"As we approach the $1 billion level in consolidated annual sales, these strategic initiatives are very important to achieving our next tier of long-term growth and we are confident in our ability to achieve these objectives. We anticipate that the projects will continue to have implementation costs associated with them and we will identify these unusual costs as they are incurred."
Mr. Bartolacci further stated: "In November 2012, we provided guidance that adjusted (non-GAAP) earnings per share were projected to be in the range of $2.45 to $2.55 for fiscal 2013. Based on our year-to-date fiscal 2013 operating results and our current forecasts, we are maintaining our projections at this time."
The Board of Directors of Matthews International Corporation also declared at its regularly scheduled meeting today a dividend of $0.10 per share on the Company's common stock for the quarter ended March 31, 2013. The dividend is payable May 13, 2013 to stockholders of record April 29, 2013.
Matthews International Corporation, headquartered in Pittsburgh, Pennsylvania, is a designer, manufacturer and marketer principally of memorialization products and brand solutions. Memorialization products consist primarily of bronze and granite memorials and other memorialization products, caskets and cremation equipment for the cemetery and funeral home industries. Brand solutions include graphics imaging products and services, marking and fulfillment systems, and merchandising solutions. The Company's products and services include cast bronze and granite memorials and other memorialization products; caskets; cast and etched architectural products; cremation equipment and cremation-related products; mausoleums; brand management; printing plates and cylinders, pre-press services and imaging services for the primary packaging and corrugated industries; marking and coding equipment and consumables, industrial automation products and order fulfillment systems for identifying, tracking, picking and conveying consumer and industrial products; and merchandising display systems and marketing and design services.Any forward-looking statements contained in this release are included pursuant to the "safe harbor" provisions of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements involve known and unknown risks and uncertainties that may cause the Company's actual results in future periods to be materially different from management's expectations. Although the Company believes that the expectations reflected in such forward-looking statements are reasonable, no assurance can be given that such expectations will prove correct. Factors that could cause the Company's results to differ materially from the results discussed in such forward-looking statements principally include changes in economic conditions, competitive environment, death rate, foreign currency exchange rates, and technological factors beyond the Company's control.
|MATTHEWS INTERNATIONAL CORPORATION AND SUBSIDIARIES CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited) (In Thousands, except Share Data)|
|Three Months Ended March 31,||Six Months Ended March 31,|
|Sales||$ 256,390||$ 225,545||$ 481,999||$ 442,758|
|Cost of sales||(161,524)||(140,838)||(307,159)||(280,056)|
|Selling and administrative expenses||(69,796)||(59,420)||(133,271)||(118,490)|
|Operating profit||$ 25,070||$ 25,287||$ 41,569||$ 44,212|
|Other income (deductions), net||(3,511)||(2,122)||(7,630)||(3,593)|
|Income before income taxes||$ 21,559||$ 23,165||$ 33,939||$ 40,619|
|Income taxes||$ (7,504)||$ (7,973)||$ (11,881)||$ (14,007)|
|Net Income||$ 14,055||$ 15,192||$ 22,058||$ 26,612|
|Non-Controlling Interests||$ 137||$ 66||$ 389||$ (69)|
|Net Income attributable to Matthews||$ 14,192||$ 15,258||$ 22,447||$ 26,543|
|Earnings per Share – Diluted||$ 0.51||$ 0.54||$ 0.81||$ 0.93|
|RECONCILIATION OF NON-GAAP FINANCIAL INFORMATION (Unaudited)|
|Three Months Ended March 31,||Six Months Ended March 31,||Projected Fiscal 2013|
|Earnings per share, as reported||$ 0.51||$ 0.54||$ 0.81||$ 0.93||$2.08 - $2.18|
|Pension and postretirement expense adjustment (1)||0.05||0.05||0.09||0.10||0.18|
|Strategic initiatives and other charges||0.06||0.01||0.09||0.03||0.14 - 0.16|
|Intangible asset impairment||0.04||--||0.04||--||0.04|
|ERP implementation costs||0.01||0.01||0.03||0.02||0.03|
|Earnings per share, as adjusted||$ 0.61||$ 0.61||$ 1.03||$ 1.08||$2.45 - $2.55|
|Note: All per-share amounts are net of tax.|
|(1) The non-GAAP adjustment to pension and postretirement expense represents the add-back of the non-service related components of these costs. Non-service related components include interest cost, expected return on plan assets and amortization of actuarial gains and losses. The service cost and prior service cost components of pension and postretirement expense are considered to be a better reflection of the ongoing service-related costs of providing these benefits. The other components of GAAP pension and postretirement expense are primarily influenced by general market conditions impacting investment returns and interest (discount) rates. Please note that GAAP pension and postretirement expense or the adjustment above are not necessarily indicative of the current or future cash flow requirements related to these employee benefit plans.|
CONTACT: Steven F. Nicola Chief Financial Officer, Secretary & Treasurer 412-442-8262