Date of Report (Date of earliest event reported): October 22, 2015
|
MINERALS TECHNOLOGIES INC.
|
(Exact name of registrant as specified in its charter)
|
Delaware
|
|
1-11430
|
|
25-1190717
|
(State or other jurisdiction
of incorporation) |
(Commission File
Number) |
(IRS Employer
Identification No.) |
622 Third Avenue, New York, NY
|
|
10017-6707
|
(Address of principal executive offices)
|
(Zip Code)
|
(212) 878-1800
|
||
(Registrant's telephone number, including area code)
|
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions.
|
|
[ ]
|
Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)
|
[ ]
|
Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)
|
[ ]
|
Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))
|
[ ]
|
Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act
(17 CFR 240.13e-4(c)) |
Item 2.02
|
Results of Operations and Financial Condition.
|
|||
On October 22, 2015 Minerals Technologies Inc. issued a press release regarding its financial performance for the third quarter of 2015. A copy of the press release is attached hereto as Exhibit 99.1 and incorporated by reference herein.
The information in this Item 2.02 and Exhibit 99.1 shall not be deemed filed for the purposes of Section 18 of the Securities and Exchange Act of 1934, as amended, or incorporated by reference in any filing under the Securities Act of 1933, as amended, except as shall be expressly set forth by specific reference in such filing.
|
||||
Item 9.01
|
|
Financial Statements and Exhibits.
|
||
(d)
|
Exhibits
|
|||
99.1
|
Press Release dated October 22, 2015
|
SIGNATURES
|
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
|
|
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MINERALS TECHNOLOGIES INC.
|
|
|
|
(Registrant)
|
|
|
|
|
|
|
|
|
|
By:
|
/s/ Thomas J. Meek
|
||
|
|
Name:
|
Thomas J. Meek
|
Title:
|
Senior Vice President, General Counsel, Human Resources, Secretary and Chief Compliance Officer
|
||
Date: October 22, 2015
|
|
|
MINERALS TECHNOLOGIES INC.
|
||
EXHIBIT INDEX
|
||
Exhibit No.
__________ |
|
Subject Matter
____________________________________________________________ |
99.1
|
|
Press Release dated October 22, 2015
|
EXHIBIT 99.1
|
|
News
|
|
For Immediate Release
|
Contact:
|
October 22, 2015
|
Rick B. Honey
|
(212) 878-1831
|
·
|
Operating Income of $62.8 Million and 13.9% of Sales, Excluding Special Items
|
·
|
Strong Cash Flows from Operations of $80 Million
|
·
|
$50 Million Debt Reduction in the Third Quarter
|
·
|
Signed 22nd and 23rd Commercial Agreements for FulFill® High Filler Technology
|
·
|
Successful Start-Up of Satellite to Produce NewYield™ Technology
|
·
|
Board Authorizes Two-Year $150 Million Share Repurchase Program
|
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
|
||||||||||||||||||||||||||||||||
MINERALS TECHNOLOGIES INC. AND SUBSIDIARY COMPANIES
|
||||||||||||||||||||||||||||||||
( in millions, except per share data)
|
||||||||||||||||||||||||||||||||
(unaudited)
|
||||||||||||||||||||||||||||||||
Quarter Ended
|
% Growth
|
Nine Months Ended
|
% Growth
|
|||||||||||||||||||||||||||||
Sept. 27,
|
June 28,
|
Sept. 28,
|
Prior | Prior |
Sept. 27,
|
Sept. 28,
|
Prior | |||||||||||||||||||||||||
2015
|
2015
|
2014
|
Qtr.
|
Year
|
2015
|
2014
|
Year
|
|||||||||||||||||||||||||
Net sales
|
||||||||||||||||||||||||||||||||
Product sales
|
$
|
410.1
|
$
|
414.1
|
$
|
458.1
|
(1
|
)%
|
(10
|
)%
|
$
|
1,218.8
|
$
|
1,075.0
|
13
|
%
|
||||||||||||||||
Service revenue
|
40.9
|
49.3
|
85.4
|
(17
|
)%
|
(52
|
)%
|
148.8
|
134.0
|
11
|
%
|
|||||||||||||||||||||
Total net sales
|
451.0
|
463.4
|
543.5
|
(3
|
)%
|
(17
|
)%
|
1,367.6
|
1,209.0
|
13
|
%
|
|||||||||||||||||||||
Cost of sales
|
||||||||||||||||||||||||||||||||
Cost of goods sold
|
302.4
|
300.6
|
337.8
|
1
|
%
|
(10
|
)%
|
895.8
|
812.0
|
10
|
%
|
|||||||||||||||||||||
Cost of service revenue
|
29.7
|
36.6
|
60.7
|
(19
|
)%
|
(51
|
)%
|
110.2
|
94.0
|
17
|
%
|
|||||||||||||||||||||
Total cost of sales
|
332.1
|
337.2
|
398.5
|
(2
|
)%
|
(17
|
)%
|
1,006.0
|
906.0
|
11
|
%
|
|||||||||||||||||||||
Production margin
|
118.9
|
126.2
|
145.0
|
(6
|
)%
|
(18
|
)%
|
361.6
|
303.0
|
19
|
%
|
|||||||||||||||||||||
Marketing and administrative expenses
|
47.9
|
46.2
|
59.7
|
4
|
%
|
(20
|
)%
|
139.6
|
127.4
|
10
|
%
|
|||||||||||||||||||||
Research and development expenses
|
6.2
|
5.8
|
6.6
|
7
|
%
|
(6
|
)%
|
17.8
|
18.0
|
(1
|
)%
|
|||||||||||||||||||||
Amortization expense of intangible assets acquired
|
2.0
|
1.9
|
1.9
|
5
|
%
|
5
|
%
|
5.8
|
2.9
|
100
|
%
|
|||||||||||||||||||||
Acquisition related transaction and integration costs
|
2.4
|
2.7
|
4.2
|
(11
|
)%
|
(43
|
)%
|
8.5
|
16.7
|
(49
|
)%
|
|||||||||||||||||||||
Restructuring and other charges
|
10.5
|
16.8
|
5.8
|
*
|
*
|
27.3
|
11.8
|
*
|
||||||||||||||||||||||||
Income from operations
|
49.9
|
52.8
|
66.8
|
(5
|
)%
|
(25
|
)%
|
162.6
|
126.2
|
29
|
%
|
|||||||||||||||||||||
Interest expense, net
|
(14.5
|
)
|
(15.8
|
)
|
(16.0
|
)
|
(8
|
)%
|
(9
|
)%
|
(45.5
|
)
|
(25.2
|
)
|
81
|
%
|
||||||||||||||||
Extinguishment of debt costs and fees
|
0.0
|
(4.5
|
)
|
0.0
|
*
|
*
|
(4.5
|
)
|
(5.8
|
)
|
(22
|
)%
|
||||||||||||||||||||
Other non-operating income (deductions), net
|
2.8
|
(0.2
|
)
|
0.9
|
*
|
*
|
5.7
|
0.5
|
*
|
|||||||||||||||||||||||
Total non-operating deductions, net
|
(11.7
|
)
|
(20.5
|
)
|
(15.1
|
)
|
*
|
*
|
(44.3
|
)
|
(30.5
|
)
|
*
|
|||||||||||||||||||
Income from continuing operations before tax and equity in earnings
|
38.2
|
32.3
|
51.7
|
18
|
%
|
(26
|
)%
|
118.3
|
95.7
|
24
|
%
|
|||||||||||||||||||||
Provision for taxes on income
|
8.4
|
5.3
|
14.4
|
58
|
%
|
(42
|
)%
|
25.8
|
24.8
|
4
|
%
|
|||||||||||||||||||||
Equity in earnings of affiliates, net of tax
|
0.5
|
0.5
|
0.3
|
0
|
%
|
67
|
%
|
1.4
|
0.6
|
*
|
||||||||||||||||||||||
Income from continuing operations, net of tax
|
30.3
|
27.5
|
37.6
|
10
|
%
|
(19
|
)%
|
93.9
|
71.5
|
31
|
%
|
|||||||||||||||||||||
Income (loss) from discontinued operations, net of tax
|
0.0
|
0.0
|
0.2
|
*
|
*
|
0.0
|
2.0
|
*
|
||||||||||||||||||||||||
Consolidated net income
|
30.3
|
27.5
|
37.8
|
10
|
%
|
(20
|
)%
|
93.9
|
73.5
|
28
|
%
|
|||||||||||||||||||||
Less: Net income attributable to non-controlling interests
|
1.1
|
0.9
|
0.8
|
22
|
%
|
38
|
%
|
2.9
|
2.4
|
21
|
%
|
|||||||||||||||||||||
Net Income attributable to Minerals Technologies Inc. (MTI)
|
$
|
29.2
|
$
|
26.6
|
$
|
37.0
|
10
|
%
|
(21
|
)%
|
$
|
91.0
|
$
|
71.1
|
28
|
%
|
||||||||||||||||
Weighted average number of common shares outstanding:
|
||||||||||||||||||||||||||||||||
Basic
|
34.7
|
34.7
|
34.5
|
34.7
|
34.5
|
|||||||||||||||||||||||||||
Diluted
|
35.0
|
35.0
|
34.8
|
35.0
|
34.8
|
|||||||||||||||||||||||||||
Earnings per share attributable to MTI:
|
||||||||||||||||||||||||||||||||
Basic:
|
||||||||||||||||||||||||||||||||
Income from continuing operations attributable to MTI
|
$
|
0.84
|
$
|
0.77
|
$
|
1.07
|
9
|
%
|
(21
|
)%
|
$
|
2.62
|
$
|
2.00
|
31
|
%
|
||||||||||||||||
Income (loss) from discontinued operations attributable to MTI
|
0.00
|
0.00
|
0.00
|
*
|
*
|
0.00
|
0.06
|
*
|
||||||||||||||||||||||||
Net Income attributable to MTI common shareholders
|
$
|
0.84
|
$
|
0.77
|
$
|
1.07
|
9
|
%
|
(21
|
)%
|
$
|
2.62
|
$
|
2.06
|
27
|
%
|
||||||||||||||||
Diluted:
|
||||||||||||||||||||||||||||||||
Income from continuing operations attributable to MTI
|
$
|
0.83
|
$
|
0.76
|
$
|
1.06
|
9
|
%
|
(22
|
)%
|
$
|
2.60
|
$
|
1.99
|
31
|
%
|
||||||||||||||||
income (loss) from discontinued operations attributable to MTI
|
0.00
|
0.00
|
0.00
|
*
|
*
|
0.00
|
0.06
|
*
|
||||||||||||||||||||||||
Net Income attributable to MTI common shareholders
|
$
|
0.83
|
$
|
0.76
|
$
|
1.06
|
9
|
%
|
(22
|
)%
|
$
|
2.60
|
$
|
2.05
|
27
|
%
|
||||||||||||||||
Cash dividends declared per common share
|
$
|
0.05
|
$
|
0.05
|
$
|
0.05
|
$
|
0.15
|
$
|
0.15
|
||||||||||||||||||||||
* Percentage not meaningful
|
MINERALS TECHNOLOGIES INC. AND SUBSIDIARY COMPANIES
|
|||||||||||||||
NOTES TO CONDENSED CONSOLIDATED STATEMENTS OF INCOME
|
|||||||||||||||
1)
|
For comparative purposes, the quarterly periods ended September 27, 2015, June 28, 2015, and September 28, 2014 each consisted of 91 days. The nine month periods ended September 27, 2015 and September 28, 2014 consisted of 270 days and 271 days, respectively. As a result of the acquisition of AMCOL International on May 9, 2014, the financial results of the acquired business reflect 143 days in the nine months of 2014.
|
||||||||||||||
2)
|
To supplement the Company's consolidated financial statements presented in accordance with GAAP, the following is a presentation of the Company's non-GAAP earnings per share, excluding special items, for the quarterly periods ended September 27, 2015, June 28, 2015 and September 28, 2014 and the nine month periods ended September 27, 2015 and September 28, 2014 and a reconciliation to reported earnings per share for such periods. The Company's management believes these non-GAAP measures provide meaningful supplemental information regarding its performance as inclusion of such special items are not indicative of the ongoing operating results and thereby affect the comparability of results between periods. The Company feels inclusion of these non-GAAP measures also provides consistency in its financial reporting and facilitates investors' understanding of historic operating trends.
|
||||||||||||||
(millions of dollars)
|
Quarter Ended
|
Nine Months Ended
|
|||||||||||||
Sept. 27,
|
June 28,
|
Sept. 28,
|
Sept. 27,
|
Sept. 28,
|
|||||||||||
2015
|
2015
|
2014
|
2015
|
2014
|
|||||||||||
Income from continuing operations attributable to MTI
|
$
|
29.2
|
$
|
26.6
|
$
|
36.8
|
$
|
91.0
|
$
|
69.1
|
|||||
Special items:
|
|||||||||||||||
Acquisition related transaction and integration costs
|
2.4
|
2.7
|
4.2
|
8.5
|
16.7
|
||||||||||
Debt extinguishment costs and fees
|
0.0
|
4.5
|
0.0
|
4.5
|
5.8
|
||||||||||
Non-cash inventory step-up charges
|
0.0
|
0.0
|
0.0
|
0.0
|
5.6
|
||||||||||
Restructuring and other charges
|
5.2
|
1.0
|
5.8
|
6.2
|
11.8
|
||||||||||
Impairment of Assets
|
5.3
|
15.8
|
0.0
|
21.1
|
0.0
|
||||||||||
Related tax effects on special items
|
(4.9)
|
(9.2)
|
(3.2)
|
(15.3)
|
(12.6)
|
||||||||||
Income from continuing operations attributable to MTI, excluding special items
|
$
|
37.2
|
$
|
41.4
|
$
|
43.6
|
$
|
116.0
|
$
|
96.4
|
|||||
Diluted earnings per share, excluding special items
|
$
|
1.06
|
$
|
1.18
|
$
|
1.25
|
$
|
3.31
|
$
|
2.77
|
|||||
During the third quarter of 2015, the Company incurred restructuring charges of $10.5 million related to lease termination costs, inventory write-offs, and impairment of assets relating to its exit from its Coiled Tubing product line and restructuring of other on-shore services, within the Energy Services segment as a result of the significant reduction in oil prices and significant overcapacity in the on-shore oil services market.
|
|||||||||||||||
3)
|
Free cash flow is defined as cash flow from continuing operations less capital expenditures. The following is a presentation of the Company's non-GAAP free cash flow for the quarterly periods ended September 27, 2015, June 28, 2015, and September 28, 2014 and the nine month periods ended September 27, 2015 and September 28, 2014 and a reconciliation to cash flow from operations for such periods. The Company's management believes this non-GAAP measure provides meaningful supplemental information as management uses this measure to evaluate the Company's ability to maintain capital assets, satisfy current and future obligations, repurchase stock, pay dividends and fund future business opportunities. Free cash flow is not a measure of cash available for discretionary expenditures since the Company has certain non-discretionary obligations such as debt service that are not deducted from the measure. The Company's definition of free cash flow may not be comparable to similarly titled measures reported by other companies.
|
||||||||||||||
Quarter Ended
|
Nine Months Ended
|
||||||||||||||
(millions of dollars)
|
Sept. 27,
|
June 28,
|
Sept. 28,
|
Sept. 27,
|
Sept. 28,
|
||||||||||
2015
|
2015
|
2014
|
2015
|
2014
|
|||||||||||
Cash flow from continuing operations
|
$
|
80.2
|
$
|
94.8
|
$
|
86.9
|
$
|
194.7
|
$
|
194.3
|
|||||
Capital expenditures
|
21.8
|
24.5
|
25.7
|
70.5
|
62.4
|
||||||||||
Free cash flow
|
$
|
58.4
|
$
|
70.3
|
$
|
61.2
|
$
|
124.2
|
$
|
131.9
|
|||||
4)
|
The following table reflects the components of non-operating income and deductions:
|
||||||||||||||
(millions of dollars)
|
Quarter Ended
|
Nine Months Ended
|
|||||||||||||
Sept. 27,
|
June 28,
|
Sept. 28,
|
Sept. 27,
|
Sept. 28,
|
|||||||||||
2015
|
2015
|
2014
|
2015
|
2014
|
|||||||||||
Interest income
|
$
|
0.5
|
$
|
0.3
|
$
|
0.8
|
$
|
1.2
|
$
|
2.2
|
|||||
Interest expense
|
(15.0)
|
(16.1)
|
(16.8)
|
(46.7)
|
(27.4)
|
||||||||||
Debt extinguishment costs and fees
|
0.0
|
(4.5)
|
0.0
|
(4.5)
|
(5.8)
|
||||||||||
Foreign exchange gains
|
3.1
|
0.3
|
1.6
|
6.9
|
1.7
|
||||||||||
Other deductions
|
(0.3)
|
(0.5)
|
(0.7)
|
(1.2)
|
(1.2)
|
||||||||||
Non-operating income (deductions), net
|
$
|
(11.7)
|
$
|
(20.5)
|
$
|
(15.1)
|
$
|
(44.3)
|
$
|
(30.5)
|
|||||
5)
|
The analyst conference call to discuss operating results for the third quarter is scheduled for Friday, October 23, 2015 at 11:00 am and will be broadcast over the Company's website (www.mineralstech.com). The broadcast will remain on the Company's website for no less than one year.
|
SUPPLEMENTARY DATA
|
|||||||||||||||||
MINERALS TECHNOLOGIES INC. AND SUBSIDIARY COMPANIES
|
|||||||||||||||||
(millions of dollars)
|
|||||||||||||||||
(unaudited)
|
|||||||||||||||||
Quarter Ended
|
% Growth
|
Nine Months Ended
|
% Growth
|
||||||||||||||
SALES DATA
|
Sept. 27,
|
June 28,
|
Sept. 28,
|
Prior | Prior |
Sept. 27,
|
Sept. 28,
|
Prior | |||||||||
2015
|
2015
|
2014
|
Qtr
|
Year
|
2015
|
2014
|
Year
|
||||||||||
United States
|
$
|
264.9
|
$
|
273.5
|
$
|
326.3
|
(3)%
|
(19)%
|
$
|
806.3
|
$
|
704.6
|
14%
|
||||
International
|
186.1
|
189.9
|
217.2
|
(2)%
|
(14)%
|
561.3
|
504.4
|
11%
|
|||||||||
Net Sales
|
$
|
451.0
|
$
|
463.4
|
$
|
543.5
|
(3)%
|
(17)%
|
$
|
1,367.6
|
$
|
1,209.0
|
13%
|
||||
Paper PCC
|
$
|
106.1
|
$
|
104.7
|
$
|
113.4
|
1%
|
(6)%
|
$
|
315.9
|
$
|
341.3
|
(7)%
|
||||
Specialty PCC
|
15.8
|
16.2
|
16.5
|
(2)%
|
(4)%
|
48.5
|
50.7
|
(4)%
|
|||||||||
PCC Products
|
$
|
121.9
|
$
|
120.9
|
$
|
129.9
|
1%
|
(6)%
|
$
|
364.4
|
$
|
392.0
|
(7)%
|
||||
Talc
|
$
|
13.9
|
$
|
14.2
|
$
|
13.8
|
(2)%
|
1%
|
$
|
41.9
|
$
|
41.7
|
0%
|
||||
Ground Calcium Carbonate
|
20.7
|
21.4
|
19.3
|
(3)%
|
7%
|
60.6
|
56.8
|
7%
|
|||||||||
Processed Minerals Products
|
$
|
34.6
|
$
|
35.6
|
$
|
33.1
|
(3)%
|
5%
|
$
|
102.5
|
$
|
98.5
|
4%
|
||||
Specialty Minerals Segment
|
$
|
156.5
|
156.5
|
163.0
|
0%
|
(4)%
|
466.9
|
490.5
|
(5)%
|
||||||||
Refractory products
|
$
|
60.5
|
$
|
59.5
|
$
|
69.7
|
2%
|
(13)%
|
$
|
178.3
|
$
|
201.4
|
(11)%
|
||||
Metallurgical Products
|
16.9
|
16.9
|
20.7
|
0%
|
(18)%
|
49.4
|
65.4
|
(24)%
|
|||||||||
Refractories Segment
|
$
|
77.4
|
$
|
76.4
|
90.4
|
1%
|
(14)%
|
227.7
|
266.8
|
(15)%
|
|||||||
Metalcasting
|
$
|
63.4
|
$
|
71.6
|
$
|
70.0
|
(11)%
|
(9)%
|
$
|
200.3
|
$
|
109.4
|
83%
|
||||
Household, Personal Care & Specialty Products
|
43.0
|
41.7
|
42.8
|
3%
|
0%
|
126.6
|
66.2
|
91%
|
|||||||||
Basic Minerals & Other Products
|
20.1
|
15.8
|
22.8
|
27%
|
(12)%
|
56.6
|
35.8
|
58%
|
|||||||||
Performance Materials Segment
|
$
|
126.5
|
$
|
129.1
|
$
|
135.6
|
(2)%
|
(7)%
|
$
|
383.5
|
$
|
211.4
|
81%
|
||||
Environmental products
|
$
|
21.7
|
$
|
22.1
|
$
|
34.5
|
(2)%
|
(37)%
|
$
|
55.2
|
$
|
51.8
|
7%
|
||||
Building Materials & Other Products
|
28.0
|
30.0
|
34.6
|
(7)%
|
(19)%
|
85.5
|
54.5
|
57%
|
|||||||||
Construction Technologies Segment
|
$
|
49.7
|
$
|
52.1
|
$
|
69.1
|
(5)%
|
(28)%
|
$
|
140.7
|
$
|
106.3
|
32%
|
||||
Energy Services Segment
|
$
|
40.9
|
$
|
49.3
|
$
|
85.4
|
(17)%
|
(52)%
|
$
|
148.8
|
$
|
134.0
|
11%
|
||||
Net Sales
|
$
|
451.0
|
$
|
463.4
|
$
|
543.5
|
(3)%
|
(17)%
|
$
|
1,367.6
|
$
|
1,209.0
|
13%
|
||||
SUPPLEMENTARY DATA
|
|||||||||||||||||
MINERALS TECHNOLOGIES INC. AND SUBSIDIARY COMPANIES
|
|||||||||||||||||
(millions of dollars)
|
|||||||||||||||||
(unaudited)
|
|||||||||||||||||
Quarter Ended
|
% Growth
|
Nine Months Ended
|
% Growth
|
||||||||||||||
Sept. 27,
|
June 28,
|
Sept. 28,
|
Prior | Prior |
Sept. 27,
|
Sept. 28,
|
Prior | ||||||||||
SEGMENT OPERATING INCOME DATA
|
2015
|
2015
|
2014
|
Qtr
|
Year
|
2015
|
2014
|
Year
|
|||||||||
Specialty Minerals Segment
|
$
|
25.0
|
$
|
27.1
|
$
|
26.0
|
(8)%
|
(4)%
|
$
|
75.2
|
$
|
71.4
|
5%
|
||||
% of Sales
|
16.0%
|
17.3%
|
16.0%
|
16.1%
|
14.6%
|
||||||||||||
Refractories Segment
|
$
|
7.9
|
$
|
8.4
|
$
|
9.7
|
(6)%
|
(19)%
|
$
|
24.5
|
$
|
29.0
|
(16)%
|
||||
% of Sales
|
10.2%
|
11.0%
|
10.7%
|
10.8%
|
10.9%
|
||||||||||||
Performance Materials Segment
|
22.7
|
25.5
|
18.7
|
(11)%
|
21%
|
72.0
|
23.0
|
213%
|
|||||||||
% of Sales
|
17.9%
|
19.8%
|
13.8%
|
18.8%
|
10.9%
|
||||||||||||
Construction Technologies Segment
|
6.1
|
8.3
|
8.3
|
(27)%
|
(27)%
|
18.5
|
9.0
|
106%
|
|||||||||
% of Sales
|
12.3%
|
15.9%
|
12.0%
|
13.1%
|
8.5%
|
||||||||||||
Energy Services Segment
|
(7.9)
|
(12.2)
|
10.2
|
*
|
*
|
(14.2)
|
16.1
|
*
|
|||||||||
% of Sales
|
-19.3%
|
-24.7%
|
11.9%
|
-9.5%
|
12.0%
|
||||||||||||
Unallocated Corporate Expenses
|
$
|
(1.5)
|
$
|
(1.6)
|
$
|
(1.9)
|
(6)%
|
(21)%
|
$
|
(4.9)
|
$
|
(5.6)
|
(13)%
|
||||
Acquisition related transaction costs
|
$
|
(2.4)
|
$
|
(2.7)
|
$
|
(4.2)
|
(11)%
|
(43)%
|
$
|
(8.5)
|
$
|
(16.7)
|
(49)%
|
||||
Consolidated
|
$
|
49.9
|
$
|
52.8
|
$
|
66.8
|
(5)%
|
(25)%
|
$
|
162.6
|
$
|
126.2
|
29%
|
||||
% of Sales
|
11.1%
|
11.4%
|
12.3%
|
11.9%
|
10.4%
|
||||||||||||
SPECIAL ITEMS
|
|||||||||||||||||
Specialty Minerals Segment
|
$
|
0.0
|
$
|
0.0
|
$
|
0.5
|
*
|
*
|
$
|
0.0
|
$
|
2.7
|
*
|
||||
Refractories Segment
|
$
|
0.0
|
$
|
0.0
|
$
|
0.0
|
*
|
*
|
$
|
0.0
|
$
|
0.6
|
*
|
||||
Performance Materials Segment
|
$
|
0.0
|
$
|
0.0
|
$
|
2.0
|
*
|
*
|
$
|
0.0
|
$
|
6.8
|
*
|
||||
Construction Technologies Segment
|
$
|
0.0
|
$
|
0.0
|
$
|
2.0
|
*
|
*
|
$
|
0.0
|
$
|
5.1
|
*
|
||||
Energy Services Segment
|
$
|
10.5
|
$
|
16.8
|
$
|
1.3
|
*
|
*
|
$
|
27.3
|
$
|
2.3
|
*
|
||||
Acquisition related transaction costs
|
$
|
2.4
|
$
|
2.7
|
$
|
4.2
|
(11)%
|
(43)%
|
$
|
8.5
|
$
|
16.7
|
(49)%
|
||||
Consolidated
|
$
|
12.9
|
$
|
19.5
|
$
|
10.0
|
(34)%
|
29%
|
$
|
35.8
|
$
|
34.2
|
5%
|
||||
To supplement the Company's consolidated financial statements presented in accordance with GAAP, the following is a presentation of the Company's non-GAAP operating income, excluding special items (acquisition related transaction costs set forth in the above table), for the quarterly periods ended September 27, 2015, June 28, 2015, and September 28, 2014, and the nine month periods ended September 27, 2015 and September 28, 2014 constituting a reconciliation to GAAP operating income set forth above. The Company's management believe these non-GAAP measures provide meaningful supplemental information regarding its performance as inclusion of such special items are not indicative of ongoing operating results and thereby affect the comparability of results between periods. The Company feels inclusion of these non-GAAP measures also provides consistency in its financial reporting and facilitates investors' understanding of historic operating trends.
|
|||||||||||||||||
Quarter Ended
|
% Growth
|
Nine Months Ended
|
% Growth
|
||||||||||||||
SEGMENT OPERATING INCOME,
|
Sept. 27,
|
June 28,
|
Sept. 28,
|
Sept. 27,
|
Sept. 28,
|
||||||||||||
EXCLUDING SPECIAL ITEMS
|
2015
|
2015
|
2014
|
Prior Qtr
|
Prior Year
|
2015
|
2014
|
Prior Year
|
|||||||||
Specialty Minerals Segment
|
$
|
25.0
|
$
|
27.1
|
$
|
26.5
|
(8)%
|
(6)%
|
$
|
75.2
|
$
|
74.1
|
1%
|
||||
% of Sales
|
16.0%
|
17.3%
|
16.3%
|
16.1%
|
15.1%
|
||||||||||||
Refractories Segment
|
$
|
7.9
|
$
|
8.4
|
$
|
9.7
|
(6)%
|
(19)%
|
$
|
24.5
|
$
|
29.6
|
(17)%
|
||||
% of Sales
|
10.2%
|
11.0%
|
10.7%
|
10.8%
|
11.1%
|
||||||||||||
Performance Materials Segment
|
22.7
|
25.5
|
20.7
|
(11)%
|
10%
|
72.0
|
29.8
|
142%
|
|||||||||
% of Sales
|
17.9%
|
19.8%
|
15.3%
|
18.8%
|
14.1%
|
||||||||||||
Construction Technologies Segment
|
6.1
|
8.3
|
10.3
|
(27)%
|
(41)%
|
18.5
|
14.1
|
31%
|
|||||||||
% of Sales
|
12.3%
|
15.9%
|
14.9%
|
13.1%
|
13.3%
|
||||||||||||
Energy Services Segment
|
2.6
|
4.6
|
11.5
|
(43)%
|
(77)%
|
13.1
|
18.4
|
(29)%
|
|||||||||
% of Sales
|
6.4%
|
9.3%
|
13.5%
|
8.8%
|
13.7%
|
||||||||||||
Unallocated Corporate Expenses
|
$
|
(1.5)
|
$
|
(1.6)
|
$
|
(1.9)
|
(6)%
|
(21)%
|
$
|
(4.9)
|
$
|
(5.6)
|
(13)%
|
||||
Consolidated
|
$
|
62.8
|
$
|
72.3
|
$
|
76.8
|
(13)%
|
(18)%
|
$
|
198.4
|
$
|
160.4
|
24%
|
||||
% of Sales
|
13.9%
|
15.6%
|
14.1%
|
14.5%
|
13.3%
|
||||||||||||
* Percentage not meaningful
|
|||||||||||||||||
ASSETS
|
||||||
(In Millions of Dollars)
|
||||||
September 27,
|
December 31,
|
|||||
2015*
|
2014**
|
|||||
Current assets:
|
||||||
Cash & cash equivalents
|
$
|
224.9
|
$
|
249.6
|
||
Short-term investments
|
2.9
|
0.8
|
||||
Accounts receivable, net
|
385.7
|
412.6
|
||||
Inventories
|
203.6
|
211.8
|
||||
Prepaid expenses and other current assets
|
60.9
|
49.8
|
||||
Total current assets
|
878.0
|
924.6
|
||||
Property, plant and equipment
|
2,141.3
|
2,174.2
|
||||
Less accumulated depreciation
|
1,015.6
|
992.1
|
||||
Net property, plant & equipment
|
1,125.7
|
1,182.1
|
||||
Goodwill
|
789.2
|
770.9
|
||||
Intangible assets
|
214.7
|
212.1
|
||||
Other assets and deferred charges
|
140.9
|
137.0
|
||||
Total assets
|
$
|
3,148.5
|
$
|
3,226.7
|
||
LIABILITIES AND SHAREHOLDERS' EQUITY
|
||||||
Current liabilities:
|
||||||
Short-term debt
|
$
|
6.2
|
$
|
5.6
|
||
Current maturities of long-term debt
|
2.2
|
0.3
|
||||
Accounts payable
|
176.3
|
170.4
|
||||
Other current liabilities
|
181.7
|
176.6
|
||||
Total current liabilities
|
366.4
|
352.9
|
||||
Long-term debt
|
1,325.6
|
1,455.5
|
||||
Deferred income taxes
|
310.4
|
314.5
|
||||
Other non-current liabilities
|
221.4
|
214.9
|
||||
Total liabilities
|
2,223.8
|
2,337.8
|
||||
Total MTI shareholders' equity
|
897.9
|
863.0
|
||||
Non-controlling Interest
|
26.8
|
25.9
|
||||
Total shareholders' equity
|
924.7
|
888.9
|
||||
Total liabilities and shareholders' equity
|
$
|
3,148.5
|
$
|
3,226.7
|
||
*
|
Unaudited
|
|||||
**
|
Condensed from audited financial statements.
|
|||||
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