This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
TheStreet Open House

Headwaters Incorporated Announces Results For First Quarter Of Fiscal 2013

Stock quotes in this article: HW

Headwaters’ calculations of Adjusted EBITDA and trailing twelve months (TTM) Adjusted EBITDA are reflected in the following tables. All amounts which follow are presented on a continuing operations basis and do not include the results from coal cleaning for any period. Additionally, due to the sale of our interest in the Blue Flint Ethanol facility, Adjusted EBITDA does not include any results from Blue Flint for any period.

Adjusted EBITDA – Consolidated

( in millions)       Quarter Ended
        12/31/2011       12/31/2012
Loss from continuing operations       $ (13.3 )       $ (3.9 )
Blue Flint         6.0           0.0  
Net interest expense         12.4           10.4  
Income taxes         1.1           (0.5 )
Depreciation, amortization, and stock-based compensation        

13.8

         

12.8

 
Restructuring costs         1.4           0.0  
Thames bankruptcy         1.0           0.0  
Gain on early debt repayments         (2.0 )         0.0  
Kleer acquisition costs         0.0           0.9  

Adjusted EBITDA

      $ 20.4         $ 19.7  
           
Adjusted EBITDA by segment                
Light building products       $ 11.3         $ 11.9  
Heavy construction materials         13.3           10.8  
Energy technology         (1.5 )         0.7  
Corporate         (2.7 )         (3.7 )
Adjusted EBITDA       $ 20.4         $ 19.7  
 

Adjusted EBITDA – Light Building Products Segment

( in millions)       Quarter Ended
          12/31/2011         12/31/2012
Operating income       $ 0.8       $ 3.1
Depreciation, amortization, and stock-based compensation        

9.1

       

8.8

Restructuring costs         1.4         0.0
Adjusted EBITDA       $ 11.3       $ 11.9
           

Adjusted EBITDA – Heavy Construction Materials Segment

( in millions)       Quarter Ended
          12/31/2011         12/31/2012
Operating income       $ 8.7       $ 7.6
Depreciation, amortization, and stock-based compensation        

3.6

       

3.2

Thames bankruptcy         1.0         0.0
Adjusted EBITDA       $ 13.3       $ 10.8
           

Adjusted EBITDA – Energy Technology Segment

( in millions)       Quarter Ended
          12/31/2011           12/31/2012
Operating income (loss)       $ (2.0 )       $ 0.1
Other income (expense)         (6.1 )         0.0
Blue Flint         6.0           0.0
Depreciation, amortization, and stock-based compensation        

0.6

         

0.6

Adjusted EBITDA       $ (1.5 )       $ 0.7
           

TTM Adjusted EBITDA – Consolidated

( in millions)       Twelve Months Ended
          9/30/2011           9/30/2012           12/31/2012  
Loss from continuing operations       $ (133.9 )       $ (26.5 )       $ (17.1 )
Blue Flint         (4.7 )         6.3           0.3  
Net interest expense         126.2           52.7           50.7  
Income taxes         (0.2 )         0.7           (0.9 )
Depreciation, amortization, and stock-based compensation        

57.3

         

53.2

         

52.2

 
Litigation settlement / accrual         15.0           0.0           0.0  
Restructuring costs         18.0           2.2           0.8  
Thames bankruptcy         0.0           1.0           0.0  
Gain on early debt repayments         0.0           (2.4 )         (0.4 )
Write-off of R&D joint venture         0.0           3.2           3.2  
Kleer acquisition costs         0.0           0.0           0.9  
TTM Adjusted EBITDA       $ 77.7         $ 90.4         $ 89.7  
                 

TTM Adjusted EBITDA by Segment

Light building products       $ 39.6         $ 63.3         $ 63.9  
Heavy construction materials         46.2           54.8           52.3  
Energy technology         2.5           (3.6 )         (1.4 )
Corporate         (10.6 )         (24.1 )         (25.1 )
TTM Adjusted EBITDA       $ 77.7         $ 90.4         $ 89.7  
                 

Liquidity and Long-term Debt

The components of our long-term debt (net of discounts) as of December 31, 2012, are shown in the following table:

      Amount       Interest      
(in millions)       Outstanding       Rate       Maturity Date
Senior secured notes       $400.0       7.625%       April 2019
Asset based loan facility ($70.0 million limit)      

0.0

      LIBOR plus 2.75%      

October 2014

Convertible senior subordinated notes, 52.0 2.50% February 2014
net of discounts       49.3       8.75%       February 2016
Total       $501.3                
 

We had approximately $78.4 million of cash on hand at December 31, 2012 and total liquidity of approximately $116.3 million, which includes the impact of providing $18.9 million for letters of credit for various purposes.

8 of 10

Select the service that is right for you!

COMPARE ALL SERVICES
Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!
DOW 16,795.49 -247.41 -1.45%
S&P 500 1,945.04 -27.25 -1.38%
NASDAQ 4,416.98 -76.41 -1.70%

Brokerage Partners

Rates from Bankrate.com

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs