- Reported sales increased 12% compared with the prior year. In local currency, sales increased 14% in the quarter as currency reduced sales growth by 2%.
- Net earnings per diluted share as reported (EPS) were
$7.55 , compared with$6.32 in the prior-year period. Adjusted EPS was$7.87 , an increase of 20% over the prior-year amount of$6.56 . Adjusted EPS is a non-GAAP measure, and a reconciliation to EPS is included on the last page of the attached schedules.
First Quarter Results
GAAP Results
EPS in the quarter was
Compared with the prior year, total reported sales increased 12% to
Non-GAAP Results
Adjusted EPS was
Compared with the prior year, total sales in local currency increased 14% as currency reduced sales growth by 2%. By region, local currency sales increased 16% in the
Adjusted EPS and Adjusted Operating Profit are non-GAAP measures. Reconciliations to the most comparable GAAP measures are provided in the attached schedules.
Outlook
The Company stated that forecasting continues to be challenging. Management cautions that market conditions are very dynamic and changes to the business environment can happen quickly. There is increased uncertainty in the economic environment today including the potential impact of COVID-19, challenges in the global supply chain, inflationary pressures, unfavorable foreign currency and the potential repercussions from the war in
The Company said that based on its assessment of market conditions today, management anticipates local
currency sales growth in 2022 will be approximately 8%. This sales growth is expected to result in
Adjusted EPS in the range of
Based on today's assessment of market conditions, management anticipates local currency sales growth for the second quarter of 2022 will be approximately 7%, and Adjusted EPS is forecasted to be
While the Company has provided an outlook for local currency sales growth and Adjusted EPS, it has not provided an outlook for reported sales growth or EPS as it would require an estimate of currency exchange fluctuations and non-recurring items, which are not yet known.
Conclusion
Kaltenbach concluded, "Momentum in our business is good across our Laboratory and Industrial product lines and we believe we are continuing to gain market share. Our ability to navigate challenges in the supply chain and meet customer demand continues to be a competitive advantage. We face macro uncertainties including COVID-19, challenges in the global supply chain, inflationary pressures, unfavorable foreign currency and the potential repercussions from the war in
Other Matters
The Company will host a conference call to discuss its quarterly results today (
Statements in this press release which are not historical facts constitute "forward-looking statements" within the meaning of Section 27A of the
|
||||||||||||||||
CONSOLIDATED STATEMENTS OF OPERATIONS |
||||||||||||||||
(amounts in thousands except share data) |
||||||||||||||||
(unaudited) |
||||||||||||||||
Three months ended |
Three months ended |
|||||||||||||||
|
% of sales |
|
% of sales |
|||||||||||||
Net sales |
|
(a) |
100.0 |
|
100.0 |
|||||||||||
Cost of sales |
378,206 |
42.1 |
332,694 |
41.4 |
||||||||||||
Gross profit |
519,585 |
57.9 |
471,696 |
58.6 |
||||||||||||
Research and development |
43,028 |
4.8 |
39,272 |
4.9 |
||||||||||||
Selling, general and administrative |
235,312 |
26.2 |
221,752 |
27.6 |
||||||||||||
Amortization |
16,604 |
1.8 |
13,884 |
1.7 |
||||||||||||
Interest expense |
11,338 |
1.3 |
9,471 |
1.2 |
||||||||||||
Restructuring charges |
4,011 |
0.5 |
1,193 |
0.1 |
||||||||||||
Other charges (income), net |
(3,709) |
(0.4) |
710 |
0.1 |
||||||||||||
Earnings before taxes |
213,001 |
23.7 |
185,414 |
23.0 |
||||||||||||
Provision for taxes |
39,000 |
4.3 |
35,751 |
4.4 |
||||||||||||
Net earnings |
|
19.4 |
|
18.6 |
||||||||||||
Basic earnings per common share: |
||||||||||||||||
Net earnings |
|
|
||||||||||||||
Weighted average number of common shares |
22,768,298 |
23,365,077 |
||||||||||||||
Diluted earnings per common share: |
||||||||||||||||
Net earnings |
|
|
||||||||||||||
Weighted average number of common |
23,040,231 |
23,685,665 |
||||||||||||||
and common equivalent shares |
||||||||||||||||
Note: |
||||||||||||||||
(a) Local currency sales increased 14% as compared to the same period in 2021. |
||||||||||||||||
RECONCILIATION OF EARNINGS BEFORE TAXES TO ADJUSTED OPERATING PROFIT |
||||||||||||||||
Three months ended |
Three months ended |
|||||||||||||||
|
% of sales |
|
% of sales |
|||||||||||||
Earnings before taxes |
|
|
||||||||||||||
Amortization |
16,604 |
13,884 |
||||||||||||||
Interest expense |
11,338 |
9,471 |
||||||||||||||
Restructuring charges |
4,011 |
1,193 |
||||||||||||||
Other charges (income), net |
(3,709) |
710 |
||||||||||||||
Adjusted operating profit |
|
(b) |
26.9 |
|
26.2 |
|||||||||||
Note: |
||||||||||||||||
(b) Adjusted operating profit increased 15% as compared to the same period in 2021. |
|
||||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS |
||||||||||
(amounts in thousands) |
||||||||||
(unaudited) |
||||||||||
|
|
|||||||||
Cash and cash equivalents |
|
|
||||||||
Accounts receivable, net |
617,880 |
647,335 |
||||||||
Inventories |
446,490 |
414,543 |
||||||||
Other current assets and prepaid expenses |
128,567 |
108,916 |
||||||||
Total current assets |
1,309,886 |
1,269,358 |
||||||||
Property, plant and equipment, net |
787,472 |
799,365 |
||||||||
|
955,197 |
956,072 |
||||||||
Other non-current assets |
303,628 |
302,003 |
||||||||
Total assets |
|
|
||||||||
Short-term borrowings and maturities of long-term debt |
|
|
||||||||
Trade accounts payable |
259,352 |
272,911 |
||||||||
Accrued and other current liabilities |
722,799 |
772,493 |
||||||||
Total current liabilities |
1,087,413 |
1,146,538 |
||||||||
Long-term debt |
1,766,832 |
1,580,808 |
||||||||
Other non-current liabilities |
417,368 |
428,031 |
||||||||
Total liabilities |
3,271,613 |
3,155,377 |
||||||||
Shareholders' equity |
84,570 |
171,421 |
||||||||
Total liabilities and shareholders' equity |
|
|
|
|||||
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS |
|||||
(amounts in thousands) |
|||||
(unaudited) |
|||||
Three months ended |
|||||
|
|||||
2022 |
2021 |
||||
Cash flow from operating activities: |
|||||
Net earnings |
|
|
|||
Adjustments to reconcile net earnings to |
|||||
net cash provided by operating activities: |
|||||
Depreciation |
11,880 |
10,943 |
|||
Amortization |
16,604 |
13,884 |
|||
Deferred tax benefit |
(1,096) |
(5,068) |
|||
Share-based compensation |
4,509 |
4,575 |
|||
Decrease in cash resulting from changes in |
|||||
operating assets and liabilities |
(115,061) |
(15,120) |
|||
Net cash provided by operating activities |
90,837 |
158,877 |
|||
Cash flows from investing activities: |
|||||
Purchase of property, plant and equipment |
(19,151) |
(24,605) |
|||
Proceeds from government funding (a) |
18,000 |
- |
|||
Acquisitions |
(9,704) |
(185,074) |
|||
Other investing activities |
3,743 |
18,226 |
|||
Net cash used in investing activities |
(7,112) |
(191,453) |
|||
Cash flows from financing activities: |
|||||
Proceeds from borrowings |
684,037 |
827,991 |
|||
Repayments of borrowings |
(478,479) |
(523,146) |
|||
Proceeds from exercise of stock options |
5,289 |
5,049 |
|||
Repurchases of common stock |
(275,000) |
(262,500) |
|||
Other financing activities |
(332) |
(714) |
|||
Net cash (used in) provided by financing activities |
(64,485) |
46,680 |
|||
Effect of exchange rate changes on cash and cash equivalents |
(855) |
(1,704) |
|||
Net increase in cash and cash equivalents |
18,385 |
12,400 |
|||
Cash and cash equivalents: |
|||||
Beginning of period |
98,564 |
94,254 |
|||
End of period |
|
|
|||
RECONCILIATION OF NET CASH PROVIDED BY OPERATING ACTIVITIES TO ADJUSTED FREE CASH FLOW |
|||||
Net cash provided by operating activities |
|
|
|||
Payments in respect of restructuring activities |
1,914 |
4,573 |
|||
Payments for acquisition costs |
174 |
117 |
|||
Purchase of property, plant and equipment, net (a) |
(17,472) |
(24,605) |
|||
Adjusted free cash flow |
|
|
|||
Note: |
||||||
(a) |
In |
|
||||||||||||
OTHER OPERATING STATISTICS |
||||||||||||
SALES GROWTH BY DESTINATION |
||||||||||||
(unaudited) |
||||||||||||
|
|
|
Total |
|||||||||
|
||||||||||||
Three Months Ended |
3% |
16% |
14% |
12% |
||||||||
Local Currency Sales Growth |
||||||||||||
Three Months Ended |
10% |
16% |
15% |
14% |
||||||||
RECONCILIATION OF DILUTED EPS AS REPORTED TO ADJUSTED DILUTED EPS |
||||||||||||
(unaudited) |
||||||||||||
Three months ended |
||||||||||||
|
||||||||||||
2022 |
2021 |
% Growth |
||||||||||
EPS as reported, diluted |
|
|
19% |
|||||||||
Purchased intangible amortization, net of tax |
0.22 |
(a) |
0.12 |
(a) |
||||||||
Restructuring charges, net of tax |
0.14 |
(b) |
0.04 |
(b) |
||||||||
Acquisition costs, net of tax |
0.02 |
(c) |
0.10 |
(c) |
||||||||
Income tax expense |
(0.06) |
(d) |
(0.02) |
(d) |
||||||||
Adjusted EPS, diluted |
|
|
20% |
|||||||||
Notes: |
||||||||||||
(a) |
Represents the EPS impact of purchased intangibles amortization of |
|||||||||||
(b) |
Represents the EPS impact of restructuring charges of |
|||||||||||
(c) |
Represents the EPS impact of acquisition costs of |
|||||||||||
(d) |
Represents the EPS impact of the difference between our quarterly and estimated annual tax rate before non-recurring discrete items during the three months ended |
View original content:https://www.prnewswire.com/news-releases/mettler-toledo-international-inc-reports-first-quarter-2022-results-301541258.html
SOURCE
CONTACT: Mary T. Finnegan, Treasurer, Investor Relations, Mettler-Toledo International Inc., +1-614-438-4748, Fax: +1-614-438-4646