Actuant Reports Fourth Quarter and Full Year Fiscal 2013 Results; Increases 2014 Guidance

MILWAUKEE--(BUSINESS WIRE)--October 1, 2013--Actuant Corporation (NYSE: ATU) today announced results for its fourth quarter ended August 31, 2013.

Robert C. Arzbaecher, Chairman and CEO of Actuant commented, “We were pleased to finish the year in line with our expectations, with continued sequential core sales improvement, year-over-year margin and EPS growth, and record free cash flow. Consolidated fourth quarter core sales were flat, as overall demand continued to reflect economies around the world struggling to find steady growth. Excluding approximately $0.04 of Viking related acquisition costs and a favorable tax adjustment, fourth quarter EPS of $0.50 increased 4% on a year-over-year basis on improved margins, partially offset by a higher effective tax rate. In the quarter, we demonstrated our continued ability to operate in a stagnant market environment and deliver earnings growth, while still making strategic investments to drive the company's long-term growth strategy.”

Consolidated sales for the fourth quarter of fiscal 2013 were $327 million compared to $322 million in the comparable prior year quarter. Core sales were flat, with acquisitions contributing 2% and nominal currency impact. Fiscal 2013 fourth quarter net earnings and EPS from continuing operations were $45.1 million and $0.60, respectively, compared to $35.9 million and $0.48 in the comparable prior year quarter. Excluding the fourth quarter fiscal 2013 favorable tax adjustment of $10.6 million, or $0.14 per diluted share, EPS from continuing operations of $0.46 was 4% lower than the comparable prior year period; however, it included approximately $0.04 of acquisition transaction costs. (See attached reconciliation of earnings.)

Sales for the year ended August 31, 2013 of $1.28 billion were essentially unchanged from the prior year. Excluding the 4% benefit of acquisitions, and 1% negative impact from foreign currency translation, core sales declined 3%. Earnings and EPS from continuing operations for the year were $147.6 million, or $1.98 per diluted share, compared to $125.3 million, or $1.68 per diluted share for the comparable prior year period. Excluding the previously mentioned favorable tax adjustment as well as 2012 debt refinancing costs of $16.8 million, or $0.15 per diluted share, fiscal 2013 EPS from continuing operations of $1.84 was 1% higher than the $1.83 in the prior year. (See attached reconciliation of earnings.)

Commenting on the full year results, Arzbaecher stated, “While our performance in fiscal 2013 was impacted by weak global economic conditions, the sequential improvement throughout the year was encouraging. Both Industrial and Energy delivered full year core sales growth and we acquired approximately $90 million of revenue in the higher growth energy market. As a result of our portfolio management, cost control and operational improvement efforts, EBITDA margins, excluding acquisition costs, exceeded 20% by the end of the fiscal year. We generated record free cash flow of $205 million and free cash flow to net earnings conversion in excess of 125%. This allowed us to deploy $235 million in acquisitions and $42 million in share repurchases, yet maintain a year-end net debt to EBITDA leverage of just 1.3X. In summary, despite poor economic conditions, Actuant’s employees executed well and I am appreciative of their efforts.”

Discontinued operations include the operating results of the Electrical segment for all periods presented. In the fourth quarter of fiscal 2013, a favorable, non-cash adjustment of $11.2 million ($0.10 per diluted share) was recorded to reduce the reserve against the Electrical segment’s carrying value, based on current information. The sale process for the Electrical segment is proceeding as planned and the Company expects the sale transaction to be completed in the first half of fiscal 2014.

Fourth quarter fiscal 2013 Industrial segment sales were $111 million, 1% higher than the prior year. This 1% core sales growth was due to higher integrated solutions activity, vertical market penetration and success in high growth regions including Africa, Indonesia and Brazil. Industrial tool sales within Europe and China continue to experience year-over-year declines, albeit at a more modest sequential pace. Fourth quarter operating profit margin increased 210 basis points to 28.7% on the higher volume, lower incentive compensation and operational excellence actions.

Fiscal 2013 fourth quarter year-over-year Energy segment sales decreased 1% to $93 million. Excluding the 1% impact from acquisitions and negative 2% from foreign currency translation, core sales were flat year-over-year. Hydratight demand remained strong in both the Europe and Asia Pacific regions; however, North American revenues declined on lower service and nuclear maintenance activity. Offshore demand for umbilical, cable and rope solutions grew with continued favorable market dynamics; however, Cortland’s non-energy markets, such as defense, experienced persistent weak activity levels. Fourth quarter operating profit margin declined 30 basis points year-over-year, primarily the result of unfavorable product mix.

Fourth quarter fiscal 2013 Engineered Solutions segment sales increased 4% from the prior year to $123 million. Excluding the 3% net benefit from acquisitions/divestitures and 1% from foreign currency translation, year-over-year core sales were flat. This was a significant sequential improvement from the third quarter’s 10% core sale decline. During the fourth quarter, European heavy-duty truck sales grew over 10% and total agriculture sales benefited from new product launches. Sales were down year-over-year in the off-highway equipment markets including construction and defense, as well as within the European convertible auto market, but the rate of decline in both moderated from prior quarters. Fourth quarter operating profit margin increased 100 basis points due to the benefit of cost reduction actions.

Corporate expenses for the fourth quarter of fiscal 2013 were $9.3 million, $0.6 million above the comparable prior year period due primarily to $3.5 million of transaction costs related to the Viking acquisition, partially offset by lower incentive compensation expenses. Income tax expense in the fourth quarter of fiscal 2013 included a non-cash $10.6 million benefit from the cumulative correction in accounting for taxes on equity compensation expense over several years. The correction reduced historical annual tax expense (and increased net income), but was not material to any individual year.

Net debt at August 31, 2013 was $411 million (total debt of $515 million less $104 million of cash); approximately $180 million above the prior quarter end. The Company deployed approximately $235 million of capital to acquire Viking in the fourth quarter as well as approximately $28 million for share repurchases. Given the quarter’s strong free cash flow, Actuant’s August 31, 2013 net debt to EBITDA leverage ratio remained low at 1.3X. Available liquidity is strong with $104 million of cash on hand, $475 million of revolver availability and the expected 2014 cash flow and Electrical segment divestiture proceeds.

“The economic environment remains difficult to predict, and we are focused on executing items within our control," Arzbaecher stated. "Our near-term priorities continue to be investing in strategic growth opportunities including high growth markets, acquisition capital deployment, cash generation, and completing the sale of the Electrical segment.

We continue to anticipate fiscal 2014 core sales growth in the range of 3-5%, outpacing GDP as a result of our company-specific Growth + Innovation (G+I) process and easier prior year comparisons. We expect total sales of $1.41-1.45 billion, including approximately $100 million of Viking fiscal 2014 revenue. On a year-over-year basis, the higher sales coupled with operational excellence initiatives and completed share repurchases should result in fiscal 2014 EPS of $2.00-2.10, an increase of 9-14% compared to fiscal 2013, excluding special items. We expect full year free cash flow of approximately $190 million. We anticipate first quarter fiscal 2014 sales in the $325-335 million range and EPS of $0.43-0.46. All guidance excludes the impact of future acquisitions and potential share repurchases.

Arzbaecher concluded, “Despite a stagnant macroeconomic environment, we expect to deliver sales and earnings growth in fiscal 2014. We remain focused on our G+I process, executing on cost savings initiatives, and maintaining our flexibility to capitalize on market opportunities. We believe our strong balance sheet provides significant capital deployment opportunities for Actuant to deliver shareholder value.”

An investor conference call is scheduled for 10am CT today, October 1, 2013. Webcast information and conference call materials will be made available on the Actuant company website (www.actuant.com) prior to the start of the call.

Certain of the above comments represent forward-looking statements made pursuant to the provisions of the Private Securities Litigation Reform Act of 1995. Management cautions that these statements are based on current estimates of future performance and are highly dependent upon a variety of factors, which could cause actual results to differ from these estimates. This includes statements pertaining to, among other things, the planned divestiture of the Electrical segment, the potential timing thereof, and the prospects and expected financial results of Actuant after the planned transaction. Actuant’s results are also subject to general economic conditions, variation in demand from customers, the impact of geopolitical activity on the economy, continued market acceptance of the Company’s new product introductions, the successful integration of acquisitions, restructuring, operating margin risk due to competitive pricing and operating efficiencies, supply chain risk, material and labor cost increases, foreign currency fluctuations and interest rate risk. See the Company’s Form 10-K filed with the Securities and Exchange Commission for further information regarding risk factors. Actuant disclaims any obligation to publicly update or revise any forward-looking statements as a result of new information, future events or any other reason.

Actuant Corporation is a diversified industrial company serving customers from operations in more than 30 countries. The Actuant businesses are leaders in a broad array of niche markets including branded hydraulic tools and solutions; specialized products and services for energy markets and highly engineered position and motion control systems. The Company was founded in 1910 and is headquartered in Menomonee Falls, Wisconsin. Actuant trades on the NYSE under the symbol ATU. For further information on Actuant and its businesses, visit the Company's website at www.actuant.com.

Actuant Corporation
Condensed Consolidated Balance Sheets
(Dollars in thousands)
(Unaudited)

			August 31,			August 31,
			2013			2012

ASSETS
Current assets
	Cash and cash equivalents		$	103,986		$	68,184
	Accounts receivable, net			219,075			234,756
	Inventories, net			142,549			211,690
	Deferred income taxes			18,796			22,583
	Other current assets			28,228			24,068
	Assets of discontinued operations			272,606			-
		Total current assets		785,240			561,281

Property, plant and equipment, net				201,496			115,884
Goodwill				734,952			866,412
Other intangible assets, net				376,692			445,884
Other long-term assets				20,952			17,658

		Total assets	$	2,119,332		$	2,007,119


LIABILITIES AND SHAREHOLDERS' EQUITY
Current liabilities
	Trade accounts payable		$	154,049		$	174,746
	Accrued compensation and benefits			43,800			58,817
	Current maturities of debt			-			7,500
	Income taxes payable			14,014			5,778
	Other current liabilities			56,899			72,165
	Liabilities of discontinued operations			53,080			-
		Total current liabilities		321,842			319,006

Long-term debt				515,000			390,000
Deferred income taxes				115,865			132,653
Pension and postretirement benefit accruals				20,698			26,442
Other long-term liabilities				65,660			87,182

Shareholders' equity
	Capital stock			15,399			15,102
	Additional paid-in capital			49,758			7,725
	Treasury stock			(104,915	)		(63,083	)
	Retained earnings			1,188,685			1,161,564
	Accumulated other comprehensive loss			(68,660	)		(69,472	)
	Stock held in trust			(3,124	)		(2,689	)
	Deferred compensation liability			3,124			2,689
		Total shareholders' equity		1,080,267			1,051,836

Total liabilities and shareholders' equity			$	2,119,332		$	2,007,119

Actuant Corporation
Condensed Consolidated Statements of Operations
(Dollars in thousands except per share amounts)
(Unaudited)


		Three Months Ended					Twelve Months Ended
		August 31,		August 31,			August 31,			August 31,
		2013		2012			2013			2012

Net sales		$	327,260	$	322,368		$	1,279,742		$	1,276,521
Cost of products sold			197,760		192,760			772,792			765,061
	Gross profit		129,500		129,608			506,950			511,460

Selling, administrative and engineering expenses			71,345		74,114			293,866			284,920
Amortization of intangible assets			5,397		5,789			22,939			22,026
	Operating profit		52,758		49,705			190,145			204,514

Financing costs, net			6,026		6,281			24,837			29,561
Debt refinancing costs			-		-			-			16,830
Other expense, net			841		196			2,359			3,493
	Earnings from continuing operations before income tax expense		45,891		43,228			162,949			154,630

Income tax expense			776		7,312			15,372			29,354
Earnings from continuing operations			45,115		35,916			147,577			125,276
Earnings (loss) from discontinued operations, net of income taxes			13,138		(52,376	)		(117,529	)		(37,986	)
Net earnings (loss)		$	58,253	$	(16,460	)	$	30,048		$	87,290

Earnings from continuing operations per share
	Basic	$	0.62	$	0.49		$	2.02		$	1.79
	Diluted		0.60		0.48			1.98			1.68

Earnings (loss) per share
	Basic	$	0.80	$	(0.23	)	$	0.41		$	1.25
	Diluted		0.78		(0.22	)		0.40			1.17

Weighted average common shares outstanding
	Basic		73,048		72,846			72,979			70,099
	Diluted		74,845		74,158			74,580			74,940

Actuant Corporation
Condensed Consolidated Statements of Cash Flows
(In thousands)
(Unaudited)


	Three Months Ended						Twelve Months Ended
	August 31,			August 31,			August 31,			August 31,
	2013			2012			2013			2012

Operating Activities
Net earnings (loss)	$	58,253		$	(16,460	)	$	30,048		$	87,290
Adjustments to reconcile net earnings (loss) to net cash provided by
operating activities:
Depreciation and amortization		11,112			14,071			53,902			54,263
Stock-based compensation expense		2,933			3,344			13,440			13,346
Benefit for deferred income taxes		(13,716	)		(8,387	)		(44,265	)		(10,524	)
Impairment charges		(11,235	)		62,464			158,817			62,464
Amortization of debt discount and debt issuance costs		452			498			1,940			1,990
Non-cash debt refinance charge		-			-			-			2,254
Other non-cash adjustments		157			139			328			-
Changes in components of working capital and other:
Accounts receivable		14,108			9,382			(10,925	)		(12,310	)
Inventories		6,388			2,361			13,714			11,532
Prepaid expenses and other assets		10			(3,235	)		(4,603	)		(2,164	)
Trade accounts payable		(1,750	)		3,123			(9,279	)		5,902
Income taxes payable		6,132			(15,847	)		594			(17,903	)
Accrued compensation and benefits		(1,427	)		2,474			(14,256	)		(6,292	)
Other accrued liabilities		6,102			(912	)		4,334			(7,519	)
Net cash provided by operating activities		77,519			53,015			193,789			182,329

Investing Activities
Proceeds from sale of property, plant and equipment		304			15			1,621			8,501
Proceeds from sale of businesses, net of transaction costs		-			-			4,854			-
Capital expenditures		(4,773	)		(5,249	)		(23,668	)		(22,740	)
Business acquisitions, net of cash acquired		(235,406	)		(40,533	)		(239,041	)		(70,267	)
Net cash used in investing activities		(239,875	)		(45,767	)		(256,234	)		(84,506	)

Financing Activities
Net borrowings (repayments) on revolving credit facilities and other debt		125,000			-			125,000			(58,167	)
Principal repayments on term loan		(2,500	)		(1,250	)		(7,500	)		(2,500	)
Repurchases of 2% Convertible Notes		-			-			-			(102	)
Proceeds on 5.625% Senior Note issuance		-			-			-			300,000
Redemption of 6.875% Senior Notes		-			-			-			(250,000	)
Debt issuance and refinancing costs		(2,035	)		(150	)		(2,035	)		(5,490	)
Purchase of treasury shares		(28,162	)		(23,801	)		(41,832	)		(63,083	)
Payment of contingent consideration		(1,826	)		-			(1,826	)		-
Stock option exercises and related tax benefits		14,556			4,521			33,261			10,913
Cash dividend		-			-			(2,911	)		(2,748	)
Net cash provided by (used in) financing activities		105,033			(20,680	)		102,157			(71,177	)

Effect of exchange rate changes on cash		(109	)		1,467			(3,910	)		(2,683	)
Net increase in cash and cash equivalents		(57,432	)		(11,965	)		35,802			23,963
Cash and cash equivalents - beginning of period		161,418			80,149			68,184			44,221
Cash and cash equivalents - end of period	$	103,986		$	68,184		$	103,986		$	68,184

ACTUANT CORPORATION
SUPPLEMENTAL UNAUDITED DATA FROM CONTINUING OPERATIONS
(Dollars in thousands)

			FISCAL 2012															FISCAL 2013
			Q1			Q2			Q3			Q4			TOTAL			Q1			Q2			Q3			Q4			TOTAL
SALES
	INDUSTRIAL SEGMENT		$	100,253		$	98,342		$	110,102		$	110,598		$	419,295		$	101,122		$	98,999		$	111,308		$	111,191		$	422,620
	ENERGY SEGMENT			80,421			78,937			96,399			93,406			349,163			90,769			80,794			99,158			92,651			363,372
	ENGINEERED SOLUTIONS SEGMENT			129,292			123,640			136,767			118,364			508,063			115,918			120,675			133,739			123,418			493,750
		TOTAL	$	309,966		$	300,919		$	343,268		$	322,368		$	1,276,521		$	307,809		$	300,468		$	344,205		$	327,260		$	1,279,742

% SALES GROWTH
	INDUSTRIAL SEGMENT			15	%		11	%		2	%		2	%		7	%		1	%		1	%		1	%		1	%		1	%
	ENERGY SEGMENT			14	%		28	%		24	%		13	%		19	%		13	%		2	%		3	%		-1	%		4	%
	ENGINEERED SOLUTIONS SEGMENT			23	%		12	%		8	%		-10	%		7	%		-10	%		-2	%		-2	%		4	%		-3	%
		TOTAL		18	%		16	%		10	%		0	%		10	%		-1	%		0	%		0	%		2	%		0	%

OPERATING PROFIT (LOSS)
	INDUSTRIAL SEGMENT		$	27,933		$	26,690		$	30,681		$	29,473		$	114,777		$	27,006		$	26,350		$	32,426		$	31,862		$	117,644
	ENERGY SEGMENT			13,217			11,632			18,515			18,841			62,205			15,387			9,677			19,736			18,480			63,280
	ENGINEERED SOLUTIONS SEGMENT			18,999			13,281			18,467			10,104			60,851			7,625			8,275			12,754			11,674			40,328
	CORPORATE / GENERAL			(7,845	)		(7,948	)		(8,813	)		(8,713	)		(33,319	)		(6,544	)		(7,431	)		(7,874	)		(9,258	)		(31,107	)
		TOTAL	$	52,304		$	43,655		$	58,850		$	49,705		$	204,514		$	43,474		$	36,871		$	57,042		$	52,758		$	190,145

OPERATING PROFIT %
	INDUSTRIAL SEGMENT			27.9	%		27.1	%		27.9	%		26.6	%		27.4	%		26.7	%		26.6	%		29.1	%		28.7	%		27.8	%
	ENERGY SEGMENT			16.4	%		14.7	%		19.2	%		20.2	%		17.8	%		17.0	%		12.0	%		19.9	%		19.9	%		17.4	%
	ENGINEERED SOLUTIONS SEGMENT			14.7	%		10.7	%		13.5	%		8.5	%		12.0	%		6.6	%		6.9	%		9.5	%		9.5	%		8.2	%
		TOTAL (INCLUDING CORPORATE)		16.9	%		14.5	%		17.1	%		15.4	%		16.0	%		14.1	%		12.3	%		16.6	%		16.1	%		14.9	%

EBITDA
	INDUSTRIAL SEGMENT		$	29,220		$	29,116		$	32,070		$	31,774		$	122,180		$	29,033		$	28,471		$	34,374		$	33,742		$	125,620
	ENERGY SEGMENT			18,243			15,601			22,216			23,166			79,226			19,694			14,278			23,977			22,185			80,134
	ENGINEERED SOLUTIONS SEGMENT			22,213			16,762			21,418			13,991			74,384			12,047			12,611			16,700			15,659			57,017
	CORPORATE / GENERAL			(7,217	)		(7,479	)		(8,506	)		(7,972	)		(31,174	)		(6,195	)		(6,582	)		(7,556	)		(8,556	)		(28,889	)
		TOTAL	$	62,459		$	54,000		$	67,198		$	60,959		$	244,616		$	54,579		$	48,778		$	67,495		$	63,030		$	233,882

EBITDA %
	INDUSTRIAL SEGMENT			29.1	%		29.6	%		29.1	%		28.7	%		29.1	%		28.7	%		28.8	%		30.9	%		30.3	%		29.7	%
	ENERGY SEGMENT			22.7	%		19.8	%		23.0	%		24.8	%		22.7	%		21.7	%		17.7	%		24.2	%		23.9	%		22.1	%
	ENGINEERED SOLUTIONS SEGMENT			17.2	%		13.6	%		15.7	%		11.8	%		14.6	%		10.4	%		10.5	%		12.5	%		12.7	%		11.5	%
		TOTAL (INCLUDING CORPORATE)		20.2	%		17.9	%		19.6	%		18.9	%		19.2	%		17.7	%		16.2	%		19.6	%		19.3	%		18.3	%

ACTUANT CORPORATION
SUPPLEMENTAL UNAUDITED DATA
RECONCILIATION OF GAAP MEASURE TO NON-GAAP MEASURES
(Dollars in thousands, except for per share amounts)


				FISCAL 2012					FISCAL 2013
				Q1	Q2	Q3	Q4	TOTAL	Q1	Q2	Q3	Q4	TOTAL
EARNINGS (LOSS) BEFORE SPECIAL ITEMS (1)
	NET EARNINGS (LOSS)			$ 37,174	$ 32,175	$ 34,401	$ (16,460)	$ 87,290	$ 36,343	$ 28,435	$ (92,983)	$ 58,253	$ 30,048
	LOSS (EARNINGS) FROM DISCONTINUED OPERATIONS, NET OF INCOME TAX			(3,204)	(4,522)	(6,664)	52,376	37,986	(5,792)	(2,601)	139,060	(13,138)	117,529
		EARNINGS FROM CONTINUING OPERATIONS		33,970	27,653	27,737	35,916	125,276	30,551	25,834	46,077	45,115	147,577
	DEBT REFINANCING CHARGES, NET OF INCOME TAX			-	-	10,482	-	10,482	-	-	-	-	-
	INCOME TAX ADJUSTMENT			-	-	-	-	-	-	-	-	(10,596)	(10,596)
		TOTAL		$ 33,970	$ 27,653	$ 38,219	$ 35,916	$ 135,758	$ 30,551	$ 25,834	$ 46,077	$ 34,519	$ 136,981

DILUTED EARNINGS (LOSS) PER SHARE, BEFORE
SPECIAL ITEMS (1)
	NET EARNINGS (LOSS)			$ 0.50	$ 0.43	$ 0.45	$ (0.22)	$ 1.17	$ 0.49	$ 0.38	$ (1.24)	$ 0.78	$ 0.40
	LOSS (EARNINGS) FROM DISCONTINUED OPERATIONS, NET OF INCOME TAX			(0.04)	(0.06)	(0.09)	0.70	0.51	(0.08)	(0.03)	1.86	(0.18)	1.58
		EARNINGS FROM CONTINUING OPERATIONS		0.46	0.37	0.36	0.48	1.68	0.41	0.35	0.62	0.60	1.98
	DEBT REFINANCING CHARGES, NET OF INCOME TAX			-	-	0.15	-	0.15	-	-	-	-	-
	INCOME TAX ADJUSTMENT			-	-	-	-	-	-	-	-	(0.14)	(0.14)
		TOTAL		$ 0.46	$ 0.37	$ 0.51	$ 0.48	$ 1.83	$ 0.41	$ 0.35	$ 0.62	$ 0.46	$ 1.84


EBITDA (2)
	NET EARNINGS (LOSS) (GAAP MEASURE)			$ 37,174	$ 32,175	$ 34,401	$ (16,460)	$ 87,290	$ 36,343	$ 28,435	$ (92,983)	$ 58,253	$ 30,048
	LOSS (EARNINGS) FROM DISCONTINUED OPERATIONS, NET OF INCOME TAX			(3,204)	(4,522)	(6,664)	52,376	37,986	(5,792)	(2,601)	139,060	(13,138)	117,529
		EARNINGS FROM CONTINUING OPERATIONS		33,970	27,653	27,737	35,916	125,276	30,551	25,834	46,077	45,115	147,577
	FINANCING COSTS, NET			8,222	7,821	24,066	6,281	46,390	6,322	6,260	6,229	6,026	24,837
	INCOME TAX EXPENSE			9,447	8,139	4,456	7,312	29,354	5,957	4,814	3,825	776	15,372
	DEPRECIATION & AMORTIZATION			10,820	10,387	10,939	11,450	43,596	11,749	11,870	11,364	11,113	46,096
		EBITDA - EXCLUDING DISCONTINUED OPERATIONS (NON-GAAP MEASURE)		$ 62,459	$ 54,000	$ 67,198	$ 60,959	$ 244,616	$ 54,579	$ 48,778	$ 67,495	$ 63,030	$ 233,882

FOOTNOTES

NOTE:			The total of the individual quarters may not equal the annual total due to rounding.

(1)			Earnings (loss) and diluted earnings (loss) per share, excluding special items (debt refinancing charges, income tax adjustments, and discontinued operations), represent net earnings (loss) and diluted earnings (loss) per share per the Condensed Consolidated Statements of Operations net of charges or credits for items to be highlighted for comparability purposes. These measures should not be considered as an alternative to net earnings (loss) or diluted earnings (loss) per share as an indicator of the Company's operating performance. However, this presentation is important to investors for understanding the operating results of the current portfolio of Actuant companies. The total of the individual components may not equal due to rounding.

(2)			EBITDA represents net earnings (loss) before financing costs, net, income tax expense, discontinued operations and depreciation & amortization. EBITDA is not a calculation based upon generally accepted accounting principles (GAAP). The amounts included in the EBITDA calculation, however, are derived from amounts included in the Condensed Consolidated Statements of Operations data. EBITDA should not be considered as an alternative to net earnings or operating profit as an indicator of the Company's operating performance, or as an alternative to operating cash flows as a measure of liquidity. Actuant has presented EBITDA because it regularly reviews this as a measure of the Company's ability to incur and service debt. In addition, EBITDA is used by many of our investors and lenders, and is presented as a convenience to them. However, the EBITDA measure presented may not always be comparable to similarly titled measures reported by other companies due to differences in the components of the calculation.

CONTACT:
Actuant Corporation
Karen Bauer, 262-293-1562
Communications & Investor Relations Leader

		ACTUANT CORPORATION
		(Registrant)

Date:	October 1, 2013	By:	/s/ Andrew G. Lampereur
		Andrew G. Lampereur
		Executive Vice President and
		Chief Financial Officer


Segment Results

Industrial Segment
(US $ in millions)

	Three Months Ended August 31,		Year Ended August 31,
	2013	2012	2013	2012
Sales	$111.2	$110.6	$422.6	$419.3
Operating Profit	$31.9	$29.5	$117.6	$114.8
Operating Profit %	28.7%	26.6%	27.8%	27.4%


Energy Segment
(US $ in millions)

	Three Months Ended August 31,		Year Ended August 31,
	2013	2012	2013	2012
Sales	$92.7	$93.4	$363.4	$349.2
Operating Profit	$18.5	$18.8	$63.3	$62.2
Operating Profit %	19.9%	20.2%	17.4%	17.8%


Engineered Solutions Segment
(US $ in millions)

	Three Months Ended August 31,		Year Ended August 31,
	2013	2012	2013	2012
Sales	$123.4	$118.4	$493.7	$508.1
Operating Profit	$11.7	$10.1	$40.3	$60.9
Operating Profit %	9.5%	8.5%	8.2%	12.0%