|
Delaware
|
001-08174
|
|
95-0693330
|
(State or other jurisdiction
of incorporation)
|
(Commission
File Number)
|
|
(IRS Employer
Identification No.)
|
|
|
|
|
|
200 Sandpointe Avenue, Suite 700, Santa Ana, California
|
|
92707-5759
|
|
(Address of principal executive offices)
|
|
(Zip Code)
|
|
¨
|
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
|
|
¨
|
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
|
|
¨
|
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
|
|
¨
|
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))
|
|
Item 2.02
|
Results of Operations and Financial Condition.
|
|
Ducommun Incorporated issued a press release on February 28, 2019 in the form attached hereto as Exhibit 99.1.
|
Item 9.01
|
Financial Statements and Exhibits.
|
(d) Exhibits
|
|
Exhibit No.
|
Exhibit Title or Description
|
99.1
|
|
|
DUCOMMUN INCORPORATED
(Registrant)
|
|
Date: February 28, 2019
|
|
By:
|
/s/ Douglas L. Groves
|
|
|
|
Douglas L. Groves
|
|
|
|
Vice President, Chief Financial Officer and Treasurer
|
|
|
|
|
||
|
||
|
•
|
Revenue of
$164.2 million
|
•
|
GAAP net income of
$0.7 million
, or
$0.06
per diluted share
|
•
|
Adjusted net income for the quarter of
$5.2 million
, or
$0.44
per diluted share
|
•
|
Gross margin increased 180 basis points year-over-year to 19.9%
|
•
|
Adjusted EBITDA of
$19.4 million
|
•
|
$17.0 million higher revenue in the Company’s commercial aerospace end-use markets due to additional content and increasing build rates on the Company’s large aircraft platforms; and
|
•
|
$8.1 million higher revenue within the Company’s military and space end-use markets due to increased shipments on the Company’s missile platforms; partially offset by
|
•
|
$3.2 million lower revenue within the Company’s industrial end-use markets.
|
•
|
$6.8 million higher revenue within the Company’s commercial aerospace end-use markets due to additional content and higher build rates on the Company’s large aircraft platforms; and
|
•
|
$4.5 million higher revenue within the Company’s military and space end-use markets due to increased demand, which favorably impacted the Company’s missile platforms; partially offset by
|
•
|
$3.2 million lower revenue within the Company’s industrial end-use markets.
|
•
|
$10.2 million higher revenue within the Company’s commercial aerospace end-use markets due to higher build rates on the Company’s large aircraft platforms; and
|
•
|
$3.6 million higher revenue within the Company’s military and space end-use markets due to increased shipments on the Company’s rotary-wing aircraft platforms.
|
Douglas L. Groves, Vice President, Chief Financial Officer and Treasurer, 657.335.3665
|
||||||
Chris Witty, Investor Relations, 646.438.9385,
cwitty@darrowir.com
|
|
|
December 31,
2018 |
|
December 31,
2017 |
||||
Assets
|
|
|
|
|
||||
Current Assets
|
|
|
|
|
||||
Cash and cash equivalents
|
|
$
|
10,263
|
|
|
$
|
2,150
|
|
Accounts receivable, net
|
|
67,819
|
|
|
74,064
|
|
||
Contract assets
|
|
86,665
|
|
|
—
|
|
||
Inventories
|
|
101,125
|
|
|
122,161
|
|
||
Production cost of contracts
|
|
11,679
|
|
|
11,204
|
|
||
Other current assets
|
|
9,839
|
|
|
11,435
|
|
||
Total Current Assets
|
|
287,390
|
|
|
221,014
|
|
||
Property and Equipment, Net
|
|
107,045
|
|
|
110,252
|
|
||
Goodwill
|
|
136,057
|
|
|
117,435
|
|
||
Intangibles, Net
|
|
112,092
|
|
|
114,693
|
|
||
Non-Current Deferred Income Taxes
|
|
308
|
|
|
261
|
|
||
Other Assets
|
|
5,251
|
|
|
3,098
|
|
||
Total Assets
|
|
$
|
648,143
|
|
|
$
|
566,753
|
|
Liabilities and Shareholders’ Equity
|
|
|
|
|
||||
Current Liabilities
|
|
|
|
|
||||
Accounts payable
|
|
$
|
69,274
|
|
|
$
|
51,907
|
|
Contract liabilities
|
|
17,145
|
|
|
—
|
|
||
Accrued liabilities
|
|
37,786
|
|
|
28,329
|
|
||
Current portion of long-term debt
|
|
2,330
|
|
|
—
|
|
||
Total Current Liabilities
|
|
126,535
|
|
|
80,236
|
|
||
Long-Term Debt, Less Current Portion
|
|
226,961
|
|
|
216,055
|
|
||
Non-Current Deferred Income Taxes
|
|
18,070
|
|
|
15,981
|
|
||
Other Long-Term Liabilities
|
|
19,752
|
|
|
18,898
|
|
||
Total Liabilities
|
|
391,318
|
|
|
331,170
|
|
||
Commitments and Contingencies
|
|
|
|
|
||||
Shareholders’ Equity
|
|
|
|
|
||||
Common stock
|
|
114
|
|
|
113
|
|
||
Additional paid-in capital
|
|
83,712
|
|
|
80,223
|
|
||
Retained earnings
|
|
180,356
|
|
|
161,364
|
|
||
Accumulated other comprehensive loss
|
|
(7,357
|
)
|
|
(6,117
|
)
|
||
Total Shareholders’ Equity
|
|
256,825
|
|
|
235,583
|
|
||
Total Liabilities and Shareholders’ Equity
|
|
$
|
648,143
|
|
|
$
|
566,753
|
|
|
|
Three Months Ended
|
|
Years Ended
|
||||||||||||
|
|
December 31,
2018 |
|
December 31,
2017 |
|
December 31,
2018 |
|
December 31,
2017 |
||||||||
Net Revenues
|
|
$
|
164,183
|
|
|
$
|
142,258
|
|
|
$
|
629,307
|
|
|
$
|
558,183
|
|
Cost of Sales
|
|
131,486
|
|
|
116,486
|
|
|
506,711
|
|
|
455,050
|
|
||||
Gross Profit
|
|
32,697
|
|
|
25,772
|
|
|
122,596
|
|
|
103,133
|
|
||||
Selling, General and Administrative Expenses
|
|
22,531
|
|
|
20,064
|
|
|
84,007
|
|
|
79,139
|
|
||||
Restructuring Charges
|
|
3,887
|
|
|
8,296
|
|
|
14,671
|
|
|
8,360
|
|
||||
Operating Income (Loss)
|
|
6,279
|
|
|
(2,588
|
)
|
|
23,918
|
|
|
15,634
|
|
||||
Interest Expense
|
|
(3,838
|
)
|
|
(2,826
|
)
|
|
(13,024
|
)
|
|
(8,870
|
)
|
||||
Loss on Extinguishment of Debt
|
|
(926
|
)
|
|
—
|
|
|
(926
|
)
|
|
—
|
|
||||
Other Income, Net
|
|
276
|
|
|
357
|
|
|
303
|
|
|
845
|
|
||||
Income (Loss) Before Taxes
|
|
1,791
|
|
|
(5,057
|
)
|
|
10,271
|
|
|
7,609
|
|
||||
Income Tax Expense (Benefit)
|
|
1,118
|
|
|
(14,541
|
)
|
|
1,236
|
|
|
(12,468
|
)
|
||||
Net Income
|
|
$
|
673
|
|
|
$
|
9,484
|
|
|
$
|
9,035
|
|
|
$
|
20,077
|
|
Earnings Per Share
|
|
|
|
|
|
|
|
|
||||||||
Basic earnings per share
|
|
$
|
0.06
|
|
|
$
|
0.84
|
|
|
$
|
0.79
|
|
|
$
|
1.78
|
|
Diluted earnings per share
|
|
$
|
0.06
|
|
|
$
|
0.82
|
|
|
$
|
0.77
|
|
|
$
|
1.74
|
|
Weighted-Average Number of Common Shares Outstanding
|
|
|
|
|
|
|
|
|
||||||||
Basic
|
|
11,415
|
|
|
11,246
|
|
|
11,390
|
|
|
11,290
|
|
||||
Diluted
|
|
11,713
|
|
|
11,504
|
|
|
11,659
|
|
|
11,558
|
|
||||
|
|
|
|
|
|
|
|
|
||||||||
Gross Profit %
|
|
19.9
|
%
|
|
18.1
|
%
|
|
19.5
|
%
|
|
18.5
|
%
|
||||
SG&A %
|
|
13.7
|
%
|
|
14.1
|
%
|
|
13.3
|
%
|
|
14.2
|
%
|
||||
Operating Income (Loss) %
|
|
3.8
|
%
|
|
(1.8
|
)%
|
|
3.9
|
%
|
|
2.8
|
%
|
||||
Net Income %
|
|
0.4
|
%
|
|
6.7
|
%
|
|
1.4
|
%
|
|
3.6
|
%
|
||||
Effective Tax (Benefit) Rate
|
|
62.4
|
%
|
|
(287.5
|
)%
|
|
12.0
|
%
|
|
(163.8
|
)%
|
|
|
Three Months Ended
|
|
Years Ended
|
||||||||||||||||||||||||||||||
|
|
%
Change
|
|
December 31, 2018
|
|
December 31, 2017
|
|
% of Net Revenues
2018
|
|
% of Net Revenues
2017
|
|
%
Change |
|
December 31, 2018
|
|
December 31, 2017
|
|
% of Net Revenues
2018 |
|
%of Net Revenues
2017 |
||||||||||||||
Net Revenues
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Electronic Systems
|
|
10.5
|
%
|
|
$
|
85,262
|
|
|
$
|
77,170
|
|
|
51.9
|
%
|
|
54.2
|
%
|
|
6.7
|
%
|
|
$
|
337,868
|
|
|
$
|
316,723
|
|
|
53.7
|
%
|
|
56.7
|
%
|
Structural Systems
|
|
21.3
|
%
|
|
78,921
|
|
|
65,088
|
|
|
48.1
|
%
|
|
45.8
|
%
|
|
20.7
|
%
|
|
291,439
|
|
|
241,460
|
|
|
46.3
|
%
|
|
43.3
|
%
|
||||
Total Net Revenues
|
|
15.4
|
%
|
|
$
|
164,183
|
|
|
$
|
142,258
|
|
|
100.0
|
%
|
|
100.0
|
%
|
|
12.7
|
%
|
|
$
|
629,307
|
|
|
$
|
558,183
|
|
|
100.0
|
%
|
|
100.0
|
%
|
Segment Operating Income (Loss)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Electronic Systems
|
|
|
|
$
|
7,453
|
|
|
$
|
6,856
|
|
|
8.7
|
%
|
|
8.9
|
%
|
|
|
|
$
|
30,916
|
|
|
$
|
31,236
|
|
|
9.2
|
%
|
|
9.9
|
%
|
||
Structural Systems
|
|
|
|
5,683
|
|
|
(2,592
|
)
|
|
7.2
|
%
|
|
(4.0
|
)%
|
|
|
|
19,063
|
|
|
5,790
|
|
|
6.5
|
%
|
|
2.4
|
%
|
||||||
|
|
|
|
13,136
|
|
|
4,264
|
|
|
|
|
|
|
|
|
49,979
|
|
|
37,026
|
|
|
|
|
|
||||||||||
Corporate General and Administrative Expenses
(1)
|
|
|
|
(6,857
|
)
|
|
(6,853
|
)
|
|
(4.2
|
)%
|
|
(4.8
|
)%
|
|
|
|
(26,061
|
)
|
|
(21,392
|
)
|
|
(4.1
|
)%
|
|
(3.8
|
)%
|
||||||
Total Operating Income (Loss)
|
|
|
|
$
|
6,279
|
|
|
$
|
(2,589
|
)
|
|
3.8
|
%
|
|
(1.8
|
)%
|
|
|
|
$
|
23,918
|
|
|
$
|
15,634
|
|
|
3.8
|
%
|
|
2.8
|
%
|
||
Adjusted EBITDA
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Electronic Systems
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Operating Income (Loss)
|
|
|
|
$
|
7,453
|
|
|
$
|
6,856
|
|
|
|
|
|
|
|
|
$
|
30,916
|
|
|
$
|
31,236
|
|
|
|
|
|
||||||
Other Income
|
|
|
|
92
|
|
|
357
|
|
|
|
|
|
|
|
|
119
|
|
|
645
|
|
|
|
|
|
||||||||||
Depreciation and Amortization
|
|
|
|
3,201
|
|
|
3,681
|
|
|
|
|
|
|
|
|
14,223
|
|
|
13,888
|
|
|
|
|
|
||||||||||
Restructuring Charges
|
|
|
|
2,370
|
|
|
1,190
|
|
|
|
|
|
|
|
|
4,776
|
|
|
1,190
|
|
|
|
|
|
||||||||||
Inventory Purchase Accounting Adjustments
|
|
|
|
—
|
|
|
1,111
|
|
|
|
|
|
|
|
|
—
|
|
|
1,235
|
|
|
|
|
|
||||||||||
|
|
|
|
13,116
|
|
|
13,195
|
|
|
15.4
|
%
|
|
17.1
|
%
|
|
|
|
50,034
|
|
|
48,194
|
|
|
14.8
|
%
|
|
15.2
|
%
|
||||||
Structural Systems
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Operating Income (Loss)
|
|
|
|
5,683
|
|
|
(2,592
|
)
|
|
|
|
|
|
|
|
19,063
|
|
|
5,790
|
|
|
|
|
|
||||||||||
Other Income
|
|
|
|
184
|
|
|
—
|
|
|
|
|
|
|
|
|
184
|
|
|
200
|
|
|
|
|
|
||||||||||
Depreciation and Amortization
|
|
|
|
3,015
|
|
|
1,981
|
|
|
|
|
|
|
|
|
10,525
|
|
|
8,860
|
|
|
|
|
|
||||||||||
Restructuring Charges
|
|
|
|
1,149
|
|
|
5,802
|
|
|
|
|
|
|
|
|
7,897
|
|
|
5,866
|
|
|
|
|
|
||||||||||
Inventory Purchase Accounting Adjustments
|
|
|
|
—
|
|
|
—
|
|
|
|
|
|
|
|
|
622
|
|
|
—
|
|
|
|
|
|
||||||||||
|
|
|
|
10,031
|
|
|
5,191
|
|
|
12.7
|
%
|
|
8.0
|
%
|
|
|
|
38,291
|
|
|
20,716
|
|
|
13.1
|
%
|
|
8.6
|
%
|
||||||
Corporate General and Administrative Expenses (1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Operating loss
|
|
|
|
(6,857
|
)
|
|
(6,853
|
)
|
|
|
|
|
|
|
|
(26,061
|
)
|
|
(21,392
|
)
|
|
|
|
|
||||||||||
Depreciation and Amortization
|
|
|
|
445
|
|
|
34
|
|
|
|
|
|
|
|
|
548
|
|
|
97
|
|
|
|
|
|
||||||||||
Stock-Based Compensation Expense
|
|
|
|
1,626
|
|
|
411
|
|
|
|
|
|
|
|
|
5,040
|
|
|
4,675
|
|
|
|
|
|
||||||||||
Restructuring Charges
|
|
|
|
321
|
|
|
1,782
|
|
|
|
|
|
|
|
|
2,119
|
|
|
1,782
|
|
|
|
|
|
||||||||||
Other Debt Refinancing Costs
|
|
|
|
697
|
|
|
—
|
|
|
|
|
|
|
|
|
697
|
|
|
—
|
|
|
|
|
|
||||||||||
|
|
|
|
(3,768
|
)
|
|
(4,626
|
)
|
|
|
|
|
|
|
|
(17,657
|
)
|
|
(14,838
|
)
|
|
|
|
|
||||||||||
Adjusted EBITDA
|
|
|
|
$
|
19,379
|
|
|
$
|
13,760
|
|
|
11.8
|
%
|
|
9.7
|
%
|
|
|
|
$
|
70,668
|
|
|
$
|
54,072
|
|
|
11.2
|
%
|
|
9.7
|
%
|
||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Capital Expenditures
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
Electronic Systems
|
|
|
|
$
|
1,628
|
|
|
$
|
763
|
|
|
|
|
|
|
|
|
$
|
6,719
|
|
|
$
|
5,019
|
|
|
|
|
|
||||||
Structural Systems
|
|
|
|
2,539
|
|
|
3,462
|
|
|
|
|
|
|
|
|
9,104
|
|
|
20,679
|
|
|
|
|
|
||||||||||
Corporate Administration
|
|
|
|
139
|
|
|
—
|
|
|
|
|
|
|
|
|
514
|
|
|
775
|
|
|
|
|
|
||||||||||
Total Capital Expenditures
|
|
|
|
$
|
4,306
|
|
|
$
|
4,225
|
|
|
|
|
|
|
|
|
$
|
16,337
|
|
|
$
|
26,473
|
|
|
|
|
|
(1)
|
Includes costs not allocated to either the Electronic Systems or Structural Systems operating segments.
|
|
|
Three Months Ended
|
|
Years Ended
|
||||||||||||
GAAP To Non-GAAP Net Revenues
|
|
December 31,
2018 |
|
December 31,
2017 |
|
December 31,
2018 |
|
December 31,
2017 |
||||||||
Total Ducommun Net Revenues
|
|
$
|
164,183
|
|
|
$
|
142,258
|
|
|
$
|
629,307
|
|
|
$
|
558,183
|
|
Effect of Adoption of ASC 606
|
|
1,584
|
|
|
—
|
|
|
(15,712
|
)
|
|
—
|
|
||||
Adjusted Total Ducommun Net Revenues
|
|
$
|
165,767
|
|
|
$
|
142,258
|
|
|
$
|
613,595
|
|
|
$
|
558,183
|
|
|
|
|
|
|
|
|
|
|
||||||||
Electronic Systems Net Revenues
|
|
$
|
85,262
|
|
|
$
|
77,170
|
|
|
$
|
337,868
|
|
|
$
|
316,723
|
|
Effect of Adoption of ASC 606
|
|
3,128
|
|
|
—
|
|
|
(7,120
|
)
|
|
—
|
|
||||
Adjusted Electronic Systems Net Revenues
|
|
$
|
88,390
|
|
|
$
|
77,170
|
|
|
$
|
330,748
|
|
|
$
|
316,723
|
|
|
|
|
|
|
|
|
|
|
||||||||
Structural Systems Net Revenues
|
|
$
|
78,921
|
|
|
$
|
65,088
|
|
|
$
|
291,439
|
|
|
$
|
241,460
|
|
Effect of Adoption of ASC 606
|
|
(1,544
|
)
|
|
—
|
|
|
(8,592
|
)
|
|
—
|
|
||||
Adjusted Structural Systems Net Revenues
|
|
$
|
77,377
|
|
|
$
|
65,088
|
|
|
$
|
282,847
|
|
|
$
|
241,460
|
|
|
|
Three Months Ended
|
|
Years Ended
|
||||||||||||||||||||||||
GAAP To Non-GAAP Operating Income
|
|
December 31,
2018 |
|
December 31,
2017 |
|
%
of Net Revenues
2018
|
|
%
of Net Revenues
2017
|
|
December 31,
2018 |
|
December 31,
2017 |
|
%
of Net Revenues
2018
|
|
%
of Net Revenues
2017
|
||||||||||||
GAAP Operating income
|
|
$
|
6,279
|
|
|
$
|
(2,589
|
)
|
|
|
|
|
|
$
|
23,918
|
|
|
$
|
15,634
|
|
|
|
|
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
GAAP Operating income - Electronic Systems
|
|
$
|
7,453
|
|
|
$
|
6,856
|
|
|
|
|
|
|
$
|
30,916
|
|
|
$
|
31,236
|
|
|
|
|
|
||||
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Effect of Adoption of ASC 606
|
|
(460
|
)
|
|
—
|
|
|
|
|
|
|
(2,370
|
)
|
|
—
|
|
|
|
|
|
||||||||
Restructuring charges
|
|
2,370
|
|
|
1,190
|
|
|
|
|
|
|
4,776
|
|
|
1,190
|
|
|
|
|
|
||||||||
Inventory purchase accounting adjustments
|
|
—
|
|
|
1,111
|
|
|
|
|
|
|
—
|
|
|
1,235
|
|
|
|
|
|
||||||||
Adjusted operating income - Electronic Systems
|
|
9,363
|
|
|
9,157
|
|
|
10.6
|
%
|
|
11.9
|
%
|
|
33,322
|
|
|
33,661
|
|
|
10.1
|
%
|
|
10.6
|
%
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
GAAP Operating income - Structural Systems
|
|
5,683
|
|
|
(2,592
|
)
|
|
|
|
|
|
19,063
|
|
|
5,790
|
|
|
|
|
|
||||||||
Adjustments:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Effect of Adoption of ASC 606
|
|
1,435
|
|
|
—
|
|
|
|
|
|
|
(1,884
|
)
|
|
—
|
|
|
|
|
|
||||||||
Restructuring charges
|
|
1,149
|
|
|
5,802
|
|
|
|
|
|
|
7,897
|
|
|
5,866
|
|
|
|
|
|
||||||||
Inventory purchase accounting adjustments
|
|
—
|
|
|
—
|
|
|
|
|
|
|
622
|
|
|
—
|
|
|
|
|
|
||||||||
Adjusted operating income - Structural Systems
|
|
8,267
|
|
|
3,210
|
|
|
10.7
|
%
|
|
4.9
|
%
|
|
25,698
|
|
|
11,656
|
|
|
9.1
|
%
|
|
4.8
|
%
|
||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
GAAP Operating loss - Corporate
|
|
(6,857
|
)
|
|
(6,853
|
)
|
|
|
|
|
|
(26,061
|
)
|
|
(21,392
|
)
|
|
|
|
|
||||||||
Adjustment:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||
Restructuring charges
|
|
321
|
|
|
1,782
|
|
|
|
|
|
|
2,119
|
|
|
1,782
|
|
|
|
|
|
||||||||
Other debt refinancing costs
|
|
697
|
|
|
—
|
|
|
|
|
|
|
697
|
|
|
—
|
|
|
|
|
|
||||||||
Adjusted operating loss - Corporate
|
|
(5,839
|
)
|
|
(5,071
|
)
|
|
|
|
|
|
(23,245
|
)
|
|
(19,610
|
)
|
|
|
|
|
||||||||
Total adjustments
|
|
5,512
|
|
|
9,885
|
|
|
|
|
|
|
11,857
|
|
|
10,073
|
|
|
|
|
|
||||||||
Adjusted operating income
|
|
$
|
11,791
|
|
|
$
|
7,296
|
|
|
7.1
|
%
|
|
5.1
|
%
|
|
$
|
35,775
|
|
|
$
|
25,707
|
|
|
5.8
|
%
|
|
4.6
|
%
|
|
|
Three Months Ended
|
|
Years Ended
|
||||||||||||
GAAP To Non-GAAP Earnings
|
|
December 31,
2018 |
|
December 31,
2017 |
|
December 31,
2018 |
|
December 31,
2017 |
||||||||
GAAP Net income
|
|
$
|
673
|
|
|
$
|
9,484
|
|
|
$
|
9,035
|
|
|
$
|
20,077
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
||||||||
Tax Cuts Jobs Act
(1)(3)
|
|
—
|
|
|
(12,590
|
)
|
|
—
|
|
|
(12,590
|
)
|
||||
Restructuring charges
(2)(3)
|
|
3,187
|
|
|
6,879
|
|
|
12,277
|
|
|
6,929
|
|
||||
Inventory purchase accounting adjustments
(2)(3)
|
|
—
|
|
|
871
|
|
|
516
|
|
|
968
|
|
||||
Loss on extinguishment of debt
(2)
|
|
769
|
|
|
—
|
|
|
769
|
|
|
—
|
|
||||
Other debt refinancing costs
(2)
|
|
579
|
|
|
—
|
|
|
579
|
|
|
—
|
|
||||
Total adjustments
|
|
4,535
|
|
|
(4,840
|
)
|
|
14,141
|
|
|
(4,693
|
)
|
||||
Adjusted net income
|
|
$
|
5,208
|
|
|
$
|
4,644
|
|
|
$
|
23,176
|
|
|
$
|
15,384
|
|
|
|
Three Months Ended
|
|
Years Ended
|
||||||||||||
GAAP Earnings Per Share To Non-GAAP Earnings Per Share
|
|
December 31,
2018 |
|
December 31,
2017 |
|
December 31,
2018 |
|
December 31,
2017 |
||||||||
GAAP Diluted Earnings Per Share (“EPS”)
|
|
$
|
0.06
|
|
|
$
|
0.82
|
|
|
$
|
0.77
|
|
|
$
|
1.74
|
|
Adjustments:
|
|
|
|
|
|
|
|
|
||||||||
Tax Cuts Jobs Act
(1)(3)
|
|
—
|
|
|
(1.10
|
)
|
|
—
|
|
|
(1.09
|
)
|
||||
Restructuring charges
(2)(3)
|
|
0.27
|
|
|
0.60
|
|
|
1.05
|
|
|
0.60
|
|
||||
Inventory purchase accounting adjustments
(2)(3)
|
|
—
|
|
|
0.08
|
|
|
0.05
|
|
|
0.08
|
|
||||
Loss on extinguishment of debt
(2)
|
|
0.06
|
|
|
—
|
|
|
0.07
|
|
|
—
|
|
||||
Other debt refinancing costs
(2)
|
|
0.05
|
|
|
—
|
|
|
0.05
|
|
|
—
|
|
||||
Total adjustments
|
|
0.38
|
|
|
(0.42
|
)
|
|
1.22
|
|
|
(0.41
|
)
|
||||
Adjusted Diluted EPS
|
|
$
|
0.44
|
|
|
$
|
0.40
|
|
|
$
|
1.99
|
|
|
$
|
1.33
|
|
|
|
|
|
|
|
|
|
|
||||||||
Shares used for adjusted diluted EPS
|
|
11,713
|
|
|
11,504
|
|
|
11,659
|
|
|
11,558
|
|
(1)
|
Net impact of Tax Cuts Jobs Act and $0.5 million in 2016 state income tax adjustments.
|
(2)
|
Includes tax rate of 17.0% for 2018 adjustments.
|
(3)
|
Includes tax rate of 21.6% for 2017 adjustments.
|