Company Raises Full-Year 2017 Guidance
Itron, Inc. (NASDAQ:ITRI) announced today financial results for
its second quarter ended June 30, 2017. Key financial metrics
for the quarter include:
- Revenue of $503 million, compared with
$513 million in the second quarter of 2016;
- Gross margin of 35.4 percent, compared
with 33.1 percent in the second quarter of 2016;
- GAAP diluted earnings per share of 36
cents, compared with 52 cents in the second quarter of 2016;
and
- Non-GAAP diluted earnings per share of
71 cents, compared with 65 cents in the second quarter of
2016.
- Results include the impact of the
Comverge acquisition as of the transaction close date of June 1,
2017. The acquisition contributed $5 million of distributed energy
management (DEM) revenue reported in the Electricity segment and a
net loss of $2 million, including acquisition and
integration-related expenses and amortization of intangibles.
“The second quarter was Itron’s eighth consecutive quarter of
year-over-year increases in non-GAAP earnings per share,
demonstrating our commitment to greater predictability and
profitability in our business results,” said Philip Mezey, Itron’s
president and chief executive officer. "We were also very pleased
to close the Comverge transaction during the quarter, adding
distributed energy management to Itron’s industry-leading AMI and
smart grid solutions. The acquisition emphasizes our focus on
delivering more value to our customers and supports our strategy to
increase the contribution of outcome-based solutions in our
business."
Mezey continued, "We are raising our revenue and non-GAAP
earnings guidance for full-year 2017 to reflect our strong core
business performance and the addition of distributed energy
management solutions to our platform."
Summary of Second Quarter Consolidated Financial
Results
(All comparisons made are against the prior year period unless
otherwise noted)
Revenue
Total revenue of $503 million declined $10 million compared with
the second quarter of 2016, with growth in the Electricity segment
offset by lower Water and Gas revenues. Changes in foreign currency
exchange rates unfavorably impacted revenue by approximately $6
million for the quarter.
Electricity revenue increased 8 percent, driven by smart
projects in North America and Asia-Pacific regions and the addition
of distributed energy management revenues. Gas revenue decreased 8
percent, driven by lower meter volumes partially offset by strong
communication module shipments in North America. Water revenue
decreased 12 percent primarily due to lower product revenues in
North America and EMEA and the timing of new tenders and customer
orders in 2017, partially offset by increased sales in Latin
America.
Gross Margin
Consolidated company gross margin of 35.4 percent increased 230
basis points compared with the second quarter of 2016 with
improvements in all three business segments. Gross margin includes
an $8 million insurance recovery in the Water segment related to
warranty costs incurred for a product replacement announced in
2015. Excluding the recovery, gross margin improved by 70 basis
points compared with the prior year.
Operating Expenses
Operating expenses for the quarter were $141 million compared
with $134 million in the second quarter of 2016. Higher
restructuring, sales and marketing, and acquisition and
integration-related expenses were partially offset by lower legal
and professional services fees, reduced headcount in general and
administrative areas and lower amortization of intangible
assets.
Non-GAAP operating expenses were $125 million compared with $128
million in 2016. The reduction was driven by lower legal and
professional services fees and reduced general and administrative
headcount.
Operating Income, Net Income and Earnings
per Share
GAAP operating income increased to $37 million compared with $35
million in the second quarter of 2016. Non-GAAP operating income
also improved to $53 million compared with $42 million in 2016.
The increase in GAAP operating income was driven by improved
gross margins offsetting higher operating expenses. The greater
increase in non-GAAP operating income was driven by improved gross
margins and lower non-GAAP operating expenses, which exclude
acquisition and integration-related costs, restructuring, and
amortization of intangible assets.
Net income for the quarter was $14 million, or 36 cents per
diluted share, compared with net income of $20 million, or 52 cents
per diluted share, in 2016. Non-GAAP net income for the quarter was
$28 million, or 71 cents per diluted share, compared with $25
million, or 65 cents per diluted share, in 2016.
GAAP earnings per diluted share reflect the company's higher
operating income offset by an increase in other expenses, a higher
effective tax rate driven by the timing and mix of taxable income
by jurisdiction, and increased diluted shares outstanding. Non-GAAP
earnings per diluted share increased compared with the prior year
due to the company's higher non-GAAP operating income which offset
an increase in other expenses, a higher effective tax rate and
increased diluted shares outstanding.
Cash Flow
Net cash provided by operating activities was $30 million in the
second quarter of 2017 compared with $17 million in the same
quarter of 2016. Free cash flow was $17 million for the second
quarter compared with $6 million in the prior year. Higher
operating and free cash flow reflect improved business results,
offsetting increased working capital requirements; primarily due to
increased inventory for anticipated shipments and transitions in
our supply chain.
Other Measures
Bookings of $416 million increased 19 percent compared with the
second quarter of 2016. Total backlog was $1.6 billion and 12-month
backlog was $860 million at the end of the quarter, a
year-over-year increase of 21 percent and 25 percent, respectively.
The Comverge acquisition added $113 million and $44 million to
total and 12-month backlog, respectively.
Financial Guidance Update
Itron's guidance for the full year 2017 is as follows:
- Revenue between $2.03 - $2.06 billion,
increased from $1.9 to $2.0 billion
- Non-GAAP diluted EPS between $2.95 -
$3.15, increased from $2.80 - $3.10
The revised guidance assumes a Euro to U.S. dollar foreign
currency exchange rate of 1.10 on average in the second half of
2017, average fully diluted shares outstanding of approximately
39.5 million for the year and a non-GAAP effective tax rate for the
year of approximately 35 percent. A reconciliation of
forward-looking non-GAAP diluted EPS to the GAAP diluted EPS has
not been provided because we are unable to predict with reasonable
certainty the potential amount or timing of restructuring and
acquisition and integration-related expenses and their related tax
effects without unreasonable effort. These items are uncertain,
depend on various factors and could have a material impact on GAAP
results for the guidance period.
Earnings Conference Call
Itron will host a conference call to discuss the financial
results and guidance contained in this release at 5:00 p.m. EDT on
Aug. 2, 2017. The call will be webcast in a listen-only mode.
Webcast information and conference call materials will be made
available 10 minutes before the start of the call and will be
accessible on Itron’s website at http://investors.itron.com/events.cfm. A replay of
the audio webcast will be made available at http://investors.itron.com/events.cfm. A telephone
replay of the conference call will be available through Aug. 7,
2017. To access the telephone replay, dial (888) 203-1112
(Domestic) or (719) 457-0820 (International) and enter passcode
3937267.
About Itron
Itron is a world-leading technology and services company
dedicated to the resourceful use of energy and water. We provide
comprehensive solutions that measure, manage and analyze energy and
water. Our broad product portfolio includes electricity, gas, water
and thermal energy measurement devices and control technology;
communications systems; software; as well as managed and consulting
services. With thousands of employees supporting nearly 8,000
customers in more than 100 countries, Itron applies knowledge and
technology to better manage energy and water resources. Together,
we can create a more resourceful world. Join us: www.itron.com.
Itron® and OpenWay® are registered trademarks of Itron, Inc. All
third party trademarks are property of their respective owners and
any usage herein does not suggest or imply any relationship between
Itron and the third party unless expressly stated.
Forward Looking Statements
This release contains forward-looking statements within in the
meaning of the Private Securities Litigation Reform Act of 1995.
These statements relate to our expectations about revenues,
operations, financial performance, earnings, earnings per share,
cash flows and restructuring activities including headcount
reductions and other cost savings initiatives. Although we believe
the estimates and assumptions upon which these forward-looking
statements are based are reasonable, any of these estimates or
assumptions could prove to be inaccurate and the forward-looking
statements based on these estimates and assumptions could be
incorrect. Our operations involve risks and uncertainties, many of
which are outside our control, and any one of which, or a
combination of which, could materially affect our results of
operations and whether the forward-looking statements ultimately
prove to be correct. Actual results and trends in the future may
differ materially from those suggested or implied by the
forward-looking statements depending on a variety of factors. Some
of the factors that we believe could affect our results include our
ability to execute on our restructuring plan, our ability to
achieve estimated cost savings, the rate and timing of customer
demand for our products, rescheduling of current customer orders,
changes in estimated liabilities for product warranties, adverse
impacts of litigation, changes in laws and regulations, our
dependence on new product development and intellectual property,
future acquisitions, changes in estimates for stock-based and bonus
compensation, increasing volatility in foreign exchange rates,
international business risks and other factors that are more fully
described in our Annual Report on Form 10-K for the year ended
December 31, 2016 and other reports on file with the Securities and
Exchange Commission. Itron undertakes no obligation to update or
revise any information in this press release.
Non-GAAP Financial Information
To supplement our consolidated financial statements presented in
accordance with GAAP, we use certain non-GAAP financial measures,
including non-GAAP operating expense, non-GAAP operating income,
non-GAAP net income, non-GAAP diluted EPS, adjusted EBITDA,
adjusted EBITDA margin, constant currency and free cash flow. We
provide these non-GAAP financial measures because we believe they
provide greater transparency and represent supplemental information
used by management in its financial and operational decision
making. We exclude certain costs in our non-GAAP financial measures
as we believe the net result is a measure of our core business. The
company believes these measures facilitate operating performance
comparisons from period to period by eliminating potential
differences caused by the existence and timing of certain expense
items that would not otherwise be apparent on a GAAP basis.
Non-GAAP performance measures should be considered in addition to,
and not as a substitute for, results prepared in accordance with
GAAP. Our non-GAAP financial measures may be different from those
reported by other companies. A more detailed discussion of why we
use non-GAAP financial measures, the limitations of using such
measures, and reconciliations between non-GAAP and the nearest GAAP
financial measures are included in this press release.
ITRON, INC. CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited, in thousands, except per
share data)
Three Months Ended June 30, Six Months Ended
June 30, 2017 2016 2017
2016 Revenues $ 503,082 $ 513,024 $ 980,674 $ 1,010,614 Cost
of revenues 325,222 343,319 645,589
677,706 Gross profit 177,860 169,705 335,085 332,908
Operating expenses Sales and marketing 44,753 39,376 86,221
80,143 Product development 43,111 43,354 83,979 88,700 General and
administrative 43,161 45,328 80,407 90,397 Amortization of
intangible assets 4,970 7,796 9,519 14,006 Restructuring 5,043
(1,622 ) 8,095 615 Total
operating expenses 141,038 134,232 268,221
273,861 Operating income 36,822 35,473
66,864 59,047 Other income (expense) Interest income 470 221 739
492 Interest expense (2,876 ) (2,735 ) (5,550 ) (5,653 ) Other
income (expense), net (2,849 ) (264 ) (5,425 ) (1,781
) Total other income (expense) (5,255 ) (2,778 ) (10,236 )
(6,942 ) Income before income taxes 31,567 32,695
56,628 52,105 Income tax provision (16,560 ) (12,193 )
(25,607 ) (20,819 ) Net income 15,007 20,502 31,021 31,286
Net income attributable to non-controlling interests 910
585 1,079 1,280 Net income
attributable to Itron, Inc. $ 14,097 $ 19,917
$ 29,942 $ 30,006 Earnings per
common share - Basic $ 0.36 $ 0.52 $ 0.78
$ 0.79 Earnings per common share - Diluted $
0.36 $ 0.52 $ 0.76 $ 0.78
Weighted average common shares outstanding - Basic
38,683 38,236 38,579 38,147 Weighted average common shares
outstanding - Diluted 39,332 38,516 39,274 38,446
ITRON,
INC. SEGMENT INFORMATION
(Unaudited, in thousands)
Three Months Ended June 30, Six
Months Ended June 30, 2017 2016
2017 2016 Revenues Electricity $
250,332 $ 232,823 $ 489,083 $ 450,118 Gas 138,700 150,266 262,911
289,522 Water 114,050 129,935 228,680
270,974 Total Company $ 503,082 $
513,024 $ 980,674 $ 1,010,614
Gross profit Electricity $ 78,595 $ 70,892 $ 145,787 $
135,478 Gas 50,272 53,483 100,776 102,060 Water 48,993
45,330 88,522 95,370 Total
Company $ 177,860 $ 169,705 $ 335,085
$ 332,908
Operating income (loss)
Electricity $ 17,653 $ 20,008 $ 34,515 $ 30,640 Gas 16,563 25,376
37,819 41,675 Water 16,686 14,177 25,421 32,253 Corporate
unallocated (14,080 ) (24,088 ) (30,891 ) (45,521 )
Total Company $ 36,822 $ 35,473 $ 66,864
$ 59,047
METER AND MODULE
SUMMARY (Units in thousands)
Three Months Ended March
31, Six Months Ended June 30, 2017
2016 2017 2016 Meters Standard
4,350 4,130 8,360 8,500 Smart 2,570 2,320
5,010 4,510 Total meters 6,920
6,450 13,370 13,010
Stand-alone communication modules Smart 1,530
1,440 2,930 2,900
ITRON,
INC. CONSOLIDATED BALANCE SHEETS
(Unaudited, in thousands)
June 30, 2017 December
31, 2016 ASSETS Current assets Cash and cash equivalents
$ 127,880 $ 133,565 Accounts receivable, net 374,180 351,506
Inventories 203,634 163,049 Other current assets 93,266
84,346 Total current assets 798,960 732,466
Property, plant, and equipment, net 186,506 176,458 Deferred tax
assets, net 96,062 94,113 Other long-term assets 52,881 50,129
Intangible assets, net 104,144 72,151 Goodwill 541,071
452,494 Total assets $ 1,779,624 $
1,577,811
LIABILITIES AND EQUITY Current
liabilities Accounts payable $ 208,379 $ 172,711 Other current
liabilities 60,124 43,625 Wages and benefits payable 99,318 82,346
Taxes payable 15,395 10,451 Current portion of debt 16,875 14,063
Current portion of warranty 25,584 24,874 Unearned revenue 79,112
64,976 Total current liabilities 504,787
413,046 Long-term debt 307,484 290,460 Long-term warranty
14,226 18,428 Pension benefit obligation 93,263 84,498 Deferred tax
liabilities, net 3,350 3,073 Other long-term obligations 113,017
117,953 Total liabilities 1,036,127 927,458
Equity Common stock 1,282,085 1,270,467 Accumulated other
comprehensive loss, net (193,209 ) (229,327 ) Accumulated deficit
(365,229 ) (409,536 ) Total Itron, Inc. shareholders' equity
723,647 631,604 Non-controlling interests 19,850
18,749 Total equity 743,497 650,353
Total liabilities and equity $ 1,779,624 $ 1,577,811
ITRON, INC. CONSOLIDATED STATEMENTS OF CASH
FLOWS (Unaudited, in thousands)
Six Months
Ended June 30, 2017 2016 Operating
activities Net income $ 31,021 $ 31,286 Adjustments to reconcile
net income to net cash provided by operating activities:
Depreciation and amortization 29,468 35,481 Stock-based
compensation 10,135 7,878 Amortization of prepaid debt fees 533 534
Deferred taxes, net 7,077 9,706 Restructuring, non-cash 80 (131 )
Other adjustments, net 2,395 (366 ) Changes in operating assets and
liabilities: Accounts receivable (2,032 ) (35,283 ) Inventories
(29,470 ) 2,882 Other current assets (3,905 ) (10,549 ) Other
long-term assets 2,186 2,667 Accounts payable, other current
liabilities, and taxes payable 36,861 (735 ) Wages and benefits
payable 12,299 14,709 Unearned revenue 6,701 5,513 Warranty (4,825
) (9,065 ) Other operating, net (5,080 ) (3,400 ) Net cash
provided by operating activities 93,444 51,127 Investing
activities Acquisitions of property, plant, and equipment (21,898 )
(19,884 ) Business acquisitions, net of cash and cash equivalents
acquired (99,477 ) (951 ) Other investing, net (456 ) (974 )
Net cash used in investing activities (121,831 ) (21,809 )
Financing activities Proceeds from borrowings 35,000 — Payments on
debt (20,625 ) (26,218 ) Issuance of common stock 2,198 1,956 Other
financing, net 952 (4,679 ) Net cash provided by
(used) in financing activities 17,525 (28,941 ) Effect of
foreign exchange rate changes on cash and cash equivalents 5,177
619 Increase (decrease) in cash and cash
equivalents (5,685 ) 996 Cash and cash equivalents at beginning of
period 133,565 131,018 Cash and cash
equivalents at end of period $ 127,880 $ 132,014
About Non-GAAP Financial Measures
The accompanying press release contains non-GAAP financial
measures. To supplement our consolidated financial statements,
which are prepared in accordance with GAAP, we use certain non-GAAP
financial measures, including non-GAAP operating expense, non-GAAP
operating income, non-GAAP net income, non-GAAP diluted EPS,
adjusted EBITDA, constant currency and free cash flow. The
presentation of this financial information is not intended to be
considered in isolation or as a substitute for, or superior to, the
financial information prepared and presented in accordance with
GAAP, and other companies may define such measures differently. For
more information on these non-GAAP financial measures please see
the table captioned “Reconciliations of Non-GAAP Financial Measures
to Most Directly Comparable GAAP Financial Measures.”
We use these non-GAAP financial measures for financial and
operational decision making and/or as a means for determining
executive compensation. Management believes that these non-GAAP
financial measures provide meaningful supplemental information
regarding our performance and ability to service debt by excluding
certain expenses that may not be indicative of our recurring core
operating results. These non-GAAP financial measures facilitate
management’s internal comparisons to our historical performance as
well as comparisons to our competitors’ operating results. Our
executive compensation plans exclude non-cash charges related to
amortization of intangibles and certain discrete cash and non-cash
charges such as purchase accounting adjustments, restructuring
charges or goodwill impairment charges. We believe that both
management and investors benefit from referring to these non-GAAP
financial measures in assessing our performance and when planning,
forecasting and analyzing future periods. We believe these non-GAAP
financial measures are useful to investors because they provide
greater transparency with respect to key metrics used by management
in its financial and operational decision making and because they
are used by our institutional investors and the analyst community
to analyze the health of our business.
Non-GAAP operating expenses and non-GAAP
operating income - We define non-GAAP operating expenses as
operating expenses excluding certain expenses related to the
amortization of intangible assets, restructuring, acquisition and
integration, and goodwill impairment. We define non-GAAP operating
income as operating income excluding the expenses related to the
amortization of intangible assets, restructuring, acquisition and
integration, and goodwill impairment. We consider these non-GAAP
financial measures to be useful metrics for management and
investors because they exclude the effect of expenses that are
related to previous acquisitions and restructuring projects. By
excluding these expenses, we believe that it is easier for
management and investors to compare our financial results over
multiple periods and analyze trends in our operations. For example,
in certain periods expenses related to amortization of intangible
assets may decrease, which would improve GAAP operating margins,
yet the improvement in GAAP operating margins due to this lower
expense is not necessarily reflective of an improvement in our core
business. There are some limitations related to the use of non-GAAP
operating expenses and non-GAAP operating income versus operating
expenses and operating income calculated in accordance with GAAP.
We compensate for these limitations by providing specific
information about the GAAP amounts excluded from non-GAAP operating
expense and non-GAAP operating income and evaluating non-GAAP
operating expense and non-GAAP operating income together with GAAP
operating expense and GAAP operating income.
Non-GAAP net income and non-GAAP diluted
EPS - We define non-GAAP net income as net income
attributable to Itron, Inc. excluding the expenses associated with
amortization of intangible assets, restructuring, acquisition and
integration, goodwill impairment, amortization of debt placement
fees and the tax effect of excluding these expenses. We define
non-GAAP diluted EPS as non-GAAP net income divided by the weighted
average shares, on a diluted basis, outstanding during each period.
We consider these financial measures to be useful metrics for
management and investors for the same reasons that we use non-GAAP
operating income. The same limitations described above regarding
our use of non-GAAP operating income apply to our use of non-GAAP
net income and non-GAAP diluted EPS. We compensate for these
limitations by providing specific information regarding the GAAP
amounts excluded from these non-GAAP measures and evaluating
non-GAAP net income and non-GAAP diluted EPS together with GAAP net
income attributable to Itron, Inc. and GAAP diluted EPS.
Adjusted EBITDA - We define
adjusted EBITDA as net income (a) minus interest income, (b) plus
interest expense, depreciation and amortization, restructuring,
acquisition and integration related expense, goodwill impairment
and (c) excluding income tax provision or benefit. Management uses
adjusted EBITDA as a performance measure for executive
compensation. A limitation to using adjusted EBITDA is that it does
not represent the total increase or decrease in the cash balance
for the period and the measure includes some non-cash items and
excludes other non-cash items. Additionally, the items that we
exclude in our calculation of adjusted EBITDA may differ from the
items that our peer companies exclude when they report their
results. We compensate for these limitations by providing a
reconciliation of this measure to GAAP net income.
Free cash flow - We define free
cash flow as net cash provided by operating activities less cash
used for acquisitions of property, plant and equipment. We believe
free cash flow provides investors with a relevant measure of
liquidity and a useful basis for assessing our ability to fund our
operations and repay our debt. The same limitations described above
regarding our use of adjusted EBITDA apply to our use of free cash
flow. We compensate for these limitations by providing specific
information regarding the GAAP amounts and reconciling to free cash
flow.
Constant currency - We refer to the
impact of foreign currency exchange rate fluctuations in our
discussions of financial results, which references the differences
between the foreign currency exchange rates used to translate
operating results from local currencies into U.S. dollars for
financial reporting purposes. We also use the term “constant
currency,” which represents financial results adjusted to exclude
changes in foreign currency exchange rates as compared with the
rates in the comparable prior year period. We calculate the
constant currency change as the difference between the current
period results and the comparable prior period’s results restated
using current period foreign currency exchange rates.
The accompanying tables have more detail on the GAAP financial
measures that are most directly comparable to the non-GAAP
financial measures and the related reconciliations between these
financial measures.
ITRON, INC. RECONCILIATIONS OF NON-GAAP FINANCIAL
MEASURES TO THE MOST DIRECTLY COMPARABLE GAAP FINANCIAL
MEASURES (Unaudited, in thousands,
except per share data)
TOTAL COMPANY RECONCILIATIONS
Three Months Ended June 30, Six Months Ended June
30, 2017 2016 2017
2016 NON-GAAP NET INCOME & DILUTED EPS GAAP net
income attributable to Itron, Inc. $ 14,097 $ 19,917 $ 29,942 $
30,006 Amortization of intangible assets 4,970 7,796 9,519 14,006
Amortization of debt placement fees 242 248 483 495 Restructuring
5,043 (1,622 ) 8,095 615 Acquisition and integration related
expenses 6,468 (25 ) 6,801 (22 ) Income tax effect of non-GAAP
adjustments (2,896 ) (1,170 ) (4,730 ) (3,125 )
Non-GAAP net income attributable to Itron,
Inc.
$ 27,924 $ 25,144 $ 50,110 $
41,975 Non-GAAP diluted EPS $ 0.71 $
0.65 $ 1.28 $ 1.09 Weighted
average common shares outstanding - Diluted 39,332
38,516 39,274 38,446
ADJUSTED
EBITDA GAAP net income attributable to Itron, Inc. $ 14,097 $
19,917 $ 29,942 $ 30,006 Interest income (470 ) (221 ) (739 ) (492
) Interest expense 2,876 2,735 5,550 5,653 Income tax provision
16,560 12,193 25,607 20,819 Depreciation and amortization 15,090
18,807 29,468 35,481 Restructuring 5,043 (1,622 ) 8,095 615
Acquisition and integration related expenses 6,468
(25 ) 6,801 (22 ) Adjusted EBITDA $ 59,664
$ 51,784 $ 104,724 $ 92,060
FREE CASH FLOW Net cash provided by operating
activities $ 30,187 $ 17,322 $ 93,444 $ 51,127 Acquisitions of
property, plant, and equipment (12,776 ) (11,093 ) (21,898 )
(19,884 ) Free Cash Flow $ 17,411 $ 6,229
$ 71,546 $ 31,243
NON-GAAP
OPERATING INCOME GAAP operating income $ 36,822 $ 35,473 $
66,864 $ 59,047 Amortization of intangible assets 4,970 7,796 9,519
14,006 Restructuring 5,043 (1,622 ) 8,095 615 Acquisition and
integration related expenses 6,468 (25 ) 6,801
(22 ) Non-GAAP operating income $ 53,303 $
41,622 $ 91,279 $ 73,646
NON-GAAP OPERATING EXPENSES GAAP operating expenses $
141,038 $ 134,232 $ 268,221 $ 273,861 Amortization of intangible
assets (4,970 ) (7,796 ) (9,519 ) (14,006 ) Restructuring (5,043 )
1,622 (8,095 ) (615 ) Acquisition and integration related expenses
(6,468 ) 25 (6,801 ) 22 Non-GAAP
operating expenses $ 124,557 $ 128,083 $
243,806 $ 259,262
ITRON, INC.
RECONCILIATIONS OF NON-GAAP FINANCIAL MEASURES TO THE
MOST DIRECTLY COMPARABLE GAAP FINANCIAL MEASURES
(Unaudited, in thousands)
SEGMENT
RECONCILIATIONS Three Months Ended June 30,
Six Months Ended June 30, 2017 2016
2017 2016 NON-GAAP OPERATING INCOME -
ELECTRICITY Electricity - GAAP operating income $ 17,653 $
20,008 $ 34,515 $ 30,640 Amortization of intangible assets 2,728
4,617 5,090 7,867 Restructuring 506 (1,560 ) 330 (1,032 )
Acquisition and integration related expenses 6,201
(25 ) 6,201 (22 ) Electricity - Non-GAAP operating
income $ 27,088 $ 23,040 $ 46,136
$ 37,453
NON-GAAP OPERATING INCOME -
GAS Gas - GAAP operating income $ 16,563 $ 25,376 $ 37,819 $
41,675 Amortization of intangible assets 1,309 1,756 2,586 3,375
Restructuring 4,339 (12 ) 5,423 1,252
Gas - Non-GAAP operating income $ 22,211 $
27,120 $ 45,828 $ 46,302
NON-GAAP OPERATING INCOME - WATER Water - GAAP operating
income $ 16,686 $ 14,177 $ 25,421 $ 32,253 Amortization of
intangible assets 933 1,423 1,843 2,764 Restructuring 995
115 2,013 51 Water - Non-GAAP
operating income $ 18,614 $ 15,715 $ 29,277
$ 35,068
NON-GAAP OPERATING INCOME -
CORPORATE UNALLOCATED Corporate unallocated - GAAP operating
loss $ (14,080 ) $ (24,088 ) $ (30,891 ) $ (45,521 ) Restructuring
(797 ) (165 ) 329 344 Acquisition and integration related expenses
267 — 600 — Corporate
unallocated - Non-GAAP operating loss $ (14,610 ) $ (24,253
) $ (29,962 ) $ (45,177 )
View source
version on businesswire.com: http://www.businesswire.com/news/home/20170802006281/en/
Itron, Inc.Barbara Doyle, 509-891-3443Vice President,
Investor RelationsorRebecca Hussey, 509-891-3574Program Manager,
Investor Relations
Itron (NASDAQ:ITRI)
Historical Stock Chart
From Aug 2024 to Sep 2024
Itron (NASDAQ:ITRI)
Historical Stock Chart
From Sep 2023 to Sep 2024