EX-99.1 2 dex991.htm EX-99.1 EX-99.1

Exhibit 99.1

Contact:

Kenneth Smith

Chief Financial Officer

716.826.6500 ext. 3217

kwsmith@gibraltar1.com.

Gibraltar Announces Second Quarter Results

Sales Grow 18%; Drives EPS Up 166%

Buffalo, New York, August 3, 2011 – Gibraltar Industries, Inc. (Nasdaq: ROCK), a leading manufacturer and distributor of products for building and industrial markets, today reported its financial results for the three and six months ended June 30, 2011.

Net sales for the second quarter of 2011 increased $32 million or 18% to $208.8 million, from $176.9 million for the second quarter of 2010, including $22 million in revenues from two second quarter acquisitions. GAAP income from continuing operations was $7.2 million, or $0.24 per diluted share, an increase of 166% from $0.09 per diluted share for the second quarter last year. Results from the second quarter of 2011 included after-tax special charges of $2.1 million, resulting from acquisition-related costs and exit activity costs related to business restructuring. Results from the second quarter of 2010 include $0.3 million of after-tax restructuring charges. Adjusting for these items, Gibraltar’s second-quarter 2011 adjusted income from continuing operations increased 233% to $9.3 million, or $0.30 per diluted share, from $2.9 million, or $0.09 per share, in the second quarter of 2010.

Adjusted gross margin increased to 23% in the second quarter of 2011 from 19% in the second quarter of 2010. The increase was primarily due to a more favorable alignment of raw material costs and customer selling prices, cost reductions, and the impact of the recent higher margin acquisitions. Adjusted selling, general and administrative expense increased 11% to $27.3 million for the second quarter of 2011 from $24.5 million a year earlier, primarily reflecting the Company’s acquisitions this quarter. Adjusted selling, general, and administrative expenses were 13.1% of sales, 70 basis points lower than the second quarter of 2010.

Management Comments

“Gibraltar performed well in the second quarter, especially in light of the limited improvements in our major end markets,” said Gibraltar Chairman and Chief Executive Officer Brian Lipke. “We entered the year confident, given our progress in cost cutting and strategically repositioning the business, the Company could attain profitability in a lackluster demand environment. In line with these expectations, this was the second quarter in a row that we have been able to generate significant year-over-year improvements in sales and profitability, and we expect to generate favorable year-over-year comparisons in the second half of the year.”


“Capitalizing on our broad, competitive product lines, our nationwide manufacturing and distribution footprint, and our available manufacturing capacity, we have been focused on capturing additional share in the residential market, focused primarily on the repair and remodel segment,” Lipke said. “We also are continuing to expand Gibraltar’s position in the industrial sector, as well as in the nonresidential building market. Our efforts in these areas have been successful, as evidenced by the good organic growth we achieved this quarter despite continued weak conditions in the housing market.”

“At the same time, leveraging the strength of our balance sheet and our favorable liquidity position, we were successful in finding new avenues for expanding the business in addition to organic growth,” said Gibraltar President and Chief Operating Officer Henning Kornbrekke. “Our two recent acquisitions not only contributed to our double-digit top-line growth, but also improved Gibraltar’s profitability and operating performance characteristics.”

“In addition to these acquisitions, earlier this year we took another step in our long-term effort to strategically reposition the Company by divesting our structural connectors business,” Kornbrekke said. “This has allowed us to focus our attention strictly on higher-margin building product opportunities, and invest in operating systems which, among other things, have enabled us to more effectively manage the volatility in raw material prices. With these initiatives, along with our lower cost structure, we have successfully positioned Gibraltar to be profitable even at today’s subdued levels of end-market activity.”

For the six months ended June 30, total net sales increased 15% in 2011 to $372.4 million from $323.6 million in 2010. The Company’s GAAP income from continuing operations for the first half of 2011 was $8.7 million, or $0.28 per diluted share, compared with $0.2 million, or $0.01 per diluted share, in 2010. Results from the first half of 2011 included after-tax special charges of $3.9 million for acquisition-related costs, exit activity costs related to business restructuring, and equity compensation declined by Mr. Lipke. After-tax special charges for the first half of 2010 included $1.1 million largely for an ineffective interest rate swap.

Adjusting for these items, Gibraltar’s first half 2011 adjusted income from continuing operations was $12.6 million, or $0.41 per share, compared with adjusted income from continuing operations of $1.3 million, or $0.04 per share, in 2010.

Liquidity and Capital Resources

 

 

Gibraltar’s liquidity was $129 million as of June 30, 2011, including cash on hand of $21 million.

 

 

The Company invested $29 million in working capital since December 31, 2010, as 15% sales growth in the first six months of 2011 increased the investment in accounts receivable and inventories. Days of net working capital, which consists of accounts receivable, inventory and accounts payable, were 61 for the second quarter of 2011, sustaining the Company’s improvement in managing working capital.

 

 

The Company used cash and debt available under its revolver to finance the D.S. Brown and Pacific Award Metals acquisitions this quarter. As of June 30, 2011, the Company had $20 million outstanding under the revolver.


Outlook

“Gibraltar has encouraging prospects for organic growth,” said Lipke. “However, seasonal cyclicality in the second half of the year can be challenging, and we expect moderating demand levels in the second half of 2011, including new housing starts which are likely to remain a headwind at least through the end of the year, if not longer. However, we have been successful in shifting our business mix toward the industrial and, more recently, the infrastructure markets, where there is clearly greater propensity to spend on deferred repair and maintenance and invest in new production capacity as the economic outlook improves.”

“We believe that Gibraltar is well-positioned to capitalize on the pockets of opportunity that appear in our markets through both acquisitions and internally generated growth,” Lipke said. “At the same time, our reduced cost structure and improving operational efficiency provide us with significant ability to leverage future top-line growth. As a result, we believe that Gibraltar will continue to deliver improved sales and profitability in the second half of 2011 compared to the comparable periods of 2010.”

Second Quarter Conference Call Details

Gibraltar has scheduled a conference call to review its results for the second quarter of 2011 tomorrow, August 4, 2011, starting at 9:00 a.m. ET. Interested parties may access the call by dialing (877) 407-5790 or (201) 689-8328. The presentation slides that will be discussed in the conference call are expected to be available this evening, August 3, 2011. The slides may be downloaded from the Gibraltar website: http://www.gibraltar1.com. A web cast replay of the conference call and a copy of the transcript will be available on the website following the call.

About Gibraltar

Gibraltar Industries is a leading manufacturer and distributor of building products, focused on residential and nonresidential repair and remodeling, as well as construction of industrial facilities and public infrastructure. The company generates more than 80% its sales from products that hold the #1 or #2 positions in their markets, and serves customers across the U.S. and throughout the world from 42 facilities in 20 states, Canada, England and Germany. Gibraltar’s strategy is to grow organically by expanding its product portfolio and penetration of existing customer accounts, while broadening its market and geographic coverage through the acquisition of companies with leadership positions in adjacent product categories. Comprehensive information about Gibraltar can be found on its website, at http://www.gibraltar1.com.


Safe Harbor Statement

Information contained in this news release, other than historical information, contains forward-looking statements and is subject to a number of risk factors, uncertainties, and assumptions. Risk factors that could affect these statements include, but are not limited to, the following: the availability of raw materials and the effects of changing raw material prices on the Company’s results of operations; energy prices and usage; changing demand for the Company’s products and services; changes in the liquidity of the capital and credit markets; risks associated with the integration of acquisitions; and changes in interest and tax rates. In addition, such forward-looking statements could also be affected by general industry and market conditions, as well as general economic and political conditions. The Company undertakes no obligation to update any forward-looking statements, whether as a result of new information, future events or otherwise, except as may be required by applicable law or regulation.

Non-GAAP Financial Data

To supplement Gibraltar’s consolidated financial statements presented on a GAAP basis, Gibraltar also presented certain adjusted financial data in this news release. Adjusted financial data excluded special charges consisting of intangible asset impairment, restructuring primarily associated with the closing and consolidation of our facilities, acquisition-related costs, surrendered equity compensation, deferred tax valuation allowances, and interest expense recognized as a result of our interest rate swap becoming ineffective. These adjusted adjustments are shown in the adjusted reconciliation of results excluding special charges provided in the financial statements that accompany this news release. We believe that the presentation of results excluding special charges provides meaningful supplemental data to investors, as well as management, that are indicative of the Company’s core operating results and facilitates comparison of operating results across reporting periods as well as comparison with other companies. Special charges are excluded since they may not be considered directly related to our ongoing business operations. These adjusted measures should not be viewed as a substitute for our GAAP results, and may be different than adjusted measures used by other companies.

Next Earnings Announcement

Gibraltar expects to release its financial results for the three months ending September 30, 2011, on November 2, 2011, and hold its earnings conference call on November 3, 2011, starting at 9:00 a.m. ET.


GIBRALTAR INDUSTRIES, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

(in thousands, except per share data)

(unaudited)

 

    

Three Months Ended

June 30,

   

Six Months Ended

June 30,

 
     2011     2010     2011     2010  

Net sales

   $ 208,807      $ 176,924      $ 372,370      $ 323,598   

Cost of sales

     163,379        142,943        296,897        263,160   
  

 

 

   

 

 

   

 

 

   

 

 

 

Gross profit

     45,428        33,981        75,473        60,438   

Selling, general, and administrative expense

     28,038        24,544        50,861        48,816   
  

 

 

   

 

 

   

 

 

   

 

 

 

Income from operations

     17,390        9,437        24,612        11,622   

Interest expense

     (4,998     (4,352     (9,452     (10,922

Other income

     38        60        61        131   
  

 

 

   

 

 

   

 

 

   

 

 

 

Income before taxes

     12,430        5,145        15,221        831   

Provision for income taxes

     5,184        2,552        6,534        630   
  

 

 

   

 

 

   

 

 

   

 

 

 

Income from continuing operations

     7,246        2,593        8,687        201   

Discontinued operations:

        

Income (loss) before taxes

     951        1,459        13,897        (28,626

Provision for (benefit of) income taxes

     392        571        6,370        (10,675
  

 

 

   

 

 

   

 

 

   

 

 

 

Income (loss) from discontinued operations

     559        888        7,527        (17,951
  

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss)

   $ 7,805      $ 3,481      $ 16,214      $ (17,750
  

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss) per share – Basic:

        

Income from continuing operations

   $ 0.24      $ 0.09      $ 0.29      $ 0.01   

Income (loss) from discontinued operations

     0.02        0.02        0.25        (0.60
  

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss)

   $ 0.26      $ 0.11      $ 0.54      $ (0.59
  

 

 

   

 

 

   

 

 

   

 

 

 

Weighted average shares outstanding – Basic

     30,441        30,297        30,433        30,279   
  

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss) per share – Diluted:

        

Income from continuing operations

   $ 0.24      $ 0.09      $ 0.28      $ 0.01   

Income (loss) from discontinued operations

     0.01        0.02        0.25        (0.59
  

 

 

   

 

 

   

 

 

   

 

 

 

Net income (loss)

   $ 0.25      $ 0.11      $ 0.53      $ (0.58
  

 

 

   

 

 

   

 

 

   

 

 

 

Weighted average shares outstanding – Diluted

     30,626        30,459        30,610        30,442   
  

 

 

   

 

 

   

 

 

   

 

 

 


GIBRALTAR INDUSTRIES, INC.

CONSOLIDATED BALANCE SHEETS

(in thousands, except share and per share data)

(unaudited)

 

     June 30,
2011
    December 31,
2010
 

Assets

    

Current assets:

    

Cash and cash equivalents

   $ 21,093      $ 60,866   

Accounts receivable, net of reserve of $4,017 and $3,504 in 2011 and 2010, respectively

     124,753        70,371   

Inventories

     115,742        77,848   

Other current assets

     24,746        20,229   

Assets of discontinued operations

     2,501        13,063   
  

 

 

   

 

 

 

Total current assets

     288,835        242,377   

Property, plant, and equipment, net

     157,529        145,783   

Goodwill

     350,363        298,346   

Acquired intangibles

     99,308        66,301   

Equity method investment

     —          1,345   

Other assets

     7,570        16,766   

Assets of discontinued operations

     —          39,972   
  

 

 

   

 

 

 
   $ 903,605      $ 810,890   
  

 

 

   

 

 

 

Liabilities and Shareholders’ Equity

    

Current liabilities:

    

Accounts payable

   $ 84,181      $ 56,775   

Accrued expenses

     55,280        36,785   

Current maturities of long-term debt

     408        408   

Liabilities of discontinued operations

     31        6,150   
  

 

 

   

 

 

 

Total current liabilities

     139,900        100,118   

Long-term debt

     226,590        206,789   

Deferred income taxes

     51,661        37,119   

Other non-current liabilities

     22,877        23,221   

Liabilities of discontinued operations

     —          2,790   

Shareholders’ equity:

    

Preferred stock, $0.01 par value; authorized: 10,000,000 shares; none outstanding

     —          —     

Common stock, $0.01 par value; authorized 50,000,000 shares; 30,696,662 and 30,516,197 shares issued at June 30, 2011 and December 31, 2010, respectively

  

 

307

  

 

 

305

  

Additional paid-in capital

     235,139        231,999   

Retained earnings

     229,128        212,914   

Accumulated other comprehensive income (loss)

     1,127        (2,060

Cost of 280,157 and 218,894 common shares held in treasury at June 30, 2011 and December 31, 2010, respectively

     (3,124     (2,305
  

 

 

   

 

 

 

Total shareholders’ equity

     462,577        440,853   
  

 

 

   

 

 

 
   $ 903,605      $ 810,890   
  

 

 

   

 

 

 


GIBRALTAR INDUSTRIES, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(in thousands)

(unaudited)

 

    

Six Months Ended

June 30,

 
     2011     2010  

Cash Flows from Operating Activities

    

Net income (loss)

   $ 16,214      $ (17,750

Income (loss) from discontinued operations

     7,527        (17,951
  

 

 

   

 

 

 

Income from continuing operations

     8,687        201   

Adjustments to reconcile net income to net cash (used in) provided by operating activities:

    

Depreciation and amortization

     12,737        12,070   

Stock compensation expense

     3,132        2,681   

Non-cash charges to interest expense

     1,129        3,146   

Other non-cash adjustments

     1,120        1,112   

Increase (decrease) in cash resulting from changes in the following (excluding the effects of acquisitions):

    

Accounts receivable

     (40,186     (30,610

Inventories

     (15,791     (5,777

Other current assets and other assets

     8,333        7,105   

Accounts payable

     17,534        24,603   

Accrued expenses and other non-current liabilities

     774        (2,536
  

 

 

   

 

 

 

Net cash (used in) provided by operating activities of continuing operations

     (2,531     11,995   

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

     (3,134     18,797   
  

 

 

   

 

 

 

Net cash (used in) provided by operating activities

     (5,665     30,792   
  

 

 

   

 

 

 

Cash Flows from Investing Activities

    

Cash paid for acquisitions, net of cash acquired

     (107,605     —     

Purchases of property, plant, and equipment

     (4,547     (4,356

Purchase of equity method investment

     (250     (750

Net proceeds from sale of property and equipment

     474        68   

Net proceeds from sale of businesses

     59,029        29,164   
  

 

 

   

 

 

 

Net cash (used in) provided by investing activities of continuing operations

     (52,899     24,126   

Net cash used in investing activities of discontinued operations

     —          (458
  

 

 

   

 

 

 

Net cash (used in) provided by investing activities

     (52,899     23,668   
  

 

 

   

 

 

 

Cash Flows from Financing Activities

    

Proceeds from long-term debt

     62,558        8,559   

Long-term debt payments

     (42,958     (58,959

Net proceeds from issuance of common stock

     10        270   

Excess tax benefit from stock compensation

     —          63   

Payment of deferred financing fees

     —          (64

Purchase of treasury stock at market prices

     (819     (1,108
  

 

 

   

 

 

 

Net cash provided by (used in) financing activities

     18,791        (51,239
  

 

 

   

 

 

 

Net (decrease) increase in cash and cash equivalents

     (39,773     3,221   

Cash and cash equivalents at beginning of year

     60,866        23,596   
  

 

 

   

 

 

 

Cash and cash equivalents at end of period

   $ 21,093      $ 26,817   
  

 

 

   

 

 

 


GIBRALTAR INDUSTRIES, INC.

Non-GAAP Reconciliation of Adjusted Statement of Operations

(unaudited)

(in thousands, except per share data)

 

     Three Months Ended June 30, 2011  
     As
Reported
In GAAP
Statements
    Acquisition-
Related Costs
    Exit
Activity
Costs
    Surrendered
Equity
Compensation
    Adjusted
Statement of
Operations
 

Net sales

   $ 208,807      $ —        $ —        $ —        $ 208,807   

Cost of sales

     163,379        (2,467     (317     —          160,595   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Gross profit

     45,428        2,467        317        —          48,212   

Selling, general, and administrative expense

     28,038        (224     (473     —          27,341   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income from operations

     17,390        2,691        790        —          20,871   

Operating margin

     8.3     1.3     0.4     0.0     10.0

Interest expense

     (4,998     —          —          —          (4,998

Other income

     38        —          —          —          38   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income before income taxes

     12,430        2,691        790        —          15,911   

Provision for income taxes

     5,184        1,054        338        —          6,576   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income from continuing operations

   $ 7,246      $ 1,637      $ 452      $ —        $ 9,335   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income from continuing operations per share – diluted

   $ 0.24      $ 0.05      $ 0.01      $ 0.00      $ 0.30   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

GIBRALTAR INDUSTRIES, INC.

Non-GAAP Reconciliation of Adjusted Statement of Operations

(unaudited)

(in thousands, except per share data)

 

     Three Months Ended June 30, 2010  
     As
Reported
In GAAP
Statements
    Exit
Activity
Costs
    Ineffective
Interest
Rate Swap
    Intangible
Asset
Impairment
    Adjusted
Statement of
Operations
 

Net sales

   $ 176,924      $ —        $ —        $ —        $ 176,924   

Cost of sales

     142,943        (417     —          —          142,526   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Gross profit

     33,981        417        —          —          34,398   

Selling, general, and administrative expense

     24,544        (77     —          —          24,467   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income from operations

     9,437        494        —          —          9,931   

Operating margin

     5.3     0.3     0.0     0.0     5.6

Interest expense

     (4,352     —          —          —          (4,352

Other income

     60        —          —          —          60   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income before income taxes

     5,145        494        —          —          5,639   

Provision for income taxes

     2,552        229        —          —          2,781   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income from continuing operations

   $ 2,593      $ 265      $ —        $ —        $ 2,858   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income from continuing operations per share – diluted

   $ 0.09      $ 0.00      $ 0.00      $ 0.00      $ 0.09   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 


GIBRALTAR INDUSTRIES, INC.

Non-GAAP Reconciliation of Adjusted Statement of Operations

(unaudited)

(in thousands, except per share data)

 

     Six Months Ended June 30, 2011  
     As
Reported
In GAAP
Statements
    Acquisition-
Related Costs
    Surrendered
Equity
Compensation
    Exit
Activity
Costs
    Adjusted
Statement of
Operations
 

Net sales

   $ 372,370      $ —        $ —        $ —        $ 372,370   

Cost of sales

     296,897        (2,467     —          (1,175     293,255   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Gross profit

     75,473        2,467        —          1,175        79,115   

Selling, general, and administrative expense

     50,861        (614     (885     (483     48,879   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income from operations

     24,612        3,081        885        1,658        30,236   

Operating margin

     6.6     0.8     0.2     0.5     8.1

Interest expense

     (9,452     —          —          —          (9,452

Other income

     61        —          —          —          61   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income before income taxes

     15,221        3,081        885        1,658        20,845   

Provision for income taxes

     6,534        1,054        —          686        8,274   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income from continuing operations

   $ 8,687      $ 2,027      $ 885      $ 972      $ 12,571   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income from continuing operations per share – diluted

   $ 0.28      $ 0.07      $ 0.03      $ 0.03      $ 0.41   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

GIBRALTAR INDUSTRIES, INC.

Non-GAAP Reconciliation of Adjusted Statement of Operations

(unaudited)

(in thousands, except per share data)

 

     Six Months Ended June 30, 2010  
     As
Reported
In GAAP
Statements
    Exit
Activity
Costs
    Ineffective
Interest
Rate Swap
    Intangible
Asset
Impairment
    Adjusted
Statement of
Operations
 

Net sales

   $ 323,598      $ —        $ —        $ —        $ 323,598   

Cost of sales

     263,160        (464     —          —          262,696   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Gross profit

     60,438        464        —          —          60,902   

Selling, general, and administrative expense

     48,816        (77     —          177        48,916   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income from operations

     11,622        541        —          (177     11,986   

Operating margin

     3.6     0.2     0.0     (0.1 )%      3.7

Interest expense

     (10,922     —          1,424        —          (9,498

Other income

     131        —          —          —          131   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income before income taxes

     831        541        1,424        (177     2,619   

Provision for income taxes

     630        248        520        (73     1,325   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income from continuing operations

   $ 201      $ 293      $ 904      $ (104   $ 1,294   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income from continuing operations per share – diluted

   $ 0.01      $ 0.00      $ 0.03      $ (0.00   $ 0.04   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 


GIBRALTAR INDUSTRIES, INC.

Non-GAAP Reconciliation of Adjusted Statement of Operations

(unaudited)

(in thousands, except per share data)

 

     Three Months Ended March 31, 2011  
     As
Reported
In GAAP
Statements
    Acquisition-
Related Costs
    Exit
Activity
Costs
    Surrendered
Equity
Compensation
    Adjusted
Statement of
Operations
 

Net sales

   $ 163,563      $ —        $ —        $ —        $ 163,563   

Cost of sales

     133,518        —          (858     —          132,660   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Gross profit

     30,045        —          858        —          30,903   

Selling, general, and administrative expense

     22,823        (390     (10     (885     21,538   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income from operations

     7,222        390        868        885        9,365   

Operating margin

     4.4     0.2     0.6     0.5     5.7

Interest expense

     (4,454     —          —          —          (4,454

Other income

     23        —          —          —          23   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income before income taxes

     2,791        390        868        885        4,934   

Provision for income taxes

     1,350        —          348        —          1,698   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income from continuing operations

   $ 1,441      $ 390      $ 520      $ 885      $ 3,236   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income from continuing operations per share – diluted

   $ 0.05      $ 0.01      $ 0.02      $ 0.03      $ 0.11   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

GIBRALTAR INDUSTRIES, INC.

Non-GAAP Reconciliation of Adjusted Statement of Operations

(unaudited)

(in thousands, except per share data)

 

     Three Months Ended September 30, 2010  
     As
Reported
In GAAP
Statements
    Exit
Activity
Costs
    Ineffective
Interest
Rate Swap
    Intangible
Asset
Impairment
    Adjusted
Statement of
Operations
 

Net sales

   $ 169,741      $ —        $ —        $ —        $ 169,741   

Cost of sales

     142,243        (438     —          —          141,805   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Gross profit

     27,498        438        —          —          27,936   

Selling, general, and administrative expense

     23,262        —          —          —          23,262   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income from operations

     4,236        438        —          —          4,674   

Operating margin

     2.5     0.3     0.0     0.0     2.8

Interest expense

     (4,429     —          —          —          (4,429

Other income

     30        —          —          —          30   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

(Loss) income before income taxes

     (163     438        —          —          275   

Benefit of income taxes

     (944     12        —          —          (932
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income from continuing operations

   $ 781      $ 426      $ —        $ —        $ 1,207   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Income from continuing operations per share – diluted

   $ 0.03      $ 0.01      $ 0.00      $ 0.00      $ 0.04   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 


GIBRALTAR INDUSTRIES, INC.

Non-GAAP Reconciliation of Adjusted Statement of Operations

(unaudited)

(in thousands, except per share data)

 

     Three Months Ended December 31, 2010  
     As
Reported
In GAAP
Statements
    Exit
Activity
Costs
    Deferred
Tax
Valuation
Allowance
    Intangible
Asset
Impairment
    Adjusted
Statement of
Operations
 

Net sales

   $ 144,115      $ —        $ —        $ —        $ 144,115   

Cost of sales

     128,183        (5,459     —          —          122,724   
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Gross profit

     15,932        5,459        —          —          21,391   

Selling, general, and administrative expense

     27,291        (647     —          —          26,644   

Intangible asset impairment

     77,141        —          —          (77,141     —     
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Loss from operations

     (88,500     6,106        —          77,141        (5,253

Operating margin

     (61.4 )%      4.3     0.0     53.5     (3.6 )% 

Interest expense

     (4,363     —          —          —          (4,363

Other expense

     (84     —          —          —          (84
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Loss before income taxes

     (92,947     6,106        —          77,141        (9,700

Benefit of income taxes

     (16,609     1,374        (2,400     14,485        (3,150
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Loss from continuing operations

   $ (76,338   $ 4,732      $ 2,400      $ 62,656      $ (6,550
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

Loss from continuing operations per share – diluted

   $ (2.52   $ 0.15      $ 0.08      $ 2.07      $ (0.22
  

 

 

   

 

 

   

 

 

   

 

 

   

 

 

 

GIBRALTAR INDUSTRIES, INC.

Non-GAAP Reconciliation of Adjusted Statement of Operations

(unaudited)

(in thousands, except per share data)

 

     Year Ended December 31, 2010  
     As
Reported
In GAAP
Statements
    Special
Charges
    Adjusted
Statement of
Operations
 

Net sales

   $ 637,454      $ —        $ 637,454   

Cost of sales

     533,586        (6,361     527,225   
  

 

 

   

 

 

   

 

 

 

Gross profit

     103,868        6,361        110,229   

Selling, general, and administrative expense

     99,546        (724     98,822   

Intangible asset impairment

     76,964        (76,964     —     
  

 

 

   

 

 

   

 

 

 

(Loss) income from operations

     (72,642     84,049        11,407   

Operating margin

     (11.4 )%      13.2     1.8

Interest expense

     (19,714     1,424        (18,290

Other income

     77        —          77   
  

 

 

   

 

 

   

 

 

 

Loss before income taxes

     (92,279     85,473        (6,806

Benefit of income taxes

     (16,923     14,166        (2,757
  

 

 

   

 

 

   

 

 

 

Loss from continuing operations

   $ (75,356   $ 71,307      $ (4,049
  

 

 

   

 

 

   

 

 

 

Loss from continuing operations per share – diluted

   $ (2.49   $ 2.36      $ (0.13