This Day On The Street
Continue to site right-arrow
ADVERTISEMENT
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
$1 buys you full access to ALL of TheStreet's Subscription Services! Learn More

Orbital Announces Second Quarter 2014 Financial Results

Stocks in this article: ORB

Orbital Sciences Corporation (NYSE:ORB) today reported its financial results for the second quarter of 2014. Second quarter 2014 revenues were $318.1 million, compared to $333.1 million in the second quarter of 2013. Second quarter 2014 operating income was $15.3 million. Adjusted operating income* in the second quarter of 2014 was $21.9 million, or 6.9% of revenues, compared to $26.3 million, or 7.9% of revenues, in the second quarter of 2013.

Net income in the second quarter of 2014 was $16.5 million. Adjusted net income* in the second quarter of 2014 was $20.7 million, or $0.34 adjusted diluted earnings per share*, compared to net income of $16.3 million, or $0.27 diluted earnings per share, in the second quarter of 2013. Orbital’s free cash flow* in the second quarter and first half of 2014 was $16.7 million and $103.7 million, respectively, compared to positive $6.9 million and negative $27.3 million in the second quarter and first half of 2013.

“While revenues were down due to the delayed start of several satellite contracts, the quarter’s adjusted earnings per share and year-to-date free cash flow were well ahead of last year’s results,” said Mr. David W. Thompson, Orbital’s Chairman and Chief Executive Officer. “In addition to carrying out a series of important space missions and booking $550 million of new business, the company’s big news in the second quarter was the announcement of a proposed merger-of-equals combination of Orbital and ATK’s Aerospace and Defense Groups. Transition planning and related activities for the merger are on track for an anticipated closing in the fourth quarter,” he added.

________

* “Adjusted operating income,” “adjusted net income” and “adjusted diluted earnings per share” exclude professional fees and other costs incurred in 2014 pertaining to the planned merger of Orbital and the Aerospace and Defense Groups of Alliant Techsystems Inc. (“ATK”) pursuant to an April 28, 2014 definitive transaction agreement. These financial measures, together with “free cash flow,” are non-GAAP financial measures. For additional details concerning these measures, please refer to the sections of this press release entitled “Cash Flow” and “Disclosure of Non-GAAP Financial Measures.”

 

Financial Highlights

 
 

Second Quarter

 

First Six Months

($ in millions, except per share data) 2014   2013   2014   2013
Revenues $318 .1   $ 333 .1 $ 641 .4   $ 667 .9
Operating Income 15 .3 26 .3 38 .2 57 .4
Adjusted Operating Income 21 .9 (1) n/a 44 .8 (1) n/a
Net Income 16 .5 16 .3 30 .3 35 .9
Adjusted Net Income 20 .7 (1) n/a 34 .5 (1) n/a
Diluted Earnings Per Share $ 0 .27 $ 0 .27 $ 0 .50 $ 0 .59
Adjusted Diluted Earnings Per Share $ 0 .34 (1)

n/a

$ 0 .57 (1) n/a
 
(1) Adjusted to exclude $6.6 million ($4.2 million after tax) of merger transaction costs.
 

Revenues decreased $15.0 million, or 5%, in the second quarter of 2014 compared to the second quarter of 2013. Revenues declined $8.2 million in the launch vehicles segment, $6.6 million in the satellites and space systems segment and $6.4 million in the advanced space programs segment. Intersegment revenue eliminations decreased $6.2 million.

1 of 11

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!

Markets

DOW 17,827.75 +12.81 0.07%
S&P 500 2,072.83 +5.80 0.28%
NASDAQ 4,787.3170 +29.0650 0.61%

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