Carlisle Companies Reports Third Quarter Results
-
Record third quarter diluted EPS of
$5.30 and adj. EPS of$5.78 , +24% year-over-year-
Revenue of
$1.3 billion , an increase of 6% YoY - Operating margin of 23.7% and Q3 record adj. EBITDA margin of 27.6%, +60 bps YoY
- CCM grew revenue 9% and expanded adj. EBITDA margin 110 bps to Q3 record of 32.8%
- Continued headwinds in residential markets negatively impacted CWT
-
Revenue of
-
Repurchased 1.1 million shares for
$466 million and increased quarterly dividend by 18% -
Signed agreement to acquire
Plasti-Fab -
Awarded Home Depot's
Building Materials Partner of the Year for the 2nd time since 2022
Comments from
“Carlisle delivered another quarter of strong performance, despite a continued decline in residential markets along with the well-known weather-related and port strike events, which negatively impacted shipping days, contractor days on the roof and manufacturing output. We continued to execute on our Vision 2030 strategies, and we are pleased with our third quarter performance against our 2030 goal of
“CCM continued its strong momentum with its 2024 accomplishments into the third quarter, driven by healthy contractor backlogs, robust re-roofing activity, and excellent margin performance. CCM sales were up 9% year-over-year assisted by the inventory normalization in the channel and the acquisition of MTL. CCM's impressive 32.8% adjusted EBITDA margin in the third quarter reflected strong volume leverage, a positive raw material environment, and excellent operating execution through the Carlisle Operating System (COS).
“As we look at CWT’s performance, while we were pleased with progress on share gain initiatives within CWT, a higher interest rate environment, low housing turnover, and affordability challenges resulted in a further slowing of housing activity in the quarter. For the quarter, these challenges impacted sales and drove a decline of 3% year-over-year. Despite the near-term challenges facing CWT, we remain extremely pleased and optimistic about the prospects for this segment.
“We continue to be encouraged by the positive long-term outlook in the
“Carlisle remains committed to generating superior shareholder returns through our balanced capital deployment approach. This quarter, we repurchased 1.1 million shares for
“We are excited about our recent agreement to acquire
“As we look forward to the remainder of the year, we expect the residential headwinds experienced this year to continue. Based on that outlook, we expect to deliver approximately 10% revenue growth and increase adjusted EBITDA margin by approximately 150 bps for 2024. We are confident in our ability to continue delivering value for all our stakeholders as we progress further towards our Vision 2030 goals, demonstrating the strength of margin resiliency through the Carlisle Experience and driving superior returns on capital through our strategic initiatives."
Third Quarter 2024 Financial Summary
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||||||||
(in millions, except per share amounts) |
|
2024 |
|
2023 |
|
Change % |
|
2024 |
|
2023 |
|
Change % |
||||||||||
Revenues |
|
$ |
1,333.6 |
|
|
$ |
1,259.8 |
|
|
5.9 |
% |
|
$ |
3,880.7 |
|
|
$ |
3,459.4 |
|
|
12.2 |
% |
Operating income |
|
|
316.4 |
|
|
|
299.9 |
|
|
5.5 |
% |
|
|
919.1 |
|
|
|
729.2 |
|
|
26.0 |
% |
Operating margin |
|
|
23.7 |
% |
|
|
23.8 |
% |
|
-10 bps |
|
|
23.7 |
% |
|
|
21.1 |
% |
|
260 bps |
||
Income from continuing operations |
|
|
246.6 |
|
|
|
216.9 |
|
|
13.7 |
% |
|
|
702.7 |
|
|
|
527.2 |
|
|
33.3 |
% |
Adjusted EBITDA |
|
|
367.9 |
|
|
|
339.7 |
|
|
8.3 |
% |
|
|
1,051.0 |
|
|
|
855.7 |
|
|
22.8 |
% |
Adjusted EBITDA margin |
|
|
27.6 |
% |
|
|
27.0 |
% |
|
60 bps |
|
|
27.1 |
% |
|
|
24.7 |
% |
|
240 bps |
||
Diluted EPS |
|
|
5.30 |
|
|
|
4.32 |
|
|
22.7 |
% |
|
|
14.74 |
|
|
|
10.32 |
|
|
42.8 |
% |
Adjusted diluted EPS |
|
|
5.78 |
|
|
|
4.68 |
|
|
23.5 |
% |
|
|
15.71 |
|
|
|
11.35 |
|
|
38.4 |
% |
Third Quarter 2024 Segment Highlights
-
Revenue of
$998 million , increased 9% (+6% organic) year-over-year, driven by the acquisition of MTL, the normalization of inventory in the channels, and robust re-roof activity from pent up demand. -
Operating income was
$303 million , up 11% year-over-year. Adjusted EBITDA was$328 million , up 13% year-over-year, reflecting an adjusted EBITDA margin of 32.8%. The 110 basis point increase compared to the prior year was driven by volume leverage on strong sales growth, favorable raw materials and operating efficiencies achieved through COS.
Carlisle Weatherproofing Technologies ("CWT")
-
Revenue of
$335 million , declined 3% (-4% organic) year-over-year, primarily due to softer residential end markets and price declines in select product categories, partially offset by growth in commercial categories, share gain initiatives and the acquisition ofPolar Industries . -
Operating income was
$47 million , down 20% year-over-year. Adjusted EBITDA was$69 million , down 14% year-over-year, reflecting an adjusted EBITDA margin of 20.7%. The 270 basis point decrease compared to the prior year was primarily due to strategic investments in the business to support longer term growth initiatives in addition to lower sales in the quarter as a result of broader residential market weakness from higher interest rates.
Cash Flow
Operating cash flow from continuing operations for the nine months ended
During the nine months ended
2024 Fourth Quarter Outlook
-
Revenues to increase LSD
- CCM - up MSD
- CWT - down LSD
- Adjusted EBITDA margin ~ 25%
Conference Call and Webcast
Carlisle will discuss third quarter 2024 results on a conference call at
Domestic toll free: 800-549-8228
International: 646-564-2877
Conference ID: 82118
Forward-Looking Statements
This press release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements generally use words such as "expect," "foresee," "anticipate," "believe," "project," "should," "estimate," "will," "plans," "intends," "forecast," and similar expressions, and reflect our expectations concerning the future. Such statements are made based on known events and circumstances at the time of publication and, as such, are subject in the future to unforeseen risks and uncertainties. It is possible that our future performance may differ materially from current expectations expressed in these forward-looking statements, due to a variety of factors such as: increasing price and product/service competition by foreign and domestic competitors, including new entrants; technological developments and changes; the ability to continue to introduce competitive new products and services on a timely, cost-effective basis; our mix of products/services; increases in raw material costs that cannot be recovered in product pricing; domestic and foreign governmental and public policy changes including environmental and industry regulations; the ability to meet our goals relating to our intended reduction of greenhouse gas emissions, including our net zero commitments; threats associated with and efforts to combat terrorism; protection and validity of patent and other intellectual property rights; the identification of strategic acquisition targets and our successful completion of any transaction and integration of our strategic acquisitions; our successful completion of strategic dispositions; the cyclical nature of our businesses; the impact of information technology, cybersecurity or data security breaches at our businesses or third parties; the outcome of pending and future litigation and governmental proceedings; the emergence or continuation of widespread health emergencies such as the COVID-19 pandemic, including, for example, expectations regarding their impact on our businesses, including on customer demand, supply chains and distribution systems, production, our ability to maintain appropriate labor levels, our ability to ship products to our customers, our future results, or our full-year financial outlook; and the other factors discussed in the reports we file with or furnish to the
Non-GAAP Disclosure
Carlisle reports its financial results in accordance with the
About
* EPS referenced in this release is from continuing operations unless otherwise noted.
Unaudited Consolidated Statements of Income |
||||||||||||||||
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
(in millions, except per share amounts) |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||||
Revenues |
|
$ |
1,333.6 |
|
|
$ |
1,259.8 |
|
|
$ |
3,880.7 |
|
|
$ |
3,459.4 |
|
|
|
|
|
|
|
|
|
|
||||||||
Cost of goods sold |
|
|
819.2 |
|
|
|
793.7 |
|
|
|
2,398.5 |
|
|
|
2,244.9 |
|
Selling and administrative expenses |
|
|
191.8 |
|
|
|
161.7 |
|
|
|
547.9 |
|
|
|
467.6 |
|
Research and development expenses |
|
|
8.1 |
|
|
|
7.2 |
|
|
|
26.6 |
|
|
|
20.7 |
|
Other operating income, net |
|
|
(1.9 |
) |
|
|
(2.7 |
) |
|
|
(11.4 |
) |
|
|
(3.0 |
) |
Operating income |
|
|
316.4 |
|
|
|
299.9 |
|
|
|
919.1 |
|
|
|
729.2 |
|
Interest expense, net |
|
|
18.6 |
|
|
|
19.4 |
|
|
|
56.0 |
|
|
|
57.0 |
|
Interest income |
|
|
(22.6 |
) |
|
|
(3.6 |
) |
|
|
(44.3 |
) |
|
|
(12.5 |
) |
Other non-operating income, net |
|
|
(1.1 |
) |
|
|
0.6 |
|
|
|
(1.5 |
) |
|
|
(1.2 |
) |
Income from continuing operations before income taxes |
|
|
321.5 |
|
|
|
283.5 |
|
|
|
908.9 |
|
|
|
685.9 |
|
Provision for income taxes |
|
|
74.9 |
|
|
|
66.6 |
|
|
|
206.2 |
|
|
|
158.7 |
|
Income from continuing operations |
|
|
246.6 |
|
|
|
216.9 |
|
|
|
702.7 |
|
|
|
527.2 |
|
|
|
|
|
|
|
|
|
|
||||||||
Discontinued operations: |
|
|
|
|
|
|
|
|
||||||||
Income (loss) before income taxes |
|
|
(4.4 |
) |
|
|
43.2 |
|
|
|
497.7 |
|
|
|
20.2 |
|
Provision for (benefit from) income taxes |
|
|
(2.1 |
) |
|
|
(5.5 |
) |
|
|
51.4 |
|
|
|
(14.5 |
) |
Income (loss) from discontinued operations |
|
|
(2.3 |
) |
|
|
48.7 |
|
|
|
446.3 |
|
|
|
34.7 |
|
Net income |
|
$ |
244.3 |
|
|
$ |
265.6 |
|
|
$ |
1,149.0 |
|
|
$ |
561.9 |
|
|
|
|
|
|
|
|
|
|
||||||||
Basic earnings per share attributable to common shares: |
|
|
|
|
|
|
|
|
||||||||
Income from continuing operations |
|
$ |
5.36 |
|
|
$ |
4.37 |
|
|
$ |
14.93 |
|
|
$ |
10.43 |
|
Income (loss) from discontinued operations |
|
|
(0.05 |
) |
|
|
0.98 |
|
|
|
9.48 |
|
|
|
0.69 |
|
Basic earnings per share |
|
$ |
5.31 |
|
|
$ |
5.35 |
|
|
$ |
24.41 |
|
|
$ |
11.12 |
|
|
|
|
|
|
|
|
|
|
||||||||
Diluted earnings per share attributable to common shares: |
|
|
|
|
|
|
|
|
||||||||
Income from continuing operations |
|
$ |
5.30 |
|
|
$ |
4.32 |
|
|
$ |
14.74 |
|
|
$ |
10.32 |
|
Income (loss) from discontinued operations |
|
|
(0.05 |
) |
|
|
0.97 |
|
|
|
9.36 |
|
|
|
0.68 |
|
Diluted earnings per share |
|
$ |
5.25 |
|
|
$ |
5.29 |
|
|
$ |
24.10 |
|
|
$ |
11.00 |
|
|
|
|
|
|
|
|
|
|
||||||||
Average shares outstanding: |
|
|
|
|
|
|
|
|
||||||||
Basic |
|
|
45.9 |
|
|
|
49.5 |
|
|
|
47.0 |
|
|
|
50.4 |
|
Diluted |
|
|
46.5 |
|
|
|
50.1 |
|
|
|
47.6 |
|
|
|
51.0 |
|
|
|
|
|
|
|
|
|
|
||||||||
Dividends declared and paid per share |
|
$ |
1.00 |
|
|
$ |
0.85 |
|
|
$ |
2.70 |
|
|
$ |
2.35 |
|
Unaudited Condensed Consolidated Statements of Cash Flows |
||||||||
|
|
Nine Months Ended
|
||||||
(in millions) |
|
2024 |
|
2023 |
||||
Net cash provided by operating activities |
|
$ |
659.7 |
|
|
$ |
812.4 |
|
|
|
|
|
|
||||
Investing activities: |
|
|
|
|
||||
Proceeds from sale of discontinued operation, net of cash disposed |
|
|
1,998.0 |
|
|
|
— |
|
Acquisitions, net of cash acquired |
|
|
(414.3 |
) |
|
|
— |
|
Capital expenditures |
|
|
(76.7 |
) |
|
|
(106.3 |
) |
Investment in securities |
|
|
0.6 |
|
|
|
0.9 |
|
Other investing activities, net |
|
|
1.3 |
|
|
|
18.7 |
|
Net cash provided by (used in) investing activities |
|
|
1,508.9 |
|
|
|
(86.7 |
) |
|
|
|
|
|
||||
Financing activities: |
|
|
|
|
||||
Repayments of notes |
|
|
— |
|
|
|
(300.0 |
) |
Borrowings from revolving credit facility |
|
|
22.0 |
|
|
|
84.0 |
|
Repayments of revolving credit facility |
|
|
(22.0 |
) |
|
|
(84.0 |
) |
Repurchases of common stock |
|
|
(1,166.1 |
) |
|
|
(580.0 |
) |
Dividends paid |
|
|
(127.4 |
) |
|
|
(119.3 |
) |
Proceeds from exercise of stock options |
|
|
73.1 |
|
|
|
17.7 |
|
Withholding tax paid related to stock-based compensation |
|
|
(17.7 |
) |
|
|
(10.4 |
) |
Other financing activities, net |
|
|
(4.8 |
) |
|
|
(2.5 |
) |
Net cash used in financing activities |
|
|
(1,242.9 |
) |
|
|
(994.5 |
) |
|
|
|
|
|
||||
Effect of foreign currency exchange rate changes on cash and cash equivalents |
|
|
(0.6 |
) |
|
|
— |
|
Change in cash and cash equivalents |
|
|
925.1 |
|
|
|
(268.8 |
) |
Less: change in cash and cash equivalents of discontinued operations |
|
|
(28.8 |
) |
|
|
(12.0 |
) |
Cash and cash equivalents at beginning of period |
|
|
576.7 |
|
|
|
364.8 |
|
Cash and cash equivalents at end of period |
|
$ |
1,530.6 |
|
|
$ |
108.0 |
|
Unaudited Selected Consolidated Balance Sheet Data |
||||||||
(in millions) |
|
|
|
|
||||
Cash and cash equivalents |
|
$ |
1,530.6 |
|
|
$ |
576.7 |
|
Long-term debt, including current portion |
|
|
2,290.2 |
|
|
2,289.4 |
||
Total stockholders' equity |
|
|
2,762.9 |
|
|
|
2,829.0 |
|
Unaudited Non-GAAP Financial Measures - Organic Revenue
Organic revenue (defined as revenue excluding acquired revenues within the last 12 months and the impact of changes in foreign exchange rates versus the
|
|
Three Months Ended |
||||||||||||||||
(in millions, except percentages) |
|
CSL |
|
CCM |
|
CWT |
||||||||||||
2023 Revenue (GAAP) |
|
$ |
1,259.8 |
|
|
|
$ |
914.0 |
|
|
|
$ |
345.8 |
|
|
|||
Organic |
|
|
35.9 |
|
2.9 |
% |
|
|
50.8 |
|
5.6 |
% |
|
|
(14.9 |
) |
(4.3 |
)% |
Acquisitions |
|
|
38.1 |
|
3.0 |
% |
|
|
33.3 |
|
3.6 |
% |
|
|
4.8 |
|
1.4 |
% |
FX impact |
|
|
(0.2 |
) |
— |
% |
|
|
0.1 |
|
— |
% |
|
|
(0.3 |
) |
(0.1 |
)% |
Total change |
|
|
73.8 |
|
5.9 |
% |
|
|
84.2 |
|
9.2 |
% |
|
|
(10.4 |
) |
(3.0 |
)% |
2024 Revenue (GAAP) |
|
$ |
1,333.6 |
|
|
|
$ |
998.2 |
|
|
|
$ |
335.4 |
|
|
|||
|
|
|
|
|
|
|
|
|
|
|||||||||
|
|
Nine Months Ended |
||||||||||||||||
(in millions, except percentages) |
|
CSL |
|
CCM |
|
CWT |
||||||||||||
2023 Revenues (GAAP) |
|
$ |
3,459.4 |
|
|
|
$ |
2,437.5 |
|
|
|
$ |
1,021.9 |
|
|
|||
Organic |
|
|
353.1 |
|
10.2 |
% |
|
|
378.1 |
|
15.5 |
% |
|
|
(25.0 |
) |
(2.4 |
)% |
Acquisitions |
|
|
69.0 |
|
2.0 |
% |
|
|
55.2 |
|
2.3 |
% |
|
|
13.8 |
|
1.3 |
% |
FX impact |
|
|
(0.8 |
) |
— |
% |
|
|
(0.1 |
) |
— |
% |
|
|
(0.7 |
) |
(0.1 |
)% |
Total change |
|
|
421.3 |
|
12.2 |
% |
|
|
433.2 |
|
17.8 |
% |
|
|
(11.9 |
) |
(1.2 |
)% |
2024 Revenues (GAAP) |
|
$ |
3,880.7 |
|
|
|
$ |
2,870.7 |
|
|
|
$ |
1,010.0 |
|
|
Unaudited Non-GAAP Financial Measures - Free Cash Flow
Free cash flow is intended to provide investors and others with information about Carlisle's liquidity and provides a more complete understanding of factors and trends affecting Carlisle's cash flows. This information differs from operating cash flow determined in accordance with GAAP and should not be considered in isolation or as a substitute for measures of performance determined in accordance with GAAP. Carlisle's free cash flow follows, which may not be comparable to similarly titled measures reported by other companies.
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
(in millions) |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||||
Operating cash flow (GAAP) |
|
$ |
312.8 |
|
|
$ |
441.7 |
|
|
$ |
659.7 |
|
|
$ |
812.4 |
|
Less: operating cash flow from discontinued operations |
|
|
(15.9 |
) |
|
|
51.6 |
|
|
|
(1.8 |
) |
|
|
150.5 |
|
Operating cash flow from continuing operations |
|
$ |
328.7 |
|
|
$ |
390.1 |
|
|
$ |
661.5 |
|
|
$ |
661.9 |
|
|
|
|
|
|
|
|
|
|
||||||||
Capital expenditures (GAAP) |
|
$ |
(19.3 |
) |
|
$ |
(36.2 |
) |
|
$ |
(76.7 |
) |
|
$ |
(106.3 |
) |
Less: capital expenditures from discontinued operations |
|
|
— |
|
|
|
(6.2 |
) |
|
|
(12.4 |
) |
|
|
(19.3 |
) |
Capital expenditures from continuing operations |
|
$ |
(19.3 |
) |
|
$ |
(30.0 |
) |
|
$ |
(64.3 |
) |
|
$ |
(87.0 |
) |
|
|
|
|
|
|
|
|
|
||||||||
Operating cash flow from continuing operations |
|
$ |
328.7 |
|
|
$ |
390.1 |
|
|
$ |
661.5 |
|
|
$ |
661.9 |
|
Capital expenditures from continuing operations |
|
|
(19.3 |
) |
|
|
(30.0 |
) |
|
|
(64.3 |
) |
|
|
(87.0 |
) |
Free cash flow from continuing operations |
|
$ |
309.4 |
|
|
$ |
360.1 |
|
|
$ |
597.2 |
|
|
$ |
574.9 |
|
Unaudited Non-GAAP Financial Measures - EBIT, Adjusted EBIT, Adjusted EBITDA and Adjusted EBITDA Margin
Earnings before interest and taxes ("EBIT"), adjusted EBIT, adjusted earnings before interest, taxes, depreciation and amortization ("EBITDA") and adjusted EBITDA margin are intended to provide investors and others with information about Carlisle's and its segments' performance without the effect of items that, by their nature, tend to obscure core operating results due to potential variability across periods based on the timing, frequency and magnitude of such items. As a result, management believes that these measures enhance the ability of investors to analyze trends in Carlisle's businesses and evaluate Carlisle's performance relative to similarly-situated companies. This information differs from net income and operating income determined in accordance with GAAP and should not be considered in isolation or as a substitute for measures of performance determined in accordance with GAAP. Carlisle's and its segments' EBIT, adjusted EBIT, adjusted EBITDA and adjusted EBITDA margin follows, which may not be comparable to similarly titled measures reported by other companies.
|
|
Three Months Ended
|
|
Nine Months Ended
|
||||||||||||
(in millions, except percentages) |
|
2024 |
|
2023 |
|
2024 |
|
2023 |
||||||||
Net income (GAAP) |
|
$ |
244.3 |
|
|
$ |
265.6 |
|
|
$ |
1,149.0 |
|
|
$ |
561.9 |
|
Less: (Loss) income from discontinued operations |
|
|
(2.3 |
) |
|
|
48.7 |
|
|
|
446.3 |
|
|
|
34.7 |
|
Income from continuing operations (GAAP) |
|
|
246.6 |
|
|
|
216.9 |
|
|
|
702.7 |
|
|
|
527.2 |
|
Provision for income taxes |
|
|
74.9 |
|
|
|
66.6 |
|
|
|
206.2 |
|
|
|
158.7 |
|
Interest expense, net |
|
|
18.6 |
|
|
|
19.4 |
|
|
|
56.0 |
|
|
|
57.0 |
|
Interest income |
|
|
(22.6 |
) |
|
|
(3.6 |
) |
|
|
(44.3 |
) |
|
|
(12.5 |
) |
EBIT |
|
|
317.5 |
|
|
|
299.3 |
|
|
|
920.6 |
|
|
|
730.4 |
|
Exit and disposal, and facility rationalization costs |
|
|
1.9 |
|
|
|
1.7 |
|
|
|
2.7 |
|
|
|
4.5 |
|
Inventory step-up amortization and transaction costs |
|
|
2.7 |
|
|
|
— |
|
|
|
4.8 |
|
|
|
1.6 |
|
Impairment charges |
|
|
— |
|
|
|
0.5 |
|
|
|
— |
|
|
|
1.8 |
|
(Gains) losses from acquisitions and disposals |
|
|
(0.3 |
) |
|
|
(0.7 |
) |
|
|
(0.6 |
) |
|
|
1.8 |
|
Gains from insurance |
|
|
— |
|
|
|
— |
|
|
|
(5.0 |
) |
|
|
— |
|
Losses (gains) from litigation |
|
|
1.5 |
|
|
|
(0.1 |
) |
|
|
1.9 |
|
|
|
(0.2 |
) |
Total non-comparable items |
|
|
5.8 |
|
|
|
1.4 |
|
|
|
3.8 |
|
|
|
9.5 |
|
Adjusted EBIT |
|
|
323.3 |
|
|
|
300.7 |
|
|
|
924.4 |
|
|
|
739.9 |
|
Depreciation |
|
|
17.5 |
|
|
|
16.8 |
|
|
|
51.7 |
|
|
|
48.9 |
|
Amortization |
|
|
27.1 |
|
|
|
22.2 |
|
|
|
74.9 |
|
|
|
66.9 |
|
Adjusted EBITDA |
|
$ |
367.9 |
|
|
$ |
339.7 |
|
|
$ |
1,051.0 |
|
|
$ |
855.7 |
|
Divided by: |
|
|
|
|
|
|
|
|
||||||||
Total revenues |
|
$ |
1,333.6 |
|
|
$ |
1,259.8 |
|
|
$ |
3,880.7 |
|
|
$ |
3,459.4 |
|
Adjusted EBITDA margin |
|
|
27.6 |
% |
|
|
27.0 |
% |
|
|
27.1 |
% |
|
|
24.7 |
% |
Unaudited Non-GAAP Financial Measures - EBIT, Adjusted EBIT, Adjusted EBITDA and Adjusted EBITDA Margin |
||||||||||||
|
|
Three Months Ended |
||||||||||
(in millions, except percentages) |
|
CCM |
|
CWT |
|
Corporate and
|
||||||
Operating income (loss) (GAAP) |
|
$ |
303.0 |
|
|
$ |
46.8 |
|
|
$ |
(33.4 |
) |
Non-operating (income) expense, net(1) |
|
|
(0.5 |
) |
|
|
0.3 |
|
|
|
(0.9 |
) |
EBIT |
|
|
303.5 |
|
|
|
46.5 |
|
|
|
(32.5 |
) |
Exit and disposal, and facility rationalization costs |
|
|
1.3 |
|
|
|
0.6 |
|
|
|
— |
|
Inventory step-up amortization and transaction costs |
|
|
0.1 |
|
|
|
— |
|
|
|
2.6 |
|
Gains from acquisitions and disposals |
|
|
(0.1 |
) |
|
|
(0.2 |
) |
|
|
— |
|
Losses from litigation |
|
|
1.0 |
|
|
|
0.5 |
|
|
|
— |
|
Total non-comparable items |
|
|
2.3 |
|
|
|
0.9 |
|
|
|
2.6 |
|
Adjusted EBIT |
|
|
305.8 |
|
|
|
47.4 |
|
|
|
(29.9 |
) |
Depreciation |
|
|
13.0 |
|
|
|
4.1 |
|
|
|
0.4 |
|
Amortization |
|
|
8.8 |
|
|
|
17.8 |
|
|
|
0.5 |
|
Adjusted EBITDA |
|
$ |
327.6 |
|
|
$ |
69.3 |
|
|
$ |
(29.0 |
) |
Divided by: |
|
|
|
|
|
|
||||||
Total revenues |
|
$ |
998.2 |
|
|
$ |
335.4 |
|
|
$ |
— |
|
Adjusted EBITDA margin |
|
|
32.8 |
% |
|
|
20.7 |
% |
|
|
NM |
|
(1) |
Includes other non-operating (income) expense, net, which may be presented in separate line items on the unaudited Consolidated Statements of Income. |
|
|
Three Months Ended |
||||||||||
(in millions, except percentages) |
|
CCM |
|
CWT |
|
Corporate and
|
||||||
Operating income (loss) (GAAP) |
|
$ |
272.5 |
|
|
$ |
58.8 |
|
|
$ |
(31.4 |
) |
Non-operating expense (income), net(1) |
|
|
0.3 |
|
|
|
(0.2 |
) |
|
|
0.5 |
|
EBIT |
|
|
272.2 |
|
|
|
59.0 |
|
|
|
(31.9 |
) |
Exit and disposal, and facility rationalization costs |
|
|
1.7 |
|
|
|
— |
|
|
|
— |
|
Impairment charges |
|
|
— |
|
|
|
0.5 |
|
|
|
— |
|
Gains from acquisitions and disposals |
|
|
(0.2 |
) |
|
|
(0.5 |
) |
|
|
— |
|
Gains from litigation |
|
|
— |
|
|
|
— |
|
|
|
(0.1 |
) |
Total non-comparable items |
|
|
1.5 |
|
|
|
— |
|
|
|
(0.1 |
) |
Adjusted EBIT |
|
|
273.7 |
|
|
|
59.0 |
|
|
|
(32.0 |
) |
Depreciation |
|
|
11.7 |
|
|
|
4.1 |
|
|
|
1.0 |
|
Amortization |
|
|
4.0 |
|
|
|
17.7 |
|
|
|
0.5 |
|
Adjusted EBITDA |
|
$ |
289.4 |
|
|
$ |
80.8 |
|
|
$ |
(30.5 |
) |
Divided by: |
|
|
|
|
|
|
||||||
Total revenues |
|
$ |
914.0 |
|
|
$ |
345.8 |
|
|
$ |
— |
|
Adjusted EBITDA margin |
|
|
31.7 |
% |
|
|
23.4 |
% |
|
|
NM |
|
(1) |
Includes other non-operating (income) expense, net, which may be presented in separate line items on the unaudited Consolidated Statements of Income. |
Unaudited Non-GAAP Financial Measures - EBIT, Adjusted EBIT, Adjusted EBITDA and Adjusted EBITDA Margin |
||||||||||||
|
|
Nine Months Ended |
||||||||||
(in millions) |
|
CCM |
|
CWT |
|
Corporate and
|
||||||
Operating income (loss) (GAAP) |
|
$ |
861.0 |
|
|
$ |
148.2 |
|
|
$ |
(90.1 |
) |
Non-operating income, net(1) |
|
|
— |
|
|
|
— |
|
|
|
(1.5 |
) |
EBIT |
|
|
861.0 |
|
|
|
148.2 |
|
|
|
(88.6 |
) |
Exit and disposal, and facility rationalization costs |
|
|
1.6 |
|
|
|
1.1 |
|
|
|
— |
|
Inventory step-up amortization and acquisition costs |
|
|
1.9 |
|
|
|
— |
|
|
|
2.9 |
|
Gains from acquisitions and disposals |
|
|
(0.2 |
) |
|
|
(0.4 |
) |
|
|
— |
|
Gains from insurance |
|
|
(5.0 |
) |
|
|
— |
|
|
|
— |
|
Losses from litigation |
|
|
1.0 |
|
|
|
0.9 |
|
|
|
— |
|
Total non-comparable items |
|
|
(0.7 |
) |
|
|
1.6 |
|
|
|
2.9 |
|
Adjusted EBIT |
|
|
860.3 |
|
|
|
149.8 |
|
|
|
(85.7 |
) |
Depreciation |
|
|
38.1 |
|
|
|
12.4 |
|
|
|
1.2 |
|
Amortization |
|
|
20.2 |
|
|
|
53.2 |
|
|
|
1.5 |
|
Adjusted EBITDA |
|
$ |
918.6 |
|
|
$ |
215.4 |
|
|
$ |
(83.0 |
) |
Total revenues |
|
$ |
2,870.7 |
|
|
$ |
1,010.0 |
|
|
$ |
— |
|
Adjusted EBITDA margin |
|
|
32.0 |
% |
|
|
21.3 |
% |
|
|
NM |
|
(1) |
Includes other non-operating (income) expense, net, which may be presented in separate line items on the unaudited Consolidated Statements of Income. |
|
|
Nine Months Ended |
||||||||||
(in millions) |
|
CCM |
|
CWT |
|
Corporate and
|
||||||
Operating income (loss) (GAAP) |
|
$ |
675.6 |
|
|
$ |
142.4 |
|
|
$ |
(88.8 |
) |
Non-operating income, net(1) |
|
|
— |
|
|
|
— |
|
|
|
(1.2 |
) |
EBIT |
|
|
675.6 |
|
|
|
142.4 |
|
|
|
(87.6 |
) |
Exit and disposal, and facility rationalization costs |
|
|
1.8 |
|
|
|
2.7 |
|
|
|
— |
|
Inventory step-up amortization and acquisition costs |
|
|
— |
|
|
|
— |
|
|
|
1.6 |
|
Impairment charges |
|
|
— |
|
|
|
1.8 |
|
|
|
— |
|
(Gains) losses from acquisitions and disposals |
|
|
(0.5 |
) |
|
|
2.4 |
|
|
|
(0.1 |
) |
Gains from litigation |
|
|
— |
|
|
|
— |
|
|
|
(0.2 |
) |
Total non-comparable items |
|
|
1.3 |
|
|
|
6.9 |
|
|
|
1.3 |
|
Adjusted EBIT |
|
|
676.9 |
|
|
|
149.3 |
|
|
|
(86.3 |
) |
Depreciation |
|
|
32.8 |
|
|
|
13.2 |
|
|
|
2.9 |
|
Amortization |
|
|
12.2 |
|
|
|
53.0 |
|
|
|
1.7 |
|
Adjusted EBITDA |
|
$ |
721.9 |
|
|
$ |
215.5 |
|
|
$ |
(81.7 |
) |
|
|
|
|
|
|
|
||||||
Total revenues |
|
$ |
2,437.5 |
|
|
$ |
1,021.9 |
|
|
$ |
— |
|
Adjusted EBITDA margin |
|
|
29.6 |
% |
|
|
21.1 |
% |
|
|
NM |
|
(1) |
Includes other non-operating (income) expense, net, which may be presented in separate line items on the unaudited Consolidated Statements of Income. |
Unaudited Non-GAAP Financial Measures - Adjusted Net Income and Adjusted Diluted EPS
Adjusted net income and adjusted diluted earnings per share is intended to provide investors and others with information about Carlisle's performance without the effect of items that, by their nature, tend to obscure Carlisle's core operating results due to potential variability across periods based on the timing, frequency and magnitude of such items. This information differs from net income and diluted earnings per share determined in accordance with GAAP and should not be considered in isolation or as a substitute for measures of performance determined in accordance with GAAP. Carlisle's adjusted net income and adjusted diluted earnings per share follows, which may not be comparable to similarly titled measures reported by other companies.
|
|
Three Months Ended
|
|
Three Months Ended
|
||||||||||||||||||
(in millions, except per share amounts) |
|
Pre-tax
|
|
After-tax
|
|
Impact to
|
|
Pre-tax
|
|
After-tax
|
|
Impact to
|
||||||||||
Net income (GAAP) |
|
|
|
$ |
244.3 |
|
|
$ |
5.25 |
|
|
|
|
$ |
265.6 |
|
|
$ |
5.29 |
|
||
Less: Income (loss) from discontinued operations (GAAP) |
|
|
|
|
(2.3 |
) |
|
|
(0.05 |
) |
|
|
|
|
48.7 |
|
|
|
0.97 |
|
||
Income from continuing operations (GAAP) |
|
|
|
|
246.6 |
|
|
|
5.30 |
|
|
|
|
|
216.9 |
|
|
|
4.32 |
|
||
Exit and disposal, and facility rationalization costs |
|
1.9 |
|
|
|
1.5 |
|
|
|
0.03 |
|
|
1.7 |
|
|
|
1.1 |
|
|
|
0.02 |
|
Inventory step-up amortization and transaction costs |
|
2.7 |
|
|
|
2.0 |
|
|
|
0.04 |
|
|
— |
|
|
|
— |
|
|
|
— |
|
Impairment charges |
|
— |
|
|
|
— |
|
|
|
— |
|
|
0.5 |
|
|
|
0.3 |
|
|
|
0.01 |
|
Gains from acquisitions and disposals |
|
(0.3 |
) |
|
|
(0.2 |
) |
|
|
— |
|
|
(0.7 |
) |
|
|
(0.4 |
) |
|
|
(0.01 |
) |
Losses from insurance |
|
— |
|
|
|
— |
|
|
|
— |
|
|
— |
|
|
|
— |
|
|
|
— |
|
Losses from litigation |
|
1.5 |
|
|
|
1.1 |
|
|
|
0.03 |
|
|
— |
|
|
|
— |
|
|
|
— |
|
Acquisition-related amortization(3) |
|
25.4 |
|
|
|
19.2 |
|
|
|
0.41 |
|
|
20.9 |
|
|
|
15.8 |
|
|
|
0.32 |
|
Discrete tax items(4) |
|
— |
|
|
|
(1.3 |
) |
|
|
(0.03 |
) |
|
— |
|
|
|
1.1 |
|
|
|
0.02 |
|
Total adjustments |
|
|
|
|
22.3 |
|
|
|
0.48 |
|
|
|
|
|
17.9 |
|
|
|
0.36 |
|
||
Adjusted net income |
|
|
|
$ |
268.9 |
|
|
$ |
5.78 |
|
|
|
|
$ |
234.8 |
|
|
$ |
4.68 |
|
(1) |
The impact to net income reflects the tax effect of noted items, which is based on the statutory rate in the jurisdiction in which the expense or income is deductible or taxable. |
|
(2) |
The per share impact of adjustments to each period is based on diluted shares outstanding using the two-class method. |
|
(3) |
Acquisition-related amortization includes the amortization of customer relationships, technology, trade names and other intangible assets recorded in purchase accounting in connection with a business combination. These intangible assets contribute to revenue generation and the amortization of these assets will recur until such intangible assets are fully amortized. |
|
(4) |
Discrete tax items include current period tax expense or benefit related to prior year items, excess tax benefits from stock compensation, the tax impact of foreign currency gains and losses, or changes in tax laws or rates. |
Unaudited Non-GAAP Financial Measures - Adjusted Net Income and Adjusted Diluted EPS
|
|
Nine Months Ended
|
|
Nine Months Ended
|
||||||||||||||||||
(in millions, except per share amounts) |
|
Pre-tax
|
|
After-tax
|
|
Impact to
|
|
Pre-tax
|
|
After-tax
|
|
Impact to
|
||||||||||
Net income (GAAP) |
|
|
|
$ |
1,149.0 |
|
|
$ |
24.10 |
|
|
|
|
$ |
561.9 |
|
|
$ |
11.00 |
|
||
Less: Income (loss) from discontinued operations (GAAP) |
|
|
|
|
446.3 |
|
|
|
9.36 |
|
|
|
|
|
34.7 |
|
|
|
0.68 |
|
||
Income from continuing operations (GAAP) |
|
|
|
|
702.7 |
|
|
|
14.74 |
|
|
|
|
|
527.2 |
|
|
|
10.32 |
|
||
Exit and disposal, and facility rationalization costs |
|
2.7 |
|
|
|
2.1 |
|
|
|
0.04 |
|
|
4.5 |
|
|
|
3.3 |
|
|
|
0.06 |
|
Inventory step-up amortization and acquisition costs |
|
4.8 |
|
|
|
3.6 |
|
|
|
0.08 |
|
|
1.6 |
|
|
|
1.2 |
|
|
|
0.02 |
|
Impairment charges |
|
— |
|
|
|
— |
|
|
|
— |
|
|
1.8 |
|
|
|
1.3 |
|
|
|
0.03 |
|
(Gains) losses from acquisitions and disposals |
|
(0.6 |
) |
|
|
(0.4 |
) |
|
|
(0.01 |
) |
|
1.8 |
|
|
|
1.4 |
|
|
|
0.03 |
|
Gains from insurance |
|
(5.0 |
) |
|
|
(3.8 |
) |
|
|
(0.08 |
) |
|
— |
|
|
|
— |
|
|
|
— |
|
Losses (gains) from litigation |
|
1.9 |
|
|
|
1.4 |
|
|
|
0.03 |
|
|
(0.2 |
) |
|
|
(0.1 |
) |
|
|
— |
|
Acquisition-related amortization(3) |
|
70.5 |
|
|
|
53.1 |
|
|
|
1.11 |
|
|
63.0 |
|
|
|
47.4 |
|
|
|
0.93 |
|
Discrete tax items(4) |
|
— |
|
|
|
(9.8 |
) |
|
|
(0.20 |
) |
|
— |
|
|
|
(1.8 |
) |
|
|
(0.04 |
) |
Total adjustments |
|
|
|
|
46.2 |
|
|
|
0.97 |
|
|
|
|
|
52.7 |
|
|
|
1.03 |
|
||
Adjusted net income |
|
|
|
$ |
748.9 |
|
|
$ |
15.71 |
|
|
|
|
$ |
579.9 |
|
|
$ |
11.35 |
|
(1) |
The impact to net income reflects the tax effect of noted items, which is based on the statutory rate in the jurisdiction in which the expense or income is deductible or taxable. |
|
(2) |
The per share impact of adjustments to each period is based on diluted shares outstanding using the two-class method. |
|
(3) |
Acquisition-related amortization includes the amortization of customer relationships, technology, trade names and other intangible assets recorded in purchase accounting in connection with a business combination. These intangible assets contribute to revenue generation and the amortization of these assets will recur until such intangible assets are fully amortized. |
|
(4) |
Discrete tax items include current period tax expense or benefit related to prior year items, the tax impact of foreign currency gains and losses, or changes in tax laws or rates. |
View source version on businesswire.com: https://www.businesswire.com/news/home/20241024117034/en/
Vice President, Investor Relations
(310) 592-9668
mpatel@carlisle.com
Source: