FLIR Systems Announces First Quarter 2020 Financial Results

– First Quarter Revenue of $450.9 Million

– First Quarter Revenue Growth of 1.4% over Prior Year Quarter

– Record First Quarter Total Backlog of $859.3 Million

– First Quarter GAAP Diluted Earnings Per Share (“EPS”) of $0.11; Adjusted Diluted EPS of $0.42

ARLINGTON, Va.--()--FLIR Systems, Inc. (NASDAQ: FLIR) (“FLIR” or the “Company”), a world leader in the design, manufacture, and marketing of intelligent sensing technologies, today announced financial results for the first quarter ended March 31, 2020.

Commenting on FLIR’s first quarter results, Jim Cannon, President and Chief Executive Officer, said, “As the COVID-19 pandemic has created unprecedented challenges around the globe, we are extremely proud that FLIR products and technology are playing a critical role in helping combat the spread of this virus. As a result, we continue to experience increased demand for our thermal cameras for use in Elevated Skin Temperature—or EST—screening. Although these thermal cameras cannot detect or diagnose any type of medical condition, the cameras do serve as an effective tool to identify elevated skin temperatures through accurate, non-contact temperature monitoring. I’d like to extend my gratitude to our employees for their commitment, as we work to ensure that governments, first responders, and businesses across the globe all have appropriate EST resources during this challenging time. In this environment, the health and safety of our employees is our top priority. We have enacted stringent protocols to help ensure their safety, including restricting visitors to our facilities, requiring temperature screening upon arrival, implementing staggered work schedules to reduce the number of employees working at a given time, and regular deep cleanings at all of our facilities.”

Mr. Cannon continued, “While it is still too early to estimate longer term demand for our EST screening technology, sales of these products have offset other headwinds to our business resulting from the pandemic. Consistent operational execution contributed to FLIR delivering revenue and adjusted diluted earnings per share at the higher-end of the expectations we provided for the first quarter. We also continued to execute our ‘Project Be Ready’ initiative to drive cost savings across the enterprise. During the quarter we experienced continued demand in our Defense Technologies segment, particularly for our unmanned systems and solutions and in our Industrial Technologies segment for our EST products. However, the COVID-19 pandemic has resulted in disruptions to our supply chain as well as significantly reduced sales in our commercially-centric businesses including maritime and security. Although our first quarter bookings faced a difficult year-over-year comparison, we were pleased to end the quarter with a record total backlog of $859.3 million.”

Mr. Cannon concluded, “Today, we are operating in a highly uncertain environment. I am pleased that FLIR has entered this pandemic with financial flexibility to continue operating our business through this difficult time. We look forward to emerging from this crisis as a more resilient company that stepped-up in a time of need for the customers we serve.”

Summary Results

Revenues for the quarter were $450.9 million, compared to $444.7 million in the prior year quarter, reflecting a 1.4% increase. Bookings totaled $502.0 million in the quarter, representing a book-to-bill ratio of 1.11. Backlog at the end of the quarter was a record $859.3 million, reflecting a 2.8% increase relative to the prior year quarter.

GAAP Earnings Results

Gross profit for the quarter was $219.4 million, compared to $233.9 million in the prior year quarter. Gross margin decreased to 48.6% from 52.6% in the prior year quarter, primarily attributable to increases in intangible asset amortization and a shift in product mix in the Defense Technologies segment. The mix shift included lower-margin unmanned programs, in-line with the Company’s strategic priorities to focus on leadership in sensor solutions, unmanned and autonomous solutions, airborne ISR and decision support. Operating income for the quarter was $28.5 million, compared to $81.1 million in the prior year quarter. Operating margin decreased to 6.3% from 18.2% in the prior year quarter, primarily attributable to product mix in the Defense Technologies segment and increases in restructuring expenses, intangible asset amortization, consent agreement costs, research and development expenses, and deferred compensation costs. Diluted EPS was $0.11, compared to $0.45 in the prior year quarter. The weighted average diluted share count for the quarter was 135 million compared to 137 million in the prior year quarter, primarily due to stock repurchases.

Non-GAAP Earnings Results

Adjusted gross profit for the quarter was $229.5 million, compared to $237.5 million in the prior year quarter. Adjusted gross margin decreased to 50.9% from 53.4% in the prior year quarter, primarily attributable to the aforementioned product mix in the Defense Technologies segment. Adjusted operating income for the quarter was $75.5 million, compared to $97.4 million in the prior year quarter. Adjusted operating margin decreased to 16.7% from 21.9% in the prior year quarter, primarily attributable to product mix in the Defense Technologies segment and an increase in research and development expenses and deferred compensation costs. Adjusted diluted EPS was $0.42, compared to $0.53 in the prior year quarter.

Segment Results

As previously announced, in connection with the Project Be Ready initiative to simplify and reshape the Company’s product portfolio and organizational structure, the Company has restructured its business into two reportable segments effective January 1, 2020 – the Industrial Technologies segment and the Defense Technologies segment. Segment operating results for the three months ended March 31, 2019 have been recast to reflect the new presentation as two reportable segments.

Industrial Technologies Segment

Industrial Technologies revenues for the quarter of $276.4 million increased by $5.0 million, or 1.9% compared to the prior year quarter. The revenue increase was primarily attributable to heightened demand for EST cameras as a result of the COVID-19 pandemic, partially offset by lower volume in maritime products, security products and cooled cameras and components.

Industrial Technologies segment operating income was $64.3 million, compared to $69.0 million in the prior year quarter. Segment operating margin decreased to 23.2% from 25.4% in the prior year quarter, primarily attributable to a non-cash loss on disposal of equipment and product mix.

Industrial Technologies bookings totaled $335.6 million for the quarter, representing a book-to-bill ratio of 1.21. Backlog at the end of the quarter was $330.0 million, reflecting a 28.3% increase relative to the prior year quarter, primarily as a result of increased orders for EST cameras.

Defense Technologies Segment

Defense Technologies revenues for the quarter of $174.5 million increased by $1.2 million, or 0.7% compared to the prior year quarter. The revenue increase was primarily attributable to contributions of unmanned revenue from the Aeryon Labs and Endeavor Robotics acquisitions, partially offset by the completion of certain contracts that contributed to revenue in the prior year quarter.

Defense Technologies segment operating income was $33.2 million, compared to $46.9 million in the prior year quarter. Segment operating margin decreased to 19.0% from 27.0% in the prior year quarter, primarily attributable to a shift in product mix towards lower-margin unmanned programs, and an increase in research and development expenses to support future franchise programs.

Defense Technologies bookings totaled $166.4 million for the quarter, representing a book-to-bill ratio of 0.95. Backlog at the end of the quarter was $529.3 million, reflecting an 8.6% decrease relative to the prior year quarter, primarily as a result of order and subsequent deployment timing for a few major programs.

Corporate Developments—COVID-19 Update

FLIR’s businesses have been deemed essential for critical infrastructure under the Cybersecurity and Infrastructure Security Agency exemption, and all of its manufacturing facilities remain operational. FLIR has implemented stringent safety protocols and continues to monitor recommendations and guidelines issued by the Centers for Disease Control, the European Centre for Disease Prevention, and the World Health Organization to ensure the health and safety of its employees.

While the situation remains highly fluid, FLIR ended the first quarter of 2020 with ample liquidity and financial flexibility. As of March 31, 2020, the Company had $309 million in cash and cash equivalents and approximately $260 million in borrowing capacity within its credit facility based on current profitability levels and leverage covenants. Given the high degree of uncertainty in the current macroeconomic environment resulting from COVID-19, the Company remains focused on cash preservation activities, disciplined capital allocation, and executing Project Be Ready to simplify its product portfolio and better align resources with higher growth opportunities while reducing costs.

Shareholder Return Activity

In the first quarter of 2020, prior to escalation of the COVID-19 pandemic, the Company invested $150.0 million to repurchase approximately 4.1 million shares of its common stock at an average price of $36.46 per share. As of March 31, 2020, approximately 8.3 million shares remained available for future purchases under the current stock repurchase program.

FLIR’s Board of Directors has declared a quarterly cash dividend of $0.17 per share on FLIR common stock, payable on June 5, 2020 to shareholders of record as of close of business on May 22, 2020.

FLIR expects to continue to provide returns to its stockholders in the form of quarterly dividends. However, in order to preserve cash given the COVID-19 pandemic, FLIR will pause its share repurchase activity for the foreseeable future.

Financial Outlook

The COVID-19 pandemic has generated significant uncertainty, including an overall lack of visibility into future demand trends and economic conditions in the markets in which FLIR operates. The Company is continuing to closely monitor the impact of the pandemic on its operational and financial performance and adjust as necessary; however, the magnitude and duration of the outbreak including its impact to FLIR’s operations, supply chain partners and customers remains uncertain. As a result, the Company has withdrawn its previously issued guidance for the full year ending December 31, 2020.

Conference Call

FLIR has scheduled a conference call at 9:00 a.m. Eastern Time today to discuss its results for the quarter. The details for the conference call can be found below. A simultaneous webcast of the conference call and the accompanying summary presentation may be accessed online from a link in the Events & Presentations section of the Company’s Investor Relations website at www.FLIR.com/investor. A replay will be available upon completion of the conference call at this same internet address. Summary first quarter and historical financial data may be accessed online from the Financial Info Database link under the Financials & Filings section of the Company’s Investor Relations website.

First Quarter Financial Results Conference Call

Date:

Wednesday, May 6, 2020

Time:

9:00 a.m. Eastern Time / 6:00 a.m. Pacific Time

Dial-in:

1-877-407-9039 (Domestic)

1-201-689-8470 (International)

Conference ID:

13700390

Webcast:

http://public.viavid.com/index.php?id=138559

Replay:

For those unable to participate during the live broadcast, a replay of the call will also be available from 12:00 p.m. Eastern Time on May 6, 2020 through 11:59 p.m. Eastern Time on May 20, 2020 by dialing 1-844-512-2921 (domestic) and 1-412-317-6671 (international) and referencing the replay pin number: 13700390.

About FLIR Systems, Inc.

Founded in 1978, FLIR Systems is a world-leading industrial technology company focused on intelligent sensing solutions for defense, industrial, and commercial applications. FLIR Systems’ vision is to be “The World’s Sixth Sense,” creating technologies to help professionals make more informed decisions that save lives and livelihoods. For more information, please visit www.flir.com and follow @flir.

Forward-Looking Statements

Statements, estimates or projections in this release may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Any statements that are not statements of historical fact (including statements containing the words “believes,” “plans,” “anticipates,” “expects,” “estimates,” or similar expressions) should be considered to be forward looking statements. Such statements are based on current expectations, estimates, and projections about FLIR’s business based, in part, on assumptions made by management. These statements are not guarantees of future performance and involve risks and uncertainties that are difficult to predict. Therefore, actual outcomes and results may differ materially from what is expressed or forecasted in such forward-looking statements due to numerous factors, including the following:

  • risks related to United States government spending decisions and applicable procurement rules and regulations;
  • negative impacts to operating margins due to reductions in sales or changes in product mix;
  • impairments in the value of tangible and intangible assets;
  • unfavorable results of legal proceedings;
  • risks associated with international sales and business activities, including the regulation of the export and sale of our products worldwide and our ability to obtain and maintain necessary export licenses, as well as the imposition of significant tariffs or other trade barriers;
  • risks related to subcontractor and supplier performance and financial viability as well as raw material and component availability and pricing;
  • risks related to currency fluctuations;
  • adverse general economic conditions or volatility in our primary markets;
  • our ability to compete effectively and to respond to technological change;
  • risks related to product defects or errors;
  • our ability to protect our intellectual property and proprietary rights
  • cybersecurity and other security threats and technology disruptions
  • our ability to successfully manage acquisitions, investments and divestiture activities and integrate acquired companies;
  • our ability to achieve the intended benefits of our strategic restructuring;
  • our ability to attract and retain key senior management and qualified technical, sales and other personnel;
  • risks to our supply chain, production facilities or other operations, and changes to general, domestic, and foreign economic conditions, due to the COVID-19 pandemic; and
  • other risks discussed from time to time in filings and reports filed with the Securities and Exchange Commission.

In addition, such statements could be affected by general industry and market conditions and growth rates, and general domestic and international economic conditions. Such forward-looking statements speak only as of the date on which they are made and FLIR does not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date of this release, or for changes made to this document by wire services or internet service providers.

Definitions and Non-GAAP Financial Measures

Bookings are defined as contractual agreements awarded during the reporting period. Backlog is defined as total estimated amount of future revenues to be recognized under negotiated contracts.

We report our financial results in accordance with United States generally accepted accounting principles (GAAP). As a supplement to our GAAP financial results, this earnings announcement contains some or all of the following non-GAAP financial measures: (i) adjusted gross profit, (ii) adjusted gross margin (defined as adjusted gross profit divided by revenue), (iii) adjusted operating income, (iv) adjusted operating margin (defined as adjusted operating income divided by revenue), (v) adjusted net earnings, and (vi) adjusted diluted EPS. These non-GAAP measures of financial performance are not prepared in accordance with GAAP and computational methods may differ from those used by other companies. Additionally, these non-GAAP measures should not be considered a substitute for any other performance measure determined in accordance with GAAP, and the Company cautions investors and potential investors to consider these measures in addition to, not as a substitute for, its consolidated financial results as presented in accordance with GAAP. Each of the non-GAAP measures is adjusted from GAAP results as outlined in the "GAAP to Non-GAAP Reconciliation" table included within this earnings release.

In calculating non-GAAP financial measures, we exclude certain items to facilitate a review of the comparability of our core operating performance on a period-to-period basis. Items excluded consist of: (i) separation, transaction, and integration costs, (ii) amortization of acquired intangibles, (iii) restructuring expenses and asset impairment charges, (iv) discrete legal and compliance matters, and (v) discrete tax items. We do not consider these items to be directly related to our core operating performance. Non-GAAP measures are used internally to evaluate the core operating performance of our business, for comparison with forecasts and strategic plans, and as a factor for determining incentive compensation for certain employees. Accordingly, supplementing GAAP financial results with these non-GAAP financial measures enables the comparison of our ongoing operating results in a manner consistent with the metrics reviewed by management. We believe that these non-GAAP measures, when read in conjunction with our GAAP financials, provide useful information to investors by facilitating:

  • the comparability of our ongoing operating results over the periods presented;
  • the ability to identify trends in our underlying business; and
  • the comparison of our operating results against analyst financial models and operating results of other public companies that supplement their GAAP results with non-GAAP financial measures.

The following are explanations of each type of adjustment that we incorporate into non-GAAP financial measures:

  • Separation, transaction, and integration costs – Represents transaction and integration costs related to divestiture and acquisition initiatives.
  • Amortization of acquired intangibles – Represents amortization expense associated with acquired intangible assets.
  • Restructuring expenses and asset impairment charges – Represents employee separation expenses, facility termination costs, and other expenses as well as goodwill, intangible asset, and inventory impairment charges associated with Company restructuring activities.
  • Discrete legal and compliance matters – Represents costs incurred associated with certain legal and compliance matters that are not representative of ongoing operational costs. These expenses are primarily attributable to an administrative agreement with the U.S. Department of State (the “Consent Agreement”) to address and remediate certain historical practices associated with U.S. and international trade control laws and regulations. Such costs include a Directorate of Defense Trade Controls penalty, expenses associated with retention of a Special Compliance Officer, and remedial actions required by the terms of the Consent Agreement or otherwise necessary to remedy and achieve full compliance with U.S. and international trade control laws and regulations.
  • Discrete tax items – Represents tax expenses and benefits related to discrete events or transactions that are not representative of the Company’s estimated tax rate related to ongoing operations. These items include charges and reversals of provisions associated with certain unrecognized tax benefits, benefits or charges associated with the windfalls or shortfalls resulting from vesting and exercise activity of share-based compensation, benefits associated with the reversal of previously recorded valuation allowances against certain deferred tax assets, and other discrete items not included in the annual effective tax rate associated with our ongoing operations.

Adjusted net earnings and adjusted diluted EPS include an estimate to reflect the tax effect of the discrete items identified above. The tax effect is calculated by applying the Company’s overall estimated effective tax rate, excluding significant discrete items, to earnings before income taxes.

 
FLIR SYSTEMS, INC.
CONSOLIDATED STATEMENTS OF INCOME
(In thousands, except per share amounts)(Unaudited)
 
Three Months Ended
March 31,

2020

2019

 
Revenue

$

450,923

 

$

444,736

 

Cost of goods sold

 

231,555

 

 

210,875

 

Gross profit

 

219,368

 

 

233,861

 

 
Operating expenses:
Research and development

 

53,847

 

 

47,680

 

Selling, general and administrative

 

116,242

 

 

104,490

 

Restructuring expenses

 

20,784

 

 

609

 

Total operating expenses

 

190,873

 

 

152,779

 

 
Earnings from operations

 

28,495

 

 

81,082

 

 
Interest expense

 

6,961

 

 

5,516

 

Interest income

 

(349

)

 

(1,057

)

Other (income) expense, net

 

(1,315

)

 

1,866

 

 
Earnings before income taxes

 

23,198

 

 

74,757

 

 
Income tax provision

 

7,774

 

 

13,009

 

 
Net earnings

$

15,424

 

$

61,748

 

 
Net earnings per share:
Basic earnings per share

$

0.12

 

$

0.46

 

Diluted earnings per share

$

0.11

 

$

0.45

 

 
Weighted average shares outstanding:
Basic

 

133,596

 

 

135,541

 

Diluted

 

134,927

 

 

137,165

 

 
Note: The Company made certain reclassifications to the prior years' financial statements to conform them to the presentation as of and for the three months ended March 31, 2020 that management has determined had no material effect for the periods presented.
FLIR SYSTEMS, INC.
CONSOLIDATED BALANCE SHEETS
(In thousands)(Unaudited)
 
March 31, December 31,

2020

2019

ASSETS
Current assets:
Cash and cash equivalents

$

308,615

 

$

284,592

 

Accounts receivable, net

 

301,998

 

 

318,652

 

Inventories

 

397,526

 

 

388,762

 

Prepaid expenses and other current assets

 

122,395

 

 

116,728

 

Total current assets

 

1,130,534

 

 

1,108,734

 

 
Property and equipment, net

 

251,421

 

 

255,905

 

Deferred income taxes, net

 

39,458

 

 

39,983

 

Goodwill

 

1,328,828

 

 

1,364,596

 

Intangible assets, net

 

231,953

 

 

247,514

 

Other assets

 

140,043

 

 

120,809

 

Total assets

$

3,122,237

 

$

3,137,541

 

LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities:
Accounts payable

$

157,971

 

$

158,033

 

Deferred revenue

 

30,364

 

 

28,587

 

Accrued payroll and related liabilities

 

76,330

 

 

72,476

 

Accrued product warranties

 

15,018

 

 

14,611

 

Advance payments from customers

 

20,964

 

 

28,005

 

Accrued expenses

 

38,981

 

 

40,815

 

Accrued income taxes

 

7,450

 

 

14,735

 

Other current liabilities

 

39,333

 

 

27,349

 

Credit facility

 

191,000

 

 

16,000

 

Long-term debt, current portion

 

11,923

 

 

12,444

 

Total current liabilities

 

589,334

 

 

413,055

 

 
Long-term debt, net of current portion

 

636,273

 

 

648,419

 

Deferred income taxes

 

39,961

 

 

53,544

 

Accrued income taxes

 

55,497

 

 

55,514

 

Other long-term liabilities

 

96,592

 

 

95,576

 

 
Shareholders’ equity:
Preferred stock, $0.01 par value, 10,000 shares authorized; no shares issued at March 31, 2020 and December 31, 2019
Common stock, $0.01 par value, 500,000 shares authorized, 130,371 and 134,394 shares issued at March 31, 2020 and December 31, 2019, respectively, and additional paid-in capital

 

1,304

 

 

16,692

 

Retained earnings

 

1,886,753

 

 

2,020,686

 

Accumulated other comprehensive loss

 

(183,477

)

 

(165,945

)

Total shareholders' equity

 

1,704,580

 

 

1,871,433

 

 
Total liabilities and shareholders' equity

$

3,122,237

 

$

3,137,541

 

 
FLIR SYSTEMS, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)(Unaudited)
 
Three Months Ended
March 31,

2020

2019

 
Cash flows provided by operating activities:
Net earnings

$

15,424

 

$

61,748

 

Adjustments to reconcile net earnings to net cash provided by operating activities:
Depreciation and amortization

 

24,225

 

 

16,662

 

Stock-based compensation

 

7,646

 

 

8,090

 

Loss on disposal of assets

 

2,991

 

 

-

 

Deferred income taxes

 

(165

)

 

222

 

Other, net

 

(3,152

)

 

(1,328

)

Increase (decrease) in cash, net of acquisitions, resulting from changes in:
Accounts receivable

 

12,118

 

 

(25,771

)

Inventories

 

(14,453

)

 

(17,472

)

Prepaid expenses and other current assets

 

382

 

 

1,944

 

Other assets

 

(391

)

 

3,659

 

Accounts payable

 

1,592

 

 

26,019

 

Deferred revenue

 

2,140

 

 

(4,531

)

Accrued payroll and other liabilities

 

11,084

 

 

(8,057

)

Accrued income taxes

 

(6,259

)

 

(1,722

)

Other long term liabilities

 

(2,316

)

 

(3,952

)

Net cash provided by operating activities

 

50,866

 

 

55,511

 

 
Cash flows from investing activities:
Additions to property and equipment, net

 

(12,717

)

 

(9,140

)

Proceeds from sale of assets

 

-

 

 

2,973

 

Business acquisitions, net of cash acquired

 

-

 

 

(579,556

)

Minority interest and other investments

 

-

 

 

(5,000

)

Net cash used in investing activities

 

(12,717

)

 

(590,723

)

 
Cash flows from financing activities:
Net proceeds from credit facility and long-term debt, including current portion

 

175,000

 

 

723,054

 

Repayment of credit facility and long-term debt

 

(3,021

)

 

(375,000

)

Repurchase of common stock

 

(150,000

)

 

(24,998

)

Dividends paid

 

(22,728

)

 

(23,031

)

Proceeds from shares issued pursuant to stock-based compensation plans

 

1,459

 

 

9,721

 

Tax paid for net share exercises and issuance of vested restricted stock units

 

(879

)

 

(1,013

)

Other financing activities

 

-

 

 

(419

)

Net cash (used in) provided by financing activities:

 

(169

)

 

308,314

 

 
Effect of exchange rate changes on cash and cash equivalents

 

(13,957

)

 

(883

)

 
Net increase (decrease) in cash and cash equivalents

 

24,023

 

 

(227,781

)

Cash and cash equivalents, beginning of period

 

284,592

 

 

512,144

 

Cash and cash equivalents, end of period

$

308,615

 

$

284,363

 

 
FLIR SYSTEMS, INC.
SEGMENT PERFORMANCE
(In thousands)(Unaudited)
 
Three Months Ended
March 31,

2020

2019

SEGMENT REVENUE
Industrial Technologies Segment

$

276,415

 

$

271,386

 

Defense Technologies Segment

 

174,508

 

 

173,350

 

 
SEGMENT EARNINGS FROM OPERATIONS
Industrial Technologies Segment

$

64,265

 

$

69,019

 

Defense Technologies Segment

 

33,154

 

 

46,890

 

 
SEGMENT OPERATING MARGIN
Industrial Technologies Segment

 

23.2

%

 

25.4

%

Defense Technologies Segment

 

19.0

%

 

27.0

%

 
Note: The Company made certain reclassifications to the prior years' financial statements to conform them to the presentation as of and for the three months ended March 31, 2020 that management has determined had no material effect for the periods presented.
FLIR SYSTEMS, INC.
GAAP TO NON-GAAP RECONCILIATION
(In thousands, except per share amounts)(Unaudited)
 
Three Months Ended March 31, 2020
 
As Report Separation, transaction, and integration costs Amortization of acquired intangibles assets Restructuring expenses and asset impairment charges Discrete legal and compliance matters Discrete tax items Adjusted Non-GAAP Results

Gross profit

$

219,368

 

$

738

 

$

9,385

 

$

-

 

$

-

 

$

-

 

$

229,491

 

Operating expenses

 

(190,873

)

 

4,514

 

 

2,511

 

 

20,784

 

 

9,081

 

 

-

 

 

(153,983

)

Earnings from operations

 

28,495

 

 

5,252

 

 

11,896

 

 

20,784

 

 

9,081

 

 

-

 

 

75,508

 

Non-operating expense, net

 

(5,297

)

 

-

 

 

-

 

 

-

 

 

-

 

 

-

 

 

(5,297

)

Earnings before income taxes

 

23,198

 

 

5,252

 

 

11,896

 

 

20,784

 

 

9,081

 

 

-

 

 

70,211

 

Income tax provision

 

(7,774

)

 

(998

)

 

(2,260

)

 

(3,949

)

 

(1,725

)

 

3,366

 

 

(13,340

)

Net earnings

$

15,424

 

$

4,254

 

$

9,636

 

$

16,835

 

$

7,356

 

$

3,366

 

$

56,871

 

 

Gross margin

 

48.6

%

 

0.2

%

 

2.1

%

 

0.0

%

 

0.0

%

 

0.0

%

 

50.9

%

Operating margin

 

6.3

%

 

1.2

%

 

2.6

%

 

4.6

%

 

2.0

%

 

0.0

%

 

16.7

%

 

Net earnings per diluted share

$

0.11

 

$

0.03

 

$

0.07

 

$

0.12

 

$

0.05

 

$

0.02

 

$

0.42

 

Weighted average diluted shares outstanding

 

134,927

 

 

134,927

 

 

134,927

 

 

134,927

 

 

134,927

 

 

134,927

 

 

134,927

 

 
 
Three Months Ended March 31, 2019
 
As Report Separation, transaction, and integration costs Amortization of acquired intangibles assets Restructuring expenses and asset impairment charges Discrete legal and compliance matters Discrete tax items Adjusted Non-GAAP Results
Gross profit

$

233,861

 

$

-

 

$

3,678

 

$

-

 

$

-

 

$

-

 

$

237,539

 

Operating expenses

 

(152,779

)

 

6,477

 

 

2,250

 

 

609

 

 

3,342

 

 

-

 

 

(140,101

)

Earnings from operations

 

81,082

 

 

6,477

 

 

5,928

 

 

609

 

 

3,342

 

 

-

 

 

97,438

 

Non-operating expense, net

 

(6,325

)

 

-

 

 

-

 

 

-

 

 

-

 

 

-

 

 

(6,325

)

Earnings before income taxes

 

74,757

 

 

6,477

 

 

5,928

 

 

609

 

 

3,342

 

 

-

 

 

91,113

 

Income tax provision

 

(13,009

)

 

(1,328

)

 

(1,215

)

 

(125

)

 

(685

)

 

(2,316

)

 

(18,678

)

Net earnings

$

61,748

 

$

5,149

 

$

4,713

 

$

484

 

$

2,657

 

$

(2,316

)

$

72,435

 

 
Gross margin

 

52.6

%

 

0.0

%

 

0.8

%

 

0.0

%

 

0.0

%

 

0.0

%

 

53.4

%

Operating margin

 

18.2

%

 

1.5

%

 

1.3

%

 

0.1

%

 

0.8

%

 

0.0

%

 

21.9

%

 
Net earnings per diluted share

$

0.45

 

$

0.04

 

$

0.03

 

$

0.00

 

$

0.02

 

$

(0.02

)

$

0.53

 

Weighted average diluted shares outstanding

 

137,165

 

 

137,165

 

 

137,165

 

 

137,165

 

 

137,165

 

 

137,165

 

 

137,165

 

 
Note: The Company made certain reclassifications to the prior years' financial statements to conform them to the presentation as of and for the three months ended March 31, 2020 that management has determined had no material effect for the periods presented.

 

Contacts

Investor Relations
Lasse Glassen
Addo Investor Relations
Investors@flir.com
(424) 238-6249

Release Summary

FLIR Systems Announces First Quarter 2020 Financial Results

Contacts

Investor Relations
Lasse Glassen
Addo Investor Relations
Investors@flir.com
(424) 238-6249