Ireland | 001-35803 | 98-1088325 |
(State or other jurisdiction of incorporation) | (Commission File Number) | (IRS Employer Identification No.) |
o | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
o | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
o | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
o | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Exhibit No. | Exhibit | |
99.1 | ||
99.2 | ||
MALLINCKRODT PUBLIC LIMITED COMPANY | ||||
(registrant) | ||||
Date: | February 27, 2018 | By: | /s/ Matthew K. Harbaugh | |
Matthew K. Harbaugh | ||||
Chief Financial Officer |
▪ | Maximizing the productivity and contribution of both inline brands and the near-term development portfolio; |
▪ | Further streamlining the organization - moving to discontinued operations and seeking to dispose of non-core assets; streamlining its operating model to increase efficiency and productivity, allowing greater investment into its Specialty Brands segment. With this the company seeks to reduce its annual selling, general and administrative (SG&A) spend by $100 million no later than the early 2020s while continuing to increase R&D spending. |
▪ | Ensuring a highly disciplined capital allocation strategy with a focus on reducing debt and pursuing business development and share repurchases where they make sense; |
▪ | Continuing to refine the senior management team to increase focus on performance and drive sustainable growth for the future, illustrated by the recent recruitment of Mark Casey as General Counsel; |
▪ | Attracting additional innovative pharmaceutical expertise to the company’s Board of Directors, similar to the third quarter 2017 appointment of David Norton. |
Metric (excluding foreign currency impact) | 2018 Guidance |
Total net sales for continuing operations | Increase 3% to 6% |
Net interest expense | $370 million to $390 million |
Adjusted effective tax rate | 9% to 11% |
Adjusted diluted EPS | $6.00 to $6.50 |
• | At the Mallinckrodt website: http://www.mallinckrodt.com/investors. |
• | By telephone: For both listen-only participants and those who wish to take part in the question-and-answer portion of the call, the telephone dial-in number in the U.S. is (877) 359-9508. For participants outside the U.S., the dial-in number is (224) 357-2393. Callers will need to provide the Conference ID of 2589547. |
• | Through an audio replay: A replay of the call will be available beginning at 11:30 a.m. Eastern Time on Tuesday, Feb. 27, 2018, and ending at 11:59 p.m. Eastern Time on Tuesday, Mar. 13, 2018. Dial-in numbers for U.S.-based participants are (855) 859-2056 or (800) 585-8367. Participants outside the U.S. should use the replay dial-in number of (404) 537-3406. All callers will be required to provide the Conference ID of 2589547. |
MALLINCKRODT PLC | |||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF INCOME | |||||||||||
(unaudited, in millions, except per share data) | |||||||||||
Three Months Ended | |||||||||||
December 29, 2017 | Percent of Net sales | December 30, 2016 | Percent of Net sales | ||||||||
Net sales | $ | 792.3 | 100.0 | % | $ | 829.9 | 100.0 | % | |||
Cost of sales | 371.3 | 46.9 | 384.1 | 46.3 | |||||||
Gross profit | 421.0 | 53.1 | 445.8 | 53.7 | |||||||
Selling, general and administrative expenses | 175.0 | 22.1 | 368.3 | 44.4 | |||||||
Research and development expenses | 86.4 | 10.9 | 66.2 | 8.0 | |||||||
Restructuring charges, net | (0.9 | ) | (0.1 | ) | 3.8 | 0.5 | |||||
Non-restructuring impairment charges | 63.7 | 8.0 | 214.3 | 25.8 | |||||||
Gains on divestiture and license | (0.3 | ) | — | — | — | ||||||
Operating income (loss) | 97.1 | 12.3 | (206.8 | ) | (24.9 | ) | |||||
Interest expense | (90.1 | ) | (11.4 | ) | (91.3 | ) | (11.0 | ) | |||
Interest income | 1.8 | 0.2 | 0.5 | 0.1 | |||||||
Other loss, net | (0.2 | ) | — | (0.9 | ) | (0.1 | ) | ||||
Income (loss) from continuing operations before income taxes | 8.6 | 1.1 | (298.5 | ) | (36.0 | ) | |||||
Income tax benefit | (1,598.8 | ) | (201.8 | ) | (121.7 | ) | (14.7 | ) | |||
Income (loss) from continuing operations | 1,607.4 | 202.9 | (176.8 | ) | (21.3 | ) | |||||
Income from discontinued operations, net of income taxes | 1.3 | 0.2 | 23.6 | 2.8 | |||||||
Net income (loss) | $ | 1,608.7 | 203.0 | % | $ | (153.2 | ) | (18.5 | )% | ||
Basic earnings per share: | |||||||||||
Income (loss) from continuing operations | $ | 17.43 | $ | (1.67 | ) | ||||||
Income from discontinued operations | 0.01 | 0.22 | |||||||||
Net income (loss) | 17.45 | (1.45 | ) | ||||||||
Diluted earnings per share: | |||||||||||
Income (loss) from continuing operations | $ | 17.40 | $ | (1.67 | ) | ||||||
Income from discontinued operations | 0.01 | 0.22 | |||||||||
Net income (loss) | 17.41 | (1.45 | ) | ||||||||
Weighted-average number of shares outstanding: | |||||||||||
Basic | 92.2 | 105.7 | |||||||||
Diluted | 92.4 | 105.7 | |||||||||
MALLINCKRODT PLC | |||||||||||||||||||||||||||
NON-GAAP MEASURES | |||||||||||||||||||||||||||
(unaudited, in millions except per share data) | |||||||||||||||||||||||||||
Three Months Ended | |||||||||||||||||||||||||||
December 29, 2017 | December 30, 2016 | ||||||||||||||||||||||||||
Gross profit | SG&A | Net income | Diluted net income per share | Gross profit | SG&A | Net (loss) income | Diluted net (loss) income per share | ||||||||||||||||||||
GAAP | $ | 421.0 | $ | 175.0 | $ | 1,608.7 | $ | 17.41 | $ | 445.8 | $ | 368.3 | $ | (153.2 | ) | $ | (1.45 | ) | |||||||||
Adjustments: | |||||||||||||||||||||||||||
Intangible asset amortization | 169.8 | (1.7 | ) | 171.5 | 1.86 | 174.0 | (1.7 | ) | 175.7 | 1.65 | |||||||||||||||||
Restructuring and related charges, net (1) | 0.5 | (1.1 | ) | 0.7 | 0.01 | 0.5 | (1.0 | ) | 5.3 | 0.05 | |||||||||||||||||
Inventory step-up expense | 1.5 | — | 1.5 | 0.02 | 3.6 | — | 3.6 | 0.03 | |||||||||||||||||||
Income from discontinued operations | — | — | (1.3 | ) | (0.01 | ) | — | — | (23.6 | ) | (0.22 | ) | |||||||||||||||
Change in contingent consideration fair value | — | 45.5 | (45.5 | ) | (0.49 | ) | — | (1.3 | ) | 1.3 | 0.01 | ||||||||||||||||
Acquisition related expenses | — | (5.1 | ) | 5.1 | 0.06 | — | (0.1 | ) | 0.1 | — | |||||||||||||||||
Non-restructuring impairment charges | — | — | 63.7 | 0.69 | — | — | 207.0 | 1.95 | |||||||||||||||||||
Significant legal and environmental charges | — | — | — | — | — | (102.0 | ) | 102.0 | 0.96 | ||||||||||||||||||
Pension settlement charge | — | — | — | — | — | (45.0 | ) | 45.0 | 0.42 | ||||||||||||||||||
Reorganization of legal entity ownership (2) | — | — | (1,082.0 | ) | (11.71 | ) | — | — | — | — | |||||||||||||||||
U.S. Tax Reform (3) | — | — | (457.4 | ) | (4.95 | ) | — | — | — | — | |||||||||||||||||
Income taxes (4) | — | — | (78.8 | ) | (0.85 | ) | — | — | (159.6 | ) | (1.50 | ) | |||||||||||||||
As adjusted | $ | 592.8 | $ | 212.6 | $ | 186.2 | $ | 2.01 | $ | 623.9 | $ | 217.2 | $ | 203.6 | $ | 1.91 | |||||||||||
Percent of net sales | 74.8 | % | 26.8 | % | 23.5 | % | 75.2 | % | 26.2 | % | 24.5 | % | |||||||||||||||
(1) | Includes pre-tax accelerated depreciation. |
(2) | Represents the incremental tax and interest expense associated with non-cash internal legal entity reorganization. Of the total adjustment, $8.9 million represents a one-time charge to interest expense related to the reduction in the Company's interest-bearing deferred tax liabilities. |
(3) | Represents the incremental tax and interest expense associated with the impact of the U.S. tax reform bill being signed into law. Of the total adjustment, $0.5 million represents a one-time reduction to interest expense related to the reduction in the Company's interest-bearing deferred tax liabilities. |
(4) | Includes tax effects of above adjustments as well as the elimination of deferred tax benefits recognized upon pay down of intercompany installment notes created by internal sales of acquired intangible assets. |
MALLINCKRODT PLC | ||||||||||||||||
SEGMENT NET SALES AND CONSTANT-CURRENCY GROWTH | ||||||||||||||||
(unaudited, in millions) | ||||||||||||||||
Three Months Ended | ||||||||||||||||
December 29, 2017 | December 30, 2016 | Percent change | Currency impact | Constant-currency growth | ||||||||||||
Specialty Brands | $ | 582.2 | $ | 603.1 | (3.5 | )% | 0.2 | % | (3.7 | )% | ||||||
Specialty Generics | 195.8 | 212.9 | (8.0 | ) | 0.5 | (8.5 | ) | |||||||||
778.0 | 816.0 | (4.7 | ) | 0.3 | (5.0 | ) | ||||||||||
Other(1) | 14.3 | 13.9 | 2.9 | — | 2.9 | |||||||||||
Net sales | $ | 792.3 | $ | 829.9 | (4.5 | )% | 0.3 | % | (4.8 | )% | ||||||
(1) | Represents net sales from an ongoing, post-divestiture supply agreement with the acquirer of the contrast media and delivery systems ("CMDS") business. Amounts for periods prior to the divestiture represent the reclassification of intercompany sales to third-party sales to conform with the expected presentation of the ongoing supply agreement. |
MALLINCKRODT PLC | ||||||||||||||||
SELECT PRODUCT LINE NET SALES | ||||||||||||||||
(unaudited, in millions) | ||||||||||||||||
Three Months Ended | ||||||||||||||||
December 29, 2017 | December 30, 2016 | Percent change | Currency impact | Constant-currency growth | ||||||||||||
Specialty Brands | ||||||||||||||||
H.P. Acthar Gel | $ | 295.2 | $ | 325.4 | (9.3 | )% | — | % | (9.3 | )% | ||||||
Inomax | 125.6 | 118.3 | 6.2 | 0.1 | 6.1 | |||||||||||
Ofirmev | 78.0 | 72.5 | 7.6 | — | 7.6 | |||||||||||
Therakos | 57.2 | 47.4 | 20.7 | 2.3 | 18.4 | |||||||||||
Hemostasis | 12.3 | 13.4 | (8.2 | ) | — | (8.2 | ) | |||||||||
Other | 13.9 | 26.1 | (46.7 | ) | 0.6 | (47.3 | ) | |||||||||
Specialty Brands Total | $ | 582.2 | $ | 603.1 | (3.5 | )% | 0.2 | % | (3.7 | )% | ||||||
Specialty Generics | ||||||||||||||||
Hydrocodone (API) and hydrocodone-containing tablets | $ | 22.0 | $ | 23.2 | (5.2 | )% | — | % | (5.2 | )% | ||||||
Oxycodone (API) and oxycodone-containing tablets | 18.2 | 24.3 | (25.1 | ) | — | (25.1 | ) | |||||||||
Methylphenidate ER | 13.5 | 22.0 | (38.6 | ) | — | (38.6 | ) | |||||||||
Other controlled substances | 90.6 | 104.9 | (13.6 | ) | — | (13.6 | ) | |||||||||
Other | 51.5 | 38.5 | 33.8 | 2.8 | 31.0 | |||||||||||
Specialty Generics Total | $ | 195.8 | $ | 212.9 | (8.0 | )% | 0.5 | % | (8.5 | )% |
MALLINCKRODT PLC | |||||||||||
CONDENSED CONSOLIDATED STATEMENTS OF INCOME | |||||||||||
(unaudited, in millions, except per share data) | |||||||||||
Fiscal Year Ended | |||||||||||
December 29, 2017 | Percent of Net sales | September 30, 2016 | Percent of Net sales | ||||||||
Net sales | $ | 3,221.6 | 100.0 | % | $ | 3,380.8 | 100.0 | % | |||
Cost of sales | 1,565.3 | 48.6 | 1,525.8 | 45.1 | |||||||
Gross profit | 1,656.3 | 51.4 | 1,855.0 | 54.9 | |||||||
Selling, general and administrative expenses | 920.9 | 28.6 | 925.3 | 27.4 | |||||||
Research and development expenses | 277.3 | 8.6 | 262.2 | 7.8 | |||||||
Restructuring charges, net | 31.2 | 1.0 | 33.3 | 1.0 | |||||||
Non-restructuring impairment charges | 63.7 | 2.0 | 16.9 | 0.5 | |||||||
Gains on divestiture and license | (56.9 | ) | (1.8 | ) | — | — | |||||
Operating income | 420.1 | 13.0 | 617.3 | 18.3 | |||||||
Interest expense | (369.1 | ) | (11.5 | ) | (384.6 | ) | (11.4 | ) | |||
Interest income | 4.6 | 0.1 | 1.3 | — | |||||||
Other income (loss), net | 6.0 | 0.2 | (0.6 | ) | — | ||||||
Income from continuing operations before income taxes | 61.6 | 1.9 | 233.4 | 6.9 | |||||||
Income tax benefit | (1,709.6 | ) | (53.1 | ) | (255.6 | ) | (7.6 | ) | |||
Income from continuing operations | 1,771.2 | 55.0 | 489.0 | 14.5 | |||||||
Income from discontinued operations, net of income taxes | 363.2 | 11.3 | 154.7 | 4.6 | |||||||
Net income | $ | 2,134.4 | 66.3 | % | $ | 643.7 | 19.0 | % | |||
Basic earnings per share: | |||||||||||
Income from continuing operations | $ | 18.13 | $ | 4.42 | |||||||
Income from discontinued operations | 3.72 | 1.40 | |||||||||
Net income | 21.85 | 5.82 | |||||||||
Diluted earnings per share: | |||||||||||
Income from continuing operations | $ | 18.09 | $ | 4.39 | |||||||
Income from discontinued operations | 3.71 | 1.39 | |||||||||
Net income | 21.80 | 5.77 | |||||||||
Weighted-average number of shares outstanding: | |||||||||||
Basic | 97.7 | 110.6 | |||||||||
Diluted | 97.9 | 111.5 | |||||||||
MALLINCKRODT PLC | |||||||||||||||||||||||||||
NON-GAAP MEASURES | |||||||||||||||||||||||||||
(unaudited, in millions except per share data) | |||||||||||||||||||||||||||
Fiscal Year Ended | |||||||||||||||||||||||||||
December 29, 2017 | September 30, 2016 | ||||||||||||||||||||||||||
Gross profit | SG&A | Net income | Diluted net income per share | Gross profit | SG&A | Net income | Diluted net income per share | ||||||||||||||||||||
GAAP | $ | 1,656.3 | $ | 920.9 | $ | 2,134.4 | $ | 21.80 | $ | 1,855.0 | $ | 925.3 | $ | 643.7 | $ | 5.77 | |||||||||||
Adjustments: | |||||||||||||||||||||||||||
Intangible asset amortization | 685.8 | (8.7 | ) | 694.5 | 7.09 | 692.8 | (7.3 | ) | 700.1 | 6.28 | |||||||||||||||||
Restructuring and related charges, net (1) | 2.1 | (3.2 | ) | 36.4 | 0.37 | 1.8 | (3.1 | ) | 38.2 | 0.34 | |||||||||||||||||
Inventory step-up expense | 10.1 | — | 10.1 | 0.10 | 24.3 | — | 24.3 | 0.22 | |||||||||||||||||||
Income from discontinued operations | — | — | (363.2 | ) | (3.71 | ) | — | — | (154.7 | ) | (1.39 | ) | |||||||||||||||
Change in contingent consideration fair value | — | 41.4 | (41.4 | ) | (0.42 | ) | — | (4.4 | ) | 4.4 | 0.04 | ||||||||||||||||
Acquisition related expenses | — | (7.4 | ) | 7.4 | 0.08 | — | (6.9 | ) | 6.9 | 0.06 | |||||||||||||||||
Non-restructuring impairment charges | — | — | 63.7 | 0.65 | — | — | 16.9 | 0.15 | |||||||||||||||||||
Debt refinancing | — | — | 10.0 | 0.10 | — | — | — | — | |||||||||||||||||||
Pension settlement charges | — | (69.2 | ) | 69.2 | 0.71 | — | — | — | — | ||||||||||||||||||
Intrathecal divestiture | — | — | (56.6 | ) | (0.58 | ) | — | — | — | — | |||||||||||||||||
Significant legal and environmental charges | — | — | — | — | — | (14.5 | ) | 14.5 | 0.13 | ||||||||||||||||||
Reorganization of legal entity ownership (2) | — | — | (1,045.9 | ) | (10.68 | ) | — | — | — | — | |||||||||||||||||
U.S. Tax Reform (3) | — | — | (457.4 | ) | (4.67 | ) | — | — | — | — | |||||||||||||||||
Income taxes (4) | — | — | (327.8 | ) | (3.35 | ) | — | — | (418.6 | ) | (3.75 | ) | |||||||||||||||
As adjusted | $ | 2,354.3 | $ | 873.8 | $ | 733.4 | $ | 7.49 | $ | 2,573.9 | $ | 889.1 | $ | 875.7 | $ | 7.85 | |||||||||||
Percent of net sales | 73.1 | % | 27.1 | % | 22.8 | % | 76.1 | % | 26.3 | % | 25.9 | % | |||||||||||||||
(1) | Includes pre-tax accelerated depreciation. |
(2) | Represents the incremental tax and interest expense associated with non-cash internal legal entity reorganization. Of the total adjustment, $8.9 million represents a one-time charge to interest expense related to the reduction in the Company's interest-bearing deferred tax liabilities. |
(3) | Represents the incremental tax and interest expense associated with the impact of the U.S. tax reform bill being signed into law. Of the total adjustment, $0.5 million represents a one-time reduction to interest expense related to the reduction in the Company's interest-bearing deferred tax liabilities. |
(4) | Includes tax effects of above adjustments as well as the elimination of deferred tax benefits recognized upon pay down of intercompany installment notes created by internal sales of acquired intangible assets. |
MALLINCKRODT PLC | ||||||||||||||||
SEGMENT NET SALES AND CONSTANT-CURRENCY GROWTH | ||||||||||||||||
(unaudited, in millions) | ||||||||||||||||
Fiscal Year Ended | ||||||||||||||||
December 29, 2017 | September 30, 2016 | Percent change | Currency impact | Constant-currency growth | ||||||||||||
Specialty Brands | $ | 2,325.3 | $ | 2,300.6 | 1.1 | % | (0.1 | )% | 1.2 | % | ||||||
Specialty Generics | 839.5 | 1,025.2 | (18.1 | ) | 0.2 | (18.3 | ) | |||||||||
3,164.8 | 3,325.8 | (4.8 | ) | — | (4.8 | ) | ||||||||||
Other(1) | 56.8 | 55.0 | 3.3 | — | 3.3 | |||||||||||
Net sales | $ | 3,221.6 | $ | 3,380.8 | (4.7 | )% | — | % | (4.7 | )% | ||||||
(1) | Represents net sales from an ongoing, post-divestiture supply agreement with the acquirer of the CMDS business. Amounts for periods prior to the divestiture represent the reclassification of intercompany sales to third-party sales to conform with the expected presentation of the ongoing supply agreement. |
MALLINCKRODT PLC | ||||||||||||||||
SELECT PRODUCT LINE NET SALES | ||||||||||||||||
(unaudited, in millions) | ||||||||||||||||
Fiscal Year Ended | ||||||||||||||||
December 29, 2017 | September 30, 2016 | Percent change | Currency impact | Constant-currency growth | ||||||||||||
Specialty Brands | ||||||||||||||||
H.P. Acthar Gel | $ | 1,195.1 | $ | 1,160.4 | 3.0 | % | — | % | 3.0 | % | ||||||
Inomax | 505.2 | 474.3 | 6.5 | — | 6.5 | |||||||||||
Ofirmev | 302.5 | 284.3 | 6.4 | — | 6.4 | |||||||||||
Therakos | 214.9 | 207.6 | 3.5 | (1.7 | ) | 5.2 | ||||||||||
Hemostasis | 55.1 | 42.5 | 29.6 | — | 29.6 | |||||||||||
Other | 52.5 | 131.5 | (60.1 | ) | 0.1 | (60.2 | ) | |||||||||
Specialty Brands Total | $ | 2,325.3 | $ | 2,300.6 | 1.1 | % | (0.1 | )% | 1.2 | % | ||||||
Specialty Generics | ||||||||||||||||
Hydrocodone (API) and hydrocodone-containing tablets | $ | 85.3 | $ | 146.5 | (41.8 | )% | — | % | (41.8 | )% | ||||||
Oxycodone (API) and oxycodone-containing tablets | 78.8 | 126.2 | (37.6 | ) | — | (37.6 | ) | |||||||||
Methylphenidate ER | 71.7 | 103.5 | (30.7 | ) | — | (30.7 | ) | |||||||||
Other controlled substances | 409.6 | 468.1 | (12.5 | ) | — | (12.5 | ) | |||||||||
Other | 194.1 | 180.9 | 7.3 | 1.0 | 6.3 | |||||||||||
Specialty Generics Total | $ | 839.5 | $ | 1,025.2 | (18.1 | )% | 0.2 | % | (18.3 | )% |
MALLINCKRODT PLC | |||||||
CONDENSED CONSOLIDATED BALANCE SHEETS | |||||||
(unaudited, in millions) | |||||||
December 29, 2017 | December 30, 2016 | ||||||
Assets | |||||||
Current Assets: | |||||||
Cash and cash equivalents | $ | 1,260.9 | $ | 342.0 | |||
Accounts receivable, net | 445.8 | 431.0 | |||||
Inventories | 340.4 | 350.7 | |||||
Prepaid expenses and other current assets | 84.1 | 131.9 | |||||
Notes receivable | 154.0 | — | |||||
Current assets held for sale | — | 310.9 | |||||
Total current assets | 2,285.2 | 1,566.5 | |||||
Property, plant and equipment, net | 966.8 | 881.5 | |||||
Goodwill | 3,482.7 | 3,498.1 | |||||
Intangible assets, net | 8,375.0 | 9,000.5 | |||||
Other assets | 171.2 | 259.7 | |||||
Total Assets | $ | 15,280.9 | $ | 15,206.3 | |||
Liabilities and Shareholders' Equity | |||||||
Current Liabilities: | |||||||
Current maturities of long-term debt | $ | 313.7 | $ | 271.2 | |||
Accounts payable | 113.3 | 112.1 | |||||
Accrued payroll and payroll-related costs | 98.5 | 76.1 | |||||
Accrued interest | 57.0 | 68.7 | |||||
Income taxes payable | 15.8 | 101.7 | |||||
Accrued and other current liabilities | 452.1 | 557.1 | |||||
Current liabilities held for sale | — | 120.3 | |||||
Total current liabilities | 1,050.4 | 1,307.2 | |||||
Long-term debt | 6,420.9 | 5,880.8 | |||||
Pension and postretirement benefits | 67.1 | 136.4 | |||||
Environmental liabilities | 73.2 | 73.0 | |||||
Deferred income taxes | 689.0 | 2,398.1 | |||||
Other income tax liabilities | 94.1 | 70.4 | |||||
Other liabilities | 364.2 | 356.1 | |||||
Total Liabilities | 8,758.9 | 10,222.0 | |||||
Shareholders' Equity: | |||||||
Preferred shares | — | — | |||||
Ordinary shares | 18.4 | 23.6 | |||||
Ordinary shares held in treasury at cost | (1,564.7 | ) | (919.8 | ) | |||
Additional paid-in capital | 5,492.6 | 5,424.0 | |||||
Retained earnings | 2,588.6 | 529.0 | |||||
Accumulated other comprehensive income | (12.9 | ) | (72.5 | ) | |||
Total Shareholders' Equity | 6,522.0 | 4,984.3 | |||||
Total Liabilities and Shareholders' Equity | $ | 15,280.9 | $ | 15,206.3 |
MALLINCKRODT PLC | |||||||||||
CONDENSED CONSOLIDATED AND COMBINED STATEMENTS OF CASH FLOWS | |||||||||||
(unaudited, in millions) | |||||||||||
Fiscal Year Ended | Three Months Ended | Fiscal Year Ended | |||||||||
December 29, 2017 | December 30, 2016 | September 30, 2016 | |||||||||
Cash Flows From Operating Activities: | |||||||||||
Net income (loss) | $ | 2,134.4 | $ | (153.2 | ) | $ | 643.7 | ||||
Adjustments to reconcile net cash from operating activities: | |||||||||||
Depreciation and amortization | 808.3 | 203.2 | 834.5 | ||||||||
Share-based compensation | 59.2 | 11.0 | 42.9 | ||||||||
Deferred income taxes | (1,744.1 | ) | (204.3 | ) | (432.9 | ) | |||||
Non-cash impairment charges | 63.7 | 214.3 | 16.9 | ||||||||
Inventory provisions | 34.1 | 8.5 | 29.2 | ||||||||
Gain on disposal of discontinued operations | (418.1 | ) | — | (95.3 | ) | ||||||
Other non-cash items | (21.4 | ) | (9.2 | ) | 29.6 | ||||||
Changes in assets and liabilities, net of the effects of acquisitions: | |||||||||||
Accounts receivable, net | (16.2 | ) | 36.5 | 31.2 | |||||||
Inventories | (23.6 | ) | (26.3 | ) | (17.3 | ) | |||||
Accounts payable | (25.8 | ) | 5.4 | (9.7 | ) | ||||||
Income taxes | (34.2 | ) | 0.6 | 93.9 | |||||||
Other | (89.0 | ) | 109.1 | 17.9 | |||||||
Net cash from operating activities | 727.3 | 195.6 | 1,184.6 | ||||||||
Cash Flows From Investing Activities: | |||||||||||
Capital expenditures | (186.1 | ) | (65.2 | ) | (182.9 | ) | |||||
Acquisitions and intangibles, net of cash acquired | (76.3 | ) | (1.8 | ) | (245.4 | ) | |||||
Proceeds from disposal of discontinued operations, net of cash | 576.9 | — | 266.7 | ||||||||
Other | 3.9 | (10.2 | ) | 6.0 | |||||||
Net cash from investing activities | 318.4 | (77.2 | ) | (155.6 | ) | ||||||
Cash Flows From Financing Activities: | |||||||||||
Issuance of external debt | 1,465.0 | 190.0 | 98.3 | ||||||||
Repayment of external debt and capital leases | (917.2 | ) | (86.7 | ) | (568.6 | ) | |||||
Debt financing costs | (12.7 | ) | — | (0.1 | ) | ||||||
Proceeds from exercise of share options | 4.1 | 0.4 | 14.0 | ||||||||
Repurchase of shares | (651.7 | ) | (158.8 | ) | (652.9 | ) | |||||
Other | (17.7 | ) | 1.2 | (53.0 | ) | ||||||
Net cash from financing activities | (130.2 | ) | (53.9 | ) | (1,162.3 | ) | |||||
Effect of currency rate changes on cash | 2.5 | (3.0 | ) | 0.3 | |||||||
Net change in cash, cash equivalents and restricted cash | 918.0 | 61.5 | (133.0 | ) | |||||||
Cash, cash equivalents and restricted cash at beginning of period | 361.1 | 299.6 | 432.6 | ||||||||
Cash, cash equivalents and restricted cash at end of period | $ | 1,279.1 | $ | 361.1 | $ | 299.6 | |||||
Cash and cash equivalents at end of period | $ | 1,260.9 | $ | 342.0 | $ | 280.5 | |||||
Restricted cash included in prepaid expenses and other assets at end of period | — | 0.1 | 0.1 | ||||||||
Restricted cash included in other long-term assets at end of period | 18.2 | 19.0 | 19.0 | ||||||||
Cash, cash equivalents and restricted cash at end of period | $ | 1,279.1 | $ | 361.1 | $ | 299.6 |
MALLINCKRODT PLC | |||||||||||||||||||
SELECT PRODUCT LINE NET SALES | |||||||||||||||||||
(unaudited, in millions) | |||||||||||||||||||
Three Months Ended | Fiscal Year Ended | ||||||||||||||||||
March 31, 2017 | June 30, 2017 | September 29, 2017 | December 29, 2017 | December 29, 2017 | |||||||||||||||
H.P. Acthar Gel | $ | 271.8 | $ | 319.4 | $ | 308.7 | $ | 295.2 | $ | 1,195.1 | |||||||||
Inomax | 128.4 | 125.5 | 125.7 | 125.6 | 505.2 | ||||||||||||||
Ofirmev | 73.4 | 75.7 | 75.4 | 78.0 | 302.5 | ||||||||||||||
Therakos | 51.2 | 51.2 | 55.3 | 57.2 | 214.9 | ||||||||||||||
BioVectra | 9.9 | 10.5 | 16.0 | 18.3 | 54.7 | ||||||||||||||
Other (1) | 25.3 | 17.8 | 19.5 | 17.2 | 79.8 | ||||||||||||||
Specialty Brands Total | $ | 560.0 | $ | 600.1 | $ | 600.6 | $ | 591.5 | $ | 2,352.2 | |||||||||
Three Months Ended | |||||||||||||||||||
December 30, 2016 | |||||||||||||||||||
H.P. Acthar Gel | 325.4 | ||||||||||||||||||
Inomax | 118.3 | ||||||||||||||||||
Ofirmev | 72.5 | ||||||||||||||||||
Therakos | 47.4 | ||||||||||||||||||
BioVectra | 7.4 | ||||||||||||||||||
Other (1) | 29.4 | ||||||||||||||||||
Specialty Brands Total | $ | 600.4 | |||||||||||||||||
Three Months Ended | Fiscal Year Ended | ||||||||||||||||||
December 25, 2015 | March 25, 2016 | June 24, 2016 | September 30, 2016 | September 30, 2016 | |||||||||||||||
H.P. Acthar Gel | $ | 286.7 | $ | 248.4 | $ | 298.3 | $ | 327.0 | $ | 1,160.4 | |||||||||
Inomax | 110.8 | 115.5 | 121.1 | 126.9 | 474.3 | ||||||||||||||
Ofirmev | 66.9 | 71.1 | 70.7 | 75.6 | 284.3 | ||||||||||||||
Therakos | 50.4 | 50.2 | 52.5 | 54.5 | 207.6 | ||||||||||||||
BioVectra | 14.2 | 13.0 | 9.0 | 13.3 | 49.5 | ||||||||||||||
Other (1) | 16.4 | 29.0 | 34.4 | 36.0 | 115.8 | ||||||||||||||
Specialty Brands Total | $ | 545.4 | $ | 527.2 | $ | 586.0 | $ | 633.3 | $ | 2,291.9 |