Sign In  |  Register  |  About Livermore  |  Contact Us

Livermore, CA
September 01, 2020 1:25pm
7-Day Forecast | Traffic
  • Search Hotels in Livermore

  • CHECK-IN:
  • CHECK-OUT:
  • ROOMS:

Kaman Reports Fourth Quarter and Full Year 2023 Results

Fourth Quarter 2023 Highlights:

  • Net sales: $203.1 million
  • Operating income: $12.0 million
  • Net earnings: $2.0 million
  • Adjusted EBITDA*: $25.6 million; Adjusted EBITDA margin*: 12.6%
  • Diluted earnings per share: $0.07 per share, $0.12 per share adjusted*

Full Year 2023 Highlights:

  • Net sales: $775.9 million
  • Operating income: $49.1 million
  • Net earnings: $7.9 million
  • Adjusted EBITDA*: $106.7 million; Adjusted EBITDA margin*: 13.7%
  • Diluted earnings per share: $0.28 per share, $0.49 per share adjusted*

Kaman Corp. (NYSE:KAMN) ("Kaman" or "the Company") today reported financial results for the fourth fiscal quarter and full year ended December 31, 2023.

Table 1. Summary of Financial Results (unaudited)

Thousands of U.S. dollars

(except share data)

 

Three Months Ended

 

Twelve Months Ended

 

 

December 31,

2023

 

September 29,

2023

 

December 31,

2022

 

December 31,

2023

 

December 31,

2022

Net sales

 

$

203,123

 

 

$

183,031

 

 

$

197,143

 

 

$

775,854

 

 

$

687,961

 

Net earnings (loss)

 

 

1,995

 

 

 

1,466

 

 

 

(55,942

)

 

 

7,947

 

 

 

(48,573

)

Adjusted EBITDA*

 

 

25,617

 

 

 

25,232

 

 

 

29,721

 

 

 

106,675

 

 

 

77,241

 

Adjusted EBITDA margin*

 

 

12.6

%

 

 

13.8

%

 

 

15.1

%

 

 

13.7

%

 

 

11.2

%

Diluted earnings (loss) per share

 

$

0.07

 

 

$

0.05

 

 

$

(1.99

)

 

$

0.28

 

 

$

(1.73

)

Adjusted diluted earnings per share*

 

$

0.12

 

 

$

0.10

 

 

$

0.38

 

 

$

0.49

 

 

$

1.04

 

*See the end of this release for an explanation of the Company's use of Adjusted EBITDA, Adjusted EBITDA margin, Free cash flow and Adjusted diluted earnings per share from continuing operations. See tables 5-11 for reconciliations to the most comparable GAAP measure.

(1) Information for the period ended December 31, 2022 has been revised from amounts reported in the prior year to correct errors related to the accounting for certain labor costs at one business in the Precision Products segment and the net realizable value on certain portions of the Company's inventory at another business in the Structures segment. These errors resulted in an understatement of cost of sales, net of tax, of $1.0 million and $2.3 million, in the three-month and twelve-month fiscal periods ended December 31, 2022, respectively. Refer to the Company's Form 10-K for the year ended December 31, 2023 for further information.

"Our Engineered Products segment achieved another strong quarter and we delivered full year results in line with our revised outlook," said Ian K. Walsh, Chairman, President and Chief Executive Officer. "Our results reflect our continued execution in reshaping our portfolio, optimizing cost structure and eliminating major sources of variation in performance as we remained disciplined in our approach to capital allocation and realized additional opportunities to reduce expense across the organization."

MERGER

As announced on January 19, 2024, we have entered into a merger agreement wherein Arcline Investment Management, L.P. ("Arcline") will acquire Kaman. Under the terms of the agreement, Arcline will purchase Kaman in an all-cash transaction for $46.00 per share, equating to an enterprise value of approximately $1.8 billion. The transaction is subject to customary closing conditions, including approval by Kaman shareholders and receipt of required regulatory approvals. The transaction is currently expected to close in the first half of 2024.

KAMAN BUSINESS RESULTS DISCUSSION BY REPORTING SEGMENT

Kaman manages its portfolio through three segments: (1) Engineered Products; (2) Precision Products; and (3) Structures.

Engineered Products - Our Engineered Products segment serves the aerospace and defense, industrial and medical markets providing sophisticated, proprietary aircraft bearings and components; super precision, miniature ball bearings; proprietary spring energized seals, springs and contacts; and wheels, brakes and related hydraulic components for helicopters, fixed-wing and UAV aircraft.

Table 2. Engineered Products Results

 

 

 

 

 

 

Thousands of U.S. dollars

 

Three Months Ended

 

Twelve Months Ended

 

 

December 31,

2023

 

September 29,

2023

 

December 31,

2022

 

December 31,

2023

 

December 31,

2022

Net sales

 

$

132,394

 

 

$

123,598

 

 

$

113,972

 

 

$

512,831

 

 

$

377,241

 

Operating income

 

 

28,939

 

 

 

29,026

 

 

 

17,168

 

 

 

107,863

 

 

 

57,833

 

Adjusted EBITDA

 

 

38,308

 

 

 

38,428

 

 

 

30,698

 

 

 

147,514

 

 

 

91,353

 

Adjusted EBITDA margin

 

 

28.9

%

 

 

31.1

%

 

 

26.9

%

 

 

28.8

%

 

 

24.2

%

Three months ended December 31, 2023 versus three months ended September 29, 2023 - Operating income and Adjusted EBITDA remained relatively flat and margin decreased 2.2 percentage points versus the third quarter of 2023. Results remained strong in the fourth quarter driven by higher sales and gross margin on our commercial bearings and aircraft wheels and brakes, partially offset by lower sales volume on our springs, seals and contacts used in medical applications.

Three months ended December 31, 2023 versus three months ended December 31, 2022 - Operating income increased $11.8 million, Adjusted EBITDA increased $7.6 million and margin increased 2.0 percentage points versus the fourth quarter of 2022. Results improved compared to the prior period driven by higher sales and gross margin on our commercial bearings, PMA aftermarket parts and aircraft wheels and brakes and the absence of the inventory step-up of $2.3 million recorded in the prior year associated with the Aircraft Wheel and Brake acquisition.

Precision Products - Our Precision Products segment serves the aerospace and defense markets providing precision safe and arming solutions for missile and bomb systems for the U.S. and allied militaries; subcontract helicopter work; restoration, modification and support of our SH-2G Super Seasprite maritime helicopters; support of our heavy lift K-MAX® manned helicopter, and development of the KARGO UAV unmanned aerial system, a purpose built autonomous medium lift logistics vehicle.

Table 3. Precision Products Results

 

 

 

 

 

 

Thousands of U.S. dollars

 

Three Months Ended

 

Twelve Months Ended

 

 

December 31,

2023

 

September 29,

2023

 

December 31,

2022

 

December 31,

2023

 

December 31,

2022

Net sales

 

$

36,019

 

 

$

27,098

 

 

$

49,925

 

 

$

129,147

 

 

$

185,023

 

Operating (loss) income

 

 

(536

)

 

 

(3,241

)

 

 

5,628

 

 

 

(4,532

)

 

 

16,353

 

Adjusted EBITDA

 

 

355

 

 

 

(2,458

)

 

 

6,413

 

 

 

(1,240

)

 

 

20,016

 

Adjusted EBITDA margin

 

 

1.0

%

 

 

(9.1

)%

 

 

12.8

%

 

 

(1.0

)%

 

 

10.8

%

(1)Information for the period ended December 31, 2022 has been revised from amounts reported in the prior year to correct errors related to the accounting for certain labor costs at one business in the Precision Products segment. Refer to the Company's Form 10-K for the year ended December 31, 2023 for further information.

Three months ended December 31, 2023 versus three months ended September 29, 2023 - Operating loss decreased $2.7 million, Adjusted EBITDA increased $2.8 million and margin increased 10.1 percentage points versus the third quarter of 2023. Results improved compared to the third quarter, driven by higher JPF direct commercial sales and related margin, partially offset by cost growth on a legacy fuzing program and higher R&D spend on the KARGO UAV unmanned aerial system.

Three months ended December 31, 2023 versus three months ended December 31, 2022 - Operating income decreased $6.2 million, Adjusted EBITDA decreased $6.1 million and margin decreased 11.8 percentage points versus the fourth quarter of 2022. Results declined compared to the prior period, driven by cost growth on legacy fuzing and measuring programs and lower sales and related margin of JPF and K-MAX® exchanges.

Structures - Our Structures segment serves the aerospace and defense and medical end markets providing sophisticated complex metallic and composite aerostructures for commercial, military and general aviation fixed and rotary wing aircraft, and medical imaging solutions.

Table 4. Structures Results

 

 

 

 

 

 

Thousands of U.S. dollars

 

Three Months Ended

 

Twelve Months Ended

 

 

December 31,

2023

 

September 29,

2023

 

December 31,

2022

 

December 31,

2023

 

December 31,

2022

Net sales

 

$

34,710

 

 

$

32,335

 

 

$

33,246

 

 

$

133,876

 

 

$

125,697

 

Operating loss

 

 

(5,400

)

 

 

(3,020

)

 

 

(2,502

)

 

 

(9,169

)

 

 

(4,623

)

Adjusted EBITDA

 

 

(4,667

)

 

 

(2,222

)

 

 

(1,646

)

 

 

(6,063

)

 

 

(1,104

)

Adjusted EBITDA margin

 

 

(13.4

)%

 

 

(6.9

)%

 

 

(5.0

)%

 

 

(4.5

)%

 

 

(0.9

)%

(1)Information for the period ended December 31, 2022 has been revised from amounts reported in the prior year to correct errors related to the net realizable value on certain portions of the Company's inventory at a business in the Structures segment. Refer to the Company's Form 10-K for the year ended December 31, 2023 for further information.

Three months ended December 31, 2023 versus three months ended September 29, 2023 - Operating income and Adjusted EBITDA decreased by $2.4 million, and margin decreased 6.5 percentage points versus the third quarter of 2023. Results were impacted by lower gross profit due to changes in profit estimates for long term contracts and lower sales volumes on our programs with Rolls Royce.

Three months ended December 31, 2023 versus three months ended December 31, 2022 - Operating loss increased by $2.9 million, Adjusted EBITDA decreased by $3.0 million, and margin decreased 8.4 percentage points versus the fourth quarter of 2022. Results were impacted by lower gross profit due to changes in profit estimates for long term contracts and lower margin on our programs with Rolls Royce.

Please see the MD&A section of the Company's Form 10-K filed with the Securities and Exchange Commission concurrently with the issuance of this release for greater detail on our results and various company programs.

CONFERENCE CALL

Given the pending acquisition by Arcline, the Company is not conducting a conference call for the fourth quarter. In addition, the Company is not providing a financial outlook for fiscal year 2024.

ABOUT KAMAN CORPORATION

Kaman Corporation, founded in 1945 by aviation pioneer Charles H. Kaman, and headquartered in Bloomfield, Connecticut, conducts business in the aerospace & defense, industrial and medical markets. Kaman produces and markets proprietary aircraft bearings and components; super precision, miniature ball bearings; proprietary spring energized seals, springs and contacts; wheels, brakes and related hydraulic components for helicopters, fixed-wing and UAV aircraft; complex metallic and composite aerostructures for commercial, military and general aviation fixed and rotary wing aircraft; safe and arming solutions for missile and bomb systems for the U.S. and allied militaries; subcontract helicopter work; restoration, modification and support of our SH-2G Super Seasprite maritime helicopters; support of our heavy lift K-MAX® manned helicopter, and development of the KARGO UAV unmanned aerial system, a purpose built autonomous medium lift logistics vehicle. More information is available at www.kaman.com.

NON-GAAP MEASURES DISCLOSURE

Management believes that the Non-GAAP financial measures (i.e. financial measures that are not computed in accordance with Generally Accepted Accounting Principles) identified by an asterisk (*) used in this release or in other disclosures provide important perspectives into the Company's ongoing business performance. The Company does not intend for the information to be considered in isolation or as a substitute for the related GAAP measures. Other companies may define the measures differently. We define the Non-GAAP measures used in this release and other disclosures as follows:

Adjusted EBITDA - Adjusted EBITDA for the consolidated company results is defined as net earnings before interest, taxes, other expense (income), net, depreciation and amortization and certain items that are not indicative of the operating performance of the Company for the periods presented. Adjusted EBITDA for the segments is defined as operating income before depreciation and amortization. Adjusted EBITDA margin is defined as Adjusted EBITDA as a percent of Net sales. Management believes Adjusted EBITDA and Adjusted EBITDA margin provide an additional perspective on the operating results of the organization and its earnings capacity and helps improve the comparability of our results between periods because they provide a view of our operations that excludes items that management believes are not reflective of operating performance, such as items traditionally removed from net earnings in the calculation of EBITDA as well as Other expense (income), net and certain items that are not indicative of the operating performance of the Company for the period presented. Adjusted EBITDA and Adjusted EBITDA margin are not presented as an alternative measure of operating performance, as determined in accordance with GAAP. The following tables illustrate the calculation of Adjusted EBITDA:

Table 5. Adjusted EBITDA (unaudited)

 

 

 

 

Thousands of U.S. dollars

 

Three Months Ended

December 31, 2023

 

 

Consolidated

 

Engineered Products

 

Precision Products

 

Structures

 

Corp/Elims**

Adjusted EBITDA

 

 

 

 

 

 

 

 

 

 

Consolidated Results

 

 

 

 

 

 

 

 

 

 

Net sales

 

$

203,123

 

 

$

132,394

 

 

$

36,019

 

 

$

34,710

 

 

$

 

 

 

 

 

 

 

 

 

 

 

 

Net earnings

 

$

1,995

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense, net

 

 

10,648

 

 

 

 

 

 

 

 

 

Income tax expense

 

 

367

 

 

 

 

 

 

 

 

 

Non-service pension and post retirement benefit income

 

 

(310

)

 

 

 

 

 

 

 

 

Other income, net

 

 

(716

)

 

 

 

 

 

 

 

 

Operating income (loss)

 

$

11,984

 

 

$

28,939

 

 

$

(536

)

 

$

(5,400

)

 

$

(11,019

)

Depreciation and amortization

 

 

11,794

 

 

 

9,369

 

 

 

891

 

 

 

733

 

 

 

801

 

Restructuring and severance costs(1)

 

 

359

 

 

 

 

 

 

 

 

 

 

 

 

359

 

Integration and implementation costs(2)

 

 

482

 

 

 

 

 

 

 

 

 

 

 

 

482

 

Costs associated with corporate development activities(3)

 

 

947

 

 

 

 

 

 

 

 

 

 

 

 

947

 

Program assets impairment(4)

 

 

51

 

 

 

 

 

 

 

 

 

 

 

 

51

 

Other Adjustments

 

$

13,633

 

 

$

9,369

 

 

$

891

 

 

$

733

 

 

$

2,640

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted EBITDA

 

$

25,617

 

 

$

38,308

 

 

$

355

 

 

$

(4,667

)

 

$

(8,379

)

Adjusted EBITDA margin

 

 

12.6

%

 

 

28.9

%

 

 

1.0

%

 

 

(13.4

)%

 

 

(1) Restructuring and severance costs include actions associated with the previously announced cost reduction efforts that include the consolidation of our JPF production facilities and discontinuation of the K-MAX® aircraft production line.

(2) Integration and implementation costs include one-time costs associated with the integration of Aircraft Wheel and Brake and costs associated with the set-up of a new joint venture to satisfy existing offset requirements the Company has with a foreign customer.

(3) Costs associated with corporate development activities include one-time costs associated with the sale of Kaman Corporation and its subsidiaries.

(4) Program assets impairment includes the write-off of long lead parts received in the current period associated with K-MAX® program which were determined to have no alternative use.

**Corp/Elims Operating income (loss) represents the Corporate office expenses and $0.5 million of unallocated expenses that are shown on the Consolidated Statement of Earnings as their own line items.

Table 6. Adjusted EBITDA (unaudited)

 

 

 

 

Thousands of U.S. dollars

 

Three Months Ended

September 29, 2023

 

 

Consolidated

 

Engineered Products

 

Precision Products

 

Structures

 

Corp/Elims**

Adjusted EBITDA

 

 

 

 

 

 

 

 

 

 

Consolidated Results

 

 

 

 

 

 

 

 

 

 

Net sales

 

$

183,031

 

 

$

123,598

 

 

$

27,098

 

 

$

32,335

 

 

$

 

 

 

 

 

 

 

 

 

 

 

 

Net earnings

 

$

1,466

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense, net

 

 

9,405

 

 

 

 

 

 

 

 

 

Income tax expense

 

 

462

 

 

 

 

 

 

 

 

 

Non-service pension and post retirement benefit income

 

 

(310

)

 

 

 

 

 

 

 

 

Other expense, net

 

 

849

 

 

 

 

 

 

 

 

 

Operating income (loss)

 

$

11,872

 

 

$

29,026

 

 

$

(3,241

)

 

$

(3,020

)

 

$

(10,893

)

Depreciation and amortization

 

 

11,800

 

 

 

9,402

 

 

 

783

 

 

 

798

 

 

 

817

 

Restructuring and severance costs(1)

 

 

571

 

 

 

 

 

 

 

 

 

 

 

 

571

 

Integration and implementation costs(2)

 

 

572

 

 

 

 

 

 

 

 

 

 

 

 

572

 

Program assets impairment(3)

 

 

417

 

 

 

 

 

 

 

 

 

 

 

 

417

 

Other Adjustments

 

$

13,360

 

 

$

9,402

 

 

$

783

 

 

$

798

 

 

$

2,377

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted EBITDA

 

$

25,232

 

 

$

38,428

 

 

$

(2,458

)

 

$

(2,222

)

 

$

(8,516

)

Adjusted EBITDA margin

 

 

13.8

%

 

 

31.1

%

 

 

(9.1

)%

 

 

(6.9

)%

 

 

(1) Restructuring and severance costs include actions associated with the previously announced cost reduction efforts that include the consolidation of our JPF production facilities and discontinuation of the K-MAX® aircraft production line.

(2) Integration and implementation costs include one-time costs associated with the integration of Aircraft Wheel and Brake and costs associated with the set-up of a new joint venture to satisfy existing offset requirements the Company has with a foreign customer.

(3) Program assets impairment includes the write-off of long lead parts received in the current period associated with K-MAX® program which were determined to have no alternative use.

**Corp/Elims Operating income (loss) represents the Corporate office expenses and $1.1 million of unallocated expenses that are shown on the Consolidated Statement of Earnings as their own line items.

Table 7. Adjusted EBITDA (unaudited)

 

 

 

 

Thousands of U.S. dollars

 

Three Months Ended

December 31, 2022

 

 

Consolidated

 

Engineered Products

 

Precision Products

 

Structures

 

Corp/Elims**

Adjusted EBITDA

 

 

 

 

 

 

 

 

 

 

Consolidated Results

 

 

 

 

 

 

 

 

 

 

Net sales

 

$

197,143

 

 

$

113,972

 

 

$

49,925

 

 

$

33,246

 

 

$

 

 

 

 

 

 

 

 

 

 

 

 

Net (loss) earnings

 

$

(55,942

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense, net

 

 

8,786

 

 

 

 

 

 

 

 

 

Income tax expense (benefit)

 

 

(18,991

)

 

 

 

 

 

 

 

 

Non-service pension and post retirement benefit income

 

 

(5,145

)

 

 

 

 

 

 

 

 

Other income, net

 

 

(2,100

)

 

 

 

 

 

 

 

 

Operating income (loss)

 

$

(73,392

)

 

$

17,168

 

 

$

5,628

 

 

$

(2,502

)

 

$

(93,686

)

Depreciation and amortization

 

 

13,675

 

 

 

11,231

 

 

 

785

 

 

 

856

 

 

 

803

 

Goodwill impairment

 

 

25,306

 

 

 

 

 

 

 

 

 

 

 

 

25,306

 

Program assets impairment

 

 

53,677

 

 

 

 

 

 

 

 

 

 

 

 

53,677

 

Restructuring and severance costs

 

 

6,989

 

 

 

 

 

 

 

 

 

 

 

 

6,989

 

Cost associated with corporate development activities

 

 

1,167

 

 

 

 

 

 

 

 

 

 

 

 

1,167

 

Inventory step-up associated with acquisition

 

 

2,299

 

 

 

2,299

 

 

 

 

 

 

 

 

 

 

Other Adjustments

 

$

103,113

 

 

$

13,530

 

 

$

785

 

 

$

856

 

 

$

87,942

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted EBITDA

 

$

29,721

 

 

$

30,698

 

 

$

6,413

 

 

$

(1,646

)

 

$

(5,744

)

Adjusted EBITDA margin

 

 

15.1

%

 

 

26.9

%

 

 

12.8

%

 

 

(5.0

)%

 

 

(1)Information for the period ended December 31, 2022 has been revised from amounts reported in prior periods to correct errors related to the accounting for certain labor costs at one business in the Precision Products segment and the net realizable value on certain portions of the Company's inventory at another business in the Structures segment.

**Corp/Elims Operating income (loss) represents the Corporate office expenses and $86.0 million of unallocated expenses that are shown on the Consolidated Statement of Earnings as their own line items.

Table 8. Adjusted EBITDA (unaudited)

 

 

 

 

Thousands of U.S. dollars

 

Twelve Months Ended

December 31, 2023

 

 

Consolidated

 

Engineered Products

 

Precision Products

 

Structures

 

Corp/Elims**

Adjusted EBITDA

 

 

 

 

 

 

 

 

 

 

Consolidated Results

 

 

 

 

 

 

 

 

 

 

Net sales

 

$

775,854

 

 

$

512,831

 

 

$

129,147

 

 

$

133,876

 

 

$

 

 

 

 

 

 

 

 

 

 

 

 

Net earnings

 

$

7,947

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense, net

 

 

39,997

 

 

 

 

 

 

 

 

 

Income tax expense

 

 

2,738

 

 

 

 

 

 

 

 

 

Non-service pension and post retirement benefit income

 

 

(1,240

)

 

 

 

 

 

 

 

 

Other income, net

 

 

(339

)

 

 

 

 

 

 

 

 

Operating income (loss)

 

$

49,103

 

 

$

107,863

 

 

$

(4,532

)

 

$

(9,169

)

 

$

(45,059

)

Depreciation and amortization

 

 

50,038

 

 

 

40,408

 

 

 

3,292

 

 

 

3,106

 

 

 

3,232

 

Restructuring and severance costs(1)

 

 

3,392

 

 

 

 

 

 

 

 

 

 

 

 

3,392

 

Integration and implementation costs(2)

 

 

2,888

 

 

 

 

 

 

 

 

 

 

 

 

2,888

 

Costs associated with corporate development activities(3)

 

 

947

 

 

 

 

 

 

 

 

 

 

 

 

947

 

Program assets impairment(4)

 

 

1,064

 

 

 

 

 

 

 

 

 

 

 

 

1,064

 

Tax contingency reversal(5)

 

 

(757

)

 

 

(757

)

 

 

 

 

 

 

 

 

 

Other Adjustments

 

$

57,572

 

 

$

39,651

 

 

$

3,292

 

 

$

3,106

 

 

$

11,523

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted EBITDA

 

$

106,675

 

 

$

147,514

 

 

$

(1,240

)

 

$

(6,063

)

 

$

(33,536

)

Adjusted EBITDA margin

 

 

13.7

%

 

 

28.8

%

 

 

(1.0

)%

 

 

(4.5

)%

 

 

(1) Restructuring and severance costs include actions associated with the previously announced cost reduction efforts that include the consolidation of our JPF production facilities and discontinuation of the K-MAX® aircraft production line.

(2) Integration and implementation costs include one-time costs associated with the integration of Aircraft Wheel and Brake and costs associated with the set-up of a new joint venture to satisfy existing offset requirements the Company has with a foreign customer.

(3) Costs associated with corporate development activities include one-time costs associated with the sale of Kaman Corporation and its subsidiaries.

(4) Program assets impairment includes the write-off of long lead parts received in the current period associated with K-MAX® program which were determined to have no alternative use.

(5) Following an evaluation of a wide range of factors, including legislative activity and administrative practices, the Company deemed a reserve was no longer needed for a certain tax contingency.

**Corp/Elims Operating income (loss) represents the Corporate office expenses and $5.0 million of unallocated expenses that are shown on the Consolidated Statement of Earnings as their own line items.

Table 9. Adjusted EBITDA (unaudited)

 

 

 

 

Thousands of U.S. dollars

 

Twelve Months Ended

December 31, 2022

 

 

Consolidated

 

Engineered Products

 

Precision Products

 

Structures

 

Corp/Elims**

Adjusted EBITDA

 

 

 

 

 

 

 

 

 

 

Consolidated Results

 

 

 

 

 

 

 

 

 

 

Net sales

 

$

687,961

 

 

$

377,241

 

 

$

185,023

 

 

$

125,697

 

 

$

 

 

 

 

 

 

 

 

 

 

 

 

Net earnings

 

$

(48,573

)

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Interest expense, net

 

 

16,874

 

 

 

 

 

 

 

 

 

Income tax (benefit) expense

 

 

(17,360

)

 

 

 

 

 

 

 

 

Non-service pension and post retirement benefit income

 

 

(20,574

)

 

 

 

 

 

 

 

 

Other income, net

 

 

315

 

 

 

 

 

 

 

 

 

Operating (loss) income

 

$

(69,318

)

 

$

57,833

 

 

$

16,353

 

 

$

(4,623

)

 

$

(138,881

)

Depreciation and amortization

 

 

40,712

 

 

 

30,461

 

 

 

3,663

 

 

 

3,519

 

 

 

3,069

 

Goodwill impairment

 

 

25,306

 

 

 

 

 

 

 

 

 

 

 

 

25,306

 

Program assets impairment

 

 

53,677

 

 

 

 

 

 

 

 

 

 

 

 

53,677

 

Restructuring and severance costs

 

 

9,842

 

 

 

 

 

 

 

 

 

 

 

 

9,842

 

Cost associated with corporate development activities

 

 

14,420

 

 

 

 

 

 

 

 

 

 

 

 

14,420

 

Inventory step-up associated with acquisition

 

 

3,059

 

 

 

3,059

 

 

 

 

 

 

 

 

 

 

Gain on sale of business

 

 

(457

)

 

 

 

 

 

 

 

 

 

 

 

(457

)

Other Adjustments

 

$

146,559

 

 

$

33,520

 

 

$

3,663

 

 

$

3,519

 

 

$

105,857

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted EBITDA

 

$

77,241

 

 

$

91,353

 

 

$

20,016

 

 

$

(1,104

)

 

$

(33,024

)

Adjusted EBITDA margin

 

 

11.2

%

 

 

24.2

%

 

 

10.8

%

 

 

(0.9

)%

 

 

(1)Information for the period December 31, 2022 has been revised from amounts reported in prior periods to correct errors related to the accounting for certain labor costs at one business in the Precision Products segment and the net realizable value on certain portions of the Company's inventory at another business in the Structures segment. Refer to the Company's Form 10-K for the year ended December 31, 2023 for further information.

**Corp/Elims Operating income (loss) represents the Corporate office expenses and $88.5 million of unallocated expenses that are shown on the Consolidated Statement of Earnings as their own line items.

Adjusted Net Earnings and Adjusted Diluted Earnings Per Share - Adjusted earnings from continuing operations and adjusted diluted earnings per share are defined as GAAP "Earnings from continuing operations" and "Diluted earnings per share from continuing operations", less items that are not indicative of the operating performance of the business for the periods presented. These items are included in the reconciliation below. Management uses adjusted earnings from continuing operations and adjusted diluted earnings per share to evaluate performance period over period, to analyze the underlying trends in our business and to assess its performance relative to its competitors. We believe that this information is useful for investors and financial institutions seeking to analyze and compare companies on the basis of operating performance.

The following table illustrates the calculation of adjusted earnings from continuing operations and adjusted diluted earnings per share:

Table 10. Adjusted Net Earnings and Adjusted Diluted Earnings per Share (unaudited)

Thousands of U.S. dollars (except share data)

 

 

 

 

 

 

 

 

Three Months Ended

 

Three Months Ended

 

 

December 31, 2023

 

December 31, 2022

 

 

Pre-Tax

 

Tax-Effected

 

Diluted EPS

 

Pre-Tax

 

Tax-Effected

 

Diluted EPS

Net (loss) earnings

 

$

2,362

 

 

$

1,995

 

 

$

0.07

 

 

$

(74,933

)

 

$

(55,942

)

 

$

(1.99

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Adjustments:

 

 

 

 

 

 

 

 

 

 

 

 

Goodwill impairment

 

 

 

 

 

 

 

 

 

 

 

25,306

 

 

 

18,874

 

 

 

0.67

 

Program assets impairment

 

 

51

 

 

 

40

 

 

 

 

 

 

53,677

 

 

 

40,034

 

 

 

1.43

 

Restructuring and severance costs

 

 

359

 

 

 

284

 

 

 

0.01

 

 

 

6,989

 

 

 

5,213

 

 

 

0.18

 

Integration and implementation costs

 

 

482

 

 

 

381

 

 

 

0.01

 

 

 

 

 

 

 

 

 

 

Costs associated with corporate development activities

 

 

947

 

 

 

748

 

 

 

0.03

 

 

 

1,167

 

 

 

870

 

 

 

0.03

 

Inventory step-up associated with acquisition

 

 

 

 

 

 

 

 

 

 

 

2,299

 

 

 

1,715

 

 

 

0.06

 

Adjustments

 

$

1,839

 

 

$

1,453

 

 

$

0.05

 

 

$

89,438

 

 

$

66,706

 

 

$

2.37

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted net earnings

 

$

4,201

 

 

$

3,448

 

 

$

0.12

 

 

$

14,505

 

 

$

10,764

 

 

$

0.38

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Diluted weighted average shares outstanding

 

 

 

 

 

 

28,403

 

 

 

 

 

 

 

28,051

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Three Months Ended

September 29, 2023

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Pre-Tax

 

Tax-Effected

 

Diluted EPS

Net earnings

 

$

1,928

 

 

$

1,466

 

 

$

0.05

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Adjustments:

 

 

 

 

 

 

 

 

 

 

 

 

Restructuring and severance costs

 

 

571

 

 

 

451

 

 

 

0.02

 

Integration and implementation costs

 

 

572

 

 

 

452

 

 

 

0.02

 

Program assets impairment

 

 

417

 

 

 

329

 

 

 

0.01

 

Adjustments

 

$

1,560

 

 

$

1,232

 

 

$

0.05

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted net earnings

 

$

3,488

 

 

$

2,698

 

 

$

0.10

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Diluted weighted average shares outstanding

 

 

 

 

 

 

28,350

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Table 10 (cont). Adjusted Earnings from Continuing Operations and Adjusted Diluted Earnings per Share (unaudited)

Thousands of U.S. dollars (except share data)

 

 

 

 

 

 

 

 

Twelve Months Ended

 

Twelve Months Ended

 

 

December 31, 2023

 

December 31, 2022

 

 

Pre-Tax

 

Tax-Effected

 

Diluted EPS

 

Pre-Tax

 

Tax-Effected

 

Diluted EPS

Net earnings (loss)

 

$

10,685

 

 

$

7,947

 

 

$

0.28

 

 

$

(65,933

)

 

$

(48,573

)

 

$

(1.73

)

 

 

 

 

 

 

 

 

 

 

 

 

 

Adjustments:

 

 

 

 

 

 

 

 

 

 

 

 

Goodwill impairment

 

 

 

 

 

 

 

 

 

 

 

25,306

 

 

 

18,580

 

 

 

0.66

 

Program assets impairment

 

 

1,064

 

 

 

840

 

 

 

0.03

 

 

 

53,677

 

 

 

39,410

 

 

 

1.41

 

Restructuring and severance costs

 

 

3,392

 

 

 

2,680

 

 

 

0.09

 

 

 

9,842

 

 

 

7,226

 

 

 

0.25

 

Costs associated with corporate development activities

 

 

947

 

 

 

748

 

 

 

0.03

 

 

 

14,420

 

 

 

10,587

 

 

 

0.38

 

Inventory step-up associated with acquisition

 

 

 

 

 

 

 

 

 

 

 

3,059

 

 

 

2,246

 

 

 

0.08

 

Integration and implementation costs

 

 

2,888

 

 

 

2,282

 

 

 

0.08

 

 

 

 

 

 

 

 

 

 

Tax contingency reversal

 

 

(757

)

 

 

(598

)

 

 

(0.02

)

 

 

 

 

 

 

 

 

 

(Gain) loss on sale of business

 

 

 

 

 

 

 

 

 

 

 

(457

)

 

 

(336

)

 

 

(0.01

)

Adjustments

 

$

7,534

 

 

$

5,952

 

 

$

0.21

 

 

$

105,847

 

 

$

77,713

 

 

$

2.77

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Adjusted net earnings

 

$

18,219

 

 

$

13,899

 

 

$

0.49

 

 

$

39,914

 

 

$

29,140

 

 

$

1.04

 

 

 

 

 

 

 

 

 

 

 

 

 

 

Diluted weighted average shares outstanding

 

 

 

 

 

 

28,343

 

 

 

 

 

 

 

28,011

 

Free Cash Flow - Free cash flow is defined as GAAP “Net cash provided by (used in) operating activities” in a period less “Expenditures for property, plant & equipment” in the same period. Management believes free cash flow provides an important perspective on our ability to generate cash from our business operations and, as such, that it is an important financial measure for use in evaluating the Company's financial performance. Free cash flow should not be viewed as representing the residual cash flow available for discretionary expenditures such as dividends to shareholders or acquisitions. Management uses free cash flow internally to assess overall liquidity. The following table illustrates the calculation of free cash flow.

Table 11. Free Cash Flow (unaudited)

Thousands of U.S. dollars

 

Three Months Ended

 

Last Twelve Months

 

 

March 31,

2023

 

June 30,

2023

 

September 29,

2023

 

December 31,

2023

 

December 31,

2023

Net cash provided by operating activities

 

$

(5,453

)

 

$

24,259

 

 

$

10,867

 

 

$

43,042

 

 

$

72,715

 

Expenditures for property, plant & equipment

 

 

(5,948

)

 

 

(6,888

)

 

 

(7,028

)

 

 

(6,138

)

 

 

(26,002

)

Free cash flow

 

$

(11,401

)

 

$

17,371

 

 

$

3,839

 

 

$

36,904

 

 

$

46,713

 

FORWARD-LOOKING STATEMENTS

This report contains "forward-looking statements" within the meaning of the safe harbor provisions of the U.S. Private Securities Litigation Reform Act of 1995. Forward-looking statements also may be included in other publicly available documents issued by the Company and in oral statements made by our officers and representatives from time to time. These forward-looking statements are intended to provide management's current expectations or plans for our future operating and financial performance, based on assumptions currently believed to be valid. They can be identified by the use of words such as "anticipate," "intend," "plan," "goal," "seek," "believe," "project," "estimate," "expect," "strategy," "future," "likely," "may," "should," "would," "could," "will" and other words of similar meaning in connection with a discussion of future operating or financial performance. Examples of forward looking statements include, among others, statements relating to future sales, earnings, cash flows, results of operations, uses of cash and other measures of financial performance.

Because forward-looking statements relate to the future, they are subject to inherent risks, uncertainties and other factors that may cause the Company's actual results and financial condition to differ materially from those expressed or implied in the forward-looking statements. Such risks, uncertainties and other factors include, among others: (i) the occurrence of any event, change or other circumstances that could give rise to the termination of the merger agreement; (ii) the risk that the Company’s shareholders may not approve the proposed transaction; (iii) inability to complete the proposed transaction because, among other reasons, conditions to the closing of the proposed transaction may not be satisfied or waived; (iv) uncertainty as to the timing of completion of the proposed transaction; (v) potential adverse effects or changes to relationships with customers, employees, suppliers or other parties resulting from the announcement or completion of the proposed transaction; (vi) potential litigation relating to the proposed transaction that could be instituted against the Company, Arcline or their respective directors and officers, including the effects of any outcomes related thereto; (vii) possible disruptions from the proposed transaction that could harm the Company’s or Arcline’s business, including current plans and operations; (viii) changes in domestic and foreign economic and competitive conditions in markets served by the Company, particularly the defense, commercial aviation and industrial production markets; (ix) changes in government and customer priorities and requirements (including cost-cutting initiatives, government and customer shut-downs, the potential deferral of awards, terminations or reductions of expenditures to respond to the priorities of Congress and the Administration, or budgetary cuts resulting from Congressional actions or automatic sequestration); (x) changes in geopolitical conditions in countries where the Company does or intends to do business; (xi) the successful conclusion of competitions for government programs (including new, follow-on and successor programs) and thereafter successful contract negotiations with government authorities (both foreign and domestic) for the terms and conditions of the programs; (xii) the timely receipt of any necessary export approvals and/or other licenses or authorizations from the USG; (xiii) timely satisfaction or fulfillment of material contractual conditions precedents in customer purchase orders, contracts, or similar arrangements; (xiv) the existence of standard government contract provisions permitting renegotiation of terms and termination for the convenience of the government; (xv) the successful resolution of government inquiries or investigations relating to our businesses and programs; (xvi) risks and uncertainties associated with the successful implementation and ramp up of significant new programs, including the ability to manufacture the products to the detailed specifications required and recover start-up costs and other investments in the programs; (xvii) potential difficulties associated with variable acceptance test results, given sensitive production materials and extreme test parameters; (xiii) the continued support of the existing K-MAX® helicopter fleet, including sale of existing K-MAX® spare parts inventory and the receipt of orders for new aircraft sufficient to recover our investments in the K-MAX® production line; (xix) the accuracy of current cost estimates associated with environmental remediation activities; (xx) the profitable integration of acquired businesses into the Company's operations; (xxi) the ability to recover from cyber-based or other security attacks, information technology failures or other disruptions; (xxii) changes in supplier sales or vendor incentive policies; (xxiii) the ability of our suppliers to satisfy their performance obligations, including any supply chain disruptions; (xxiv) the effects of price increases or decreases; (xxv) the effects of pension regulations, pension plan assumptions, pension plan asset performance, future contributions and the pension freeze; (xxvi) future levels of indebtedness and capital expenditures; (xxvii) compliance with our debt covenants; (xxiii) the continued availability of raw materials and other commodities in adequate supplies and the effect of increased costs for such items; (xxix) the effects of currency exchange rates and foreign competition on future operations; (xxx) changes in laws and regulations, taxes, interest rates, inflation rates and general business conditions; (xxxi) future repurchases and/or issuances of common stock;(xxxii) the occurrence of unanticipated restructuring costs or the failure to realize anticipated savings or benefits from past or future expense reduction actions; (xxxiii) the ability to recruit and retain skilled employees; (xxxiv) the successful resolution of all pending and future investigations, litigation or claims relating to the manufacture or design of our products, including, without limitation, the K-MAX® helicopter; and (xxxv) other risks and uncertainties set forth herein and in our 2023 Form 10-K.

Any forward-looking information provided in this release should be considered with these factors in mind. We assume no obligation to update any forward-looking statements contained in this report.

 

KAMAN CORPORATION AND SUBSIDIARIES

Condensed Consolidated Statements of Operations

(Thousands of U.S. dollars, except share data) (unaudited)

 

 

 

Three Months Ended

 

Twelve Months Ended

 

 

December 31, 2023

 

December 31, 2022

 

December 31, 2023

 

December 31, 2022

Net sales

 

$

203,123

 

 

$

197,143

 

 

$

775,854

 

 

$

687,961

 

Cost of sales

 

 

136,400

 

 

 

133,437

 

 

 

504,646

 

 

 

467,445

 

Program inventory impairment

 

 

51

 

 

 

44,542

 

 

 

1,064

 

 

 

44,542

 

Gross profit

 

 

66,672

 

 

 

19,164

 

 

 

270,144

 

 

 

175,974

 

Selling, general and administrative expenses

 

 

43,145

 

 

 

38,467

 

 

 

170,910

 

 

 

166,447

 

Goodwill impairment

 

 

 

 

 

25,306

 

 

 

 

 

 

25,306

 

Program contract costs impairment

 

 

 

 

 

9,135

 

 

 

 

 

 

9,135

 

Research and development costs

 

 

5,582

 

 

 

5,287

 

 

 

20,704

 

 

 

19,552

 

Intangible asset amortization expense

 

 

5,572

 

 

 

7,307

 

 

 

25,509

 

 

 

15,331

 

Restructuring and severance costs

 

 

359

 

 

 

6,989

 

 

 

3,392

 

 

 

9,842

 

Gain on sale of business

 

 

 

 

 

 

 

 

 

 

 

(457

)

Net loss on disposition of assets

 

 

30

 

 

 

65

 

 

 

526

 

 

 

136

 

Operating income (loss)

 

 

11,984

 

 

 

(73,392

)

 

 

49,103

 

 

 

(69,318

)

Interest expense, net

 

 

10,648

 

 

 

8,786

 

 

 

39,997

 

 

 

16,874

 

Non-service pension and post retirement benefit income

 

 

(310

)

 

 

(5,145

)

 

 

(1,240

)

 

 

(20,574

)

Other (income) expense, net

 

 

(716

)

 

 

(2,100

)

 

 

(339

)

 

 

315

 

Earnings (loss) before income taxes

 

 

2,362

 

 

 

(74,933

)

 

 

10,685

 

 

 

(65,933

)

Income tax expense (benefit)

 

 

367

 

 

 

(18,991

)

 

 

2,738

 

 

 

(17,360

)

Net earnings (loss)

 

$

1,995

 

 

$

(55,942

)

 

$

7,947

 

 

$

(48,573

)

 

 

 

 

 

 

 

 

 

Earnings (loss) per share:

 

 

 

 

 

 

 

 

Basic earnings (loss) per share

 

$

0.07

 

 

$

(1.99

)

 

$

0.28

 

 

$

(1.73

)

Diluted earnings (loss) per share

 

$

0.07

 

 

$

(1.99

)

 

$

0.28

 

 

$

(1.73

)

Average shares outstanding:

 

 

 

 

 

 

 

 

Basic

 

 

28,265

 

 

 

28,051

 

 

 

28,208

 

 

 

28,011

 

Diluted

 

 

28,403

 

 

 

28,051

 

 

 

28,343

 

 

 

28,011

 

(1) The condensed consolidated statement of operations for the three-month and twelve-month fiscal periods ended December 31, 2022 has been revised from amounts reported in the prior year to correct errors related to the accounting for certain labor costs at one business in the Precision Products segment and the net realizable value on certain portions of the Company's inventory at another business in the Structures segment. These errors resulted in an understatement of cost of sales, net of tax, of $1.0 million and $2.3 million, respectively. Refer to the Company's Form 10-K for the year ended December 31, 2023 for further information.

 

KAMAN CORPORATION AND SUBSIDIARIES

Condensed Consolidated Balance Sheets

(Thousands of U.S. dollars, except share data) (unaudited)

 

 

 

December 31, 2023

 

December 31, 2022

Assets

 

 

 

 

Current assets:

 

 

 

 

Cash and cash equivalents

 

$

35,183

 

 

$

24,154

 

Accounts receivable, net

 

 

96,882

 

 

 

87,659

 

Contract assets

 

 

94,091

 

 

 

113,182

 

Inventories

 

 

207,607

 

 

 

172,383

 

Income tax refunds receivable

 

 

1,276

 

 

 

14,843

 

Other current assets

 

 

17,400

 

 

 

16,114

 

Total current assets

 

 

452,439

 

 

 

428,335

 

Property, plant and equipment, net of accumulated depreciation of $290,279 and $268,089, respectively

 

 

205,210

 

 

 

201,606

 

Operating right-of-use assets, net

 

 

7,774

 

 

 

7,391

 

Goodwill

 

 

383,997

 

 

 

379,854

 

Other intangible assets, net

 

 

347,424

 

 

 

372,331

 

Deferred income taxes

 

 

46,917

 

 

 

47,385

 

Other assets

 

 

54,894

 

 

 

51,207

 

Total assets

 

$

1,498,655

 

 

$

1,488,109

 

Liabilities and Shareholders’ Equity

 

 

 

 

Current liabilities:

 

 

 

 

Current portion of long-term debt, net of debt issuance costs

 

$

199,128

 

 

$

 

Accounts payable – trade

 

 

51,862

 

 

 

48,277

 

Accrued salaries and wages

 

 

37,005

 

 

 

31,395

 

Contract liabilities, current portion

 

 

12,284

 

 

 

4,081

 

Operating lease liabilities, current portion

 

 

3,492

 

 

 

3,332

 

Income taxes payable

 

 

707

 

 

 

393

 

Other current liabilities

 

 

38,322

 

 

 

39,097

 

Total current liabilities

 

 

342,800

 

 

 

126,575

 

Long-term debt, excluding current portion, net of debt issuance costs

 

 

358,000

 

 

 

561,061

 

Deferred income taxes

 

 

8,082

 

 

 

6,079

 

Underfunded pension

 

 

42,268

 

 

 

52,309

 

Contract liabilities, noncurrent portion

 

 

19,787

 

 

 

20,515

 

Operating lease liabilities, noncurrent portion

 

 

4,646

 

 

 

4,534

 

Other long-term liabilities

 

 

31,305

 

 

 

36,280

 

Commitments and contingencies

 

 

 

 

Shareholders' equity:

 

 

 

 

Preferred stock, $1 par value, 200,000 shares authorized; none outstanding

 

 

 

 

 

 

Common stock, $1 par value, 50,000,000 shares authorized; voting; 30,954,296 and 30,640,068 shares issued, respectively

 

 

30,954

 

 

 

30,640

 

Additional paid-in capital

 

 

254,727

 

 

 

245,436

 

Retained earnings

 

 

670,607

 

 

 

685,234

 

Accumulated other comprehensive income (loss)

 

 

(141,584

)

 

 

(158,421

)

Less 2,663,532 and 2,607,841 shares of common stock, respectively, held in treasury, at cost

 

 

(122,937

)

 

 

(122,133

)

Total shareholders’ equity

 

 

691,767

 

 

 

680,756

 

Total liabilities and shareholders’ equity

 

$

1,498,655

 

 

$

1,488,109

 

(1) The condensed consolidated balance sheet at December 31, 2022 has been revised from amounts reported in the prior year to correct misstatements related to the accounting for certain labor costs at one business in the Precision Products segment and the net realizable value on certain portions of the Company's inventory at another business in the Structures segment. The correction of these errors impacted the amounts reported for inventory, income tax refunds receivable and retained earnings. Refer to the Company's Form 10-K for the year ended December 31, 2023 for further information.

 

KAMAN CORPORATION AND SUBSIDIARIES

Condensed Consolidated Statements of Cash Flows

(Thousands of U.S. dollars) (unaudited)

 

 

 

Twelve Months Ended

 

 

December 31, 2023

 

December 31, 2022

Cash flows from operating activities:

 

 

 

 

Net earnings (loss)

 

$

7,947

 

 

$

(48,573

)

Adjustments to reconcile earnings, net of tax to net cash provided by operating activities:

 

 

 

 

Depreciation and amortization

 

 

50,038

 

 

 

40,712

 

Amortization of debt issuance costs

 

 

3,654

 

 

 

2,750

 

Provision for doubtful accounts

 

 

1,998

 

 

 

1,301

 

Gain on sale of business

 

 

 

 

 

(457

)

Net loss on disposition of assets

 

 

526

 

 

 

136

 

Goodwill impairment

 

 

 

 

 

25,306

 

Program inventory impairment

 

 

1,064

 

 

 

44,542

 

Program contract cost impairment

 

 

 

 

 

9,135

 

Net loss on derivative instruments

 

 

97

 

 

 

1,175

 

Stock compensation expense

 

 

7,681

 

 

 

7,821

 

Non-cash consideration received for blade exchange

 

 

(1,309

)

 

 

(827

)

Deferred income taxes

 

 

(1,123

)

 

 

(19,054

)

Changes in assets and liabilities, excluding effects of acquisitions/divestitures:

 

 

 

 

Accounts receivable

 

 

(10,749

)

 

 

(8,387

)

Contract assets

 

 

19,117

 

 

 

(707

)

Inventories

 

 

(35,721

)

 

 

(14,873

)

Income tax refunds receivable

 

 

13,567

 

 

 

(772

)

Operating right of use assets

 

 

(350

)

 

 

3,551

 

Other assets

 

 

(469

)

 

 

(2,262

)

Accounts payable - trade

 

 

3,439

 

 

 

1,959

 

Contract liabilities

 

 

7,436

 

 

 

4,433

 

Operating lease liabilities

 

 

239

 

 

 

(3,707

)

Other current liabilities

 

 

5,083

 

 

 

(2,860

)

Income taxes payable

 

 

260

 

 

 

12

 

Pension liabilities

 

 

4,007

 

 

 

(17,745

)

Other long-term liabilities

 

 

(3,717

)

 

 

(1,640

)

Net cash provided by operating activities

 

 

72,715

 

 

 

20,969

 

Cash flows from investing activities:

 

 

 

 

Proceeds from sale of business, net of cash on hand

 

 

 

 

 

1,200

 

Expenditures for property, plant & equipment

 

 

(26,002

)

 

 

(23,689

)

Acquisition of businesses, net of cash acquired

 

 

(1,487

)

 

 

(441,340

)

Investment in Near Earth Autonomy

 

 

 

 

 

(10,000

)

Other, net

 

 

(1,627

)

 

 

778

 

Net cash used in investing activities

 

 

(29,116

)

 

 

(473,051

)

Cash flows from financing activities:

 

 

 

 

Net (repayments) borrowings under revolving credit agreement

 

 

(5,000

)

 

 

363,000

 

Purchase of treasury shares

 

 

(782

)

 

 

(801

)

Dividends paid

 

 

(22,522

)

 

 

(22,363

)

Debt issuance costs

 

 

(4,828

)

 

 

(4,380

)

Other, net

 

 

260

 

 

 

467

 

Net cash (used in) provided by financing activities

 

 

(32,872

)

 

 

335,923

 

Net increase (decrease) in cash and cash equivalents

 

 

10,727

 

 

 

(116,159

)

Effect of exchange rate changes on cash and cash equivalents

 

 

302

 

 

 

(487

)

Cash and cash equivalents and restricted cash at beginning of period

 

 

24,154

 

 

 

140,800

 

Cash and cash equivalents and restricted cash at end of period

 

$

35,183

 

 

$

24,154

 

(1) The condensed consolidated statement of cash flows for the twelve-month fiscal period ended December 31, 2022 has been revised from amounts reported in the prior year to correct errors related to the accounting for certain labor costs at one business in the Precision Products segment and the net realizable value on certain portions of the Company's inventory at another business in the Structures segment. The correction of these errors impacted the amounts reported for net earnings, inventory and income tax refunds receivable. Refer to the Company's Form 10-K for the year ended December 31, 2023 for further information.

Contacts

Data & News supplied by www.cloudquote.io
Stock quotes supplied by Barchart
Quotes delayed at least 20 minutes.
By accessing this page, you agree to the following
Privacy Policy and Terms and Conditions.
 
 
Copyright © 2010-2020 Livermore.com & California Media Partners, LLC. All rights reserved.