Click here to close now.

SYS-CON MEDIA Authors: Carmen Gonzalez, Liz McMillan, Jon McNeill, Elizabeth White, Pat Romanski

News Feed Item

EnerSys Reports First Quarter Fiscal 2015 Results

READING, Pa., Aug. 6, 2014 /PRNewswire/ -- EnerSys (NYSE: ENS) the global leader in stored energy solutions for industrial applications, announced today results for its first quarter of fiscal 2015, which ended on June 29, 2014. 

Net earnings attributable to EnerSys stockholders ("Net earnings") for the first quarter of fiscal 2015 were $49.2 million, or $0.99 per diluted share, including an unfavorable highlighted net of tax impact of $0.03 per share from a charge of $1.3 million for restructuring plans and $0.2 million for fees related to acquisition activities. 

The Net earnings of $0.99 per diluted share, compares to Net earnings per diluted share of $0.83 for the first quarter of fiscal 2014, which included an unfavorable highlighted net of tax charge of $0.3 million for restructuring plans.

Excluding these highlighted items, adjusted Net earnings per diluted share for the first quarter of fiscal 2015, on a non-GAAP basis were $1.02, which due to lower revenues, met the lower end of range of the guidance of $1.02 to $1.06 per diluted share given by the Company on May 28, 2014. These earnings compare to the prior year first quarter adjusted Net earnings of $0.83 per diluted share. Please refer to the section included herein under the heading "Reconciliation of Non-GAAP Financial Measures" for a discussion of the Company's use of non-GAAP adjusted financial information. 

Net sales for the first quarter of fiscal 2015 were $634.1 million, a 6% increase from the prior year first quarter net sales of $597.3 million, from recent acquisitions. Sequential quarterly sales decreased 5% from the fourth quarter of fiscal 2014 net sales of $665.2 million primarily due to a decrease in organic volume.

The Company's operating results for its business segments for the first quarters of fiscal 2015 and 2014 are as follows:

 


Quarter ended


($ millions)


June 29, 2014


June 30, 2013

Net sales by segment




Americas

$

330.9



$

315.6


EMEA

242.0



231.0


Asia

61.2



50.7






Total net sales

$

634.1



$

597.3






Operating earnings




Americas

$

41.5



$

41.7


EMEA

28.6



16.1


Asia

3.6



5.2


Restructuring charges - EMEA

(1.8)



(0.4)


Acquisition activity expense - Asia

(0.2)








Total operating earnings

$

71.7



$

62.6










     EMEA - Europe, the Middle East and Africa

 

"Our adjusted earnings per share of $1.02 was an all time record for any first quarter in our Company's history," stated John D. Craig, chairman, president and chief executive officer of EnerSys. "Our current order intake and backlog are strong, allowing us to follow with record second quarter guidance for non-GAAP adjusted net earnings per diluted share of $1.00 to $1.04, which excludes an expected net charge of $0.08 from our ongoing restructuring programs, acquisition expenses and other highlighted items." 

Reconciliation of Non-GAAP Financial Measures

This press release contains financial information determined by methods other than in accordance with U.S. Generally Accepted Accounting Principles, ("GAAP"). EnerSys' management uses the non-GAAP measure "adjusted Net earnings" in their analysis of the Company's performance. This measure, as used by EnerSys in past quarters and years, adjusts Net earnings determined in accordance with GAAP to reflect changes in financial results associated with the Company's restructuring initiatives and other highlighted charges and income items. Management believes the presentation of this financial measure reflecting these non-GAAP adjustments provides important supplemental information in evaluating the operating results of the Company as distinct from results that include items that are not indicative of ongoing operating results; in particular, those charges that the Company incurs as a result of restructuring activities and those charges and credits that are not directly related to operating unit performance, such as fees and expenses related to acquisition and litigation activities. Because these charges are not incurred as a result of ongoing operations or are incurred as a result of a potential acquisition, they are not a helpful measure of the performance of our underlying business particularly in light of their unpredictable nature. This non-GAAP disclosure has limitations as an analytical tool, should not be viewed as a substitute for net earnings determined in accordance with GAAP, and should not be considered in isolation or as a substitute for analysis of the Company's results as reported under GAAP, nor is it necessarily comparable to non-GAAP performance measures that may be presented by other companies. Management believes that this non-GAAP supplemental information will be helpful in understanding the Company's ongoing operating results. This supplemental presentation should not be construed as an inference that the Company's future results will be unaffected by similar adjustments to net earnings determined in accordance with GAAP.

Included below is a reconciliation of non-GAAP adjusted financial measures to reported amounts.  Non-GAAP adjusted Net earnings are calculated excluding restructuring and other highlighted charges and credits. The following tables provide additional information regarding certain non-GAAP measures:

 


Quarter ended



June 29, 2014



June 30, 2013



(in millions, except share and per share amounts)


Net earnings reconciliation






As reported net earnings

$

49.2



$

40.8


Non-GAAP adjustments, net of tax:






Restructuring charges - EMEA

1.3

(1)


0.3

(1)

Acquisition activity expense - Asia

0.2

(2)



Non-GAAP adjusted net earnings

$

50.7



$

41.1








Weighted-average number of common shares used in per share calculations:






Basic

46,899,303



47,868,982


Diluted

49,726,238



49,304,944








Non-GAAP adjusted net earnings per share:






Basic

$

1.08



$

0.86


Diluted

$

1.02



$

0.83








Reported net earnings per share:






Basic

$

1.05



$

0.85


Diluted

$

0.99



$

0.83


Dividends per common share

$

0.175



$

0.125


 

(1)

Resulting from pre-tax restructuring charges in EMEA of approximately $1.8 million and $0.4 million in the first quarter of fiscal 2015 and 2014, respectively.

(2)

Resulting from pre-tax charges for acquisition activity expense of approximately $0.2 million in Asia in the first quarter of fiscal 2015.

 

Summary of Earnings (Unaudited)

(In millions, except share and per share data)




Quarter ended


June 29, 2014


June 30, 2013





Net sales

$

634.1



$

597.3


Gross profit

162.6



140.1


Operating expenses

89.1



77.1


Restructuring charges

1.8



0.4


Operating earnings

71.7



62.6


Earnings before income taxes

65.8



56.0


Net earnings attributable to EnerSys stockholders

$

49.2



$

40.8






Net earnings per common share attributable to EnerSys stockholders:




Basic

$

1.05



$

0.85


Diluted

$

0.99



$

0.83


Dividends per common share

$

0.175



$

0.125


Weighted-average number of common shares used in per share calculations:




Basic

46,899,303



47,868,982


Diluted

49,726,238



49,304,944


 

EnerSys will host a conference call to discuss the Company's first quarter fiscal 2015 financial results and provide an overview of the business. The call will conclude with a question and answer session.

The call, scheduled for Thursday, August 7, 2014 at 9:00 a.m. Eastern Time, will be hosted by John D. Craig, Chairman, President & Chief Executive Officer, and Michael J. Schmidtlein, Senior Vice President Finance and Chief Financial Officer.

A live webcast of the conference call will be available on the Company's website at http://www.enersys.com under the "Investor Relations" link. Presentation materials to be used in conjunction with the conference call will become available under the aforementioned link shortly following the issuance of this press release.

The conference call information is:


Date:

Thursday, August 7, 2014


Time:

9:00 a.m. Eastern Time


Via Internet:

http://www.enersys.com


Domestic Dial-In Number:

877-359-9508


International Dial-In Number:

224-357-2393


Passcode:

71571417

A replay of the conference call will be available from 12:30 p.m. on August 7, 2014 through midnight on September 7, 2014.

The replay information is:


Via Internet:

http://www.enersys.com


Domestic Replay Number:

855-859-2056


International Replay Number:

404-537-3406


Passcode:

71571417

For more information, contact Thomas O'Neill, Vice President and Treasurer, EnerSys, P.O. Box 14145, Reading, PA 19612-4145, USA. Tel: 610-236-4040; Web site: www.enersys.com.

EDITOR'S NOTE: EnerSys, the global leader in stored energy solutions for industrial applications, manufactures and distributes reserve power and motive power batteries, battery chargers, power equipment, battery accessories and outdoor equipment enclosure solutions to customers worldwide.  Motive power batteries and chargers are utilized in electric forklift trucks and other commercial electric powered vehicles.  Reserve power batteries are used in the telecommunication and utility industries, uninterruptible power supplies, and numerous applications requiring stored energy solutions including medical, aerospace and defense systems.  Outdoor equipment enclosure products are utilized in the telecommunication, cable, utility, transportation industries and by government and defense customers.  The company also provides aftermarket and customer support services to its customers from over 100 countries through its sales and manufacturing locations around the world.

More information regarding EnerSys can be found at www.enersys.com.

Caution Concerning Forward-Looking Statements

This press release, and oral statements made regarding the subjects of this release, contains forward-looking statements, within the meaning of the Private Securities Litigation Reform Act of 1995, or the Reform Act, which may include, but are not limited to, statements regarding EnerSys' earnings estimates, intention to pay quarterly cash dividends, return capital to stockholders, plans, objectives, expectations and intentions and other statements contained in this press release that are not historical facts, including statements identified by words such as "believe," "plan," "seek," "expect," "intend," "estimate," "anticipate," "will," and similar expressions. All statements addressing operating performance, events, or developments that EnerSys expects or anticipates will occur in the future, including statements relating to sales growth, earnings or earnings per share growth, payment of future cash dividends, execution of its stock buy back program, and market share, as well as statements expressing optimism or pessimism about future operating results or benefits from either its cash dividend or its stock buy back programs, are forward-looking statements within the meaning of the Reform Act. The forward-looking statements are based on management's current views and assumptions regarding future events and operating performance, and are inherently subject to significant business, economic, and competitive uncertainties and contingencies and changes in circumstances, many of which are beyond the Company's control. The statements in this press release are made as of the date of this press release, even if subsequently made available by EnerSys on its website or otherwise.  EnerSys does not undertake any obligation to update or revise these statements to reflect events or circumstances occurring after the date of this press release.

Although EnerSys does not make forward-looking statements unless it believes it has a reasonable basis for doing so, EnerSys cannot guarantee their accuracy. The foregoing factors, among others, could cause actual results to differ materially from those described in these forward-looking statements. For a list of other factors which could affect EnerSys' results, including earnings estimates, see EnerSys' filings with the Securities and Exchange Commission, including "Item 7. Management's Discussion and Analysis of Financial Condition and Results of Operations," including "Forward-Looking Statements," set forth in EnerSys' Annual Report on Form 10-K for the fiscal year ended March 31, 2014. No undue reliance should be placed on any forward-looking statements.

SOURCE EnerSys

More Stories By PR Newswire

Copyright © 2007 PR Newswire. All rights reserved. Republication or redistribution of PRNewswire content is expressly prohibited without the prior written consent of PRNewswire. PRNewswire shall not be liable for any errors or delays in the content, or for any actions taken in reliance thereon.

Latest Stories
Dale Kim is the Director of Industry Solutions at MapR. His background includes a variety of technical and management roles at information technology companies. While his experience includes work with relational databases, much of his career pertains to non-relational data in the areas of search, content management, and NoSQL, and includes senior roles in technical marketing, sales engineering, and support engineering. Dale holds an MBA from Santa Clara University, and a BA in Computer Science f...
Wearable devices have come of age. The primary applications of wearables so far have been "the Quantified Self" or the tracking of one's fitness and health status. We propose the evolution of wearables into social and emotional communication devices. Our BE(tm) sensor uses light to visualize the skin conductance response. Our sensors are very inexpensive and can be massively distributed to audiences or groups of any size, in order to gauge reactions to performances, video, or any kind of present...
Even as cloud and managed services grow increasingly central to business strategy and performance, challenges remain. The biggest sticking point for companies seeking to capitalize on the cloud is data security. Keeping data safe is an issue in any computing environment, and it has been a focus since the earliest days of the cloud revolution. Understandably so: a lot can go wrong when you allow valuable information to live outside the firewall. Recent revelations about government snooping, along...
FedRAMP is mandatory for government cloud deployments and businesses need to comply in order to provide services for federal engagements. In his session at 16th Cloud Expo, Abel Sussman, Director for Coalfire Public Sector practice, will review the Federal Risk and Authorization Management Program (FedRAMP) process and provide advice on overcoming common compliance obstacles.
The cloud is now a fact of life but generating recurring revenues that are driven by solutions and services on a consumption model have been hard to implement, until now. In their session at 16th Cloud Expo, Ermanno Bonifazi, CEO & Founder of Solgenia, and Ian Khan, Global Strategic Positioning & Brand Manager at Solgenia, will discuss how a top European telco has leveraged the innovative recurring revenue generating capability of the consumption cloud to enable a unique cloud monetization mod...
Red Hat has launched the Red Hat Cloud Innovation Practice, a new global team of experts that will assist companies with more quickly on-ramping to the cloud. They will do this by providing solutions and services such as validated designs with reference architectures and agile methodology consulting, training, and support. The Red Hat Cloud Innovation Practice is born out of the integration of technology and engineering expertise gained through the company’s 2014 acquisitions of leading Ceph s...
Are your applications getting in the way of your business strategy? It’s time to rethink your IT approach. In his session at 16th Cloud Expo, Madhukar Kumar, Vice President, Product Management at Liaison Technologies, will discuss a new data-centric approach to IT that allows your data, not applications, to inform business strategy. By moving away from an application-centric IT model where data integration and analysis are subservient to the constraints of applications, your organization will b...
As organizations shift toward IT-as-a-service models, the need for managing and protecting data residing across physical, virtual, and now cloud environments grows with it. CommVault can ensure protection &E-Discovery of your data – whether in a private cloud, a Service Provider delivered public cloud, or a hybrid cloud environment – across the heterogeneous enterprise. In his session at 16th Cloud Expo, Randy De Meno, Chief Technologist - Windows Products and Microsoft Partnerships, will disc...
Analytics is the foundation of smart data and now, with the ability to run Hadoop directly on smart storage systems like Cloudian HyperStore, enterprises will gain huge business advantages in terms of scalability, efficiency and cost savings as they move closer to realizing the potential of the Internet of Things. In his session at 16th Cloud Expo, Paul Turner, technology evangelist and CMO at Cloudian, Inc., will discuss the revolutionary notion that the storage world is transitioning from me...
Cloud data governance was previously an avoided function when cloud deployments were relatively small. With the rapid adoption in public cloud – both rogue and sanctioned, it’s not uncommon to find regulated data dumped into public cloud and unprotected. This is why enterprises and cloud providers alike need to embrace a cloud data governance function and map policies, processes and technology controls accordingly. In her session at 15th Cloud Expo, Evelyn de Souza, Data Privacy and Compliance...
The Software Defined Data Center (SDDC), which enables organizations to seamlessly run in a hybrid cloud model (public + private cloud), is here to stay. IDC estimates that the software-defined networking market will be valued at $3.7 billion by 2016. Security is a key component and benefit of the SDDC, and offers an opportunity to build security 'from the ground up' and weave it into the environment from day one. In his session at 16th Cloud Expo, Reuven Harrison, CTO and Co-Founder of Tufin,...
The essence of cloud computing is that all consumable IT resources are delivered as services. In his session at 15th Cloud Expo, Yung Chou, Technology Evangelist at Microsoft, will demonstrate the concepts and implementations of two important cloud computing deliveries: Infrastructure as a Service (IaaS) and Platform as a Service (PaaS). He will discuss from business and technical viewpoints what exactly they are, why we care, how they are different and in what ways, and the strategies for IT ...
Cloud data governance was previously an avoided function when cloud deployments were relatively small. With the rapid adoption in public cloud – both rogue and sanctioned, it’s not uncommon to find regulated data dumped into public cloud and unprotected. This is why enterprises and cloud providers alike need to embrace a cloud data governance function and map policies, processes and technology controls accordingly. In her session at 15th Cloud Expo, Evelyn de Souza, Data Privacy and Compliance...
Roberto Medrano, Executive Vice President at SOA Software, had reached 30,000 page views on his home page - http://RobertoMedrano.SYS-CON.com/ - on the SYS-CON family of online magazines, which includes Cloud Computing Journal, Internet of Things Journal, Big Data Journal, and SOA World Magazine. He is a recognized executive in the information technology fields of SOA, internet security, governance, and compliance. He has extensive experience with both start-ups and large companies, having been ...
There are many considerations when moving applications from on-premise to cloud. It is critical to understand the benefits and also challenges of this migration. A successful migration will result in lower Total Cost of Ownership, yet offer the same or higher level of robustness. In his session at 15th Cloud Expo, Michael Meiner, an Engineering Director at Oracle, Corporation, will analyze a range of cloud offerings (IaaS, PaaS, SaaS) and discuss the benefits/challenges of migrating to each of...