MILTON, Ga., June 4, 2009 (GLOBE NEWSWIRE) -- Exide Technologies (Nasdaq:XIDE) (www.exide.com), a global leader in stored electrical energy solutions, announced today its fiscal 2009 fourth quarter and full year financial results, for the periods ended March 31, 2009.
Highlights of Fiscal 2009 Fourth Quarter and Full Year Results:
* Net sales for the fiscal 2009 fourth quarter of $654.3 million
compared to $1.03 billion in the prior year quarter on 20% lower
volumes; fiscal year 2009 net sales decreased 10% from fiscal
year 2008 on 6% lower volumes;
* Gross margin for the fiscal 2009 fourth quarter was 18.4%
compared to 17.3% in the prior year period; fiscal year 2009
gross margin was 18.5% increasing 250 basis points over the prior
fiscal year;
* Adjusted net income for fiscal year 2009 was $47.3 million or
$0.63 per diluted share as compared to adjusted net income of
$28.7 million or $0.41 per diluted share in fiscal year 2008;
* Net cash provided by operating activities for fiscal year 2009
was $120.5 million compared to $1.1 million for the prior fiscal
year; fiscal 2009 includes the impact of pre-funding fiscal 2010
pension contribution of approximately $25 million and the
reduction in factored accounts receivable of $94 million;
* Capital spending in fiscal 2009 of approximately $109 million,
nearly double the level in recent years; and
* Net debt at March 31, 2009 reduced by $37 million to $589 million
from March 31, 2008.
Fourth Quarter Consolidated Results
Fiscal 2009 fourth quarter consolidated net sales were $654.3 million as compared to net sales of $1.03 billion in the fiscal 2008 fourth quarter. Net sales in the fiscal 2009 period were negatively impacted by foreign currency translation ($62 million), price reductions due to a 60% decline in average lead prices quarter over quarter ($102 million) and overall lower unit volumes ($212 million). The lower volume equates to an approximate 20% reduction in unit sales and is driven by lower original equipment builds in Transportation and Industrial Energy, lower capital spending in the Network channels and softer aftermarket volumes.
Consolidated net loss for the fiscal 2009 fourth quarter was $64.4 million or ($0.85) per share compared to net income for the fiscal 2008 fourth quarter of $63.3 million or $0.80 per diluted share. The results for these comparable periods were impacted by the following items:
* The fiscal 2009 fourth quarter results include restructuring
charges of $41.8 million, net of tax, or ($0.55) per share ($43.6
million pre-tax as the majority was recorded in legal entities
which have full tax valuations). These charges are principally
the result of an accelerated reduction-in-force program in Europe
including the planned closure of our Auxerre, France
transportation manufacturing facility. This amount compares with
net of tax restructuring charges in the fourth quarter of the
prior year in the amount of $3.5 million or ($0.04) per share
($4.2 million pre-tax).
* The results of the fiscal 2009 fourth quarter include currency
remeasurement losses, net of tax, in the amount of $5.9 million
or ($0.08) per share ($8.5 million pre-tax), while the results of
the fiscal 2008 fourth quarter include currency remeasurement
income of $14.8 million, net of tax, or $0.18 per share ($22.6
million pre-tax).
* The fiscal 2009 fourth quarter includes an unrealized gain from
revaluation of warrants liability in the amount of $0.5 million
or $0.01 per share while the fiscal 2008 fourth quarter contains
an unrealized loss from revaluation of warrants liability of $4.2
million or ($0.05) per share. Unrealized gains and losses from
revaluation of warrants liability are not subject to income
taxes.
* The fiscal 2009 fourth quarter includes reorganization items, net
of tax, in the amount of $0.6 million or ($0.01) per share ($0.9
million pre-tax) compared to the fiscal 2008 period of $0.9
million or ($0.01) per share ($1.4 million pre-tax).
* The fiscal 2009 fourth quarter tax provision was negatively
impacted by $14.4 million or ($0.19) per share due to valuation
allowance increases. This compares with a $34.6 million or $0.43
per share credit to the tax provision in the fiscal 2008 fourth
quarter resulting principally from the reversal of a valuation
allowance relating to deferred taxes in the United States.
Excluding the impact of the above described, non-operational items, adjusted net loss for the fiscal 2009 fourth quarter was $2.2 million or ($0.03) per share. This compares with adjusted net income for the comparable prior year period of $22.5 million or $0.28 per share. A reconciliation of net income or loss and net income or loss per share to adjusted net income or loss and adjusted net income or loss per share is provided as an attachment to this release.
Consolidated Adjusted EBITDA for the fiscal 2009 fourth quarter was $40.4 million as compared with Adjusted EBITDA of $80.1 million in the prior fiscal year fourth quarter. Although gross profit declined by $58.1 million in comparison to the prior fiscal year fourth quarter on lower volume, as a percent of net sales, margins increased to 18.4% in the fiscal 2009 fourth quarter, compared to 17.3% in the prior year period, a 110 basis point margin improvement. Gordon A. Ulsh, President and Chief Executive Officer, said, "We continued to drive improved gross margins in light of volume softness during the quarter by executing on our cost reduction, efficiency improvement and restructuring initiatives. These initiatives while providing benefit in this challenging quarter also lay the groundwork for stronger margins when market conditions improve."
Selling, general and administrative expenses for the fiscal 2009 fourth quarter decreased approximately 15% to $107.0 million versus the comparable prior year period of $126.6 million. Approximately $12.3 million of the decrease resulted from foreign currency translation. As previously announced, restructuring charges for the 2009 fiscal fourth quarter amounted to $43.6 million as we continue to right-size our global cost structure.
Net interest expense decreased approximately 19% or $4.1 million to $17.1 million in the fiscal 2009 fourth quarter as compared to $21.2 million in the fiscal 2008 fourth quarter; a result of lower average net debt and the favorable impact of lower interest rates. At March 31, 2009, net debt decreased 6% to $588.7 million from $625.6 million at March 31, 2008. Factoring of European accounts receivable was reduced to $0.6 million at March 31, 2009 from $94.3 million at March 31, 2008.
Fiscal 2009 Full Year Consolidated Results
The Company reported a net loss for the 2009 fiscal year of $69.5 million or ($0.92) per share as compared to net income of $32.1 million or $0.46 per diluted share in the prior year period. Adjusted net income for fiscal 2009 was $47.3 million or $0.63 per share. This compares to an adjusted net income of $28.7 million or $0.41 per share for fiscal 2008. Refer to the attached reconciliation of net income or loss under Generally Accepted Accounting Principles to adjusted net income.
Net sales for fiscal 2009 totaled $3.3 billion as compared with $3.7 billion for the prior fiscal year. Net sales for fiscal 2009 were negatively impacted by pricing reductions resulting from lead escalator arrangements of approximately $142 million, the result of a 42% decline in the average cost of lead in the current fiscal year when compared to the 2008 fiscal year. Additionally, net sales for fiscal 2009 were lower due to declining volumes of approximately 6% or $230 million as compared to fiscal 2008. Fiscal 2009 gross profit as a percent of net sales improved 250 basis points to 18.5% from 16.0% in the prior fiscal year. Adjusted EBITDA for fiscal 2009 increased 3.5% to $252.7 million versus $244.1 million in the comparable prior fiscal year. The increase in Adjusted EBITDA is the result of continued improvements in operational efficiencies and the retention of non-lead related pricing which have outweighed the impact of lower unit sales in most channels served by our businesses. Restructuring charges for fiscal 2009 totaled $63.3 million compared to $10.5 million in fiscal 2008. Mr. Ulsh stated, "The decisions taken to continue to adjust our cost base are certainly difficult ones, but are necessary to position the Company for continued improvements in earnings as the macro-economic environment improves. We expect the announced restructuring initiatives to produce annualized savings of approximately $70 million."
As of March 31, 2009, the Company had cash and cash equivalents of $69.5 million and $130.6 million availability under its bank revolving loan facility. This compares to cash and cash equivalents of $90.5 million and $136.4 million availability under the revolving loan facility at March 31, 2008. Free cash flow, which includes the negative impact of reducing by $94 million, the amount of European receivables factored was $19.4 million for fiscal 2009 as compared to a free cash flow burn of ($48.7) million for fiscal 2008. This increase is due to the increase in Adjusted EBITDA and improved working capital resulting from lower lead prices, partially offset by planned increases in restructuring and capital expenditures. Additionally, the Company pre-funded its fiscal 2010 pension contribution by approximately $25 million.
Segment Information for the Three and Twelve Months Ended March 31
Transportation Segments
Net sales of the Company's combined Transportation segments in the fiscal 2009 fourth quarter were $418.1 million as compared to $636.2 million in the same period of fiscal 2008. Approximately $113 million of the decline in net sales is the result of lower unit volumes by both Transportation segments for OE production and aftermarket sales, as well as lower third party lead sales. A stronger dollar against most foreign currencies resulted in unfavorable currency translation of approximately $29.4 million. Price reductions resulting from lead escalator arrangements negatively impacted net sales by $75.8 million in the fiscal 2009 fourth quarter as compared to the fiscal 2008 period. Net sales for fiscal 2009 were $2.0 billion as compared to $2.3 billion for fiscal 2008.
Adjusted EBITDA for the combined Transportation segments was $18.6 million in the fiscal 2009 fourth quarter versus $55.3 million in the comparable fiscal 2008 period. Adjusted EBITDA for the Transportation segments declined in the current fiscal quarter from the prior year period primarily due to lower sales volumes and lower profits from its recycling operations; the result of dramatically lower lead prices. Adjusted EBITDA for fiscal 2009 was $139.3 million versus $181.6 million for fiscal 2008.
Industrial Energy Segments
Fiscal 2009 fourth quarter total net sales for the Company's combined Industrial Energy segments were $236.2 million as compared to $394.1 million in the comparable fiscal 2008 period. This decrease was primarily due to a 25% decline in unit volumes for both motive power and network power products in the fiscal 2009 fourth quarter as compared to the prior year period. Net sales were negatively impacted by unfavorable foreign currency translation of $32.4 million and lead related price reductions due to lead escalator arrangements of approximately $26.1 million over the prior year period. Net sales for fiscal 2009 were $1.3 billion compared to $1.4 billion for fiscal 2008.
Total Adjusted EBITDA for the Industrial Energy segments in the fiscal 2009 fourth quarter totaled $30.8 million versus $37.5 million in the fiscal 2008 fourth quarter. This decrease is primarily due to lower sales volumes for motive power and network power products, partially offset by overall effective pricing actions and increased sales volumes in military markets. Adjusted EBITDA for fiscal 2009 was $144.4 million versus $100.9 million in the prior year period.
Non-GAAP Financial Measures
The Company uses Adjusted EBITDA as a key measure of its operational financial performance. This measure is the key indicator of the Company's operational performance and excludes the nonrecurring impact of the Company's current restructuring actions. Adjusted EBITDA is defined as earnings before interest, taxes, depreciation, amortization and restructuring charges. Our Adjusted EBITDA definition also adjusts reported earnings for the effect of non-cash currency remeasurement gains or losses, the non-cash gain or loss from revaluation of the Company's warrants liability, impairment charges and non-cash gains or losses on asset sales as well as a specific exclusion for the loss on early extinguishment of debt recorded in the fiscal 2008 first quarter. Please refer to the reconciliations of net loss to EBIT and Adjusted EBITDA below.
The Company calculates Adjusted Earnings Per Share by excluding from net income (loss) per diluted share certain items, such as non-cash tax valuation allowances, reorganization items related to the Company's prior bankruptcy proceedings and the non-cash gain or loss from revaluation of the Company's warrants liability. The Company also excludes the impact of restructuring charges incurred to improve its relative cost position when compared with the competition. Further, non-cash currency remeasurement gains and losses have been excluded as these are the result of financing as opposed to operating decisions. The Company believes that these measures are useful to investors and management because they allow investors to evaluate the Company's performance for different periods on a more comparable basis by excluding these non-operational items that the Company believes are not indicative of, or may obscure trends useful in evaluating, the Company's continuing operations. This supplemental presentation should not be construed as an inference that the Company's future results will be unaffected by similar adjustments to net income (loss) per share determined in accordance with GAAP.
The Company also defines Free Cash Flow as cash from operating activities and cash from investing activities, both as measured in accordance with Generally Accepted Accounting Principles. We believe that Free Cash Flow provides useful information about the cash generated by our core operations after capital expenditures and the sale of non-core assets.
All of the foregoing non-GAAP financial measures should be used in addition to, but not in isolation or as a substitute for, the analysis provided in the Company's measures of financial performance prepared in conformity with U.S. GAAP. The non-GAAP financial measures should be read only in conjunction with the Company's condensed consolidated financial statements prepared in accordance with GAAP.
Conference Call
The Company previously announced that it will hold a conference call to discuss its results on Friday, June 5, 2009 at 9:00 a.m. Eastern Time.
Conference call details:
Dial-in number for US/Canada: 877-296-1542
Dial-in number for international callers: 706-679-5918
Conference ID: 10148041
A telephonic replay of the conference call is available:
Dates: from 12:00 p.m. ET June, 5 2009 to 11:59 p.m. ET
June 19, 2009
Domestic dial-in: 800-642-1687
International dial-in: 706-645-9291
Passcode: 10148041
About Exide Technologies
Exide Technologies, with operations in more than 80 countries, is one of the world's largest producers and recyclers of lead-acid batteries. The Company's four global business groups -- Transportation Americas, Transportation Europe and Rest of World, Industrial Energy Americas and Industrial Energy Europe and Rest of World -- provide a comprehensive range of stored electrical energy products and services for industrial and transportation applications.
Transportation markets include original-equipment and aftermarket automotive, heavy-duty truck, agricultural and marine applications, and new technologies for hybrid vehicles and automotive applications. Industrial markets include network power applications such as telecommunications systems, electric utilities, railroads, photovoltaic (solar-power related) and uninterruptible power supply (UPS), and motive-power applications including lift trucks, mining and other commercial vehicles.
Further information about Exide, including its financial results, are available at www.exide.com.
The Exide Technologies logo is available at http://www.globenewswire.com/newsroom/prs/?pkgid=3300
Forward-Looking Statements
Except for historical information, this press release may be deemed to contain "forward-looking" statements. The Company is including this cautionary statement for the express purpose of availing itself of the safe harbor provisions of the Private Securities Litigation Reform Act of 1995.
Examples of forward-looking statements include, but are not limited to, (a) projections of revenues, cost of raw materials, income or loss, earnings or loss per share, capital expenditures, growth prospects, dividends, the effect of currency translations, capital structure and other financial items, (b) statements of plans and objectives of the Company or its management or Board of Directors, including the introduction of new products, or estimates or predictions of actions by customers, suppliers, competitors or regulating authorities, (c) statements of future economic performance and (d) statements of assumptions, such as the prevailing weather conditions in the Company's market areas, underlying other statements and statements about the Company or its business.
Factors that could cause actual results to differ materially from these forward looking statements include, but are not limited to, the following general factors such as: (i) the fact that lead, a major constituent in most of the Company's products, experiences significant fluctuations in market price and is a hazardous material that may give rise to costly environmental and safety claims, (ii) the Company's ability to implement and fund business strategies based on current liquidity, (iii) the Company's ability to realize anticipated efficiencies and avoid additional unanticipated costs related to its restructuring activities, (iv) the cyclical nature of the industries in which the Company operates and the impact of current adverse economic conditions on those industries, (v) unseasonable weather (warm winters and cool summers) which adversely affects demand for automotive and some industrial batteries, (vi) the Company's substantial debt and debt service requirements which may restrict the Company's operational and financial flexibility, as well as imposing significant interest and financing costs, (vii) the litigation proceedings to which the Company is subject, the results of which could have a material adverse effect on the Company and its business, (viii) the realization of the tax benefits of the Company's net operating loss carry forwards, which is dependent upon future taxable income, (ix) competitiveness of the battery markets in the Americas and Europe, (x) risks involved in foreign operations such as disruption of markets, changes in import and export laws, currency restrictions, currency exchange rate fluctuations and possible terrorist attacks against U.S. interests, and (xi) the ability to acquire goods and services.
Therefore, the Company cautions each reader of this press release carefully to consider those factors set forth above and those factors described in the Company's annual report on Form 10-K filed on June 4, 2009. Such factors and statements have, in some instances, affected and in the future could affect the ability of the Company to achieve its projected results and may cause actual results to differ materially from those expressed herein. We undertake no obligation to update any forward-looking statements in this press release.
EXIDE TECHNOLOGIES AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF OPERATIONS
For the Fiscal Year Ended
------------------------------------
March 31, March 31, March 31,
2009 2008 2007
---------- ---------- ----------
(In thousands, except per-share data)
NET SALES $3,322,332 $3,696,671 $2,939,785
COST OF SALES 2,708,664 3,103,481 2,467,009
---------- ---------- ----------
Gross profit 613,668 593,190 472,776
---------- ---------- ----------
EXPENSES:
Selling, marketing and
advertising 297,032 289,975 270,413
General and administrative 173,990 176,607 173,128
Restructuring 63,271 10,507 24,483
Other expense (income), net 41,264 (39,069) 9,636
Interest expense, net 72,240 85,517 90,020
Loss on early extinguishment
of debt -- 21,342 --
---------- ---------- ----------
647,797 544,879 567,680
---------- ---------- ----------
(Loss) income before
reorganization items, income
taxes, minority interest (34,129) 48,311 (94,904)
REORGANIZATION ITEMS, NET 2,179 3,822 4,310
INCOME TAX PROVISION 32,173 10,886 5,783
MINORITY INTEREST 1,041 1,544 882
---------- ---------- ----------
Net (loss) income $ (69,522) $ 32,059 $ (105,879)
========== ========== ==========
(LOSS) EARNINGS PER SHARE
Basic $ (0.92) $ 0.47 $ (2.37)
========== ========== ==========
Diluted $ (0.92) $ 0.46 $ (2.37)
========== ========== ==========
WEIGHTED AVERAGE SHARES
Basic 75,526 68,306 44,604
========== ========== ==========
Diluted 75,526 69,284 44,604
========== ========== ==========
EXIDE TECHNOLOGIES AND SUBSIDIARIES
CONSOLIDATED BALANCE SHEETS
(In thousands, except per share data)
March 31, March 31,
2009 2008
---------- ----------
ASSETS (In thousands)
Current assets:
Cash and cash equivalents $ 69,505 $ 90,547
Receivables, net of allowance for doubtful
accounts of $28,855 and $33,630 497,841 782,944
Inventories 420,815 583,593
Prepaid expenses and other 17,427 17,829
Deferred financing costs, net 4,890 5,215
Deferred income taxes 33,005 36,853
---------- ----------
Total current assets 1,043,483 1,516,981
---------- ----------
Property, plant and equipment, net 586,261 649,526
---------- ----------
Other assets:
Goodwill 4,022 --
Other intangibles, net 175,311 206,283
Investments in affiliates 2,048 6,523
Deferred financing costs, net 12,134 18,071
Deferred income taxes 51,272 51,238
Other 25,656 42,774
---------- ----------
270,443 324,889
---------- ----------
Total assets $1,900,187 $2,491,396
========== ==========
LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Short-term borrowings $ 6,977 $ 22,719
Current maturities of long-term debt 5,048 9,875
Accounts payable 261,652 468,240
Accrued expenses 279,447 333,092
Warrants liability 1,143 8,272
---------- ----------
Total current liabilities 554,267 842,198
Long-term debt 646,180 683,601
Noncurrent retirement obligations 197,403 212,438
Deferred income tax liability 30,229 44,407
Other noncurrent liabilities 130,041 145,642
---------- ----------
Total liabilities 1,558,120 1,928,286
---------- ----------
Commitments and contingencies -- --
Minority interest 15,840 18,772
---------- ----------
STOCKHOLDERS' EQUITY
Preferred stock, $0.01 par value, 1,000
shares authorized, 0 shares issued and
outstanding -- --
Common stock, $0.01 par value, 200,000
shares authorized, 75,499 and 75,278
shares issued and outstanding 755 753
Additional paid-in capital 1,111,001 1,104,939
Accumulated deficit (787,281) (717,662)
Accumulated other comprehensive income 1,752 156,308
---------- ----------
Total stockholders' equity 326,227 544,338
---------- ----------
Total liabilities and stockholders' equity $1,900,187 $2,491,396
========== ==========
EXIDE TECHNOLOGIES AND SUBSIDIARIES
CONSOLIDATED STATEMENTS OF CASH FLOWS
For the Fiscal Year Ended
---------------------------------
March 31, March 31, March 31,
2009 2008 2007
--------- --------- ---------
Cash Flows From Operating
Activities: (In thousands)
Net (loss) income $ (69,522) $ 32,059 $(105,879)
Adjustments to reconcile net
(loss) income to net cash
provided by operating
activities--
Depreciation and amortization 95,918 101,161 121,016
Unrealized (gain) loss on
warrants (7,129) 2,975 3,234
Net loss (gain) on asset sales/
impairments 11,744 (237) 18,622
Deferred income taxes 12,916 (5,435) (6,350)
Provision for doubtful accounts 8,044 5,974 9,096
Non-cash stock compensation 5,696 5,465 2,449
Reorganization items, net 2,179 3,822 4,310
Minority interest 1,041 1,544 882
Amortization of deferred
financing costs 5,034 4,900 3,476
Loss on early extinguishment
of debt -- 21,342 --
Currency remeasurement loss
(gain) 42,134 (40,782) (11,635)
Changes in assets and
liabilities -
Receivables 162,390 (43,606) 14,635
Inventories 88,739 (113,877) 30,568
Prepaid expenses and other (1,570) 3,763 13,614
Payables (155,958) 58,596 (25,389)
Accrued expenses (14,107) 7,625 (16,149)
Noncurrent liabilities (67,004) (46,578) (53,258)
Other, net (24) 2,369 (2,065)
--------- --------- ---------
Net cash provided by
operating activities 120,521 1,080 1,177
--------- --------- ---------
Cash Flows From Investing
Activities:
Capital expenditures (108,914) (56,854) (51,932)
Proceeds from asset sales, net 7,827 7,057 4,485
--------- --------- ---------
Net cash used in investing
activities (101,087) (49,797) (47,447)
--------- --------- ---------
Cash Flows From Financing
Activities:
(Decrease) increase in short-term
borrowings (10,438) 4,699 1,123
Decrease in borrowings under
Senior Credit Facility (2,977) (13,176) (27,948)
Common stock issuance 368 91,139 117,747
(Decrease) increase in other debt (16,394) 6,697 (2,504)
Financing costs and other -- (31,985) (832)
--------- --------- ---------
Net cash (used in) provided by
financing activities (29,441) 57,374 87,586
--------- --------- ---------
Effect of Exchange Rate Changes on
Cash and Cash Equivalents (11,035) 5,679 2,734
--------- --------- ---------
Net (Decrease) Increase In Cash
and Cash Equivalents (21,042) 14,336 44,050
Cash and Cash Equivalents,
Beginning of Period 90,547 76,211 32,161
--------- --------- ---------
Cash and Cash Equivalents, End
of Period $ 69,505 $ 90,547 $ 76,211
========= ========= =========
Supplemental Disclosures of Cash
Flow Information:
Cash paid during the period for--
Interest $ 63,567 $ 75,234 $ 78,579
Income taxes (net of refunds) $ 16,288 $ 18,848 $ 11,125
EXIDE TECHNOLOGIES AND SUBSIDIARIES
ADJUSTED EBITDA RECONCILIATION BY SEGMENT
(in millions)
THREE MONTHS ENDED MARCH 31, 2009
Transportation Industrial Energy
---------------- ----------------
Europe Europe
Americas and ROW Americas and ROW Other TOTAL
-------- ------- -------- ------- ------ ------
Net income (loss) $11.5 ($57.9) $ 5.4 $14.2 ($37.6) ($64.4)
Interest expense, net -- -- -- -- 17.0 17.0
Income tax provision -- -- -- -- (1.0) (1.0)
---------------------------------------------
EBIT 11.5 (57.9) 5.4 14.2 (21.6) (48.4)
Depreciation and
amortization 7.2 5.0 2.6 5.5 1.8 22.1
Take Charge -- 2.4 -- -- -- 2.4
Reorganization items,
net -- -- -- -- 0.9 0.9
Restructuring 2.5 38.3 0.1 2.3 0.4 43.6
Currency remeasurement
loss (gain) 0.3 -- (0.2) 0.5 7.9 8.5
Unrealized gain on
revaluation of
warrants -- -- -- -- (0.5) (0.5)
Loss on sale/impairment
of assets 1.3 8.0 0.5 0.1 -- 9.9
Other, principally non
cash stock
compensation expense -- -- (0.1) (0.1) 2.1 1.9
---------------------------------------------
Adjusted EBITDA $22.8 $(4.2) $ 8.3 $22.5 $(9.0) $40.4
=============================================
THREE MONTHS ENDED MARCH 31, 2008
Transportation Industrial Energy
---------------- ----------------
Europe Europe
Americas and ROW Americas and ROW Other TOTAL
-------- ------- -------- ------- ------ ------
Net income (loss) $23.0 $12.4 $ 8.7 $18.1 $ 1.1 $63.3
Interest expense, net -- -- -- -- 21.2 21.2
Income tax provision -- -- -- -- (20) (20.0)
---------------------------------------------
EBIT 23.0 12.4 8.7 18.1 2.3 64.5
Depreciation and
amortization 7.7 7.2 2.2 7.1 1.7 25.9
Take Charge -- 1.4 -- -- -- 1.4
Reorganization items,
net -- -- -- -- 1.4 1.4
Restructuring 0.6 1.8 1.1 0.3 0.4 4.2
Currency remeasurement
loss (gain) (0.3) 0.4 (0.3) (0.1) (22.3) (22.6)
Minority interest -- -- -- -- 0.2 0.2
Unrealized gain on
revaluation of
warrants -- -- -- -- 4.2 4.2
Loss (gain) on sale/
impairment of assets 0.9 0.3 0.3 -- (1.9) (0.4)
Other, principally non
cash stock
compensation expense -- (0.1) 0.1 -- 1.3 1.3
---------------------------------------------
Adjusted EBITDA $31.9 $23.4 $12.1 $25.4 $(12.7) $80.1
=============================================
EXIDE TECHNOLOGIES AND SUBSIDIARIES
ADJUSTED EBITDA RECONCILIATION BY SEGMENT
(in millions)
TWELVE MONTHS ENDED MARCH 31, 2009
Transportation Industrial Energy
-------------- -----------------
Europe Europe
and and
Americas ROW Americas ROW Other TOTAL
-------- ------- -------- ------- ----- -----
Net income
(loss) $ 82.7 ($62.2) $ 41.2 $ 52.8 ($184.0) ($69.5)
Interest
expense, net -- -- -- -- 72.2 72.2
Income tax
provision -- -- -- -- 32.2 32.2
----------------------------------------------------
EBIT 82.7 (62.2) 41.2 52.8 (79.6) 34.9
Depreciation and
amortization 30.2 24.6 9.4 24.8 6.9 95.9
Take Charge -- 3.0 -- -- -- 3.0
Reorganization
items, net -- -- -- -- 2.2 2.2
Restructuring 3.4 44.2 0.1 14.7 0.9 63.3
Currency
remeasurement
loss/ (gain) 3.7 0.3 (1.3) 0.5 38.9 42.1
Minority
interest -- -- -- -- 1.0 1.0
Unrealized gain
on revaluation
of warrants -- -- -- -- (7.1) (7.1)
Loss on sale/
impairment of
assets 1.4 8.0 1.3 1.0 -- 11.7
Other,
principally non
cash stock
compensation
expense -- -- -- (0.1) 5.8 5.7
----------------------------------------------------
Adjusted EBITDA $ 121.4 $ 17.9 $ 50.7 $ 93.7 $ (31.0) $ 252.7
====================================================
TWELVE MONTHS ENDED MARCH 31, 2008
Transportation Industrial Energy
-------------- -----------------
Europe Europe
and and
Americas ROW Americas ROW Other TOTAL
-------- ------- -------- ------- ----- -----
Net income
(loss) $ 78.9 $ 30.3 $ 38.0 $ 17.9 ($133.0) 32.1
Interest
expense, net -- -- -- -- 85.5 85.5
Income tax
provision -- -- -- -- 10.9 10.9
----------------------------------------------------
EBIT 78.9 30.3 38.0 17.9 (36.6) 128.5
Depreciation and
amortization 29.9 27.6 8.9 28.8 6.0 101.2
Loss on early
extinguishment
of debt -- -- -- -- 21.3 21.3
Take Charge 2.9 3.3 -- 3.6 -- 9.8
Reorganization
items, net -- -- -- -- 3.8 3.8
Restructuring 2.2 4.7 1.1 2.0 0.5 10.5
Currency
remeasurement
loss (gain) (0.4) 0.3 0.9 (0.2) (41.4) (40.8)
Minority
interest -- -- -- -- 1.5 1.5
Unrealized gain
on revaluation
of warrants -- -- -- -- 3.0 3.0
Loss (gain) on
sale/impairment
of assets 1.5 0.4 1.2 (1.4) (1.9) (0.2)
Other,
principally non
cash stock
compensation
expense 0.1 (0.1) 0.1 -- 5.4 5.5
----------------------------------------------------
Adjusted EBITDA $ 115.1 $ 66.5 $ 50.2 $ 50.7 $ (38.4) $ 244.1
====================================================
EXIDE TECHNOLOGIES AND SUBSIDIARIES
COMPARATIVE FY09 Q4 AND FULL YEAR NET SALES AND ADJUSTED EBITDA
BY SEGMENT
(In millions)
Transportation Industrial Energy
-------------- -----------------
Europe Europe
and and
Americas ROW Americas ROW Other Consolidated
-------- --------- -------- --------- ----- ------------
Q4 FY 09
--------
Net sales $ 241.5 $ 176.6 $ 56.4 $ 179.8 $ -- $ 654.3
Adjusted
EBITDA 22.8 (4.2) 8.3 22.5 (9.0) 40.4
Q4 FY08
------
Net sales $ 309.7 $ 326.5 $ 79.1 $ 315.0 $ -- $1,030.3
Adjusted
EBITDA 31.9 23.4 12.1 25.4 (12.7) 80.1
Transportation Industrial Energy
-------------- -----------------
Europe Europe
and and
Americas ROW Americas ROW Other Consolidated
-------- --------- -------- --------- ----- ------------
FULL YEAR
FY09
---------
Net sales $1,136.6 $ 908.1 $ 287.1 $ 990.5 $ -- $3,322.3
Adjusted
EBITDA 121.4 17.9 50.7 93.7 (31.0) 252.7
FULL YEAR
FY08
---------
Net sales $1,126.4 $1,156.0 $ 301.6 $1,112.7 $ -- $3,696.7
Adjusted
EBITDA 115.1 66.5 50.2 50.7 (38.4) 244.1
EXIDE TECHNOLOGIES AND SUBSIDIARIES
COMPUTATION OF FREE CASH FLOW
(in millions)
FOR THE THREE FOR THE FISCAL
MONTHS ENDED YEAR ENDED
------------------ ------------------
March 31, March 31, March 31, March 31,
2009 2008 2009 2008
-------- -------- -------- --------
Net cash provided by (used in)
operating activities $ 0.0 $ 94.9 $ 120.5 $ 1.1
Net cash used in investing
activities (55.3) (14.2) (101.1) (49.8)
-------- -------- -------- --------
Free Cash Flow $ (55.3) $ 80.7 $ 19.4 $ (48.7)
======== ======== ======== ========
EXIDE TECHNOLOGIES AND SUBSIDIARIES
NON-GAAP ADJUSTED EARNINGS (LOSS) PER SHARE RECONCILIATION
(in millions, except per share data)
FOR THE THREE MONTHS ENDED
March 31, 2009 March 31, 2008
---------------- ----------------
Per Per
Diluted Diluted
Dollars Share Dollars Share
------- ------- ------- -------
Net (loss) earnings $ (64.4) $ (0.85) $ 63.3 $ 0.80
Increases (decrease) in income
tax valuation allowance 14.4 0.19 (34.6) (0.43)
Reorganization items, net 0.6 0.01 0.9 0.01
Restructuring 41.8 0.55 3.5 0.04
Currency remeasurement loss (gain) 5.9 0.08 (14.8) (0.18)
Unrealized (gain) loss on
revaluation of warrants (0.5) (0.01) 4.2 0.05
------- ------- ------- -------
Non-GAAP Adjusted Net Income
(Loss) / EPS $ (2.2) $ (0.03) $ 22.5 $ 0.29
======= ======= ======= =======
Weighted Average Shares Outstanding
Basic 75,687 75,146
======= =======
Diluted 75,687 80,119
======= =======
FOR THE FISCAL YEAR ENDED
March 31, 2009 March 31, 2008
---------------- ----------------
Per Per
Diluted Diluted
Dollars Share Dollars Share
------- ------- ------- -------
Net (loss) earnings $ (69.5) $ (0.92) $ 32.1 $ 0.46
Increases (decrease) in income
tax valuation allowance 35.9 0.48 (21.1) (0.30)
Decrease in German income tax rate -- -- 16.7 0.24
Reorganization items, net 1.3 0.02 3.3 0.05
Restructuring 60.3 0.80 9.4 0.14
Currency remeasurement loss (gain) 26.4 0.35 (30.8) (0.45)
Unrealized (gain) loss on
revaluation of warrants (7.1) (0.10) 3.0 0.04
Loss on early extinguishment of
debt -- -- 16.1 0.23
------- ------- ------- -------
Non-GAAP Adjusted Net Income
(Loss) / EPS $ 47.3 $ 0.63 $ 28.7 $ 0.41
======= ======= ======= =======
Weighted Average Shares Outstanding
Basic 75,526 68,306
======= =======
Diluted 75,526 69,284
======= =======