EAST AURORA, N.Y.--(BUSINESS WIRE)--Moog Inc. (NYSE: MOG.A and MOG.B), a worldwide designer, manufacturer and systems integrator of high-performance precision motion and fluid controls and control systems, today reported fiscal third quarter 2024 diluted earnings per share of $1.74 and adjusted diluted earnings per share of $1.91.
"We delivered a solid performance in the third quarter of 2024, with significant improvements in our financial results," said Pat Roche, CEO. "Our teams continue to execute well, driving both top-line growth and margin expansion across our businesses. Our commitment to achieving our Investor Day targets remains strong, with clear progress in our pricing and simplification initiatives. With this momentum we are confident in our continued success and growth."
(in millions, except per share results) | Three Months Ended | ||||||||
Q3 2024 | Q3 2023 | Deltas | |||||||
Net sales | $ | 905 | $ | 850 | 6 | % | |||
Operating margin | 11.6 | % | 9.9 | % | 170 bps | ||||
Adjusted operating margin | 12.3 | % | 10.2 | % | 210 bps | ||||
Diluted net earnings per share | $ | 1.74 | $ | 1.32 | 32 | % | |||
Adjusted diluted net earnings per share | $ | 1.91 | $ | 1.37 | 39 | % | |||
Net cash provided by operating activities | $ | 30 | $ | 16 | $ | 14 | |||
Free cash flow | $ | (2 | ) | $ | (19 | ) | $ | 17 | |
See the reconciliations of adjusted financial results and free cash flow to reported results included in the financial statements herein for the quarters ended June 29, 2024 and July 1, 2023. | |||||||||
Quarter Highlights
- Net sales of $905 million increased 6% compared to the prior year's quarter, with increases in our aerospace and defense businesses, while Industrial was slightly down.
- Operating margin of 11.6% increased 170 basis points, driven by improved performance in Space and Defense, Commercial Aircraft and Military Aircraft, while Industrial declined 130 basis points.
- Adjusted operating margin of 12.3% increased 210 basis points, reflecting improved business performance across all segments.
- Diluted earnings per share of $1.74 increased 32% due to higher operating profit, partially offset by restructuring charges and a higher tax rate.
- Adjusted diluted earnings per share of $1.91 increased 39%, driven by operating margin expansion and incremental profit from higher sales.
- Free cash flow improved by $17 million as compared to last year.
Quarter Results
Sales in the third quarter of 2024 increased compared to the third quarter of 2023, with notable growth in Military Aircraft, Space and Defense and Commercial Aircraft. Military Aircraft sales increased 18% to $207 million due to the ramp of the FLRAA program and other OEM production programs. Space and Defense sales increased 7% to $258 million driven by strong U.S. and European defense demand. Commercial Aircraft sales increased 6% to $189 million due to the increased production in our widebody business. Industrial segment sales decreased 1% to $250 million due to a slowdown in orders for industrial automation applications, partially offset by higher product demand in other markets.
Operating margin increased 170 basis points to 11.6% in the third quarter of 2024 compared to the third quarter of 2023. Space and Defense operating margin increased 490 basis points to 12.6% due to improved performance on space vehicle development programs. Commercial Aircraft operating margin increased 190 basis points to 12.9%, driven by higher sales volume and pricing initiatives, as well as mix. Military Aircraft operating margin increased 130 basis points to 11.6%, driven by cost absorption on the FLRAA program. Industrial operating margin decreased 130 basis points to 9.8%, impacted by higher restructuring and inventory write-down charges.
Adjusted operating margin in the third quarter of 2024 increased 210 basis points to 12.3% compared to the third quarter of 2023. The only segment with significant adjustments was Industrial, whose adjusted operating margin increased as the benefits of pricing more than offset an unfavorable sales mix and planned product transfers.
Twelve-month backlog remains robust, increasing 7% to $2.5 billion, driven by strong product demand across the aerospace and defense businesses.
Free cash flow in the third quarter was a use of cash of $2 million, an improvement of $17 million year-over-year, driven by higher net cash from operating activities and lower capital expenditures.
2024 Financial Guidance
"Fiscal year 2024 is measuring up to be a great step towards achieving our long-term financial targets," said Jennifer Walter, CFO. "This year, our sales will grow by 8%, our adjusted operating margin will expand by 150 basis points and our adjusted earnings per share will increase by 20%."
(in millions, except per share results) | FY 2024 Guidance | |||||
Current | Previous | |||||
Net sales | $ | 3,575 | $ | 3,550 | ||
Operating margin | 11.8 | % | 11.9 | % | ||
Adjusted operating margin | 12.4 | % | 12.4 | % | ||
Diluted net earnings per share* | $ | 6.85 | $ | 6.87 | ||
Adjusted diluted net earnings per share* | $ | 7.40 | $ | 7.25 | ||
*Diluted net earnings per share figures for 2024 are forecasted to be within range of +/- $0.10. | ||||||
When the company provides adjusted, non-GAAP figures on a forward-looking basis, a reconciliation of the differences between the non-GAAP expectations and the corresponding GAAP measures generally is not available without unreasonable effort.
Conference call information
In conjunction with today's release, Pat Roche, CEO, and Jennifer Walter, CFO, will host a conference call today beginning at 10:00 a.m. ET, which will be simultaneously broadcast live online. Listeners can access the call live, or in replay mode, at www.moog.com/investors/communications. Supplemental financial data will be available on the website approximately 90 minutes prior to the conference call.
Cautionary Statement
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, which can be identified by words such as: "may," "will," "should," "believes," "expects," "expected," "intends," "plans," "projects," "approximate," "estimates," "predicts," "potential," "outlook," "forecast," "anticipates," "presume," "assume" and other words and terms of similar meaning (including their negative counterparts or other various or comparable terminology). These forward-looking statements are made pursuant to the Private Securities Litigation Reform Act of 1995, are neither historical facts nor guarantees of future performance and are subject to several factors, risks and uncertainties, the impact or occurrence of which could cause actual results to differ materially from the expected results described in the forward-looking statements.
Although it is not possible to create a comprehensive list of all factors that may cause our actual results to differ from the results expressed or implied by our forward-looking statements or that may affect our future results, some of these factors and other risks and uncertainties are described in Item 1A "Risk Factors" of our Annual Report on Form 10-K and in our other periodic filings with the Securities and Exchange Commission ("SEC") and include, but are not limited to, risks relating to: (i) our operation in highly competitive markets with competitors who may have greater resources than we possess; (ii) our operation in cyclical markets that are sensitive to domestic and foreign economic conditions and events; (iii) our heavy dependence on government contracts that may not be fully funded or may be terminated; (iv) supply chain constraints and inflationary impacts on prices for raw materials and components used in our products; (v) failure of our subcontractors or suppliers to perform their contractual obligations; and (vi) our accounting estimations for over-time contracts and any changes we need to make thereto. You should evaluate all forward-looking statements made in this press release in the context of these risks and uncertainties.
While we believe we have identified and discussed in our SEC filings the material risks affecting our business, there may be additional factors, risks and uncertainties not currently known to us or that we currently consider immaterial that may affect the forward-looking statements we make herein. Given these factors, risks and uncertainties, investors should not place undue reliance on forward-looking statements as predictive of future results. Any forward-looking statement speaks only as of the date on which it is made, and we disclaim any obligation to update any forward-looking statement made in this press release, except as required by applicable law.
Moog Inc. CONSOLIDATED STATEMENTS OF EARNINGS (UNAUDITED) (dollars in thousands, except per share data) | |||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||
June 29,
| July 1,
| June 29,
| July 1,
| ||||||||||
Net sales | $ | 904,735 | $ | 850,176 | $ | 2,691,888 | $ | 2,447,071 | |||||
Cost of sales | 651,672 | 627,543 | 1,938,673 | 1,799,437 | |||||||||
Inventory write-down | 1,600 | - | 1,775 | - | |||||||||
Gross profit | 251,463 | 222,633 | 751,440 | 647,634 | |||||||||
Research and development | 27,791 | 26,502 | 86,752 | 77,107 | |||||||||
Selling, general and administrative | 126,361 | 121,935 | 370,047 | 351,795 | |||||||||
Interest | 18,153 | 17,256 | 52,850 | 45,351 | |||||||||
Asset impairment | 112 | 435 | 6,862 | 1,654 | |||||||||
Restructuring | 3,984 | 1,642 | 12,623 | 4,737 | |||||||||
Gain on sale of buildings | - | - | - | (10,030 | ) | ||||||||
Other | 4,157 | 4,525 | 10,041 | 10,077 | |||||||||
Earnings before income taxes | 70,905 | 50,338 | 212,265 | 166,943 | |||||||||
Income taxes | 14,545 | 7,951 | 48,090 | 35,527 | |||||||||
Net earnings | $ | 56,360 | $ | 42,387 | $ | 164,175 | $ | 131,416 | |||||
Net earnings per share | |||||||||||||
Basic | $ | 1.76 | $ | 1.33 | $ | 5.14 | $ | 4.13 | |||||
Diluted | $ | 1.74 | $ | 1.32 | $ | 5.08 | $ | 4.11 | |||||
Weighted average common shares outstanding | |||||||||||||
Basic | 31,960,165 | 31,838,961 | 31,943,365 | 31,811,034 | |||||||||
Diluted | 32,409,370 | 32,067,391 | 32,342,700 | 31,995,340 | |||||||||
Moog Inc. RECONCILIATION TO ADJUSTED NET EARNINGS BEFORE TAXES, INCOMES TAXES, NET EARNINGS AND DILUTED NET EARNINGS PER SHARE (UNAUDITED) (dollars in thousands) | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
June 29,
| July 1,
| June 29,
| July 1,
| |||||||||||||
As Reported: | ||||||||||||||||
Earnings before income taxes | $ | 70,905 | $ | 50,338 | $ | 212,265 | $ | 166,943 | ||||||||
Income taxes | 14,545 | 7,951 | 48,090 | 35,527 | ||||||||||||
Effective income tax rate | 20.5 | % | 15.8 | % | 22.7 | % | 21.3 | % | ||||||||
Net earnings | 56,360 | 42,387 | 164,175 | 131,416 | ||||||||||||
Diluted net earnings per share | $ | 1.74 | $ | 1.32 | $ | 5.08 | $ | 4.11 | ||||||||
Restructuring and Other Charges: | ||||||||||||||||
Earnings before income taxes | $ | 5,817 | $ | 1,642 | $ | 15,296 | $ | 5,786 | ||||||||
Income taxes | 1,502 | 386 | 3,852 | 1,303 | ||||||||||||
Net earnings | 4,315 | 1,256 | 11,444 | 4,483 | ||||||||||||
Diluted net earnings per share | $ | 0.13 | $ | 0.04 | $ | 0.35 | $ | 0.14 | ||||||||
Asset Impairment: | ||||||||||||||||
Earnings before income taxes | $ | 112 | $ | 435 | $ | 6,862 | $ | 1,654 | ||||||||
Income taxes (benefit) | (1,223 | ) | 66 | 370 | 349 | |||||||||||
Net earnings | 1,335 | 369 | 6,492 | 1,305 | ||||||||||||
Diluted net earnings per share | $ | 0.04 | $ | 0.01 | $ | 0.20 | $ | 0.04 | ||||||||
Gain on Sale of Buildings: | ||||||||||||||||
Earnings before income taxes | $ | - | $ | - | $ | - | $ | (10,030 | ) | |||||||
Income taxes | - | - | - | (2,086 | ) | |||||||||||
Net earnings | - | - | - | (7,944 | ) | |||||||||||
Diluted net earnings per share | $ | - | $ | - | $ | - | $ | (0.25 | ) | |||||||
As Adjusted: | ||||||||||||||||
Earnings before income taxes | $ | 76,834 | $ | 52,415 | $ | 234,423 | $ | 164,353 | ||||||||
Income taxes | 14,824 | 8,403 | 52,312 | 35,093 | ||||||||||||
Effective income tax rate | 19.3 | % | 16.0 | % | 22.3 | % | 21.4 | % | ||||||||
Net earnings | 62,010 | 44,012 | 182,111 | 129,260 | ||||||||||||
Diluted net earnings per share | $ | 1.91 | $ | 1.37 | $ | 5.63 | $ | 4.04 | ||||||||
The diluted net earnings per share associated with the adjustments in the table above may not reconcile when totaled due to rounding. | ||||||||||||||||
Results shown above have been adjusted to exclude impacts associated with restructuring and other charges related to continued portfolio shaping activities, asset impairments and other charges due to program termination and the devaluation of an investment, as well as impacts from the sale of buildings. While management believes that these adjusted financial measures may be useful in evaluating the financial condition and results of operations of the Company, this information should be considered supplemental and is not a substitute for financial information prepared in accordance with GAAP.
Moog Inc. CONSOLIDATED SALES AND OPERATING PROFIT (UNAUDITED) (dollars in thousands) | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
June 29,
| July 1,
| June 29,
| July 1,
| |||||||||||||
Net sales: | ||||||||||||||||
Space and Defense | $ | 258,409 | $ | 242,402 | $ | 755,324 | $ | 706,040 | ||||||||
Military Aircraft | 207,177 | 176,217 | 595,921 | 536,770 | ||||||||||||
Commercial Aircraft | 189,365 | 178,808 | 591,181 | 475,518 | ||||||||||||
Industrial | 249,784 | 252,749 | 749,462 | 728,743 | ||||||||||||
Net sales | $ | 904,735 | $ | 850,176 | $ | 2,691,888 | $ | 2,447,071 | ||||||||
Operating profit: | ||||||||||||||||
Space and Defense | $ | 32,635 | $ | 18,585 | $ | 100,175 | $ | 66,386 | ||||||||
12.6 | % | 7.7 | % | 13.3 | % | 9.4 | % | |||||||||
Military Aircraft | 23,965 | 18,143 | 60,323 | 49,525 | ||||||||||||
11.6 | % | 10.3 | % | 10.1 | % | 9.2 | % | |||||||||
Commercial Aircraft | 24,367 | 19,745 | 69,838 | 49,943 | ||||||||||||
12.9 | % | 11.0 | % | 11.8 | % | 10.5 | % | |||||||||
Industrial | 24,413 | 28,035 | 81,592 | 89,183 | ||||||||||||
9.8 | % | 11.1 | % | 10.9 | % | 12.2 | % | |||||||||
Total operating profit | 105,380 | 84,508 | 311,928 | 255,037 | ||||||||||||
11.6 | % | 9.9 | % | 11.6 | % | 10.4 | % | |||||||||
Deductions from operating profit: | ||||||||||||||||
Interest expense | 18,153 | 17,256 | 52,850 | 45,351 | ||||||||||||
Equity-based compensation expense | 4,089 | 2,356 | 11,301 | 8,121 | ||||||||||||
Non-service pension expense | 3,188 |
| 3,124 | 9,566 | 9,338 | |||||||||||
Corporate and other expenses, net | 9,045 | 11,434 | 25,946 | 25,284 | ||||||||||||
Earnings before income taxes | $ | 70,905 | $ | 50,338 | $ | 212,265 | $ | 166,943 | ||||||||
Moog Inc. RECONCILIATION TO ADJUSTED OPERATING PROFIT AND MARGINS (UNAUDITED) (dollars in thousands) | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
June 29,
| July 1,
| June 29,
| July 1,
| |||||||||||||
Space and Defense operating profit - as reported | $ | 32,635 | $ | 18,585 | $ | 100,175 | $ | 66,386 | ||||||||
Asset impairment | 112 | - | 416 | 219 | ||||||||||||
Restructuring and other | - | 273 | - | 1,554 | ||||||||||||
Space and Defense operating profit - as adjusted | $ | 32,747 | $ | 18,858 | $ | 100,591 | $ | 68,159 | ||||||||
12.7 | % | 7.8 | % | 13.3 | % | 9.7 | % | |||||||||
Military Aircraft operating profit - as reported | $ | 23,965 | $ | 18,143 | $ | 60,323 | $ | 49,525 | ||||||||
Inventory write-down | - | - | 175 | - | ||||||||||||
Asset impairment | - | 97 | 6,446 | 1,097 | ||||||||||||
Restructuring and other | 609 | 275 | 4,397 | 275 | ||||||||||||
Military Aircraft operating profit - as adjusted | $ | 24,574 | $ | 18,515 | $ | 71,341 | $ | 50,897 | ||||||||
11.9 | % | 10.5 | % | 12.0 | % | 9.5 | % | |||||||||
Commercial Aircraft operating profit - as reported | $ | 24,367 | $ | 19,745 | $ | 69,838 | $ | 49,943 | ||||||||
Asset impairment | - | 338 | - | 338 | ||||||||||||
Restructuring | 408 | - | 408 | - | ||||||||||||
Commercial Aircraft operating profit - as adjusted | $ | 24,775 | $ | 20,083 | $ | 70,246 | $ | 50,281 | ||||||||
13.1 | % | 11.2 | % | 11.9 | % | 10.6 | % | |||||||||
Industrial operating profit - as reported | $ | 24,413 | $ | 28,035 | $ | 81,592 | $ | 89,183 | ||||||||
Inventory write-down | 1,600 | - | 1,600 | - | ||||||||||||
Gain on sale of buildings | - | - | - | (10,030 | ) | |||||||||||
Restructuring and other | 3,200 | 1,094 | 8,716 | 3,957 | ||||||||||||
Industrial operating profit - as adjusted | $ | 29,213 | $ | 29,129 | $ | 91,908 | $ | 83,110 | ||||||||
11.7 | % | 11.5 | % | 12.3 | % | 11.4 | % | |||||||||
Total operating profit - as adjusted | $ | 111,309 | $ | 86,585 | $ | 334,086 | $ | 252,447 | ||||||||
12.3 | % | 10.2 | % | 12.4 | % | 10.3 | % | |||||||||
While management believes that these adjusted financial measures may be useful in evaluating the financial condition and results of operations of the Company, this information should be considered supplemental and is not a substitute for financial information prepared in accordance with GAAP.
Moog Inc. CONSOLIDATED BALANCE SHEETS (UNAUDITED) (dollars in thousands) | ||||||||
June 29,
| September 30,
| |||||||
ASSETS | ||||||||
Current assets | ||||||||
Cash and cash equivalents | $ | 50,572 | $ | 68,959 | ||||
Restricted cash | 946 | 185 | ||||||
Receivables, net | 452,967 | 434,723 | ||||||
Unbilled receivables | 766,445 | 706,601 | ||||||
Inventories, net | 831,377 | 724,002 | ||||||
Prepaid expenses and other current assets | 70,081 | 50,862 | ||||||
Total current assets | 2,172,388 | 1,985,332 | ||||||
Property, plant and equipment, net | 886,013 | 814,696 | ||||||
Operating lease right-of-use assets | 57,669 | 56,067 | ||||||
Goodwill | 827,319 | 821,301 | ||||||
Intangible assets, net | 66,422 | 71,637 | ||||||
Deferred income taxes | 9,050 | 8,749 | ||||||
Other assets | 48,887 | 50,254 | ||||||
Total assets | $ | 4,067,748 | $ | 3,808,036 | ||||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||
Current liabilities | ||||||||
Accounts payable | $ | 266,294 | $ | 264,573 | ||||
Accrued compensation | 98,981 | 111,154 | ||||||
Contract advances and progress billings | 353,496 | 377,977 | ||||||
Accrued liabilities and other | 269,633 | 211,769 | ||||||
Total current liabilities | 988,404 | 965,473 | ||||||
Long-term debt, excluding current installments | 958,127 | 863,092 | ||||||
Long-term pension and retirement obligations | 160,635 | 157,455 | ||||||
Deferred income taxes | 13,668 | 37,626 | ||||||
Other long-term liabilities | 153,122 | 148,303 | ||||||
Total liabilities | 2,273,956 | 2,171,949 | ||||||
Shareholders' equity | ||||||||
Common stock - Class A | 43,835 | 43,822 | ||||||
Common stock - Class B | 7,445 | 7,458 | ||||||
Additional paid-in capital | 726,656 | 608,270 | ||||||
Retained earnings | 2,634,633 | 2,496,979 | ||||||
Treasury shares | (1,073,027 | ) | (1,057,938 | ) | ||||
Stock Employee Compensation Trust | (167,757 | ) | (114,769 | ) | ||||
Supplemental Retirement Plan Trust | (140,449 | ) | (93,126 | ) | ||||
Accumulated other comprehensive loss | (237,544 | ) | (254,609 | ) | ||||
Total shareholders' equity | 1,793,792 | 1,636,087 | ||||||
Total liabilities and shareholders' equity | $ | 4,067,748 | $ | 3,808,036 | ||||
Moog Inc. CONSOLIDATED STATEMENTS OF CASH FLOWS (UNAUDITED) (dollars in thousands) | ||||||||
Nine Months Ended | ||||||||
June 29,
| July 1,
| |||||||
CASH FLOWS FROM OPERATING ACTIVITIES | ||||||||
Net earnings | $ | 164,175 | $ | 131,416 | ||||
Adjustments to reconcile net earnings to net cash provided (used) by operating activities: | ||||||||
Depreciation | 64,302 | 56,780 | ||||||
Amortization | 7,677 | 8,725 | ||||||
Deferred income taxes | (26,483 | ) | (26,680 | ) | ||||
Equity-based compensation expense | 11,301 | 8,121 | ||||||
Gain on sale of buildings | - | (10,030 | ) | |||||
Asset impairment and inventory write-down | 8,637 | 1,654 | ||||||
Other | 5,374 | 5,083 | ||||||
Changes in assets and liabilities providing (using) cash: | ||||||||
Receivables | (18,677 | ) | (62,439 | ) | ||||
Unbilled receivables | (57,723 | ) | (100,820 | ) | ||||
Inventories | (105,629 | ) | (102,782 | ) | ||||
Accounts payable | 918 | 8,514 | ||||||
Contract advances and progress billings | (26,882 | ) | 65,746 | |||||
Accrued expenses | 36,928 | (30,697 | ) | |||||
Accrued income taxes | 9,832 | 21,568 | ||||||
Net pension and post retirement liabilities | 8,783 | 11,199 | ||||||
Other assets and liabilities | (35,978 | ) | (2,455 | ) | ||||
Net cash provided (used) by operating activities | 46,555 | (17,097 | ) | |||||
CASH FLOWS FROM INVESTING ACTIVITIES | ||||||||
Acquisitions of businesses, net of cash acquired | (5,911 | ) | - | |||||
Purchase of property, plant and equipment | (109,616 | ) | (125,074 | ) | ||||
Net proceeds from businesses sold | 1,627 | 959 | ||||||
Net proceeds from buildings sold | - | 19,702 | ||||||
Other investing transactions | (646 | ) | (9,482 | ) | ||||
Net cash used by investing activities | (114,546 | ) | (113,895 | ) | ||||
CASH FLOWS FROM FINANCING ACTIVITIES | ||||||||
Proceeds from revolving lines of credit | 784,500 | 711,732 | ||||||
Payments on revolving lines of credit | (691,000 | ) | (536,826 | ) | ||||
Payments on long-term debt | - | (219 | ) | |||||
Payments on finance lease obligations | (4,468 | ) | (3,449 | ) | ||||
Payment of dividends | (26,521 | ) | (25,459 | ) | ||||
Proceeds from sale of treasury stock | 7,579 | 12,765 | ||||||
Purchase of outstanding shares for treasury | (21,832 | ) | (23,133 | ) | ||||
Proceeds from sale of stock held by SECT | 16,670 | 9,863 | ||||||
Purchase of stock held by SECT | (14,296 | ) | (10,035 | ) | ||||
Other financing transactions | - | (2,026 | ) | |||||
Net cash provided by financing activities | 50,632 | 133,213 | ||||||
Effect of exchange rate changes on cash | (267 | ) | 3,950 | |||||
Increase (decrease) in cash, cash equivalents and restricted cash | (17,626 | ) | 6,171 | |||||
Cash, cash equivalents and restricted cash at beginning of period | 69,144 | 119,233 | ||||||
Cash, cash equivalents and restricted cash at end of period | $ | 51,518 | $ | 125,404 | ||||
Moog Inc. RECONCILIATION OF NET CASH PROVIDED BY OPERATING ACTIVITIES TO FREE CASH FLOW (UNAUDITED) (dollars in thousands) | ||||||||||||||||
Three Months Ended | Nine Months Ended | |||||||||||||||
June 29,
| July 1,
| June 29,
|
July 1,
| |||||||||||||
Net cash provided (used) by operating activities | $ | 30,166 | $ | 15,919 | $ | 46,555 | $ | (17,097 | ) | |||||||
Purchase of property, plant and equipment | (32,086 | ) | (35,331 | ) | (109,616 | ) | (125,074 | ) | ||||||||
Free cash flow | $ | (1,920 | ) | $ | (19,412 | ) | $ | (63,061 | ) | $ | (142,171 | ) | ||||
Free cash flow is defined as net cash provided (used) by operating activities less purchase of property, plant and equipment. Free cash flow is not a measure determined in accordance with GAAP and may not be comparable with the measures as used by other companies. However, management believes this adjusted financial measure may be useful in evaluating the liquidity, financial condition and results of operations of the Company. This information should be considered supplemental and is not a substitute for financial information prepared in accordance with GAAP.
Contacts
Aaron Astrachan - 716.687.4225
