitions, newly-created joint ventures, headcount reductions
and facility dispositions, shutdowns and consolidations; the
alignment of operations with demand; the ability to operate
profitably and generate cash in down markets; the ability to
maintain margins and capture and maintain market share and to
develop or take advantage of future opportunities, new products and
new markets; expectations for Company and customer inventories,
jobs and orders; expectations for the economy and markets or
improvements therein; expected benefits from transformation plans,
cost reduction efforts and other new initiatives; expectations for
increasing volatility or improving and sustaining earnings,
earnings potential, margins or shareholder value; effects of
judicial rulings and other non-historical matters constitute
"forward-looking statements" within the meaning of the Act. Because
they are based on beliefs, estimates and assumptions,
forward-looking statements are inherently subject to risks and
uncertainties that could cause actual results to differ materially
from those projected. Any number of factors could affect actual
results, including, without limitation, the effect of national,
regional and worldwide economic conditions generally and within
major product markets, including a prolonged or substantial
economic downturn; the outcome of negotiations surrounding the
United States debt and budget, which may be adverse due to its
impact on tax increases, governmental spending, and customer
confidence and spending; the effect of conditions in national and
worldwide financial markets; product demand and pricing; changes in
product mix, product substitution and market acceptance of the
Company's products; fluctuations in the pricing, quality or
availability of raw materials (particularly steel), supplies,
transportation, utilities and other items required by operations;
effects of facility closures and the consolidation of operations;
the effect of financial difficulties, consolidation and other
changes within the steel, automotive, construction and other
industries in which the Company participates; failure to maintain
appropriate levels of inventories; financial difficulties
(including bankruptcy filings) of original equipment manufacturers,
end-users and customers, suppliers, joint venture partners and
others with whom the Company does business; the ability to realize
targeted expense reductions from headcount reductions, facility
closures and other cost reduction efforts; the ability to realize
other cost savings and operational, sales and sourcing improvements
and efficiencies, and other expected benefits from transformation
initiatives, on a timely basis; the overall success of, and the
ability to integrate newly-acquired businesses and joint ventures,
maintain and develop their customers, and achieve synergies and
other expected benefits and cost savings therefrom; capacity levels
and efficiencies, within facilities, within major product markets
and within the industry as a whole; the effect of disruption in the
business of suppliers, customers, facilities and shipping
operations due to adverse weather, casualty events, equipment
breakdowns, acts of war or terrorist activities or other causes;
changes in customer demand, inventories, spending patterns, product
choices, and supplier choices; risks associated with doing business
internationally, including economic, political and social
instability, foreign currency exposure and the acceptance of our
products in new markets; the ability to improve and maintain
processes and business practices to keep pace with the economic,
competitive and technological environment; the outcome of adverse
claims experience with respect to workers' compensation, product
recalls or product liability, casualty events or other matters;
deviation of actual results from estimates and/or assumptions used
by the Company in the application of its significant accounting
policies; level of imports and import prices in the Company's
markets; the impact of judicial rulings and governmental
regulations, both in the United States and abroad, including those
adopted by the United States Securities and Exchange Commission and
other governmental agencies as contemplated by the Dodd-Frank Wall
Street Reform and Consumer Protection Act of 2010, the effect of
changes to healthcare laws in the United States which may increase
our healthcare and other costs and negatively impact our operations
and financial results; and other risks described from time to time
in the Company's filings with the United States Securities and
Exchange Commission, including those described in "Part I - Item
1A. - Risk Factors" of our Annual Report on Form 10-K for the
fiscal year ended May 31, 2013.
|
|
|
|
WORTHINGTON INDUSTRIES, INC. |
|
CONSOLIDATED STATEMENTS OF EARNINGS |
|
(In thousands, except per share amounts) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
Six Months Ended |
|
|
|
November 30, |
|
|
November 30, |
|
|
|
2013 |
|
|
2012 |
|
|
2013 |
|
|
2012 |
|
Net sales |
|
$ |
769,900 |
|
|
$ |
622,622 |
|
|
$ |
1,462,191 |
|
|
$ |
1,288,657 |
|
Cost of goods sold |
|
|
641,668 |
|
|
|
527,766 |
|
|
|
1,222,995 |
|
|
|
1,100,150 |
|
|
Gross
margin |
|
|
128,232 |
|
|
|
94,856 |
|
|
|
239,196 |
|
|
|
188,507 |
|
Selling, general and administrative expense |
|
|
78,395 |
|
|
|
65,101 |
|
|
|
149,935 |
|
|
|
124,523 |
|
Impairment of long-lived assets |
|
|
30,734 |
|
|
|
(50 |
) |
|
|
35,375 |
|
|
|
1,520 |
|
Restructuring and other expense (income) |
|
|
(1,182 |
) |
|
|
1,262 |
|
|
|
(5,179 |
) |
|
|
1,665 |
|
Joint venture transactions |
|
|
786 |
|
|
|
(279 |
) |
|
|
928 |
|
|
|
(1,441 |
) |
|
Operating income |
|
|
19,499 |
|
|
|
28,822 |
|
|
|
58,137 |
|
|
|
62,240 |
|
Other income (expense): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Miscellaneous income |
|
|
2,472 |
|
|
|
303 |
|
|
|
13,409 |
|
|
|
468 |
|
|
Interest expense |
|
|
(6,258 |
) |
|
|
(6,334 |
) |
|
|
(12,498 |
) |
|
|
(11,593 |
) |
|
Equity in net income of unconsolidated affiliates |
|
|
21,086 |
|
|
|
25,221 |
|
|
|
48,037 |
|
|
|
47,864 |
|
|
Earnings before income taxes |
|
|
36,799 |
|
|
|
48,012 |
|
|
|
107,085 |
|
|
|
98,979 |
|
Income tax expense |
|
|
8,459 |
|
|
|
15,390 |
|
|
|
22,392 |
|
|
|
31,492 |
|
Net earnings |
|
|
28,340 |
|
|
|
32,622 |
|
|
|
84,693 |
|
|
|
67,487 |
|
Net earnings attributable to noncontrolling
interest |
|
|
5,363 |
|
|
|
796 |
|
|
|
7,159 |
|
|
|
1,699 |
|
Net earnings attributable to controlling interest |
|
$ |
22,977 |
|
|
$ |
31,826 |
|
|
$ |
77,534 |
|
|
$ |
65,788 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average common shares outstanding |
|
|
69,304 |
|
|
|
68,934 |
|
|
|
69,454 |
|
|
|
68,604 |
|
Earnings per share attributable to controlling
interest |
|
$ |
0.33 |
|
|
$ |
0.46 |
|
|
$ |
1.12 |
|
|
$ |
0.96 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average common shares outstanding |
|
|
71,826 |
|
|
|
70,411 |
|
|
|
72,089 |
|
|
|
69,834 |
|
Earnings per share attributable to controlling
interest |
|
$ |
0.32 |
|
|
$ |
0.45 |
|
|
$ |
1.08 |
|
|
$ |
0.94 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common shares outstanding at end of period |
|
|
69,138 |
|
|
|
69,060 |
|
|
|
69,138 |
|
|
|
69,060 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash dividends declared per share |
|
$ |
0.15 |
|
|
$ |
0.13 |
|
|
$ |
0.30 |
|
|
$ |
0.26 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
WORTHINGTON INDUSTRIES, INC. |
CONSOLIDATED BALANCE SHEETS |
(In thousands) |
|
|
|
|
|
|
|
|
November 30, |
|
May 31, |
|
|
2013 |
|
2013 |
Assets |
|
|
|
|
|
|
Current assets: |
|
|
|
|
|
|
|
Cash and cash equivalents |
|
$ |
109,055 |
|
$ |
51,385 |
|
Receivables, less allowances of $3,338 and $3,408 at
November 30, 2013 and May 31, 2013, respectively |
|
|
433,995 |
|
|
394,327 |
|
Inventories: |
|
|
|
|
|
|
|
|
Raw materials |
|
|
188,351 |
|
|
175,093 |
|
|
Work in process |
|
|
104,474 |
|
|
103,861 |
|
|
Finished products |
|
|
99,582 |
|
|
77,814 |
|
|
|
Total
inventories |
|
|
392,407 |
|
|
356,768 |
|
Income taxes receivable |
|
|
2,619 |
|
|
724 |
|
Assets held for sale |
|
|
2,435 |
|
|
3,040 |
|
Deferred income taxes |
|
|
22,655 |
|
|
21,928 |
|
Prepaid expenses and other current assets |
|
|
41,449 |
|
|
38,711 |
|
|
Total current assets |
|
|
1,004,615 |
|
|
866,883 |
|
|
|
|
|
|
|
Investments in unconsolidated affiliates |
|
|
174,546 |
|
|
246,125 |
Goodwill |
|
|
212,622 |
|
|
213,858 |
Other intangible assets, net of accumulated
amortization of $28,652 and $26,669 at November 30, 2013 and May
31, 2013, respectively |
|
|
128,026 |
|
|
147,144 |
Other assets |
|
|
16,584 |
|
|
17,417 |
Property, plant & equipment: |
|
|
|
|
|
|
|
Property, plant & equipment at cost |
|
|
1,111,765 |
|
|
1,052,636 |
|
Less: accumulated depreciation |
|
|
606,757 |
|
|
593,206 |
Property, plant and equipment, net |
|
|
505,008 |
|
|
459,430 |
Total assets |
|
$ |
2,041,401 |
|
$ |
1,950,857 |
|
|
|
|
|
|
|
Liabilities and equity |
|
|
|
|
|
|
Current liabilities: |
|
|
|
|
|
|
|
Accounts payable |
|
$ |
283,019 |
|
$ |
222,696 |
|
Short-term borrowings |
|
|
43,451 |
|
|
113,728 |
|
Accrued compensation, contributions to employee benefit
plans and related taxes |
|
|
64,769 |
|
|
68,043 |
|
Dividends payable |
|
|
11,148 |
|
|
551 |
|
Other accrued items |
|
|
42,472 |
|
|
36,536 |
|
Income taxes payable |
|
|
5,486 |
|
|
6,268 |
|
Current maturities of long-term debt |
|
|
1,107 |
|
|
1,092 |
|
|
Total current liabilities |
|
|
451,452 |
|
|
448,914 |
|
|
|
|
|
|
|
Other liabilities |
|
|
69,627 |
|
|
70,882 |
Distributions in excess of investment in unconsolidated
affiliate |
|
|
61,107 |
|
|
63,187 |
Long-term debt |
|
|
405,660 |
|
|
406,236 |
Deferred income taxes |
|
|
72,162 |
|
|
89,401 |
|
|
Total liabilities |
|
|
1,060,008 |
|
|
1,078,620 |
|
|
|
|
|
|
|
Shareholders' equity - controlling interest |
|
|
863,789 |
|
|
830,822 |
Noncontrolling interest |
|
|
117,604 |
|
|
41,415 |
|
|
Total equity |
|
|
981,393 |
|
|
872,237 |
Total liabilities and equity |
|
$ |
2,041,401 |
|
$ |
1,950,857 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
WORTHINGTON INDUSTRIES, INC. |
|
CONSOLIDATED STATEMENTS OF CASH FLOWS |
|
(In thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
Six Months Ended |
|
|
|
November 30, |
|
|
November 30, |
|
|
|
2013 |
|
|
2012 |
|
|
2013 |
|
|
2012 |
|
Operating activities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings |
|
$ |
28,340 |
|
|
$ |
32,622 |
|
|
$ |
84,693 |
|
|
$ |
67,487 |
|
Adjustments to reconcile net earnings to net cash
provided by operating activities: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Depreciation and amortization |
|
|
20,095 |
|
|
|
16,101 |
|
|
|
39,555 |
|
|
|
31,088 |
|
|
Impairment of long-lived assets |
|
|
30,734 |
|
|
|
(50 |
) |
|
|
35,375 |
|
|
|
1,520 |
|
|
Provision for deferred income taxes |
|
|
(13,110 |
) |
|
|
(1,320 |
) |
|
|
(21,534 |
) |
|
|
3,359 |
|
|
Bad
debt expense (income) |
|
|
185 |
|
|
|
492 |
|
|
|
(296 |
) |
|
|
499 |
|
|
Equity in net income of unconsolidated affiliates, net of
distributions |
|
|
(3,506 |
) |
|
|
(7,057 |
) |
|
|
(9,421 |
) |
|
|
(14,415 |
) |
|
Net
gain on sale of assets |
|
|
(7,188 |
) |
|
|
(2,379 |
) |
|
|
(11,850 |
) |
|
|
(69 |
) |
|
Stock-based compensation |
|
|
4,722 |
|
|
|
3,740 |
|
|
|
8,502 |
|
|
|
6,933 |
|
|
Excess tax benefits - stock-based compensation |
|
|
(1,534 |
) |
|
|
- |
|
|
|
(5,832 |
) |
|
|
- |
|
|
Gain
on previously held equity interest in TWB |
|
|
- |
|
|
|
- |
|
|
|
(11,000 |
) |
|
|
- |
|
Changes in assets and liabilities, net of impact of
acquisitions: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Receivables |
|
|
7,574 |
|
|
|
30,634 |
|
|
|
15,229 |
|
|
|
68,750 |
|
|
Inventories |
|
|
(21,838 |
) |
|
|
40,882 |
|
|
|
(21,323 |
) |
|
|
57,901 |
|
|
Prepaid expenses and other current assets |
|
|
4,072 |
|
|
|
1,747 |
|
|
|
1,707 |
|
|
|
1,602 |
|
|
Other
assets |
|
|
139 |
|
|
|
90 |
|
|
|
575 |
|
|
|
2,937 |
|
|
Accounts payable and accrued expenses |
|
|
(23,922 |
) |
|
|
(30,618 |
) |
|
|
16,700 |
|
|
|
(70,191 |
) |
|
Other
liabilities |
|
|
4,556 |
|
|
|
3,497 |
|
|
|
2,703 |
|
|
|
1,978 |
|
Net cash provided by operating activities |
|
|
29,319 |
|
|
|
88,381 |
|
|
|
123,783 |
|
|
|
159,379 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investing activities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Investment in property, plant and equipment, net |
|
|
(17,060 |
) |
|
|
(7,911 |
) |
|
|
(30,414 |
) |
|
|
(24,616 |
) |
|
Acquisitions, net of cash acquired |
|
|
276 |
|
|
|
(62,110 |
) |
|
|
53,233 |
|
|
|
(62,110 |
) |
|
Distributions from unconsolidated affiliates |
|
|
3,668 |
|
|
|
- |
|
|
|
9,223 |
|
|
|
- |
|
|
Proceeds from sale of assets |
|
|
16,086 |
|
|
|
9,090 |
|
|
|
23,733 |
|
|
|
15,675 |
|
Net cash provided (used) by investing activities |
|
|
2,970 |
|
|
|
(60,931 |
) |
|
|
55,775 |
|
|
|
(71,051 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Financing activities |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net
payments of short-term borrowings |
|
|
(18,736 |
) |
|
|
(14,508 |
) |
|
|
(70,277 |
) |
|
|
(238,196 |
) |
|
Proceeds from long-term debt |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
150,000 |
|
|
Principal payments on long-term debt |
|
|
(285 |
) |
|
|
(363 |
) |
|
|
(569 |
) |
|
|
(805 |
) |
|
Proceeds from issuance of common shares |
|
|
4,286 |
|
|
|
4,773 |
|
|
|
6,487 |
|
|
|
15,628 |
|
|
Excess tax benefits - stock-based compensation |
|
|
1,534 |
|
|
|
- |
|
|
|
5,832 |
|
|
|
- |
|
|
Payments to noncontrolling interest |
|
|
(875 |
) |
|
|
(5,990 |
) |
|
|
(2,638 |
) |
|
|
(5,990 |
) |
|
Repurchase of common shares |
|
|
(19,800 |
) |
|
|
- |
|
|
|
(50,316 |
) |
|
|
- |
|
|
Dividends paid |
|
|
(10,407 |
) |
|
|
(8,954 |
) |
|
|
(10,407 |
) |
|
|
(17,104 |
) |
Net cash used by financing activities |
|
|
(44,283 |
) |
|
|
(25,042 |
) |
|
|
(121,888 |
) |
|
|
(96,467 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Increase (decrease) in cash and cash equivalents |
|
|
(11,994 |
) |
|
|
2,408 |
|
|
|
57,670 |
|
|
|
(8,139 |
) |
Cash and cash equivalents at beginning of period |
|
|
121,049 |
|
|
|
30,481 |
|
|
|
51,385 |
|
|
|
41,028 |
|
Cash and cash equivalents at end of period |
|
$ |
109,055 |
|
|
$ |
32,889 |
|
|
$ |
109,055 |
|
|
$ |
32,889 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
WORTHINGTON INDUSTRIES, INC. |
|
SUPPLEMENTAL DATA |
|
(In thousands) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
This supplemental information is provided to assist in
the analysis of the results of operations. |
|
|
|
|
|
Three Months Ended |
|
|
Six Months Ended |
|
|
|
November 30, |
|
|
November 30, |
|
|
|
2013 |
|
|
2012 |
|
|
2013 |
|
|
2012 |
|
Volume: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Steel Processing (tons) |
|
|
817 |
|
|
|
626 |
|
|
|
1,536 |
|
|
|
1,321 |
|
|
Pressure Cylinders (units) |
|
|
17,694 |
|
|
|
19,496 |
|
|
|
38,541 |
|
|
|
40,965 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net sales: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Steel Processing |
|
$ |
492,134 |
|
|
$ |
344,107 |
|
|
$ |
894,575 |
|
|
$ |
729,119 |
|
|
Pressure Cylinders |
|
|
214,022 |
|
|
|
207,494 |
|
|
|
430,922 |
|
|
|
401,730 |
|
|
Engineered Cabs |
|
|
47,868 |
|
|
|
57,804 |
|
|
|
96,329 |
|
|
|
122,299 |
|
|
Other |
|
|
15,876 |
|
|
|
13,217 |
|
|
|
40,365 |
|
|
|
35,509 |
|
|
|
Total
net sales |
|
$ |
769,900 |
|
|
$ |
622,622 |
|
|
$ |
1,462,191 |
|
|
$ |
1,288,657 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Material cost: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Steel Processing |
|
$ |
349,860 |
|
|
$ |
243,132 |
|
|
$ |
637,572 |
|
|
$ |
525,203 |
|
|
Pressure Cylinders |
|
|
95,234 |
|
|
|
97,559 |
|
|
|
196,814 |
|
|
|
189,643 |
|
|
Engineered Cabs |
|
|
21,522 |
|
|
|
29,940 |
|
|
|
43,629 |
|
|
|
62,051 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling, general and administrative expense: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Steel Processing |
|
$ |
34,638 |
|
|
$ |
27,530 |
|
|
$ |
63,457 |
|
|
$ |
54,004 |
|
|
Pressure Cylinders |
|
|
32,630 |
|
|
|
26,040 |
|
|
|
63,267 |
|
|
|
48,198 |
|
|
Engineered Cabs |
|
|
8,105 |
|
|
|
7,558 |
|
|
|
14,997 |
|
|
|
14,534 |
|
|
Other |
|
|
3,022 |
|
|
|
3,973 |
|
|
|
8,214 |
|
|
|
7,787 |
|
|
|
Total
selling, general and administrative expense |
|
$ |
78,395 |
|
|
$ |
65,101 |
|
|
$ |
149,935 |
|
|
$ |
124,523 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income (loss): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Steel Processing |
|
$ |
34,786 |
|
|
$ |
13,807 |
|
|
$ |
57,449 |
|
|
$ |
30,466 |
|
|
Pressure Cylinders |
|
|
8,275 |
|
|
|
17,079 |
|
|
|
27,729 |
|
|
|
32,105 |
|
|
Engineered Cabs |
|
|
(20,892 |
) |
|
|
565 |
|
|
|
(21,196 |
) |
|
|
5,259 |
|
|
Other |
|
|
(2,670 |
) |
|
|
(2,629 |
) |
|
|
(5,845 |
) |
|
|
(5,590 |
) |
|
|
Total
operating income |
|
$ |
19,499 |
|
|
$ |
28,822 |
|
|
$ |
58,137 |
|
|
$ |
62,240 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The following provides detail of impairment of
long-lived assets, restructuring and other expense (income), and
joint venture transactions included in operating income by segment
presented above. |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
Six Months Ended |
|
|
|
November 30, |
|
|
November 30, |
|
|
|
2013 |
|
|
2012 |
|
|
2013 |
|
|
2012 |
|
Impairment of long-lived assets and
restructuring and other expense (income): |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Steel Processing |
|
$ |
- |
|
|
$ |
- |
|
|
$ |
(121 |
) |
|
$ |
- |
|
|
Pressure Cylinders |
|
|
9,785 |
|
|
|
(50 |
) |
|
|
10,187 |
|
|
|
1,526 |
|
|
Engineered Cabs |
|
|
19,100 |
|
|
|
- |
|
|
|
19,100 |
|
|
|
- |
|
|
Other |
|
|
667 |
|
|
|
1,262 |
|
|
|
1,030 |
|
|
|
1,659 |
|
|
|
Total
impairment of long-lived assets and restructuring and other expense
(income) |
|
$ |
29,552 |
|
|
$ |
1,212 |
|
|
$ |
30,196 |
|
|
$ |
3,185 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended |
|
|
Six Months Ended |
|
|
|
November 30, |
|
|
November 30, |
|
|
|
2013 |
|
|
2012 |
|
|
2013 |
|
|
2012 |
|
Joint venture transactions: |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Steel Processing |
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
|
$ |
- |
|
|
Pressure Cylinders |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
Engineered Cabs |
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
|
- |
|
|
Other |
|
|
786 |
|
|
|
(279 |
) |
|
|
928 |
|
|
|
(1,441 |
) |
|
|
Total
joint venture transactions |
|
$ |
786 |
|
|
$ |
(279 |
) |
|
$ |
928 |
|
|
$ |
(1,441 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
CONTACTS: Cathy M. Lyttle VP, Corporate Communications and
Investor Relations Phone: (614) 438-3077
E-mail: Email Contact Sonya L. Higginbotham Director, Corporate
Communications Phone: (614) 438-7391
E-mail: Email Contact
Worthington Enterprises (NYSE:WOR)
Historical Stock Chart
From Mar 2024 to Apr 2024
Worthington Enterprises (NYSE:WOR)
Historical Stock Chart
From Apr 2023 to Apr 2024