LIVONIA, Mich., Nov. 2, 2016 /PRNewswire/ -- Tower International,
Inc. (NYSE: TOWR), a leading global manufacturer of engineered
automotive structural metal components and assemblies, today
announced third quarter 2016 results, updated its business outlook
for the fourth quarter and full year 2016, and discussed other
business developments. (Unless otherwise noted, all
information refers to Tower's continuing operations in North America and Europe.)
- Revenue for the third quarter was $457
million, up 3% from $442
million in the third quarter of 2015, reflecting organic
new-business growth in North
America.
- Net income from continuing and discontinued operations was a
record for the third quarter, at $18.2
million or 86 cents per
diluted share, compared with net income of $16.3 million or 76
cents per share in the third quarter last year. As detailed
below, this year's third quarter included certain items that
adversely impacted results by $0.9
million. Excluding these items and comparable items in the
third quarter of 2015, diluted adjusted earnings were 90 cents per share, 20% better than a year
ago.
- Adjusted EBITDA for the quarter was $50.1 million, up 14% from $43.8 million a year ago. Adjusted EBITDA margin
was an all-time best for a third quarter, at 11%, up 1.1 percentage
points. These significant improvements reflected the combined
positive effects of our organic revenue growth, higher-margin new
business, and favorable year-over-year net cost performance at this
stage of our new-business phase-in.
- The same basic factors that provided the strong earnings
comparisons in the third quarter are also presently projected to
drive strong fourth quarter comparisons, including year-over-year
improvements of about 20% in adjusted EBITDA and about 25% in
diluted adjusted earnings per share. Adjusted EBITDA margin in the
fourth quarter is projected to increase to about 12%, which would
be an all-time record for any quarter, and free cash flow is
projected to be about $60 million,
which would meaningfully improve Tower's balance-sheet leverage.
(Fourth quarter 2016 GAAP net income and EPS, while positive, will
be lower than fourth quarter 2015, which benefited from the
reversal of approximately $130
million of tax valuation allowances.)
- The strong financial results achieved in the third quarter and
presently projected for the fourth quarter take into account the
downward production adjustments recently taken and presently
planned by our OEM customers. Based on the latest production
schedules, full year results are now projected at revenue of
$1.915 billion, adjusted EBITDA of
$200-$202 million, and adjusted EPS
of $3.30.
- Tower also reported the following other business
developments:
- Agreements have been
reached to sell the Company's remaining businesses in China.
Cash proceeds after taxes are expected to be about $25 million.
- The outlook for adjusted EPS is improved by about
10-15 cents per year for the next few
years because of expected R&D tax credits.
- The latest projection is that Tower will not become a U.S.
cash taxpayer until 2020, or one year later than the prior
estimate.
- Consistent with the Company's positive business and
cash-flow outlook, the dividend was increased by 10% and about 4%
of outstanding shares have been repurchased through September 30.
"It was a strong quarter for Tower, in some ways our best ever,"
said CEO Mark Malcolm. "We
presently believe that industry volume in 2017 will be roughly the
same as 2016. Tower is, however, relatively well-positioned
regardless of your volume outlook. This reflects the
underlying strength and tailwinds at Tower from the higher-margin
new business coming on board over the next few years that, absent
lower industry volume, is expected to drive further increases in
overall margin and best-ever free cash flow."
Tower to Host Conference Call Today at 11 a.m. EDT
Tower will discuss its third quarter 2016 results and other
related matters in a conference call at 11
a.m. EDT today. Participants may listen to the audio
portion of the conference call either through a live audio webcast
on the Company's website or by telephone. The slide
presentation and webcast can be accessed via the investor relations
portion of Tower's website www.towerinternational.com. To
dial into the conference call, domestic callers should dial (866)
393-4576, international callers should dial (706) 679-1462.
An audio recording of the call will be available approximately two
hours after the completion of the call. To access this
recording, please dial (855) 859-2056 (domestic) or (404) 537-3406
(international) and reference Conference I.D. #4577487. A
webcast replay will also be available and may be accessed via
Tower's website.
Non-GAAP Financial Measures
This press release includes the following non-GAAP financial
measures: "adjusted EBITDA", "adjusted EBITDA margin", "adjusted
earnings per share (EPS)", and "free cash flow". We define
adjusted EBITDA as net income/(loss) before interest, taxes,
depreciation, amortization, restructuring items and other
adjustments described in the reconciliations provided in this press
release. Adjusted EBITDA margin represents adjusted EBITDA as
a percentage of revenues. Adjusted earnings per share exclude
certain income and expense items described in the reconciliation
provided in this press release. Free cash flow is defined as
cash provided by operating activities less cash disbursed for
purchases of property, plant and equipment. We use adjusted
EBITDA, adjusted EBITDA margin, adjusted earnings per share, and
free cash flow as supplements to information provided in accordance
with generally accepted accounting principles ("GAAP") in
evaluating our business and they are included in this press release
because they are principal factors upon which our management
assesses performance and in certain instances in measuring
performance for compensation purposes. Reconciliations of
these non-GAAP financial measures to the most directly comparable
financial measures calculated in accordance with GAAP are set forth
below. The non-GAAP measures presented above are not measures
of performance under GAAP. These measures should not be
considered as alternatives for the most directly comparable
financial measures calculated in accordance with GAAP. Other
companies in our industry may define these non-GAAP measures
differently than we do and, as a result, these non-GAAP measures
may not be comparable to similarly titled measures used by other
companies in our industry; and certain of our non-GAAP financial
measures exclude financial information that some may consider
important in evaluating our performance. Given the inherent
uncertainty regarding mark to market adjustments of financial
instruments, fair value adjustments to our pension plan, potential
gain or loss on our discontinued operations, potential
restructuring expenses, and expenses related to our long-term
incentive compensation programs in any future period, a
reconciliation of forward-looking financial measures to the most
directly comparable financial measures calculated and presented in
accordance with GAAP is not feasible. Consequently, any
attempt to disclose such reconciliations would imply a degree of
precision that could be confusing or misleading to investors. The
magnitude of these items, however, may be significant.
Forward-Looking Statements and Risk Factors
This press release contains statements which constitute
forward-looking statements, within the meaning of the Private
Securities Litigation Reform Act of 1995, including but not limited
to statements regarding the Company's projected revenues, earnings,
EBITDA, margin, free cash flow, and statements regarding the
Company's tax position and future business outlook, including plans
to divest of the Company's discontinued operations. The
forward-looking statements can be identified by words such as
"anticipate," "believe," "plan," "estimate," "expect," "intend,"
"project," "target," and other similar expressions.
Forward-looking statements are made as of the date of this press
release and are based upon management's current expectations and
beliefs concerning future developments and their potential effects
on us. Such forward-looking statements are not guarantees of
future performance. The following important factors, as well
as risk factors described in our reports filed with the SEC, could
cause our actual results to differ materially from estimates or
expectations reflected in such forward-looking statements:
- global automobile production volumes;
- the financial condition of our customers and suppliers;
- our ability to make scheduled payments of principal or interest
on our indebtedness and comply with the covenants and restrictions
contained in the instruments governing our indebtedness;
- our ability to refinance our indebtedness;
- risks associated with our non-U.S. operations, including
foreign exchange risks and economic uncertainty in some
regions;
- any increase in the expense and funding requirements of our
pension and other postretirement benefits;
- our customers' ability to obtain equity and debt financing for
their businesses;
- our dependence on our largest customers;
- pricing pressure from our customers;
- work stoppages or other labor issues affecting us or our
customers or suppliers;
- our ability to integrate acquired businesses;
- risks associated with business divestitures; and
- costs or liabilities relating to environmental and safety
regulations.
We do not assume any obligation to update or revise the
forward-looking statements contained in this press release.
Contact:
Derek
Fiebig
Executive Director, Investor & External Relations
(248) 675-6457
fiebig.derek@towerinternational.com
TOWER
INTERNATIONAL, INC. AND SUBSIDIARIES
|
CONSOLIDATED
STATEMENTS OF OPERATIONS
|
(Amounts in
thousands, except share and per share amounts -
unaudited)
|
|
|
|
|
Three Months Ended
September 30,
|
|
Nine Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
|
|
Revenues
|
$
|
457,042
|
|
$
|
442,190
|
|
$
|
1,451,367
|
|
$
|
1,341,181
|
Cost of
sales
|
|
396,806
|
|
|
388,989
|
|
|
1,271,900
|
|
|
1,171,682
|
|
Gross
profit
|
|
60,236
|
|
|
53,201
|
|
|
179,467
|
|
|
169,499
|
Selling, general, and
administrative expenses
|
|
31,223
|
|
|
30,869
|
|
|
96,125
|
|
|
90,602
|
Amortization
expense
|
|
112
|
|
|
249
|
|
|
344
|
|
|
249
|
Restructuring and
asset impairment charges, net
|
|
1,196
|
|
|
784
|
|
|
2,782
|
|
|
6,984
|
|
Operating
income
|
|
27,705
|
|
|
21,299
|
|
|
80,216
|
|
|
71,664
|
Interest
expense
|
|
5,598
|
|
|
6,223
|
|
|
18,167
|
|
|
17,821
|
Interest
income
|
|
40
|
|
|
6
|
|
|
108
|
|
|
16
|
Other
expense
|
|
-
|
|
|
-
|
|
|
6,481
|
|
|
-
|
|
Income before
provision for income taxes and income / (loss) from
discontinued operations
|
|
22,147
|
|
|
15,082
|
|
|
55,676
|
|
|
53,859
|
Provision for
income taxes
|
|
4,239
|
|
|
1,456
|
|
|
13,770
|
|
|
5,287
|
|
Income from
continuing operations
|
|
17,908
|
|
|
13,626
|
|
|
41,906
|
|
|
48,572
|
Income / (loss) from
discontinued operations, net of tax
|
|
367
|
|
|
3,246
|
|
|
(19,999)
|
|
|
1,560
|
|
Net
income
|
|
18,275
|
|
|
16,872
|
|
|
21,907
|
|
|
50,132
|
|
Less: Net income
attributable to the noncontrolling interests
|
|
118
|
|
|
589
|
|
|
213
|
|
|
1,162
|
|
Net income
attributable to Tower International, Inc
|
$
|
18,157
|
|
$
|
16,283
|
|
$
|
21,694
|
|
$
|
48,970
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
basic shares outstanding
|
|
20,830,203
|
|
|
21,107,477
|
|
|
21,039,305
|
|
|
21,087,691
|
Weighted average
diluted shares outstanding
|
|
21,182,149
|
|
|
21,422,859
|
|
|
21,372,875
|
|
|
21,395,797
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic income per
share attributable to Tower International, Inc.:
|
|
|
|
|
|
|
|
|
|
|
|
Income per share from
continuing operations
|
$
|
0.85
|
|
$
|
0.62
|
|
$
|
1.98
|
|
$
|
2.25
|
Income / (loss) per
share from discontinued operations
|
|
0.02
|
|
|
0.15
|
|
|
(0.95)
|
|
|
0.07
|
Income per
share
|
|
0.87
|
|
|
0.77
|
|
|
1.03
|
|
|
2.32
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted income per
share attributable to Tower International, Inc.:
|
|
|
|
|
|
|
|
|
|
|
|
Income per share from
continuing operations
|
$
|
0.84
|
|
$
|
0.61
|
|
$
|
1.95
|
|
$
|
2.22
|
Income / (loss) per
share from discontinued operations
|
|
0.02
|
|
|
0.15
|
|
|
(0.93)
|
|
|
0.07
|
Income per
share
|
|
0.86
|
|
|
0.76
|
|
|
1.02
|
|
|
2.29
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Dividends declared
per share
|
$
|
0.10
|
|
$
|
-
|
|
$
|
0.30
|
|
$
|
-
|
TOWER
INTERNATIONAL, INC. AND SUBSIDIARIES
|
CONSOLIDATED
BALANCE SHEETS
|
(Amounts in
thousands, except share data - unaudited)
|
|
|
|
|
|
|
|
September
30,
|
|
December
31,
|
|
|
2016
|
|
2015
|
|
|
|
|
|
ASSETS
|
|
|
|
|
Cash and cash
equivalents
|
|
$
47,216
|
|
$
121,594
|
Accounts receivable,
net of allowance of $797 and $1,277
|
|
242,338
|
|
223,735
|
Inventories
|
|
77,402
|
|
66,648
|
Assets held for
sale
|
|
104,482
|
|
113,664
|
Prepaid tooling,
notes receivable, and other
|
|
134,089
|
|
68,242
|
Total current
assets
|
|
605,527
|
|
593,883
|
|
|
|
|
|
Property, plant, and
equipment, net
|
|
452,541
|
|
427,887
|
Goodwill
|
|
60,215
|
|
59,340
|
Deferred tax
asset
|
|
119,584
|
|
127,207
|
Other assets,
net
|
|
8,867
|
|
7,180
|
Total
assets
|
|
$
1,246,734
|
|
$
1,215,497
|
|
|
|
|
|
LIABILITIES AND
EQUITY
|
|
|
|
|
Short-term debt and
current maturities of capital lease obligations
|
|
$
35,380
|
|
$
29,492
|
Accounts
payable
|
|
292,224
|
|
268,008
|
Accrued
liabilities
|
|
110,918
|
|
100,529
|
Liabilities held for
sale
|
|
51,355
|
|
44,157
|
Total current
liabilities
|
|
489,877
|
|
442,186
|
|
|
|
|
|
Long-term debt, net
of current maturities
|
|
399,052
|
|
409,116
|
Obligations under
capital leases, net of current maturities
|
|
5,445
|
|
5,984
|
Deferred tax
liability
|
|
6,586
|
|
6,167
|
Pension
liability
|
|
57,773
|
|
65,621
|
Other non-current
liabilities
|
|
78,448
|
|
79,704
|
Total non-current
liabilities
|
|
547,304
|
|
566,592
|
Total
liabilities
|
|
1,037,181
|
|
1,008,778
|
|
|
|
|
|
|
|
|
|
|
Stockholders'
equity:
|
|
|
|
|
Tower International,
Inc.'s stockholders' equity
|
|
|
|
|
Common
stock
|
|
$
221
|
|
$
220
|
Additional
paid in capital
|
|
339,477
|
|
337,864
|
Treasury
stock
|
|
(34,600)
|
|
(16,067)
|
Accumulated
deficit
|
|
(28,670)
|
|
(44,030)
|
Accumulated other
comprehensive loss
|
|
(73,926)
|
|
(80,492)
|
Total Tower International,
Inc.'s stockholders' equity
|
|
202,502
|
|
197,495
|
Noncontrolling
interests in subsidiaries
|
|
7,051
|
|
9,224
|
Total stockholders'
equity
|
|
209,553
|
|
206,719
|
|
|
|
|
|
Total liabilities and
stockholders' equity
|
|
$
1,246,734
|
|
$
1,215,497
|
|
|
|
Three Months Ended
September 30,
|
|
Nine Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
|
|
|
|
|
|
|
|
OPERATING
ACTIVITIES:
|
|
|
|
|
|
|
|
|
Net income
|
|
$
18,275
|
|
$
16,872
|
|
$
21,907
|
|
$
50,132
|
Less: Income from
discontinued operations, net of tax
|
|
367
|
|
3,246
|
|
(19,999)
|
|
1,560
|
Income from continuing
operations
|
|
17,908
|
|
13,626
|
|
41,906
|
|
48,572
|
|
|
|
|
|
|
|
|
|
Adjustments required
to reconcile income from continuing operations to net cash provided
by
continuing operating activities:
|
|
|
|
|
|
|
|
|
Deferred income tax
provision
|
|
$
2,135
|
|
$
(345)
|
|
$
10,251
|
|
$
(238)
|
Depreciation and
amortization
|
|
17,900
|
|
18,381
|
|
53,383
|
|
54,227
|
Non-cash share-based
compensation
|
|
511
|
|
512
|
|
1,545
|
|
1,814
|
Pension income, net of
contributions
|
|
(3,384)
|
|
(4,039)
|
|
(7,851)
|
|
(10,267)
|
Change in working
capital and other operating items
|
|
(25,107)
|
|
(1,562)
|
|
(66,876)
|
|
(55,620)
|
Net cash provided by
continuing operating activities
|
|
$
9,963
|
|
$
26,573
|
|
$
32,358
|
|
$
38,488
|
|
|
|
|
|
|
|
|
|
INVESTING
ACTIVITIES:
|
|
|
|
|
|
|
|
|
Cash disbursed for
purchases of property, plant, and equipment, net
|
|
$
(12,610)
|
|
$
(28,205)
|
|
$
(73,536)
|
|
$
(56,438)
|
Proceeds from
disposition of China JVs, net
|
|
-
|
|
9,947
|
|
-
|
|
9,947
|
Acquisition, net of
cash
|
|
-
|
|
(21,740)
|
|
-
|
|
(21,740)
|
Net cash used in
continuing investing activities
|
|
$
(12,610)
|
|
$
(39,998)
|
|
$
(73,536)
|
|
$
(68,231)
|
|
|
|
|
|
|
|
|
|
FINANCING
ACTIVITIES:
|
|
|
|
|
|
|
|
|
Proceeds from
borrowings
|
|
$
162,848
|
|
$
30,580
|
|
$
458,752
|
|
$
93,952
|
Repayments of
borrowings
|
|
(145,228)
|
|
(33,414)
|
|
(417,664)
|
|
(95,834)
|
Repayments on Term
Loan Credit Facility
|
|
-
|
|
-
|
|
(50,000)
|
|
(25,000)
|
Proceeds from
termination of cross currency swaps
|
|
-
|
|
-
|
|
-
|
|
32,377
|
Dividend payment to
Tower shareholders
|
|
(2,105)
|
|
-
|
|
(6,334)
|
|
-
|
Proceeds from stock
options exercised
|
|
43
|
|
10
|
|
68
|
|
160
|
Purchase of treasury
stock
|
|
(17,912)
|
|
(2)
|
|
(18,533)
|
|
(6,551)
|
Net cash used in
continuing financing activities
|
|
$
(2,353)
|
|
$
(2,826)
|
|
$
(33,711)
|
|
$
(896)
|
|
|
|
|
|
|
|
|
|
Discontinued
operations:
|
|
|
|
|
|
|
|
|
Net cash from
discontinued operating activities
|
|
$
639
|
|
$
14,145
|
|
$
3,714
|
|
$
21,551
|
Net cash used in
discontinued investing activities
|
|
(203)
|
|
(6,151)
|
|
(2,110)
|
|
(8,953)
|
Net cash used in
discontinued financing activities
|
|
(263)
|
|
(6,655)
|
|
(2,899)
|
|
(9,650)
|
Net cash from / (used
in) discontinued operations
|
|
$
173
|
|
$
1,339
|
|
$
(1,295)
|
|
$
2,948
|
|
|
|
|
|
|
|
|
|
Effect of exchange
rate changes on continuing cash and cash equivalents
|
|
$
266
|
|
$
(1,220)
|
|
$
1,806
|
|
$
(3,719)
|
|
|
|
|
|
|
|
|
|
NET CHANGE IN CASH
AND CASH EQUIVALENTS
|
|
$
(4,561)
|
|
$
(16,132)
|
|
$
(74,378)
|
|
$
(31,410)
|
|
|
|
|
|
|
|
|
|
CASH AND CASH
EQUIVALENTS:
|
|
|
|
|
|
|
|
|
Beginning of
period
|
|
$
51,777
|
|
$
117,406
|
|
$
121,594
|
|
$
132,684
|
|
|
|
|
|
|
|
|
|
End of
period
|
|
$
47,216
|
|
$
101,274
|
|
$
47,216
|
|
$
101,274
|
TOWER
INTERNATIONAL, INC. AND SUBSIDIARIES
|
SEGMENT DATA AND
NON-GAAP FINANCIAL MEASURE RECONCILIATIONS
|
(Amounts in
thousands - unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Segment
Data
|
|
Three Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
|
Revenues
|
|
Adjusted
EBITDA
|
|
Revenues
|
|
Adjusted
EBITDA
|
Europe
|
|
$
147,964
|
|
$
12,084
|
|
$
154,900
|
|
$
12,983
|
North
America
|
|
309,078
|
|
38,039
|
|
287,290
|
|
30,847
|
Consolidated
|
|
$
457,042
|
|
$
50,123
|
|
$
442,190
|
|
$
43,830
|
|
|
|
|
|
|
|
|
|
|
|
Nine Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
|
Revenues
|
|
Adjusted
EBITDA
|
|
Revenues
|
|
Adjusted
EBITDA
|
Europe
|
|
$
484,064
|
|
$
37,307
|
|
$
496,001
|
|
$
41,194
|
North
America
|
|
967,303
|
|
108,170
|
|
845,180
|
|
101,249
|
Consolidated
|
|
$
1,451,367
|
|
$
145,477
|
|
$
1,341,181
|
|
$
142,443
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA
Reconciliation
|
|
Three Months Ended
September 30,
|
|
Nine Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
Adjusted
EBITDA
|
|
$
50,123
|
|
$
43,830
|
|
$
145,477
|
|
142,443
|
Restructuring and
asset impairment charges, net
|
|
(1,196)
|
|
(784)
|
|
(2,782)
|
|
(6,984)
|
Depreciation and
amortization
|
|
(17,900)
|
|
(18,381)
|
|
(53,383)
|
|
(54,227)
|
Acquisition costs and
other
|
|
(47)
|
|
(436)
|
|
(318)
|
|
(675)
|
Long-term
compensation expense
|
|
(3,275)
|
|
(2,870)
|
|
(8,778)
|
|
(8,870)
|
Interest expense,
net
|
|
(5,558)
|
|
(6,277)
|
|
(18,059)
|
|
(17,828)
|
Other
expense
|
|
-
|
|
-
|
|
(6,481)
|
|
-
|
Provision for income
taxes
|
|
(4,239)
|
|
(1,456)
|
|
(13,770)
|
|
(5,287)
|
Income / (loss) from
discontinued operations, net of tax
|
|
367
|
|
3,246
|
|
(19,999)
|
|
1,560
|
Net income
attributable to noncontrolling interests
|
|
(118)
|
|
(589)
|
|
(213)
|
|
(1,162)
|
Net income
attributable to Tower International, Inc.
|
|
$
18,157
|
|
$
16,283
|
|
$
21,694
|
|
$
48,970
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted Free Cash
Flow Reconciliation
|
|
Three Months Ended
September 30,
|
|
Nine Months Ended
September 30,
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
Net cash provided by
continuing operating activities
|
|
$
9,963
|
|
$
26,573
|
|
$
32,358
|
|
$
38,488
|
Cash disbursed for
purchases of PP&E
|
|
(12,610)
|
|
(28,205)
|
|
(73,536)
|
|
(56,438)
|
Free cash
flow
|
|
(2,647)
|
|
(1,632)
|
|
(41,178)
|
|
(17,950)
|
Net cash received /
(disbursed) for customer-owned tooling
|
|
(31,318)
|
|
(19,312)
|
|
(52,069)
|
|
(39,805)
|
Adjusted free cash
flow
|
|
$
28,671
|
|
$
17,680
|
|
$
10,891
|
|
$
21,855
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Debt
Reconciliation
|
|
|
|
|
|
September
30,
|
|
December
31,
|
|
|
|
|
|
|
2016
|
|
2015
|
Short-term debt and
current maturities of capital lease obligations
|
|
|
|
|
|
$
35,380
|
|
$
29,492
|
Long-term debt, net
of current maturities
|
|
|
|
|
|
405,716
|
|
418,078
|
Debt issue
costs
|
|
|
|
|
|
(6,664)
|
|
(8,962)
|
Obligations under
capital leases, net of current maturities
|
|
|
|
|
|
5,445
|
|
5,984
|
Total debt
|
|
|
|
|
|
439,877
|
|
444,592
|
Less: Cash and cash
equivalents
|
|
|
|
|
|
(47,216)
|
|
(121,594)
|
Add: Cash
attributable to discontinued operations
|
|
|
|
|
|
-
|
|
8,720
|
Net debt
|
|
|
|
|
|
$
392,661
|
|
$
331,718
|
TOWER
INTERNATIONAL, INC. AND SUBSIDIARIES
|
|
|
|
|
CERTAIN ITEMS
INCLUDED IN NET INCOME
|
|
|
|
|
(Amounts in
thousands, except per share amounts - unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
After
tax
|
|
Before
tax
|
|
|
Three Months
Ended
|
|
Three Months
Ended
|
|
|
September
30,
|
|
September
30,
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
|
|
|
|
|
|
|
|
Income / (expense)
items included in net income, net of tax:
|
|
|
|
|
|
|
|
|
Selling, general,
and administrative expenses
|
|
|
|
|
|
|
|
|
One-time CEO
compensation awards
|
|
$
(710)
|
|
$
(933)
|
|
$
(1,044)
|
|
$
(933)
|
Acquisition
costs
|
|
-
|
|
(393)
|
|
-
|
|
(393)
|
Restructuring and
asset impairment charges, net
|
|
|
|
|
|
|
|
|
One-time restructuring
actions
|
|
-
|
|
(192)
|
|
-
|
|
(192)
|
Interest
expense
|
|
|
|
|
|
|
|
|
Mark-to-market loss on
derivative financial instruments
|
|
(428)
|
|
(1,006)
|
|
(629)
|
|
(1,006)
|
Discontinued
operations
|
|
|
|
|
|
|
|
|
Income from
discontinued operations
|
|
367
|
|
3,246
|
|
367
|
|
3,246
|
Noncontrolling
interests
|
|
|
|
|
|
|
|
|
Net income
attributable to noncontrolling interests*
|
|
(118)
|
|
(589)
|
|
(118)
|
|
(589)
|
Total items included
in net income, net of tax
|
|
$
(889)
|
|
$
133
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
attributable to Tower International, Inc
|
|
$
18,157
|
|
$
16,283
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Memo: Average
shares outstanding (in thousands)
|
|
|
|
|
|
|
|
|
Basic
|
|
20,830
|
|
21,107
|
|
|
|
|
Diluted
|
|
21,182
|
|
21,423
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income per common
share (GAAP)
|
|
|
|
|
|
|
|
|
Basic
|
|
$
0.87
|
|
$
0.77
|
|
|
|
|
Diluted
|
|
0.86
|
|
0.76
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted adjusted
earnings per share (non-GAAP)
|
|
$
0.90
|
|
$
0.75
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
* Amounts
attributable to noncontrolling interests of discontinued
operations
|
|
|
|
|
|
|
|
|
TOWER
INTERNATIONAL, INC. AND SUBSIDIARIES
|
CERTAIN ITEMS
INCLUDED IN NET INCOME
|
(Amounts in
thousands, except per share amounts - unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
After
tax
|
|
Before
tax
|
|
|
Nine Months
Ended
|
|
Nine Months
Ended
|
|
|
September
30,
|
|
September
30,
|
|
|
2016
|
|
2015
|
|
2016
|
|
2015
|
|
|
|
|
|
|
|
|
|
Income / (expense)
items included in net income, net of tax:
|
|
|
|
|
|
|
|
|
Selling, general,
and administrative expenses
|
|
|
|
|
|
|
|
|
One-time CEO
compensation awards
|
|
$
(1,154)
|
|
$
(2,799)
|
|
$
(1,697)
|
|
$
(2,799)
|
Acquisition
costs
|
|
-
|
|
(393)
|
|
-
|
|
(393)
|
Restructuring and
asset impairment charges, net
|
|
|
|
|
|
|
|
|
One-time restructuring
actions
|
|
-
|
|
(192)
|
|
-
|
|
(192)
|
Change in estimated
future rent
|
|
-
|
|
(4,760)
|
|
-
|
|
(4,760)
|
Interest
expense
|
|
|
|
|
|
|
|
|
Mark-to-market loss on
derivative financial instruments
|
|
(2,320)
|
|
(1,280)
|
|
(3,412)
|
|
(1,280)
|
Acceleration of the
amortization of debt issue costs and OID
|
|
(503)
|
|
(440)
|
|
(740)
|
|
(440)
|
Other
expense
|
|
|
|
|
|
|
|
|
European divestiture
expenses
|
|
(4,544)
|
|
-
|
|
(6,481)
|
|
-
|
Discontinued
operations
|
|
|
|
|
|
|
|
|
Income / (loss) from
discontinued operations
|
|
(19,999)
|
|
1,560
|
|
(19,999)
|
|
1,560
|
Noncontrolling
interests
|
|
|
|
|
|
|
|
|
Net income
attributable to noncontrolling interests*
|
|
(213)
|
|
(1,162)
|
|
(213)
|
|
(1,162)
|
Total items included
in net income, net of tax
|
|
$
(28,733)
|
|
$
(9,466)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
attributable to Tower International, Inc.
|
|
$
21,694
|
|
$
48,970
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Memo: Average
shares outstanding (in thousands)
|
|
|
|
|
|
|
|
|
Basic
|
|
21,039
|
|
21,088
|
|
|
|
|
Diluted
|
|
21,373
|
|
21,396
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income per common
share (GAAP)
|
|
|
|
|
|
|
|
|
Basic
|
|
$
1.03
|
|
$
2.32
|
|
|
|
|
Diluted
|
|
1.02
|
|
2.29
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted adjusted
earnings per share (non-GAAP)
|
|
$
2.36
|
|
$
2.73
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
* Amounts
attributable to noncontrolling interests of discontinued
operations
|
|
|
|
|
|
|
|
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/tower-international-reports-third-quarter-results-300355524.html
SOURCE TOWER INTERNATIONAL