Second Quarter 2021 Summary (all comparisons
year-over-year unless otherwise noted; results exclude aluminum
products discontinued operations)
- Net sales of $99.0 million increased 29.2%, including a 5.9%
benefit from foreign currency
- GAAP net income of $11.9 million, including $0.9 million in
restructuring and other expenses, increased from $4.6 million;
adjusted net income of $10.2 million increased 96.2%
- GAAP EPS of $0.42 increased from $0.16; adjusted EPS of $0.36
increased 89.5%
- Adjusted EBITDA of $17.3 million increased 63.2%; adjusted
EBITDA margin of 17.5% increased 370 basis points
- Narrowing 2021 adjusted EPS guidance range to $1.15 to $1.30,
including approximately $0.10 dilutive impact of SCI losses in the
second half; continue to expect SCI to be accretive in 2022
Luxfer Holdings PLC (NYSE: LXFR), (“Luxfer” or the
“Company”), a global manufacturer of highly-engineered industrial
materials, today announced financial results for the second
quarter, ending June 27, 2021.
Consolidated net sales increased 29.2% to $99.0 million from
$76.6 million, including a favorable foreign currency benefit of
$4.5 million, or 5.9%. The robust sales growth also included $8.0
million, or 10.4%, from the 2021 SCI acquisition. The sales volume
increase was broad-based due to recovery in most end markets, with
particular strength in magnesium products.
GAAP net income increased to $11.9 million, or $0.42 per diluted
share, compared to $4.6 million, or $0.16 per diluted share one
year ago. Results include $0.9 million in restructuring and other
charges and a one-time benefit from UK tax rate change, compared to
restructuring and other charges of $0.8 million in the prior year
period.
Adjusted net income increased 96.2% to $10.2 million from $5.2
million. Adjusted diluted earnings per share increased 89.5% to
$0.36 from $0.19. Adjusted EBITDA increased 63.2% to $17.3 million.
Adjusted EBITDA margin of 17.5% expanded 370 basis points.
“We delivered another strong quarter amid the continued global
economic recovery, benefitting from the continued execution of our
strategic initiatives and the acquisition of SCI,” said Alok
Maskara, Luxfer’s Chief Executive Officer. “During the quarter, we
saw strength in our magnesium products, as well as a rebound in our
general industrial businesses. Robust free cash flow and a low net
leverage position provided us with the financial flexibility to
strategically invest in innovation and future growth opportunities,
while increasing shareholder returns through dividend and share
buybacks.”
Segment Results (all comparisons year-over-year unless
otherwise noted; results exclude aluminum products discontinued
operations)
Elektron Segment
- Net sales of $52.5 million increased 34.3% including a $1.7
million, or 4.3%, benefit from foreign currency.
- Adjusted EBITDA of $12.0 million increased 126% and margin
expanded 930 basis points to 22.9% from 13.6%.
Gas Cylinders Segment
- Net sales of $46.5 million increased 24.0% including a $2.8
million, or 7.5%, benefit from foreign currency, and an $8.0
million, or 21.3%, contribution from the acquisition of SCI.
- Adjusted EBITDA of $5.3 million remained flat and EBITDA margin
decreased compared to the prior year due to lower core sales and
impact of SCI acquisition, partially offset by cost
reductions.
Capital Resources and Liquidity
Free cash flow of $7.0 million for the quarter, compared to an
inflow of $12.1 million in the prior year. Resulting year to date
free cash flow of $20.8 million compares favorably to $5.1 million
from the first half of prior year. During the quarter, the Company
paid $3.4 million in ordinary dividends, or $0.125 per share, and
repurchased shares totaling $0.9 million related to the Company’s
previously announced share buyback program. Given the strong cash
flow, the Company maintains normal levels of funding for growth and
productivity initiatives. At quarter end, net debt totaled $39.5
million, resulting in a net debt to EBITDA ratio of 0.6x.
2021 Guidance
“We are narrowing our previously announced guidance of Adjusted
EPS to the range of $1.15 to $1.30, including an estimated $0.10
dilutive impact of the SCI acquisition in the second half of the
year. We will remain focused on retaining a strong balance sheet,
providing us the financial flexibility to continue investing in
growth, returning cash to shareholders and exploring acquisition
opportunities to deliver long-term profitable growth and
shareholder value creation,” added Maskara.
Conference Call Information
Luxfer has scheduled a conference call at 8:30 a.m. U.S. Eastern
Daylight Time on Tuesday, July 27, 2021, during which management
will provide a review of the Company’s financial results for the
second quarter of 2021. U.S. participants may access the conference
call by telephoning +1-877-341-8545. Participants from other
countries may access the conference call by telephoning
+1-908-982-4601. The participant conference ID code is 6047794. The
following link provides access to a webcast for the conference
call:
https://event.on24.com/wcc/r/3308114/C1138386411DE4658DBB86D26C2E1B3C
A recording of the conference call will be available for replay
two hours after the completion of the call and will remain
accessible until the next quarterly report is released. To hear the
recording, please call +1-855-859-2056 in the U.S. and
+1-404-537-3406 in other countries. Enter conference ID code
6047794 when prompted. Slides used in the presentation and a
recording of the call will also be available in the Investor
Relations section of the Luxfer website at www.luxfer.com.
Non-GAAP Financial Measures
Luxfer Holdings PLC prepares its financial statements using U.S.
Generally Accepted Accounting Principles (GAAP). When a company
discloses material information containing non-GAAP financial
measures, SEC regulations require that the disclosure include a
presentation of the most directly comparable GAAP measure and a
reconciliation of the GAAP and non-GAAP financial measures.
Management’s inclusion of non-GAAP financial measures in this
release is intended to supplement, not replace, the presentation of
the financial results in accordance with GAAP. Luxfer management
believes that these non-GAAP financial measures, when considered
together with the GAAP financial measures, provide information that
is useful to investors in understanding period-over-period
operating results separate and apart from items that may, or could,
have a disproportionately positive or negative impact on results in
any period. Management also believes that these non-GAAP financial
measures enhance the ability of investors to analyze the Company’s
business trends and understand the Company’s performance. In
addition, management may utilize non-GAAP financial measures as a
guide in the Company’s forecasting, budgeting and long-term
planning process. Non-GAAP financial measures should be considered
in addition to, and not as a substitute for, or superior to,
financial measures presented in accordance with GAAP.
Forward-Looking Statements
This release contains certain forward-looking statements that
involve risks and uncertainties that could cause actual results to
differ materially from those projected in the forward-looking
statements. Examples of such forward-looking statements include,
but are not limited to: (i) statements regarding the Company’s
results of operations and financial condition; (ii) statements of
plans, objectives or goals of the Company or its management,
including those related to financing, products or services; (iii)
statements of future economic performance; and (iv) statements of
assumptions underlying such statements. Words such as “believes,”
“anticipates,” “expects,” “intends,” “forecasts,” and “plans,” and
similar expressions, are intended to identify forward-looking
statements but are not the exclusive means of identifying such
statements. By their very nature, forward-looking statements
involve inherent risks and uncertainties, both general and
specific, and risks exist that the predictions, forecasts,
projections and other forward-looking statements will not be
achieved. The Company cautions that several important factors could
cause actual results to differ materially from the plans,
objectives, expectations, estimates and intentions expressed in
such forward-looking statements. These factors include, but are not
limited to: (i) lower than expected future sales; (ii) increasing
competitive industry pressures; (iii) general economic conditions
or conditions affecting demand for the products and services it
offers, both domestically and internationally, including as a
result of post-Brexit regulation, being less favorable than
expected; (iv) worldwide economic and business conditions and
conditions in the industries in which it operates; (v) fluctuations
in the cost of raw materials, utilities and other inputs; (vi)
currency fluctuations and hedging risks; (vii) its ability to
protect its intellectual property; (viii) the significant amount of
indebtedness it has incurred and may incur and the obligations to
service such indebtedness and to comply with the covenants
contained therein; and (ix) risks related to the impact of the
global COVID-19 pandemic, such as the scope and duration of the
outbreak, government actions and restrictive measures implemented
in response, supply chain disruptions and other impacts to the
business, and the Company’s ability to execute business continuity
plans, as a result of the COVID-19 pandemic. The Company cautions
that the foregoing list of important factors is not exhaustive.
These factors are more fully discussed in the sections entitled
“Forward-Looking Statements” and “Risk Factors” in its Annual
Report on Form 10-K for the year ended December 31, 2020, which was
filed with the U.S. Securities and Exchange Commission on March 2,
2021. When relying on forward-looking statements to make decisions
with respect to the Company, investors and others should carefully
consider the foregoing factors and other uncertainties and events.
Such forward-looking statements speak only as of the date on which
they are made, and the Company does not undertake any obligation to
update or revise any of them, whether because of new information,
future events or otherwise.
About Luxfer Holdings PLC (“Luxfer”)
Luxfer is a global manufacturer of highly-engineered industrial
materials, which focuses on value creation by using its broad array
of technical know-how and proprietary technologies. Luxfer’s
high-performance materials, components and high-pressure gas
containment devices are used in defense and emergency response,
healthcare, transportation and general industrial applications. For
more information, please visit www.luxfer.com.
Luxfer is listed on the New York Stock Exchange and its ordinary
shares trade under the symbol LXFR.
LUXFER HOLDINGS PLC
CONDENSED CONSOLIDATED STATEMENTS OF
INCOME (UNAUDITED)
Second Quarter
Year-to-date
In millions, except share and per-share
data
2021
2020
2021
2020
Net sales
$
99.0
$
76.6
$
184.2
$
165.0
Cost of goods sold
(73.1
)
(58.6
)
(133.1
)
(122.9
)
Gross profit
25.9
18.0
51.1
42.1
Selling, general and administrative
expenses
(12.7
)
(10.5
)
(23.3
)
(21.9
)
Research and development
(0.8
)
(0.9
)
(1.6
)
(1.6
)
Restructuring charges
(0.2
)
(0.8
)
(1.6
)
(3.6
)
Acquisition and disposal related costs
(0.7
)
—
(0.9
)
(0.2
)
Other charges
—
—
(1.1
)
—
Operating income
11.5
5.8
22.6
14.8
Interest expense
(0.8
)
(1.1
)
(1.6
)
(2.3
)
Defined benefit pension credit
0.6
1.1
1.2
2.2
Income before income taxes and equity
in net loss from affiliates
11.3
5.8
22.2
14.7
Credit / (provision) for income taxes
0.6
(1.1
)
(1.7
)
(2.8
)
Income before equity in net loss from
affiliates
11.9
4.7
20.5
11.9
Equity in net loss from affiliates (net of
tax)
—
(0.1
)
—
(0.1
)
Net income from continuing
operations
11.9
4.6
20.5
11.8
Net loss from discontinued operations, net
of tax
(0.5
)
(0.5
)
(2.1
)
(1.5
)
Gain on disposition of discontinued
operations, net of tax
(0.4
)
—
7.1
—
Net (loss) / income from discontinued
operations
$
(0.9
)
$
(0.5
)
$
5.0
$
(1.5
)
Net income
$
11.0
$
4.1
$
25.5
$
10.3
Earnings / (loss) per share1
Basic from continuing operations
$
0.43
$
0.17
$
0.74
$
0.43
Basic from discontinued operations2
$
(0.03
)
$
(0.02
)
$
0.18
$
(0.05
)
Basic
$
0.40
$
0.15
$
0.92
$
0.37
Diluted from continuing operations
$
0.42
$
0.16
$
0.73
$
0.42
Diluted from discontinued operations2
$
(0.03
)
$
(0.02
)
$
0.18
$
(0.05
)
Diluted
$
0.39
$
0.15
$
0.91
$
0.37
Weighted average ordinary shares
outstanding
Basic
27,771,983
27,540,377
27,717,025
27,490,955
Diluted
28,131,785
27,968,825
28,095,788
27,933,119
1 The calculation of earnings per share is
performed separately for continuing and discontinued operations. As
a result, the sum of the two in any particular period may not equal
the earnings-per-share amount in total.
2 The loss per share for discontinued
operations in the Second Quarter of 2021 and Second quarter and
year-to-date of 2020 has not been diluted, since the incremental
shares included in the weighted-average number of shares
outstanding would have been anti-dilutive.
LUXFER HOLDINGS PLC CONDENSED CONSOLIDATED BALANCE SHEETS
(UNAUDITED)
June 27,
December 31,
In millions, except share and per-share
data
2021
2020
Current assets
Cash and cash equivalents
$
10.1
$
1.5
Restricted cash
0.2
—
Accounts and other receivables, net of
allowances of $0.5 and $0.5, respectively
57.5
43.1
Inventories
77.3
68.8
Current assets held-for-sale
20.1
36.0
Other current assets
1.1
1.5
Total current assets
$
166.3
$
150.9
Non-current assets
Property, plant and equipment, net
$
90.8
$
86.0
Right-of-use assets from operating
leases
8.9
9.5
Goodwill
73.3
70.2
Intangibles, net
12.5
12.8
Deferred tax assets
19.4
16.5
Investments and loans to joint ventures
and other affiliates
0.5
0.5
Total assets
$
371.7
$
346.4
Current liabilities
Accounts payable
$
28.9
$
18.6
Accrued liabilities
26.2
21.5
Taxes on income
3.1
0.4
Current liabilities held-for-sale
6.5
11.4
Other current liabilities
13.3
13.5
Total current liabilities
$
78.0
$
65.4
Non-current liabilities
Long-term debt
$
49.6
$
53.4
Pensions and other retirement benefits
45.9
50.8
Deferred tax liabilities
2.1
2.0
Other non-current liabilities
7.9
7.7
Total liabilities
$
183.5
$
179.3
Shareholders' equity
Ordinary shares of £0.50 par value;
authorized 40,000,000 shares for 2021 and 2020; issued and
outstanding 28,962,000 shares for 2021 and 29,000,000 2020.
$
26.5
$
26.6
Deferred shares of £0.0001 par value;
authorized issued and outstanding 761,835,338,444 shares for 2021
and 2020
149.9
149.9
Additional paid-in capital
69.5
70.6
Treasury shares
(4.0
)
(4.0
)
Own shares held by ESOP
(1.2
)
(1.4
)
Retained earnings
109.9
91.2
Accumulated other comprehensive loss
(162.4
)
(165.8
)
Total shareholders' equity
$
188.2
$
167.1
Total liabilities and shareholders'
equity
$
371.7
$
346.4
LUXFER HOLDINGS PLC
CONDENSED CONSOLIDATED STATEMENTS OF
CASH FLOWS (UNAUDITED)
Year-to-date
In millions
2021
2020
Operating activities
Net income
$
25.5
$
10.3
Net (income) / loss from discontinued
operations
(5.0
)
$
1.5
Net income from continuing operations
$
20.5
$
11.8
Adjustments to reconcile net income to net
cash provided by operating activities
Equity in net loss from affiliates
—
0.1
Depreciation
7.0
6.2
Amortization of purchased intangible
assets
0.4
0.4
Amortization of debt issuance costs
0.3
0.3
Share-based compensation charges
1.4
1.3
Deferred income taxes
(1.9
)
0.2
Defined benefit pension credit
(1.2
)
(2.2
)
Defined benefit pension contributions
(2.9
)
(1.8
)
Changes in assets and liabilities
Accounts and other receivables
(8.4
)
0.6
Inventories
(1.4
)
(3.0
)
Other current assets
(2.8
)
4.9
Accounts payable
7.5
(6.7
)
Accrued liabilities
4.5
(2.3
)
Other current liabilities
0.5
—
Other non-current assets and
liabilities
0.9
(0.3
)
Net cash provided by operating activities
- continuing
24.4
9.5
Net cash provided by operating activities
- discontinued
—
—
Net cash provided by operating
activities
$
24.4
$
9.5
Investing activities
Capital expenditures
$
(3.6
)
$
(4.4
)
Proceeds from sale of businesses and
other
20.6
—
Acquisitions, net of cash acquired
(19.3
)
—
Net cash used for investing activities -
continuing
(2.3
)
(4.4
)
Net cash used for investing activities -
discontinued
—
—
Net cash used for investing
activities
$
(2.3
)
$
(4.4
)
Financing activities
Net (repayment) / drawdown of long-term
borrowings
$
(4.4
)
$
0.4
Deferred consideration paid
—
(0.4
)
Proceeds from sale of shares
—
1.1
Repurchase of own shares
(0.9
)
—
Share-based compensation cash paid
(1.5
)
(1.2
)
Dividends paid
(6.8
)
(6.8
)
Net cash used for financing
activities
$
(13.6
)
$
(6.9
)
Effect of exchange rate changes on cash
and cash equivalents
0.3
(0.3
)
Net increase / (decrease)
$
8.8
$
(2.1
)
Cash, cash equivalents and restricted
cash; beginning of year
1.5
10.3
Cash, cash equivalents and restricted
cash; end of the Second Quarter
10.3
8.2
Supplemental cash flow
information:
Interest payments
$
1.7
$
2.5
Income tax payments
3.7
0.2
LUXFER HOLDINGS PLC
SUPPLEMENTAL INFORMATION
SEGMENT INFORMATION (UNAUDITED)
Net sales
Adjusted EBITDA
Second Quarter
Year-to-date
Second Quarter
Year-to-date
In millions
2021
2020
2021
2020
2021
2020
2021
2020
Gas Cylinders segment
$
46.5
$
37.5
$
82.7
$
74.7
$
5.3
$
5.3
$
11.3
$
9.5
Elektron segment
52.5
39.1
101.5
90.3
12.0
5.3
23.7
16.9
Consolidated
$
99.0
$
76.6
$
184.2
$
165.0
$
17.3
$
10.6
$
35.0
$
26.4
Depreciation and
amortization
Restructuring charges
Second Quarter
Year-to-date
Second Quarter
Year-to-date
In millions
2021
2020
2021
2020
2021
2020
2021
2020
Gas Cylinders segment
$
1.6
$
0.9
$
2.5
$
1.8
$
0.2
$
0.8
$
0.7
$
3.4
Elektron segment
2.4
2.4
4.9
4.8
—
0.1
0.9
0.1
Other
—
—
—
—
—
(0.1
)
—
0.1
Consolidated
$
4.0
$
3.3
$
7.4
$
6.6
$
0.2
$
0.8
$
1.6
$
3.6
Second Quarter
Year-to-date
In millions
2021
2020
2021
2020
Adjusted EBITDA
$
17.3
$
10.6
$
35.0
$
26.4
Other share-based compensation charges
(0.9
)
(0.8
)
(1.4
)
(1.3
)
Depreciation and amortization
(4.0
)
(3.3
)
(7.4
)
(6.6
)
Restructuring charges
(0.2
)
(0.8
)
(1.6
)
(3.6
)
Acquisition and disposal related costs
(0.7
)
—
(0.9
)
(0.2
)
Other charges
—
—
(1.1
)
—
Defined benefits pension credit
0.6
1.1
1.2
2.2
Interest expense, net
(0.8
)
(1.1
)
(1.6
)
(2.3
)
Credit / (provision) for income taxes
0.6
(1.1
)
(1.7
)
(2.8
)
Net income from continuing operations
$
11.9
$
4.6
$
20.5
$
11.8
LUXFER HOLDINGS PLC
ADJUSTED NET INCOME AND ADJUSTED
EARNINGS PER SHARE (UNAUDITED)
Second Quarter
Year-to-date
In millions except per share data
2021
2020
2021
2020
Net income from continuing operations
$
11.9
$
4.6
$
20.5
$
11.8
Accounting charges relating to
acquisitions and disposals of businesses:
Amortization on acquired intangibles
0.2
0.2
0.4
0.4
Acquisition and disposal related costs
0.7
—
0.9
0.2
Defined benefit pension credit
(0.6
)
(1.1
)
(1.2
)
(2.2
)
Restructuring charges
0.2
0.8
1.6
3.6
Other charges
—
—
1.1
—
Share-based compensation charges
0.9
0.8
1.4
1.3
Other non-recurring tax items
(2.2
)
—
(2.2
)
—
Income tax on adjusted items
(0.9
)
(0.1
)
(1.4
)
(0.5
)
Adjusted net income
$
10.2
$
5.2
$
21.1
$
14.6
Adjusted earnings per ordinary
share
Diluted earnings per ordinary share
$
0.42
$
0.16
$
0.73
$
0.42
Impact of adjusted items
(0.06
)
0.02
0.02
0.10
Adjusted diluted earnings per ordinary
share
$
0.36
$
0.19
$
0.75
$
0.52
ADJUSTED EBITDA (UNAUDITED)
Second Quarter
Year-to-date
In millions
2021
2020
2021
2020
Adjusted net income
$
10.2
$
5.2
$
21.1
$
14.6
Add back:
Other non-recurring tax items
2.2
—
2.2
—
Income tax on adjusted items
0.9
0.1
1.4
0.5
Provision for income taxes
(0.6
)
1.1
1.7
2.8
Net finance costs
0.8
1.1
1.6
2.3
Adjusted EBITA
$
13.5
$
7.5
$
28.0
$
20.2
Depreciation
3.8
3.1
7.0
6.2
Adjusted EBITDA
$
17.3
$
10.6
$
35.0
$
26.4
ADJUSTED EFFECTIVE TAX RATE (UNAUDITED)
Second Quarter
Year-to-date
In millions
2021
2020
2021
2020
Adjusted net income
$
10.2
$
5.2
$
21.1
$
14.6
Add back:
Other non-recurring tax items
2.2
—
2.2
—
Income tax on adjusted items
0.9
0.1
1.4
0.5
Provision for income taxes
(0.6
)
1.1
1.7
2.8
Adjusted income before income taxes
$
12.7
$
6.4
$
26.4
$
17.9
Adjusted provision for income taxes
2.5
1.2
5.3
3.3
Adjusted effective tax rate
19.7
%
18.8
%
20.1
%
18.4
%
View source
version on businesswire.com: https://www.businesswire.com/news/home/20210726005701/en/
Investor Contact: Heather Harding Chief Financial Officer
+1-414-269-2419 Investor.Relations@luxfer.com
Luxfer (NYSE:LXFR)
過去 株価チャート
から 6 2024 まで 7 2024
Luxfer (NYSE:LXFR)
過去 株価チャート
から 7 2023 まで 7 2024