LAKE SUCCESS, N.Y.,
Feb. 9, 2021 /PRNewswire/ -- The
Hain Celestial Group, Inc. (Nasdaq: HAIN) ("Hain Celestial", "Hain"
or the "Company"), a leading organic and natural products company
with operations in North America,
Europe, Asia and the Middle
East providing consumers with A Healthier Way of Life™,
today reported financial results for the second quarter ended
December 31, 2020. The results
contained herein are presented with the Hain Pure Protein and Tilda
operating segments being treated as discontinued
operations. All growth comparisons are against the
corresponding prior year period unless otherwise noted.
![The Hain Celestial Group, Inc. (PRNewsfoto/The Hain Celestial Group, Inc.) The Hain Celestial Group, Inc. (PRNewsfoto/The Hain Celestial Group, Inc.)](https://mma.prnewswire.com/media/450862/The_Hain_Celestial_Group_Logo.jpg)
Mark L. Schiller, Hain
Celestial's President and Chief Executive Officer, commented, "We
are very pleased with our second quarter results, delivering
mid-single digit topline growth, several hundred basis points of
gross margin improvement and strong adjusted EBITDA growth.
Although the macro operating environment remains challenging, our
team continues to execute well against our transformational agenda.
As a result, I am confident we will continue to see solid margin
expansion and profit growth as we progress through the second half
of fiscal year 2021."
FINANCIAL HIGHLIGHTS1
Summary of Second Quarter Results from Continuing
Operations2
- Net sales increased 4% to $528.4
million, or 2% on a constant currency basis, compared to the
prior year period.
- When adjusted to exclude the effects of foreign exchange,
divestitures and discontinued brands, net sales increased 6%
compared to the prior year period.
- Gross margin of 24.6%, a 376 basis point increase from the
prior year period.
- Adjusted gross margin of 25.3%, a 331 basis point increase from
the prior year period.
- Operating income of $13.0 million
compared to $9.2 million in the prior
year period.
- Adjusted operating income of $48.1
million compared to $29.5
million in the prior year period.
- Net income of $2.2 million
compared to $1.9 million in the prior
year period.
- Adjusted net income of $34.7
million compared to $17.6
million in the prior year period.
- Adjusted EBITDA of $62.2 million
compared to $45.0 million in the
prior year period.
- Adjusted EBITDA margin of 11.8%, a 288 basis point increase
compared to the prior year period.
- Earnings per diluted share ("EPS") of $0.02, flat compared to the prior year
period.
- Adjusted EPS of $0.34 compared to
$0.17 in the prior year period.
- Repurchased 0.9 million shares, or 0.9% of the outstanding
common stock, at an average price of $32.15 per share.
- Net cash provided by continuing operations of $63.9 million compared to $20.7 million in prior year period.
- Operating free cash flow from continuing operations of
$46.3 million compared to
$4.6 million in prior year
period.
SEGMENT HIGHLIGHTS FROM CONTINUING OPERATIONS
The Company operates under two reportable segments: North America and International.
North
America
North
America net sales in the second quarter were $282.6 million, an increase of 1% compared to the
prior year period. When adjusted for foreign exchange,
divestitures and discontinued brands, net sales increased 6%
from the prior year period.
Segment gross profit in the second quarter was $78.3 million, a 21% increase from the prior
year period. Adjusted gross profit was $80.5
million, an increase of 16% from the prior year period.
Gross margin was 27.7%, a 455 basis point increase from the prior
year period, and adjusted gross margin was 28.5%, a 376 basis point
increase from the prior year period.
Segment operating income in the second quarter was $32.4 million, a 62% increase from the prior year
period. Adjusted operating income was $35.4
million, a 42% increase from the prior year period.
Adjusted EBITDA in the second quarter was $39.6 million, a 31% increase from the prior year
period. As a percentage of sales on a constant currency basis,
North America adjusted EBITDA
margin was 14.0%, a 327 basis point increase from the prior year
period.
International
International net sales in the second
quarter were $245.8 million, an
increase of 9% compared to the prior year period. When adjusted for
foreign exchange, divestitures and discontinued brands, net
sales increased 6% compared to the prior year period.
Segment gross profit in the second quarter was $51.7 million, a 27% increase from the prior
year period. Adjusted gross profit was $53.4
million, an increase of 26% from the prior year period.
Gross margin was 21.0%, a 305 basis point increase from the prior
year period, and adjusted gross margin was 21.7%, a 303 basis point
increase from the prior year period.
Segment operating loss in the second quarter was $2.7 million, compared to operating income
of $12.9 million in the prior year
period. The operating loss for the current period includes an
impairment charge of $23.6 million
related to the reserve recorded against the assets of the Company's
United Kingdom fruit business
resulting from held for sale classification. Adjusted operating
income was $25.1 million, an increase
of 51% from the prior year period.
Adjusted EBITDA in the second quarter was $32.2 million, a 28% increase from the prior year
period. As a percentage of sales on a constant currency basis,
International adjusted EBITDA margin was 13.0%, a 186 basis point
increase from the prior year period.
CAPITAL MANAGEMENT
During the second quarter fiscal year 2021, the Company
repurchased 0.9 million shares, or 0.9% of the outstanding common
stock, at an average price of $32.15
per share for a total of $29.7
million, excluding commissions under our share repurchase
program. As of December 31, 2020, the
Company had remaining authorization of $118.1 million under this program.
SALE OF U.K. BASED FRUIT BUSINESS, ORCHARD HOUSE
®
Effective January 13, 2021, the
Company completed the divestiture of its U.K. fruit business,
including the Orchard House Foods Limited business and associated
brands, to Elaghmore, a U.K. based private equity firm. Details of
the transaction were not disclosed.
FISCAL YEAR 2021 GUIDANCE
Due to the continuing uncertainty around the duration and impact
of the COVID-19 pandemic, the Company is not providing specific
financial guidance for fiscal year 2021. The Company reaffirms its
expectation for gross and adjusted EBITDA margin expansion as well
as strong double-digit adjusted EBITDA and operating free cash flow
growth for fiscal year 2021. However, for the third quarter fiscal
year 2021, in comparison to the prior year period, the Company
expects strong gross margin and EBITDA margin improvement and
adjusted EBITDA growth near 10%.
Webcast Presentation
Hain Celestial will host a
conference call and webcast today at 8:30 AM
Eastern Time to discuss its results and business outlook.
The call will be webcast and the accompanying presentation will be
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, Asia
and the Middle East. Hain
Celestial participates in many natural categories with well-known
brands that include Celestial Seasonings®, Clarks™, Cully &
Sully®, Dream®, Earth's Best®, Ella's Kitchen®, Farmhouse Fare™,
Frank Cooper's®, GG UniqueFiber®,
Gale's®, Garden of Eatin'®, Hain Pure Foods®, Hartley's®, Health
Valley®, Imagine®, Joya®, Lima®, Linda
McCartney's™ (under license), MaraNatha®, Natumi®, New
Covent Garden Soup Co.®, Robertson's®, Sensible Portions®,
Spectrum®, Sun-Pat®, Terra®, The Greek Gods®, William's™, Yorkshire
Provender® and Yves Veggie Cuisine®. The Company's personal care
products are marketed under the Alba Botanica®, Avalon Organics®,
Earth's Best®, JASON®, Live Clean®, One Step® and Queen Helene®
brands.
Safe Harbor Statement
Certain statements contained in
this press release constitute "forward-looking statements" within
the meaning of federal securities laws, including 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 matters. You can also identify
forward-looking statements by discussions of the Company's
strategic initiatives, including productivity and transformation,
the Company's guidance for fiscal year 2021 and our future
performance and results of operations.
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, challenges and uncertainty resulting from
the COVID-19 pandemic, the impact of competitive products and
changes to the competitive environment, changes to consumer
preferences, general economic and financial market conditions, the
United Kingdom's exit from the
European Union, consolidation of customers or the loss of a
significant customer, reliance on independent distributors, risks
associated with our international sales and operations, our ability
to manage our supply chain effectively, volatility in the cost of
commodities, ingredients, freight and fuel, our ability to
implement cost reduction initiatives, the impact of our debt
covenants, the potential discontinuation of LIBOR, our ability to
manage our financial reporting and internal control system
processes, potential liabilities due to legal claims, government
investigations and other regulatory enforcement actions, costs
incurred due to pending and future litigation, potential liability,
including in connection with indemnification obligations to our
former officers and members of our Board of Directors that may not
be covered by insurance, potential liability if our products cause
illness or physical harm, impairments in the carrying value of
goodwill or other intangible assets, our ability to consummate
divestitures, the availability of organic ingredients, disruption
of operations at our manufacturing facilities, loss of one or more
independent co-packers, disruption of our transportation systems,
risks relating to the protection of intellectual property, the risk
of liabilities and claims with respect to environmental matters,
the reputation of our brands, our reliance on independent
certification for a number of our products, and other risks
detailed from time-to-time in the Company's reports filed with the
United States Securities and Exchange Commission, including our
most recent Annual Report on Form 10-K and our subsequent reports
on Forms 10-Q and 8-K. As a result of the foregoing and other
factors, the Company cannot provide any assurance regarding 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 reflect changes in underlying
assumptions or factors or new methods, future events or other
changes.
Non-GAAP Financial Measures
This press release and the
accompanying tables include non-GAAP financial measures, including
adjusted operating income and its related margin, adjusted gross
margin, adjusted net income, adjusted earnings per diluted share,
net sales adjusted for the impact of foreign exchange,
divestitures and discontinued brands, adjusted EBITDA and its
related margin and operating free cash flow. The reconciliations of
these non-GAAP financial measures to the comparable GAAP financial
measures are provided herein in the tables. 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 Operations and Cash Flows presented in
accordance with GAAP.
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 period-to-period
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 provides net sales adjusted for the impact of
foreign currency, divestitures and discontinued brands to
understand the growth rate of net sales excluding the impact of
such items. The Company's management believes net sales adjusted
for such items is useful to investors because it enables them to
better understand the growth of our business from
period-to-period.
The Company defines adjusted EBITDA as net income (loss) before
income taxes, net interest expense, depreciation and amortization,
equity in net loss of equity-method investees, stock-based
compensation, net, impairment of long-lived assets and intangibles,
unrealized currency gains and losses, productivity and
transformation costs, proceeds from an insurance claim, gains or
losses on sales of businesses, warehouse and manufacturing
consolidation and other costs, plant closure related costs, SKU
rationalization and inventory write-downs, litigation and related
expenses and other adjustments. The Company's management believes
that these presentations provide 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 these measures for
reviewing the financial results of the Company as well as a
component of performance-based executive compensation.
The Company defines operating free cash flow as cash provided by
or used in operating activities from continuing operations (a GAAP
measure) less purchases of property, plant and equipment. 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.
_________________________
1 This press release includes certain non-GAAP
financial measures, which are intended to supplement, not
substitute for, comparable GAAP financial measures. Reconciliations
of non-GAAP financial measures to GAAP financial measures and other
non-GAAP financial calculations are provided herein in the
tables.
2 Unless otherwise noted all results included in
this press release are from continuing operations.
THE HAIN CELESTIAL
GROUP, INC.
|
Consolidated
Balance Sheets
|
(unaudited and
in thousands)
|
|
|
|
|
|
|
|
|
|
December 31,
2020
|
|
June 30,
2020
|
ASSETS
|
|
|
|
Current
assets:
|
|
|
|
|
Cash and cash
equivalents
|
$
46,813
|
|
$
37,771
|
|
Accounts receivable,
net
|
185,576
|
|
170,969
|
|
Inventories
|
311,988
|
|
248,170
|
|
Prepaid expenses and
other current assets
|
39,250
|
|
95,690
|
|
Assets held for
sale
|
52,828
|
|
8,334
|
|
Total current
assets
|
636,455
|
|
560,934
|
Property, plant and
equipment, net
|
296,013
|
|
289,256
|
Goodwill
|
|
876,993
|
|
861,958
|
Trademarks and other
intangible assets, net
|
326,272
|
|
346,462
|
Investments and joint
ventures
|
16,926
|
|
17,439
|
Operating lease
right-of-use assets
|
89,971
|
|
88,165
|
Other
assets
|
22,969
|
|
24,238
|
|
Total
assets
|
$
2,265,599
|
|
$
2,188,452
|
LIABILITIES AND
STOCKHOLDERS' EQUITY
|
|
|
|
Current
liabilities:
|
|
|
|
|
Accounts
payable
|
$
216,782
|
|
$
171,009
|
|
Accrued expenses and
other current liabilities
|
118,732
|
|
124,045
|
|
Current portion of
long-term debt
|
899
|
|
1,656
|
|
Liabilities related
to assets held for sale
|
29,292
|
|
3,567
|
|
Total current
liabilities
|
365,705
|
|
300,277
|
Long-term debt, less
current portion
|
293,332
|
|
281,118
|
Deferred income
taxes
|
32,098
|
|
51,849
|
Operating lease
liabilities, noncurrent portion
|
83,268
|
|
82,962
|
Other noncurrent
liabilities
|
36,547
|
|
28,692
|
|
Total
liabilities
|
810,950
|
|
744,898
|
|
Total stockholders'
equity
|
1,454,649
|
|
1,443,554
|
|
Total liabilities and
stockholders' equity
|
$
2,265,599
|
|
$
2,188,452
|
THE HAIN CELESTIAL
GROUP, INC.
|
Consolidated
Statements of Operations
|
(unaudited and
in thousands, except per share amounts)
|
|
|
|
|
|
|
|
|
|
Second
Quarter
|
|
Second Quarter
Year to Date
|
|
2021
|
|
2020
|
|
2021
|
|
2020
|
|
|
|
|
|
|
|
|
Net sales
|
$
528,418
|
|
$
506,784
|
|
$
1,027,045
|
|
$
988,860
|
Cost of
sales
|
398,453
|
|
401,177
|
|
777,916
|
|
785,422
|
Gross
profit
|
129,965
|
|
105,607
|
|
249,129
|
|
203,438
|
Selling, general and
administrative expenses
|
83,620
|
|
79,078
|
|
162,772
|
|
159,758
|
Amortization of
acquired intangible assets
|
2,193
|
|
3,189
|
|
4,626
|
|
6,272
|
Productivity and
transformation costs
|
6,016
|
|
12,260
|
|
7,818
|
|
26,435
|
Proceeds from
insurance claim
|
-
|
|
-
|
|
-
|
|
(2,562)
|
Long-lived asset and
intangibles impairment
|
25,179
|
|
1,889
|
|
57,676
|
|
1,889
|
Operating
income
|
12,957
|
|
9,191
|
|
16,237
|
|
11,646
|
Interest and other
financing expense, net
|
2,337
|
|
4,737
|
|
4,790
|
|
11,031
|
Other (income)
expense, net
|
(1,045)
|
|
1,244
|
|
(2,418)
|
|
2,572
|
Income (loss) from
continuing operations before income taxes and equity in net
loss of equity-method investees
|
11,665
|
|
3,210
|
|
13,865
|
|
(1,957)
|
Provision for income
taxes
|
8,438
|
|
1,020
|
|
21,400
|
|
489
|
Equity in net loss of
equity-method investees
|
1,076
|
|
338
|
|
1,095
|
|
655
|
Net
income (loss) from continuing operations
|
$
2,151
|
|
$
1,852
|
|
$
(8,630)
|
|
$
(3,101)
|
Net
(loss) income from discontinued operations, net of tax
|
(11)
|
|
(2,816)
|
|
11,255
|
|
(104,884)
|
Net income
(loss)
|
$
2,140
|
|
$
(964)
|
|
$
2,625
|
|
$
(107,985)
|
|
|
|
|
|
|
|
|
Net income (loss) per
common share:
|
|
|
|
|
|
|
|
Basic net income
(loss) per common share from continuing operations
|
$
0.02
|
|
$
0.02
|
|
$
(0.09)
|
|
$
(0.03)
|
Basic net income
(loss) per common share from discontinued operations
|
-
|
|
(0.03)
|
|
0.11
|
|
(1.01)
|
Basic
net income (loss) per common share
|
$
0.02
|
|
$
(0.01)
|
|
$
0.02
|
|
$
(1.04)
|
|
|
|
|
|
|
|
|
Diluted net income
(loss) per common share from continuing operations
|
$
0.02
|
|
$
0.02
|
|
$
(0.09)
|
|
$
(0.03)
|
Diluted net income
(loss) per common share from discontinued operations
|
-
|
|
(0.03)
|
|
0.11
|
|
(1.01)
|
Diluted
net income (loss) per common share
|
$
0.02
|
|
$
(0.01)
|
|
$
0.02
|
|
$
(1.04)
|
|
|
|
|
|
|
|
|
Shares used in the
calculation of net income (loss) per common share:
|
|
|
|
|
|
|
|
Basic
|
100,117
|
|
104,318
|
|
100,837
|
|
104,272
|
Diluted
|
100,562
|
|
104,619
|
|
100,837
|
|
104,272
|
THE HAIN CELESTIAL
GROUP, INC.
|
Consolidated
Statements of Cash Flows
|
(unaudited and in
thousands)
|
|
|
|
|
|
|
|
|
|
Second
Quarter
|
|
Second Quarter
Year to Date
|
|
2021
|
|
2020
|
|
2021
|
|
2020
|
CASH FLOWS FROM
OPERATING ACTIVITIES
|
|
|
|
|
|
|
|
Net income
(loss)
|
$
2,140
|
|
$
(964)
|
|
$
2,625
|
|
$
(107,985)
|
Net (loss) income
from discontinued operations
|
(11)
|
|
(2,816)
|
|
11,255
|
|
(104,884)
|
Net income (loss)
from continuing operations
|
2,151
|
|
1,852
|
|
(8,630)
|
|
(3,101)
|
Adjustments to
reconcile net income (loss) from continuing operations to net
cash
provided by operating activities from continuing
operations:
|
|
|
|
|
|
|
|
Depreciation and
amortization
|
11,193
|
|
13,219
|
|
24,954
|
|
27,142
|
Deferred income
taxes
|
1,022
|
|
(751)
|
|
92
|
|
(5,155)
|
Equity in net loss of
equity-method investees
|
1,076
|
|
338
|
|
1,095
|
|
655
|
Stock-based
compensation, net
|
3,823
|
|
3,083
|
|
8,190
|
|
5,820
|
Long-lived asset and
intangibles impairment
|
25,179
|
|
1,889
|
|
57,676
|
|
1,889
|
Other non-cash items,
net
|
(98)
|
|
897
|
|
(1,765)
|
|
2,661
|
(Decrease) increase
in cash attributable to changes in operating assets and
liabilities:
|
|
|
|
|
|
|
|
Accounts
receivable
|
(5,948)
|
|
8,393
|
|
(9,523)
|
|
7,540
|
Inventories
|
(13,550)
|
|
14,896
|
|
(58,512)
|
|
9,389
|
Other current
assets
|
17,849
|
|
(12,328)
|
|
55,718
|
|
1,895
|
Other assets and
liabilities
|
504
|
|
(1,386)
|
|
(1,037)
|
|
(1,242)
|
Accounts payable and
accrued expenses
|
20,660
|
|
(9,373)
|
|
36,272
|
|
(30,345)
|
Net cash provided by
operating activities from continuing operations
|
63,861
|
|
20,729
|
|
104,530
|
|
17,148
|
CASH FLOWS FROM
INVESTING ACTIVITIES
|
|
|
|
|
|
|
|
Purchases of
property, plant and equipment
|
(17,516)
|
|
(16,173)
|
|
(29,671)
|
|
(29,337)
|
Proceeds from sale of
businesses and other
|
-
|
|
13,120
|
|
4,427
|
|
13,120
|
Net cash used in
investing activities from continuing operations
|
(17,516)
|
|
(3,053)
|
|
(25,244)
|
|
(16,217)
|
CASH FLOWS FROM
FINANCING ACTIVITIES
|
|
|
|
|
|
|
|
Borrowings under bank
revolving credit facility
|
95,000
|
|
67,000
|
|
150,000
|
|
147,000
|
Repayments under bank
revolving credit facility
|
(90,000)
|
|
(67,000)
|
|
(137,000)
|
|
(245,500)
|
Repayments under term
loan
|
-
|
|
-
|
|
-
|
|
(206,250)
|
(Repayments) proceeds
from discontinued operations entities
|
-
|
|
(2,266)
|
|
-
|
|
309,929
|
Repayments of other
debt, net
|
(272)
|
|
(510)
|
|
(1,711)
|
|
(501)
|
Share
repurchases
|
(29,684)
|
|
-
|
|
(71,736)
|
|
-
|
Shares withheld for
payment of employee payroll taxes
|
(1,255)
|
|
(672)
|
|
(1,723)
|
|
(984)
|
Net cash (used in)
provided by financing activities from continuing
operations
|
(26,211)
|
|
(3,448)
|
|
(62,170)
|
|
3,694
|
Effect of exchange
rate changes on cash from continuing operations
|
3,234
|
|
2,274
|
|
5,734
|
|
1,382
|
CASH FLOWS FROM
DISCONTINUED OPERATIONS
|
|
|
|
|
|
|
|
Cash provided by
(used in) operating activities
|
-
|
|
2,339
|
|
-
|
|
(5,687)
|
Cash (used in)
provided by investing activities
|
-
|
|
(4,605)
|
|
-
|
|
301,815
|
Cash provided by
(used in) financing activities
|
-
|
|
2,266
|
|
-
|
|
(304,100)
|
Effect of exchange
rate changes on cash from discontinued operations
|
-
|
|
-
|
|
-
|
|
(537)
|
Net cash flows used
in discontinued operations
|
-
|
|
-
|
|
-
|
|
(8,509)
|
Net increase
(decrease) in cash and cash equivalents
|
23,368
|
|
16,502
|
|
22,850
|
|
(2,502)
|
Cash and cash
equivalents at beginning of period
|
37,253
|
|
20,522
|
|
37,771
|
|
39,526
|
Cash and cash
equivalents at end of period
|
$
60,621
|
|
$
37,024
|
|
$
60,621
|
|
$
37,024
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents included in the line item Assets held for sale on the
Consolidated Balance Sheets as shown below, represents amounts
included within held for sale accounting related to the sale of the
Company's U.K. fruit business, the Orchard House Foods Limited
business and associated brands.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cash and cash
equivalents
|
$
46,813
|
|
$
37,024
|
|
$
46,813
|
|
$
37,024
|
Cash and cash
equivalents classified in assets held for sale
|
13,808
|
|
-
|
|
13,808
|
|
-
|
Total cash and cash
equivalents shown in the Consolidated Statements of Cash
Flows
|
$
60,621
|
|
$
37,024
|
|
$
60,621
|
|
$
37,024
|
THE HAIN CELESTIAL
GROUP, INC.
|
Net Sales, Gross
Profit and Operating Income (Loss) by Segment
|
(unaudited and
in thousands)
|
|
|
|
|
|
|
|
|
|
North
America
|
|
International
|
|
Corporate/Other
|
|
Hain
Consolidated
|
Net
Sales
|
|
|
|
|
|
|
|
Net sales - Q2
FY21
|
$
282,612
|
|
$
245,806
|
|
$
-
|
|
$
528,418
|
Net sales - Q2
FY20
|
$
280,693
|
|
$
226,091
|
|
$
-
|
|
$
506,784
|
% change - FY'21 net
sales vs. FY'20 net sales
|
0.7%
|
|
8.7%
|
|
|
|
4.3%
|
|
|
|
|
|
|
|
|
Gross
Profit
|
|
|
|
|
|
|
|
Q2 FY21
|
|
|
|
|
|
|
|
Gross
profit
|
$
78,285
|
|
$
51,680
|
|
$
-
|
|
$
129,965
|
Non-GAAP adjustments
(1)
|
2,233
|
|
1,675
|
|
-
|
|
3,908
|
Adjusted gross
profit
|
$
80,518
|
|
$
53,355
|
|
$
-
|
|
$
133,873
|
Gross
margin
|
27.7%
|
|
21.0%
|
|
|
|
24.6%
|
Adjusted gross
margin
|
28.5%
|
|
21.7%
|
|
|
|
25.3%
|
|
|
|
|
|
|
|
|
Q2 FY20
|
|
|
|
|
|
|
|
Gross
profit
|
$
64,969
|
|
$
40,638
|
|
$
-
|
|
$
105,607
|
Non-GAAP adjustments
(1)
|
4,439
|
|
1,590
|
|
-
|
|
6,029
|
Adjusted gross
profit
|
$
69,408
|
|
$
42,228
|
|
$
-
|
|
$
111,636
|
Gross
margin
|
23.1%
|
|
18.0%
|
|
|
|
20.8%
|
Adjusted gross
margin
|
24.7%
|
|
18.7%
|
|
|
|
22.0%
|
|
|
|
|
|
|
|
|
Operating income
(loss)
|
|
|
|
|
|
|
|
Q2 FY21
|
|
|
|
|
|
|
|
Operating income
(loss)
|
$
32,440
|
|
$
(2,741)
|
|
$
(16,742)
|
|
$
12,957
|
Non-GAAP adjustments
(1)
|
3,003
|
|
27,800
|
|
4,320
|
|
35,123
|
Adjusted operating
income (loss)
|
$
35,443
|
|
$
25,059
|
|
$
(12,422)
|
|
$
48,080
|
Operating income
(loss) margin
|
11.5%
|
|
(1.1)%
|
|
|
|
2.5%
|
Adjusted operating
income margin
|
12.5%
|
|
10.2%
|
|
|
|
9.1%
|
|
|
|
|
|
|
|
|
Q2 FY20
|
|
|
|
|
|
|
|
Operating income
(loss)
|
$
20,062
|
|
$
12,899
|
|
$
(23,770)
|
|
$
9,191
|
Non-GAAP adjustments
(1)
|
4,965
|
|
3,647
|
|
11,729
|
|
20,341
|
Adjusted operating
income (loss)
|
$
25,027
|
|
$
16,546
|
|
$
(12,041)
|
|
$
29,532
|
Operating income
margin
|
7.1%
|
|
5.7%
|
|
|
|
1.8%
|
Adjusted operating
income margin
|
8.9%
|
|
7.3%
|
|
|
|
5.8%
|
|
|
|
|
|
|
|
|
(1)See
accompanying table "Adjusted Gross Profit, Adjusted Operating
Income, Adjusted Net Income and Adjusted EPS"
|
|
|
THE HAIN CELESTIAL
GROUP, INC.
|
Net Sales, Gross
Profit and Operating Income (Loss) by Segment
|
(unaudited and
in thousands)
|
|
|
|
|
|
|
|
|
|
North
America
|
|
International
|
|
Corporate/Other
|
|
Hain
Consolidated
|
Net
Sales
|
|
|
|
|
|
|
|
Net sales - Q2 FY21
YTD
|
$
563,280
|
|
$
463,765
|
|
$
-
|
|
$
1,027,045
|
Net sales - Q2 FY20
YTD
|
$
552,394
|
|
$
436,466
|
|
$
-
|
|
$
988,860
|
% change - FY'21 net
sales vs. FY'20 net sales
|
2.0%
|
|
6.3%
|
|
|
|
3.9%
|
|
|
|
|
|
|
|
|
Gross
Profit
|
|
|
|
|
|
|
|
Q2 FY21
YTD
|
|
|
|
|
|
|
|
Gross
profit
|
$
153,300
|
|
$
95,829
|
|
$
-
|
|
$
249,129
|
Non-GAAP adjustments
(1)
|
3,166
|
|
1,915
|
|
-
|
|
5,081
|
Adjusted gross
profit
|
$
156,466
|
|
$
97,744
|
|
$
-
|
|
$
254,210
|
Gross
margin
|
27.2%
|
|
20.7%
|
|
|
|
24.3%
|
Adjusted gross
margin
|
27.8%
|
|
21.1%
|
|
|
|
24.8%
|
|
|
|
|
|
|
|
|
Q2 FY20
YTD
|
|
|
|
|
|
|
|
Gross
profit
|
$
127,330
|
|
$
76,108
|
|
$
-
|
|
$
203,438
|
Non-GAAP adjustments
(1)
|
6,164
|
|
2,666
|
|
-
|
|
8,830
|
Adjusted gross
profit
|
$
133,494
|
|
$
78,774
|
|
$
-
|
|
$
212,268
|
Gross
margin
|
23.1%
|
|
17.4%
|
|
|
|
20.6%
|
Adjusted gross
margin
|
24.2%
|
|
18.0%
|
|
|
|
21.5%
|
|
|
|
|
|
|
|
|
Operating income
(loss)
|
|
|
|
|
|
|
|
Q2 FY21
YTD
|
|
|
|
|
|
|
|
Operating income
(loss)
|
$
65,696
|
|
$
(18,630)
|
|
$
(30,829)
|
|
$
16,237
|
Non-GAAP adjustments
(1)
|
4,491
|
|
60,994
|
|
5,125
|
|
70,610
|
Adjusted operating
income (loss)
|
$
70,187
|
|
$
42,364
|
|
$
(25,704)
|
|
$
86,847
|
Operating income
(loss) margin
|
11.7%
|
|
(4.0)%
|
|
|
|
1.6%
|
Adjusted operating
income margin
|
12.5%
|
|
9.1%
|
|
|
|
8.5%
|
|
|
|
|
|
|
|
|
Q2 FY20
YTD
|
|
|
|
|
|
|
|
Operating income
(loss)
|
$
35,194
|
|
$
22,006
|
|
$
(45,554)
|
|
$
11,646
|
Non-GAAP adjustments
(1)
|
8,861
|
|
5,991
|
|
19,951
|
|
34,803
|
Adjusted operating
income (loss)
|
$
44,055
|
|
$
27,997
|
|
$
(25,603)
|
|
$
46,449
|
Operating income
margin
|
6.4%
|
|
5.0%
|
|
|
|
1.2%
|
Adjusted operating
income margin
|
8.0%
|
|
6.4%
|
|
|
|
4.7%
|
|
|
|
|
|
|
|
|
(1)See
accompanying table "Adjusted Gross Profit, Adjusted Operating
Income, Adjusted Net Income and Adjusted EPS"
|
|
|
THE HAIN CELESTIAL
GROUP, INC.
|
Adjusted
Gross Profit, Adjusted Operating Income, Adjusted Net Income and
Adjusted EPS
|
(unaudited and
in thousands, except per share amounts)
|
|
|
|
|
|
|
|
|
|
Second
Quarter
|
|
2021
GAAP
|
Adjustments
|
2021
Adjusted
|
|
2020
GAAP
|
Adjustments
|
2020
Adjusted
|
|
|
|
|
|
|
|
|
Net sales
|
$
528,418
|
$
-
|
$
528,418
|
|
$
506,784
|
$
-
|
$
506,784
|
Cost of
sales
|
398,453
|
(3,908)
|
394,545
|
|
401,177
|
(6,029)
|
395,148
|
Gross
profit
|
129,965
|
3,908
|
133,873
|
|
105,607
|
6,029
|
111,636
|
Operating expenses
(a)
|
110,992
|
(25,199)
|
85,793
|
|
84,156
|
(2,052)
|
82,104
|
Productivity and
transformation costs
|
6,016
|
(6,016)
|
-
|
|
12,260
|
(12,260)
|
-
|
Operating
income
|
12,957
|
35,123
|
48,080
|
|
9,191
|
20,341
|
29,532
|
Interest and other
expense (income), net (b)
|
1,292
|
(234)
|
1,058
|
|
5,981
|
(1,298)
|
4,683
|
Provision for income
taxes
|
8,438
|
2,827
|
11,265
|
|
1,020
|
5,889
|
6,909
|
Net
income from continuing operations
|
2,151
|
32,530
|
34,681
|
|
1,852
|
15,750
|
17,602
|
Net
(loss) income from discontinued operations, net of tax
|
(11)
|
11
|
-
|
|
(2,816)
|
2,816
|
-
|
Net income
(loss)
|
2,140
|
32,541
|
34,681
|
|
(964)
|
18,566
|
17,602
|
|
|
|
|
|
|
|
|
Diluted net income
per common share from continuing operations
|
0.02
|
0.32
|
0.34
|
|
0.02
|
0.15
|
0.17
|
Diluted net (loss)
income per common share from discontinued operations
|
-
|
-
|
-
|
|
(0.03)
|
0.03
|
-
|
Diluted
net income (loss) per common share
|
0.02
|
0.32
|
0.34
|
|
(0.01)
|
0.18
|
0.17
|
|
|
|
|
|
|
|
|
Detail of
Adjustments:
|
|
|
|
|
|
|
|
|
|
Q2
FY21
|
|
|
|
Q2
FY20
|
|
Warehouse/manufacturing consolidation and other
costs
|
|
$
3,325
|
|
|
|
$
476
|
|
Plant closure related
costs
|
|
476
|
|
|
|
1,626
|
|
SKU rationalization
and inventory write-down
|
|
107
|
|
|
|
3,927
|
|
Cost of
sales
|
|
3,908
|
|
|
|
6,029
|
|
|
|
|
|
|
|
|
|
Gross
profit
|
|
3,908
|
|
|
|
6,029
|
|
|
|
|
|
|
|
|
|
Long-lived asset
impairment
|
|
25,179
|
|
|
|
-
|
|
Plant closure related
costs
|
|
20
|
|
|
|
-
|
|
Intangibles
impairment
|
|
-
|
|
|
|
1,889
|
|
Warehouse/manufacturing consolidation and other
costs
|
|
-
|
|
|
|
163
|
|
Operating expenses
(a)
|
|
25,199
|
|
|
|
2,052
|
|
|
|
|
|
|
|
|
|
Productivity and
transformation costs
|
|
6,016
|
|
|
|
12,260
|
|
Productivity and
transformation costs
|
|
6,016
|
|
|
|
12,260
|
|
|
|
|
|
|
|
|
|
Operating
income
|
|
35,123
|
|
|
|
20,341
|
|
|
|
|
|
|
|
|
|
Unrealized currency
losses (gains)
|
|
225
|
|
|
|
(485)
|
|
Loss on sale of
businesses
|
|
9
|
|
|
|
1,783
|
|
Interest and other
expense (income), net (b)
|
|
234
|
|
|
|
1,298
|
|
|
|
|
|
|
|
|
|
Income tax related
adjustments
|
|
(2,827)
|
|
|
|
(5,889)
|
|
Provision for income
taxes
|
|
(2,827)
|
|
|
|
(5,889)
|
|
|
|
|
|
|
|
|
|
Net
income from continuing operations
|
|
$
32,530
|
|
|
|
$
15,750
|
|
|
|
|
|
|
|
|
|
(a)Operating expenses include amortization
of acquired intangibles, selling, general and administrative
expenses and long-lived asset and intangibles
impairment.
|
|
(b)Interest and other expense (income),
net includes interest and other financing expenses, net and other
expense, net.
|
|
|
|
|
THE HAIN CELESTIAL
GROUP, INC.
|
Adjusted
Gross Profit, Adjusted Operating Income, Adjusted Net Income and
Adjusted EPS
|
(unaudited and
in thousands, except per share amounts)
|
|
|
|
|
|
|
|
|
|
Second Quarter
Year to Date
|
|
2021
GAAP
|
Adjustments
|
2021
Adjusted
|
|
2020
GAAP
|
Adjustments
|
2020
Adjusted
|
|
|
|
|
|
|
|
|
Net sales
|
$
1,027,045
|
$
-
|
$
1,027,045
|
|
$
988,860
|
$
-
|
$
988,860
|
Cost of
sales
|
777,916
|
(5,081)
|
772,835
|
|
785,422
|
(8,830)
|
776,592
|
Gross
profit
|
249,129
|
5,081
|
254,210
|
|
203,438
|
8,830
|
212,268
|
Operating expenses
(a)
|
225,074
|
(57,711)
|
167,363
|
|
167,919
|
(2,100)
|
165,819
|
Productivity and
transformation costs
|
7,818
|
(7,818)
|
-
|
|
26,435
|
(26,435)
|
-
|
Proceeds from
insurance claims
|
-
|
-
|
-
|
|
(2,562)
|
2,562
|
-
|
Operating
income
|
16,237
|
70,610
|
86,847
|
|
11,646
|
34,803
|
46,449
|
Interest and other
expense (income), net (b)
|
2,372
|
1,588
|
3,960
|
|
13,603
|
(3,957)
|
9,646
|
Provision (benefit)
for income taxes
|
21,400
|
(1,735)
|
19,665
|
|
489
|
9,689
|
10,178
|
Net
(loss) income from continuing operations
|
(8,630)
|
70,757
|
62,127
|
|
(3,101)
|
29,071
|
25,970
|
Net
income (loss) from discontinued operations, net of tax
|
11,255
|
(11,255)
|
-
|
|
(104,884)
|
104,884
|
-
|
Net income
(loss)
|
2,625
|
59,502
|
62,127
|
|
(107,985)
|
133,955
|
25,970
|
|
|
|
|
|
|
|
|
Diluted net (loss)
income per common share from continuing operations
|
(0.09)
|
0.71
|
0.62
|
|
(0.03)
|
0.28
|
0.25
|
Diluted net income
(loss) per common share from discontinued operations
|
0.11
|
(0.11)
|
-
|
|
(1.01)
|
1.01
|
-
|
Diluted
net income (loss) per common share
|
0.02
|
0.60
|
0.62
|
|
(1.04)
|
1.29
|
0.25
|
|
|
|
|
|
|
|
|
Detail of
Adjustments:
|
|
|
|
|
|
|
|
|
|
Q2 FY21
YTD
|
|
|
|
Q2 FY20
YTD
|
|
Warehouse/manufacturing consolidation and other
costs
|
|
$
3,715
|
|
|
|
$
2,355
|
|
Plant closure related
costs
|
|
1,055
|
|
|
|
2,559
|
|
SKU rationalization
and inventory write-down
|
|
311
|
|
|
|
3,916
|
|
Cost of
sales
|
|
5,081
|
|
|
|
8,830
|
|
|
|
|
|
|
|
|
|
Gross
profit
|
|
5,081
|
|
|
|
8,830
|
|
|
|
|
|
|
|
|
|
Long-lived asset
impairment
|
|
57,676
|
|
|
|
-
|
|
Plant closure related
costs
|
|
35
|
|
|
|
-
|
|
Intangibles
impairment
|
|
-
|
|
|
|
1,889
|
|
Warehouse/manufacturing consolidation and other
costs
|
|
-
|
|
|
|
163
|
|
Litigation and
related expenses
|
|
-
|
|
|
|
48
|
|
Operating expenses
(a)
|
|
57,711
|
|
|
|
2,100
|
|
|
|
|
|
|
|
|
|
Productivity and
transformation costs
|
|
7,818
|
|
|
|
26,435
|
|
Productivity and
transformation costs
|
|
7,818
|
|
|
|
26,435
|
|
|
|
|
|
|
|
|
|
Proceeds from
insurance claims
|
|
-
|
|
|
|
(2,562)
|
|
Proceeds from
insurance claims
|
|
-
|
|
|
|
(2,562)
|
|
|
|
|
|
|
|
|
|
Operating
income
|
|
70,610
|
|
|
|
34,803
|
|
|
|
|
|
|
|
|
|
Unrealized currency
(gains) losses
|
|
(977)
|
|
|
|
1,199
|
|
(Gain) loss on sale
of businesses
|
|
(611)
|
|
|
|
1,783
|
|
Deferred financing
cost write-off
|
|
-
|
|
|
|
975
|
|
Interest and other
expense (income), net (b)
|
|
(1,588)
|
|
|
|
3,957
|
|
|
|
|
|
|
|
|
|
Income tax related
adjustments
|
|
1,735
|
|
|
|
(9,689)
|
|
Provision (benefit)
for income taxes
|
|
1,735
|
|
|
|
(9,689)
|
|
|
|
|
|
|
|
|
|
Net
income from continuing operations
|
|
$
70,757
|
|
|
|
$
29,071
|
|
|
|
|
|
|
|
|
|
(a)Operating expenses include amortization
of acquired intangibles, selling, general and administrative
expenses and long-lived asset and intangibles
impairment.
|
|
|
|
|
(b)Interest and other expense (income),
net includes interest and other financing expenses, net and other
expense, net.
|
|
|
|
|
THE HAIN CELESTIAL
GROUP, INC.
|
Adjusted Net Sales
Growth
|
(unaudited and in
thousands)
|
|
|
|
|
|
|
Q2
FY21
|
North
America
|
|
International
|
|
Hain
Consolidated
|
Net
sales
|
$
282,612
|
|
$
245,806
|
|
$
528,418
|
Divestitures
and discontinued brands
|
(406)
|
|
-
|
|
(406)
|
Impact of
foreign currency exchange
|
(465)
|
|
(9,819)
|
|
(10,284)
|
Net sales on a
constant currency basis adjusted for divestitures
and discontinued brands
|
$
281,741
|
|
$
235,987
|
|
$
517,728
|
|
|
|
|
|
|
Q2
FY20
|
|
|
|
|
|
Net
sales
|
$
280,693
|
|
$
226,091
|
|
$
506,784
|
Divestitures
and discontinued brands
|
(13,694)
|
|
(4,048)
|
|
(17,742)
|
Net sales
adjusted for divestitures and discontinued
brands
|
$
266,999
|
|
$
222,043
|
|
$
489,042
|
|
|
|
|
|
|
Net sales
growth
|
0.7%
|
|
8.7%
|
|
4.3%
|
Impact of
foreign currency exchange
|
(0.2)%
|
|
(4.3)%
|
|
(2.0)%
|
Impact of
divestitures and discontinued brands
|
5.0%
|
|
1.9%
|
|
3.6%
|
Net sales
growth on a constant currency basis adjusted for
divestitures and discontinued
brands
|
5.5%
|
|
6.3%
|
|
5.9%
|
|
|
|
|
|
|
Q2 FY21
YTD
|
North
America
|
|
International
|
|
Hain
Consolidated
|
Net
sales
|
$
563,280
|
|
$
463,765
|
|
$
1,027,045
|
Divestitures
and discontinued brands
|
(3,785)
|
|
(908)
|
|
(4,693)
|
Impact of
foreign currency exchange
|
(101)
|
|
(19,705)
|
|
(19,806)
|
Net sales on a
constant currency basis adjusted for divestitures
and discontinued brands
|
$
559,394
|
|
$
443,152
|
|
$
1,002,546
|
|
|
|
|
|
|
Q2 FY20
YTD
|
|
|
|
|
|
Net
sales
|
$
552,394
|
|
$
436,466
|
|
$
988,860
|
Divestitures
and discontinued brands
|
(33,403)
|
|
(5,660)
|
|
(39,063)
|
Net sales
adjusted for divestitures and discontinued
brands
|
$
518,991
|
|
$
430,806
|
|
$
949,797
|
|
|
|
|
|
|
Net sales
growth
|
2.0%
|
|
6.3%
|
|
3.9%
|
Impact of
foreign currency exchange
|
-
|
|
(4.5)%
|
|
(2.0)%
|
Impact of
divestitures and discontinued brands
|
5.8%
|
|
1.1%
|
|
3.7%
|
Net sales
growth on a constant currency basis adjusted for
divestitures and discontinued
brands
|
7.8%
|
|
2.9%
|
|
5.6%
|
THE HAIN CELESTIAL
GROUP, INC.
|
Adjusted
EBITDA
|
(unaudited and
in thousands)
|
|
|
|
|
|
|
|
|
|
Second
Quarter
|
|
Second Quarter
Year to Date
|
|
2021
|
|
2020
|
|
2021
|
|
2020
|
|
|
|
|
|
|
|
|
Net income
(loss)
|
$
2,140
|
|
$
(964)
|
|
$
2,625
|
|
$
(107,985)
|
Net (loss) income
from discontinued operations, net of tax
|
(11)
|
|
(2,816)
|
|
11,255
|
|
(104,884)
|
Net income (loss)
from continuing operations
|
$
2,151
|
|
$
1,852
|
|
$
(8,630)
|
|
$
(3,101)
|
|
|
|
|
|
|
|
|
Provision for income
taxes
|
8,438
|
|
1,020
|
|
21,400
|
|
489
|
Interest expense,
net
|
1,300
|
|
4,000
|
|
3,454
|
|
8,552
|
Depreciation and
amortization
|
11,193
|
|
13,219
|
|
24,954
|
|
27,142
|
Equity in net loss of
equity-method investees
|
1,076
|
|
338
|
|
1,095
|
|
655
|
Stock-based
compensation, net
|
3,823
|
|
3,083
|
|
8,190
|
|
5,820
|
Unrealized currency
losses (gains)
|
225
|
|
(485)
|
|
(977)
|
|
1,199
|
Productivity and
transformation costs
|
5,363
|
|
12,260
|
|
6,513
|
|
26,435
|
Proceeds from
insurance claim
|
-
|
|
-
|
|
-
|
|
(2,562)
|
Long-lived asset and
intangibles impairment
|
25,179
|
|
1,889
|
|
57,676
|
|
1,889
|
Warehouse/manufacturing consolidation and other
costs
|
3,325
|
|
639
|
|
3,715
|
|
2,518
|
SKU rationalization
and inventory write-down
|
107
|
|
3,927
|
|
311
|
|
3,916
|
Loss (gain) on sale
of businesses
|
9
|
|
1,783
|
|
(611)
|
|
1,783
|
Plant closure related
costs
|
2
|
|
1,522
|
|
(4)
|
|
2,354
|
Litigation and
related expenses
|
-
|
|
-
|
|
-
|
|
48
|
Adjusted
EBITDA
|
$
62,191
|
|
$
45,047
|
|
$
117,086
|
|
$
77,137
|
THE HAIN CELESTIAL
GROUP, INC.
|
Adjusted EBITDA by
Segment
|
(unaudited and in
thousands)
|
|
|
|
|
|
|
|
|
|
North
America
|
|
International
|
|
Corporate/
Other
|
|
Hain
Consolidated
|
Q2
FY21
|
|
|
|
|
|
|
|
Operating income
(loss)
|
$
32,440
|
|
$
(2,741)
|
|
$
(16,742)
|
|
$
12,957
|
Depreciation and
amortization
|
4,117
|
|
6,418
|
|
658
|
|
11,193
|
Productivity and
transformation costs
|
751
|
|
2,529
|
|
2,083
|
|
5,363
|
Long-lived asset
impairment
|
-
|
|
23,596
|
|
1,583
|
|
25,179
|
Warehouse/manufacturing consolidation and other
costs
|
1,622
|
|
1,703
|
|
-
|
|
3,325
|
SKU rationalization
and inventory write-down
|
107
|
|
-
|
|
-
|
|
107
|
Plant closure related
costs
|
29
|
|
(27)
|
|
-
|
|
2
|
Loss (gain) on sale
of businesses
|
16
|
|
-
|
|
(7)
|
|
9
|
Other
|
518
|
|
695
|
|
2,843
|
|
4,056
|
Adjusted
EBITDA
|
$
39,600
|
|
$
32,173
|
|
$
(9,582)
|
|
$
62,191
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
North
America
|
|
International
|
|
Corporate/
Other
|
|
Hain
Consolidated
|
Q2
FY20
|
|
|
|
|
|
|
|
Operating income
(loss)
|
$
20,062
|
|
$
12,899
|
|
$
(23,770)
|
|
$
9,191
|
Depreciation and
amortization
|
4,201
|
|
8,339
|
|
679
|
|
13,219
|
Productivity and
transformation costs
|
332
|
|
2,056
|
|
9,872
|
|
12,260
|
Intangibles
impairment
|
-
|
|
-
|
|
1,889
|
|
1,889
|
SKU rationalization
and inventory write-down
|
3,927
|
|
-
|
|
-
|
|
3,927
|
Loss on sale of
businesses
|
1,783
|
|
-
|
|
-
|
|
1,783
|
Warehouse/manufacturing consolidation and other
costs
|
639
|
|
-
|
|
-
|
|
639
|
Plant closure related
costs
|
35
|
|
1,487
|
|
-
|
|
1,522
|
Other
|
(838)
|
|
367
|
|
1,088
|
|
617
|
Adjusted
EBITDA
|
$
30,141
|
|
$
25,148
|
|
$
(10,242)
|
|
$
45,047
|
THE HAIN CELESTIAL
GROUP, INC.
|
Adjusted EBITDA by
Segment
|
(unaudited and in
thousands)
|
|
|
|
|
|
|
|
|
|
North
America
|
|
International
|
|
Corporate/
Other
|
|
Hain
Consolidated
|
Q2 FY21
YTD
|
|
|
|
|
|
|
|
Operating income
(loss)
|
$
65,696
|
|
$
(18,630)
|
|
$
(30,829)
|
|
$
16,237
|
Depreciation and
amortization
|
8,262
|
|
15,281
|
|
1,411
|
|
24,954
|
Productivity and
transformation costs
|
1,305
|
|
2,974
|
|
2,234
|
|
6,513
|
Long-lived asset
impairment
|
(11)
|
|
56,104
|
|
1,583
|
|
57,676
|
Warehouse/manufacturing consolidation and other
costs
|
1,822
|
|
1,893
|
|
-
|
|
3,715
|
SKU rationalization
and inventory write-down
|
311
|
|
-
|
|
-
|
|
311
|
Loss (gain) on sale
of businesses
|
205
|
|
(1,344)
|
|
528
|
|
(611)
|
Plant closure related
costs
|
(28)
|
|
24
|
|
-
|
|
(4)
|
Other
|
1,160
|
|
2,576
|
|
4,559
|
|
8,295
|
Adjusted
EBITDA
|
$
78,722
|
|
$
58,878
|
|
$
(20,514)
|
|
$
117,086
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
North
America
|
|
International
|
|
Corporate/
Other
|
|
Hain
Consolidated
|
Q2 FY20
YTD
|
|
|
|
|
|
|
|
Operating income
(loss)
|
$
35,194
|
|
$
22,006
|
|
$
(45,554)
|
|
$
11,646
|
Depreciation and
amortization
|
8,549
|
|
16,265
|
|
2,328
|
|
27,142
|
Productivity and
transformation costs
|
2,500
|
|
3,328
|
|
20,607
|
|
26,435
|
Proceeds from
insurance claim
|
-
|
|
-
|
|
(2,562)
|
|
(2,562)
|
Intangibles
impairment
|
-
|
|
-
|
|
1,889
|
|
1,889
|
SKU rationalization
and inventory write-down
|
3,737
|
|
179
|
|
-
|
|
3,916
|
Warehouse/manufacturing consolidation and other
costs
|
2,518
|
|
-
|
|
-
|
|
2,518
|
Loss on sale of
businesses
|
1,783
|
|
-
|
|
-
|
|
1,783
|
Plant closure related
costs
|
72
|
|
2,282
|
|
-
|
|
2,354
|
Litigation and
related expenses
|
-
|
|
-
|
|
48
|
|
48
|
Other
|
(173)
|
|
799
|
|
1,342
|
|
1,968
|
Adjusted
EBITDA
|
$
54,180
|
|
$
44,859
|
|
$
(21,902)
|
|
$
77,137
|
THE HAIN CELESTIAL
GROUP, INC.
|
Adjusted EBITDA
Margin at Constant Currency by Segment
|
(unaudited and in
thousands)
|
|
|
|
|
|
|
|
|
Q2
FY21
|
North
America
|
|
International
|
|
Corporate/
Other
|
|
Hain
Consolidated
|
Adjusted
EBITDA
|
$
39,600
|
|
$
32,173
|
|
$
(9,582)
|
|
$
62,191
|
Impact of
foreign currency exchange
|
(72)
|
|
(1,528)
|
|
-
|
|
(1,600)
|
Adjusted EBITDA
on a constant currency basis
|
$
39,528
|
|
$
30,645
|
|
$
(9,582)
|
|
$
60,591
|
|
|
|
|
|
|
|
|
Net sales on a
constant currency basis
|
$
282,147
|
|
$
235,987
|
|
|
|
$
518,134
|
Adjusted EBITDA
margin on a constant currency basis
|
14.0%
|
|
13.0%
|
|
|
|
11.7%
|
|
|
|
|
|
|
|
|
Q2 FY21
YTD
|
North
America
|
|
International
|
|
Corporate/
Other
|
|
Hain
Consolidated
|
Adjusted
EBITDA
|
$
78,722
|
|
$
58,878
|
|
$
(20,514)
|
|
$
117,086
|
Impact of
foreign currency exchange
|
(11)
|
|
(2,810)
|
|
-
|
|
(2,821)
|
Adjusted EBITDA
on a constant currency basis
|
$
78,711
|
|
$
56,068
|
|
$
(20,514)
|
|
$
114,265
|
|
|
|
|
|
|
|
|
Net sales on a
constant currency basis
|
$
563,179
|
|
$
444,060
|
|
|
|
$
1,007,239
|
Adjusted EBITDA
growth on a constant currency basis
|
14.0%
|
|
12.6%
|
|
|
|
11.3%
|
THE HAIN CELESTIAL
GROUP, INC.
|
Operating
Free Cash Flow
|
(unaudited and in
thousands)
|
|
|
|
|
|
|
|
|
|
Second
Quarter
|
|
Second Quarter
Year to Date
|
|
2021
|
|
2020
|
|
2021
|
|
2020
|
|
|
|
|
|
|
|
|
Net cash provided by
operating activities from continuing operations
|
$
63,861
|
|
$
20,729
|
|
$
104,530
|
|
$
17,148
|
Purchases of
property, plant and equipment
|
(17,516)
|
|
(16,173)
|
|
(29,671)
|
|
(29,337)
|
Operating free cash
flow from continuing operations (1)
|
$
46,345
|
|
$
4,556
|
|
$
74,859
|
|
$
(12,189)
|
|
|
|
|
|
|
|
|
(1)The
increase in operating free cash flow resulted primarily from an
improvement in net income adjusted for non-cash charges in the
current period and greater cash generation from our working capital
accounts.
|
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SOURCE The Hain Celestial Group, Inc.