CARY, N.C., Dec. 19, 2018 /PRNewswire/ -- NCI Building
Systems, Inc. (NYSE: NCS) ("NCI" or the "Company")
today reported financial results for the fourth fiscal quarter and
fiscal year ended October 28,
2018.
Fourth Quarter Fiscal 2018 Financial and Operational
Highlights:
- Sales rose 17.4% to $573.6
million for the quarter, compared to $488.7 million in the prior year's fourth
quarter
- Gross profit was $133.3 million
or 23.2% of sales for the quarter, compared to $116.3 million or 23.8% of sales, in the prior
year's fourth quarter
- Net income was $27.6 million for
the quarter, compared to $17.5
million in the prior year's fourth quarter. Adjusted Net
Income was $36.4 million this
quarter, compared to $22.3 million in
the prior year's fourth quarter
- Net income per diluted common share for the quarter was
$0.41, compared to $0.25 in the prior year's fourth quarter.
Adjusted Net Income was $0.55 per
diluted common share, compared to $0.32 in the prior year's fourth quarter
- Adjusted EBITDA increased 22.0% to $65.8
million, or 11.5% of sales, for the quarter, compared to
Adjusted EBITDA of $53.9 million, or
11.0% of sales, in the prior year's fourth quarter
- Total consolidated backlog increased to $557.0 million as of October 28, 2018, up 2.1% year-over-year
Commenting on the quarter, Donald R.
Riley, Chief Executive Officer of the NCI Business Unit,
said, "We are pleased with our fourth quarter performance that
demonstrated our successful focus on commercial discipline and
operational excellence across all of our segments. We remain
committed to our key initiatives in advanced manufacturing,
continuous improvement and product adjacency, which remain on track
and, once implemented, are expected to drive further benefits to
the organization in 2019 and beyond."
"During the quarter, NCI continued to demonstrate improved
operating performance serving as a testament to the hard work that
Don and the NCI employees have done to deliver on their key
initiatives," said the Company's Chairman and Chief Executive
Officer James S. Metcalf.
"Following the merger of Ply Gem into NCI, we are excited
about the expansive set of building solutions we are able to offer
our residential, commercial and repair & remodel customers and
the broader opportunities ahead of the new organization. As we
enter 2019, we are focused on the execution of the combined
Company's strategy which includes cost initiatives and de-levering
the capital structure, while investing in growth initiatives."
Fourth Quarter Fiscal 2018 Results
Sales in the fourth quarter of fiscal 2018 increased to
$573.6 million, up 17.4%, from
$488.7 million in last year's fourth
fiscal quarter, primarily due to continued commercial discipline in
the pass-through of higher material costs across all the segments,
combined with volume growth in both the Engineered Building Systems
and Insulated Metal Panels ("IMP") segments.
Gross profit increased 14.6% to $133.3
million in the quarter, compared to $116.3 million in the fourth quarter of fiscal
2017. Gross profit margins were 23.2% for the fourth quarter of
fiscal 2018, compared to 23.8% in the fourth quarter of fiscal
2017. Gross margins in the fourth quarter were lower than the
fourth quarter of the prior fiscal year primarily as a result of
lower manufacturing utilization due to weather, predominately in
the Metal Components segment and product mix in the IMP segment.
Engineering, selling, general and administrative ("ESG&A")
expenses were $78.9 million for the
fourth quarter, compared to $72.7
million in the prior year's fourth fiscal quarter. The
year-over-year increase in ESG&A expenses is primarily in
support of increased sales volumes and wage inflation during the
period. As a percentage of sales, ESG&A expenses were down 110
basis point to 13.8% in the fiscal 2018 fourth quarter, compared to
14.9% in the prior year's fourth fiscal quarter as a result of the
Company's ongoing cost reduction initiatives.
Operating income for the quarter was $39.6 million, compared to $33.3 million in the fourth quarter of fiscal
2017. Adjusted Operating Income, a non-GAAP financial measure which
excludes certain special items, increased 26.0% to $52.0 million in the fourth quarter of fiscal
2018, compared to $41.3 million in
the same period of fiscal 2017.
Net income applicable to common shares in the fourth quarter was
$27.4 million, or $0.41 per diluted common share, compared to net
income of $17.4 million, or
$0.25 per diluted common share in the
prior fiscal year's fourth quarter. Net income was impacted by the
following special items: an $11.7
million charge related to strategic development and
acquisition related costs and $0.8
million of restructuring and impairment charges, partially
offset by $3.4 million associated tax
effect of these items. Excluding the impact of these special items,
Adjusted Net Income, a non-GAAP measure, was $36.4 million, or $0.55 per diluted common share in the fourth
quarter of fiscal 2018, compared to $22.3
million, or $0.32 per diluted
common share, in the prior fiscal year's fourth quarter.
Adjusted EBITDA, a non-GAAP measure, defined in accordance with
the Company's credit agreement as earnings before interest, taxes,
depreciation and amortization, and certain other cash and non-cash
items, was $65.8 million this
quarter, compared to $53.9 million in
the prior fiscal year's fourth quarter. Please see the
reconciliation of Adjusted Operating Income, Adjusted Net Income
and Adjusted EBITDA in the accompanying financial tables.
Cash and cash equivalents at the end of the fourth quarter of
fiscal 2018 were $54.3 million,
compared to $65.7 million at the end
of the fourth quarter of fiscal 2017. Cash and cash equivalents
increased sequentially by $11.0
million from $43.3 million at
the end of the third quarter of fiscal 2018 due to seasonal working
capital management and profitability. NCI's net debt leverage ratio
(net debt/Adjusted EBITDA) at the end of the fourth quarter of
fiscal 2018 was 1.8x. As of October 28,
2018, the Company's $150.0
million asset-based lending (ABL) facility remained undrawn.
See "Recent Developments" for a discussion of the Company's debt
facilities following the Merger (as defined below).
Fourth Quarter Fiscal 2018 Segment Performance
Sales in the Engineered Building Systems segment were
$244.0 million in the fourth quarter
of fiscal 2018, compared to $188.2
million in the prior year period, increasing primarily as a
result of commercial discipline passing through higher input costs
and increased tonnage volumes. Operating income increased 90.6% to
$24.9 million this quarter, compared
to $13.0 million in the prior fiscal
year's fourth quarter. Adjusted Operating Income, a non-GAAP
measure, increased 83.8% to $25.3
million this quarter, compared to $13.7 million in the fourth quarter of fiscal
2017. Operating margins increased as a result of reduced ESG&A
costs.
The Metal Components segment generated $187.6 million in sales during the quarter, an
increase of 3.5% from $181.3 million
in the prior fiscal year's fourth quarter, led by the disciplined
pass-through of increasing input costs. Operating income was
$19.7 million in the fourth quarter
of fiscal 2018, compared to $23.1
million in the same period last year. Adjusted Operating
Income was $19.7 million in the
quarter, compared to $23.2 million in
the prior fiscal year's fourth quarter. The Metal Components
segment's operating margins decreased as a result of lower
operating leverage on external volumes due to the extreme wet
weather in the significant areas of the Southeast and Texas.
The IMP segment generated $146.5
million in sales during the quarter, an increase of 18.6%
from $123.5 million in the prior
fiscal year's fourth quarter, as a result of higher external
volumes and commercial discipline, offset by the impact of the
segment's product mix. Operating income was $21.0 million for the quarter, compared to
$14.9 million in the fourth quarter
of fiscal 2017. Adjusted Operating Income was $21.4 million during the fourth quarter of fiscal
2018, compared to $15.7 million in
the same period last fiscal year. The IMP segment's operating
margins increased from the prior year primarily as a result of
better leverage on higher volumes.
Sales in the Metal Coil Coating segment were $117.3 million during the fourth quarter of
fiscal 2018, an increase of 19.0% from $98.6
million in the prior year's fourth quarter, as a result of
the pass-through of rising material costs and higher internal
revenues. Operating income was $7.0
million in the fourth fiscal quarter of 2018, compared to
$1.4 million in the same period last
year. Adjusted Operating Income was $7.0
million in the fourth quarter of fiscal 2018, compared to
$7.4 million in the prior fiscal
year's fourth quarter. Adjusted operating margins in the Metal Coil
Coating segment decreased as a result of lower external volumes and
product mix.
Recent Developments
As previously announced, at a Special Meeting of shareholders of
NCI held on November 15, 2018, NCI's
shareholders approved, in relevant part, (i) the Agreement and Plan
of Merger (the "Merger Agreement") among NCI, Ply Gem Parent, LLC,
a Delaware limited liability
company ("Ply Gem"), and for certain limited purposes set forth in
the Merger Agreement, Clayton, Dubilier & Rice, LLC, a
Delaware limited liability company
("CD&R"), pursuant to which, at the closing of the merger, Ply
Gem, a leading manufacturer of exterior building products for
residential construction, was merged with and into the Company,
with the Company continuing its existence as a corporation
organized under the laws of the State of
Delaware (the "Merger") and (ii) the issuance in the Merger
of 58,709,067 shares of NCI common stock, par value $0.01 per share (the "NCI Common Stock") in the
aggregate, on a pro rata basis, to the holders of all of the equity
interests in Ply Gem. The Merger was consummated on November 16, 2018.
NCI shareholders retained 53% ownership of the issued and
outstanding NCI Common Stock, with Ply Gem shareholders now owning
47%. Investment funds associated with CD&R now own
approximately 49% of the issued and outstanding NCI Common
Stock.
On November 16, 2018, in
connection with the consummation of the Merger, the Company assumed
(i) the obligations of the company formerly known as Ply Gem Midco,
Inc. ("Ply Gem Midco"), a subsidiary of Ply Gem immediately prior
to the consummation of the Merger, as borrower under its Cash Flow
Credit Agreement, (ii) the obligations of Ply Gem Midco as parent
borrower under its ABL Credit Agreement and (iii) the obligations
of Ply Gem Midco as issuer under its Indenture governing the 8.00%
Senior Notes due 2026.
On November 16, 2018, in
connection with the incurrence by Ply Gem Midco of incremental term
loans and the obtaining by Ply Gem Midco of incremental ABL
commitments, following consummation of the Merger, the Company (a)
terminated all outstanding commitments and repaid all outstanding
amounts under the Term Loan Credit Agreement, dated as of
February 8, 2018 (the "Pre-Merger
Term Loan Credit Agreement"), by and among the Company, as
borrower, the several banks and other financial institutions from
time to time party thereto and Credit Suisse AG, Cayman Islands Branch, as administrative agent
and collateral agent, and (b) terminated all outstanding
commitments and repaid all outstanding amounts under the ABL Credit
Agreement, dated as of February 8,
2018 (the "Pre-Merger ABL Credit Agreement"), by and among
NCI Group, Inc. and Robertson-Ceco II Corporation, as borrowers,
the Company, as a guarantor, the other borrowers from time to time
party thereto, the several banks and other financial institutions
from time to time party thereto and Wells Fargo Bank, National
Association, as administrative agent and collateral agent.
Outstanding letters of credit under the Pre-merger ABL Credit
Agreement were cash collateralized.
Financial Reporting
On November 16, 2018, NCI's board
of directors approved a change to the Company's fiscal year from a
52/53 week year with the Company's fiscal year end on the Sunday
closest to October 31 to a fiscal
year of the 12 month period of January 1 to
December 31 of each calendar year, to commence with the
fiscal year ending December 31, 2019.
Consolidated results for the transition period from October 29, 2018 through December 31, 2018, which will include the results
of Ply Gem beginning November 16,
2018, will be reported in February
2019.
Ply Gem Third Quarter 2018 Financial Results
On December 19, 2018, the Company
filed an amendment to its current report on Form 8-K, which
included, in relevant part, the unaudited financial statements for
Ply Gem Midco and its subsidiaries for the quarterly period ended
September 29, 2018. On a
consolidated basis, Ply Gem's net sales increased $119.7 million or 21.2% during the three months
ended September 29, 2018 compared to
the three months ended September 30,
2017. The increase in net sales was largely due to the merger
of Atrium Corporation ("Atrium") with Ply Gem Holdings Inc. on
April 12, 2018 (the "Ply-Gem-Atrium
Merger"), which increased net sales by $105.0 million for the third quarter of 2018. Ply
Gem's gross profit increased $36.1
million or 27.3% during the three months ended September 29, 2018 relative to the three months
ended September 30, 2017. The
increase in gross profit was also largely due to the Ply-Gem-Atrium
Merger, which increased gross profit by $30.5 million for the third quarter of 2018.
Adjusted EBITDA for the three months ended September 29, 2018 was $101.1 million, an increase of $20.3 million from the three months ended
September 30, 2017. The increase in
Adjusted EBITDA was largely driven by the inclusion of Atrium in
the 2018 period. Please see the reconciliation of Ply Gem's
Adjusted EBITDA at the end of this news release.
Conference Call Information
The NCI Building Systems, Inc. fourth quarter fiscal 2018
conference call is scheduled for Wednesday,
December 19, 2018, at 10:00 a.m.
ET (9:00 a.m. CT). Please dial
1-412-902-0003 or 1-877-407-0672 (toll-free) to participate in the
call. To listen to a live broadcast of the call over the Internet
or to review the archived call, please visit the Company's website
at www.ncibuildingsystems.com. To access the taped telephone
replay, please dial 1-201-612-7415 or 1-877-660-6853 (toll-free)
and the passcode 13685508# when prompted. The taped replay will be
available two hours after the call through January 2, 2019. A replay of the webcast will be
available on the Company's website under the Event Calendar, Calls
& Webcast section of the Investor Relations page of the NCI
website for approximately 90 days.
About NCI Building Systems and Ply Gem Holdings, Inc.
The combination of NCI and Ply Gem, headquartered in
Cary, NC, establishes a leading
exterior building products manufacturer with a broad range of
products to residential and commercial customers for both new
construction and repair & remodel. With a portfolio of key
products which includes windows, doors, siding, metal wall and roof
systems, engineered commercial buildings, insulated metal panels,
stone and other adjacent products, the Company has more than 20,000
employees across 80 manufacturing, distribution and office
locations throughout North
America. For more information, visit
www.ncibuildingsystems.com or www.plygem.com.
Contact:
K. Darcey
Matthews
Vice President, Investor Relations
281-897-7785
Forward-Looking Statements
This press release contains forward-looking statements within
the meaning of the Private Securities Litigation Reform Act of
1995. Words such as "believe," "anticipate," "guidance," "plan,"
"potential," "expect," "should," "will," "forecast" and similar
expressions are forward-looking statements within the meaning of
the "safe harbor" provisions of the Private Securities Litigation
Reform Act of 1995. These forward-looking statements reflect our
current expectations, assumptions and/or beliefs concerning future
events. As a result, these forward-looking statements rely on a
number of assumptions, forecasts, and estimates and, therefore,
these forward-looking statements are subject to a number of risks
and uncertainties that may cause the Company's actual performance
to differ materially from that projected in such statements. Such
forward-looking statements may include, but are not limited to,
statements concerning our market commentary and performance
expectations. Among the factors that could cause actual results to
differ materially include, but are not limited to, risks and
uncertainties relating to industry cyclicality and seasonality and
adverse weather conditions; challenging economic conditions
affecting the nonresidential construction industry; volatility in
the United States ("U.S.") economy
and abroad, generally, and in the credit markets; changes in laws
or regulations; the effects of certain external domestic or
international factors that we may not be able to control, including
war, civil conflict, terrorism, natural disasters and public health
issues; our ability to obtain financing on acceptable terms;
recognition of goodwill or asset impairment charges; commodity
price volatility and/or limited availability of raw materials,
including steel; retention and replacement of key personnel;
enforcement and obsolescence of our intellectual property rights;
costs and liabilities related to compliance with environmental laws
and environmental clean-ups; competitive activity and pricing
pressure in our industry; volatility of the Company's stock price;
our ability to make strategic acquisitions accretive to earnings;
our ability to carry out our restructuring plans and to fully
realize the expected cost savings; volatility in energy prices; the
adoption of climate change legislation; breaches of our information
system security measures; damage to our major information
management systems; necessary maintenance or replacements to our
enterprise resource planning technologies; potential personal
injury, property damage or product liability claims or other types
of litigation; compliance with certain laws related to our
international business operations; the effect of tariffs on steel
imports; the cost and difficulty associated with integrating and
combining the businesses of NCI and Ply Gem; potential write-downs
or write-offs, restructuring and impairment or other charges
required in connection with the Merger; substantial governance and
other rights held by our sponsor investors; the effect on our
common stock price caused by transactions engaged in by our sponsor
investors, our directors or executives; our substantial
indebtedness and our ability to incur substantially more
indebtedness; limitations that our debt agreements place on our
ability to engage in certain business and financial transactions;
the effect of increased interest rates on our ability to service
our debt. See also the "Risk Factors" in the Company's Annual
Report on Form 10-K for the fiscal year ended October 28, 2018, and other risks described in
documents subsequently filed by the Company from time to time with
the SEC, which identify other important factors, though not
necessarily all such factors, that could cause future outcomes to
differ materially from those set forth in the forward-looking
statements. The Company expressly disclaims any obligation to
release publicly any updates or revisions to these forward-looking
statements, whether as a result of new information, future events,
or otherwise.
NCI BUILDING
SYSTEMS, INC.
|
CONSOLIDATED
STATEMENTS OF OPERATIONS
|
(In
thousands, except per share data)
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal Three
Months Ended
|
|
Fiscal Year
Ended
|
|
October
28,
|
|
October
29,
|
|
October
28,
|
|
October
29,
|
|
2018
|
|
2017
|
|
2018
|
|
2017
|
|
|
|
|
|
|
|
|
Sales
|
$
573,634
|
|
$
488,726
|
|
$
2,000,577
|
|
$
1,770,278
|
Cost of
sales
|
440,353
|
|
372,421
|
|
1,537,895
|
|
1,354,214
|
Gross
profit
|
133,281
|
|
116,305
|
|
462,682
|
|
416,064
|
|
23.2%
|
|
23.8%
|
|
23.1%
|
|
23.5%
|
|
|
|
|
|
|
|
|
Engineering,
selling, general and administrative expenses
|
78,875
|
|
72,671
|
|
307,106
|
|
293,145
|
Intangible
asset amortization
|
2,411
|
|
2,405
|
|
9,648
|
|
9,620
|
Goodwill
Impairment
|
-
|
|
6,000
|
|
-
|
|
6,000
|
Restructuring
and impairment charges, net
|
769
|
|
1,710
|
|
1,912
|
|
5,297
|
Strategic
development and acquisition related costs
|
11,661
|
|
193
|
|
17,164
|
|
1,971
|
Loss on
disposition of business
|
-
|
|
-
|
|
5,673
|
|
-
|
Gain on
insurance recovery
|
-
|
|
-
|
|
(4,741)
|
|
(9,749)
|
Income from
operations
|
39,565
|
|
33,326
|
|
125,920
|
|
109,780
|
|
|
|
|
|
|
|
|
Interest
income
|
22
|
|
74
|
|
140
|
|
238
|
Interest
expense
|
(4,895)
|
|
(7,161)
|
|
(21,808)
|
|
(28,899)
|
Foreign
exchange (loss) gain
|
(152)
|
|
(488)
|
|
(244)
|
|
547
|
Loss on
extinguishment of debt
|
-
|
|
-
|
|
(21,875)
|
|
-
|
Other income,
net
|
(110)
|
|
427
|
|
962
|
|
1,472
|
|
|
|
|
|
|
|
|
Income before income
taxes
|
34,430
|
|
26,178
|
|
83,095
|
|
83,138
|
Provision for
income taxes
|
6,875
|
|
8,688
|
|
19,989
|
|
28,414
|
|
20.0%
|
|
33.2%
|
|
24.1%
|
|
34.2%
|
|
|
|
|
|
|
|
|
Net
income
|
27,555
|
|
17,490
|
|
63,106
|
|
54,724
|
|
|
|
|
|
|
|
|
Net income
allocated to participating securities
|
(138)
|
|
(78)
|
|
(412)
|
|
(325)
|
|
|
|
|
|
|
|
|
Net income
applicable to common shares
|
$
27,417
|
|
$
17,412
|
|
$
62,694
|
|
$
54,399
|
|
|
|
|
|
|
|
|
Check
|
|
|
|
|
|
|
|
Income per
common share:
|
|
|
|
|
|
|
|
Basic
|
$
0.41
|
|
$
0.25
|
|
$
0.95
|
|
$
0.77
|
Diluted
|
$
0.41
|
|
$
0.25
|
|
$
0.94
|
|
$
0.77
|
|
|
|
|
|
|
|
|
Weighted
average number of common shares outstanding:
|
|
|
|
|
|
|
|
Basic
|
66,262
|
|
69,629
|
|
66,260
|
|
70,629
|
Diluted
|
66,326
|
|
69,741
|
|
66,362
|
|
70,778
|
|
|
|
|
|
|
|
|
Increase in
sales
|
17.4%
|
|
1.8%
|
|
13.0%
|
|
5.1%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Engineering, selling,
general and administrative expenses percentage
|
13.8%
|
|
14.9%
|
|
15.4%
|
|
16.6%
|
NCI BUILDING
SYSTEMS, INC.
|
CONSOLIDATED
BALANCE SHEETS
|
(In
thousands)
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
October
28,
|
|
October
29,
|
|
|
|
2018
|
|
2017
|
|
|
|
|
|
|
ASSETS
|
|
|
|
|
Current
assets:
|
|
|
|
|
|
Cash and cash
equivalents
|
|
$
54,272
|
|
$
65,658
|
|
Restricted
cash
|
|
245
|
|
136
|
|
Accounts
receivable, net
|
|
233,297
|
|
199,897
|
|
Inventories,
net
|
|
254,531
|
|
198,296
|
|
Income taxes
receivable
|
|
1,012
|
|
3,617
|
|
Investments in
debt and equity securities, at market
|
5,285
|
|
6,481
|
|
Prepaid
expenses and other
|
|
34,821
|
|
31,359
|
|
Assets held for
sale
|
|
7,272
|
|
5,582
|
|
|
Total current
assets
|
590,735
|
|
511,026
|
|
|
|
|
|
|
|
Property, plant
and equipment, net
|
|
236,240
|
|
226,995
|
|
Goodwill
|
|
148,291
|
|
148,291
|
|
Intangible
assets, net
|
|
127,529
|
|
137,148
|
|
Deferred income
taxes
|
|
982
|
|
2,544
|
|
Other assets,
net
|
|
6,598
|
|
5,108
|
|
|
Total
assets
|
$
1,110,375
|
|
$
1,031,112
|
|
|
|
|
|
|
LIABILITIES AND
STOCKHOLDERS' EQUITY
|
|
|
|
Current
liabilities:
|
|
|
|
|
|
Current portion
of long-term debt
|
|
$
4,150
|
|
$
-
|
|
Note
payable
|
|
497
|
|
440
|
|
Accounts
payable
|
|
170,663
|
|
147,772
|
|
Accrued
compensation and benefits
|
65,136
|
|
59,189
|
|
Accrued
interest
|
|
1,684
|
|
6,414
|
|
Accrued income
taxes
|
|
11,685
|
|
-
|
|
Other accrued
expenses
|
|
81,884
|
|
76,897
|
|
|
Total current
liabilities
|
335,699
|
|
290,712
|
|
|
|
|
|
|
|
Long-term debt,
net of deferred financing costs of $5,699 and
$6,857
|
403,076
|
|
387,290
|
|
Deferred income
taxes
|
|
2,250
|
|
4,297
|
|
Other long-term
liabilities
|
|
39,085
|
|
43,566
|
|
|
Total long-term
liabilities
|
444,411
|
|
435,153
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Common
stock
|
|
663
|
|
687
|
|
Additional
paid-in capital
|
|
523,788
|
|
562,277
|
|
Accumulated
deficit
|
|
(186,291)
|
|
(248,046)
|
|
Accumulated
other comprehensive loss, net
|
(6,708)
|
|
(7,531)
|
|
Treasury stock,
at cost
|
|
(1,187)
|
|
(2,140)
|
|
|
Total
stockholders' equity
|
330,265
|
|
305,247
|
|
|
|
|
|
|
|
|
Total
liabilities and stockholders' equity
|
$
1,110,375
|
|
$
1,031,112
|
NCI BUILDING
SYSTEMS, INC.
|
CONSOLIDATED
STATEMENTS OF CASH FLOWS
|
(In
thousands)
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
Fiscal Year
Ended
|
|
October
28,
|
|
October
29,
|
|
2018
|
|
2017
|
|
|
|
|
Cash flows from
operating activities:
|
|
|
|
Net income
|
$
63,106
|
|
$
54,724
|
Adjustments to
reconcile net income to net cash from operating
activities
|
|
|
|
Depreciation and amortization
|
42,325
|
|
41,318
|
Amortization of deferred financing costs
|
1,501
|
|
1,819
|
Loss on extinguishment of debt
|
21,875
|
|
-
|
Share-based compensation expense
|
11,638
|
|
10,230
|
Loss on disposition of business, net
|
5,092
|
|
-
|
(Gains) losses on assets, net
|
(502)
|
|
1,371
|
Goodwill impairment
|
-
|
|
6,000
|
Gain on insurance recovery
|
(4,741)
|
|
(9,749)
|
Provision for doubtful accounts
|
(491)
|
|
1,948
|
(Benefit) provision for deferred income taxes
|
(889)
|
|
866
|
Changes in operating
assets and liabilities, net of effect of acquisitions and
dispositions:
|
|
|
|
Accounts receivable
|
(35,397)
|
|
(19,582)
|
Inventories
|
(58,534)
|
|
(11,473)
|
Income taxes
|
2,605
|
|
(2,637)
|
Prepaid expenses and other
|
(5,479)
|
|
(2,271)
|
Accounts payable
|
24,465
|
|
4,858
|
Accrued expenses
|
16,284
|
|
(12,320)
|
Other, net
|
(395)
|
|
(1,228)
|
|
|
|
|
Net cash provided by
operating activities
|
82,463
|
|
63,874
|
|
|
|
|
Cash flows from
investing activities:
|
|
|
|
Capital
expenditures
|
(47,827)
|
|
(22,074)
|
Proceeds from sale of
property, plant and equipment
|
6,338
|
|
3,197
|
Business disposition,
net
|
(1,426)
|
|
-
|
Proceeds from
insurance
|
4,741
|
|
8,593
|
|
|
|
|
Net cash used in
investing activities
|
(38,174)
|
|
(10,284)
|
|
|
|
|
Cash flows from
financing activities:
|
|
|
|
(Deposit) refund of
restricted cash
|
(109)
|
|
173
|
Proceeds from stock
options exercised
|
1,279
|
|
1,651
|
Proceeds from ABL
facility
|
100,000
|
|
35,000
|
Payments on ABL
facility
|
(100,000)
|
|
(35,000)
|
Proceeds from term
loan
|
415,000
|
|
-
|
Payments on term
loan
|
(146,221)
|
|
(10,180)
|
Payments on senior
notes
|
(265,470)
|
|
-
|
Payments on note
payable
|
(1,742)
|
|
(1,570)
|
Payments of financing
costs
|
(6,546)
|
|
-
|
Payments related to
tax withholding for share-based compensation
|
(5,068)
|
|
(2,389)
|
Purchases of treasury
stock
|
(46,705)
|
|
(41,214)
|
|
|
|
|
Net cash used in
financing activities
|
(55,582)
|
|
(53,529)
|
Effect of exchange
rate changes on cash and cash equivalents
|
(93)
|
|
194
|
Net (decrease)
increase in cash and cash equivalents
|
(11,386)
|
|
255
|
|
|
|
|
Cash and cash
equivalents at beginning of period
|
65,658
|
|
65,403
|
|
|
|
|
Cash and cash
equivalents at end of period
|
$
54,272
|
|
$
65,658
|
NCI BUILDING
SYSTEMS, INC.
|
NON-GAAP FINANCIAL
MEASURES AND RECONCILIATIONS
|
ADJUSTED NET
INCOME PER DILUTED COMMON SHARE AND NET INCOME
COMPARISON
|
(In thousands,
except per share data)
|
(Unaudited)
|
|
|
|
|
|
|
|
|
Fiscal Three
Months Ended
|
|
Fiscal Year
Ended
|
|
October
28,
|
October
29,
|
|
October
28,
|
October
29,
|
|
2018
|
2017
|
|
2018
|
2017
|
Net income per
diluted common share, GAAP basis
|
$
0.41
|
$
0.25
|
|
$
0.94
|
$
0.77
|
Loss on
extinguishment of debt
|
-
|
-
|
|
0.33
|
-
|
Loss on
disposition of business
|
-
|
-
|
|
0.08
|
-
|
Goodwill
impairment
|
-
|
0.09
|
|
-
|
0.08
|
Restructuring
and impairment charges, net
|
0.01
|
0.02
|
|
0.03
|
0.07
|
Strategic
development and acquisition related costs
|
0.18
|
0.00
|
|
0.26
|
0.03
|
Acceleration
of CEO retirement benefits
|
-
|
-
|
|
0.07
|
-
|
Gain on
insurance recovery
|
-
|
-
|
|
(0.07)
|
(0.14)
|
Other,
net
|
-
|
0.00
|
|
0.00
|
0.01
|
Tax effect of
applicable non-GAAP adjustments (1)
|
(0.05)
|
(0.04)
|
|
(0.19)
|
(0.02)
|
Adjusted net income
per diluted common share (2)
|
$
0.55
|
$
0.32
|
|
$
1.45
|
$
0.80
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal Three
Months Ended
|
|
Fiscal Year
Ended
|
|
October
28,
|
October
29,
|
|
October
28,
|
October
29,
|
|
2018
|
2017
|
|
2018
|
2017
|
Net income applicable
to common shares, GAAP basis
|
$
27,417
|
$
17,412
|
|
$
62,694
|
$
54,399
|
Loss on
extinguishment of debt
|
-
|
-
|
|
21,875
|
-
|
Loss on
disposition of business
|
-
|
-
|
|
5,673
|
-
|
Goodwill
impairment
|
-
|
6,000
|
|
-
|
6,000
|
Restructuring
and impairment charges, net
|
769
|
1,710
|
|
1,912
|
5,297
|
Strategic
development and acquisition related costs
|
11,661
|
193
|
|
17,164
|
1,971
|
Acceleration
of CEO retirement benefits
|
-
|
-
|
|
4,600
|
-
|
Gain on
insurance recovery
|
-
|
-
|
|
(4,741)
|
(9,749)
|
Other,
net
|
-
|
28
|
|
(323)
|
591
|
Tax effect of
applicable non-GAAP adjustments (1)
|
(3,418)
|
(3,093)
|
|
(12,783)
|
(1,603)
|
Adjusted net income
applicable to common shares (2)
|
$
36,429
|
$
22,250
|
|
$
96,071
|
$
56,906
|
|
(1) The
Company calculated the tax effect of non-GAAP adjustments by
applying the combined federal and state applicable statutory tax
rate for the period to each applicable non-GAAP
item.
|
|
(2) The
Company discloses a tabular comparison of Adjusted net income per
diluted common share and Adjusted net income applicable to common
shares, which are non-GAAP measures, because they are referred to
in the text of our press releases and are instrumental in comparing
the results from period to period. Adjusted net income per diluted
common share and Adjusted net income applicable to common shares
should not be considered in isolation or as a substitute for net
income per diluted common share and net income applicable to common
shares as reported on the face of our consolidated statements of
operations.
|
NCI BUILDING
SYSTEMS, INC.
|
Business
Segments
|
(In
thousands)
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal Three
Months Ended
|
|
|
|
|
Fiscal Year
Ended
|
|
|
|
|
October
28,
|
|
|
October
29,
|
|
|
|
|
October
28,
|
|
|
October
29,
|
|
|
|
|
2018
|
|
|
2017
|
|
|
|
|
2018
|
|
|
2017
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
% of
Total
Sales
|
|
|
% of
Total
Sales
|
|
%
Change
|
|
|
% of
Total
Sales
|
|
|
% of
Total
Sales
|
|
% Change
|
Total
Sales
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Engineered Building
Systems
|
$
243,997
|
35
|
|
$
188,183
|
32
|
|
29.7%
|
|
$
798,299
|
33
|
|
$
693,980
|
32
|
|
15.0%
|
Metal
Components
|
187,635
|
27
|
|
181,288
|
30
|
|
3.5%
|
|
689,344
|
29
|
|
636,661
|
30
|
|
8.3%
|
Insulated Metal
Panels
|
146,466
|
21
|
|
123,542
|
21
|
|
18.6%
|
|
504,413
|
21
|
|
441,404
|
21
|
|
14.3%
|
Metal Coil
Coating
|
117,323
|
17
|
|
98,550
|
17
|
|
19.0%
|
|
417,296
|
17
|
|
368,880
|
17
|
|
13.1%
|
Total
sales
|
695,421
|
100
|
|
591,563
|
100
|
|
17.6%
|
|
2,409,352
|
100
|
|
2,140,925
|
100
|
|
12.5%
|
Less: Intersegment
sales
|
(121,787)
|
18
|
|
(102,837)
|
17
|
|
18.4%
|
|
(408,775)
|
17
|
|
(370,647)
|
17
|
|
10.3%
|
Total net
sales
|
$
573,634
|
82
|
|
$
488,726
|
83
|
|
17.4%
|
|
$
2,000,577
|
83
|
|
$
1,770,278
|
83
|
|
13.0%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
External
Sales
|
|
% of
Sales
|
|
|
% of
Sales
|
|
|
|
|
% of
Sales
|
|
|
% of
Sales
|
|
|
Engineered Building
Systems
|
$
231,315
|
40
|
|
$
178,222
|
36
|
|
29.8%
|
|
$
755,353
|
38
|
|
$
659,863
|
37
|
|
14.5%
|
Metal
Components
|
171,759
|
30
|
|
155,183
|
32
|
|
10.7%
|
|
612,645
|
31
|
|
544,669
|
31
|
|
12.5%
|
Insulated Metal
Panels
|
120,852
|
21
|
|
105,064
|
22
|
|
15.0%
|
|
424,762
|
21
|
|
372,304
|
21
|
|
14.1%
|
Metal Coil
Coating
|
49,708
|
9
|
|
50,257
|
10
|
|
-1.1%
|
|
207,817
|
10
|
|
193,442
|
11
|
|
7.4%
|
Total external
sales
|
$
573,634
|
100
|
|
$
488,726
|
100
|
|
17.4%
|
|
$
2,000,577
|
100
|
|
$
1,770,278
|
100
|
|
13.0%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
Income
|
|
% of
Sales
|
|
|
% of
Sales
|
|
|
|
|
% of
Sales
|
|
|
% of
Sales
|
|
|
Engineered Building
Systems
|
$
24,859
|
10
|
|
$
13,043
|
7
|
|
90.6%
|
|
$
66,689
|
8
|
|
$
41,388
|
6
|
|
61.1%
|
Metal
Components
|
19,734
|
11
|
|
23,119
|
13
|
|
-14.6%
|
|
87,593
|
13
|
|
78,768
|
12
|
|
11.2%
|
Insulated Metal
Panels
|
21,025
|
14
|
|
14,895
|
12
|
|
41.2%
|
|
47,495
|
9
|
|
47,932
|
11
|
|
-0.9%
|
Metal Coil
Coating
|
6,962
|
6
|
|
1,419
|
1
|
|
390.6%
|
|
28,588
|
7
|
|
21,459
|
6
|
|
33.2%
|
Corporate
|
(33,015)
|
-
|
|
(19,150)
|
-
|
|
72.4%
|
|
(104,445)
|
-
|
|
(79,767)
|
-
|
|
30.9%
|
Total operating
income
|
$
39,565
|
7
|
|
$
33,326
|
7
|
|
18.7%
|
|
$
125,920
|
6
|
|
$
109,780
|
6
|
|
14.7%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted Operating
Income (1)
|
|
% of
Sales
|
|
|
% of
Sales
|
|
|
|
|
% of
Sales
|
|
|
% of
Sales
|
|
|
Engineered Building
Systems
|
$
25,256
|
10
|
|
$
13,738
|
7
|
|
83.8%
|
|
$
68,211
|
9
|
|
$
45,257
|
7
|
|
50.7%
|
Metal
Components
|
19,734
|
11
|
|
23,188
|
13
|
|
-14.9%
|
|
86,335
|
13
|
|
78,763
|
12
|
|
9.6%
|
Insulated Metal
Panels
|
21,374
|
15
|
|
15,696
|
13
|
|
36.2%
|
|
50,509
|
10
|
|
39,986
|
9
|
|
26.3%
|
Metal Coil
Coating
|
6,962
|
6
|
|
7,419
|
8
|
|
-6.2%
|
|
28,588
|
7
|
|
27,459
|
7
|
|
4.1%
|
Corporate
|
(21,331)
|
-
|
|
(18,786)
|
-
|
|
13.5%
|
|
(83,115)
|
-
|
|
(77,575)
|
-
|
|
7.1%
|
Total adjusted
operating income
|
$
51,995
|
9
|
|
$
41,255
|
8
|
|
26.0%
|
|
$
150,528
|
8
|
|
$
113,890
|
6
|
|
32.2%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA
(2)
|
|
% of
Sales
|
|
|
% of
Sales
|
|
|
|
|
% of
Sales
|
|
|
% of
Sales
|
|
|
Engineered Building
Systems
|
$
27,422
|
11
|
|
$
15,242
|
8
|
|
79.9%
|
|
$
77,148
|
10
|
|
$
54,702
|
8
|
|
41.0%
|
Metal
Components
|
21,256
|
11
|
|
24,694
|
14
|
|
-13.9%
|
|
92,408
|
13
|
|
84,306
|
13
|
|
9.6%
|
Insulated Metal
Panels
|
26,023
|
18
|
|
20,794
|
17
|
|
25.1%
|
|
68,104
|
14
|
|
58,414
|
13
|
|
16.6%
|
Metal Coil
Coating
|
9,210
|
8
|
|
9,484
|
10
|
|
-2.9%
|
|
37,076
|
9
|
|
35,733
|
10
|
|
3.8%
|
Corporate
|
(18,097)
|
-
|
|
(16,273)
|
-
|
|
11.2%
|
|
(73,125)
|
-
|
|
(65,698)
|
-
|
|
11.3%
|
Total adjusted
EBITDA
|
$
65,814
|
11
|
|
$
53,941
|
11
|
|
22.0%
|
|
$
201,611
|
10
|
|
$
167,457
|
9
|
|
20.4%
|
|
(1) The Company
discloses a tabular comparison of Adjusted operating income (loss),
which is a non-GAAP measure, because it is instrumental in
comparing the results from period to period. Adjusted operating
income (loss) should not be considered in isolation or as a
substitute for operating income (loss) as reported on the face of
our statements of operations.
|
|
(2) The
Company's Pre-Merger Term Loan Credit Agreement defines Adjusted
EBITDA. Adjusted EBITDA excludes non-cash charges for goodwill and
other asset impairments and stock compensation as well as certain
special charges. As such, the historical information is presented
in accordance with the definition above. The Company's Pre-Merger
ABL facility has substantially the same definition of Adjusted
EBITDA. The Company is disclosing Adjusted EBITDA, which is a
non-GAAP measure, because it is used by management and provided to
investors to provide comparability of underlying operational
results.
|
NCI BUILDING
SYSTEMS, INC.
|
NON-GAAP FINANCIAL
MEASURES AND RECONCILIATIONS
|
(In
thousands)
|
(Unaudited)
|
|
|
|
|
|
|
|
Consolidated
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal
Year
|
|
Fiscal Three
Months Ended
|
|
Ended
|
|
January
28,
|
April
29,
|
July
29,
|
October
28,
|
|
October
28,
|
|
2018
|
2018
|
2018
|
2018
|
|
2018
|
Total Net
Sales
|
$
421,349
|
$ 457,069
|
$ 548,525
|
$
573,634
|
|
$
2,000,577
|
|
|
|
|
|
|
|
Operating Income,
GAAP
|
12,898
|
18,956
|
54,501
|
39,565
|
|
125,920
|
Restructuring
and impairment charges, net
|
1,094
|
488
|
(439)
|
769
|
|
1,912
|
Strategic
development and acquisition related costs
|
727
|
1,134
|
3,642
|
11,661
|
|
17,164
|
Loss (gain) on
disposition of business
|
-
|
6,686
|
(1,013)
|
-
|
|
5,673
|
Acceleration of
CEO retirement benefits
|
4,600
|
-
|
-
|
-
|
|
4,600
|
Gain on
insurance recovery
|
-
|
-
|
(4,741)
|
-
|
|
(4,741)
|
Adjusted Operating
Income
|
19,319
|
27,264
|
51,950
|
51,995
|
|
150,528
|
|
|
|
|
|
|
|
Other income
and expense
|
928
|
(34)
|
87
|
(261)
|
|
720
|
Depreciation
and amortization
|
10,358
|
10,442
|
10,174
|
11,351
|
|
42,325
|
Share-based
compensation expense
|
2,270
|
1,998
|
1,041
|
2,729
|
|
8,038
|
Adjusted
EBITDA
|
$
32,875
|
$
39,670
|
$
63,252
|
$
65,814
|
|
$
201,611
|
|
|
|
|
|
|
|
Year over year
growth, Total Net Sales
|
7.6 %
|
8.7 %
|
16.9 %
|
17.4 %
|
|
13.0 %
|
Operating Income
Margin
|
3.1 %
|
4.1 %
|
9.9 %
|
6.9 %
|
|
6.3 %
|
Adjusted Operating
Income Margin
|
4.6 %
|
6.0 %
|
9.5 %
|
9.1 %
|
|
7.5 %
|
Adjusted EBITDA
Margin
|
7.8 %
|
8.7 %
|
11.5 %
|
11.5 %
|
|
10.1 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal
Year
|
|
Fiscal Three
Months Ended
|
|
Ended
|
|
January
29,
|
April
30,
|
July
30,
|
October
29,
|
|
October
29,
|
|
2017
|
2017
|
2017
|
2017
|
|
2017
|
Total Net
Sales
|
$
391,703
|
$ 420,464
|
$ 469,385
|
$
488,726
|
|
$
1,770,278
|
|
|
|
|
|
|
|
Operating Income,
GAAP
|
9,886
|
32,472
|
34,097
|
33,325
|
|
109,780
|
Restructuring
and impairment charges, net
|
2,264
|
315
|
1,009
|
1,709
|
|
5,297
|
Strategic
development and acquisition related costs
|
357
|
124
|
1,297
|
193
|
|
1,971
|
Loss on sale of
assets and asset recovery
|
-
|
137
|
-
|
-
|
|
137
|
Gain on
insurance recovery
|
-
|
(9,601)
|
(148)
|
-
|
|
(9,749)
|
Unreimbursed
business interruption costs
|
-
|
191
|
235
|
28
|
|
454
|
Goodwill
impairment
|
-
|
-
|
-
|
6,000
|
|
6,000
|
Adjusted Operating
Income
|
12,507
|
23,638
|
36,490
|
41,255
|
|
113,890
|
|
|
|
|
|
|
|
Other income
and expense
|
309
|
449
|
1,322
|
(62)
|
|
2,018
|
Depreciation
and amortization
|
10,315
|
10,062
|
10,278
|
10,664
|
|
41,319
|
Share-based
compensation expense
|
3,042
|
2,820
|
2,284
|
2,084
|
|
10,230
|
Adjusted
EBITDA
|
$
26,173
|
$
36,969
|
$
50,374
|
$
53,941
|
|
$
167,457
|
|
|
|
|
|
|
|
Operating Income
Margin
|
2.5 %
|
7.7 %
|
7.3 %
|
6.8 %
|
|
6.2 %
|
Adjusted Operating
Income Margin
|
3.2 %
|
5.6 %
|
7.8 %
|
8.4 %
|
|
6.4 %
|
Adjusted EBITDA
Margin
|
6.7 %
|
8.8 %
|
10.7 %
|
11.0 %
|
|
9.5 %
|
NCI BUILDING
SYSTEMS, INC.
|
NON-GAAP FINANCIAL
MEASURES AND RECONCILIATIONS
|
(In
thousands)
|
(Unaudited)
|
|
|
|
|
|
|
|
Engineered
Building Systems
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal
Year
|
|
Fiscal Three
Months Ended
|
|
Ended
|
|
January
28,
|
April
29,
|
July
29,
|
October
28,
|
|
October
28,
|
|
2018
|
2018
|
2018
|
2018
|
|
2018
|
Total
Sales
|
$
156,964
|
$ 167,240
|
$ 230,098
|
$
243,997
|
|
$
798,299
|
External
Sales
|
148,288
|
157,136
|
218,614
|
231,315
|
|
755,353
|
|
|
|
|
|
|
|
Operating Income,
GAAP
|
8,263
|
9,271
|
24,296
|
24,859
|
|
66,689
|
Restructuring
and impairment charges, net
|
1,136
|
280
|
(464)
|
397
|
|
1,349
|
Strategic
development and acquisition related costs
|
173
|
-
|
-
|
-
|
|
173
|
Adjusted Operating
Income
|
9,572
|
9,551
|
23,832
|
25,256
|
|
68,211
|
|
|
|
|
|
|
|
Other income
and expense
|
733
|
(88)
|
(179)
|
(156)
|
|
310
|
Depreciation
and amortization
|
2,077
|
2,323
|
1,905
|
2,322
|
|
8,627
|
Adjusted
EBITDA
|
$
12,382
|
$
11,786
|
$
25,558
|
$
27,422
|
|
$
77,148
|
|
|
|
|
|
|
|
Year over year
growth, Total sales
|
3.8 %
|
2.8 %
|
19.9 %
|
29.7 %
|
|
15.0 %
|
Year over year
growth, External Sales
|
2.3 %
|
1.7 %
|
20.0 %
|
29.8 %
|
|
14.5 %
|
Operating Income
Margin
|
5.3 %
|
5.5 %
|
10.6 %
|
10.2 %
|
|
8.4 %
|
Adjusted Operating
Income Margin
|
6.1 %
|
5.7 %
|
10.4 %
|
10.4 %
|
|
8.5 %
|
Adjusted EBITDA
Margin
|
7.9 %
|
7.0 %
|
11.1 %
|
11.2 %
|
|
9.7 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal
Year
|
|
Fiscal Three
Months Ended
|
|
Ended
|
|
January
29,
|
April
30,
|
July
30,
|
October
29,
|
|
October
29,
|
|
2017
|
2017
|
2017
|
2017
|
|
2017
|
Total
Sales
|
$
151,263
|
$ 162,624
|
$ 191,910
|
$
188,183
|
|
693,980
|
External
Sales
|
145,021
|
154,456
|
182,164
|
178,222
|
|
659,863
|
|
|
|
|
|
|
|
Operating Income,
GAAP
|
6,503
|
6,894
|
14,948
|
13,043
|
|
41,388
|
Restructuring
and impairment charges, net
|
1,910
|
186
|
941
|
695
|
|
3,732
|
Loss on sale of
assets and asset recovery
|
-
|
137
|
-
|
-
|
|
137
|
Adjusted Operating
Income
|
8,413
|
7,217
|
15,889
|
13,738
|
|
45,257
|
|
|
|
|
|
|
|
Other income
and expense
|
(41)
|
(125)
|
1,291
|
(694)
|
|
431
|
Depreciation
and amortization
|
2,276
|
2,285
|
2,255
|
2,198
|
|
9,014
|
Adjusted
EBITDA
|
$
10,648
|
$
9,377
|
$
19,435
|
$
15,242
|
|
$
54,702
|
|
|
|
|
|
|
|
Operating Income
Margin
|
4.3 %
|
4.2 %
|
7.8 %
|
6.9 %
|
|
6.0 %
|
Adjusted Operating
Income Margin
|
5.6 %
|
4.4 %
|
8.3 %
|
7.3 %
|
|
6.5 %
|
Adjusted EBITDA
Margin
|
7.0 %
|
5.8 %
|
10.1 %
|
8.1 %
|
|
7.9 %
|
NCI BUILDING
SYSTEMS, INC.
|
NON-GAAP FINANCIAL
MEASURES AND RECONCILIATIONS
|
(In
thousands)
|
(Unaudited)
|
|
|
|
|
|
|
|
Metal
Components
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal
Year
|
|
Fiscal Three
Months Ended
|
|
Ended
|
|
January
28,
|
April
29,
|
July
29,
|
October
28,
|
|
October
28,
|
|
2018
|
2018
|
2018
|
2018
|
|
2018
|
Total
Sales
|
$
146,832
|
$ 168,456
|
$ 186,421
|
$
187,635
|
|
$
689,344
|
External
Sales
|
127,528
|
147,661
|
165,697
|
171,759
|
|
612,645
|
|
|
|
|
|
|
|
Operating Income,
GAAP
|
17,089
|
22,082
|
28,688
|
19,734
|
|
87,593
|
Restructuring
and impairment charges, net
|
(1,403)
|
120
|
25
|
-
|
|
(1,258)
|
Adjusted Operating
Income
|
15,686
|
22,202
|
28,713
|
19,734
|
|
86,335
|
|
|
|
|
|
|
|
Other income
and expense
|
53
|
67
|
54
|
82
|
|
256
|
Depreciation
and amortization
|
1,576
|
1,444
|
1,357
|
1,440
|
|
5,817
|
Adjusted
EBITDA
|
$
17,315
|
$
23,713
|
$
30,124
|
$
21,256
|
|
$
92,408
|
|
|
|
|
|
|
|
Year over year
growth, Total sales
|
9.4 %
|
8.8 %
|
12.1 %
|
3.5 %
|
|
8.3 %
|
Year over year
growth, External Sales
|
10.4 %
|
10.8 %
|
17.8 %
|
10.7 %
|
|
12.5 %
|
Operating Income
Margin
|
11.6 %
|
13.1 %
|
15.4 %
|
10.5 %
|
|
12.7 %
|
Adjusted Operating
Income Margin
|
10.7 %
|
13.2 %
|
15.4 %
|
10.5 %
|
|
12.5 %
|
Adjusted EBITDA
Margin
|
11.8 %
|
14.1 %
|
16.2 %
|
11.3 %
|
|
13.4 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal
Year
|
|
Fiscal Three
Months Ended
|
|
Ended
|
|
January
29,
|
April
30,
|
July
30,
|
October
29,
|
|
October
29,
|
|
2017
|
2017
|
2017
|
2017
|
|
2017
|
Total
Sales
|
$
134,173
|
$ 154,895
|
$ 166,305
|
$
181,288
|
|
$
636,661
|
External
Sales
|
115,557
|
133,290
|
140,639
|
155,183
|
|
544,669
|
|
|
|
|
|
|
|
Operating Income,
GAAP
|
12,376
|
19,997
|
23,276
|
23,119
|
|
78,768
|
Restructuring
and impairment charges, net
|
305
|
129
|
60
|
69
|
|
563
|
Gain on
insurance recovery
|
-
|
(420)
|
(148)
|
-
|
|
(568)
|
Adjusted Operating
Income
|
12,681
|
19,706
|
23,188
|
23,188
|
|
78,763
|
|
|
|
|
|
|
|
Other income
and expense
|
28
|
52
|
55
|
84
|
|
219
|
Depreciation
and amortization
|
1,334
|
1,302
|
1,266
|
1,422
|
|
5,324
|
Adjusted
EBITDA
|
$
14,043
|
$
21,060
|
$
24,509
|
$
24,694
|
|
$
84,306
|
|
|
|
|
|
|
|
Operating Income
Margin
|
9.2 %
|
12.9 %
|
14.0 %
|
12.8 %
|
|
12.4 %
|
Adjusted Operating
Income Margin
|
9.5 %
|
12.7 %
|
13.9 %
|
12.8 %
|
|
12.4 %
|
Adjusted EBITDA
Margin
|
10.5 %
|
13.6 %
|
14.7 %
|
13.6 %
|
|
13.2 %
|
NCI BUILDING
SYSTEMS, INC.
|
NON-GAAP FINANCIAL
MEASURES AND RECONCILIATIONS
|
(In
thousands)
|
(Unaudited)
|
|
|
|
|
|
|
|
Insulated Metal
Panels
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal
Year
|
|
Fiscal Three
Months Ended
|
|
Ended
|
|
January
28,
|
April
29,
|
July
29,
|
October
28,
|
|
October
28,
|
|
2018
|
2018
|
2018
|
2018
|
|
2018
|
Total
Sales
|
$
110,794
|
$ 113,413
|
$ 133,740
|
$
146,466
|
|
$
504,413
|
External
Sales
|
97,513
|
99,792
|
106,605
|
120,852
|
|
424,762
|
|
|
|
|
|
|
|
Operating Income,
GAAP
|
7,071
|
1,540
|
17,859
|
21,025
|
|
47,495
|
Restructuring
and impairment charges, net
|
1,284
|
88
|
-
|
372
|
|
1,744
|
Strategic
development and acquisition related costs
|
300
|
61
|
-
|
(23)
|
|
338
|
Loss (gain) on
disposition of business
|
-
|
6,686
|
(1,013)
|
-
|
|
5,673
|
Gain on
insurance recovery
|
-
|
-
|
(4,741)
|
-
|
|
(4,741)
|
Adjusted Operating
Income
|
8,655
|
8,375
|
12,105
|
21,374
|
|
50,509
|
|
|
|
|
|
|
|
Other income
and expense
|
(273)
|
223
|
(51)
|
92
|
|
(9)
|
Depreciation
and amortization
|
4,388
|
4,335
|
4,324
|
4,557
|
|
17,604
|
Adjusted
EBITDA
|
$
12,770
|
$
12,933
|
$
16,378
|
$
26,023
|
|
$
68,104
|
|
|
|
|
|
|
|
Year over year
growth, Total sales
|
16.4 %
|
10.2 %
|
11.7 %
|
18.6 %
|
|
14.3 %
|
Year over year
growth, External Sales
|
18.3 %
|
15.0 %
|
8.8 %
|
15.0 %
|
|
14.1 %
|
Operating Income
Margin
|
6.4 %
|
1.4 %
|
13.4 %
|
14.4 %
|
|
9.4 %
|
Adjusted Operating
Income Margin
|
7.8 %
|
7.4 %
|
9.1 %
|
14.6 %
|
|
10.0 %
|
Adjusted EBITDA
Margin
|
11.5 %
|
11.4 %
|
12.2 %
|
17.8 %
|
|
13.5 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal
Year
|
|
Fiscal Three
Months Ended
|
|
Ended
|
|
January
29,
|
April
30,
|
July
30,
|
October
29,
|
|
October
29,
|
|
2017
|
2017
|
2017
|
2017
|
|
2017
|
Total
Sales
|
$
95,195
|
$ 102,937
|
$ 119,730
|
$
123,542
|
|
$
441,404
|
External
Sales
|
82,441
|
86,773
|
98,026
|
105,064
|
|
372,304
|
|
|
|
|
|
|
|
Operating Income,
GAAP
|
2,192
|
19,377
|
11,468
|
14,895
|
|
47,932
|
Restructuring
and impairment charges, net
|
-
|
-
|
8
|
683
|
|
691
|
Strategic
development and acquisition related costs
|
-
|
-
|
-
|
90
|
|
90
|
Gain on
insurance recovery
|
-
|
(9,181)
|
-
|
-
|
|
(9,181)
|
Unreimbursed
business interruption costs
|
-
|
191
|
235
|
28
|
|
454
|
Adjusted Operating
Income
|
2,192
|
10,387
|
11,711
|
15,696
|
|
39,986
|
|
|
|
|
|
|
|
Other income
and expense
|
35
|
340
|
(211)
|
356
|
|
520
|
Depreciation
and amortization
|
4,392
|
4,258
|
4,516
|
4,742
|
|
17,908
|
Adjusted
EBITDA
|
$
6,619
|
$
14,985
|
$
16,016
|
$
20,794
|
|
$
58,414
|
|
|
|
|
|
|
|
Operating Income
Margin
|
2.3 %
|
18.8 %
|
9.6 %
|
12.1 %
|
|
10.9 %
|
Adjusted Operating
Income Margin
|
2.3 %
|
10.1 %
|
9.8 %
|
12.7 %
|
|
9.1 %
|
Adjusted EBITDA
Margin
|
7.0 %
|
14.6 %
|
13.4 %
|
16.8 %
|
|
13.2 %
|
NCI BUILDING
SYSTEMS, INC.
|
NON-GAAP FINANCIAL
MEASURES AND RECONCILIATIONS
|
(In
thousands)
|
(Unaudited)
|
|
|
|
|
|
|
|
Metal Coil
Coating
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal
Year
|
|
Fiscal Three
Months Ended
|
|
Ended
|
|
January
28,
|
April
29,
|
July
29,
|
October
28,
|
|
October
28,
|
|
2018
|
2018
|
2018
|
2018
|
|
2018
|
Total
Sales
|
$
88,343
|
$
95,190
|
$ 116,440
|
$
117,323
|
|
$
417,296
|
External
Sales
|
48,020
|
52,480
|
57,609
|
49,708
|
|
207,817
|
|
|
|
|
|
|
|
Operating Income,
GAAP
|
5,376
|
7,129
|
9,121
|
6,962
|
|
28,588
|
Adjusted Operating
Income
|
5,376
|
7,129
|
9,121
|
6,962
|
|
28,588
|
|
|
|
|
|
|
|
Depreciation
and amortization
|
2,058
|
2,085
|
2,097
|
2,248
|
|
8,488
|
Adjusted
EBITDA
|
$
7,434
|
$
9,214
|
$
11,218
|
$
9,210
|
|
$
37,076
|
|
|
|
|
|
|
|
Year over year
growth, Total sales
|
0.0 %
|
9.8 %
|
22.2%
|
19.0 %
|
|
13.1 %
|
Year over year
growth, External Sales
|
(1.4)%
|
14.2 %
|
18.6 %
|
(1.1)%
|
|
7.4 %
|
Operating Income
Margin
|
6.1 %
|
7.5 %
|
7.8 %
|
5.9 %
|
|
6.9 %
|
Adjusted Operating
Income Margin
|
6.1 %
|
7.5 %
|
7.8 %
|
5.9 %
|
|
6.9 %
|
Adjusted EBITDA
Margin
|
8.4 %
|
9.7 %
|
9.6 %
|
7.9 %
|
|
8.9 %
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal
Year
|
|
Fiscal Three
Months Ended
|
|
Ended
|
|
January
29,
|
April
30,
|
July
30,
|
October
29,
|
|
October
29,
|
|
2017
|
2017
|
2017
|
2017
|
|
2017
|
Total
Sales
|
$
88,340
|
$
86,729
|
$
95,261
|
$
98,550
|
|
$
368,880
|
External
Sales
|
48,684
|
45,945
|
48,556
|
50,257
|
|
193,442
|
|
|
|
|
|
|
|
Operating Income,
GAAP
|
6,706
|
6,227
|
7,107
|
1,419
|
|
21,459
|
Goodwill
impairment
|
-
|
-
|
-
|
6,000
|
|
6,000
|
Adjusted Operating
Income
|
6,706
|
6,227
|
7,107
|
7,419
|
|
27,459
|
|
|
|
|
|
|
|
Other income
and expense
|
31
|
-
|
-
|
-
|
|
31
|
Depreciation
and amortization
|
2,106
|
2,009
|
2,063
|
2,065
|
|
8,243
|
Adjusted
EBITDA
|
$
8,843
|
$
8,236
|
$
9,170
|
$
9,484
|
|
$
35,733
|
|
|
|
|
|
|
|
Operating Income
Margin
|
7.6 %
|
7.2 %
|
7.5 %
|
1.4 %
|
|
5.8 %
|
Adjusted Operating
Income Margin
|
7.6 %
|
7.2 %
|
7.5 %
|
7.5 %
|
|
7.4 %
|
Adjusted EBITDA
Margin
|
10.0 %
|
9.5 %
|
9.6 %
|
9.6 %
|
|
9.7 %
|
NCI BUILDING
SYSTEMS, INC.
|
NON-GAAP FINANCIAL
MEASURES AND RECONCILIATIONS
|
(In
thousands)
|
(Unaudited)
|
|
|
|
|
|
|
|
Corporate
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal
Year
|
|
Fiscal Three
Months Ended
|
|
Ended
|
|
January
28,
|
April
29,
|
July
29,
|
October
28,
|
|
October
28,
|
|
2018
|
2018
|
2018
|
2018
|
|
2018
|
Operating Loss,
GAAP
|
$
(24,901)
|
$
(21,066)
|
$(25,463)
|
$
(33,015)
|
|
$
(104,445)
|
Restructuring
and impairment charges, net
|
77
|
-
|
-
|
-
|
|
77
|
Strategic
development and acquisition related costs
|
254
|
1,073
|
3,642
|
11,684
|
|
16,653
|
Acceleration of
CEO retirement benefits
|
4,600
|
-
|
-
|
-
|
|
4,600
|
Adjusted Operating
Loss
|
(19,970)
|
(19,993)
|
(21,821)
|
(21,331)
|
|
(83,115)
|
|
|
|
|
|
|
|
Other income
and expense
|
415
|
(236)
|
263
|
(279)
|
|
163
|
Depreciation
and amortization
|
259
|
255
|
491
|
784
|
|
1,789
|
Share-based
compensation expense
|
2,270
|
1,998
|
1,041
|
2,729
|
|
8,038
|
Adjusted
EBITDA
|
$
(17,026)
|
$
(17,976)
|
$(20,026)
|
$
(18,097)
|
|
$
(73,125)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Fiscal
Year
|
|
Fiscal Three
Months Ended
|
|
Ended
|
|
January
29,
|
April
30,
|
July
30,
|
October
29,
|
|
October
29,
|
|
2017
|
2017
|
2017
|
2017
|
|
2017
|
Operating Loss,
GAAP
|
$
(17,891)
|
$
(20,023)
|
$(22,702)
|
$
(19,151)
|
|
$
(79,767)
|
Restructuring
and impairment charges, net
|
49
|
-
|
-
|
262
|
|
311
|
Strategic
development and acquisition related costs
|
357
|
124
|
1,297
|
103
|
|
1,881
|
Adjusted Operating
Loss
|
(17,485)
|
(19,899)
|
(21,405)
|
(18,786)
|
|
(77,575)
|
|
|
|
|
|
|
|
Other income
and expense
|
256
|
182
|
187
|
192
|
|
817
|
Depreciation
and amortization
|
207
|
208
|
178
|
237
|
|
830
|
Share-based
compensation expense
|
3,042
|
2,820
|
2,284
|
2,084
|
|
10,230
|
Adjusted
EBITDA
|
$
(13,980)
|
$
(16,689)
|
$(18,756)
|
$
(16,273)
|
|
$
(65,698)
|
PLY GEM HOLDINGS,
INC.
|
NON-GAAP FINANCIAL
MEASURES AND RECONCILIATIONS
|
(In
thousands)
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
For the
Three Months Ended
|
|
September
29,
|
|
September
30,
|
|
2018
|
|
2017
|
Net income
(loss)
|
$
(3,242)
|
|
$
27,534
|
Interest
expense, net
|
45,331
|
|
17,518
|
Provision for
income taxes
|
13,087
|
|
17,659
|
Depreciation
and amortization
|
37,080
|
|
13,237
|
EBITDA
|
92,256
|
|
75,948
|
Non cash gain
on foreign currency transactions
|
(612)
|
|
(810)
|
Acquisition
costs
|
8,602
|
|
-
|
Customer
inventory buybacks
|
519
|
|
1,089
|
Restructuring/integration
expense
|
960
|
|
134
|
Non cash charge
of purchase price allocated to inventories
|
-
|
|
-
|
Initial public
offering costs
|
-
|
|
-
|
Litigation -
class action charges, net
|
-
|
|
757
|
Public company
costs
|
-
|
|
1,137
|
Retention
expense
|
316
|
|
445
|
Long term
incentive plan compensation
|
-
|
|
1,306
|
Stock option
expense
|
-
|
|
92
|
Tax receivable
agreement liability adjustment
|
(901)
|
|
-
|
Hurricane
freight impact
|
-
|
|
725
|
Loss on
modification or extinguishment of debt
|
-
|
|
-
|
Adjusted
EBITDA
|
$
101,140
|
|
$
80,823
|
View original
content:http://www.prnewswire.com/news-releases/nci-building-systems-reports-fourth-quarter-and-2018-fiscal-year-end-results-300768504.html
SOURCE NCI Building Systems, Inc.