- First quarter 2014 revenue of $472.5
million, down 0.2 percent compared to 2013 (up 3.7 percent on an adjusted
basis*)
- First quarter 2014 earnings per share
(EPS) from continuing operations of $0.37 ($0.44 on an adjusted basis*)
compared to $0.41 in the prior year ($0.45 on an adjusted basis*)
- First quarter 2014 operating margin of
14.1 percent, adjusted operating margin of 16.1 percent*
- Full-year 2014 EPS from continuing
operations remains $1.95 to $2.15, $2.25 to $2.40 per share on an adjusted
basis*
DUBLIN--(BUSINESS WIRE)-- Allegion plc (NYSE: ALLE), a leading global
provider of security products and solutions, today reported first quarter
2014 net revenues of $472.5 million, down 0.2 percent compared to the prior
year, and EPS from continuing operations of $0.37 per share.
Excluding the impact of one-time separation costs and other special items,
net revenues increased 3.7 percent on an adjusted basis (up 3.0% on an
organic basis). Adjusted EPS from continuing operations were $0.44 per
share which is slightly down from prior year as favorable operating results,
lower tax rate, and a prior-year one-time foreign exchange loss was more than
offset by higher interest expense and investment.
For the first quarter of 2014, operating margin was 14.1 percent (16.1
percent on an adjusted basis). Operating margin in the first quarter of 2013
was 14.5 percent (16.1 percent on an adjusted basis). Adjusted operating
margin was consistent year-over-year as favorable price, volume and
productivity offset increased investments, inflation and unfavorable business
mix.
"In the first quarter, we delivered solid results as all regions
contributed to an increase of 3.7 percent in adjusted revenue," said David D.
Petratis, chairman, president and chief executive officer. "We continue to
invest in our growth platform including electronic offerings, channel
effectiveness and acquisitions."
"Although first quarter weather disrupted economic activity and impacted
commercial shipments, we compensated with continued residential growth. We
still see opportunity in North America for full-year non-residential growth
in the low to mid-single digits weighted to the second half of the year. And
we continue to make progress in Europe to improve margin and operating
performance," Petratis added.
*Adjustments to GAAP revenue, operating margin, and EPS from continuing
operations consist of items such as the impact of change in order flow
through the Company's consolidated joint venture in Asia, restructuring
charges, and one-time separation costs related to the spin-off from Ingersoll
Rand to better illustrate year over year performance. Please see the
disclosure below and the supplemental schedules attached to this earnings
release for additional information regarding these adjustments.
Additional Items
Interest expense for the first quarter of 2014 was $12.7 million higher
than the prior period due to $1.3 billion of additional indebtedness incurred
as a result of the spin-off from Ingersoll Rand. The Company's effective tax
rate for the first quarter of 2014 was 30.3%. The comparable effective tax
rate for the first quarter of 2013 was 32.3%.
Cash Flow and Liquidity
Available cash flow was negative $10.1 million for first quarter 2014
reflecting normal seasonality. In first quarter 2013, available cash flow was
negative $4.9 million. The year-over-year decrease in available cash flow
reflects increased investment in capital projects and one-time separation
costs. The Company ended first quarter 2014 with unrestricted cash of $205.4
million and total debt of $1,334.9 million, of which $40.1 million is
collateralized by restricted cash of the same amount. The Company did not
have any borrowings outstanding under its $500 million revolving credit
facility at March 31, 2014.
Dividends
On April 9, 2014, Allegion's board of directors declared a quarterly
dividend of $0.08 per ordinary share. The dividend is payable June 30, 2014,
to shareholders of record June 16, 2014.
2014 Outlook
Allegion affirms previous guidance of adjusted EPS from continuing
operations of $2.25 to $2.40 per share and GAAP reported EPS from continuing
operations of $1.95 to $2.15. This guidance assumes full-year revenue growth
of 0.9% to 1.9%, adjusted revenue growth of 3.5% to 4.5%, and restructuring
and spin-off costs of $0.25 to $0.30 per share, net of tax. This guidance
includes additional interest expense of $0.27 per share, net of tax,
representing the full year impact of the additional indebtedness associated
with the spin-off from Ingersoll Rand and assumes an effective tax rate of
approximately 31%. The Company's 2014 guidance assumes the official exchange
rate for the Venezuelan bolivar and does not take into consideration the
impact of a potential currency devaluation in Venezuela. The Company
continues to target available cash flow that approximates net earnings from
continuing operations.
Conference Call Information
On Thursday, May 1, David D. Petratis, chairman, president and chief
executive officer, and Patrick Shannon, senior vice president and chief
financial officer, will conduct a conference call for analysts and investors,
beginning at 8:00 a.m. E.T., to review the Company's results.
A real-time, listen-only webcast of the conference call will be broadcast
live over the Internet. Individuals wishing to listen can access the call
through the Company's website at http://investor.allegion.com.
About Allegion
Allegion (NYSE: ALLE) creates peace of mind by pioneering safety and
security. As a $2 billion provider of security solutions for homes
and businesses, Allegion employs more than 8,000 people and sells
products in more than 120 countries across the
world. Allegion comprises 27 global brands, including strategic
brands CISA®, Interflex®, LCN®, Schlage® and Von
Duprin®.
For more, visit http://www.allegion.com.
Non-GAAP Measures
The Company has presented revenue, operating income, operating margin,
EBITDA, EBITDA margin, earnings from continuing operations, and diluted
earnings per share (EPS) from continuing operations on both a U.S. GAAP basis
and on an adjusted basis because the Company's management believes it may
assist investors in evaluating the Company's on-going operations as a
standalone company. The Company believes these non-GAAP disclosures provide
important supplemental information to management and investors regarding
financial and business trends relating to the Company's financial condition
and results of operations. Investors should not consider these non-GAAP
measures as alternatives to the related GAAP measures. A reconciliation of
the non-GAAP measures used to their most directly comparable GAAP measure is
presented as a supplemental schedule to this earnings release.
Forward-Looking Statements
This press release contains "forward-looking statements" within the
meaning of the Private Securities Litigation Reform Act of 1995, including
statements regarding the Company's 2014 financial performance, the Company's
growth strategy, the Company's capital allocation strategy, the Company's
Europe, Middle East, India and Africa (EMEIA) strategy and the strength of
the markets in which the Company operates. These forward-looking statements
are based on the Company's current assumptions, expectations and beliefs and
involve substantial risks and uncertainties that may cause results,
performance or achievement to materially differ from those expressed or
implied by these forward-looking statements. Further information on
these factors and other risks that may affect the Company's business is
included in filings it makes with the Securities and Exchange Commission from
time to time, including its Form 10-K for the year ended December 31, 2013
and in our other SEC filings. The Company assumes no obligations to update
these forward looking statements.
|
ALLEGION PLC
Condensed and
Consolidated Income Statements
(in millions, except
per share data)
|
|
|
|
|
UNAUDITED
|
|
|
|
|
|
|
|
Three Months Ended March 31, |
|
|
2014 |
|
2013 |
|
|
|
|
|
| Net
revenues |
|
$ |
472.5 |
|
|
$ |
473.3 |
|
|
Cost of goods sold |
|
|
280.6 |
|
|
|
287.2 |
|
|
Gross profit |
|
|
191.9 |
|
|
|
186.1 |
|
|
|
|
|
|
|
Selling and administrative expenses |
|
|
125.1 |
|
|
|
117.3 |
|
|
Operating income |
|
|
66.8 |
|
|
|
68.8 |
|
|
|
|
|
|
|
Interest expense |
|
|
13.1 |
|
|
|
0.4 |
|
|
Other, net |
|
|
(0.2 |
) |
|
|
7.5 |
|
|
Earnings before income taxes |
|
|
53.9 |
|
|
|
60.9 |
|
|
|
|
|
|
|
Provision for income taxes |
|
|
16.3 |
|
|
|
19.7 |
|
|
Earnings from continuing operations |
|
|
37.6 |
|
|
|
41.2 |
|
|
|
|
|
|
|
Discontinued operations, net of tax |
|
|
(0.2 |
) |
|
|
(0.2 |
) |
|
|
|
|
|
| Net
earnings |
|
|
37.4 |
|
|
|
41.0 |
|
|
|
|
|
|
|
Less: Net earnings (loss)
attributable to noncontrolling interests
|
|
|
1.8 |
|
|
|
1.6 |
|
|
|
|
|
|
|
Net earnings attributable to Allegion plc |
|
$ |
35.6 |
|
|
$ |
39.4 |
|
|
|
|
|
|
|
Amounts attributable to Allegion plc shareholders: |
|
|
|
|
|
Continuing operations |
|
$ |
35.8 |
|
|
$ |
39.6 |
|
|
Discontinued operations |
|
|
(0.2 |
) |
|
|
(0.2 |
) |
|
Net earnings |
|
$ |
35.6 |
|
|
$ |
39.4 |
|
|
|
|
|
|
|
Basic earnings (loss)
per ordinary share attributable to Allegion plc shareholders:
|
|
|
|
|
|
Continuing operations |
|
$ |
0.37 |
|
|
$ |
0.41 |
|
|
Discontinued operations |
|
|
— |
|
|
|
— |
|
|
Net earnings |
|
$ |
0.37 |
|
|
$ |
0.41 |
|
|
|
|
|
|
|
Diluted earnings
(loss) per ordinary share attributable to Allegion plc
shareholders:
|
|
|
|
|
|
Continuing operations |
|
$ |
0.37 |
|
|
$ |
0.41 |
|
|
Discontinued operations |
|
|
— |
|
|
|
— |
|
|
Net earnings |
|
$ |
0.37 |
|
|
$ |
0.41 |
|
|
|
|
|
|
|
Shares outstanding - basic |
|
|
96.3 |
|
|
|
96.0 |
|
|
Shares outstanding - diluted |
|
|
97.4 |
|
|
|
96.0 |
|
|
|
|
|
|
|
|
|
|
|
ALLEGION PLC
Condensed and
Consolidated Balance Sheets
(in millions)
|
|
|
|
|
|
|
UNAUDITED
|
|
|
|
|
|
|
|
|
|
|
|
March 31, 2014 |
|
December 31, 2013 |
|
ASSETS |
|
|
|
|
| Cash
and cash equivalents |
|
$ |
205.4 |
|
|
$ |
227.4 |
|
|
Restricted cash |
|
|
40.1 |
|
|
|
40.2 |
|
|
Accounts and notes receivables, net |
|
|
284.1 |
|
|
|
266.1 |
|
|
Costs in excess of
billings on uncompleted contracts
|
|
|
143.8 |
|
|
|
158.8 |
|
|
Inventory |
|
|
167.2 |
|
|
|
155.8 |
|
|
Other current assets |
|
|
73.3 |
|
|
|
74.9 |
|
|
Total current assets |
|
|
913.9 |
|
|
|
923.2 |
|
|
Property, plant and equipment, net |
|
|
208.9 |
|
|
|
203.0 |
|
|
Goodwill |
|
|
507.1 |
|
|
|
504.9 |
|
|
Intangible assets, net |
|
|
143.5 |
|
|
|
146.1 |
|
|
Other noncurrent assets |
|
|
204.5 |
|
|
|
202.7 |
|
|
Total assets |
|
$ |
1,977.9 |
|
|
$ |
1,979.9 |
|
|
|
|
|
|
|
LIABILITIES AND EQUITY |
|
|
|
|
|
Accounts payable |
|
$ |
213.6 |
|
|
$ |
211.3 |
|
|
Accrued expenses and other current liabilities |
|
|
177.3 |
|
|
|
207.3 |
|
|
Short-term borrowings and
current maturities of long-term debt
|
|
|
70.5 |
|
|
|
71.9 |
|
|
Total current liabilities |
|
|
461.4 |
|
|
|
490.5 |
|
|
Long-term debt |
|
|
1,264.4 |
|
|
|
1,272.0 |
|
|
Other noncurrent liabilities |
|
|
280.4 |
|
|
|
273.1 |
|
|
Equity |
|
|
(28.3 |
) |
|
|
(55.7 |
) |
|
Total liabilities and equity |
|
$ |
1,977.9 |
|
|
$ |
1,979.9 |
|
|
|
|
|
|
|
|
|
|
|
ALLEGION PLC
Condensed and
Consolidated Cash Flows
(in millions)
|
|
|
|
|
UNAUDITED
|
|
|
|
|
|
|
|
Three Months
Ended
March 31,
|
|
|
2014 |
|
2013 |
|
Operating Activities |
|
|
|
|
|
Earnings from continuing operations |
|
$ |
37.6 |
|
|
$ |
41.2 |
|
|
Goodwill impairment charge |
|
|
— |
|
|
|
— |
|
|
Depreciation and amortization |
|
|
12.2 |
|
|
|
11.7 |
|
|
Changes in assets and liabilities and other non-cash items |
|
|
(50.5 |
) |
|
|
(52.3 |
) |
| Net
cash from (used in) operating activities of continuing operations |
|
|
(0.7 |
) |
|
|
0.6 |
|
|
Net cash used in operating activities of discontinued operations |
|
|
(0.2 |
) |
|
|
(0.2 |
) |
| Net
cash from (used in) operating activities |
|
|
(0.9 |
) |
|
|
0.4 |
|
|
|
|
|
|
|
Investing Activities |
|
|
|
|
|
Capital expenditures |
|
|
(9.2 |
) |
|
|
(5.3 |
) |
|
Acquisitions of businesses, net of cash acquired |
|
|
(5.3 |
) |
|
|
— |
|
|
Other investing activities, net |
|
|
0.2 |
|
|
|
1.2 |
|
| Net
cash used in investing activities |
|
|
(14.3 |
) |
|
|
(4.1 |
) |
|
|
|
|
|
|
Financing Activities |
|
|
|
|
| Net
debt proceeds (repayments) |
|
|
(8.0 |
) |
|
|
1.7 |
|
|
Dividends paid to ordinary shareholders |
|
|
(7.2 |
) |
|
|
— |
|
| Net
transfers from Ingersoll-Rand |
|
|
— |
|
|
|
19.3 |
|
|
Other financing activities, net |
|
|
11.8 |
|
|
|
(2.8 |
) |
| Net
cash from (used in) financing activities |
|
|
(3.4 |
) |
|
|
18.2 |
|
|
|
|
|
|
|
Effect of exchange rate changes on cash and cash equivalents |
|
|
(3.4 |
) |
|
|
(18.2 |
) |
| Net
decrease in cash and cash equivalents |
|
|
(22.0 |
) |
|
|
(3.7 |
) |
|
Cash and cash equivalents - beginning of period |
|
|
227.4 |
|
|
|
317.5 |
|
|
Cash and cash equivalents - end of period |
|
$ |
205.4 |
|
|
$ |
313.8 |
|
|
|
|
|
|
|
|
|
|
|
SUPPLEMENTAL SCHEDULES
|
|
|
|
|
ALLEGION PLC
|
|
SCHEDULE 1
|
|
|
|
|
SELECTED OPERATING
SEGMENT INFORMATION
(in millions)
|
|
|
|
|
|
Three Months Ended March 31, |
|
|
2014 |
|
2013 |
|
Net revenues |
|
|
|
|
|
Americas |
|
$ |
345.4 |
|
|
$ |
351.3 |
|
|
EMEIA |
|
|
105.1 |
|
|
|
100.7 |
|
|
Asia Pacific |
|
|
22.0 |
|
|
|
21.3 |
|
|
Total net revenues |
|
$ |
472.5 |
|
|
$ |
473.3 |
|
|
|
|
|
|
|
Operating income (loss) |
|
|
|
|
|
Americas |
|
$ |
86.0 |
|
|
$ |
82.4 |
|
|
EMEIA |
|
|
(1.2 |
) |
|
|
(5.4 |
) |
| Asia
Pacific |
|
|
(3.0 |
) |
|
|
(1.1 |
) |
|
Corporate unallocated |
|
|
(15.0 |
) |
|
|
(7.1 |
) |
|
Total operating income |
|
$ |
66.8 |
|
|
$ |
68.8 |
|
|
|
|
|
|
|
|
|
|
|
ALLEGION PLC
|
SCHEDULE 2
|
|
|
|
RECONCILIATION OF GAAP
TO NON-GAAP EARNINGS FROM CONTINUING OPERATIONS
|
|
|
|
(in millions, except
per share data)
|
|
|
| The Company
has presented revenue, operating income, operating margin, earnings from
continuing operations, diluted earnings per share (EPS) from continuing
operations, on both a U.S. GAAP basis and on an adjusted basis and
presented adjusted EBITDA and adjusted EBITDA margin because the Company's
management believes it may assist investors in evaluating the Company's
on-going operations as a standalone public company. Adjustments to
revenue, operating income, operating margin, earnings and diluted EPS from
continuing operations and EBITDA include items that are considered to be
unusual or infrequent in nature such as restructuring charges and one-time
separation costs related to the spin-off from Ingersoll Rand. |
|
|
| The Company
considers these items unrelated to its core, on-going operating
performance, and believes the use of these non-GAAP measures allows
comparison of operating results that are consistent over time. The Company
believes these non-GAAP disclosures provide important supplemental
information to management and investors regarding financial and business
trends relating to the Company's financial condition and results of
operations. Management uses these non-GAAP measures internally to evaluate
the performance of the business. Investors should not consider these
non-GAAP measures as alternatives to the related GAAP measures. |
| |
|
|
Three months ended March 31, 2014 |
|
Three months ended March 31, 2013 |
|
|
Reported |
|
Spin-off
related and
other charges
|
|
Adjusted
(non-GAAP)
|
|
Reported |
|
Spin-off
related and
other charges
|
|
Adjusted
(non-GAAP)
|
| Net
revenues |
|
$ |
472.5 |
|
|
$ |
— |
|
|
$ |
472.5 |
|
|
$ |
473.3 |
|
|
$ |
(17.7 |
) |
(1)
|
|
$ |
455.6 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income |
|
|
66.8 |
|
|
$ |
9.3 |
(2)
|
|
|
76.1 |
|
|
|
68.8 |
|
|
$ |
4.5 |
|
(2)
|
|
|
73.3 |
|
|
Operating margin |
|
|
14.1 |
% |
|
|
|
|
|
16.1 |
% |
|
|
14.5 |
% |
|
|
|
|
|
16.1 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings before income taxes |
|
|
53.9 |
|
|
|
9.3 |
|
|
|
63.2 |
|
|
|
60.9 |
|
|
|
4.5 |
|
|
|
|
65.4 |
|
|
Provision for income taxes |
|
|
16.3 |
|
|
|
2.7 |
(3)
|
|
|
19.0 |
|
|
|
19.7 |
|
|
|
1.3 |
|
(3)
|
|
|
21.0 |
|
|
Earnings from continuing operations |
|
|
37.6 |
|
|
|
6.6 |
|
|
|
44.2 |
|
|
|
41.2 |
|
|
|
3.2 |
|
|
|
|
44.4 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Non-controlling interest |
|
|
1.8 |
|
|
|
— |
|
|
|
1.8 |
|
|
|
1.6 |
|
|
|
— |
|
|
|
|
1.6 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net earnings from
continuing operations attributable to Allegion plc
|
|
$
|
35.8
|
|
|
$ |
6.6 |
|
|
$ |
42.4 |
|
|
$ |
39.6 |
|
|
$ |
3.2 |
|
|
|
$ |
42.8 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings per
ordinary share attributable to Allegion plc shareholders:
|
|
$ |
0.37 |
|
|
$ |
0.07 |
|
|
$ |
0.44 |
|
|
$ |
0.41 |
|
|
$ |
0.04 |
|
|
|
$ |
0.45 |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) |
|
Adjustment to net revenue for the three months ended March 31, 2013
reflects the impact of a change in order flow through the Company's
consolidated joint venture in Asia resulting from a revised joint venture
operating agreement signed in late 2013. Previously, the joint venture
acted as a pass-through to the end customer. Products are now shipped
direct to the end customer with the joint venture receiving a royalty in
an amount that approximates the lost margin. The consolidated joint
venture no longer recognizes the revenue and cost of goods sold on these
products. The change did not have a material impact on operating income or
on cash flows for the three months ended March 31, 2014. |
|
(2) |
|
Adjustments to operating income for the three months ended March 31, 2014
and March 31, 2013 consist of $9.3 million of costs incurred as part of
the spin-off from Ingersoll Rand and restructuring charges in 2014 and
$4.5 million of restructuring charges incurred in 2013. |
|
(3) |
|
Adjustments to the provision for income taxes for the three months ended
March 31, 2014 and March 31, 2013 consist of $2.7 million and $1.3
million, respectively, of tax expense related to the items excluded from
operating income discussed above. |
|
|
|
|
ALLEGION PLC
|
|
|
|
SCHEDULE 3
|
|
|
|
|
|
|
RECONCILIATION OF GAAP
TO NON-GAAP REVENUE AND OPERATING INCOME BY REGION
|
|
|
|
|
|
|
(in millions)
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31, 2014
|
|
Three Months Ended
March 31, 2013
|
|
|
As Reported |
|
Margin |
|
As Reported |
|
Margin |
|
Americas |
|
|
|
|
|
|
|
|
| Net
revenues (GAAP) |
|
$ |
345.4 |
|
|
|
|
$ |
351.3 |
|
|
|
|
Impact of Asia JV order flow change |
|
|
— |
|
|
|
|
|
(17.7 |
) |
|
|
|
Adjusted net revenues |
|
$ |
345.4 |
|
|
|
|
$ |
333.6 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income (GAAP) |
|
$ |
86.0 |
|
|
24.9 |
% |
|
$ |
82.4 |
|
|
24.7 |
% |
|
Restructuring charges |
|
|
— |
|
|
— |
% |
|
|
0.1 |
|
|
0.0 |
% |
|
Spin-off related charges |
|
|
0.2 |
|
|
0.1 |
% |
|
|
— |
|
|
— |
% |
|
Adjusted operating income |
|
|
86.2 |
|
|
25.0 |
% |
|
|
82.5 |
|
|
24.7 |
% |
|
Depreciation and amortization |
|
|
6.2 |
|
|
1.8 |
% |
|
|
6.0 |
|
|
1.8 |
% |
|
Adjusted EBITDA |
|
$ |
92.4 |
|
|
26.8 |
% |
|
$ |
88.5 |
|
|
26.5 |
% |
|
|
|
|
|
|
|
|
|
|
EMEIA |
|
|
|
|
|
|
|
|
| Net
revenues (GAAP) |
|
$ |
105.1 |
|
|
|
|
$ |
100.7 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income (GAAP) |
|
$ |
(1.2 |
) |
|
(1.1 |
)% |
|
$ |
(5.4 |
) |
|
(5.4 |
)% |
|
Restructuring charges |
|
|
0.4 |
|
|
0.3 |
% |
|
|
4.4 |
|
|
4.4 |
% |
|
Spin-off related and other charges |
|
|
1.4 |
|
|
1.3 |
% |
|
|
— |
|
|
— |
% |
|
Adjusted operating income |
|
|
0.6 |
|
|
0.5 |
% |
|
|
(1.0 |
) |
|
(1.0 |
)% |
|
Depreciation and amortization |
|
|
4.4 |
|
|
4.2 |
% |
|
|
4.7 |
|
|
4.7 |
% |
|
Adjusted EBITDA |
|
$ |
5.0 |
|
|
4.7 |
% |
|
$ |
3.7 |
|
|
3.7 |
% |
|
|
|
|
|
|
|
|
|
|
Asia Pacific |
|
|
|
|
|
|
|
|
| Net
revenues (GAAP) |
|
$ |
22.0 |
|
|
|
|
$ |
21.3 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating income (GAAP) |
|
$ |
(3.0 |
) |
|
(13.6 |
)% |
|
$ |
(1.1 |
) |
|
(5.2 |
)% |
|
Spin-off related charges |
|
|
0.1 |
|
|
0.4 |
% |
|
|
— |
|
|
— |
|
|
Adjusted operating income |
|
|
(2.9 |
) |
|
(13.2 |
)% |
|
|
(1.1 |
) |
|
(5.2 |
)% |
|
Depreciation and amortization |
|
|
0.2 |
|
|
0.9 |
% |
|
|
0.3 |
|
|
1.4 |
% |
|
Adjusted EBITDA |
|
$ |
(2.7 |
) |
|
(12.3 |
)% |
|
$ |
(0.8 |
) |
|
(3.8 |
)% |
|
|
|
|
|
|
|
|
|
|
Corporate |
|
|
|
|
|
|
|
|
|
Operating income (GAAP) |
|
$ |
(15.0 |
) |
|
|
|
$ |
(7.1 |
) |
|
|
|
Spin-off related charges |
|
|
7.2 |
|
|
|
|
|
— |
|
|
|
|
Adjusted operating income |
|
|
(7.8 |
) |
|
|
|
|
(7.1 |
) |
|
|
|
Depreciation and amortization |
|
|
1.4 |
|
|
|
|
|
0.7 |
|
|
|
|
Adjusted EBITDA |
|
$ |
(6.4 |
) |
|
|
|
$ |
(6.4 |
) |
|
|
|
|
|
|
|
|
|
|
|
|
Total |
|
|
|
|
|
|
|
|
|
Adjusted net revenues |
|
$ |
472.5 |
|
|
|
|
$ |
455.6 |
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted operating income |
|
$ |
76.1 |
|
|
16.1 |
% |
|
$ |
73.3 |
|
|
16.1 |
% |
|
Depreciation and amortization |
|
|
12.2 |
|
|
2.6 |
% |
|
|
11.7 |
|
|
2.6 |
% |
|
Adjusted EBITDA |
|
$ |
88.3 |
|
|
18.7 |
% |
|
$ |
85.0 |
|
|
18.7 |
% |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
ALLEGION PLC
|
|
SCHEDULE 4
|
|
|
|
|
RECONCILIATION OF CASH
PROVIDED BY (USED IN) OPERATING ACTIVITIES TO AVAILABLE CASH FLOW AND NET
INCOME TO ADJUSTED EBITDA
|
|
|
|
|
(in millions)
|
|
|
|
|
|
|
|
Three Months
Ended
March 31,
|
|
|
2014 |
|
2013 |
| Net
cash provided by (used in) operating activities |
|
$ |
(0.9 |
) |
|
$ |
0.4 |
|
|
Capital expenditures |
|
|
(9.2 |
) |
|
|
(5.3 |
) |
|
Available cash flow |
|
$ |
(10.1 |
) |
|
$ |
(4.9 |
) |
|
|
|
|
|
|
|
Three Months
Ended
March 31,
|
|
|
2014 |
|
2013 |
| Net
earnings |
|
$ |
37.4 |
|
|
$ |
41.0 |
|
|
Provision for income taxes |
|
|
16.3 |
|
|
|
19.7 |
|
|
Interest expense |
|
|
13.1 |
|
|
|
0.4 |
|
|
Depreciation and amortization |
|
|
12.2 |
|
|
|
11.7 |
|
|
EBITDA |
|
|
79.0 |
|
|
|
72.8 |
|
|
|
|
|
|
|
Discontinued operations |
|
|
0.2 |
|
|
|
0.2 |
|
|
Other, net |
|
|
(0.2 |
) |
|
|
7.5 |
|
|
Restructuring charges,
spin-off related costs and other expenses
|
|
|
9.3 |
|
|
|
4.5 |
|
|
Adjusted EBITDA |
|
$ |
88.3 |
|
|
$ |
85.0 |
|
|
|
|
|
|
|
|
|
|
Allegion plc
Media:
Susana Duarte de Suarez, 317-810-3393
[email protected]
or
Analysts:
Tom Martineau, 317-810-3759
[email protected]
Source: Allegion plc
News Provided by Acquire Media
