LAKE SUCCESS, N.Y.,
June 22, 2017 /PRNewswire/ -- The
Hain Celestial Group, Inc. (NASDAQ: HAIN) ("Hain Celestial" or
the "Company"), a leading organic and natural products company with
operations in North America,
Europe and India providing consumers with A Healthier Way
of Life™, today announced the completion of its internal accounting
review and audit process for its fiscal year ended June 30, 2016. In connection with the
completion of its internal accounting review, the Company has
concluded that its previously-issued consolidated financial
statements are fairly stated in all material respects in accordance
with generally accepted accounting principles in the United States. Today, the Company will
file its Annual Report on Form 10-K for the fiscal year ended
June 30, 2016 (the "Form 10-K"),
which includes immaterial revisions to its results for fiscal years
2016, 2015 and 2014, as well as its Quarterly Reports on Form 10-Q
for the first three quarters of its fiscal year 2017. Upon
the filing of these outstanding reports, the Company will be
current with all of its reporting obligations with the Securities
and Exchange Commission.
"The accounting review is complete, and we are pleased to report
our financial results, which reflect no material changes to any
prior reported periods. We have also implemented greater and more
effective internal controls and enhanced oversight for our
financial reporting and business units. The changes we are
announcing today strengthen Hain Celestial globally on a go-forward
basis," said Irwin D. Simon,
Founder, President and Chief Executive Officer of Hain Celestial.
"We appreciate the efforts of our employees and the support of our
customers, lenders and stockholders throughout this process."
Irwin Simon continued, "We have
made significant progress to build upon our strategic plan, Project
Terra, identifying substantial cost-savings, enhancing
customer-centric, go-to market initiatives and fueling innovation
to improve our performance. Our team is energized and focused on
the continued execution of our strategic initiatives as we position
our business for long-term growth, success and enhanced shareholder
value."
Financial Highlights1
For the first nine months of fiscal year 2017, the Company
reported:
- Net sales of $2.1 billion,
relatively flat on a year-over-year basis, or a 4% increase on a
constant currency basis. Net sales were impacted by $96.2 million from foreign exchange rate
movements versus the prior year period.
- Hain Celestial United States net sales of $882.3 million, a decrease of 6% on a
year-over-year basis reflecting the impact of inventory realignment
at certain customers and product rationalization of $55 million.
- Hain Celestial United Kingdom net sales of $573.5 million, a 3% increase, or an 18% increase
on a constant currency basis, compared to the prior year
period.
- Hain Pure Protein net sales of $387.4
million, a 2% increase over the prior year period.
- Hain Celestial Canada net sales of $111.2 million, an 8% increase.
- Hain Celestial Europe net sales of $127.8 million, a 15% increase.
- Net income of $67.1 million;
adjusted net income of $82.7
million.
- EBITDA of $157.2 million compared
to $278.5 million in the prior year
period; adjusted EBITDA of $189.8
million compared to $287.8
million in the prior year period.
- Operating income of $102.2
million, or 4.8% of net sales; adjusted operating income of
$134.8 million, or 6.3% of net
sales.
- Earnings per diluted share of $0.64; adjusted earnings per diluted share of
$0.79. Foreign currencies impacted
reported earnings results by $0.09
per diluted share.
- Operating cash flow of $148.0
million.
For fiscal year 2016, the Company reported:
- Net sales of $2.9 billion, an 11%
increase or 13% on a constant currency basis, compared to fiscal
2015 net sales of $2.6 billion. Net
sales were impacted by $69.2 million
in foreign exchange rate movements versus the prior year.
- Net income of $47.4 million;
adjusted net income of $192.9
million.
- EBITDA of $361.5 million compared
to $311.9 million in fiscal 2015;
adjusted EBITDA of $379.1 million
compared to $371.7 million in fiscal
2015.
- Operating income of $150.4
million, adjusted operating income $305.5 million.
- Included in the Company's fiscal 2016 results was a non-cash
impairment charge of $124.2 million,
which included a goodwill impairment charge of $84.5 million related to the Hain Daniels
reporting unit within the United
Kingdom segment as well as a trademark impairment charge of
$39.7 million, which relates to
trademarks in both the United
Kingdom and United States
segments.
- Earnings per diluted share of $0.46, adjusted earnings per diluted share of
$1.85. Foreign currencies impacted
reported earnings results by $0.04
per diluted share.
- Operating cash flow of $206.6
million, an increase of 11.4% compared to fiscal 2015.
Update on Strategic Plan
The Company continues to
execute on its strategic plan, which expands upon Project Terra
announced in fiscal 2016, to drive long-term growth and
profitability. These initiatives to drive net sales growth and
margin expansion include:
- Investing in top brands and capabilities to grow globally;
- Expanding Project Terra cost-savings programs, which are
expected to deliver $350 million in
total cost savings through fiscal 2020 including annual
productivity;
- Building a global management team with deep sector and
operating expertise–including key hires in marketing, sales, and
operations–to drive innovation and distribution expansion, as well
as
- Pursuing a capital allocation strategy that includes a new
$250 million share repurchase
authorization.
1 This press release includes certain non‐GAAP
financial measures, referred to as "adjusted", which are intended
to supplement, not substitute for, comparable GAAP financial
measures. Reconciliations of non‐GAAP financial measures to GAAP
financial measures are provided herein.
Fourth Quarter and Full Fiscal 2017 Guidance
The
Company provided the following fourth quarter and full fiscal 2017
guidance expectations:
|
|
Fourth Quarter
2017
|
|
Full Year
2017
|
Net
Sales
|
|
$715 million to $735
million
|
|
$2.84 to $2.86
billion
|
Adjusted
EBITDA
|
|
$80 million to $85
million
|
|
$270 million to $275
million
|
Adjusted
EPS
|
|
$0.40 to
$0.43
|
|
$1.19 to
$1.22
|
For the fourth quarter of fiscal 2017, the Company's projected
net sales reflects an estimate of approximately 1% year-over-year
decline in U.S. dollars and approximately 4% year-over-year growth
on a constant currency basis.
Irwin Simon concluded, "We have
continued to make significant progress across key areas of our
business, and while our financial results were impacted by a
challenging operating environment during the first three quarters
of 2017, we believe that we have reached an inflection point in the
fourth quarter, with the Company well-positioned for long-term
growth and profitability."
Guidance is provided on a non-GAAP or adjusted basis, which
excludes acquisition-related expenses, integration and
restructuring charges, start-up costs, unrealized net foreign
currency gains or losses, reserves for litigation matters and other
non-recurring items that have been or may be incurred during the
Company's fiscal year 2017, which the Company will continue to
identify as it reports its future financial results. Guidance
excludes the impact of any future acquisitions.
The Company has not reconciled its expected Adjusted EBITDA to
net income or Adjusted EPS to earnings per share under "Fourth
Quarter and Full Fiscal 2017 Guidance" and "Fiscal Year 2018
Outlook" because it has not finalized calculations for several
factors necessary to provide the reconciliations, including net
income, interest expense and income tax expense. In addition,
certain items that impact net income and other reconciling metrics
are out of the Company's control and/or cannot be reasonably
predicted at this time.
Initial Fiscal Year 2018 Outlook
The Company also
announced the following financial targets:
- Total net sales growth of 4% to 6%
- Adjusted EBITDA of $350 million to $375
million.
Appoints Lead Director
Effective May 23, 2017, the Company's Board of Directors
appointed Andrew R. Heyer, a
Director since 2012 and Chairperson of the Audit Committee, as Lead
Independent Director.
Announces New Chief Financial Officer
In a separate
press release today, the Company announced that James Langrock has been appointed as Executive
Vice President and Chief Financial Officer, effective June 23, 2017.
Returning Capital to Shareholders
The Company's Board of Directors has authorized the repurchase of
up to $250 million of the Company's
issued and outstanding common stock. The extent to which the
Company repurchases its shares and the timing of such repurchases
will depend upon market conditions and other corporate
considerations including the Company's historical strategy of
pursuing accretive acquisitions.
Segment Results
For fiscal 2016, the Company's
operations were managed into the following reportable segments:
United States, United Kingdom, Hain Pure Protein and Rest of
World (comprised of Canada and
Continental Europe).
For fiscal 2017, changes in the Company's internal management
and reporting structure resulted in a change in operating segments.
Certain brands previously included within the United States operating segment were moved
to the new Cultivate operating segment, which is now included in
the Rest of World reportable segment.
(dollars in
thousands)
|
United
States
|
United
Kingdom
|
Hain Pure
Protein
|
Rest of
World
|
Corporate/
Other
|
Total
|
NET
SALES
|
|
|
|
|
|
|
Net sales - Nine
months ended 03/31/17
|
$
882,273
|
$
573,542
|
$
387,412
|
$
284,799
|
$
-
|
$
2,128,026
|
Net sales - Nine
months ended 03/31/16 (revised) (1)
|
$
942,700
|
$
558,269
|
$
379,460
|
$
267,398
|
$
-
|
$
2,147,827
|
% change - FY'17 net
sales vs. FY'16 net sales (revised)
|
-6.4%
|
2.7%
|
2.1%
|
6.5%
|
|
-0.9%
|
OPERATING
INCOME
|
|
|
|
|
|
|
Nine months ended
03/31/17
|
|
|
|
|
|
|
Operating
income
|
$
111,453
|
$
22,792
|
$
(31)
|
$
21,894
|
$
(53,890)
|
$
102,218
|
Non-GAAP Adjustments
(2)
|
$
6,193
|
$
3,754
|
$
-
|
$
(110)
|
$
22,741
|
$
32,578
|
Non-GAAP operating
income
|
$
117,646
|
$
26,546
|
$
(31)
|
$
21,784
|
$
(31,149)
|
$
134,796
|
Non-GAAP operating
income margin
|
13.3%
|
4.6%
|
0.0%
|
7.6%
|
|
6.3%
|
Nine months ended
03/31/16
|
|
|
|
|
|
|
Operating income
(revised) (1)
|
$
148,828
|
$
44,093
|
$
31,078
|
$
17,646
|
$
(26,147)
|
$
215,498
|
Non-GAAP Adjustments
(2)
|
$
2,965
|
$
1,020
|
$
3,940
|
$
514
|
$
9,909
|
$
18,348
|
Non-GAAP operating
income (revised)
|
$
151,792
|
$
45,113
|
$
35,018
|
$
18,160
|
$
(16,238)
|
$
233,847
|
Non-GAAP operating
income margin (revised)
|
16.1%
|
8.1%
|
9.2%
|
6.8%
|
|
10.9%
|
(1) See bridge
from previously reported to revised amounts on the accompanying
tables "Net Sales by Segment" and "Operating Income by
Segment"
|
(2) See
accompanying table of "Reconciliation of GAAP Results to Non-GAAP
Measures"
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(dollars in
thousands)
|
United
States
|
United
Kingdom
|
Hain Pure
Protein
|
Rest of
World
|
Corporate/
Other
|
Total
|
NET
SALES
|
|
|
|
|
|
|
Net sales - Twelve
months ended 06/30/16(1)
|
$
1,321,547
|
$
774,877
|
$
492,510
|
$
296,440
|
$
-
|
$
2,885,374
|
Net sales - Twelve
months ended 06/30/15 (revised) (2)
|
$
1,325,996
|
$
722,830
|
$
337,197
|
$
223,590
|
$
-
|
$
2,609,613
|
Non-GAAP Adjustments
(3)
|
$
15,773
|
$
-
|
$
-
|
$
928
|
$
-
|
$
16,701
|
Non-GAAP net sales -
Twelve months ended 06/30/15 (revised)
|
$
1,341,769
|
$
722,830
|
$
337,197
|
$
224,518
|
$
-
|
$
2,626,314
|
% change - FY'16 net
sales vs. FY'15 Non-GAAP net sales (revised)
|
-1.5%
|
7.2%
|
46.1%
|
32.0%
|
|
9.9%
|
OPERATING
INCOME
|
|
|
|
|
|
|
Twelve months ended
06/30/16
|
|
|
|
|
|
|
Operating
income
|
$
209,099
|
$
56,000
|
$
31,558
|
$
22,280
|
$
(168,577)
|
$
150,360
|
Non-GAAP Adjustments
(3)
|
$
6,388
|
$
2,081
|
$
4,734
|
$
908
|
$
141,012
|
$
155,123
|
Non-GAAP operating
income
|
$
215,486
|
$
58,081
|
$
36,292
|
$
23,188
|
$
(27,566)
|
$
305,483
|
Non-GAAP operating
income margin
|
16.3%
|
7.5%
|
7.4%
|
7.8%
|
|
10.6%
|
Twelve months ended
06/30/15
|
|
|
|
|
|
|
Operating income
(revised) (2)
|
$
188,054
|
$
44,985
|
$
28,685
|
$
15,210
|
$
(43,072)
|
$
233,862
|
Non-GAAP Adjustments
(3)
|
$
37,442
|
$
15,258
|
$
259
|
$
2,187
|
$
15,642
|
$
70,788
|
Non-GAAP operating
income (revised)
|
$
225,496
|
$
60,243
|
$
28,944
|
$
17,397
|
$
(27,430)
|
$
304,649
|
Non-GAAP operating
income margin (revised)
|
16.8%
|
8.3%
|
8.6%
|
7.7%
|
|
11.6%
|
(1) There were no
Non-GAAP adjustments to net sales for the twelve months ended
06/30/16
|
|
|
(2) See bridge
from previously reported to revised amounts on the accompanying
tables "Net Sales by Segment" and "Operating Income by
Segment"
|
(3) See
accompanying table of "Reconciliation of GAAP Results to Non-GAAP
Measures"
|
|
|
|
Accounting Review
As previously announced on
August 15, 2016, during the fourth
quarter of fiscal year 2016, Hain Celestial identified the practice
of granting additional concessions to certain distributors in
the United States and commenced an
internal accounting review in order to (i) determine whether the
revenue associated with those concessions was accounted for in the
correct period and (ii) evaluate the Company's internal control
over financial reporting. The Audit Committee of its Board of
Directors separately conducted an independent review of these
matters and retained independent counsel to assist in their review.
The comprehensive review concluded there was no evidence of
intentional wrongdoing in connection with the preparation of the
Company's financial statements. Although the initial focus of the
Company's internal accounting review pertained to the evaluation of
the timing of the recognition of the revenue associated with the
practice of granting additional concessions to certain
distributors, the Company subsequently expanded its internal
accounting review and performed an analysis of previously-issued
financial statements in order to identify and assess other
potential errors. Based upon this review, the Company identified
certain immaterial errors relating to its previously-issued
financial statements which resulted in revisions to its
previously-issued financial statements, as disclosed in its Form
10-K.
The revisions made were immaterial to the Company's consolidated
financial statements for the aforementioned periods and had no
effect on the validity of the underlying transactions. In addition,
the revisions made had no impact on cash flows or cash
balances. Furthermore, the Company's independent auditor has
maintained its previously issued opinion with respect to the
financial results for the aforementioned periods.
In addition, the Company has enhanced its internal control over
financial reporting, as further detailed in the Company's Form
10-K.
Revised Results
The Company identified immaterial
accounting revisions for the fiscal years 2014 and 2015 and the
first nine months of fiscal 2016. Please refer to accompanying
tables "Consolidated Statements of Income – Fiscal 2016" and
"Consolidated Statements of Income – Fiscal 2015," as well as the
Company's Form 10-K, for a summary of the revisions.
Webcast and Accompanying Presentation
Hain Celestial
will host a conference call and webcast today at 8:00 AM Eastern Time to discuss its results and
business outlook. The webcast and accompanying presentation are
available under the Investor Relations section of the Company's
website at www.hain.com.
About The Hain Celestial Group, Inc.
The Hain
Celestial Group (Nasdaq: HAIN), headquartered in Lake Success, NY, is a leading organic and
natural products company with operations in North America, Europe and India. Hain Celestial participates in many
natural categories with well-known brands that include Celestial
Seasonings®, Earth's Best®, Ella's
Kitchen®, Terra®, Garden of
Eatin'®, Sensible Portions®, Health
Valley®, Arrowhead Mills®,
MaraNatha®, SunSpire®, DeBoles®,
Casbah®, Rudi's Organic Bakery®, Hain Pure
Foods®, Spectrum®, Spectrum
Essentials®, Imagine®, Almond
Dream®, Rice Dream®, Soy Dream®,
WestSoy®, The Greek Gods®,
BluePrint®, FreeBird®, Plainville
Farms®, Empire®, Kosher Valley®,
Yves Veggie Cuisine®, Europe's Best®, Cully &
Sully®, New Covent Garden Soup Co.®,
Yorkshire Provender™, Johnson's Juice Co.®, Farmhouse
Fare®, Hartley's®, Sun-Pat®,
Gale's®, Robertson's®, Frank Cooper's®, Linda McCartney®, Lima®, Danival®,
Joya®, Natumi®, GG UniqueFiber®,
Tilda®, JASON®, Avalon Organics®,
Alba Botanica®, Live
Clean® and Queen
Helene®. Hain Celestial has been providing A
Healthier Way of Life™ since 1993. For more information, visit
www.hain.com.
Safe Harbor Statement
Certain statements
contained in this press release constitute "forward-looking
statements" within the meaning of the Private Securities Litigation
Reform Act of 1995. Forward-looking statements are
predictions based on expectations and projections about future
events, and are not statements of historical fact. You can
identify forward-looking statements by the use of forward-looking
terminology such as "plan", "continue", "expect", "anticipate",
"intend", "predict", "project", "estimate", "likely", "believe",
"might", "seek", "may", "will", "remain", "potential", "can",
"should", "could", "future" and similar expressions, or the
negative of those expressions, or similar words or phrases that are
predictions of or indicate future events or trends and that do not
relate solely to historical facts. You can also identify
forward-looking statements by discussions of guidance for the
remainder of the fourth quarter of fiscal year 2017 and the fiscal
year 2018 outlook, strategy, plans or intentions related to our
capital resources, performance and results of operations. Such
forward-looking statements involve known and unknown risks,
uncertainties and other factors which may cause the actual results,
levels of activity, performance or achievements of the Company, or
industry results, to be materially different from any future
results, levels of activity, performance or achievements expressed
or implied by such forward-looking statements, and you should not
rely on them as predictions of future events. Forward-looking
statements depend on assumptions, data or methods that may be
incorrect or imprecise and may not be able to be realized. We do
not guarantee that the transactions and events described will
happen as described (or that they will happen at all). Such
factors, include, among others, the Company's beliefs or
expectations relating to (i) the Company's guidance for the Fourth
Quarter of 2017 and Fiscal Year 2018 Outlook; (ii) the Company's
strategic plan and execution against such plan and (iii) the
Company's ability to deliver significant shareholder value
creation; and the other risks detailed from time-to-time in the
Company's reports filed with the Securities and Exchange
Commission, including the Annual Report on Form 10-K for the fiscal
year ended June 30, 2016, and our
quarterly reports. As a result of the foregoing and other
factors, no assurance can be given as to the future results, levels
of activity and achievements of the Company, and neither the
Company nor any person assumes responsibility for the accuracy and
completeness of these statements. All forward-looking
statements contained herein apply as of the date hereof or as of
the date they were made and, except as required by applicable law,
the Company disclaims any obligation to publicly update or revise
any forward-looking statement to reflects changes in underlying
assumptions or factors of new methods, future events or other
changes.
Non-GAAP Financial Measures
This press release and
the accompanying tables include non-GAAP financial measures,
including net sales excluding the impact of foreign currency
(defined below), adjusted operating income, adjusted net income,
adjusted earnings per diluted share, adjusted EBITDA (defined
below) and operating free cash flow (defined below). The
reconciliations of these non-GAAP financial measures to the
comparable GAAP financial measures are presented in the tables
"Reconciliation of GAAP Results to Non-GAAP Measures" for the three
months and nine months ended March 31,
2017 and 2016 and in the paragraphs below. Management
believes that the non-GAAP financial measures presented provide
useful additional information to investors about current trends in
the Company's operations and are useful for period-over-period
comparisons of operations. These non-GAAP financial measures should
not be considered in isolation or as a substitute for the
comparable GAAP measures. In addition, these non-GAAP measures may
not be the same as similar measures provided by other companies due
to potential differences in methods of calculation and items being
excluded. They should be read only in connection with the Company's
Consolidated Statements of Income presented in accordance with
GAAP.
The Company defines Operating Free Cash Flow as cash provided
from or used in operating activities (a GAAP measure) less capital
expenditures. The Company views operating free cash flow as an
important measure because it is one factor in evaluating the amount
of cash available for discretionary investments. For the nine
months ended March 31, 2017 and 2016,
operating free cash flow was calculated as follows:
|
Nine Months
Ended
|
|
03/31/2017
|
|
03/31/2016
|
|
(dollars in
thousands)
|
Cash flow provided by
operating activities
|
$
147,952
|
|
$
131,854
|
Purchase of property,
plant and equipment
|
(44,064)
|
|
(58,022)
|
Operating free cash
flow
|
$
103,888
|
|
$
73,832
|
The Company's operating cash flow was $148.0 million for the nine months ended
March 31, 2017, an increase of 12.2% from the nine months
ended March 31, 2016. The Company's operating free cash
flow was $103.8 million for the nine
months ended March 31, 2017, an
increase of 40.7% from the nine months ended March 31, 2016.
The Company believes presenting net sales at constant currency
provides useful information to investors because it provides
transparency to underlying performance in the Company's
consolidated net sales by excluding the effect that foreign
currency exchange rate fluctuations have on year-to-year
comparability given the volatility in foreign currency exchange
markets. To present this information for historical periods,
current period net sales for entities reporting in currencies other
than the U.S. dollar are translated into U.S. dollars at the
average monthly exchange rates in effect during the corresponding
period of the prior fiscal year, rather than at the actual average
monthly exchange rate in effect during the current period of the
current fiscal year. As a result, the foreign currency impact is
equal to the current year results in local currencies multiplied by
the change in average foreign currency exchange rate between the
current fiscal period and the corresponding period of the prior
fiscal year.
The Company defines adjusted EBITDA as net income (a GAAP
measure) before income taxes, net interest expense, depreciation
and amortization, impairment of long lived assets, equity in the
earnings of non-consolidated affiliates, stock based compensation,
acquisition-related expenses, including integration and
restructuring charges, and other non-recurring items. The Company's
management believes that this presentation provides useful
information to management, analysts and investors regarding certain
additional financial and business trends relating to its results of
operations and financial condition. In addition, management uses
this measure for reviewing the financial results of the Company and
as a component of performance-based executive compensation.
For the nine months ended March 31,
2017 and 2016 and the twelve months ended June 30, 2016 and 2015, adjusted EBITDA was
calculated as follows:
|
9 Months
Ended
|
|
12 Months
Ended
|
|
3/31/2017
|
|
3/31/2016
|
|
6/30/2016
|
|
6/30/2015
|
|
(dollars in
thousands)
|
Net Income
|
$
67,117
|
|
$
136,026
|
|
$
47,429
|
|
$
164,962
|
Provision for income
taxes
|
19,322
|
|
59,846
|
|
70,932
|
|
48,535
|
Interest expense,
net
|
13,523
|
|
17,365
|
|
22,231
|
|
23,174
|
Depreciation and
amortization
|
51,299
|
|
48,099
|
|
65,622
|
|
57,380
|
Equity in net loss
(income) of equity method investees
|
(45)
|
|
108
|
|
47
|
|
(628)
|
Stock based
compensation expense
|
7,519
|
|
10,005
|
|
12,688
|
|
12,197
|
Fixed asset
impairment
|
-
|
|
-
|
|
3,476
|
|
1,004
|
Goodwill
impairment
|
-
|
|
-
|
|
84,548
|
|
-
|
Intangibles
impairment
|
-
|
|
-
|
|
39,724
|
|
-
|
Unrealized currency
gains and losses
|
(1,486)
|
|
7,090
|
|
14,831
|
|
5,324
|
EBITDA
|
157,249
|
|
278,539
|
|
361,528
|
|
311,948
|
|
|
|
|
|
|
|
|
Acquisition,
restructuring, integration, severance, and other charges
|
3,599
|
|
10,239
|
|
12,393
|
|
11,884
|
Contingent
consideration expense, net
|
-
|
|
1,511
|
|
1,511
|
|
(253)
|
Nut butter
recall
|
-
|
|
-
|
|
-
|
|
30,110
|
European non-dairy
beverage withdrawal
|
-
|
|
-
|
|
-
|
|
2,187
|
HPPC production
interruption related to chiller breakdown and factory start-up
costs
|
-
|
|
4,111
|
|
4,705
|
|
-
|
Inventory costs for
products discontinued or with redesigned packaging
|
5,360
|
|
-
|
|
3,050
|
|
-
|
Costs incurred due to
co-packer default
|
-
|
|
-
|
|
770
|
|
-
|
UK deferred synergies
due to CMA Board decision
|
918
|
|
-
|
|
949
|
|
-
|
Ashland factory and
related expenses
|
-
|
|
-
|
|
-
|
|
4,146
|
UK factory start-up
costs
|
-
|
|
743
|
|
743
|
|
11,407
|
US warehouse
consolidation project
|
-
|
|
426
|
|
623
|
|
-
|
Fakenham inventory
allowance for fire
|
-
|
|
-
|
|
-
|
|
900
|
Foxboro roof
collapse
|
-
|
|
-
|
|
-
|
|
532
|
Recall and other
related costs
|
809
|
|
-
|
|
-
|
|
-
|
Accounting review
costs
|
20,089
|
|
-
|
|
-
|
|
-
|
Litigation
expenses
|
-
|
|
-
|
|
1,200
|
|
7,203
|
Celestial Seasonings
marketing support related
to new packaging launch and Keurig transition
|
-
|
|
1,000
|
|
1,000
|
|
-
|
Tilda fire insurance
recovery costs and other start-up/ integration costs
|
-
|
|
230
|
|
342
|
|
1,666
|
Luton closure
costs
|
1,804
|
|
-
|
|
-
|
|
-
|
Gain on Tilda fire
related fixed asset
|
-
|
|
(9,013)
|
|
(9,752)
|
|
-
|
Gain on pre-existing
investment in HPPC and Empire Kosher
|
-
|
|
-
|
|
-
|
|
(9,669)
|
Gain on disposal of
investment held for sale
|
-
|
|
-
|
|
-
|
|
(314)
|
Adjusted
EBITDA
|
$
189,828
|
|
$
287,786
|
|
$
379,062
|
|
$
371,747
|
THE HAIN CELESTIAL
GROUP, INC.
|
Consolidated
Balance Sheets
|
(In
thousands)
|
|
|
|
|
|
|
|
|
|
March 31,
2017
|
|
June 30,
2016
|
|
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
ASSETS
|
|
|
|
|
Current
assets:
|
|
|
|
|
Cash and cash
equivalents
|
$
162,642
|
|
$
127,926
|
|
Accounts receivable,
net
|
241,738
|
|
278,933
|
|
Inventories
|
435,651
|
|
408,564
|
|
Prepaid expenses and
other current assets
|
65,017
|
|
84,811
|
|
|
Total current
assets
|
905,048
|
|
900,234
|
|
|
|
|
|
|
Property, plant and
equipment, net
|
377,190
|
|
389,841
|
Goodwill,
net
|
1,032,583
|
|
1,060,336
|
Trademarks and other
intangible assets, net
|
567,425
|
|
604,787
|
Investments and joint
ventures
|
18,976
|
|
20,244
|
Other
assets
|
32,361
|
|
32,638
|
|
|
Total
assets
|
$
2,933,583
|
|
$
3,008,080
|
|
|
|
|
|
|
LIABILITIES AND
STOCKHOLDERS' EQUITY
|
|
|
|
Current
liabilities:
|
|
|
|
|
Accounts
payable
|
$
237,188
|
|
$
251,712
|
|
Accrued expenses and
other current liabilities
|
101,027
|
|
78,803
|
|
Current portion of
long-term debt
|
8,457
|
|
26,513
|
|
|
Total current
liabilities
|
346,672
|
|
357,028
|
|
|
|
|
|
|
Long-term debt, less
current portion
|
780,868
|
|
836,171
|
Deferred income
taxes
|
123,954
|
|
131,507
|
Other noncurrent
liabilities
|
16,566
|
|
18,860
|
|
|
Total
liabilities
|
1,268,060
|
|
1,343,566
|
|
|
|
|
|
|
Stockholders'
equity:
|
|
|
|
|
Common
stock
|
1,080
|
|
1,075
|
|
Additional paid-in
capital
|
1,135,788
|
|
1,123,206
|
|
Retained
earnings
|
868,509
|
|
801,392
|
|
Accumulated other
comprehensive loss
|
(240,871)
|
|
(172,111)
|
|
Subtotal
|
1,764,506
|
|
1,753,562
|
|
Treasury
stock
|
(98,983)
|
|
(89,048)
|
|
|
Total stockholders'
equity
|
1,665,523
|
|
1,664,514
|
|
|
|
|
|
|
|
|
Total liabilities and
stockholders' equity
|
$
2,933,583
|
|
$
3,008,080
|
THE HAIN CELESTIAL
GROUP, INC.
|
Consolidated
Statements of Income
|
(in thousands,
except per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31,
|
|
Nine Months Ended
March 31,
|
|
|
2017
|
|
2016 Revised
(a)
|
|
2017
|
|
2016 Revised
(a)
|
|
|
(Unaudited)
|
|
(Unaudited)
|
|
(Unaudited)
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
Net sales
|
|
$
706,563
|
|
$
736,663
|
|
$
2,128,026
|
|
$
2,147,827
|
Cost of
sales
|
|
563,170
|
|
576,755
|
|
1,736,373
|
|
1,683,777
|
Gross
profit
|
|
143,393
|
|
159,908
|
|
391,653
|
|
464,050
|
|
|
|
|
|
|
|
|
|
Selling, general and
administrative expenses
|
|
82,576
|
|
78,890
|
|
252,730
|
|
223,421
|
Amortization of
acquired intangibles
|
|
4,543
|
|
4,553
|
|
13,964
|
|
13,896
|
Acquisition related
expenses, restructuring and
integration charges, and other
|
|
2,083
|
|
5,317
|
|
2,652
|
|
11,235
|
Accounting review
costs
|
|
7,124
|
|
-
|
|
20,089
|
|
-
|
|
|
|
|
|
|
|
|
|
Operating
income
|
|
47,067
|
|
71,148
|
|
102,218
|
|
215,498
|
|
|
|
|
|
|
|
|
|
Interest and other
expenses, net
|
|
7,511
|
|
(1,715)
|
|
15,824
|
|
19,518
|
Income before income
taxes and equity in earnings of
equity-method investees
|
|
39,556
|
|
72,863
|
|
86,394
|
|
195,980
|
Provision for income
taxes
|
|
8,051
|
|
23,914
|
|
19,322
|
|
59,846
|
Equity in net loss
(income) of equity-method investees
|
|
177
|
|
161
|
|
(45)
|
|
108
|
|
|
|
|
|
|
|
|
|
Net income
|
|
$
31,328
|
|
$
48,788
|
|
$
67,117
|
|
$
136,026
|
|
|
|
|
|
|
|
|
|
Net income per common
share:
|
|
|
|
|
|
|
|
|
Basic
|
|
$
0.30
|
|
$
0.47
|
|
$
0.65
|
|
$
1.32
|
Diluted
|
|
$
0.30
|
|
$
0.47
|
|
$
0.64
|
|
$
1.31
|
|
|
|
|
|
|
|
|
|
Weighted average
common shares outstanding:
|
|
|
|
|
|
|
|
|
Basic
|
|
103,687
|
|
103,265
|
|
103,584
|
|
103,030
|
Diluted
|
|
104,246
|
|
104,087
|
|
104,232
|
|
104,168
|
|
|
|
|
|
|
|
|
|
(a) See
bridge from previously reported to revised amounts in the
accompanying table "Consolidated Statements of Income - Fiscal
2016."
|
THE HAIN CELESTIAL
GROUP, INC.
|
Consolidated
Statements of Income
|
(in thousands,
except per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31,
|
|
Three Months Ended
September 30,
|
|
|
2016
|
|
2015 Revised
(a)
|
|
2016
|
|
2015 Revised
(a)
|
|
|
(Unaudited)
|
|
(Unaudited)
|
|
(Unaudited)
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
Net sales
|
|
$
739,999
|
|
$
743,437
|
|
$
681,464
|
|
$
667,727
|
Cost of
sales
|
|
601,606
|
|
577,176
|
|
571,597
|
|
529,846
|
Gross
profit
|
|
138,393
|
|
166,261
|
|
109,867
|
|
137,881
|
|
|
|
|
|
|
|
|
|
Selling, general and
administrative expenses
|
|
85,187
|
|
68,981
|
|
84,967
|
|
75,550
|
Amortization of
acquired intangibles
|
|
4,693
|
|
4,704
|
|
4,728
|
|
4,639
|
Acquisition related
expenses, restructuring and
integration charges, and other
|
|
108
|
|
2,498
|
|
461
|
|
3,420
|
Accounting review
costs
|
|
7,005
|
|
-
|
|
5,960
|
|
-
|
|
|
|
|
|
|
|
|
|
Operating
income
|
|
41,400
|
|
90,078
|
|
13,751
|
|
54,272
|
|
|
|
|
|
|
|
|
|
Interest and other
expenses, net
|
|
3,744
|
|
9,365
|
|
4,569
|
|
11,868
|
Income before income
taxes and equity in earnings of
equity-method investees
|
|
37,656
|
|
80,713
|
|
9,182
|
|
42,404
|
Provision for income
taxes
|
|
10,509
|
|
22,602
|
|
762
|
|
13,330
|
Equity in net loss
(income) of equity-method investees
|
|
(38)
|
|
31
|
|
(184)
|
|
(84)
|
|
|
|
|
|
|
|
|
|
Net income
|
|
$
27,185
|
|
$
58,080
|
|
$
8,604
|
|
$
29,158
|
|
|
|
|
|
|
|
|
|
Net income per common
share:
|
|
|
|
|
|
|
|
|
Basic
|
|
$
0.26
|
|
$
0.56
|
|
$
0.08
|
|
$
0.28
|
Diluted
|
|
$
0.26
|
|
$
0.56
|
|
$
0.08
|
|
$
0.28
|
|
|
|
|
|
|
|
|
|
Weighted average
common shares outstanding:
|
|
|
|
|
|
|
|
|
Basic
|
|
103,597
|
|
103,017
|
|
103,468
|
|
102,807
|
Diluted
|
|
104,204
|
|
104,161
|
|
104,206
|
|
104,258
|
|
|
|
|
|
|
|
|
|
(a) See
bridge from previously reported to revised amounts in the
accompanying table "Consolidated Statements of Income - Fiscal
2016."
|
THE HAIN CELESTIAL
GROUP, INC.
|
Consolidated
Statements of Income
|
(in thousands,
except per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30,
|
|
Twelve Months Ended
June 30,
|
|
|
2016
|
|
2015 Revised
(a)
|
|
2016
|
|
2015 Revised
(a)
|
|
|
(Unaudited)
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net sales
|
|
$
737,547
|
|
$
680,565
|
|
$
2,885,374
|
|
$
2,609,613
|
Cost of
sales
|
|
587,466
|
|
524,840
|
|
2,271,243
|
|
2,046,758
|
Gross
profit
|
|
150,081
|
|
155,725
|
|
614,131
|
|
562,855
|
|
|
|
|
|
|
|
|
|
Selling, general and
administrative expenses
|
|
80,342
|
|
71,337
|
|
303,763
|
|
302,827
|
Amortization of
acquired intangibles
|
|
4,973
|
|
4,462
|
|
18,869
|
|
17,846
|
Goodwill
impairment
|
|
84,548
|
|
-
|
|
84,548
|
|
-
|
Tradename
impairment
|
|
39,724
|
|
-
|
|
39,724
|
|
-
|
Acquisition related
expenses, restructuring and
integration charges, and other
|
|
5,632
|
|
2,587
|
|
16,867
|
|
8,320
|
|
|
|
|
|
|
|
|
|
Operating
income
|
|
(65,138)
|
|
77,339
|
|
150,360
|
|
233,862
|
|
|
|
|
|
|
|
|
|
Interest and other
expenses, net
|
|
12,434
|
|
1,074
|
|
31,952
|
|
20,993
|
Income before income
taxes and equity in earnings of
equity-method investees
|
|
(77,572)
|
|
76,265
|
|
118,408
|
|
212,869
|
Provision for income
taxes
|
|
11,086
|
|
4,287
|
|
70,932
|
|
48,535
|
Equity in net loss
(income) of equity-method investees
|
|
(61)
|
|
(174)
|
|
47
|
|
(628)
|
|
|
|
|
|
|
|
|
|
Net income
|
|
$
(88,597)
|
|
$
72,152
|
|
$
47,429
|
|
$
164,962
|
|
|
|
|
|
|
|
|
|
Net income per common
share:
|
|
|
|
|
|
|
|
|
Basic
|
|
$
(0.86)
|
|
$
0.70
|
|
$
0.46
|
|
$
1.62
|
Diluted
|
|
$
(0.86)
|
|
$
0.69
|
|
$
0.46
|
|
$
1.60
|
|
|
|
|
|
|
|
|
|
Weighted average
common shares outstanding:
|
|
|
|
|
|
|
|
|
Basic
|
|
103,453
|
|
102,610
|
|
103,135
|
|
101,703
|
Diluted
|
|
103,453
|
|
104,005
|
|
104,183
|
|
103,421
|
|
|
|
|
|
|
|
|
|
(a) See
bridge from previously reported to revised amounts in the
accompanying table "Consolidated Statements of Income - Fiscal
2015."
|
THE HAIN CELESTIAL
GROUP, INC.
|
|
Reconciliation of GAAP Results to Non-GAAP
Measures
|
|
(unaudited and
in thousands, except per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31, 2017
|
|
Three Months Ended
December 31, 2016
|
|
Three Months Ended
September 30, 2016
|
|
Three Months Ended
June 30, 2016
|
|
|
|
GAAP
|
Non-GAAP
Adjustments
|
Non-GAAP
|
|
GAAP
|
Non-GAAP
Adjustments
|
Non-GAAP
|
|
GAAP
|
Non-GAAP
Adjustments
|
Non-GAAP
|
|
GAAP
|
Non-GAAP
Adjustments
|
Non-GAAP
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net sales
|
|
$
706,563
|
-
|
$
706,563
|
|
$
739,999
|
-
|
$
739,999
|
|
$
681,464
|
-
|
$
681,464
|
|
$
737,547
|
-
|
$
737,547
|
|
Cost of
sales
|
|
563,170
|
-
|
563,170
|
|
601,606
|
(693)
|
600,913
|
|
571,597
|
(5,570)
|
566,027
|
|
587,466
|
(5,061)
|
582,405
|
|
Operating expenses
(a)
|
|
87,119
|
-
|
87,119
|
|
89,880
|
(2,115)
|
87,765
|
|
89,695
|
(1,459)
|
88,236
|
|
209,587
|
(126,083)
|
83,504
|
|
Acquisition related
expenses, restructuring and
integration charges, and other
|
|
2,083
|
(2,083)
|
-
|
|
108
|
(108)
|
-
|
|
461
|
(461)
|
-
|
|
5,632
|
(5,632)
|
-
|
|
Accounting review
costs
|
|
7,124
|
(7,124)
|
-
|
|
7,005
|
(7,005)
|
-
|
|
5,960
|
(5,960)
|
-
|
|
-
|
-
|
-
|
|
Operating
Income
|
|
47,067
|
9,207
|
56,274
|
|
41,400
|
9,921
|
51,321
|
|
13,751
|
13,450
|
27,201
|
|
(65,138)
|
136,776
|
71,638
|
|
Interest and other
expenses, net
|
|
7,511
|
(1,791)
|
5,720
|
|
3,744
|
1,984
|
5,728
|
|
4,569
|
1,293
|
5,862
|
|
12,434
|
(7,000)
|
5,434
|
|
Provision for income
taxes
|
|
8,051
|
7,480
|
15,531
|
|
10,509
|
2,215
|
12,724
|
|
762
|
5,856
|
6,618
|
|
11,086
|
9,840
|
20,926
|
|
Net income
|
|
31,328
|
3,518
|
34,846
|
|
27,185
|
5,722
|
32,907
|
|
8,604
|
6,301
|
14,906
|
|
(88,597)
|
133,936
|
45,335
|
|
Earnings per share -
diluted
|
|
0.30
|
0.03
|
0.33
|
|
0.26
|
0.05
|
0.32
|
|
0.08
|
0.06
|
0.14
|
|
(0.86)
|
1.29
|
0.43
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(a)
Operating expenses include amortization of acquired intangibles,
selling, general, and administrative expenses and goodwill and
tradename impairment.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31, 2017
|
|
Three Months Ended
December 31, 2016
|
|
Three Months Ended
September 30, 2016
|
|
Three Months Ended
June 30, 2016
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
HPP costs related to
chiller breakdown and factory start
up costs
|
|
$
-
|
|
$
-
|
|
$
-
|
|
$
-
|
|
$
-
|
|
$
-
|
|
$
594
|
|
$
183
|
|
Inventory costs for
products discontinued or having
redesigned packaging
|
|
-
|
|
-
|
|
160
|
|
45
|
|
5,199
|
|
1,612
|
|
3,050
|
|
942
|
|
Recall and other
related costs
|
|
-
|
|
-
|
|
(110)
|
|
(31)
|
|
183
|
|
57
|
|
-
|
|
-
|
|
UK deferred synergies
due to CMA Board decision
|
|
-
|
|
-
|
|
179
|
|
50
|
|
188
|
|
58
|
|
450
|
|
139
|
|
Luton closure
costs
|
|
-
|
|
-
|
|
464
|
|
129
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Costs incurred due to
co-packer default
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
770
|
|
238
|
|
Acquisition related
integration costs
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
197
|
|
61
|
|
Cost of
sales
|
|
-
|
|
-
|
|
693
|
|
193
|
|
5,570
|
|
1,727
|
|
5,061
|
|
1,563
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Luton closure
costs
|
|
-
|
|
-
|
|
1,340
|
|
375
|
|
-
|
|
-
|
|
-
|
|
-
|
|
UK deferred synergies
due to CMA Board decision
|
|
-
|
|
-
|
|
268
|
|
75
|
|
283
|
|
88
|
|
499
|
|
154
|
|
Recall and other
related costs
|
|
-
|
|
-
|
|
507
|
|
140
|
|
229
|
|
71
|
|
-
|
|
-
|
|
Tilda fire insurance
recovery costs and other
startup/integration costs
|
|
-
|
|
-
|
|
-
|
|
-
|
|
947
|
|
293
|
|
112
|
|
35
|
|
Litigation
expenses
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
1,200
|
|
371
|
|
Selling, general and
administrative expenses
|
|
-
|
|
-
|
|
2,115
|
|
590
|
|
1,459
|
|
452
|
|
1,811
|
|
560
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Goodwill
impairment
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
84,548
|
|
-
|
|
Tradename
impairment
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
39,724
|
|
8,856
|
|
Operating expenses
(a)
|
|
-
|
|
-
|
|
2,115
|
|
590
|
|
1,459
|
|
452
|
|
126,083
|
|
9,416
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Acquisition related
fees and expenses, integration and restructuring charges, including
severance, and other
|
|
2,083
|
|
613
|
|
108
|
|
30
|
|
461
|
|
137
|
|
2,156
|
|
666
|
|
Fixed asset
impairment
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
|
|
3,476
|
|
621
|
|
Acquisition related
expenses, restructuring and
integration charges, and other
|
|
2,083
|
|
613
|
|
108
|
|
30
|
|
461
|
|
137
|
|
5,632
|
|
1,287
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Accounting review
costs
|
|
7,124
|
|
2,095
|
|
7,005
|
|
1,955
|
|
5,960
|
|
1,854
|
|
-
|
|
-
|
|
Accounting review
costs
|
|
7,124
|
|
2,095
|
|
7,005
|
|
1,955
|
|
5,960
|
|
1,854
|
|
-
|
|
-
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unrealized currency
impacts
|
|
1,791
|
|
527
|
|
(1,984)
|
|
(553)
|
|
(1,293)
|
|
(401)
|
|
7,739
|
|
(1,428)
|
|
Gain on insurance
recovery on Tilda related fixed asset purchases
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
(739)
|
|
(228)
|
|
Interest and other
expenses, net
|
|
1,791
|
|
527
|
|
(1,984)
|
|
(553)
|
|
(1,293)
|
|
(401)
|
|
7,000
|
|
(1,656)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
UK tax rate change
impact on deferred taxes and reversal of uncertain tax position
reserve
|
|
-
|
|
4,245
|
|
-
|
|
-
|
|
-
|
|
2,087
|
|
-
|
|
(770)
|
|
Income tax
provision
|
|
-
|
|
4,245
|
|
-
|
|
-
|
|
-
|
|
2,087
|
|
-
|
|
(770)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
adjustments
|
|
$
10,998
|
|
$
7,480
|
|
$
7,937
|
|
$
2,215
|
|
$
12,157
|
|
$
5,856
|
|
$
143,776
|
|
$
9,840
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(a)
Operating expenses include amortization of acquired intangibles,
selling, general, and administrative expenses and goodwill and
tradename impairment.
|
THE HAIN CELESTIAL
GROUP, INC.
|
Reconciliation of GAAP Results to Non-GAAP
Measures
|
(unaudited and
in thousands, except per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Revised
(a)
|
|
Revised
(a)
|
|
Revised
(a)
|
|
Revised
(a)
|
|
|
Three Months Ended
March 31, 2016
|
|
Three Months Ended
December 31, 2015
|
|
Three Months Ended
September 30, 2015
|
|
Three Months Ended
June 30, 2015
|
|
|
GAAP
|
Non-GAAP
Adjustments
|
Non-GAAP
|
|
GAAP
|
Non-GAAP
Adjustments
|
Non-GAAP
|
|
GAAP
|
Non-GAAP
Adjustments
|
Non-GAAP
|
|
GAAP
|
Non-GAAP
Adjustments
|
Non-GAAP
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net sales
|
|
$
736,663
|
-
|
$
736,663
|
|
$
743,437
|
-
|
$
743,437
|
|
$
667,727
|
-
|
$
667,727
|
|
$
680,565
|
$
-
|
$
680,565
|
Cost of
sales
|
|
576,755
|
(3,054)
|
573,701
|
|
577,176
|
(841)
|
576,335
|
|
529,846
|
(1,683)
|
528,163
|
|
524,840
|
(6,343)
|
518,497
|
Operating expenses
(b)
|
|
83,443
|
(700)
|
82,743
|
|
73,685
|
(400)
|
73,285
|
|
80,189
|
(434)
|
79,755
|
|
75,799
|
(6,677)
|
69,121
|
Acquisition related
expenses, restructuring and
integration charges, and other
|
|
5,317
|
(5,317)
|
-
|
|
2,498
|
(2,498)
|
-
|
|
3,420
|
(3,420)
|
-
|
|
2,587
|
(2,587)
|
-
|
Accounting review
costs
|
|
-
|
-
|
-
|
|
-
|
-
|
-
|
|
-
|
-
|
-
|
|
-
|
-
|
-
|
Operating
Income
|
|
71,148
|
9,071
|
80,219
|
|
90,078
|
3,739
|
93,817
|
|
54,272
|
5,537
|
59,809
|
|
77,339
|
15,607
|
92,947
|
Interest and other
expenses, net
|
|
(1,715)
|
9,149
|
7,434
|
|
9,365
|
(2,979)
|
6,386
|
|
11,868
|
(4,463)
|
7,405
|
|
1,074
|
5,560
|
6,635
|
Provision for income
taxes
|
|
23,914
|
(1,937)
|
21,977
|
|
22,602
|
4,697
|
27,299
|
|
13,330
|
2,358
|
15,688
|
|
4,287
|
25,177
|
29,464
|
Net income
|
|
48,788
|
1,859
|
50,647
|
|
58,080
|
2,021
|
60,102
|
|
29,158
|
7,642
|
36,799
|
|
72,152
|
(15,130)
|
57,022
|
Earnings per share -
diluted
|
|
0.47
|
0.02
|
0.49
|
|
0.56
|
0.02
|
0.58
|
|
0.28
|
0.07
|
0.35
|
|
0.69
|
(0.14)
|
0.55
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(a) See
bridge from previously reported to revised amounts in the
accompanying tables "Consolidated Statements of Income - Fiscal
2016" and "Consolidated Statements of Income - Fiscal
2015."
|
(b)
Operating expenses include amortization of acquired intangibles,
selling, general, and administrative expenses and goodwill and
tradename impairment.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
March 31, 2016
|
|
Three Months Ended
December 31, 2015
|
|
Three Months Ended
September 30, 2015
|
|
Three Months Ended
June 30, 2015
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
HPP costs related to
chiller breakdown and factory start up costs
|
|
$
3,054
|
|
$
943
|
|
$
841
|
|
$
320
|
|
$
-
|
|
$
-
|
|
$
-
|
|
$
-
|
UK factory start-up
costs
|
|
-
|
|
-
|
|
-
|
|
-
|
|
743
|
|
149
|
|
2,900
|
|
602
|
US warehouse
consolidation
|
|
-
|
|
-
|
|
-
|
|
-
|
|
426
|
|
162
|
|
-
|
|
-
|
Nut butter
recall
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
2,004
|
|
761
|
Acquisition related
integration costs
|
|
-
|
|
-
|
|
-
|
|
-
|
|
514
|
|
155
|
|
1,439
|
|
548
|
Cost of
sales
|
|
3,054
|
|
943
|
|
841
|
|
320
|
|
1,683
|
|
466
|
|
6,343
|
|
1,911
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Tilda fire insurance
recovery costs and other startup/integration costs
|
|
-
|
|
-
|
|
-
|
|
-
|
|
230
|
|
46
|
|
365
|
|
81
|
Litigation
expenses
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
6,312
|
|
2,399
|
Celestial marketing
campaign for new packaging and Keurig transition
|
|
700
|
|
216
|
|
400
|
|
152
|
|
204
|
|
78
|
|
-
|
|
-
|
Operating expenses
(b)
|
|
700
|
|
216
|
|
400
|
|
152
|
|
434
|
|
124
|
|
6,677
|
|
2,480
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Acquisition related
fees and expenses, integration and
restructuring charges, including severance, and other
|
|
3,806
|
|
1,175
|
|
2,498
|
|
549
|
|
3,420
|
|
1,292
|
|
2,587
|
|
768
|
Contingent
consideration expense
|
|
1,511
|
|
466
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
Acquisition related
expenses, restructuring and
integration charges, and other
|
|
5,317
|
|
1,641
|
|
2,498
|
|
549
|
|
3,420
|
|
1,292
|
|
2,587
|
|
768
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Unrealized currency
impacts
|
|
(136)
|
|
(1,955)
|
|
2,764
|
|
310
|
|
4,463
|
|
476
|
|
(5,560)
|
|
(652)
|
Gain on insurance
recovery on Tilda related fixed asset purchases
|
|
(9,013)
|
|
(2,782)
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
HPP chiller
disposal
|
|
-
|
|
-
|
|
215
|
|
82
|
|
-
|
|
-
|
|
|
|
|
Interest and other
expenses, net
|
|
(9,149)
|
|
(4,737)
|
|
2,979
|
|
392
|
|
4,463
|
|
476
|
|
(5,560)
|
|
(652)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
UK tax rate change
impact on deferred taxes and reversal of uncertain tax position
reserve
|
|
-
|
|
-
|
|
-
|
|
3,285
|
|
-
|
|
-
|
|
-
|
|
-
|
Gain on tax
restructuring
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
20,670
|
Income tax
provision
|
|
-
|
|
-
|
|
-
|
|
3,285
|
|
-
|
|
-
|
|
-
|
|
20,670
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Total
adjustments
|
|
$
(78)
|
|
$
(1,937)
|
|
$
6,718
|
|
$
4,698
|
|
$
10,000
|
|
$
2,358
|
|
$
10,047
|
|
$
25,177
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(b)
Operating expenses include amortization of acquired intangibles,
selling, general, and administrative expenses and goodwill and
tradename impairment.
|
|
|
|
|
|
|
THE HAIN CELESTIAL
GROUP, INC.
|
Reconciliation of
Net Income to Adjusted EBITDA
|
(unaudited and in
thousands)
|
|
3 Months
Ended
|
|
|
3/31/2017
|
|
12/31/2016
|
|
9/30/2016
|
|
6/30/2016
|
|
3/31/2016
|
|
12/31/2015
|
|
9/30/2015
|
|
|
|
|
|
|
|
|
|
|
Revised
(a)
|
|
Revised
(a)
|
|
Revised
(a)
|
|
Net Income
|
$
31,328
|
|
$
27,185
|
|
$
8,604
|
|
$
(88,597)
|
|
$
48,788
|
|
$
58,080
|
|
$
29,158
|
|
Provision for income
taxes
|
8,051
|
|
10,509
|
|
762
|
|
11,086
|
|
23,914
|
|
22,602
|
|
13,330
|
|
Interest expense,
net
|
4,743
|
|
4,426
|
|
4,354
|
|
4,866
|
|
6,233
|
|
5,416
|
|
5,716
|
|
Depreciation and
amortization
|
17,131
|
|
16,948
|
|
17,220
|
|
17,524
|
|
16,309
|
|
16,047
|
|
15,743
|
|
Equity in net loss
(income) of equity method investees
|
177
|
|
(38)
|
|
(184)
|
|
(61)
|
|
161
|
|
31
|
|
(84)
|
|
Stock based
compensation expense
|
2,284
|
|
2,531
|
|
2,704
|
|
2,683
|
|
2,776
|
|
4,023
|
|
3,206
|
|
Fixed asset
impairment
|
-
|
|
-
|
|
-
|
|
3,476
|
|
-
|
|
-
|
|
-
|
|
Goodwill
impairment
|
-
|
|
-
|
|
-
|
|
84,548
|
|
-
|
|
-
|
|
-
|
|
Intangibles
impairment
|
-
|
|
-
|
|
-
|
|
39,724
|
|
-
|
|
-
|
|
-
|
|
Unrealized currency
gains and losses
|
1,791
|
|
(1,984)
|
|
(1,293)
|
|
7,739
|
|
(136)
|
|
2,764
|
|
4,463
|
|
EBITDA
|
65,505
|
|
59,577
|
|
32,167
|
|
82,988
|
|
98,045
|
|
108,963
|
|
71,532
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Acquisition,
restructuring, integration, severance, and other charges
|
2,083
|
|
108
|
|
1,408
|
|
2,156
|
|
3,806
|
|
2,498
|
|
3,935
|
|
Contingent
consideration expense, net
|
-
|
|
-
|
|
-
|
|
-
|
|
1,511
|
|
|
|
|
|
HPPC production
interruption related to chiller breakdown and factory start-up
costs
|
-
|
|
-
|
|
-
|
|
594
|
|
3,054
|
|
1,057
|
|
-
|
|
Inventory costs for
products discontinued or with redesigned packaging
|
-
|
|
160
|
|
5,199
|
|
3,050
|
|
-
|
|
-
|
|
-
|
|
Costs incurred due to
co-packer default
|
|
|
|
|
|
|
770
|
|
|
|
|
|
|
|
Litigation
Expenses
|
-
|
|
-
|
|
-
|
|
1,200
|
|
-
|
|
-
|
|
-
|
|
UK deferred synergies
due to CMA Board decision
|
-
|
|
447
|
|
471
|
|
949
|
|
-
|
|
-
|
|
-
|
|
UK factory start-up
costs
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
743
|
|
US warehouse
consolidation project
|
-
|
|
-
|
|
-
|
|
197
|
|
-
|
|
-
|
|
426
|
|
Celestial Seasonings
marketing support related
to new packaging launch and Keurig transition
|
-
|
|
-
|
|
-
|
|
-
|
|
700
|
|
300
|
|
-
|
|
Accounting review
costs
|
7,124
|
|
7,005
|
|
5,960
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Recall and other
related costs
|
-
|
|
397
|
|
412
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Tilda fire insurance
recovery costs and other start-up/ integration costs
|
-
|
|
-
|
|
-
|
|
112
|
|
-
|
|
-
|
|
230
|
|
Gain on Tilda fire
related fixed asset
|
-
|
|
-
|
|
-
|
|
(739)
|
|
(9,013)
|
|
-
|
|
-
|
|
Luton closure
costs
|
-
|
|
1,804
|
|
-
|
|
-
|
|
-
|
|
-
|
|
-
|
|
Adjusted
EBITDA
|
$
74,712
|
|
$
69,498
|
|
$
45,617
|
|
$
91,277
|
|
$
98,103
|
|
$
112,818
|
|
$
76,866
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(a) See
bridge from previously reported to revised amounts in accompanying
tables "Consolidated Statements of Income - Fiscal 2016" and
"Consolidated Statements of Income - Fiscal 2015."
|
THE HAIN CELESTIAL
GROUP, INC.
|
Net Sales
and Operating Income by Segment
|
(unaudited and
in thousands)
|
|
|
|
|
|
|
|
Three Months Ended
March 31, 2017 and 2016
|
(dollars in
thousands)
|
United
States
|
United
Kingdom
|
Hain Pure
Protein
|
Rest of
World
|
Corporate/
Other
|
Total
|
NET
SALES
|
|
|
|
|
|
|
Net sales - Three
months ended 03/31/17
|
$
308,539
|
$
181,940
|
$
117,765
|
$
98,319
|
$
-
|
$
706,563
|
Net sales - Three
months ended 03/31/16 (revised) (1)
|
$
325,384
|
$
206,160
|
$
112,213
|
$
92,906
|
$
-
|
$
736,663
|
% change - FY'17 net
sales vs. FY'16 net sales (revised)
|
-5.2%
|
-11.7%
|
4.9%
|
5.8%
|
|
-4.1%
|
OPERATING
INCOME
|
|
|
|
|
|
|
Three months ended
03/31/17
|
|
|
|
|
|
|
Operating
income
|
$
46,838
|
$
11,545
|
$
(2,554)
|
$
9,362
|
$
(18,124)
|
$
47,067
|
Non-GAAP Adjustments
(2)
|
$
-
|
$
-
|
$
-
|
$
-
|
$
9,207
|
$
9,207
|
Non-GAAP operating
income
|
$
46,838
|
$
11,545
|
$
(2,554)
|
$
9,362
|
$
(8,917)
|
$
56,274
|
Non-GAAP operating
income margin
|
15.2%
|
6.3%
|
-2.2%
|
9.5%
|
|
8.0%
|
Three months ended
03/31/16
|
|
|
|
|
|
|
Operating income
(revised) (1)
|
$
56,381
|
$
15,826
|
$
2,427
|
$
8,132
|
$
(11,618)
|
$
71,148
|
Non-GAAP Adjustments
(2)
|
$
700
|
$
(0)
|
$
3,054
|
$
(0)
|
$
5,317
|
$
9,071
|
Non-GAAP operating
income (revised)
|
$
57,081
|
$
15,826
|
$
5,481
|
$
8,132
|
$
(6,301)
|
$
80,220
|
Non-GAAP operating
income margin (revised)
|
17.5%
|
7.7%
|
4.9%
|
8.8%
|
|
10.9%
|
(1) See bridge
from previously reported to revised amounts on the accompanying
tables "Net Sales by Segment" and "Operating Income by
Segment"
|
|
(2) See
accompanying table of "Reconciliation of GAAP Results to Non-GAAP
Measures"
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
December 31, 2016 and 2015
|
(dollars in
thousands)
|
United
States
|
United
Kingdom
|
Hain
Pure Protein
|
Rest
of World
|
Corporate/
Other
|
Total
|
NET
SALES
|
|
|
|
|
|
|
Net sales - Three
months ended 12/31/16
|
$
298,127
|
$
192,825
|
$
152,979
|
$
96,068
|
$
-
|
$
739,999
|
Net sales - Three
months ended 12/31/15 (revised) (1)
|
$
314,685
|
$
191,254
|
$
144,192
|
$
93,306
|
$
-
|
$
743,437
|
% change - FY'17 net
sales vs. FY'16 net sales (revised)
|
-5.3%
|
0.8%
|
6.1%
|
3.0%
|
|
-0.5%
|
OPERATING
INCOME
|
|
|
|
|
|
|
Three months ended
12/31/16
|
|
|
|
|
|
|
Operating
income
|
$
42,552
|
$
6,697
|
$
3,541
|
$
7,477
|
$
(18,867)
|
$
41,400
|
Non-GAAP Adjustments
(2)
|
$
667
|
$
2,251
|
$
-
|
$
(110)
|
$
7,113
|
$
9,921
|
Non-GAAP operating
income
|
$
43,219
|
$
8,948
|
$
3,541
|
$
7,367
|
$
(11,754)
|
$
51,320
|
Non-GAAP operating
income margin
|
14.5%
|
4.6%
|
2.3%
|
7.7%
|
|
6.9%
|
Three months ended
12/31/15
|
|
|
|
|
|
|
Operating income
(revised) (1)
|
$
50,940
|
$
18,425
|
$
18,162
|
$
7,091
|
$
(4,540)
|
$
90,078
|
Non-GAAP Adjustments
(2)
|
$
400
|
$
-
|
$
841
|
$
-
|
$
2,498
|
$
3,739
|
Non-GAAP operating
income (revised)
|
$
51,340
|
$
18,425
|
$
19,003
|
$
7,091
|
$
(2,041)
|
$
93,817
|
Non-GAAP operating
income margin (revised)
|
16.3%
|
9.6%
|
13.2%
|
7.6%
|
|
12.6%
|
(1) See bridge
from previously reported to revised amounts on the accompanying
tables "Net Sales by Segment" and "Operating Income by
Segment"
|
|
(2) See
accompanying table of "Reconciliation of GAAP Results to Non-GAAP
Measures"
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30, 2016 and 2015
|
(dollars in
thousands)
|
United
States
|
United
Kingdom
|
Hain
Pure Protein
|
Rest of
World
|
Corporate/
Other
|
Total
|
NET
SALES
|
|
|
|
|
|
|
Net sales - Three
months ended 09/30/16
|
$
275,607
|
$
198,776
|
$
116,669
|
$
90,412
|
$
-
|
$
681,464
|
Net sales - Three
months ended 09/30/15 (revised) (1)
|
$
302,631
|
$
160,855
|
$
123,055
|
$
81,186
|
$
-
|
$
667,727
|
% change - FY'17 net
sales vs. FY'16 net sales (revised)
|
-8.9%
|
23.6%
|
-5.2%
|
11.4%
|
|
2.1%
|
OPERATING
INCOME
|
|
|
|
|
|
|
Three months ended
09/30/16
|
|
|
|
|
|
|
Operating
income
|
$
22,063
|
$
4,550
|
$
(1,018)
|
$
5,055
|
$
(16,899)
|
$
13,751
|
Non-GAAP Adjustments
(2)
|
$
5,526
|
$
1,503
|
$
-
|
$
(0)
|
$
6,421
|
$
13,450
|
Non-GAAP operating
income
|
$
27,589
|
$
6,053
|
$
(1,018)
|
$
5,055
|
$
(10,478)
|
$
27,201
|
Non-GAAP operating
income margin
|
10.0%
|
3.0%
|
-0.9%
|
5.6%
|
|
4.0%
|
Three months ended
09/30/16
|
|
|
|
|
|
|
Operating income
(revised) (1)
|
$
41,507
|
$
9,842
|
$
10,489
|
$
2,423
|
$
(9,989)
|
$
54,272
|
Non-GAAP Adjustments
(2)
|
$
1,865
|
$
1,020
|
$
45
|
$
514
|
$
2,093
|
$
5,538
|
Non-GAAP operating
income (revised)
|
$
43,372
|
$
10,863
|
$
10,534
|
$
2,937
|
$
(7,896)
|
$
59,809
|
Non-GAAP operating
income margin (revised)
|
14.3%
|
6.8%
|
8.6%
|
3.6%
|
|
9.0%
|
(1) See bridge
from previously reported to revised amounts on the accompanying
tables "Net Sales by Segment" and "Operating Income by
Segment"
|
|
(2) See
accompanying table of "Reconciliation of GAAP Results to Non-GAAP
Measures"
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30, 2016 and 2015
|
(dollars in
thousands)
|
United
States
|
United
Kingdom
|
Hain Pure
Protein
|
Rest of
World
|
Corporate/
Other
|
Total
|
NET
SALES
|
|
|
|
|
|
|
Net sales - Three
months ended 06/30/16
|
$
324,857
|
$
216,608
|
$
113,050
|
$
83,032
|
$
-
|
$
737,547
|
Net sales - Three
months ended 06/30/15 (revised) (1)
|
$
326,262
|
$
180,320
|
$
112,979
|
$
61,004
|
$
-
|
$
680,566
|
% change - FY'16 net
sales vs. FY'15 net sales (revised)
|
-0.4%
|
20.1%
|
0.1%
|
36.1%
|
|
8.4%
|
OPERATING
INCOME
|
|
|
|
|
|
|
Three months ended
06/30/16
|
|
|
|
|
|
|
Operating
income
|
$
55,638
|
$
11,907
|
$
480
|
$
9,267
|
$
(142,430)
|
$
(65,139)
|
Non-GAAP Adjustments
(2)
|
$
3,423
|
$
1,061
|
$
794
|
$
394
|
$
131,103
|
$
136,775
|
Non-GAAP operating
income
|
$
59,061
|
$
12,968
|
$
1,274
|
$
9,661
|
$
(11,328)
|
$
71,636
|
Non-GAAP operating
income margin
|
18.2%
|
6.0%
|
1.1%
|
11.6%
|
|
9.7%
|
Three months ended
06/30/15
|
|
|
|
|
|
|
Operating income
(revised) (1)
|
$
59,859
|
$
17,186
|
$
10,035
|
$
5,133
|
$
(14,874)
|
$
77,339
|
Non-GAAP Adjustments
(2)
|
$
3,364
|
$
3,256
|
$
119
|
$
-
|
$
8,869
|
$
15,608
|
Non-GAAP operating
income (revised)
|
$
63,223
|
$
20,442
|
$
10,154
|
$
5,133
|
$
(6,006)
|
$
92,947
|
Non-GAAP operating
income margin (revised)
|
19.4%
|
11.3%
|
9.0%
|
8.4%
|
|
13.7%
|
(1) See bridge
from previously reported to revised amounts on the accompanying
tables "Net Sales by Segment" and "Operating Income by
Segment"
|
|
(2) See
accompanying table of "Reconciliation of GAAP Results to Non-GAAP
Measures"
|
|
|
|
|
THE HAIN CELESTIAL
GROUP, INC.
|
Consolidated
Statements of Income - Fiscal 2016
|
(in thousands,
except per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
September 30, 2015
|
|
Three Months Ended
December 31, 2015
|
|
Three Months Ended
March 31, 2016
|
|
Nine Months Ended
March 31, 2016
|
|
|
Reported
|
|
Adjustment
|
|
Revised
|
|
Reported
|
|
Adjustment
|
|
Revised
|
|
Reported
|
|
Adjustment
|
|
Revised
|
|
Reported
|
|
Adjustment
|
|
Revised
|
|
|
(Unaudited)
|
|
|
|
(Unaudited)
|
|
(Unaudited)
|
|
|
|
(Unaudited)
|
|
(Unaudited)
|
|
|
|
(Unaudited)
|
|
(Unaudited)
|
|
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net sales
|
|
$
687,188
|
|
$
(19,461)
|
|
$
667,727
|
|
$
752,589
|
|
$
(9,152)
|
|
$
743,437
|
|
$
749,862
|
|
$
(13,199)
|
|
$
736,663
|
|
$
2,189,639
|
|
$
(41,812)
|
|
$
2,147,827
|
Cost of
sales
|
|
535,141
|
|
(5,295)
|
|
529,846
|
|
575,026
|
|
2,150
|
|
577,176
|
|
576,653
|
|
102
|
|
576,755
|
|
1,686,820
|
|
(3,043)
|
|
1,683,777
|
Gross
profit
|
|
152,047
|
|
(14,166)
|
|
137,881
|
|
177,563
|
|
(11,302)
|
|
166,261
|
|
173,209
|
|
(13,301)
|
|
159,908
|
|
502,819
|
|
(38,769)
|
|
464,050
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling, general and
administrative expenses
|
|
86,254
|
|
(10,704)
|
|
75,550
|
|
82,607
|
|
(13,626)
|
|
68,981
|
|
93,915
|
|
(15,025)
|
|
78,890
|
|
262,776
|
|
(39,355)
|
|
223,421
|
Amortization of
acquired intangibles
|
|
4,672
|
|
(33)
|
|
4,639
|
|
4,736
|
|
(32)
|
|
4,704
|
|
4,586
|
|
(33)
|
|
4,553
|
|
13,994
|
|
(98)
|
|
13,896
|
Acquisition related
expenses, restructuring and
integration charges, and other
|
|
3,653
|
|
(233)
|
|
3,420
|
|
2,498
|
|
-
|
|
2,498
|
|
5,701
|
|
(384)
|
|
5,317
|
|
11,852
|
|
(617)
|
|
11,235
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
income
|
|
57,468
|
|
(3,196)
|
|
54,272
|
|
87,722
|
|
2,356
|
|
90,078
|
|
69,007
|
|
2,141
|
|
71,148
|
|
214,197
|
|
1,301
|
|
215,498
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest and other
expenses, net
|
|
11,868
|
|
-
|
|
11,868
|
|
9,365
|
|
-
|
|
9,365
|
|
(1,715)
|
|
-
|
|
(1,715)
|
|
19,518
|
|
-
|
|
19,518
|
Income before income
taxes and equity in earnings of
equity-method investees
|
|
45,600
|
|
(3,196)
|
|
42,404
|
|
78,357
|
|
2,356
|
|
80,713
|
|
70,722
|
|
2,141
|
|
72,863
|
|
194,679
|
|
1,301
|
|
195,980
|
Provision for income
taxes
|
|
14,382
|
|
(1,052)
|
|
13,330
|
|
21,379
|
|
1,223
|
|
22,602
|
|
21,576
|
|
2,338
|
|
23,914
|
|
57,337
|
|
2,509
|
|
59,846
|
Equity in net loss
(income) of equity-method investees
|
|
(84)
|
|
-
|
|
(84)
|
|
31
|
|
-
|
|
31
|
|
161
|
|
-
|
|
161
|
|
108
|
|
-
|
|
108
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
$
31,302
|
|
$
(2,144)
|
|
$
29,158
|
|
$
56,947
|
|
$
1,133
|
|
$
58,080
|
|
$
48,985
|
|
$
(197)
|
|
$
48,788
|
|
$
137,234
|
|
$
(1,208)
|
|
$
136,026
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income per common
share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
0.30
|
|
$
(0.02)
|
|
$
0.28
|
|
$
0.55
|
|
$
0.01
|
|
$
0.56
|
|
$
0.47
|
|
$
(0.00)
|
|
$
0.47
|
|
$
1.33
|
|
$
(0.01)
|
|
$
1.32
|
Diluted
|
|
$
0.30
|
|
$
(0.02)
|
|
$
0.28
|
|
$
0.55
|
|
$
0.01
|
|
$
0.56
|
|
$
0.47
|
|
$
(0.00)
|
|
$
0.47
|
|
$
1.32
|
|
$
(0.01)
|
|
$
1.31
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
common shares outstanding:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
102,807
|
|
102,807
|
|
102,807
|
|
103,017
|
|
103,017
|
|
103,017
|
|
103,265
|
|
103,265
|
|
103,265
|
|
103,030
|
|
103,030
|
|
103,030
|
Diluted
|
|
104,258
|
|
104,258
|
|
104,258
|
|
104,161
|
|
104,161
|
|
104,161
|
|
104,087
|
|
104,087
|
|
104,087
|
|
104,168
|
|
104,168
|
|
104,168
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(a) Refer to footnote
2, Correction of Immaterial Errors to Prior Period Financial
Statements, of the Form 10-K for the Fiscal Year ended June 30,
2016 for further detail of the amounts presented as
"Adjustment."
|
|
|
|
|
|
|
THE HAIN CELESTIAL
GROUP, INC.
|
Consolidated
Statements of Income - Fiscal 2015
|
(in thousands,
except per share amounts)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
June 30, 2015
|
|
Twelve Months Ended
June 30, 2015
|
|
|
Reported
|
|
Adjustment
(a)
|
|
Revised
|
|
Reported
|
|
Adjustment
(a)
|
|
Revised
|
|
|
(Unaudited)
|
|
|
|
(Unaudited)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net sales
|
|
$
698,136
|
|
$
(17,571)
|
|
$
680,565
|
|
$
2,688,515
|
|
$
(78,902)
|
|
$
2,609,613
|
Cost of
sales
|
|
530,439
|
|
(5,599)
|
|
524,840
|
|
2,069,898
|
|
(23,140)
|
|
2,046,758
|
Gross
profit
|
|
167,697
|
|
(11,972)
|
|
155,725
|
|
618,617
|
|
(55,762)
|
|
562,855
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Selling, general and
administrative expenses
|
|
85,904
|
|
(14,567)
|
|
71,337
|
|
348,517
|
|
(45,690)
|
|
302,827
|
Amortization of
acquired intangibles
|
|
4,494
|
|
(32)
|
|
4,462
|
|
17,985
|
|
(139)
|
|
17,846
|
Tradename
impairment
|
|
-
|
|
-
|
|
-
|
|
5,510
|
|
(5,510)
|
|
-
|
Acquisition related
expenses, restructuring and
integration charges, and other
|
|
2,587
|
|
-
|
|
2,587
|
|
8,860
|
|
(540)
|
|
8,320
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Operating
income
|
|
74,712
|
|
2,627
|
|
77,339
|
|
237,745
|
|
(3,883)
|
|
233,862
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest and other
expenses, net
|
|
1,074
|
|
-
|
|
1,074
|
|
22,455
|
|
(1,462)
|
|
20,993
|
Income before income
taxes and equity in earnings of
equity-method investees
|
|
73,638
|
|
2,627
|
|
76,265
|
|
215,290
|
|
(2,421)
|
|
212,869
|
Provision for income
taxes
|
|
2,740
|
|
1,547
|
|
4,287
|
|
47,883
|
|
652
|
|
48,535
|
Equity in net loss
(income) of equity-method investees
|
|
(174)
|
|
-
|
|
(174)
|
|
(489)
|
|
(139)
|
|
(628)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income
|
|
$
71,072
|
|
$
1,080
|
|
$
72,152
|
|
$
167,896
|
|
$
(2,934)
|
|
$
164,962
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net income per common
share:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
$
0.69
|
|
$
0.01
|
|
$
0.70
|
|
$
1.65
|
|
$
(0.03)
|
|
$
1.62
|
Diluted
|
|
$
0.68
|
|
$
0.01
|
|
$
0.69
|
|
$
1.62
|
|
$
(0.03)
|
|
$
1.60
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Weighted average
common shares outstanding:
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
102,610
|
|
102,610
|
|
102,610
|
|
101,703
|
|
101,703
|
|
101,703
|
Diluted
|
|
104,005
|
|
104,005
|
|
104,005
|
|
103,421
|
|
103,421
|
|
103,421
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(a) Refer to footnote
2, Correction of Immaterial Errors to Prior Period Financial
Statements, of the Form 10-K for the Fiscal Year ended June 30,
2016 for further detail of the amounts presented as
"Adjustment."
|
THE HAIN CELESTIAL
GROUP, INC.
|
Net Sales by
Segment
|
(unaudited and in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
United
States
|
United
Kingdom
|
Hain Pure
Protein
|
Rest of
World
|
Total
|
|
|
|
|
|
|
|
|
Three months
ended 06/30/15
|
|
|
|
|
|
|
As
Reported
|
$
332,776
|
$
184,852
|
$
118,504
|
$
62,004
|
$
698,136
|
|
|
Adjustment
|
(6,514)
|
(4,532)
|
(5,525)
|
(1,000)
|
(17,571)
|
|
As Revised
|
$
326,262
|
$
180,320
|
$
112,979
|
$
61,004
|
$
680,565
|
|
|
|
|
|
|
|
|
Twelve months
ended 06/30/15
|
|
|
|
|
|
|
As
Reported
|
$
1,367,388
|
$
735,996
|
$
358,582
|
$
226,549
|
$
2,688,515
|
|
|
Adjustment
|
(41,392)
|
(13,166)
|
(21,385)
|
(2,959)
|
(78,902)
|
|
As Revised
|
$
1,325,996
|
$
722,830
|
$
337,197
|
$
223,590
|
$
2,609,613
|
|
|
|
|
|
|
|
|
Three months
ended 09/30/15
|
|
|
|
|
|
|
As
Reported
|
$
331,213
|
$
165,354
|
$
123,988
|
$
66,633
|
$
687,188
|
|
|
Adjustment
|
(12,343)
|
(4,499)
|
(933)
|
(1,686)
|
(19,461)
|
|
As Revised
|
$
318,870
|
$
160,855
|
$
123,055
|
$
64,947
|
$
667,727
|
|
|
Reorganization
(a)
|
(16,239)
|
-
|
-
|
16,239
|
-
|
|
As Revised
Including
Reorganization (a)
|
$
302,631
|
$
160,855
|
$
123,055
|
$
81,186
|
$
667,727
|
|
|
|
|
|
|
|
|
Three months
ended 12/31/15
|
|
|
|
|
|
|
As
Reported
|
$
342,298
|
$
194,226
|
$
141,706
|
$
74,359
|
$
752,589
|
|
|
Adjustment
|
(8,481)
|
(2,972)
|
2,486
|
(185)
|
(9,152)
|
|
As Revised
|
$
333,817
|
$
191,254
|
$
144,192
|
$
74,174
|
$
743,437
|
|
|
Reorganization
(a)
|
(19,132)
|
-
|
-
|
19,132
|
-
|
|
As Revised
Including
Reorganization (a)
|
$
314,685
|
$
191,254
|
$
144,192
|
$
93,306
|
$
743,437
|
|
|
|
|
|
|
|
|
Three months
ended 03/31/16
|
|
|
|
|
|
|
As
Reported
|
$
351,887
|
$
208,391
|
$
113,643
|
$
75,941
|
$
749,862
|
|
|
Adjustment
|
(7,884)
|
(2,231)
|
(1,430)
|
(1,654)
|
(13,199)
|
|
As Revised
|
$
344,003
|
$
206,160
|
$
112,213
|
$
74,287
|
$
736,663
|
|
|
Reorganization
(a)
|
(18,619)
|
-
|
-
|
18,619
|
-
|
|
As Revised
Including
Reorganization (a)
|
$
325,384
|
$
206,160
|
$
112,213
|
$
92,906
|
$
736,663
|
|
|
|
|
|
|
|
|
Nine months
ended 03/31/16
|
|
|
|
|
|
|
As
Reported
|
$
1,025,398
|
$
567,971
|
$
379,337
|
$
216,934
|
$
2,189,639
|
|
|
Adjustment
|
(28,708)
|
(9,702)
|
122
|
(3,525)
|
(41,812)
|
|
As Revised
|
$
996,690
|
$
558,269
|
$
379,459
|
$
213,409
|
$
2,147,827
|
|
|
Reorganization
(a)
|
(53,990)
|
-
|
-
|
53,990
|
-
|
|
As Revised
Including
Reorganization (a)
|
$
942,700
|
$
558,269
|
$
379,459
|
$
267,399
|
$
2,147,827
|
|
|
|
|
|
|
|
|
Three months
ended 06/30/16
|
|
|
|
|
|
|
As
Reported
|
$
324,857
|
$
216,608
|
$
113,050
|
$
83,032
|
$
737,547
|
|
|
Reorganization
(a)
|
(18,434)
|
-
|
-
|
18,434
|
-
|
|
As Reported
Including
Reorganization (a)
|
$
306,423
|
$
216,608
|
$
113,050
|
$
101,466
|
$
737,547
|
|
|
|
|
|
|
|
|
Twelve months
ended 06/30/16
|
|
|
|
|
|
|
As
Reported
|
$
1,321,547
|
$
774,877
|
$
492,510
|
$
296,440
|
$
2,885,374
|
|
|
Reorganization
(a)
|
(72,424)
|
-
|
-
|
72,424
|
-
|
|
As Reported
Including
Reorganization (a)
|
$
1,249,123
|
$
774,877
|
$
492,510
|
$
368,864
|
$
2,885,374
|
|
|
|
|
|
|
|
|
(a)
Effective July 1, 2016, due to changes to the Company's internal
management and reporting structure resulting from the formation of
Cultivate, certain brands previously included within the United
States operating segment were moved to a new operating segment
called Cultivate that is included in the "Rest of World" reportable
segment. In order to report fiscal 2017 and 2016 results by
segment on a comparable basis, Cultivate fiscal 2016 reporting was
recast when is it compared to fiscal 2017.
|
THE HAIN CELESTIAL
GROUP, INC.
|
Operating Income
by Segment
|
(unaudited and in
thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
United
States
|
United
Kingdom
|
Hain Pure
Protein
|
Rest of
World
|
Corporate/
Other
|
Total
|
|
|
|
|
|
|
|
|
|
Three months
ended 06/30/15
|
|
|
|
|
|
|
|
As
Reported
|
$
58,870
|
$
16,604
|
$
9,974
|
$
5,778
|
$
(16,514)
|
$
74,712
|
|
|
Adjustment
|
989
|
582
|
61
|
(645)
|
1,640
|
2,627
|
|
As Revised
|
$
59,859
|
$
17,186
|
$
10,035
|
$
5,133
|
$
(14,874)
|
$
77,339
|
|
|
|
|
|
|
|
|
|
Twelve months
ended 06/30/15
|
|
|
|
|
|
|
|
As
Reported
|
$
199,901
|
$
46,222
|
$
26,479
|
$
16,438
|
$
(51,295)
|
$
237,745
|
|
|
Adjustment
|
(11,847)
|
(1,237)
|
2,206
|
(1,228)
|
8,223
|
(3,883)
|
|
As Revised
|
$
188,054
|
$
44,985
|
$
28,685
|
$
15,210
|
$
(43,072)
|
$
233,862
|
|
|
|
|
|
|
|
|
|
Three months
ended 09/30/15
|
|
|
|
|
|
|
|
As
Reported
|
$
44,466
|
$
10,204
|
$
10,271
|
$
2,095
|
$
(9,568)
|
$
57,468
|
|
|
Adjustment
|
(2,404)
|
(362)
|
218
|
(227)
|
(421)
|
(3,196)
|
|
As Revised
|
$
42,062
|
$
9,842
|
$
10,489
|
$
1,868
|
$
(9,989)
|
$
54,272
|
|
|
Reorganization
(a)
|
(555)
|
-
|
-
|
555
|
-
|
-
|
|
As Revised
Including
Reorganization (a)
|
$
41,507
|
$
9,842
|
$
10,489
|
$
2,423
|
$
(9,989)
|
$
54,272
|
|
|
|
|
|
|
|
|
|
Three months
ended 12/31/15
|
|
|
|
|
|
|
|
As
Reported
|
$
50,221
|
$
18,768
|
$
18,125
|
$
4,689
|
$
(4,081)
|
$
87,722
|
|
|
Adjustment
|
2,651
|
(343)
|
37
|
470
|
(459)
|
2,356
|
|
As Revised
|
$
52,872
|
$
18,425
|
$
18,162
|
$
5,159
|
$
(4,540)
|
$
90,078
|
|
|
Reorganization
(a)
|
(1,932)
|
-
|
-
|
1,932
|
-
|
-
|
|
As Revised
Including
Reorganization (a)
|
$
50,940
|
$
18,425
|
$
18,162
|
$
7,091
|
$
(4,540)
|
$
90,078
|
|
|
|
|
|
|
|
|
|
Three months
ended 03/31/16
|
|
|
|
|
|
|
|
As
Reported
|
$
54,546
|
$
16,217
|
$
4,613
|
$
6,198
|
$
(12,567)
|
$
69,007
|
|
|
Adjustment
|
3,981
|
(391)
|
(2,186)
|
(212)
|
949
|
2,141
|
|
As Revised
|
$
58,527
|
$
15,826
|
$
2,427
|
$
5,986
|
$
(11,618)
|
$
71,148
|
|
|
Reorganization
|
(2,146)
|
-
|
-
|
2,146
|
-
|
-
|
|
As Revised
Including
Reorganization (a)
|
$
56,381
|
$
15,826
|
$
2,427
|
$
8,132
|
$
(11,618)
|
$
71,148
|
|
|
|
|
|
|
|
|
|
Nine months
ended 03/31/16
|
|
|
|
|
|
|
|
As
Reported
|
$
149,233
|
$
45,189
|
$
33,009
|
$
12,981
|
$
(26,216)
|
$
214,197
|
|
|
Adjustment
|
4,228
|
(1,096)
|
(1,931)
|
32
|
69
|
1,301
|
|
As Revised
|
$
153,461
|
$
44,093
|
$
31,078
|
$
13,013
|
$
(26,147)
|
$
215,498
|
|
|
Reorganization
(a)
|
(4,633)
|
-
|
-
|
4,633
|
-
|
-
|
|
As Revised
Including
Reorganization (a)
|
$
148,828
|
$
44,093
|
$
31,078
|
$
17,646
|
$
(26,147)
|
$
215,498
|
|
|
|
|
|
|
|
|
|
Three months
ended 06/30/16
|
|
|
|
|
|
|
|
As
Reported
|
$
55,638
|
$
11,907
|
$
480
|
$
9,267
|
$
(142,430)
|
$
(65,138)
|
|
|
Reorganization
(a)
|
(985)
|
-
|
-
|
985
|
-
|
-
|
|
As Reported
Including
Reorganization (a)
|
$
54,653
|
$
11,907
|
$
480
|
$
10,252
|
$
(142,430)
|
$
(65,138)
|
|
|
|
|
|
|
|
|
|
Twelve months
ended 06/30/16
|
|
|
|
|
|
|
|
As
Reported
|
$
209,099
|
$
56,000
|
$
31,558
|
$
22,280
|
$
(168,577)
|
$
150,360
|
|
|
Reorganization
(a)
|
(5,618)
|
-
|
-
|
5,618
|
-
|
-
|
|
As Reported
Including
Reorganization (a)
|
$
203,481
|
$
56,000
|
$
31,558
|
$
27,898
|
$
(168,577)
|
$
150,360
|
|
|
|
|
|
|
|
|
|
(a)
Effective July 1, 2016, due to changes to the Company's internal
management and reporting structure resulting from the formation of
Cultivate, certain brands previously included within the United
States operating segment were moved to a new operating segment
called Cultivate that is included in the "Rest of World" reportable
segment. In order to report fiscal 2017 and 2016 results by
segment on a comparable basis, Cultivate fiscal 2016 reporting was
recast when is it compared to fiscal 2017.
|
THE HAIN CELESTIAL
GROUP, INC.
|
Net Sales Growth
at Constant Currency
|
(unaudited and in
thousands)
|
|
|
|
|
|
Hain
Consolidated
|
|
United
Kingdom
|
Net sales -
Nine months ended 03/31/17
|
$
2,128,026
|
|
$
573,542
|
Impact of
foreign currency exchange
|
$
96,150
|
|
$
84,359
|
|
$
2,224,176
|
|
$
657,901
|
|
|
|
|
Net sales - Nine
months ended 03/31/16 (revised) (1)
|
$
2,147,827
|
|
$
558,269
|
|
3.6%
|
|
17.8%
|
|
|
|
|
|
Hain
Consolidated
|
|
|
Net sales -
Twelve months ended 06/30/16
|
$
2,885,374
|
|
|
Impact of
foreign currency exchange
|
$
69,203
|
|
|
|
$
2,954,577
|
|
|
|
|
|
|
Net sales - Twelve
months ended 06/30/15 (revised) (1)
|
$
2,609,613
|
|
|
|
13.2%
|
|
|
|
|
|
|
(1) See
bridge from previously reported to revised amounts in the
accompanying tables "Consolidated Statements of Income - Fiscal
2016" and "Consolidated Statements of Income - Fiscal
2015."
|
To view the original version on PR Newswire,
visit:http://www.prnewswire.com/news-releases/hain-celestial-announces-financial-results-and-expands-strategic-plan-to-deliver-enhanced-shareholder-value-300478184.html
SOURCE The Hain Celestial Group, Inc.