Adjusted EBITDA, a non-GAAP measure, of $677.1 million in fiscal 2013 increased 1.3 percent compared to adjusted EBITDA in fiscal 2012 of $668.4 million, including HHI as if acquired by Spectrum Brands at the beginning of each fiscal year. Adjusted EBITDA in fiscal 2013 was $646.8 million, excluding the pre-acquisition earnings of HHI. Excluding the negative impact of foreign currency, adjusted EBITDA in fiscal 2013 increased 4.7 percent. Adjusted EBITDA as a percentage of net sales of 15.8 percent was unchanged from the previous year. For the fourth consecutive year, legacy Spectrum Brands delivered record adjusted EBITDA for fiscal 2013 of $495.5 million, a 2.1 percent increase compared to $485.3 million in fiscal 2012. Excluding the negative impact of foreign exchange of $19.2 million, legacy Spectrum Brands’ adjusted EBITDA for fiscal 2013 increased 6.1 percent versus the prior year. Adjusted EBITDA as a percentage of net sales for legacy Spectrum Brands in fiscal 2013 improved to a record level of 15.4 percent compared to 14.9 percent last year. Adjusted EBITDA is a non-GAAP measurement of profitability which the Company believes is a useful indicator of the operating health of the business and its trends.
Fiscal 2013 Fourth Quarter Consolidated Financial Results
Consolidated net sales of $1.14 billion for the fourth quarter of fiscal 2013 increased 36.6 percent compared to $832.6 million for the same period in fiscal 2012. The increase was predominantly the result of the HHI acquisition and, to a lesser degree, higher revenues in the Home and Garden segment. Including the full prior year’s fourth quarter results for HHI on a pro forma basis, net sales of $1.14 billion in the fourth quarter of fiscal 2013 increased 4.4 percent compared to $1.09 billion in the year-ago quarter.
Excluding HHI, net sales for legacy Spectrum Brands of $843.9 million in the fourth quarter of fiscal 2013 increased 1.4 percent versus $832.6 million in the prior-year quarter as a result of higher revenues in the Home and Garden segment. Excluding a negative foreign exchange impact of $5.7 million, legacy Spectrum Brands’ net sales in the fourth quarter of fiscal 2013 increased 2.0 percent.