[November 05, 2015] |
|
Engility Reports Third Quarter 2015 Results
Engility Holdings, Inc. (NYSE: EGL) today announced financial results
for the third quarter ended September 30, 2015.
Third Quarter 2015 Results
For the third quarter of 2015, the Company reported total revenue of
$570 million. GAAP operating income was $34 million and GAAP operating
margin was 6.0%. GAAP net income attributable to Engility was $4
million, or $0.10 per diluted share. Cash flow from operating activities
was $91 million, which reflects a tax refund of $19 million.
Adjusted operating income was $52 million and adjusted operating margin
was 9.1%. Adjusted net income attributable to Engility was $23 million,
or $0.61 per diluted share. Adjusted EBITDA was $59 million and adjusted
EBITDA margin was 10.3%.
Engility's adjusted results for net income, operating margin and EBITDA
exclude $5 million of acquisition and integration costs, and $2 million
in legal and settlement costs. Adjusted operating margin and adjusted
net income also exclude $11 million of amortization of intangible asset
expenses associated with the TASC and DRC acquisitions. Adjusted net
income also includes a cash tax benefit of $3 million as a result of
Engility's third quarter 2015 $19 million cash tax refund. Information
about the Company's use of non-GAAP financial information is provided
below under "Non-GAAP Measures."
"Third quarter cash flow from operations was strong as we achieved
record low DSOs and realized a tax benefit resulting from our TASC
acquisition," said Tony Smeraglinolo, President and CEO of Engility.
"While our third quarter revenue and profitability results were impacted
by contract award and start delays, we continue to expect to be within
our 2015 full-year guidance ranges given the ramp-up of recent contract
wins and ongoing profit initiatives. We are raising our 2015 cash flow
guidance to reflect the success of our systems and process integration
efforts and the tax refund we received in the third quarter. We remain
encouraged by our future growth prospects given our position in the
market, the significant amount of submitted proposals we have awaiting
adjudication and our business model, which combines our technical
expertise and cost efficiencies."
Key Performance Indicators for the Third Quarter of 2015
-
Book-to-bill ratio was 1.0x on contract awards of $565 million.
-
Book-to-bill ratio was 0.8x on funded orders of $465 million; funded
backlog was $804 million.
-
Days sales outstanding (DSO), net of advanced payments, was 55 days.
-
Decreased outstanding debt by $35 million.
Significant Third Quarter 2015 Awards
-
Awarded a $74 million contract by the U.S. Agency for International
Development (USAID) to implement the Growth, Enterprise, Employment
and Livelihood (GEEL) project in Somalia. GEEL will expand
small-and-medium-sized enterprise access to investment opportunities,
increase the availability of key business services, and support
improved business policy and regulation. This project, which
represents new work for Engility, also will stimulate private
investment in high growth industries such as agriculture, fisheries
and renewable energy, and will boost employment potential for youth
and women in regions previously inaccessible due to security concerns.
-
Awarded a $49 million contract to provide and support advanced
technical communications systems for the U.S. Northern Command
(USNORTHCOM), serving the Department of Defense, civil first
responders, homeland defense operations and disaster relief
activities. Under this follow-on contract win, Engility will provide
full system lifecycle support, including capability design, solutions
development, engineering, systems modifications, technical refresh,
training and repair.
-
Awarded a contract with a potential value of $35 million to provide
technical and administrative support to the Latin America and
Caribbean Regional Office of USAID's Office of Foreign Disaster
Assistance (OFDA). Under this recompete contract, in the event of
emergencies, such as natural disasters, Engility teams will deploy to
disaster sites, perform damage assessments, and provide guidance on
disaster response efforts to host country governments and local
stakeholders. When not responding to a disaster, Engility provides
year-round technical assistance for disaster preparedness and
mitigation activities in the region, overseeing instruction in
disaster management concepts, training methodologies and related
technical disciplines.
-
Awarded a $31 million contract extension to help enhance the
effectiveness of psychological health (PH) and Traumatic Brain Injury
(TBI) programs that provide care to service members, veterans and
their families. This contract was awarded by the U.S. Army Medical
Research Acquisition Activity for the Defense Centers of Excellence
for PH and TBI.
-
Awarded a $14 million contract to provide technical, policy and
program management support for the Army's Product Director Automated
Movement and Identification Solutions (PD AMIS) program. PD AMIS, a
part of the Army's Program Executive Office (PEO) Enterprise
Information Systems (EIS), controls all aspects of Automated
Identification Technology (AIT), which allows the Army to track assets
and manage key elements of logistics, including the procurement,
expertise, training, customer support and the introduction of new
technologies into all logistical operations. All U.S. Army
organizations and several other Department of Defense organizations
procure AIT products and services through PD AMIS.
-
Awarded a prime position on a $900 million indefinite
delivery/indefinite quantity (IDIQ) contract to provide professional
and technical services supporting medical product research and
development (MPRD) for the U.S. Army and other Department of Defense
entities. The MPRD program provides a mechanism for all aspects of
medical product research and development and life cycle support to
sustain our nation's warfighters. This contract, which represents new
work, was awarded by the U.S. Army Medical Research and Material
Command.
Fiscal Year 2015 Guidance
We are updating the fiscal year 2015 financial guidance we issued on
August 6, 2015 based on our financial results for the first nine months
of 2015 and our outlook for the remainder of the year. We are increasing
our fiscal year 2015 operating cash flow guidance and narrowing the
guidance ranges for revenue, GAAP diluted EPS, adjusted diluted EPS and
adjusted EBITDA. The table below summarizes our fiscal year 2015
guidance and includes approximately 10 months of TASC's expected
financial results since the acquisition closed on February 26, 2015.
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Current Outlook for Fiscal Year 2015
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Prior Outlook for Fiscal Year 2015
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Revenue
|
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$2.05 billion - $2.1 billion
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$2.0 billion - $2.2 billion
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GAAP Diluted EPS (1)
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$0.15 - $0.35
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$0.15 - $0.50
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Adjusted Diluted EPS (1)
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$2.05 - $2.35
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$2.05 - $2.50
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Adjusted EBITDA (1)
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$205 million - $215 million
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$205 million - $220 million
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GAAP operating cash flow
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$65 million - $75 million
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$50 million - $60 million
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(1) 2015 GAAP and adjusted diluted EPS guidance assumes
weighted average outstanding shares of approximately 34 million. GAAP
diluted EPS assumes a 2015 full year tax benefit of approximately $12
million to $14 million. Adjusted diluted EPS assumes 2015 net cash tax
payments of approximately $1 million. Our adjusted diluted EPS and
adjusted EBITDA guidance excludes approximately $70 million to $75
million of amortization of acquired intangible assets, and deal and
integration costs associated with the TASC and DRC acquisitions.
Non-GAAP Measures
The tables under "Engility Holdings, Inc. Reconciliation of Non-GAAP
Measures" present Adjusted Operating Income, Adjusted Operating Margin,
Earnings before Interest, Taxes, Depreciation, and Amortization
(EBITDA), Adjusted EBITDA, EBITDA Margin, Adjusted EBITDA Margin,
Adjusted Income before Income Tax, Adjusted Net Income, and Adjusted
Diluted EPS, reconciled to their most directly comparable GAAP measure.
These financial measures are calculated and presented on the basis of
methodologies other than in accordance with U.S. generally accepted
accounting principles ("Non-GAAP Measures"). Engility has provided these
Non-GAAP Measures to adjust for, among other things, the impact of
transaction and integration costs and amortization expenses related to
our acquisitions of TASC and DRC, as well as restructuring and legal and
settlement costs. These items have been adjusted because they are not
considered core to the Company's business or otherwise not considered
operational or because these charges are non-cash or non-recurring. The
Company presents these Non-GAAP Measures because management believes
that they are meaningful to understanding Engility's performance during
the periods presented and the Company's ongoing business. Non-GAAP
Measures are not prepared in accordance with GAAP and therefore are not
necessarily comparable to similarly titled metrics or the financial
results of other companies. These Non-GAAP Measures should be considered
a supplement to, not a substitute for, or superior to, the corresponding
financial measures calculated in accordance with GAAP.
CONFERENCE CALL INFORMATION
Engility will host a conference call at 8 A.M. ET on November 5, 2015,
to discuss the financial results for our third quarter 2015.
Listeners may access a webcast of the live conference call from the
Investor Relations section of the Company's website at http://www.EngilityCorp.com.
Listeners also may access a slide presentation on the website which
summarizes our 2015 third quarter results and our fiscal year 2015
guidance. Listeners should go to the website at least 15 minutes before
the live event to download and install any necessary audio software.
Listeners also may participate in the conference call by dialing (866)
300-6036 (domestic) or (412) 455-6216 (international) and entering pass
code 58341254.
A replay will be available on the Company's website approximately two
hours after the conference call and continuing for one year. A
telephonic replay also will be available through November 12, 2015 at
(855) 859-2056 (domestic) or (404) 537-3406 (international) and entering
pass code 58341254.
ABOUT ENGILITY
Engility is a pure-play government services provider that delivers
highly skilled personnel wherever, whenever they are needed in a
cost-efficient manner. The Company proudly serves customers that span
the federal services market including the Department of Defense, the
Intelligence community, Space and Federal Civilian agencies.
Headquartered in Chantilly, Virginia, Engility is a leading provider of
specialized technical consulting, program and business support services,
engineering and technology lifecycle support, information technology,
modernization and sustainment, supply chain services and logistics
management, and training and education for the U.S. Government. To learn
more about Engility, please visit www.engilitycorp.com.
FORWARD-LOOKING STATEMENTS
This press release contains forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995,
including statements regarding Engility's future prospects, projected
financial results, estimated integration costs and acquisition related
amortization expenses, business plans, as well as the TASC transaction
and its expected benefits and the timing of such benefits. Words such as
"may," "will," "should," "likely," "anticipates," "expects," "intends,"
"plans," "projects," "believes," "estimates" and similar expressions are
also used to identify these forward-looking statements. These statements
are based on the current beliefs and expectations of Engility's
management and are subject to significant risks and
uncertainties. Actual results may differ from those set forth in the
forward-looking statements. Factors that could cause Engility's actual
results to differ materially from those described in the forward-looking
statements can be found under the heading "Risk Factors" included in our
Annual Report on Form 10-K for the year ended December 31, 2014, and
more recent documents that have been filed with the Securities and
Exchange Commission (SEC) and are available on the investor relations
section of Engility's website (http://www.engilitycorp.com)
and on the SEC's website (www.sec.gov).
Forward-looking statements are made only as of the date hereof, and we
undertake no obligation to update or revise the forward-looking
statements, whether as a result of new information, future events or
otherwise, except as required by law. In addition, historical
information should not be considered as an indicator of future
performance.
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ENGILITY HOLDINGS, INC.
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UNAUDITED CONSOLIDATED STATEMENTS OF OPERATIONS
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(in thousands, except per share data)
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|
|
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Three Months Ended
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Nine Months Ended
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|
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September 30, 2015
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|
September 30, 2014
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Change
|
|
September 30, 2015
|
|
September 30, 2014
|
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Change
|
Revenue
|
|
$
|
570,459
|
|
|
$
|
345,061
|
|
|
$
|
225,398
|
|
|
$
|
1,548,601
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|
|
$
|
1,047,575
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|
|
$
|
501,026
|
|
Costs and expenses
|
|
|
|
|
|
|
|
|
|
|
|
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Cost of revenue
|
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486,382
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|
|
293,039
|
|
|
193,343
|
|
|
1,316,482
|
|
|
897,114
|
|
|
419,368
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Selling, general and administrative expenses
|
|
49,578
|
|
|
25,255
|
|
|
24,323
|
|
|
159,493
|
|
|
80,897
|
|
|
78,596
|
|
Total costs and expenses
|
|
535,960
|
|
|
318,294
|
|
|
217,666
|
|
|
1,475,975
|
|
|
978,011
|
|
|
497,964
|
|
Operating income
|
|
34,499
|
|
|
26,767
|
|
|
7,732
|
|
|
72,626
|
|
|
69,564
|
|
|
3,062
|
|
Interest expense, net
|
|
31,261
|
|
|
3,342
|
|
|
27,919
|
|
|
80,589
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|
|
9,538
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|
|
71,051
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|
Other income (expenses), net
|
|
15
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|
(67
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)
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|
82
|
|
|
44
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|
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(20
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)
|
|
64
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|
Income (loss) before income taxes
|
|
3,253
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|
|
23,358
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|
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(20,105
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)
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(7,919
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)
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|
60,006
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|
|
(67,925
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)
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Provision (benefit) for income taxes
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|
(1,661
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)
|
|
9,115
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|
|
(10,776
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)
|
|
(15,662
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)
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|
23,454
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|
|
(39,116
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)
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Net income
|
|
4,914
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|
|
14,243
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|
|
(9,329
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)
|
|
7,743
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|
|
36,552
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(28,809
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)
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Less: Net income attributable to non-controlling interest
|
|
1,264
|
|
|
1,082
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|
|
182
|
|
|
4,364
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|
|
3,615
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|
|
749
|
|
Net income attributable to Engility
|
|
$
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3,650
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|
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$
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13,161
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$
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(9,511
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)
|
|
$
|
3,379
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|
|
$
|
32,937
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|
|
$
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(29,558
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)
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|
|
|
|
|
|
|
|
|
|
|
|
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Earnings per share attributable to Engility
|
|
|
|
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|
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Basic
|
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$
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0.10
|
|
|
$
|
0.77
|
|
|
$
|
(0.67
|
)
|
|
$
|
0.10
|
|
|
$
|
1.93
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|
|
$
|
(1.83
|
)
|
Diluted
|
|
$
|
0.10
|
|
|
$
|
0.73
|
|
|
$
|
(0.63
|
)
|
|
$
|
0.10
|
|
|
$
|
1.83
|
|
|
$
|
(1.73
|
)
|
|
|
|
|
|
|
|
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Weighted average number of shares outstanding
|
|
|
|
|
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Basic
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36,623
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17,151
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32,527
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17,080
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Diluted
|
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37,136
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18,065
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|
|
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33,065
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|
17,994
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ENGILITY HOLDINGS, INC.
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UNAUDITED CONSOLIDATED BALANCE SHEETS
|
(in thousands)
|
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As of
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September 30,
|
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December 31,
|
|
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2015
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|
2014
|
Assets:
|
|
|
|
|
Current assets:
|
|
|
|
|
Cash and cash equivalents
|
|
$
|
75,898
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|
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$
|
7,123
|
|
Receivables, net
|
|
389,410
|
|
|
286,403
|
|
Prepaid and deferred income taxes, current, net
|
|
21,570
|
|
|
296
|
|
Other current assets
|
|
31,664
|
|
|
27,488
|
|
Total current assets
|
|
518,542
|
|
|
321,310
|
|
Property, plant and equipment, net
|
|
40,523
|
|
|
19,839
|
|
Goodwill
|
|
1,382,140
|
|
|
644,554
|
|
Identifiable intangible assets, net
|
|
451,497
|
|
|
123,549
|
|
Deferred tax assets
|
|
171,337
|
|
|
4,793
|
|
Other assets
|
|
24,574
|
|
|
8,591
|
|
Total assets
|
|
$
|
2,588,613
|
|
|
$
|
1,122,636
|
|
Liabilities and Equity:
|
|
|
|
|
Current liabilities:
|
|
|
|
|
Current portion of long-term debt
|
|
$
|
8,447
|
|
|
$
|
13,750
|
|
Accounts payable, trade
|
|
62,691
|
|
|
49,121
|
|
Accrued employment costs
|
|
105,810
|
|
|
47,824
|
|
Accrued expenses
|
|
103,207
|
|
|
71,582
|
|
Advance payments and billings in excess of costs incurred
|
|
43,962
|
|
|
22,300
|
|
Deferred income taxes, current and income tax liabilities
|
|
458
|
|
|
9,810
|
|
Other current liabilities
|
|
39,774
|
|
|
21,098
|
|
Total current liabilities
|
|
364,349
|
|
|
235,485
|
|
Long-term debt
|
|
1,140,571
|
|
|
279,500
|
|
Income tax liabilities
|
|
69,250
|
|
|
79,713
|
|
Other liabilities
|
|
71,878
|
|
|
51,185
|
|
Total liabilities
|
|
1,646,048
|
|
|
645,883
|
|
Equity:
|
|
|
|
|
Preferred stock, par value $0.01 per share, 25,000 shares
authorized, none issued or outstanding as of September 30, 2015 and
December 31, 2014
|
|
-
|
|
|
-
|
|
Common stock, par value $0.01 per share, 175,000 shares authorized,
36,735 and 17,592 shares issued and outstanding as of September 30,
2015 and December 31, 2014, respectively
|
|
368
|
|
|
176
|
|
Additional paid-in capital
|
|
1,231,173
|
|
|
770,764
|
|
Accumulated deficit
|
|
(292,164
|
)
|
|
(295,543
|
)
|
Accumulated other comprehensive income
|
|
(8,457
|
)
|
|
(9,018
|
)
|
Non-controlling interest
|
|
11,645
|
|
|
10,374
|
|
Total equity
|
|
942,565
|
|
|
476,753
|
|
Total liabilities and equity
|
|
$
|
2,588,613
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|
|
$
|
1,122,636
|
|
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ENGILITY HOLDINGS, INC.
|
UNAUDITED CONSOLIDATED STATEMENTS OF CASH FLOWS
|
(in thousands)
|
|
|
|
|
|
Nine Months Ended
|
|
|
September 30,
|
|
September 30,
|
|
|
2015
|
|
2014
|
Operating activities:
|
|
|
|
|
Net income
|
|
$
|
7,743
|
|
|
$
|
36,552
|
|
Share-based compensation
|
|
9,351
|
|
|
7,283
|
|
Depreciation and amortization
|
|
42,918
|
|
|
15,840
|
|
Amortization of bank debt fees
|
|
10,858
|
|
|
1,218
|
|
Deferred income taxes
|
|
12,198
|
|
|
(1,631
|
)
|
Changes in operating assets and liabilities, excluding acquired
amounts:
|
|
|
|
|
Receivables
|
|
46,034
|
|
|
40,555
|
|
Other assets
|
|
19,890
|
|
|
5,807
|
|
Accounts payable, trade
|
|
(22,113
|
)
|
|
(12,049
|
)
|
Accrued employment costs
|
|
(34,369
|
)
|
|
5,349
|
|
Accrued expenses
|
|
(1,762
|
)
|
|
(6,673
|
)
|
Advance payments and billings in excess of costs incurred
|
|
3,658
|
|
|
2,339
|
|
Other liabilities
|
|
(33,870
|
)
|
|
(14,105
|
)
|
Net cash provided by operating activities
|
|
60,536
|
|
|
80,485
|
|
Investing activities:
|
|
|
|
|
Acquisitions, net of cash acquired
|
|
25,478
|
|
|
(207,250
|
)
|
Capital expenditures
|
|
(12,600
|
)
|
|
(2,765
|
)
|
Net cash provided by (used in) investing activities
|
|
12,878
|
|
|
(210,015
|
)
|
Financing activities:
|
|
|
|
|
Gross borrowings from issuance of long-term debt
|
|
585,000
|
|
|
75,000
|
|
Repayment of long-term debt
|
|
(376,553
|
)
|
|
(10,313
|
)
|
Gross borrowings from revolving credit facility
|
|
157,000
|
|
|
383,000
|
|
Repayments of revolving credit facility
|
|
(115,000
|
)
|
|
(323,000
|
)
|
Debt issuance costs
|
|
(42,425
|
)
|
|
(1,131
|
)
|
Equity issuance costs
|
|
(2,590
|
)
|
|
-
|
|
Proceeds from share-based payment arrangements
|
|
279
|
|
|
1,481
|
|
Payment of employee withholding taxes on share-based compensation
|
|
(8,017
|
)
|
|
(2,430
|
)
|
Excess tax deduction on share-based compensation
|
|
5,061
|
|
|
1,642
|
|
Dividends paid
|
|
(204,300
|
)
|
|
-
|
|
Distributions to non-controlling interest member
|
|
(3,094
|
)
|
|
(4,990
|
)
|
Net cash (used in) provided by financing activities
|
|
(4,639
|
)
|
|
119,259
|
|
Net change in cash and cash equivalents
|
|
68,775
|
|
|
(10,271
|
)
|
Cash and cash equivalents, beginning of period
|
|
7,123
|
|
|
29,003
|
|
Cash and cash equivalents, end of period
|
|
$
|
75,898
|
|
|
$
|
18,732
|
|
|
ENGILITY HOLDINGS, INC.
|
RECONCILIATION OF NON-GAAP MEASURES
|
|
The following tables set forth a reconciliation of each of these
Non-GAAP Measures to the most directly comparable GAAP measure for
the periods presented.
|
|
Adjusted Operating Income and Adjusted Operating Margin
|
(dollars in thousands)
|
|
|
|
|
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
|
|
September 30,
|
|
September 30,
|
|
September 30,
|
|
September 30,
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
Operating income
|
|
$
|
34,499
|
|
|
$
|
26,767
|
|
|
$
|
72,626
|
|
|
$
|
69,564
|
|
|
|
|
|
|
|
|
|
|
Adjustments
|
|
|
|
|
|
|
|
|
Acquisition and integration-related expenses excluding amortization
|
|
5,177
|
|
|
2,227
|
|
|
32,770
|
|
|
8,850
|
|
Acquisition-related intangible amortization
|
|
10,796
|
|
|
1,683
|
|
|
25,968
|
|
|
4,488
|
|
Legal and settlement costs
|
|
1,586
|
|
|
-
|
|
|
1,740
|
|
|
230
|
|
|
|
17,559
|
|
|
3,910
|
|
|
60,478
|
|
|
13,568
|
|
|
|
|
|
|
|
|
|
|
Adjusted operating income
|
|
$
|
52,058
|
|
|
$
|
30,677
|
|
|
$
|
133,104
|
|
|
$
|
83,132
|
|
|
|
|
|
|
|
|
|
|
Operating margin
|
|
6.0
|
%
|
|
7.8
|
%
|
|
4.7
|
%
|
|
6.6
|
%
|
Adjusted operating margin
|
|
9.1
|
%
|
|
8.9
|
%
|
|
8.6
|
%
|
|
7.9
|
%
|
|
|
|
|
|
ENGILITY HOLDINGS, INC.
|
Adjusted Earnings Per Share
|
(in thousands, except per share data)
|
|
|
|
|
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
|
|
September 30,
|
|
September 30,
|
|
September 30,
|
|
September 30,
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
GAAP net income attributable to Engility
|
|
$
|
3,650
|
|
|
$
|
13,161
|
|
|
$
|
3,379
|
|
|
$
|
32,937
|
|
Net income attributable to non-controlling interest
|
|
1,264
|
|
|
1,082
|
|
|
4,364
|
|
|
3,615
|
|
|
|
|
|
|
|
|
|
|
GAAP net income
|
|
4,914
|
|
|
14,243
|
|
|
7,743
|
|
|
36,552
|
|
Provision (benefit) for income taxes
|
|
(1,661
|
)
|
|
9,115
|
|
|
(15,662
|
)
|
|
23,454
|
|
Income tax rate
|
|
(51.1
|
)%
|
|
39.0
|
%
|
|
197.8
|
%
|
|
39.1
|
%
|
|
|
|
|
|
|
|
|
|
GAAP income (loss) before taxes
|
|
3,253
|
|
|
23,358
|
|
|
(7,919
|
)
|
|
60,006
|
|
|
|
|
|
|
|
|
|
|
Adjustments
|
|
|
|
|
|
|
|
|
Acquisition and integration-related expenses excluding amortization
|
|
5,177
|
|
|
2,227
|
|
|
32,770
|
|
|
8,850
|
|
Acquisition-related intangible amortization
|
|
10,796
|
|
|
1,683
|
|
|
25,968
|
|
|
4,488
|
|
Legal and settlement costs
|
|
1,586
|
|
|
-
|
|
|
1,740
|
|
|
230
|
|
Bank fees previously capitalized and included in interest expense
|
|
-
|
|
|
-
|
|
|
4,602
|
|
|
-
|
|
Total adjustments
|
|
17,559
|
|
|
3,910
|
|
|
65,080
|
|
|
13,568
|
|
|
|
|
|
|
|
|
|
|
Adjusted income before income tax
|
|
20,812
|
|
|
27,268
|
|
|
57,161
|
|
|
73,574
|
|
Adjusted provision for income taxes
|
|
-
|
|
|
10,641
|
|
|
-
|
|
|
28,687
|
|
Cash paid (received) for income taxes
|
|
(3,173
|
)
|
|
-
|
|
|
1,075
|
|
|
-
|
|
Adjusted income tax rate
|
|
(15.2
|
)%
|
|
39.0
|
%
|
|
1.9
|
%
|
|
39.0
|
%
|
|
|
|
|
|
|
|
|
|
Adjusted net income
|
|
23,985
|
|
|
16,627
|
|
|
56,086
|
|
|
44,887
|
|
Less: Net income attributable to non-controlling interest
|
|
1,264
|
|
|
1,082
|
|
|
4,364
|
|
|
3,615
|
|
|
|
|
|
|
|
|
|
|
Adjusted net income attributable to Engility
|
|
$
|
22,721
|
|
|
$
|
15,545
|
|
|
$
|
51,722
|
|
|
$
|
41,272
|
|
|
|
|
|
|
|
|
|
|
Adjusted diluted earnings per share attributable to Engility
|
|
$
|
0.61
|
|
|
$
|
0.86
|
|
|
$
|
1.56
|
|
|
$
|
2.29
|
|
|
|
|
|
|
|
|
|
|
GAAP diluted earnings per share attributable to Engility
|
|
$
|
0.10
|
|
|
$
|
0.73
|
|
|
$
|
0.10
|
|
|
$
|
1.83
|
|
|
|
|
|
|
|
|
|
|
Diluted weighted average number of shares outstanding - Adjusted
|
|
37,136
|
|
|
18,065
|
|
|
33,065
|
|
|
17,994
|
|
Diluted weighted average number of shares outstanding - GAAP
|
|
37,136
|
|
|
18,065
|
|
|
33,065
|
|
|
17,994
|
|
|
|
|
|
|
ENGILITY HOLDINGS, INC.
|
Earnings before interest, taxes, depreciation, and amortization
(EBITDA) and Adjusted EBITDA
|
(dollars in thousands)
|
|
|
|
|
|
|
|
Three Months Ended
|
|
Nine Months Ended
|
|
|
September 30,
|
|
September 30,
|
|
September 30,
|
|
September 30,
|
|
|
2015
|
|
2014
|
|
2015
|
|
2014
|
Net income
|
|
$
|
4,914
|
|
|
$
|
14,243
|
|
|
$
|
7,743
|
|
|
$
|
36,552
|
|
|
|
|
|
|
|
|
|
|
Interest, taxes, and depreciation and amortization
|
|
|
|
|
|
|
|
|
Interest expense
|
|
31,261
|
|
|
3,342
|
|
|
80,589
|
|
|
9,538
|
|
Provision (benefit) for income taxes
|
|
(1,661
|
)
|
|
9,115
|
|
|
(15,662
|
)
|
|
23,454
|
|
Depreciation and amortization
|
|
17,425
|
|
|
5,843
|
|
|
42,918
|
|
|
15,840
|
|
EBITDA
|
|
51,939
|
|
|
32,543
|
|
|
115,588
|
|
|
85,384
|
|
|
|
|
|
|
|
|
|
|
Adjustments to EBITDA
|
|
|
|
|
|
|
|
|
Acquisition and integration-related expenses excluding amortization
|
|
5,177
|
|
|
2,227
|
|
|
32,770
|
|
|
8,850
|
|
Legal and settlement costs
|
|
1,586
|
|
|
-
|
|
|
1,740
|
|
|
230
|
|
|
|
6,763
|
|
|
2,227
|
|
|
34,510
|
|
|
9,080
|
|
|
|
|
|
|
|
|
|
|
Adjusted EBITDA
|
|
$
|
58,702
|
|
|
$
|
34,770
|
|
|
$
|
150,098
|
|
|
$
|
94,464
|
|
|
|
|
|
|
|
|
|
|
EBITDA margin
|
|
9.1
|
%
|
|
9.4
|
%
|
|
7.5
|
%
|
|
8.2
|
%
|
Adjusted EBITDA margin
|
|
10.3
|
%
|
|
10.1
|
%
|
|
9.7
|
%
|
|
9.0
|
%
|
View source version on businesswire.com: http://www.businesswire.com/news/home/20151105005416/en/
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