PHILADELPHIA, May 10, 2017 /PRNewswire/ -- CDI Corp.
(NYSE: CDI) (the "Company") today reported results for the
first quarter ended March 31,
2017.
"During the first quarter, our investments in sales capacity and
our collaborative programs to restore growth demonstrated positive
momentum, with an expanding sales pipeline, add-on business secured
from existing clients, and multiple new client wins," stated
President and Interim Chief Executive Officer Michael S. Castleman. "We are progressing
from a complex portfolio of independent staffing and service
operations to a collaborative company that delivers managed,
project and staffing services fueled by technical talent. As
we continue this transformation, we remain intensely focused on
opportunities to improve sales effectiveness, productivity and
operating efficiency."
First Quarter 2017 Overview
- First quarter revenue of $187.6
million versus $233.5 million
in first quarter 2016, or $210.6
million in first quarter 2016 excluding CDI AndersElite
Limited ("Anders"), which was sold in September 2016
- First quarter net loss of $6.8
million, or $(0.37) per
diluted share, versus net loss of $4.8
million in first quarter 2016, or $(0.24) per diluted share
- First quarter adjusted EBITDA1 loss of $2.6 million versus a loss of $0.8 million in first quarter 2016
- First quarter cash flow from operating activities was a deficit
of $7.9 million, and total liquidity
was $117.0 million as of March 31, 2017.
Summary Results from Operations for the First Quarter
2017
For the first quarter 2017, revenue of $187.6 million compares to prior-year first
quarter revenue of $210.6 million,
adjusting for the sale of Anders.
Enterprise Talent revenue of $102.2 million compares to prior-year first
quarter revenue of $139.6 million, or
$116.7 million excluding Anders.
Specialty Talent & Technology Solutions revenue of
$17.9 million compares to prior-year
first quarter revenue of $18.4
million. Specialty Talent revenue of $10.2 million compares to prior-year first
quarter revenue of $10.0 million,
while Technology Solutions revenue of $7.7
million compares to prior-year first quarter revenue of
$8.4 million.
1 Adjusted EBITDA excludes from net loss interest,
income taxes, depreciation and amortization expense, restructuring
and other related costs, share-based compensation expense, certain
corporate development related items and earnout adjustments. See
the financial tables accompanying this release for more information
on non-GAAP financial measures and the reconciliation of these
measures to GAAP measures.
Engineering Solutions revenue of $56.2 million compares to prior-year first
quarter revenue of $63.3
million. Energy, Chemicals and Infrastructure
(EC&I) revenue of $27.4 million
compares to prior-year first quarter revenue of $34.0 million. Aerospace and Industrial
Equipment (AIE) revenue of $12.6
million compares to prior-year first quarter revenue of
$13.1 million. Government
Services revenue of $16.2 million was
flat with the prior-year first quarter.
Management Recruiters International, Inc. (MRI) revenue
of $11.3 million compares to
prior-year first quarter revenue of $12.2
million. Contract Staffing revenue of $8.9 million compares to prior-year first quarter
revenue of $9.2 million, while
Royalty & Franchise Fees of $2.4
million compare to the prior-year figure of $3.0 million.
Gross profit of $34.1 million
compares to prior-year first quarter gross profit of $43.3 million, or $39.4
million when excluding Anders, a decline of $5.3 million. Gross margin when excluding
Anders declined 50 basis points year-over-year, to 18.2%.
The Company reported an operating loss in the first quarter of
$5.9 million compared to an operating
loss of $3.8 million in the year-ago
quarter.
Operating and administrative expenses in the first quarter were
$40.0 million versus prior-year first
quarter of $47.0 million, or
$42.7 million when excluding Anders,
an improvement of $2.7 million.
More detailed segment data are included in the tables
accompanying this release and in the Company's Form 10-Q
Report.
Balance Sheet and Liquidity
CDI ended the first quarter with $6.7
million in cash and cash equivalents versus $3.2 million at the end of 2016 and $9.8 million as of March
31, 2016. The Company had $14.2
million of debt outstanding as of March 31, 2017, versus no debt outstanding at
December 31, 2016, and $16.9 million outstanding as of March 31, 2016. Cash flow from operating
activities was a deficit of $7.9
million in the first quarter of 2017 versus a deficit of
$0.7 million in the first quarter of
2016. Liquidity, including availability under CDI's bank and credit
facilities, totaled $117.0 million at
March 31, 2017, versus $125.5 million at the end of 2016 and
$136.6 million at March 31, 2016.
Business Outlook
The Company expects revenue for the second quarter of 2017 to
range from $170 million to $175
million, with the expected sequential decline primarily
attributable to seasonal decreases and client attrition in the
lower gross margin Western Canada
pipeline inspection business that is part of the North America
Staffing vertical. In contrast, the Company expects revenue
to be largely stable sequentially across its other business
verticals. The Company also expects the impact of revenue
pressure in the second quarter to be substantially offset by
improvement in gross margin as a result of favorable changes in
service mix to higher margin solutions verticals, and by lower
operating expenses.
Webcast
At 4:30 p.m. Eastern Time on
May 10, 2017, Michael S. Castleman, President and Interim CEO,
will host a webcast to discuss the first quarter 2017 results and
business outlook. The webcast can be accessed live, via the
Internet, at www.cdicorp.com.
About CDI
CDI Corp. (NYSE: CDI) seeks to create extraordinary outcomes
with our clients by delivering solutions based on skilled technical
and professional talent. Our business is comprised of four
segments: Enterprise Talent, Specialty Talent & Technology
Solutions, Engineering Solutions and MRI. We provide engineering
and information technology solutions encompassing managed, project
and talent services. Our clients are in multiple industries,
including energy, chemicals, infrastructure, aerospace, industrial
equipment and technology, and also include municipal and state
governments and the U.S. Department of Defense. We have offices and
delivery centers in the U.S. and Canada. In addition, we provide recruiting and
staffing services through our global MRINetwork® of
franchisees. Learn more at www.cdicorp.com.
Caution Concerning Forward-Looking Statements
This press release contains forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of
1995. In addition, from time to time, we and our representatives
may make statements that are forward-looking. All statements that
address expectations or projections about the future, including,
but not limited to, statements about our plans, strategies,
adequacy of resources and future financial results (such as
revenue, gross profit, operating profit, cash flow, and tax rate),
are forward-looking statements. Some of the forward-looking
statements can be identified by words like "anticipates,"
"believes," "expects," "may," "will," "could," "should," "intends,"
"plans," "estimates" and similar references to future periods.
These statements are not guarantees of future performance and
involve a number of risks, uncertainties and assumptions that are
difficult to predict. Because these forward-looking statements are
based on estimates and assumptions that are subject to significant
business, economic and competitive uncertainties, many of which are
beyond our control or are subject to change, actual outcomes and
results may differ materially from what is expressed or forecasted
in these forward-looking statements. Important factors that could
cause actual results to differ materially from these
forward-looking statements include, but are not limited to:
weakness or volatility in general economic conditions and levels of
capital spending by clients in the industries we serve; weakness or
volatility in the financial and capital markets, which may result
in the postponement or cancellation of our clients' projects or the
inability of our clients to pay our fees; the termination of one or
more major client contracts or projects; the uncertain timing and
funding of new contract awards and renewals; a high concentration
of our business with a few large clients; the impact and outcome of
our decision to explore strategic alternatives, as announced on
March 20, 2017; the failure to
achieve the anticipated benefits of acquisitions, and difficulties
in integrating acquired businesses with CDI; the inability to
obtain favorable price and other terms for any acquisitions and
divestitures we may do; delays or reductions in government
spending; credit risks associated with our clients; competitive
market pressures; foreign currency fluctuations; restrictions on
the availability of funds and on our activities under our
asset-based, secured credit facility; the availability, retention
and cost of qualified labor; our level of success in attracting,
training, and retaining qualified management personnel and other
staff employees; changes in tax laws and other government
regulations, including the impact of health care reform laws and
regulations; the possibility of incurring liability for our
business activities, including, but not limited to, the activities
of our professional employees and our temporary employees; our
performance on client contracts; negative outcome of pending and
future claims and litigation; improper disclosure or loss of
sensitive or confidential company, client, government, employee or
candidate information, including personal data; and government
policies, legislation or judicial decisions adverse to our
businesses. More detailed information about these and other risks
and uncertainties may be found in our filings with the United
States Securities and Exchange Commission (SEC), particularly in
the "Risk Factors" section in Part I, Item 1A of the Company's
Annual Report on Form 10-K for the year ended December 31, 2016. Readers are cautioned not to
place undue reliance on these forward-looking statements, which
speak only as of the date hereof. We assume no obligation to update
such statements, whether as a result of new information, future
events or otherwise, except as required by law. Unless the context
otherwise requires, all references herein to "CDI," the
"Registrant," the "Company," "we," "us" or "our" are to CDI Corp.
and its consolidated subsidiaries.
Use of Non-GAAP Financial Measures
This press release contains financial information calculated
other than pursuant to U.S. Generally Accepted Accounting
Principles (GAAP). In particular, it includes Adjusted EBITDA and
Adjusted EBITDA Margin which are adjusted to exclude from net loss
interest, income taxes, depreciation and amortization expense,
restructuring and other related costs, share-based compensation
expense, certain corporate development related costs and earnout
adjustments, and Adjusted EPS which excludes from diluted earnings
per common share certain corporate development related costs,
earnout adjustments, amortization of acquired intangibles, and the
related income tax effect. We present these as supplemental
measures of performance.
These non-GAAP measures have limitations as analytical tools,
should not be viewed as a substitute for financial information
determined in accordance with GAAP, and should not be considered in
isolation or as a substitute for analysis of the Company's results
as reported under GAAP. Some of the limitations of Adjusted EBITDA
and Adjusted EPS as analytical tools are: (i) these measures do not
reflect all our cash expenditures, or future requirements, for
capital expenditures or contractual commitments; (ii) these
measures do not reflect changes in, or cash requirements for, our
working capital needs; (iii) these measures do not reflect interest
expense, or the cash requirements necessary to service interest or
principal payments, on our debts; (iv) although depreciation and
amortization are non-cash charges, the assets being depreciated and
amortized often will have to be replaced in the future, and
Adjusted EBITDA does not reflect any cash requirements for such
replacements; (v) share-based compensation is and will remain a key
element of our overall long-term incentive compensation package,
although we exclude it from Adjusted EBITDA as an expense when
evaluating our ongoing operating performance for a particular
period; (vi) these measures do not reflect the impact of certain
cash charges resulting from matters we consider not to be
indicative of our ongoing operations; and (vii) other companies in
our industry may calculate these measures differently than we do,
limiting its usefulness as a comparative measure.
We present these non-GAAP financial measures because we believe
these assist investors and analysts in comparing our performance
across reporting periods on a consistent basis by excluding items
that we do not believe are indicative of our core operating
performance. These non-GAAP financial measures are also used by
management in its evaluation of core operations and financial and
operational decision-making.
Financial Tables Follow
CDI CORP. AND
SUBSIDIARIES
(Amounts in
thousands, except per share data)
(Unaudited)
|
|
|
|
|
|
Three Months
Ended
|
|
|
March
31,
|
Consolidated
Statements of Operations:
|
|
2017
|
|
2016
|
|
|
|
|
|
Revenue
|
|
$
|
187,565
|
|
|
$
|
233,524
|
|
Cost of
services
|
|
153,446
|
|
|
190,249
|
|
Gross
profit
|
|
34,119
|
|
|
43,275
|
|
Operating and
administrative expenses (1)
|
|
39,978
|
|
|
47,047
|
|
Restructuring and
other related costs (2)
|
|
—
|
|
|
49
|
|
Operating
loss
|
|
(5,859)
|
|
|
(3,821)
|
|
Other income
(expense), net
|
|
(413)
|
|
|
(149)
|
|
Loss before income
taxes
|
|
(6,272)
|
|
|
(3,970)
|
|
Income tax
expense
|
|
565
|
|
|
847
|
|
Net loss
|
|
$
|
(6,837)
|
|
|
$
|
(4,817)
|
|
|
|
|
|
|
Earnings (loss)
per common share:
|
|
|
|
|
Basic and
diluted
|
|
$
|
(0.37)
|
|
|
$
|
(0.24)
|
|
Weighted-average
shares outstanding - Basic and Diluted
|
18,679
|
|
|
19,679
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selected Balance
Sheet Data:
|
|
March 31,
2017
|
|
December 31,
2016
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$
|
6,707
|
|
|
$
|
3,165
|
|
Accounts receivable,
net
|
|
187,905
|
|
|
178,365
|
|
Total current
assets
|
|
212,209
|
|
|
196,368
|
|
Total
assets
|
|
304,947
|
|
|
289,292
|
|
Total current
liabilities
|
|
102,175
|
|
|
80,870
|
|
Total
equity
|
|
183,029
|
|
|
188,976
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
March
31,
|
Selected Cash Flow
Data:
|
|
2017
|
|
2016
|
|
|
|
|
|
Net cash used in
operating activities
|
|
$
|
(7,875)
|
|
|
$
|
(677)
|
|
Depreciation and
amortization
|
|
2,110
|
|
|
3,082
|
|
Capital
expenditures
|
|
546
|
|
|
1,115
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
March
31,
|
Selected Earnings
and Other Financial Data:
|
|
2017
|
|
2016
|
|
|
|
|
|
Gross
margin
|
|
18.2
|
%
|
|
18.5
|
%
|
Operating and
administrative expenses as a percentage of revenue
|
21.3
|
%
|
|
20.1
|
%
|
Operating
margin
|
|
(3.1)
|
%
|
|
(1.6)
|
%
|
Effective income tax
rate
|
|
(9.0)
|
%
|
|
(21.3)
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
March
31,
|
Selected Segment
Data:
|
|
2017
|
|
2016
|
|
|
|
|
|
Enterprise
Talent
|
|
|
|
|
Revenue:
|
|
|
|
|
North America
Staffing
|
|
$
|
102,161
|
|
|
$
|
116,684
|
|
UK Staffing
(3)
|
|
—
|
|
|
22,965
|
|
Total
revenue
|
|
$
|
102,161
|
|
|
$
|
139,649
|
|
Gross
profit
|
|
$
|
10,314
|
|
|
$
|
16,481
|
|
Gross
margin
|
|
10.1
|
%
|
|
11.8
|
%
|
Operating profit
(2), (4)
|
|
$
|
1,780
|
|
|
$
|
1,135
|
|
Operating
margin
|
|
1.7
|
%
|
|
0.8
|
%
|
|
|
|
|
|
Specialty Talent
and Technology Solutions
|
|
|
|
|
Revenue:
|
|
|
|
|
Specialty
Talent
|
|
$
|
10,173
|
|
|
$
|
10,020
|
|
Technology
Solutions
|
|
7,741
|
|
|
8,373
|
|
Total
revenue
|
|
$
|
17,914
|
|
|
$
|
18,393
|
|
Gross
profit
|
|
$
|
4,955
|
|
|
$
|
5,312
|
|
Gross
margin
|
|
27.7
|
%
|
|
28.9
|
%
|
Operating profit
(loss) (1), (4)
|
|
$
|
(1,042)
|
|
|
$
|
445
|
|
Operating
margin
|
|
(5.8)
|
%
|
|
2.4
|
%
|
|
|
|
|
|
Engineering
Solutions
|
|
|
|
|
Revenue:
|
|
|
|
|
Energy, Chemicals and
Infrastructure (EC&I)
|
|
$
|
27,423
|
|
|
$
|
33,951
|
|
Aerospace and
Industrial Equipment (AIE)
|
|
12,615
|
|
|
13,131
|
|
Government
Services
|
|
16,158
|
|
|
16,172
|
|
Total
revenue
|
|
$
|
56,196
|
|
|
$
|
63,254
|
|
Gross
profit
|
|
$
|
13,481
|
|
|
$
|
15,477
|
|
Gross
margin
|
|
24.0
|
%
|
|
24.5
|
%
|
Operating loss
(2), (4)
|
|
$
|
(2,601)
|
|
|
$
|
(1,935)
|
|
Operating
margin
|
|
(4.6)
|
%
|
|
(3.1)
|
%
|
|
|
|
|
|
Management
Recruiters International (MRI)
|
|
|
|
|
Revenue:
|
|
|
|
|
Contract
Staffing
|
|
$
|
8,872
|
|
|
$
|
9,227
|
|
Royalties and
Franchise Fees
|
|
2,422
|
|
|
3,001
|
|
Total
revenue
|
|
$
|
11,294
|
|
|
$
|
12,228
|
|
Gross
profit
|
|
$
|
5,369
|
|
|
$
|
6,005
|
|
Gross
margin
|
|
47.5
|
%
|
|
49.1
|
%
|
Operating profit
(4)
|
|
$
|
249
|
|
|
$
|
583
|
|
Operating
margin
|
|
2.2
|
%
|
|
4.8
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
March
31,
|
Non-GAAP Financial
Measures:
|
|
2017
|
|
2016
|
|
|
|
|
|
Adjusted EBITDA
(5)
|
|
$
|
(2,606)
|
|
|
$
|
(766)
|
|
Adjusted EBITDA
margin (5)
|
|
(1.4)
|
%
|
|
(0.3)
|
%
|
Adjusted operating
expenses (5)
|
|
$
|
36,726
|
|
|
$
|
44,135
|
|
Adjusted EPS
(5)
|
|
$
|
(0.33)
|
|
|
$
|
(0.24)
|
|
(1)
|
In the first quarter
of 2016, the Company's Specialty Talent and Technology Solutions
segment recorded a benefit to "Operating and administrative
expenses" of $0.8 million related to the reversal of an
acquisition-related earnout.
|
|
|
(2)
|
The following table
summarizes the amount of "Restructuring and other related costs" in
the consolidated statements of operations related to restructuring
plans undertaken during 2015 by reporting segment for the indicated
periods:
|
|
|
Three Months
Ended
|
|
|
March
31,
|
|
|
2017
|
|
2016
|
|
|
|
|
|
Restructuring and
other related costs:
|
|
|
|
|
Enterprise
Talent
|
|
$
|
—
|
|
|
$
|
12
|
|
Engineering
Solutions
|
|
—
|
|
|
37
|
|
Total restructuring
and other related costs
|
|
$
|
—
|
|
|
$
|
49
|
|
(3)
|
On September 16,
2016, the Company completed the sale of CDI AndersElite Limited
(Anders), the Company's UK staffing business.
|
|
|
(4)
|
The following table
summarizes the amount of depreciation and amortization recognized
by reporting segment for the indicated periods:
|
|
|
Three Months
Ended
|
|
|
March
31,
|
|
|
2017
|
|
2016
|
|
|
|
|
|
Depreciation and
amortization:
|
|
|
|
|
Enterprise
Talent
|
|
$
|
155
|
|
|
$
|
316
|
|
Specialty Talent and
Technology Solutions
|
|
440
|
|
|
1,002
|
|
Engineering
Solutions
|
|
1,014
|
|
|
1,271
|
|
MRI
|
|
68
|
|
|
66
|
|
Corporate
|
|
433
|
|
|
427
|
|
Total depreciation
and amortization
|
|
$
|
2,110
|
|
|
$
|
3,082
|
|
(5)
|
Adjusted EBITDA,
Adjusted EBITDA Margin, Adjusted operating expenses and Adjusted
EPS are non-GAAP financial measures. Adjusted EBITDA is calculated
by excluding from net loss, interest, income taxes, depreciation
and amortization expense, restructuring and other related costs,
share-based compensation expense, certain corporate development
related costs and earnout adjustments. Adjusted EBITDA Margin is
Adjusted EBITDA as a percentage of revenue. Adjusted
operating expenses excludes from operating expenses, which is the
sum of "Operating and administrative expenses",
"Restructuring and other related costs" in the consolidated
statements of operations, depreciation and amortization expense,
restructuring and other related costs, share-based compensation
expense, certain corporate development related costs and earnout
adjustments. Adjusted EPS excludes from diluted earnings per common
share, restructuring and other related costs, certain corporate
development related costs, earnout adjustments, amortization of
acquired intangibles and the related specific income tax effect.
See reconciliation of these non-GAAP financial measures to U.S.
GAAP financial measures below.
|
Reconciliations of non-GAAP Financial Measures to U.S. GAAP
Financial Measures:
|
|
Three Months
Ended
|
|
|
March
31,
|
|
|
2017
|
|
2016
|
|
|
|
|
|
Net loss to
Adjusted EBITDA:
|
|
|
|
|
Net loss
|
|
$
|
(6,837)
|
|
|
$
|
(4,817)
|
|
Interest expense,
net
|
|
414
|
|
|
243
|
|
Income tax
expense
|
|
565
|
|
|
847
|
|
Depreciation and
amortization
|
|
2,110
|
|
|
3,082
|
|
Restructuring and
other related costs (a)
|
|
—
|
|
|
49
|
|
Share-based
compensation (b)
|
|
635
|
|
|
693
|
|
Corporate development
related (c)
|
|
507
|
|
|
16
|
|
Earnout adjustments
(d)
|
|
—
|
|
|
(879)
|
|
Adjusted
EBITDA
|
|
$
|
(2,606)
|
|
|
$
|
(766)
|
|
Adjusted EBITDA
margin
|
|
(1.4)
|
%
|
|
(0.3)
|
%
|
|
|
|
|
|
Operating expenses
to Adjusted operating expenses:
|
|
|
|
Operating expenses
(e)
|
|
$
|
39,978
|
|
|
$
|
47,096
|
|
Depreciation and
amortization
|
|
2,110
|
|
|
3,082
|
|
Restructuring and
other related costs (a)
|
|
—
|
|
|
49
|
|
Share-based
compensation (b)
|
|
635
|
|
|
693
|
|
Corporate development
related (c)
|
|
507
|
|
|
16
|
|
Earnout adjustments
(d)
|
|
—
|
|
|
(879)
|
|
Adjusted operating
expenses
|
|
$
|
36,726
|
|
|
$
|
44,135
|
|
|
|
|
|
|
EPS to Adjusted
EPS:
|
|
|
|
|
Earnings (loss) per
common share - diluted
|
|
$
|
(0.37)
|
|
|
$
|
(0.24)
|
|
Corporate development
related (c)
|
|
0.03
|
|
|
—
|
|
Earnout adjustments
(d)
|
|
—
|
|
|
(0.05)
|
|
Amortization of
acquired intangibles (f)
|
|
0.02
|
|
|
0.05
|
|
Income tax effect
(g)
|
|
(0.01)
|
|
|
—
|
|
Adjusted
EPS
|
|
$
|
(0.33)
|
|
|
$
|
(0.24)
|
|
(a)
|
Represents
"Restructuring and other related costs" in the consolidated
statements of operations related to restructuring plan undertaken
during 2015.
|
(b)
|
Represents
share-based compensation expense included in "Operating and
administrative expenses" in the consolidated statements of
operations.
|
(c)
|
Represents
incremental costs associated with corporate development related
activities, including the acquisition and divestiture of businesses
and the review of strategic alternatives, included in "Operating
and administrative expenses" in the consolidated statements of
operations.
|
(d)
|
Represents an expense
(benefit) from earnout adjustments associated with the acquisition
of businesses included in "Operating and administrative expenses"
in the consolidated statements of operations.
|
(e)
|
Operating expenses
include "Operating and administrative expenses", "Restructuring and
other related costs", "Impairment" and "Loss on disposition of
business interests" in the consolidated statements of
operations.
|
(f)
|
Represents the EPS
impact to "Operating and administrative expenses" in the
consolidated statements of operations related to the amortization
of definite-lived intangibles identified as a result of
acquisitions completed during the fourth quarter of
2015.
|
(g)
|
Represents the
aggregate income tax effect of each of the adjustments to diluted
earnings per common share based on the specific income tax effect,
including any related deferred tax adjustments.
|
Summary of Historical Impact of Anders on Reported
Results
Supplemental
Non-GAAP Financial Measures:
|
|
Three Months
Ended
|
|
|
March
31,
|
|
|
2016
|
|
|
|
Revenue excluding
Anders (i)
|
|
$
|
210,559
|
|
Gross Profit
excluding Anders (i)
|
|
39,416
|
|
Operating and
administrative expenses excluding Anders (i),
(ii)
|
|
42,678
|
|
Depreciation and
amortization excluding Anders (i)
|
|
2,919
|
|
(i)
|
Revenue excluding
Anders, Gross profit excluding Anders, Operating and administrative
expenses excluding Anders, and Depreciation and amortization
excluding Anders are non-GAAP financial measures. Revenue, Gross
profit, Operating and administrative expenses and Depreciation and
amortization excluding Anders, excludes from the Company's
consolidated revenue, gross profit, operating and administrative
expenses and depreciation and amortization, the revenue, gross
profit, operating and administrative expenses, depreciation and
amortization of UK-based CDI AndersElite Limited. See
reconciliation of these supplemental non-GAAP financial measures to
U.S. GAAP financial measures below.
|
(ii)
|
Operating and
administrative expenses include depreciation and amortization
expense, share-based compensation expense, certain corporate
development related costs and earnout adjustments as detailed in
the above reconciliation of Operating expenses to Adjusted
operating expenses.
|
Reconciliations of Supplemental non-GAAP Financial Measures
to U.S. GAAP Financial Measures:
|
|
Three Months
Ended
|
|
|
March
31,
|
|
|
2016
|
|
|
|
Revenue to Revenue
excluding Anders:
|
|
|
Revenue
|
|
$
|
233,524
|
|
Anders
Revenue
|
|
22,965
|
|
Revenue excluding
Anders
|
|
$
|
210,559
|
|
|
|
|
Gross Profit to
Gross Profit excluding Anders:
|
|
|
Gross
profit
|
|
$
|
43,275
|
|
Anders Gross
profit
|
|
3,859
|
|
Gross profit
excluding Anders
|
|
$
|
39,416
|
|
|
|
|
Operating and
Administrative Expenses to Operating and Administrative Expenses
excluding Anders:
|
|
Operating and
administrative expenses (i)
|
|
$
|
47,047
|
|
Anders Operating and
administrative expenses
|
|
4,369
|
|
Operating and
administrative expenses excluding Anders
|
|
$
|
42,678
|
|
|
|
|
Depreciation and
Amortization to Depreciation and Amortization excluding
Anders:
|
|
Depreciation and
amortization
|
|
$
|
3,082
|
|
Anders Depreciation
and amortization
|
|
163
|
|
Depreciation and
amortization excluding Anders
|
|
$
|
2,919
|
|
(i)
|
Operating and
administrative expenses include depreciation and amortization
expense, share-based compensation expense, certain corporate
development related costs and earnout adjustments as detailed in
the above reconciliation of Operating expenses to Adjusted
operating expenses.
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/cdi-corp-reports-first-quarter-2017-results-300455501.html
SOURCE CDI Corp.