ATLANTA, July 23, 2019 /PRNewswire/ --
Highlights
- Q2 Net Sales were $1,552.8
million versus $1,510.9
million in the prior year period.
- Q2 Earnings per Diluted Share were $0.22 versus $0.16
in the prior year period.
- Q2 Adjusted Earnings per Diluted Share were $0.24 versus $0.18
in the prior year period.
- Q2 Net Income was $63.8 million
versus $49.4 million in the prior
year period.
- Q2 Adjusted EBITDA was $267.1
million versus $235.8 million
in the prior year period.
- Returned $47 million to
stakeholders in Q2 through $18
million of share repurchases, $22
million of dividends, and $6
million of distributions to the GPIP Partner.
- Reached agreement to acquire Artistic Carton Company, a
diversified producer of folding cartons and coated recycled
paperboard (CRB).
Graphic Packaging Holding Company (NYSE: GPK), (the "Company"),
a leading provider of packaging solutions to food, beverage,
foodservice, and other consumer products companies, today reported
Net Income for second quarter 2019 of $63.8
million, or $0.22 per share,
based upon 295.7 million weighted average diluted shares.
This compares to second quarter 2018 Net Income of $49.4 million, or $0.16 per share, based on 311.3 million weighted
average diluted shares.
Second quarter 2019 Net Income was impacted by a net
$5.8 million of special charges that
are detailed in the Reconciliation of Non-GAAP Financial Measures
table attached. When adjusting for these charges, Adjusted
Net Income for the second quarter of 2019 was $69.6 million, or $0.24 per diluted share. This compares to second
quarter 2018 Adjusted Net Income of $54.5
million or $0.18 per diluted
share.
"We reported strong results in the second quarter as our
Adjusted EBITDA margin increased 160 basis points year-over-year to
17.2%. Second quarter Adjusted EBITDA of $267 million was ahead of our expectations driven
by strong execution on pricing, performance, growth initiatives,
and synergies" said President and CEO Michael Doss. "Pricing improved by $40 million during the quarter reflecting the
benefits of our pricing initiatives. Importantly, our pricing to
commodity input cost relationship was a positive $26 million in the quarter and $41 million in the first half of 2019. We are
pleased to be increasing our 2019 Adjusted EBITDA guidance to
reflect continued strong execution and a more favorable pricing to
commodity input cost relationship. In addition, our commercial
teams have been successful in customer negotiations to reduce our
pricing lags to 6-months compared to 8-months previously. This
reduction is an important milestone as it provides the opportunity
to adjust pricing two times per year, on average, to better reflect
market conditions. Overall, we operated well in the quarter
generating $22 million in performance
improvements driven by a continued emphasis on cost efficiencies,
benefits from capital projects, and realization of synergies."
Acquisition of Artistic Carton Company
Graphic Packaging Holding Company also announced today that it
has reached an agreement to acquire substantially all the assets of
Artistic Carton Company through a subsidiary, subject to standard
closing conditions. The business includes one coated recycled
paperboard (CRB) mill located in White
Pigeon, Michigan with annual production capacity of
approximately 70,000 tons and two converting facilities located in
Auburn, IN and Elgin, IL. The business generated $63 million in revenue during the twelve months
ended June 30, 2019. The business is
expected to generate approximately $10
million in annualized EBITDA including anticipated synergies
over the next 12-18 months. The transaction is expected to close in
the third quarter of 2019.
"We are pleased to announce the acquisition of Artistic Carton
as it will provide compelling optimization and growth opportunities
for our paperboard mill and converting platforms in North America" said President and CEO
Michael Doss. "The acquisition will
drive converting end-market diversification, enhance our converting
platform, and we expect will allow us to deliver significant
synergies driven by paperboard integration, mill and converting
manufacturing optimization, and supply chain efficiencies."
Second Quarter 2019 Operating Results
Net Sales
Net Sales increased 3% to $1,552.8
million in the second quarter of 2019, compared to
$1,510.9 million in the prior year
period. The $41.9 million
increase was driven by $39.8 million
of higher pricing and $16.3 million
of improved volume/mix related to acquisitions. These benefits were
partially offset by $14.2 million of
unfavorable foreign exchange.
Attached is supplemental data highlighting Net Tons Sold for the
first and second quarters of 2019 and 2018.
EBITDA
EBITDA for the second quarter of 2019 was $257.2 million, or $30.0
million higher than the second quarter of 2018. After
adjusting both periods for business combinations and other special
charges, Adjusted EBITDA increased $31.3
million to $267.1 million in
the second quarter of 2019 from $235.8
million in the second quarter of 2018. When comparing
against the prior year quarter, Adjusted EBITDA in the second
quarter of 2019 was positively impacted by $39.8 million of higher pricing and $22.1 million of improved net operating
performance. These benefits were partially offset by $14.2 million of commodity input cost inflation
(primarily wood), $12.3 million of
other inflation (primarily labor and benefits), $3.0 million of unfavorable foreign exchange, and
$1.1 million of unfavorable
volume/mix.
Other Results
Total Debt (Long-Term, Short-Term and Current Portion) decreased
$118.1 million during the second
quarter of 2019 to $3,070.6 million
compared to the first quarter of 2019. Total Net Debt (Total Debt,
net of Cash and Cash Equivalents) decreased $120.5 million during the second quarter of
2019 to $3,005.9 million compared to
the first quarter of 2019. The Company's second quarter 2019
pro forma Net Leverage Ratio was 2.91 times Adjusted EBITDA
compared to 3.13 times at the end of the first quarter of 2019.
At June 30, 2019, the Company had
available liquidity of $1,455.8
million, including the undrawn availability under its global
revolving credit facilities.
Net Interest Expense was $35.5
million in the second quarter of 2019, up compared to the
$30.3 million reported in the second
quarter of 2018, primarily reflecting higher average borrowing
rates.
Capital expenditures for the second quarter of 2019 were
$78.3 million compared to
$81.3 million in the second quarter
of 2018.
Second quarter 2019 Income Tax Expense was $23.0 million, compared to a $18.5 million expense in the second quarter of
2018.
Please note that a tabular reconciliation of EBITDA, Adjusted
EBITDA, Adjusted EBITDA margin, Adjusted Net Income, Adjusted EPS,
Adjusted Net Cash Provided by Operating Activities, Adjusted Cash
Flow, Total Net Debt and pro forma Net Leverage Ratio is attached
to this release.
Earnings Call
The Company will host a conference call at 10:00 am eastern time today (July 23, 2019) to discuss the results of second
quarter 2019. To access the conference call, please go to the
Investor Relations section of the Graphic Packaging website:
http://www.graphicpkg.com and click the audio webcast
link. For those calling from within North America, dial 800-392-9489 at least 10
minutes prior to the start of the conference call (Conference ID
#1586689). Supporting materials for our conference call have also
been posted to the website. Replays of the call
will be available for one week following the completion of the call
and can be accessed by dialing 855-859-2056.
Forward Looking Statements
Any statements of the Company's expectations in this press
release, including but not limited to the expected closing of and
EBITDA from the Artistic Carton Company acquisition, constitute
"forward-looking statements" as defined in the Private Securities
Litigation Reform Act of 1995. Such statements are based on
currently available information and are subject to various risks
and uncertainties that could cause actual results to differ
materially from the Company's present expectations. These
risks and uncertainties include, but are not limited to, inflation
of and volatility in raw material and energy costs, continuing
pressure for lower cost products, the Company's ability to
implement its business strategies, including productivity
initiatives, cost reduction plans, and integration activities, as
well as the Company's debt level, currency movements and other
risks of conducting business internationally, the impact of
regulatory and litigation matters, including the continued
availability of the Company's net operating loss offset to taxable
income. Undue reliance should not be placed on such
forward-looking statements, as such statements speak only as of the
date on which they are made and the Company undertakes no
obligation to update such statements, except as required by
law. Additional information regarding these and other risks
is contained in the Company's periodic filings with the SEC.
About Graphic Packaging Holding
Company
Graphic Packaging Holding Company (NYSE: GPK), headquartered in
Atlanta, Georgia, is committed to
providing consumer packaging that makes a world of difference. The
Company is a leading provider of paper-based packaging solutions
for a wide variety of products to food, beverage, foodservice, and
other consumer products companies. The Company operates on a global
basis, is one of the largest producers of folding cartons and
paper-based foodservice products in the
United States, and holds leading market positions in coated
recycled paperboard, coated unbleached kraft paperboard and solid
bleached sulfate paperboard. The Company's customers include many
of the world's most widely-recognized companies and brands.
Additional information about Graphic Packaging, its business and
its products is available on the Company's web site at
www.graphicpkg.com.
GRAPHIC PACKAGING
HOLDING COMPANY
CONDENSED
CONSOLIDATED STATEMENTS OF OPERATIONS
(Unaudited)
|
|
|
|
Three Months
Ended
|
Six Months
Ended
|
|
June
30,
|
June
30,
|
In millions,
except per share amounts
|
2019
|
|
2018
|
2019
|
|
2018
|
Net Sales
|
$
|
1,552.8
|
|
|
$
|
1,510.9
|
|
$
|
3,058.7
|
|
|
$
|
2,988.3
|
|
Cost of
Sales
|
1,265.0
|
|
|
1,273.4
|
|
2,504.8
|
|
|
2,526.9
|
|
Selling, General and
Administrative
|
131.8
|
|
|
116.1
|
|
256.5
|
|
|
238.8
|
|
Other Expense,
Net
|
1.7
|
|
|
2.5
|
|
2.9
|
|
|
3.4
|
|
Business Combinations
and Shutdown and Other Special Charges, Net
|
9.9
|
|
|
8.6
|
|
16.1
|
|
|
34.9
|
|
Income from
Operations
|
144.4
|
|
|
110.3
|
|
278.4
|
|
|
184.3
|
|
Nonoperating Pension
and Postretirement Benefit Income (Expense)
|
—
|
|
|
4.1
|
|
(0.1)
|
|
|
8.3
|
|
Interest Expense,
Net
|
(35.5)
|
|
|
(30.3)
|
|
(70.5)
|
|
|
(59.1)
|
|
Loss on Modification
or Extinguishment of Debt
|
—
|
|
|
—
|
|
—
|
|
|
(1.9)
|
|
Income before Income
Taxes and Equity Income of Unconsolidated Entity
|
108.9
|
|
|
84.1
|
|
207.8
|
|
|
131.6
|
|
Income Tax
Expense
|
(23.0)
|
|
|
(18.5)
|
|
(44.0)
|
|
|
(23.6)
|
|
Income before Equity
Income of Unconsolidated Entity
|
85.9
|
|
|
65.6
|
|
163.8
|
|
|
108.0
|
|
Equity Income of
Unconsolidated Entity
|
0.2
|
|
|
0.4
|
|
0.4
|
|
|
0.7
|
|
Net Income
|
86.1
|
|
|
66.0
|
|
164.2
|
|
|
108.7
|
|
Net Income
Attributable to Noncontrolling Interest
|
(22.3)
|
|
|
(16.6)
|
|
(42.5)
|
|
|
(29.4)
|
|
Net Income
Attributable to Graphic Packaging Holding Company
|
$
|
63.8
|
|
|
$
|
49.4
|
|
$
|
121.7
|
|
|
$
|
79.3
|
|
|
|
|
|
|
|
|
Net Income Per Share
Attributable to Graphic Packaging Holding
Company —
Basic
|
$
|
0.22
|
|
|
$
|
0.16
|
|
$
|
0.41
|
|
|
$
|
0.26
|
|
Net Income Per Share
Attributable to Graphic Packaging Holding
Company —
Diluted
|
$
|
0.22
|
|
|
$
|
0.16
|
|
$
|
0.41
|
|
|
$
|
0.25
|
|
|
|
|
|
|
|
|
Weighted Average
Number of Shares Outstanding - Basic
|
295.2
|
|
|
310.7
|
|
296.3
|
|
|
310.6
|
|
Weighted Average
Number of Shares Outstanding - Diluted
|
295.7
|
|
|
311.3
|
|
297.0
|
|
|
311.3
|
|
GRAPHIC PACKAGING
HOLDING COMPANY
CONDENSED
CONSOLIDATED BALANCE SHEETS
(Unaudited)
|
|
|
In millions,
except share and per share amounts
|
June 30,
2019
|
|
December 31,
2018
|
|
|
|
|
ASSETS
|
|
|
|
|
|
|
|
Current
Assets:
|
|
|
|
Cash and Cash
Equivalents
|
$
|
64.7
|
|
|
$
|
70.5
|
|
Receivables,
Net
|
639.9
|
|
|
572.9
|
|
Inventories,
Net
|
1,099.5
|
|
|
1,014.4
|
|
Other Current
Assets
|
56.7
|
|
|
106.0
|
|
Total Current
Assets
|
1,860.8
|
|
|
1,763.8
|
|
Property, Plant and
Equipment, Net
|
3,199.4
|
|
|
3,239.7
|
|
Goodwill
|
1,467.0
|
|
|
1,460.6
|
|
Intangible Assets,
Net
|
485.4
|
|
|
523.8
|
|
Other
Assets
|
272.5
|
|
|
71.3
|
|
Total
Assets
|
$
|
7,285.1
|
|
|
$
|
7,059.2
|
|
|
|
|
|
LIABILITIES
|
|
|
|
|
|
|
|
Current
Liabilities:
|
|
|
|
Short-Term Debt and
Current Portion of Long-Term Debt
|
$
|
58.9
|
|
|
$
|
52.0
|
|
Accounts
Payable
|
644.7
|
|
|
711.6
|
|
Other Accrued
Liabilities
|
390.4
|
|
|
408.7
|
|
Total Current
Liabilities
|
1,094.0
|
|
|
1,172.3
|
|
Long-Term
Debt
|
2,997.5
|
|
|
2,905.1
|
|
Deferred Income Tax
Liabilities
|
488.4
|
|
|
462.2
|
|
Other Noncurrent
Liabilities
|
378.7
|
|
|
225.3
|
|
|
|
|
|
Redeemable
Noncontrolling Interest
|
269.6
|
|
|
275.8
|
|
|
|
|
|
SHAREHOLDERS'
EQUITY
|
|
|
|
|
|
|
|
Preferred Stock, par
value $.01 per share; 100,000,000 shares authorized; no shares
issued or
outstanding
|
—
|
|
|
—
|
|
Common Stock, par
value $.01 per share; 1,000,000,000 shares authorized; 293,970,406
and
299,891,585 shares issued and
outstanding at June 30, 2019 and December 31, 2018,
respectively
|
2.9
|
|
|
3.0
|
|
Capital in Excess of
Par Value
|
1,916.3
|
|
|
1,944.4
|
|
Retained
Earnings
|
44.7
|
|
|
10.0
|
|
Accumulated Other
Comprehensive Loss
|
(379.3)
|
|
|
(377.9)
|
|
Total Graphic
Packaging Holding Company Shareholders' Equity
|
1,584.6
|
|
|
1,579.5
|
|
Noncontrolling
Interest
|
472.3
|
|
|
439.0
|
|
Total
Equity
|
2,056.9
|
|
|
2,018.5
|
|
Total Liabilities
and Shareholders' Equity
|
$
|
7,285.1
|
|
|
$
|
7,059.2
|
|
GRAPHIC PACKAGING
HOLDING COMPANY
CONDENSED
CONSOLIDATED STATEMENTS OF CASH FLOWS
(Unaudited)
|
|
|
|
Six Months
Ended
|
|
June
30,
|
In
millions
|
2019
|
|
2018
|
CASH FLOWS FROM
OPERATING ACTIVITIES:
|
|
|
|
Net Income
|
$
|
164.2
|
|
|
$
|
108.7
|
|
Adjustments to
Reconcile Net Income to Net Cash Used in Operating
Activities:
|
|
|
|
Depreciation and
Amortization
|
227.3
|
|
|
221.1
|
|
Deferred Income
Taxes
|
26.8
|
|
|
7.6
|
|
Amount of
Postretirement Expense Greater (Less) Than Funding
|
5.1
|
|
|
(1.9)
|
|
Gain on the Sale of
Assets
|
—
|
|
|
(1.5)
|
|
Other, Net
|
5.9
|
|
|
24.5
|
|
Changes in Operating
Assets and Liabilities
|
(369.5)
|
|
|
(658.7)
|
|
Net Cash Provided by
(Used in) Operating Activities
|
59.8
|
|
|
(300.2)
|
|
|
|
|
|
CASH FLOWS FROM
INVESTING ACTIVITIES:
|
|
|
|
Capital
Spending
|
(146.2)
|
|
|
(167.3)
|
|
Packaging Machinery
Spending
|
(12.1)
|
|
|
(6.1)
|
|
Acquisition of
Businesses, Net of Cash Acquired
|
(2.0)
|
|
|
3.4
|
|
Beneficial Interest
on Sold Receivables
|
309.6
|
|
|
624.0
|
|
Beneficial Interest
Obtained in Exchange for Proceeds
|
(156.9)
|
|
|
(150.9)
|
|
Other, Net
|
(2.4)
|
|
|
(3.4)
|
|
Net Cash (Used in)
Provided by Investing Activities
|
(10.0)
|
|
|
299.7
|
|
|
|
|
|
CASH FLOWS FROM
FINANCING ACTIVITIES:
|
|
|
|
Repurchase of Common
Stock
|
(78.7)
|
|
|
—
|
|
Payments on
Debt
|
(18.3)
|
|
|
(134.1)
|
|
Proceeds from
Issuance of Debt
|
300.0
|
|
|
—
|
|
Borrowings under
Revolving Credit Facilities
|
1,303.4
|
|
|
961.1
|
|
Payments on Revolving
Credit Facilities
|
(1,495.3)
|
|
|
(779.4)
|
|
Repurchase of Common
Stock related to Share-Based Payments
|
(4.0)
|
|
|
(4.1)
|
|
Debt Issuance
Costs
|
(4.2)
|
|
|
(7.9)
|
|
Dividends and
Distributions Paid
|
(58.3)
|
|
|
(52.5)
|
|
Other, Net
|
(1.0)
|
|
|
1.7
|
|
Net Cash Used in
Financing Activities
|
(56.4)
|
|
|
(15.2)
|
|
Effect of Exchange
Rate Changes on Cash
|
0.8
|
|
|
(0.8)
|
|
Net Decrease in Cash
and Cash Equivalents
|
(5.8)
|
|
|
(16.5)
|
|
Cash and Cash
Equivalents at Beginning of Period
|
70.5
|
|
|
67.4
|
|
CASH AND CASH
EQUIVALENTS AT END OF PERIOD
|
$
|
64.7
|
|
|
$
|
50.9
|
|
GRAPHIC PACKAGING HOLDING
COMPANY
Reconciliation of Non-GAAP Financial
Measures
The tables below set forth the calculation of the Company's
earnings before interest expense, income tax expense, equity income
of unconsolidated entities, depreciation and amortization,
including pension amortization ("EBITDA"), Adjusted EBITDA,
Adjusted EBITDA Margin, Adjusted Net Income, Adjusted Earnings Per
Share, Adjusted Net Cash Provided by Operating Activities, Adjusted
Cash Flow, Net Leverage Ratio and Total Net Debt. Adjusted EBITDA
and Adjusted Net Income exclude charges (income) associated with:
the Company's business combinations, facility shutdowns, extended
mill outage, sale of assets and other special charges. The
Company's management believes that the presentation of EBITDA,
Adjusted EBITDA, Adjusted Net Income, Adjusted Earnings Per Share,
Adjusted Net Cash Provided by Operating Activities, Adjusted Cash
Flow, and Net Leverage Ratio provides useful information to
investors because these measures are regularly used by management
in assessing the Company's performance. EBITDA, Adjusted EBITDA,
Adjusted Net Income, Adjusted Earnings Per Share, Adjusted Net Cash
Provided by Operating Activities, Adjusted Cash Flow, and Net
Leverage Ratio are financial measures not calculated in accordance
with generally accepted accounting principles in the United States ("GAAP"), and are not
measures of net income, operating income, operating performance or
liquidity presented in accordance with GAAP.
EBITDA, Adjusted EBITDA, Adjusted Net Income, Adjusted Earnings
Per Share, Adjusted Net Cash Provided by Operating Activities,
Adjusted Cash Flow, and Net Leverage Ratio should be considered in
addition to results prepared in accordance with GAAP, but should
not be considered substitutes for or superior to GAAP results. In
addition, our EBITDA, Adjusted EBITDA, Adjusted Net Income,
Adjusted Earnings Per Share, Adjusted Net Cash Provided by
Operating Activities, Adjusted Cash Flow, and Net Leverage Ratio
may not be comparable to Adjusted EBITDA or similarly titled
measures utilized by other companies since such other companies may
not calculate such measures in the same manner as we do.
|
Three Months
Ended
|
|
Six Months
Ended
|
|
June
30,
|
|
June
30,
|
In millions,
except per share amounts
|
2019
|
|
2018
|
|
2019
|
|
2018
|
Net Income
Attributable to Graphic Packaging Holding Company
|
$
|
63.8
|
|
|
$
|
49.4
|
|
|
$
|
121.7
|
|
|
$
|
79.3
|
|
Add
(Subtract):
|
|
|
|
|
|
|
|
Net Income
Attributable to Noncontrolling Interest
|
22.3
|
|
|
16.6
|
|
|
42.5
|
|
|
29.4
|
|
Income Tax
Expense
|
23.0
|
|
|
18.5
|
|
|
44.0
|
|
|
23.6
|
|
Equity Income of
Unconsolidated Entity
|
(0.2)
|
|
|
(0.4)
|
|
|
(0.4)
|
|
|
(0.7)
|
|
Interest Expense,
Net
|
35.5
|
|
|
30.3
|
|
|
70.5
|
|
|
59.1
|
|
Depreciation and
Amortization
|
112.8
|
|
|
112.8
|
|
|
232.4
|
|
|
224.1
|
|
EBITDA
|
257.2
|
|
|
227.2
|
|
|
510.7
|
|
|
414.8
|
|
Gain on Sale of
Assets
|
—
|
|
|
—
|
|
|
—
|
|
|
(1.5)
|
|
Charges Associated
with Business Combinations and Shutdown and Other Special
Charges(a)
|
9.9
|
|
|
8.6
|
|
|
16.1
|
|
|
51.4
|
|
Loss on Modification
or Extinguishment of Debt
|
—
|
|
|
—
|
|
|
—
|
|
|
1.9
|
|
Adjusted
EBITDA
|
$
|
267.1
|
|
|
$
|
235.8
|
|
|
$
|
526.8
|
|
|
$
|
466.6
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA
Margin (Adjusted EBITDA/Net Sales)
|
17.2
|
%
|
|
15.6
|
%
|
|
17.2
|
%
|
|
15.6
|
%
|
|
|
|
|
|
|
|
|
Net Income
Attributable to Graphic Packaging Holding Company
|
$
|
63.8
|
|
|
$
|
49.4
|
|
|
$
|
121.7
|
|
|
$
|
79.3
|
|
Gain on Sale of
Assets
|
—
|
|
|
—
|
|
|
—
|
|
|
(1.5)
|
|
Charges Associated
with Business Combinations and Shutdown and Other Special
Charges(a)
|
9.9
|
|
|
8.6
|
|
|
16.1
|
|
|
51.4
|
|
Loss on Modification
or Extinguishment of Debt
|
—
|
|
|
—
|
|
|
—
|
|
|
1.9
|
|
Tax Impact of,
Business Combinations, Shutdown and Other Special Charges, Gain
on Sale of Assets, and Loss on Modification or Extinguishment of
Debt
|
(2.2)
|
|
|
(1.8)
|
|
|
(3.3)
|
|
|
(11.2)
|
|
Noncontrolling
Interest, Net of Tax
|
(1.9)
|
|
|
(1.7)
|
|
|
(3.2)
|
|
|
(7.1)
|
|
Adjusted Net Income
Attributable to Graphic Packaging Holding Company
|
$
|
69.6
|
|
|
$
|
54.5
|
|
|
$
|
131.3
|
|
|
$
|
112.8
|
|
|
|
|
|
|
|
|
|
Adjusted Earnings Per
Share - Basic
|
$
|
0.24
|
|
|
$
|
0.18
|
|
|
$
|
0.44
|
|
|
$
|
0.36
|
|
Adjusted Earnings Per
Share - Diluted
|
$
|
0.24
|
|
|
$
|
0.18
|
|
|
$
|
0.44
|
|
|
$
|
0.36
|
|
|
(a) For
the six months ended June 30, 2018, $15.0 million is recorded in
costs of sales for inventory valuation adjustments related to
business combinations.
|
GRAPHIC PACKAGING
HOLDING COMPANY
Reconciliation of
Non-GAAP Financial Measures
(Continued)
|
|
|
|
Twelve Months
Ended
|
|
June
30,
|
|
June
30,
|
|
December
31,
|
In
millions
|
2019
|
|
2018
|
|
2018
|
Net Income
|
$
|
263.5
|
|
|
$
|
300.5
|
|
|
$
|
221.1
|
|
Add
(Subtract):
|
|
|
|
|
|
Net Income
Attributable to Noncontrolling Interest
|
86.0
|
|
|
29.4
|
|
|
72.9
|
|
Income Tax (Benefit)
Expense
|
75.1
|
|
|
(63.1)
|
|
|
54.7
|
|
Equity Income of
Unconsolidated Entities
|
(0.9)
|
|
|
(1.5)
|
|
|
(1.2)
|
|
Interest Expense,
Net
|
135.1
|
|
|
105.0
|
|
|
123.7
|
|
Depreciation and
Amortization
|
445.2
|
|
|
407.7
|
|
|
436.9
|
|
EBITDA
|
1,004.0
|
|
|
778.0
|
|
|
908.1
|
|
Charges Associated
with Business Combinations and Shutdown and
Other Special Charges
|
34.7
|
|
|
74.5
|
|
|
70.0
|
|
Extended Augusta Mill
Outage
|
29.6
|
|
|
—
|
|
|
29.6
|
|
Gain on Sale of
Assets, Net
|
(37.1)
|
|
|
(5.2)
|
|
|
(38.6)
|
|
Loss on Modification
or Extinguishment of Debt
|
—
|
|
|
—
|
|
|
1.9
|
|
Adjusted
EBITDA
|
1,031.2
|
|
|
847.3
|
|
|
971.0
|
|
EBITDA Attributable
to NACP from July 1, 2017 to December 31, 2017
|
—
|
|
|
127.0
|
|
|
—
|
|
Adjusted EBITDA for
Purposes of Calculating Net Leverage Ratio
|
$
|
1,031.2
|
|
|
$
|
974.3
|
|
|
$
|
971.0
|
|
|
|
|
|
|
|
|
June
30,
|
|
June
30,
|
|
December
31,
|
Calculation of Net
Debt:
|
2019
|
|
2018
|
|
2018
|
Short-Term Debt and
Current Portion of Long-Term Debt
|
$
|
58.9
|
|
|
$
|
51.5
|
|
|
$
|
52.0
|
|
Long-Term Debt
(a)
|
3,011.7
|
|
|
2,936.3
|
|
|
2,915.7
|
|
Less:
|
|
|
|
|
|
Cash and Cash
Equivalents
|
(64.7)
|
|
|
(50.9)
|
|
|
(70.5)
|
|
Total Net
Debt
|
$
|
3,005.9
|
|
|
$
|
2,936.9
|
|
|
$
|
2,897.2
|
|
|
|
|
|
|
|
Net Leverage Ratio
(Total Net Debt/Adjusted EBITDA)
|
2.91
|
|
|
3.01
|
|
|
2.98
|
|
|
(a)
Excludes unamortized deferred debt issue costs.
|
|
|
|
|
|
|
|
Six Months
Ended
|
|
|
|
|
|
June
30,
|
In
millions
|
|
|
|
|
2019
|
|
2018
|
Net Cash Provided by
(Used in) Operating Activities
|
|
|
|
|
$
|
59.8
|
|
|
$
|
(300.2)
|
|
Net Cash Receipts
from Receivables Sold included in Investing Activities
|
|
|
152.7
|
|
|
473.1
|
|
Cash Payments
Associated with Business Combinations and Shutdown and Other
Special Charges
|
|
12.0
|
|
|
33.6
|
|
Adjusted Net Cash
Provided by Operating Activities
|
|
|
|
$
|
224.5
|
|
|
$
|
206.5
|
|
Capital
Spending
|
|
|
|
|
(158.3)
|
|
|
(173.4)
|
|
Adjusted Cash
Flow
|
|
|
|
|
$
|
66.2
|
|
|
$
|
33.1
|
|
GRAPHIC PACKAGING
HOLDING COMPANY
Unaudited
Supplemental Data
|
|
|
|
|
|
|
|
|
Three Months
Ended
|
|
|
|
March
31,
|
|
June
30,
|
|
September
30,
|
|
December
31,
|
|
2019
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Tons Sold
(000's)
|
|
|
941.8
|
|
962.1
|
|
—
|
|
—
|
|
2018
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Tons Sold
(000's)
|
|
|
963.7
|
|
961.1
|
|
968.1
|
|
916.8
|
|
|
|
|
|
|
|
|
|
|
View original
content:http://www.prnewswire.com/news-releases/graphic-packaging-holding-company-reports-second-quarter-2019-results-announces-acquisition-of-artistic-carton-company-300889047.html
SOURCE Graphic Packaging Holding Company