Blue Bird's Third Quarter Profits Higher Than Prior Year; Fourth Consecutive Quarter of Profit Growth; Strategic Actions Take Hold

GAAP net income $14.6 million
GAAP Diluted EPS of $0.55
Adjusted EBITDA of $29.0 million, up $4.9 million from prior year
Adjusted Diluted EPS of $0.69
FY2019 Guidance Reaffirmed

MACON, Ga.--()--Blue Bird Corporation (“Blue Bird”) (Nasdaq: BLBD), the leading independent designer and manufacturer of school buses, announced today its fiscal 2019 third quarter results. Compared with prior year, Blue Bird improved Adjusted EBITDA by $4.9 million, or 20%, in the quarter to $29.0 million, despite higher commodity costs and lower volume. Diluted EPS and Adjusted Diluted EPS were lower than last year, down 22 cents and 23 cents, more than explained by a one-time tax benefit recorded in the third quarter of FY2018.

Highlights

(in millions except EPS data)

Three Months Ended

June 29, 2019

 

B/(W)

2018

 

Nine Months Ended

June 29, 2019

 

B/(W)

2018

Unit Sales

3,420

 

 

(326

)

 

7,291

 

 

(601

)

GAAP Measures:

 

 

 

 

 

 

 

Revenue

$

308.8

 

 

$

(5.4

)

 

$

675.3

 

 

$

(18.0

)

Net income

$

14.6

 

 

$

(7.3

)

 

$

12.7

 

 

$

(3.2

)

Diluted earnings per share

$

0.55

 

 

$

(0.22

)

 

$

0.47

 

 

$

(0.08

)

Non-GAAP Measures1:

 

 

 

 

 

 

 

Adjusted EBITDA

$

29.0

 

 

$

4.9

 

 

$

48.5

 

 

$

7.2

 

Adjusted Net Income

$

18.3

 

 

$

(7.9

)

 

$

23.5

 

 

$

(7.0

)

Adjusted Diluted Earnings per Share

$

0.69

 

 

$

(0.23

)

 

$

0.87

 

 

$

(0.20

)

1 Reconciliation to relevant GAAP metrics shown below


“We are pleased with our third quarter performance and our continued progress in key areas of the business," said Phil Horlock, President and Chief Executive Officer of Blue Bird Corporation. “The bus pricing we took in late fiscal 2018 to offset rapidly-increasing commodity costs, together with a record 53% mix of alternative-fueled bus sales, contributed to an eight percent increase in net revenue per bus in the third quarter, compared with last year. We achieved significant structural cost reductions from the Transformational Initiatives we started last year, and expect continued gains through FY2019 and beyond from the implementation of these plans. The lower volume was primarily driven by delivery timing with units produced at the end of the third quarter being delivered and sold in the fourth quarter. We are pleased to reaffirm our FY2019 full-year revenue guidance of $990 - $1,025 million and Adjusted EBITDA guidance of $80 - 85 million.

"We are focused on delivering differentiated and innovative products that customers want and value, as demonstrated by our continued growth in alternative-fueled bus sales, with year-to-date bookings and firm order backlog at 21% above last year. With the broadest range of alternative-fueled school bus offerings in the market, offered at the lowest emission levels, we are the clear product and sales leader in the fastest growing segment of the business.

"While making significant capital investments in the business this year for our all-new, robotic paint facility, we will continue to generate positive cash flow and are reaffirming our full year Adjusted Free Cash Flow guidance of $24 - $28 million."

Fiscal 2019 Third Quarter Results

Net Sales
Net sales were $308.8 million for the third quarter of fiscal 2019, a decrease of $5.4 million, or 1.7%, from prior year period. Bus unit sales were 3,420 units for the quarter compared with 3,746 units for the same period last year.

Gross Profit
Third quarter gross profit of $41.8 million represented an increase of $4.8 million from the third quarter of last year. Gross profit margin improved 1.7 points to 13.5%.

Net Income
Net income was $14.6 million for the third quarter of fiscal 2019, representing a decrease in profit of $7.3 million compared with the same period last year, more than accounted for by the non-recurrence of tax benefits realized in third quarter of FY2018.

Adjusted Net Income
Adjusted Net Income was $18.3 million, representing a decrease of $7.9 million compared with the same period last year.

Adjusted EBITDA
Adjusted EBITDA was $29.0 million, representing an increase of $4.9 million compared with the third quarter last year. Bus pricing and cost reductions more than offset the impact of commodity-cost headwinds and lower volume.

Year-to-Date 2019 Results

Net Sales
Net sales were $675.3 million for the nine months ended June 29, 2019, a decrease of $18.0 million, or 2.6%, compared with the prior year. Bus unit sales were 7,291 units for the nine months ended June 29, 2019 compared with 7,892 units for the same period last year.

Gross Profit
Year-to-date gross profit was $86.8 million, an increase of $7.6 million from the prior year.

Net Income
Net income was $12.7 million for the nine months ended June 29, 2019, which was $3.2 million below the same period in the prior year.

Adjusted Net Income
Year-to-date Adjusted Net Income was $23.5 million, representing a decrease of $7.0 million compared with the prior year. The decline is more than accounted for by the non-recurrence of tax benefits realized in third quarter of FY2018.

Adjusted EBITDA
Adjusted EBITDA was $48.5 million for the nine months ended June 29, 2019, an increase of $7.2 million over the prior year.

Conference Call Details

Blue Bird will discuss its third quarter 2019 results and other related matters in a conference call at 4:30 PM ET today. Participants may listen to the audio portion of the conference call either through a live audio webcast on the Company's website or by telephone. The slide presentation and webcast can be accessed via the Investor Relations portion of Blue Bird's website at www.blue-bird.com.

  • Webcast participants should log on and register at least 15 minutes prior to the start time on the Investor Relations homepage of Blue Bird’s website at http://investors.blue-bird.com. Click the link in the events box on the Investor Relations landing page.
  • Participants desiring audio only should dial 1-800-263-0877 or 1-646-828-8143

A replay of the webcast will be available approximately two hours after the call concludes via the same link on Blue Bird’s website.

About Blue Bird Corporation

Blue Bird is the leading independent designer and manufacturer of school buses, with more than 550,000 buses sold since its formation in 1927 and approximately 180,000 buses in operation today. Blue Bird’s longevity and reputation in the school bus industry have made it an iconic American brand. Blue Bird distinguishes itself from its principal competitors by its singular focus on the design, engineering, manufacture and sale of school buses and related parts. As the only manufacturer of chassis and body production specifically designed for school bus applications, Blue Bird is recognized as an industry leader for school bus innovation, safety, product quality/reliability/durability, operating costs and drivability. In addition, Blue Bird is the market leader in alternative fuel applications with its propane-powered and compressed natural gas-powered school buses. Blue Bird manufactures school buses at two facilities in Fort Valley, Georgia. Its Micro Bird joint venture operates a manufacturing facility in Drummondville, Quebec, Canada. Service and after-market parts are distributed from Blue Bird’s parts distribution center located in Delaware, Ohio.

Key Non-GAAP Financial Measures We Use to Evaluate Our Performance

This press release includes the following non-GAAP financial measures “Adjusted EBITDA,” "Adjusted EBITDA Margin," "Adjusted Net Income," "Adjusted Diluted Earnings per Share," “Free Cash Flow” and “Adjusted Free Cash Flow” because management views these metrics as a useful way to look at the performance of our operations between periods and to exclude decisions on capital investment and financing that might otherwise impact the review of profitability of the business based on present market conditions.

Adjusted EBITDA is defined as net income prior to discontinued operations income or loss, interest income, interest expense including the component of lease expense (which is presented as a single operating expense in selling, general and administrative expenses in our GAAP financial statements) that represents interest expense on lease liabilities, income taxes, depreciation and amortization including the component of lease expense (which is presented as a single operating expense in selling, general and administrative expenses in our GAAP financial statements) that represents amortization charges on right-to-use lease assets, and disposals, as adjusted to add back certain charges that we may record each year, such as stock-compensation expense, as well as non-recurring charges such as (i) significant product design changes; (ii) transaction related costs; or (iii) discrete expenses related to major cost cutting initiatives. We believe these expenses are non-recurring charges and not considered an indicator of ongoing company performance. We define Adjusted EBITDA margin as Adjusted EBITDA as a percentage of net sales. Adjusted Net Income is net income as adjusted to add back certain costs as mentioned above. Adjusted diluted earnings per share represents Adjusted Net Income available to common stockholders by diluted weighted average common shares outstanding (as if we had GAAP net income during the respective period). Adjusted EBITDA, Adjusted EBITDA margin, Adjusted Net Income, and Adjusted Diluted Earnings per Share are not measures of performance defined in accordance with GAAP. The measures are used as a supplement to GAAP results in evaluating certain aspects of our business, as described below.

We believe that Adjusted EBITDA, Adjusted EBITDA margin, Adjusted Net Income, and Adjusted Diluted Earnings per Share are useful to investors in evaluating our performance because the measures consider the performance of our operations, excluding decisions made with respect to capital investment, financing, and other non-recurring charges as outlined in the preceding paragraph. We believe the non-GAAP metrics offer additional financial metrics that, when coupled with the GAAP results and the reconciliation to GAAP results, provide a more complete understanding of our results of operations and the factors and trends affecting our business.

Adjusted EBITDA, Adjusted EBITDA margin, Adjusted Net Income and Adjusted Diluted Earnings per Share should not be considered as alternatives to net income or GAAP earnings per share as an indicator of our performance or as alternatives to any other measure prescribed by GAAP as there are limitations to using such non-GAAP measures. Although we believe the non-GAAP measures may enhance an evaluation of our operating performance based on recent revenue generation and product/overhead cost control because they exclude the impact of prior decisions made about capital investment, financing, and other expenses, (i) other companies in Blue Bird’s industry may define Adjusted EBITDA, Adjusted EBITDA margin, Adjusted Net Income, and Adjusted Diluted Earnings per Share differently than we do and, as a result, they may not be comparable to similarly titled measures used by other companies in Blue Bird’s industry, and (ii) Adjusted EBITDA, Adjusted EBITDA margin, Adjusted Net Income, and Adjusted Diluted Earnings per Share exclude certain financial information that some may consider important in evaluating our performance.

We compensate for these limitations by providing disclosure of the differences between Adjusted EBITDA, Adjusted EBITDA margin, Adjusted Net Income, and Adjusted Diluted Earnings per Share and GAAP results, including providing a reconciliation to GAAP results, to enable investors to perform their own analysis of our operating results.

Our measures of “Free Cash Flow” and "Adjusted Free Cash Flow" are used in addition to and in conjunction with results presented in accordance with GAAP and free cash flow and adjusted free cash flow should not be relied upon to the exclusion of GAAP financial measures. Free cash flow and adjusted free cash flow reflect an additional way of viewing our liquidity that, when viewed with our GAAP results, provides a more complete understanding of factors and trends affecting our cash flows. We strongly encourage investors to review our financial statements and publicly-filed reports in their entirety and not to rely on any single financial measure.

We define free cash flow as net cash provided by/used in operating activities minus cash paid for fixed assets. We define adjusted free cash flow as free cash flow minus cash paid for (i) significant product design changes; (ii) transaction related costs; or (iii) discrete expenses related to major cost cutting initiatives. We use free cash flow and adjusted free cash flow, and ratios based on both, to conduct and evaluate our business because, although it is similar to cash flow from operations, we believe it is a more conservative measure of cash flow since purchases of fixed assets are a necessary component of ongoing operations. In limited circumstances in which proceeds from sales of fixed assets exceed purchases, free cash flow would exceed cash flow from operating activities. However, since we do not anticipate being a net seller of fixed assets, we expect free cash flow to be less than cash flows from operating activities.

Forward Looking Statements

This press release includes forward-looking statements within the meaning of the “safe harbor” provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements relate to expectations for future financial performance, business strategies or expectations for our business. Specifically, forward-looking statements include statements in this press release regarding guidance, seasonality, product mix and gross profits and may include statements relating to:

  • Inherent limitations of internal controls impacting financial statements
  • Growth opportunities
  • Future profitability
  • Ability to expand market share
  • Customer demand for certain products
  • Economic conditions (including tariffs) that could affect fuel costs, commodity costs, industry size and financial conditions of our dealers and suppliers
  • Labor or other constraints on the Company’s ability to maintain a competitive cost structure
  • Volatility in the tax base and other funding sources that support the purchase of buses by our end customers
  • Lower or higher than anticipated market acceptance for our products
  • Other statements preceded by, followed by or that include the words “estimate,” “plan,” “project,” “forecast,” “intend,” “expect,” “anticipate,” “believe,” “seek,” “target” or similar expressions

These forward-looking statements are based on information available as of the date of this press release, and current expectations, forecasts and assumptions, and involve a number of judgments, risks and uncertainties. Accordingly, forward-looking statements should not be relied upon as representing our views as of any subsequent date, and we do not undertake any obligation to update forward-looking statements to reflect events or circumstances after the date they were made, whether as a result of new information, future events or otherwise, except as may be required under applicable securities laws. The factors described above, as well as risk factors described in reports filed with the SEC by us (available at www.sec.gov), could cause our actual results to differ materially from estimates or expectations reflected in such forward-looking statements.

Forward-looking statements in this document also may include, but are not limited to, statements regarding the pricing of the share repurchase, the potential tender offer by Blue Bird for shares of its common stock, and the benefits and timing of any potential tender offer. Many risks, contingencies and uncertainties could cause actual results to differ materially from Blue Bird’s forward-looking statements. Among these factors are the risk that Blue Bird may decide not to commence the tender offer, and that if Blue Bird does commence a tender offer, that the offer may not be completed.

 
 
 

BLUE BIRD CORPORATION AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS

 

(in thousands except for share data)

June 29, 2019

 

September 29, 2018

Assets

 

 

 

Current assets

 

 

 

Cash and cash equivalents

$

29,075

 

 

$

60,260

 

Accounts receivable, net

40,229

 

 

24,067

 

Inventories

140,688

 

 

57,333

 

Other current assets

12,036

 

 

8,183

 

Total current assets

$

222,028

 

 

$

149,843

 

Property, plant and equipment, net

94,727

 

 

66,054

 

Goodwill

18,825

 

 

18,825

 

Intangible assets, net

55,492

 

 

55,472

 

Equity investment in affiliate

12,281

 

 

11,123

 

Deferred tax assets

4,559

 

 

4,437

 

Other assets

466

 

 

1,676

 

Total assets

$

408,378

 

 

$

307,430

 

Liabilities and Stockholders' Deficit

 

 

 

Current liabilities

 

 

 

Accounts payable

$

135,902

 

 

$

95,780

 

Warranty

9,008

 

 

9,142

 

Accrued expenses

28,163

 

 

21,935

 

Deferred warranty income

8,408

 

 

8,159

 

Other current liabilities

15,691

 

 

3,941

 

Current portion of long-term debt

9,900

 

 

9,900

 

Total current liabilities

$

207,072

 

 

$

148,857

 

Long-term liabilities

 

 

 

Revolving credit facility

$

25,000

 

 

$

 

Long-term debt

175,479

 

 

132,239

 

Warranty

13,512

 

 

13,504

 

Deferred warranty income

15,177

 

 

15,032

 

Deferred tax liabilities

1,088

 

 

197

 

Other liabilities

12,402

 

 

4,924

 

Pension

19,834

 

 

21,013

 

Total long-term liabilities

$

262,492

 

 

$

186,909

 

Stockholders' deficit

 

 

 

Preferred stock, $0.0001 par value, 10,000,000 shares authorized, 0 and 93,000 issued with liquidation preference of $0 and $9,300 at June 29, 2019 and September 29, 2018, respectively

$

 

 

$

9,300

 

Common stock, $0.0001 par value, 100,000,000 shares authorized, 26,460,456 and 27,259,262 shares outstanding at June 29, 2019 and September 29, 2018, respectively

3

 

 

3

 

Additional paid-in capital

83,189

 

 

70,023

 

Accumulated deficit

(57,241

)

 

(69,235

)

Accumulated other comprehensive loss

(36,855

)

 

(38,427

)

Treasury stock, at cost, 1,782,568 and 0 shares at June 29, 2019 and September 29, 2018, respectively

(50,282

)

 

 

Total stockholders' deficit

$

(61,186

)

 

$

(28,336

)

Total liabilities and stockholders' deficit

$

408,378

 

 

$

307,430

 

 
 
 
 

BLUE BIRD CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS

 

 

Three Months Ended

 

Nine Months Ended

(in thousands except for share data)

June 29, 2019

 

June 30, 2018

 

June 29, 2019

 

June 30, 2018

Net sales

$

308,774

 

 

$

314,186

 

 

$

675,342

 

 

$

693,363

 

Cost of goods sold

266,992

 

 

277,213

 

 

588,496

 

 

614,074

 

Gross profit

$

41,782

 

 

$

36,973

 

 

$

86,846

 

 

$

79,289

 

Operating expenses

 

 

 

 

 

 

 

Selling, general and administrative expenses

20,996

 

 

20,489

 

 

61,197

 

 

64,226

 

Operating profit

$

20,786

 

 

$

16,484

 

 

$

25,649

 

 

$

15,063

 

Interest expense

(3,369

)

 

(1,834

)

 

(10,241

)

 

(5,112

)

Interest income

 

 

25

 

 

9

 

 

42

 

Other expense, net

(410

)

 

(667

)

 

(1,034

)

 

(399

)

Income before income taxes

$

17,007

 

 

$

14,008

 

 

$

14,383

 

 

$

9,594

 

Income tax (expense) benefit

(3,248

)

 

7,485

 

 

(2,833

)

 

5,662

 

Equity in net income of non-consolidated affiliate

842

 

 

398

 

 

1,158

 

 

632

 

Net income

$

14,601

 

 

$

21,891

 

 

$

12,708

 

 

$

15,888

 

 

 

 

 

 

 

 

 

Earnings per share:

 

 

 

 

 

 

 

Net income (from above)

$

14,601

 

 

$

21,891

 

 

$

12,708

 

 

$

15,888

 

Less: preferred stock dividends

 

 

182

 

 

 

 

1,715

 

Net income available to common stockholders

$

14,601

 

 

$

21,709

 

 

$

12,708

 

 

$

14,173

 

 

 

 

 

 

 

 

 

Basic weighted average shares outstanding

26,451,107

 

 

26,209,697

 

 

26,449,751

 

 

24,677,838

 

Diluted weighted average shares outstanding

26,720,110

 

 

28,556,914

 

 

26,920,285

 

 

25,809,491

 

 

 

 

 

 

 

 

 

Basic earnings per share

$

0.55

 

 

$

0.83

 

 

$

0.48

 

 

$

0.57

 

Diluted earnings per share

$

0.55

 

 

$

0.77

 

 

$

0.47

 

 

$

0.55

 

 
 
 
 

BLUE BIRD CORPORATION AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS

 

 

Nine Months Ended

(in thousands of dollars)

June 29, 2019

 

June 30, 2018

Cash flows from operating activities

 

 

 

Net income

$

12,708

 

 

$

15,888

 

Adjustments to reconcile net income to net cash (used in) provided by operating activities:

 

 

 

Depreciation and amortization

7,406

 

 

6,325

 

Non-cash interest expense

2,172

 

 

572

 

Share-based compensation

3,146

 

 

2,380

 

Equity in net income of affiliate

(1,158

)

 

(632

)

Loss on disposal of fixed assets

50

 

 

115

 

Deferred taxes

500

 

 

8,422

 

Amortization of deferred actuarial pension losses

2,068

 

 

2,640

 

Foreign currency hedges

109

 

 

(828

)

Changes in assets and liabilities:

 

 

 

Accounts receivable

(16,162

)

 

(12,422

)

Inventories

(83,355

)

 

(36,872

)

Other assets

(5,014

)

 

(1,502

)

Accounts payable

42,429

 

 

41,959

 

Accrued expenses, pension and other liabilities

15,988

 

 

(19,023

)

Total adjustments

$

(31,821

)

 

$

(8,866

)

Total cash (used in) provided by operating activities

$

(19,113

)

 

$

7,022

 

Cash flows from investing activities

 

 

 

Cash paid for fixed and acquired intangible assets

(30,154

)

 

(15,572

)

Proceeds from sale of fixed assets

 

 

12

 

Total cash used in investing activities

$

(30,154

)

 

$

(15,560

)

Cash flows from financing activities

 

 

 

Borrowings under the revolving credit facility

$

25,000

 

 

$

 

Borrowings under the senior term loan

50,000

 

 

 

Repayments under the senior term loan

(7,425

)

 

(6,000

)

Cash paid for capital leases

 

 

(118

)

Payment of dividends on preferred stock

 

 

(1,715

)

Cash paid for employee taxes on vested restricted shares and stock option exercises

(622

)

 

(571

)

Proceeds from exercises of warrants

1,499

 

 

15,114

 

Common stock repurchases under share repurchase programs

 

 

(18,864

)

Tender offer repurchase of common stock and preferred stock

(50,370

)

 

 

Total cash provided by (used in) financing activities

$

18,082

 

 

$

(12,154

)

Change in cash and cash equivalents

(31,185

)

 

(20,692

)

Cash and cash equivalents, beginning of period

60,260

 

 

62,616

 

Cash and cash equivalents, end of period

$

29,075

 

 

$

41,924

 

 

 
 
 
 

Reconciliation of Net Income to Adjusted EBITDA

 

 

Three Months Ended

 

Nine Months Ended

(in thousands of dollars)

June 29, 2019

 

June 30, 2018

 

June 29, 2019

 

June 30, 2018

Net income

$

14,601

 

 

$

21,891

 

 

$

12,708

 

 

$

15,888

 

Adjustments:

 

 

 

 

 

 

 

Discontinued operations income

 

 

 

 

 

 

(81

)

Interest expense, net (1)

3,472

 

 

1,809

 

 

10,544

 

 

5,070

 

Income tax expense (benefit)

3,248

 

 

(7,485

)

 

2,833

 

 

(5,662

)

Depreciation, amortization, and disposals (2)

2,750

 

 

2,203

 

 

7,989

 

 

6,483

 

Operational transformation initiatives

679

 

 

3,169

 

 

4,193

 

 

13,547

 

Foreign currency hedges

 

 

208

 

 

109

 

 

(828

)

Share-based compensation

1,101

 

 

870

 

 

3,146

 

 

2,380

 

Product redesign initiatives

3,075

 

 

1,497

 

 

6,876

 

 

4,526

 

Other

115

 

 

(10

)

 

62

 

 

(54

)

Adjusted EBITDA

$

29,041

 

 

$

24,152

 

 

$

48,460

 

 

$

41,269

 

Adjusted EBITDA margin (percentage of net sales)

9.4

%

 

7.7

%

 

7.2

%

 

6.0

%

(1) Includes $0.1 million and $0.3 million for the three and nine months ended June 29, 2019, representing interest expense on lease liabilities, which are a component of lease expense and presented as a single operating expense in selling, general and administrative expenses on our Condensed Consolidated Statements of Operations.

(2) Includes $0.2 million and $0.6 million for the three and nine months ended June 29, 2019, representing amortization charges on right-to-use lease assets, which are a component of lease expense and presented as a single operating expense in selling, general and administrative expenses on our Condensed Consolidated Statements of Operations.

 
 

Reconciliation of Free Cash Flow to Adjusted Free Cash Flow

 

 

Three Months Ended

 

Nine Months Ended

(in thousands of dollars)

June 29, 2019

 

June 30, 2018

 

June 29, 2019

 

June 30, 2018

Net cash provided by (used in) operating activities

$

7,659

 

 

$

40,079

 

 

$

(19,113

)

 

$

7,022

 

Cash paid for fixed and acquired intangible assets

(7,448

)

 

(8,551

)

 

(30,154

)

 

(15,572

)

Free cash flow

$

211

 

 

$

31,528

 

 

$

(49,267

)

 

$

(8,550

)

Cash paid for product redesign initiatives

(3,075

)

 

(1,497

)

 

(6,876

)

 

(4,526

)

Cash paid for operational transformation initiatives

(679

)

 

(3,169

)

 

(4,193

)

 

(13,547

)

Adjusted free cash flow

3,965

 

 

36,194

 

 

(38,198

)

 

9,523

 

 
 
 

Reconciliation of Net Income to Adjusted Net Income

 

 

Three Months Ended

 

Nine Months Ended

(in thousands of dollars)

June 29, 2019

 

June 30, 2018

 

June 29, 2019

 

June 30, 2018

Net income

$

14,601

 

 

$

21,891

 

 

$

12,708

 

 

$

15,888

 

Adjustments, net of tax benefit or expense (1)

 

 

 

 

 

 

 

Operational transformation initiatives

509

 

 

2,377

 

 

3,145

 

 

10,160

 

Product redesign initiatives

2,306

 

 

1,123

 

 

5,157

 

 

3,395

 

Foreign currency hedges

 

 

156

 

 

82

 

 

(621

)

Share-based compensation

826

 

 

653

 

 

2,360

 

 

1,785

 

Discontinued operations income

 

 

 

 

 

 

(61

)

Other

86

 

 

(8

)

 

47

 

 

(41

)

Adjusted net income, non-GAAP

$

18,329

 

 

$

26,192

 

 

23,498

 

 

30,506

 

Less: preferred stock dividends

 

 

182

 

 

 

 

1,715

 

Adjusted net income available to common stockholders, non-GAAP

$

18,329

 

 

$

26,010

 

 

23,498

 

 

28,791

 

(1) Amounts are net of estimated statutory tax rates of 25%.

 
 

Reconciliation of Diluted EPS to Adjusted Diluted EPS

 

 

Three Months Ended

 

Nine Months Ended

 

June 29, 2019

 

June 30, 2018

 

June 29, 2019

 

June 30, 2018

Diluted earnings per share

$

0.55

 

 

$

0.77

 

 

$

0.47

 

 

$

0.55

 

One-time charge adjustments, net of tax benefit or expense

0.14

 

 

0.15

 

 

0.40

 

 

0.52

 

Adjusted diluted earnings per share, non-GAAP (1)

$

0.69

 

 

$

0.92

 

 

$

0.87

 

 

$

1.07

 

Weighted average dilutive shares outstanding (2)

26,720,110

 

 

28,556,914

 

 

26,920,285

 

 

28,600,959

 

(1) Numerator is adjusted net income, non-GAAP

(2) Weighted average dilutive shares outstanding excluded 2,791,468 shares for the nine months ended June 30, 2018 as their effect would be anti-dilutive, but were included in the adjusted diluted earnings per share, non-GAAP calculation as their effect was dilutive.

 
 

 

Contacts

Mark Benfield
Investor Relations & Government Affairs
(478) 822-2315
Mark.Benfield@blue-bird.com

Release Summary

Blue Bird improved Adjusted EBITDA by $4.9 million, or 20%, in the quarter

Contacts

Mark Benfield
Investor Relations & Government Affairs
(478) 822-2315
Mark.Benfield@blue-bird.com