ARC Group Worldwide, Inc. (NASDAQ Capital Market: ARCW; “ARC”) reported today Adjusted Earnings Per Share (“Adjusted EPS”) of $0.23 for the quarter ending September 30, 2012. The first quarter results were driven largely by combined sales and revenue resulting from the reverse acquisition of ARC by Quadrant Metals Technologies (“QMT”), as well as the acquisition of Advanced Forming Technology, Inc. and AFT-Hungary Kft, (both referred to herein as “AFT”). Adjusted Earnings was $1.2 million and Adjusted Earnings before interest, taxes, depreciation and amortization (“Adjusted EBITDA”) was $1.9 million.
Adjusted EPS, Adjusted Earnings and Adjusted EBITDA are non-GAAP financial measures. These measures represent results of operations of the company net of any of the nonrecurring expenses related to the reverse acquisition transaction between ARC and QMT as well as the acquisition of AFT. Non-GAAP financial measures are not in accordance with, or an alternative for, generally accepted accounting principles in the United States. The Company's non-GAAP financial measures are not meant to be considered in isolation or as a substitute for comparable GAAP financial measures, and should be read only in conjunction with the Company's consolidated financial statements prepared in accordance with GAAP. The reconciliation to GAAP is as follows (in thousands except share and per share amounts):
GAAP to Non-GAAP Reconciliation
|Earnings reported for the Quarter ended September 30, 2012||$||(89||)||$||1,057|
|Attributable to ARC Group Worldwide, Inc. (GAAP)|
|Gain on Bargain purchase||(381||)||-|
|Depreciation and Amortization||572||193|
|Weighted Average of Common Shares Outstanding||5,149,700||4,029,700|
|Adjusted Earnings Per Share||$||0.23||$||0.26|
The Company reported a net loss of $89 thousand for the first quarter ending September 30, 2012, a decrease from the first quarter 2011 net income of $1.1 million, driven by nonrecurring expenses resulting from the reverse acquisition and acquisition transactions.