Pitney Bowes Announces Fourth Quarter and Full Year 2020 Financial Results

STAMFORD, Conn.--()--Pitney Bowes Inc. (NYSE: PBI), a global technology company that provides commerce solutions in the areas of ecommerce, shipping, mailing and financial services, today announced its financial results for the fourth quarter and full year 2020.

"The fourth quarter was a remarkable ending to an extraordinary year,” said Marc B. Lautenbach, President and CEO, Pitney Bowes. “Revenue growth was the highest modern day, organic growth rate on-record for us.

“We have been on a journey to transform the business,” Lautenbach continued. “Even with the tremendous uncertainty in our economy and how the pandemic will play out, we are now poised to enter this next chapter of our transformation, profitable revenue growth. While I am proud of what the team has accomplished, we all recognize there is more work to do and we are ready.”

Fourth Quarter 2020

  • Revenue of $1.0 billion, growth of 24 percent on a reported basis and 23 percent excluding the impact of currency
  • GAAP EPS of $0.11; Adjusted EPS of $0.13
  • EPS reflects $0.03 in tax benefits primarily related to deferred tax balances in certain international tax jurisdictions.
  • GAAP cash from operations of $111 million; free cash flow of $97 million
  • The Company reduced debt by $31 million.
  • Shipping-related revenues represented 54 percent of total revenue.
  • Global Ecommerce revenue exceeded $500 million for the first time, representing growth of 60 percent over prior year.
  • Global Ecommerce EBIT dollars and margin improved from prior quarter and over prior year, with positive EBITDA in the quarter.
  • Presort Services revenue improved from prior quarter and was flat to prior year.
  • SendTech grew revenue, EBIT and EBITDA dollars from prior quarter and over prior year.
  • SendTech shipping revenue was $35 million and grew at a double-digit rate.

Full Year 2020

  • Revenue of $3.6 billion, growth of 11 percent
  • GAAP EPS loss of $1.06; Adjusted EPS of $0.30
  • GAAP cash from operations of $298 million; free cash flow of $279 million
  • The Company ended the year with $940 million in cash and short term investments.
  • The Company reduced debt by $175 million.
  • Shipping-related revenues represented 50 percent of total revenue.
  • Global Ecommerce revenue of $1.6 billion, representing growth of 41 percent.
  • Presort Services processed a total of 16.7 billion pieces.
  • SendTech shipped 20,000 units of the SendPro Mailstation since launching in April.

Earnings per share results are summarized in the table below:

 

Fourth Quarter

Full Year

 

2020

 

2019

2020

 

2019

GAAP EPS

$

0.11

 

$

1.03

 

($

1.06

)

$

1.10

 

Discontinued Operations

($

0.01

)

($

0.98

)

($

0.06

)

($

0.87

)

GAAP EPS from Continuing Operations

$

0.09

 

$

0.05

 

($

1.12

)

$

0.23

 

Goodwill Impairment

 

-

 

 

-

 

$

1.13

 

 

-

 

Loss on Extinguishment of Debt

 

-

 

$

0.03

 

$

0.16

 

$

0.03

 

Restructuring Charges and Asset Impairments

$

0.04

 

$

0.06

 

$

0.09

 

$

0.30

 

Tax on Settlement of Investment Securities

 

-

 

 

-

 

$

0.07

 

 

-

 

Loss on Dispositions and Transaction Costs

 

-

 

$

0.01

 

 

-

 

$

0.13

 

Gain on Sale of an Equity Investment

 

-

 

 

-

 

($

0.05

)

 

-

 

Adjusted EPS

$

0.13

 

$

0.14

 

$

0.30

 

$

0.68

 

* The sum of the earnings per share may not equal the totals due to rounding.

Business Segment Reporting

The Commerce Services group includes the Global Ecommerce and Presort Services segments. Global Ecommerce facilitates domestic retail and ecommerce shipping solutions, including fulfillment and returns, and global cross-border ecommerce transactions. Presort Services provides sortation services to qualify large volumes of First Class Mail, Marketing Mail, Marketing Mail Flats and Bound Printed Matter for postal workshare discounts.

The Sending Technology Solutions segment offers physical and digital mailing and shipping technology solutions, financing, services, supplies and other applications for small and medium businesses to help simplify and save on the sending, tracking and receiving of letters, parcels and flats.

The sum of the segment results may not equal the totals due to rounding.

Commerce Services

 

Fourth Quarter

($ millions)

 

 

2020

 

 

2019

 

 

B/(W)

Reported

 

B/(W) Ex

Currency

Revenue

 

 

 

 

Global Ecommerce

$518

 

$324

 

60%

 

60%

Presort Services

135

 

135

 

0%

 

0%

Commerce Services

$653

 

$459

 

42%

 

42%

 

 

 

 

 

 

 

 

EBITDA

 

 

 

 

 

 

 

Global Ecommerce

$3

 

$0

 

>100%

 

 

Presort Services

21

 

30

 

(30%)

 

 

Commerce Services

$24

 

$30

 

(20%)

 

 

 

 

 

 

 

 

 

 

EBIT

 

 

 

 

 

 

 

Global Ecommerce

($15)

 

($18)

 

19%

 

 

Presort Services

13

 

22

 

(42%)

 

 

Commerce Services

($2)

 

$4

 

>(100%)

 

 

Global Ecommerce

Revenue benefited from growth in volumes in Domestic Parcel, Cross Border and Digital Delivery Services. EBIT and EBITDA benefitted from the increased demand and a peak surcharge, offset by higher costs, particularly around postal, transportation and labor.

Presort Services

Revenue was flat to prior year driven by flat First Class revenue, a decline in Marketing Mail and growth in Marketing Mail Flats and Bound Printed Matter. EBIT and EBITDA margins were relatively in line with prior quarters. Compared to prior year, EBIT and EBITDA declined largely due to higher medical claims and increased labor costs as well as Covid-related direct costs.

SendTech Solutions

 

Fourth Quarter

($ millions)

 

 

2020

 

 

2019

 

 

B/(W)

Reported

 

B/(W) Ex

Currency

Revenue

 

 

$376

 

 

$372

 

 

1%

 

0%

EBITDA

 

 

$126

 

 

$122

 

 

4%

 

 

EBIT

 

 

$118

 

 

$112

 

 

5%

 

 

Revenue growth over prior year driven by equipment sales and business services, partly offset by declines in support services, supplies and financing revenues. EBIT and EBITDA margins improved from prior year driven largely by lower expenses.

2021 Expectations

The Company expects annual revenue to grow over prior year in the low-to-mid single digit range, making 2021 the fifth consecutive year of constant currency growth. The Company expects adjusted EPS to grow over prior year. The Company also expects lower free cash flow primarily due to the changes in certain working capital items that benefitted 2020 and are not expected to continue at the same level in 2021.

Conference Call and Webcast

Management of Pitney Bowes will discuss the Company’s results in a broadcast over the Internet today at 8:00 a.m. EST. Instructions for listening to the earnings results via the Web are available on the Investor Relations page of the Company’s web site at www.pitneybowes.com.

About Pitney Bowes

Pitney Bowes (NYSE:PBI) is a global technology company providing commerce solutions that power billions of transactions. Clients around the world, including 90 percent of the Fortune 500, rely on the accuracy and precision delivered by Pitney Bowes solutions, analytics, and APIs in the areas of ecommerce fulfillment, shipping and returns; cross-border ecommerce; office mailing and shipping; presort services; and financing. For 100 years, Pitney Bowes has been innovating and delivering technologies that remove the complexity of getting commerce transactions precisely right. For additional information visit Pitney Bowes, the Craftsmen of Commerce, at www.pitneybowes.com.

Use of Non-GAAP Measures

The Company's financial results are reported in accordance with generally accepted accounting principles (GAAP); however, in its disclosures the Company uses certain non-GAAP measures, such as adjusted earnings before interest and taxes (EBIT), adjusted earnings before interest, taxes, depreciation and amortization (EBITDA), adjusted earnings per share (EPS), revenue growth on a constant currency basis and free cash flow.

The Company reports measures such as adjusted EBIT, adjusted EBITDA and adjusted EPS to exclude the impact of items like discontinued operations, restructuring charges, gains, losses and costs related to acquisitions and dispositions, asset impairment charges, goodwill impairment charges and other unusual or one-time items. While these are actual Company income or expenses, they can mask underlying trends associated with its business. Such items are often inconsistent in amount and frequency and as such, the non-GAAP measures provide investors greater insight into the underlying operating trends of the business.

In addition, revenue growth is presented on a constant currency basis to exclude the impact of changes in foreign currency exchange rates since the prior period under comparison. Constant currency is calculated by converting the current period non-U.S. dollar denominated revenue using the prior year’s exchange rate for the comparable quarter. We believe that excluding the impacts of currency exchange rates provides investors a better understanding of the underlying revenue performance. A reconciliation of reported revenue to constant currency revenue can be found in the attached financial schedules.

The Company reports free cash flow in order to provide investors insight into the amount of cash that management could have available for other discretionary uses. Free cash flow adjusts GAAP cash from operations for cash flows of discontinued operations, capital expenditures, restructuring payments, changes in customer deposits held at the Pitney Bowes Bank, transaction costs and other special items. A reconciliation of GAAP cash from operations to free cash flow can be found in the attached financial schedules.

Segment EBIT is the primary measure of profitability and operational performance at the segment level. Segment EBIT is determined by deducting from segment revenue the related costs and expenses attributable to the segment. Segment EBIT excludes interest, taxes, general corporate expenses not allocated to a particular business segment, restructuring charges and goodwill and asset impairments, which are recognized on a consolidated basis. The Company also provides segment EBITDA, which further excludes depreciation and amortization expense for the segment, as an additional useful measure of segment profitability and operational performance. A reconciliation of segment EBIT and EBITDA to net income can be found in the attached financial schedules.

Pitney Bowes has provided a quantitative reconciliation to GAAP in supplemental schedules. This information can be found at the Company's web site www.pb.com/investorrelations.

This document contains “forward-looking statements” about the Company’s expected or potential future business and financial performance. Forward-looking statements include, but are not limited to, statements about its future revenue and earnings guidance and other statements about future events or conditions. Forward-looking statements are not guarantees of future performance and involve risks and uncertainties that could cause actual results to differ materially from those projected. These risks and uncertainties include the severity, magnitude and duration of the Covid-19 pandemic (Covid-19), including governments' responses to Covid-19, the efficacy and availability of a vaccine, its continuing impact on our operations, employees, the availability and cost of labor and transportation, global supply chain and demand across our and our clients' businesses as well as any deterioration or instability in global macroeconomic conditions. Other factors, which could cause future financial performance to differ materially from expectations, and which may also be exacerbated by Covid-19 or a negative change in the economy, include, without limitation: declining physical mail volumes; changes in postal regulations or operations, or the financial health of posts in the U.S. or other major markets or significant changes to the broader postal or shipping industry; changes in our contractual relationships with the United States Postal Service (USPS) or USPS’ performance under those contracts; our ability to continue to grow and manage volumes, gain additional economies of scale and improve profitability within our Commerce Services group; changes in labor and transportation availability and costs; third-party suppliers' ability to provide products and services required by us and our clients; competitive factors, including pricing pressures, technological developments and the introduction of new products and services by competitors; the loss of some of our larger clients in our Commerce Services group; expenses and potential impacts resulting from a breach of security, including cyber-attacks or other comparable events; our success at managing customer credit risk; and other factors as more fully outlined in the Company's 2019 Form 10-K Annual Report and other reports filed with the Securities and Exchange Commission. Pitney Bowes assumes no obligation to update any forward-looking statements contained in this document as a result of new information, events or developments.

Note: Consolidated statements of income; revenue, EBIT and EBITDA by business segment; and reconciliations of GAAP to non-GAAP measures for the three months and twelve months ended December 31, 2020 and 2019, and consolidated balance sheets at December 31, 2020 and December 31, 2019 are attached.

Pitney Bowes Inc.
Consolidated Statements of Income (Loss)
(Unaudited; in thousands, except per share amounts)
 
Three months ended December 31, Twelve months ended December 31,

2020

 

2019

 

2020

 

2019

Revenue:
Business services

$

666,983

 

$

467,192

 

$

2,191,306

 

$

1,710,801

 

Support services

 

119,972

 

 

123,609

 

 

473,292

 

 

506,187

 

Financing

 

80,276

 

 

88,051

 

 

341,034

 

 

368,090

 

Equipment sales

 

101,200

 

 

87,148

 

 

314,882

 

 

352,104

 

Supplies

 

41,165

 

 

45,026

 

 

159,282

 

 

187,287

 

Rentals

 

18,821

 

 

20,317

 

 

74,279

 

 

80,656

 

Total revenue

 

1,028,417

 

 

831,343

 

 

3,554,075

 

 

3,205,125

 

 
Costs and expenses:
Cost of business services

 

592,137

 

 

386,086

 

 

1,904,078

 

 

1,389,569

 

Cost of support services

 

35,856

 

 

38,847

 

 

149,988

 

 

162,300

 

Financing interest expense

 

12,108

 

 

11,215

 

 

48,162

 

 

44,648

 

Cost of equipment sales

 

71,671

 

 

62,116

 

 

236,716

 

 

244,210

 

Cost of supplies

 

10,928

 

 

12,349

 

 

41,679

 

 

49,882

 

Cost of rentals

 

7,145

 

 

8,307

 

 

25,600

 

 

31,530

 

Selling, general and administrative

 

242,441

 

 

246,761

 

 

963,323

 

 

1,003,989

 

Research and development

 

9,546

 

 

12,837

 

 

38,384

 

 

51,258

 

Restructuring charges and asset impairments

 

8,207

 

 

12,990

 

 

20,712

 

 

69,606

 

Goodwill impairment

 

-

 

 

-

 

 

198,169

 

 

-

 

Interest expense, net

 

26,249

 

 

26,585

 

 

105,753

 

 

110,910

 

Other components of net pension and postretirement (income) expense

 

(1,834

)

 

(1,087

)

 

(1,708

)

 

(4,225

)

Other (income) expense

 

(1,636

)

 

5,956

 

 

8,151

 

 

24,306

 

Total costs and expenses

 

1,012,818

 

 

822,962

 

 

3,739,007

 

 

3,177,983

 

 
Income (loss) from continuing operations before taxes

 

15,599

 

 

8,381

 

 

(184,932

)

 

27,142

 

(Benefit) provision for income taxes

 

(813

)

 

344

 

 

6,727

 

 

(13,007

)

Income (loss) from continuing operations

 

16,412

 

 

8,037

 

 

(191,659

)

 

40,149

 

Income from discontinued operations, net of tax

 

2,467

 

 

168,659

 

 

10,115

 

 

154,460

 

Net income (loss)

$

18,879

 

$

176,696

 

$

(181,544

)

$

194,609

 

 
Basic earnings (loss) per share (1):

Continuing operations

$

0.10

 

$

0.05

 

$

(1.12

)

$

0.23

 

Discontinued operations

 

0.01

 

 

0.99

 

 

0.06

 

 

0.88

 

Net income (loss)

$

0.11

 

$

1.04

 

$

(1.06

)

$

1.10

 

 
Diluted earnings (loss) per share (1):
Continuing operations

$

0.09

 

$

0.05

 

$

(1.12

)

$

0.23

 

Discontinued operations

 

0.01

 

 

0.98

 

 

0.06

 

 

0.87

 

Net income (loss)

$

0.11

 

$

1.03

 

$

(1.06

)

$

1.10

 

 
Weighted-average shares used in diluted earnings per share

 

176,835

 

 

171,659

 

 

171,519

 

 

177,449

 

 

(1) The sum of the earnings per share amounts may not equal the totals due to rounding.

Pitney Bowes Inc.
Consolidated Balance Sheets
(Unaudited; in thousands)
 
Assets December 31, 2020 December 31, 2019
Current assets:
Cash and cash equivalents

$

921,450

 

$

924,442

 

Short-term investments

 

18,974

 

 

115,879

 

Accounts and other receivables, net

 

389,240

 

 

373,471

 

Short-term finance receivables, net

 

568,050

 

 

629,643

 

Inventories

 

65,845

 

 

68,251

 

Current income taxes

 

23,219

 

 

5,565

 

Other current assets and prepayments

 

120,145

 

 

101,601

 

Assets of discontinued operations

 

-

 

 

17,229

 

Total current assets

 

2,106,923

 

 

2,236,081

 

 
Property, plant and equipment, net

 

391,280

 

 

376,177

 

Rental property and equipment, net

 

38,435

 

 

41,225

 

Long-term finance receivables, net

 

605,292

 

 

625,487

 

Goodwill

 

1,152,285

 

 

1,324,179

 

Intangible assets, net

 

159,839

 

 

190,640

 

Operating lease assets

 

201,916

 

 

200,752

 

Noncurrent income taxes

 

72,653

 

 

71,903

 

Other assets

 

489,201

 

 

400,456

 

Total assets

$

5,217,824

 

$

5,466,900

 

 
Liabilities and stockholders' equity
Current liabilities:
Accounts payable and accrued liabilities

$

878,303

 

$

793,690

 

Customer deposits at Pitney Bowes Bank

 

617,200

 

 

591,118

 

Current operating lease liabilities

 

39,182

 

 

36,060

 

Current portion of long-term debt

 

216,032

 

 

20,108

 

Advance billings

 

114,550

 

 

101,920

 

Current income taxes

 

2,880

 

 

17,083

 

Liabilities of discontinued operations

 

-

 

 

9,713

 

Total current liabilities

 

1,868,147

 

 

1,569,692

 

 
Long-term debt

 

2,348,361

 

 

2,719,614

 

Deferred taxes on income

 

279,451

 

 

274,435

 

Tax uncertainties and other income tax liabilities

 

38,163

 

 

38,834

 

Noncurrent operating lease liabilities

 

180,292

 

 

177,711

 

Other noncurrent liabilities

 

437,015

 

 

400,518

 

Total liabilities

 

5,151,429

 

 

5,180,804

 

 
Stockholders' equity:

Common stock

 

323,338

 

 

323,338

 

Additional paid-in-capital

 

68,502

 

 

98,748

 

Retained earnings

 

5,201,195

 

 

5,438,930

 

Accumulated other comprehensive loss

 

(839,131

)

 

(840,143

)

Treasury stock, at cost

 

(4,687,509

)

 

(4,734,777

)

Total stockholders' equity

 

66,395

 

 

286,096

 

Total liabilities and stockholders' equity

$

5,217,824

 

$

5,466,900

 

Pitney Bowes Inc.
Business Segment Revenue  
(Unaudited; in thousands)
 

Three months ended December 31,

 

Twelve months ended December 31,

2020

 

2019

 

% Change

 

2020

 

2019

 

% Change

 
Global Ecommerce

$

518,140

 

$

323,942

 

60

%

$

1,618,897

 

$

1,151,510

 

41

%

Presort Services

 

134,660

 

 

135,120

 

-

 

 

521,212

 

 

529,588

 

(2

%)

Commerce Services

 

652,800

 

 

459,062

 

42

%

 

2,140,109

 

 

1,681,098

 

27

%

 
Sending Technology Solutions

 

375,617

 

 

372,281

 

1

%

 

1,413,966

 

 

1,524,027

 

(7

%)

Total revenue - GAAP

 

1,028,417

 

 

831,343

 

24

%

 

3,554,075

 

 

3,205,125

 

11

%

Currency impact on revenue

 

(3,980

)

 

-

 

 

(1,467

)

 

-

 

Revenue, at constant currency

$

1,024,437

 

$

831,343

 

23

%

$

3,552,608

 

$

3,205,125

 

11

%

Pitney Bowes Inc.
Business Segment EBIT & EBITDA  
(Unaudited; in thousands)
 
Three months ended December 31,

2020

2019

% change
EBIT (1) D&A EBITDA EBIT (1) D&A EBITDA EBIT EBITDA
 
Global Ecommerce

$

(14,768

)

$

17,490

$

2,722

 

$

(18,177

)

$

17,687

$

(490

)

19

%

>100%
Presort Services

 

13,041

 

 

8,107

 

21,148

 

 

22,478

 

 

7,765

 

30,243

 

(42

%)

(30

%)

Commerce Services

 

(1,727

)

 

25,597

 

23,870

 

 

4,301

 

 

25,452

 

29,753

 

>(100%)

(20

%)

 
Sending Technology Solutions

 

117,656

 

 

8,545

 

126,201

 

 

112,227

 

 

9,411

 

121,638

 

5

%

4

%

 
Segment total

$

115,929

 

$

34,142

 

150,071

 

$

116,528

 

$

34,863

 

151,391

 

(1

%)

(1

%)

 
Reconciliation of Segment EBITDA to Net Income:  
Segment depreciation and amortization

 

(34,142

)

 

(34,863

)

Interest, net

 

(38,357

)

 

(37,800

)

Unallocated corporate expenses (2)

 

(53,766

)

 

(51,246

)

Restructuring charges and asset impairments  

 

(8,207

)

 

(12,990

)

Loss on debt extinguishment

 

-

 

 

(5,956

)

Transaction costs

 

-

 

 

(155

)

Benefit (provision) for income taxes

 

813

 

 

(344

)

Income from continuing operations

 

16,412

 

 

8,037

 

Income from discontinued operations, net of tax  

 

2,467

 

 

168,659

 

Net income

$

18,879

 

$

176,696

 

 
 
 
Twelve months ended December 31,

2020

2019

% change
EBIT (1) D&A EBITDA EBIT (1) D&A EBITDA EBIT EBITDA
 
Global Ecommerce

$

(82,894

)

$

69,676

$

(13,218

)

$

(70,146

)

$

68,385

$

(1,761

)

(18

%)

>(100%)
Presort Services

 

55,799

 

 

31,769

 

87,568

 

 

70,693

 

 

29,440

 

100,133

 

(21

%)

(13

%)

Commerce Services

 

(27,095

)

 

101,445

 

74,350

 

 

547

 

 

97,825

 

98,372

 

>(100%)

(24

%)

 
Sending Technology Solutions

 

441,085

 

 

34,316

 

475,401

 

 

490,322

 

 

39,758

 

530,080

 

(10

%)

(10

%)

 
Segment Total

$

413,990

 

$

135,761

 

549,751

 

$

490,869

 

$

137,583

 

628,452

 

(16

%)

(13

%)

 
Reconciliation of Segment EBITDA to Net (Loss) Income:
Segment depreciation and amortization

 

(135,761

)

 

(137,583

)

Interest, net

 

(153,915

)

 

(155,558

)

Unallocated corporate expenses (2)

 

(200,406

)

 

(211,529

)

Restructuring charges and asset impairments  

 

(20,712

)

 

(69,606

)

Goodwill impairment

 

(198,169

)

 

-

 

Gain on sale of equity investment

 

11,908

 

 

-

 

Loss on debt extinguishment

 

(36,987

)

 

(6,623

)

Loss on dispositions and transaction costs

 

(641

)

 

(20,411

)

(Provision) benefit for income taxes

 

(6,727

)

 

13,007

 

(Loss) income from continuing operations

 

(191,659

)

 

40,149

 

Income from discontinued operations, net of tax  

 

10,115

 

 

154,460

 

Net (loss) income

$

(181,544

)

$

194,609

 

(1) Segment EBIT excludes interest, taxes, general corporate expenses, restructuring charges, and other items that are not allocated to a particular business segment.
(2) Includes corporate depreciation and amortization expense of $6,080 and $5,765 for the three months ended December 31, 2020 and 2019, respectively and $24,864 and $21,559 for the twelve months ended December 31, 2020 and 2019, respectively.
Pitney Bowes Inc.
Reconciliation of Reported Consolidated Results to Adjusted Results
(Unaudited; in thousands, except per share amounts)
 

Three months ended

December 31,

Twelve months ended

December 31,

2020

 

2019

 

2020

 

2019

 
Reconciliation of reported net income (loss) to adjusted net income, adjusted EBIT and adjusted EBITDA
Net income (loss)

$

18,879

 

$

176,696

 

$

(181,544

)

$

194,609

 

Income from discontinued operations, net of tax

 

(2,467

)

 

(168,659

)

 

(10,115

)

 

(154,460

)

Restructuring charges and asset impairments

 

7,148

 

 

10,719

 

 

15,641

 

 

52,427

 

Goodwill impairment

 

-

 

 

-

 

 

196,600

 

 

-

 

Gain on sale of equity investment

 

-

 

 

-

 

 

(8,943

)

 

-

 

Tax on surrender of company owned life insurance policies

 

-

 

 

-

 

 

12,229

 

 

-

 

Loss on debt extinguishment

 

-

 

 

4,464

 

 

27,777

 

 

4,961

 

Loss on dispositions and transaction costs

 

-

 

 

999

 

 

487

 

 

22,313

 

Adjusted net income

 

23,560

 

 

24,219

 

 

52,132

 

 

119,850

 

Interest, net

 

38,357

 

 

37,800

 

 

153,915

 

 

155,558

 

Provision for income taxes, as adjusted

 

246

 

 

3,264

 

 

7,537

 

 

3,933

 

Adjusted EBIT

 

62,163

 

 

65,283

 

 

213,584

 

 

279,341

 

Depreciation and amortization

 

40,222

 

 

40,628

 

 

160,625

 

 

159,142

 

Adjusted EBITDA

$

102,385

 

$

105,911

 

$

374,209

 

$

438,483

 

 
Reconciliation of reported diluted earnings (loss) per share to adjusted diluted earnings per share
Diluted earnings (loss) per share

$

0.11

 

$

1.03

 

$

(1.06

)

$

1.10

 

Diluted earnings per share - discontinued operations

 

(0.01

)

 

(0.98

)

 

(0.06

)

 

(0.87

)

Restructuring charges and asset impairments

 

0.04

 

 

0.06

 

 

0.09

 

 

0.30

 

Goodwill impairment

 

-

 

 

-

 

 

1.13

 

 

-

 

Gain on sale of equity investment

 

-

 

 

-

 

 

(0.05

)

 

-

 

Tax on settlement of investment securities

 

-

 

 

-

 

 

0.07

 

 

-

 

Loss on debt extinguishment

 

-

 

 

0.03

 

 

0.16

 

 

0.03

 

Loss on dispositions and transaction costs

 

-

 

 

0.01

 

 

-

 

 

0.13

 

Adjusted diluted earnings per share

$

0.13

 

$

0.14

 

$

0.30

 

$

0.68

 

 
Note: The sum of the earnings per share amounts may not equal the totals due to rounding.
 
Reconciliation of reported net cash from operating activities to free cash flow
Net cash provided by operating activities

$

110,777

 

$

84,479

 

$

297,887

 

$

271,961

 

Net cash (provided by) used in operating activities - discontinued operations

 

(511

)

 

6,587

 

 

37,912

 

 

(9,272

)

Capital expenditures

 

(24,201

)

 

(42,032

)

 

(104,988

)

 

(137,253

)

Restructuring payments

 

4,145

 

 

8,303

 

 

20,014

 

 

27,148

 

Change in customer deposits at PB Bank

 

6,618

 

 

13,216

 

 

26,082

 

 

16,341

 

Transaction costs paid

 

-

 

 

10,463

 

 

2,117

 

 

19,488

 

Free cash flow

$

96,828

 

$

81,016

 

$

279,024

 

$

188,413

 

 

Contacts

Editorial -
Bill Hughes
Chief Communications Officer
203/351-6785

Financial -
Adam David
VP, Investor Relations
203/351-7175

Contacts

Editorial -
Bill Hughes
Chief Communications Officer
203/351-6785

Financial -
Adam David
VP, Investor Relations
203/351-7175