Atotech (NYSE: ATC), a leading specialty chemicals technology
company and a market leader in advanced electroplating solutions,
today reported financial results for the third quarter of 2021. The
company maintained its revenue guidance and narrowed the Adjusted
EBITDA guidance range for the full year 2021. Chemistry organic
revenue growth, a key performance indicator for the Company,
increased 6% over the third quarter of 2020. Chemistry organic
revenue growth reflects chemistry revenue growth excluding the
impact of foreign exchange translation (“FX”) and palladium
pass-through (“palladium”).
Management Commentary
Geoff Wild, Atotech’s Chief Executive Officer
said, “We are pleased by our strong third quarter performance.
Atotech delivered results fully in-line with our expectations and
our nine-months results are at record levels, despite the
continuing disruption of global supply chains. The strength of
demand and the resilience of our business model enables us to feel
comfortable reiterating our full-year guidance.
“This quarter, we saw strong demand in our
Electronics segment for our semiconductor-related businesses as
well as IC-substrates. In our GMF segment, we experienced good
demand for construction-related products, partially offset by a
slowdown in demand from the automotive OEMs, which was primarily
felt towards the end of the quarter. We also observed increasing
demand for our sustainability-related products.
“As expected, in Q3 we saw freight costs decline
from the first half; however, this improvement was counter-balanced
by broad-based inflationary pressure, including raw material price
increases. As a result, we have implemented price increases to our
customers to mitigate those effects and will be rolling those price
increases out over the coming months.”
Third-quarter 2021 Results
Total revenue was $383 million for the third
quarter of 2021, an increase of 18% over the prior-year period.
Total organic revenue, which reflects total revenue excluding the
impact of FX and palladium, increased 10%. Over the quarter, FX
provided a 4% tailwind and palladium increased total revenue by a
further 4%. These results were supported by organic growth in
chemistry revenue of 6%.
Adjusted EBITDA was $112 million for the third
quarter of 2021, a 10% increase over the prior-year period,
reflecting the chemistry organic volume growth and FX tailwinds,
partially offset by increased costs associated with higher
raw-material, freight and energy costs.
Diluted earnings per share was $0.10 for the
period ended September 30, 2021, and Adjusted EPS was $0.27.
Adjusted EBITDA margin was 29% for the third
quarter of 2021. The decline reflects the margin dilution from
higher palladium prices as well as broad-based inflation in raw
material costs.
Third-quarter 2021 Segment
Highlights
Electronics: Revenue for the
third quarter of 2021 in our Electronics segment was $254 million,
an increase of 23% over the prior-year period. Total organic
revenue grew 13%, consisting of 7% chemistry organic growth and a
60% increase in equipment organic revenue. Palladium pass-through
increased revenue by 6% and FX was a 4% tailwind for the
quarter.
The Electronics organic revenue increase was
driven by continued demand for the Company’s advanced semiconductor
packaging and IC-substrate solutions. End-market demand for
computing applications and automobile electrification continued to
gain momentum, but the overall slowdown in the Automobile sector
for Electronics was also noticeable. As in prior quarters this
year, the global build-out of production capacity for PCBs and
semiconductors translated into strong demand for our equipment.
Adjusted EBITDA for our Electronics segment was
$84 million for the third quarter of 2021, an 18% increase over the
prior-year period, primarily driven by chemistry volume growth.
Adjusted EBITDA margin was 33%, a decline of 135 basis points,
driven by dilution from higher palladium prices and the product-mix
effect from lower gross- margin equipment revenue.
General Metal Finishing:
Revenue for the third quarter of 2021 in our GMF segment was $129
million, an increase of 9% over the prior-year period. Total
organic GMF revenue increased 5%, consisting of 6% chemistry
organic revenue growth and a 29% decline in organic revenue for
equipment. Palladium and FX added 1% and 3% to revenue for the
quarter, respectively.
Chemistry organic revenue growth was primarily a
function of continued recovery from the pandemic-depressed markets
of 2020, supported by continued strength in sanitary and
construction end-markets as well as sustainability projects.
Automotive end-market demand slowed towards the end of the
quarter.
Adjusted EBITDA for our GMF segment was $28
million, an 8% decline compared to the prior-year quarter,
primarily reflecting broad-based inflation in raw materials.
Full Year 2021 Guidance
Regarding the Company’s 2021 outlook, Peter
Frauenknecht, Atotech’s Chief Financial Officer said, “As a result
of our solid third quarter, we reiterate our revenue guidance. We
continue to expect full year 2021 total organic revenue growth to
be in the range of 13% to 14%, including full year organic growth
in chemistry revenue of approximately 10%, which excludes the
impact of FX and palladium pass-through. Additionally, we now
expect full year 2021 adjusted EBITDA to be in the range of $440
million to $450 million, which represents a $2.5 million
improvement over our prior guidance, at the mid-point.”
MKS Transaction
On July 1, 2021, MKS Instruments, Inc. (“MKS”),
a global provider of technologies that enable advanced processes
and improve productivity, and Atotech Limited announced that they
had entered into a definitive agreement pursuant to which MKS will
acquire Atotech for $16.20 in cash and 0.0552 of a share of MKS
common stock for each Atotech common share (the “MKS Transaction”).
The MKS Transaction is to be effected by means of a scheme of
arrangement under Article 125 of the Companies (Jersey) Law 1991
(as amended).
The MKS Transaction has been unanimously
approved by the MKS and Atotech boards of directors and each of the
resolutions put to the Company’s shareholders at the court meeting
and the general meeting convened in connection with the MKS
Transaction, which were each held on November 3, 2021, were passed
by the requisite majority of votes. The closing of the MKS
Transaction remains subject to the approval of the Royal Court of
Jersey, regulatory approvals, and other customary closing
conditions, and is expected to close by the fourth quarter of
2021.
Conference Call
In light of the pending transaction with MKS,
the Company will not host a conference call today.
Cautionary Statement Regarding
Forward-Looking Statements
This communication contains “forward-looking
statements” within the meaning of the federal securities laws,
including Section 27A of the Securities Act of 1933, as amended,
and Section 21E of the Securities Exchange Act of 1934, as amended.
In this context, forward-looking statements often address expected
future business and financial performance and financial condition,
and often contain words such as “expect,” “anticipate,” “intend,”
“plan,” “believe,” “seek,” “see,” “will,” “would,” “target,” and
similar expressions and variations or negatives of these words.
These forward-looking statements, which are
subject to risks, uncertainties, and assumptions about us, may
include projections of our future financial performance, our
anticipated growth strategies, and anticipated trends in our
business. These statements are only predictions based on our
current expectations and projections about future events. There are
important factors that could cause our actual results, level of
activity, performance or achievements to differ materially from the
results, level of activity, performance or achievements expressed
or implied by the forward-looking statements, and such differences
could be material. We undertake no obligation to publicly update or
revise any forward-looking statements to reflect subsequent events
or circumstances.
More information on potential factors that could
affect Atotech’s financial results is available in “Forward-Looking
Statements”, the “Risk Factors” and “Management’s Discussion and
Analysis of Financial Condition and Results of Operations” within
Atotech’s most recent Annual Report on Form 20-F, and in other
documents that we have filed with, or furnished to, the U.S.
Securities and Exchange Commission (the “SEC”), and such factors
include, but are not limited to: the uncertainty of the magnitude,
duration, geographic reach, impact on the global economy of the
COVID-19 pandemic, as well as the current and potential travel
restrictions, stay-at-home orders, and other economic restrictions
implemented to address it; uncertainty, downturns, and changes in
our target markets; foreign currency exchange rate fluctuations;
reduced market acceptance and inability to keep pace with evolving
technology and trends; loss of customers; increases in costs or
reductions in the supplies of raw materials that may materially
adversely affect our business, financial condition, and results of
operations; our ability to provide products and services in light
of changing environmental, health and safety, product liability,
financial, and other legislation and regulation; our failure to
compete successfully in product development; our ability to
successfully execute our growth initiatives, business strategies,
and operating plans; whether the secular trends we expect to drive
growth in our business materialize to the degree we expect them to,
or at all; material costs relating to environmental and
health-and-safety requirements or liabilities; underfunded defined
benefit pension plans; risk that the insurance we maintain may not
fully cover all potential exposures; failure to comply with the
anti-corruption laws of the United States and various international
jurisdictions; tariffs, border adjustment taxes, or other adverse
trade restrictions and impacts on our customers’ value chains;
political, economic, and legal uncertainties in China, the Chinese
government’s control of currency conversion and expatriation of
funds, and the Chinese government’s policy on foreign investment in
China; regulations around the production and use of chemical
substances that affect our products; the United Kingdom’s
withdrawal from the European Union; weak intellectual property
rights in jurisdictions outside the United States; intellectual
property infringement and product liability claims; our substantial
indebtedness; our ability to obtain additional capital on
commercially reasonable terms may be limited; risks related to our
derivative instruments; our ability to attract, motivate, and
retain senior management and qualified employees; increased risks
to our global operations including, but not limited to, political
instability, acts of terrorism, taxation, and unexpected regulatory
and economic sanctions changes, among other things; natural
disasters that may materially adversely affect our business,
financial condition, and results of operations; the inherently
hazardous nature of chemical manufacturing that could result in
accidents that disrupt our operations and expose us to losses or
liabilities; damage to our brand reputation; Carlyle’s ability to
control our common shares; risks relating to the proposed MKS
Transaction, including that such transaction may not be
consummated, any statements of belief and any statements of
assumptions underlying any of the foregoing; and other factors
beyond our control.
Additional Information and Where to Find
It
Shareholders may obtain a free copy of the
scheme document published by Atotech on September 28, 2021 in
relation to the MKS Transaction (the “Scheme
Document”) and other documents Atotech files with the SEC
(when available) through the website maintained by the SEC at
www.sec.gov. The Scheme Document is also available free of charge
on Atotech’s investor relations website at investors.atotech.com
together with copies of materials it files with, or furnishes to,
the SEC.
No Offer or Solicitation
This communication is for information purposes
only and is not intended to and does not constitute, or form part
of, an offer, invitation or the solicitation of an offer or
invitation to purchase, otherwise acquire, subscribe for, sell or
otherwise dispose of any securities, or the solicitation of any
vote or approval in any jurisdiction, pursuant to the proposed MKS
Transaction or otherwise, nor shall there be any sale, issuance or
transfer of securities in any jurisdiction in contravention of
applicable law.
The proposed MKS Transaction will be implemented
solely pursuant to the scheme of arrangement, subject to the terms
and conditions of the definitive agreement between MKS and Atotech,
dated July 1, 2021, which contains the full terms and conditions of
the proposed MKS Transaction.
Non-IFRS Financial Measures
This communication contains certain non-IFRS
financial measures designed to complement the financial information
presented in accordance with IFRS because management believes such
measures are useful to investors. However, our use of these
non-IFRS financial measures may vary from that of others in our
industry. Our non-IFRS metrics have limitations as analytical
tools, and you should not consider them in isolation or as
alternatives to consolidated net income (loss) or other performance
measures derived in accordance with IFRS as measures of operating
performance, operating cash flows or liquidity. The Company
believes that these measures are important and supplement
discussions and analysis of its results of operations and enhances
an understanding of its operating performance. See the Appendix for
a reconciliation of the non-IFRS financial measures.
About Atotech
Atotech is a leading specialty chemicals
technology company and a market leader in advanced electroplating
solutions. Atotech delivers chemistry, equipment, software, and
services for innovative technology applications through an
integrated systems-and-solutions approach. Atotech solutions are
used in a wide variety of end-markets, including smartphones and
other consumer electronics, communications infrastructure, and
computing, as well as in numerous industrial and consumer
applications such as automotive, heavy machinery, and household
appliances.
Atotech, headquartered in Berlin, Germany, is a
team of 4,000 experts in over 40 countries generating annual
revenues of $1.2 billion (2020). Atotech has manufacturing
operations across Europe, the Americas, and Asia. With its
well-established innovative strength and industry-leading global
TechCenter network, Atotech delivers pioneering solutions combined
with unparalleled on-site support for over 9,000 customers
worldwide. For more information about Atotech, please visit us at
atotech.com.
Financial Statement Tables
ATOTECH LIMITED Income
Statement
|
Three months
ended(unaudited) |
($ in millions), except earnings per share |
Sept 30, 2021 |
Sept 30, 2020 |
Revenue |
$ |
383.0 |
|
$ |
325.4 |
|
Cost of sales, excluding
depreciation and amortization |
|
(193.2 |
) |
|
(142.9 |
) |
Depreciation and
amortization |
|
(44.0 |
) |
|
(44.3 |
) |
Selling, general and
administrative expenses |
|
(72.2 |
) |
|
(71.3 |
) |
Research and development
expenses |
|
(14.2 |
) |
|
(13.2 |
) |
Restructuring benefit
(expenses) |
|
(0.1 |
) |
|
(0.1 |
) |
Operating profit
(loss) |
|
59.3 |
|
|
53.7 |
|
Interest expense |
|
(14.5 |
) |
|
(36.2 |
) |
Other income (expense),
net |
|
(2.1 |
) |
|
10.8 |
|
Income (loss) before
income taxes |
|
42.7 |
|
|
28.3 |
|
Income tax expense |
|
(23.3 |
) |
|
(17.3 |
) |
Consolidated net
income (loss) |
$ |
19.4 |
|
$ |
11.1 |
|
Earnings per share |
|
|
Basic earnings (loss) per
share |
|
0.10 |
|
|
(0.25 |
) |
Diluted earnings (loss) per
share |
|
0.10 |
|
|
(0.25 |
) |
|
Three months
ended(unaudited) |
($ in millions) |
Sept 30, 2021 |
Sept 30, 2020 |
Consolidated net income (loss) |
$ |
19.4 |
|
$ |
11.1 |
|
Other comprehensive
income (loss) |
|
|
Actuarial gains and
losses |
|
1.5 |
|
|
(4.7 |
) |
Tax effect |
|
(0.5 |
) |
|
1.4 |
|
Items not potentially
reclassifiable to statement of income |
|
1.1 |
|
|
(3.3 |
) |
Currency translation
adjustment |
|
(35.2 |
) |
|
65.5 |
|
Hedge reserve |
|
(0.1 |
) |
|
(3.6 |
) |
Thereof: Income (cost) of
Hedging (OCI II) |
|
0.3 |
|
|
3.7 |
|
Items potentially
reclassifiable to statement of income (loss), net of
tax |
|
(35.3 |
) |
|
61.9 |
|
Total other
comprehensive income (loss), net amount |
$ |
(34.3 |
) |
$ |
58.7 |
|
Comprehensive
loss |
$ |
(14.9 |
) |
$ |
69.7 |
|
ATOTECH LIMITED Condensed
Consolidated Balance Sheets
|
As of(unaudited) |
($ in millions) |
Sept 30, 2021 |
Dec. 31, 2020 |
Assets |
|
|
Non-current
assets |
|
|
Property, plant and equipment |
$ |
330.5 |
$ |
359.4 |
Intangible assets |
|
1,369.2 |
|
1,471.0 |
Goodwill |
|
786.6 |
|
804.1 |
Right-of-use assets |
|
87.4 |
|
104.1 |
Other financial assets |
|
5.3 |
|
70.3 |
Other non-financial
assets |
|
3.1 |
|
2.7 |
Total non-current
assets |
|
2,582.2 |
|
2,811.6 |
Current
assets |
|
|
Inventories |
|
182.5 |
|
145.4 |
Trade receivables |
|
272.4 |
|
262.0 |
Other financial assets |
|
17.3 |
|
24.9 |
Other non-financial
assets |
|
31.8 |
|
24.1 |
Tax assets |
|
49.4 |
|
46.4 |
Cash and cash equivalents |
|
286.4 |
|
320.1 |
Total current
assets |
|
839.8 |
|
822.9 |
Total
assets |
$ |
3,422.0 |
$ |
3,634.5 |
Liabilities &
shareholders’ equity |
|
|
Shareholders’
equity |
|
|
Common shares and preferred
shares |
|
19.5 |
|
102.1 |
Paid-in surplus and retained
earnings |
|
795.0 |
|
261.6 |
Currency translation
adjustment and other reserves |
|
57.0 |
|
120.0 |
Total shareholders’
equity |
|
871.5 |
|
483.7 |
Non-current
liabilities |
|
|
Borrowings |
$ |
1,548.6 |
$ |
2,065.7 |
Deferred tax liabilities |
|
313.4 |
|
340.8 |
Employee benefits |
|
155.7 |
|
176.2 |
Provisions |
|
12.8 |
|
13.2 |
Lease liabilities |
|
54.6 |
|
67.7 |
Other financial
liabilities |
|
0.0 |
|
1.5 |
Total non-current
liabilities |
|
2,085.1 |
|
2,665.1 |
Current liabilities |
|
|
Borrowings |
|
10.7 |
|
0.5 |
Trade payables |
|
225.5 |
|
221.0 |
Tax liabilities |
|
84.6 |
|
99.2 |
Lease liabilities |
|
13.0 |
|
13.8 |
Other financial
liabilities |
|
17.7 |
|
38.5 |
Other non-financial
liabilities |
|
99.8 |
|
89.7 |
Provisions |
|
14.1 |
|
23.0 |
Total current
liabilities |
|
465.5 |
|
485.8 |
Total liabilities
& shareholders’ equity |
$ |
3,422.0 |
$ |
3,634.5 |
ATOTECH LIMITEDConsolidated
Statement of Cash Flows
|
Nine months ended(unaudited) |
($ in millions) |
Sept 30, 2021 |
Sept 30, 2020 |
Operating
activities |
|
|
Consolidated net income
(loss) |
$ |
(22.5 |
) |
$ |
(311.8 |
) |
Adjustments to reconcile net
income (loss) to cash provided by operating activities: |
|
|
Depreciation and
amortization |
|
132.4 |
|
|
404.9 |
|
Income taxes and changes in
non-current provisions |
|
51.5 |
|
|
35.3 |
|
(Gains)/losses on disposals of
assets |
|
(0.3 |
) |
|
0.8 |
|
Net (gain)/loss on financial
instruments at fair value |
|
40.3 |
|
|
(2.0 |
) |
Accrued financial interest
costs |
|
58.6 |
|
|
95.3 |
|
Amortization of deferred
financing cost, including original issuance discounts |
|
56.2 |
|
|
12.8 |
|
Interest paid |
|
(56.5 |
) |
|
(95.4 |
) |
Taxes paid |
|
(95.4 |
) |
|
(48.8 |
) |
Other |
|
(10.7 |
) |
|
(0.1 |
) |
(Increase)/decrease in
inventories |
|
(42.5 |
) |
|
(15.3 |
) |
(Increase)/decrease in trade
receivables |
|
(13.5 |
) |
|
0.7 |
|
Increase/(decrease) in trade
payables |
|
15.0 |
|
|
(14.6 |
) |
Changes in other assets and
liabilities |
|
(12.8 |
) |
|
1.7 |
|
Cash flow provided by
operating activities |
|
99.6 |
|
|
63.4 |
|
Investing
activities |
|
|
Acquisition of subsidiaries,
net of cash acquired |
|
— |
|
|
(2.7 |
) |
Intangible assets and
property, plant and equipment additions |
|
(35.1 |
) |
|
(38.4 |
) |
Increase in non-current
loans |
|
(0.1 |
) |
|
— |
|
Proceeds from disposals of
intangible assets and property, plant and equipment |
|
4.4 |
|
|
0.1 |
|
Repayments of non-current
loans |
|
0.3 |
|
|
0.4 |
|
Cash flow used in
investing activities |
|
(30.5 |
) |
|
(40.6 |
) |
Financing
activities |
|
|
Issuance of shares |
|
473.4 |
|
|
— |
|
Issuance of non-current
debt |
|
130.1 |
|
|
175.0 |
|
Repayment of non-current
debt |
|
(682.3 |
) |
|
(187.0 |
) |
Changes in current borrowings
and bank debt |
|
— |
|
|
(1.6 |
) |
Changes in current financial
assets and liabilities |
|
(1.2 |
) |
|
(0.4 |
) |
Payment of lease
liabilities |
|
(11.6 |
) |
|
(11.3 |
) |
Payment of deferred finance
costs |
|
— |
|
|
(9.2 |
) |
Cash flow used in
financing activities |
|
(91.6 |
) |
|
(34.6 |
) |
Net decrease in cash
and cash equivalents |
|
(22.4 |
) |
|
(11.7 |
) |
Effect of exchange rates |
|
(11.2 |
) |
|
9.4 |
|
Cash and cash equivalents at
the beginning of the period |
|
320.0 |
|
|
302.7 |
|
Cash and cash
equivalents at the end of the period |
$ |
286.4 |
|
$ |
300.4 |
|
ATOTECH LIMITEDRevenue Data
|
Three months
ended(unaudited) |
($ in millions) |
Sept 30, 2021 |
Sept 30, 2020 |
Type of goods or
service |
|
|
Chemistry revenue |
$ |
339.7 |
$ |
296.4 |
Equipment revenue |
|
43.3 |
|
28.9 |
Total revenue from
contracts with customers |
|
383.0 |
|
325.4 |
Geographical
market |
|
|
Asia |
|
285.6 |
|
235.7 |
Europe |
|
67.6 |
|
62.0 |
Americas |
|
29.9 |
|
27.6 |
Total revenue from
contracts with customers |
$ |
383.0 |
$ |
325.4 |
ATOTECH LIMITEDSegment Data
|
Three months
ended(unaudited) |
|
Sept 30, 2021 |
Sept 30, 2020 |
($ in
millions) |
EL |
GMF |
Total |
EL |
GMF |
Total |
Revenue |
254.4 |
128.6 |
$ |
383.0 |
207.5 |
117.9 |
$ |
325.4 |
thereof Chemistry revenue |
214.0 |
125.7 |
|
339.7 |
182.6 |
113.8 |
|
296.4 |
thereof Equipment revenue |
40.4 |
3.0 |
|
43.3 |
24.9 |
4.0 |
|
28.9 |
Segment Adjusted EBITDA |
84.2 |
27.7 |
|
112.0 |
71.5 |
30.0 |
|
101.5 |
ATOTECH LIMITED Reconciliation
of Adjusted EBITDA to Consolidated Net Income (Loss)
|
Three months
ended(unaudited) |
($ in
millions) |
Sept 30, 2021 |
Sept 30, 2020 |
Consolidated net income (loss) |
$ |
19.4 |
|
$ |
11.1 |
|
Interest expense, net |
|
14.4 |
|
|
34.3 |
|
Income taxes |
|
23.3 |
|
|
17.3 |
|
Depreciation and amortization
(excluding impairment charges) |
|
42.8 |
|
|
41.7 |
|
EBITDA |
$ |
99.9 |
|
$ |
104.3 |
|
Non-cash adjustments(a) |
|
6.8 |
|
|
(7.3 |
) |
Foreign exchange loss(b) |
|
(3.8 |
) |
|
0.9 |
|
Restructuring(c) |
|
0.1 |
|
|
0.1 |
|
Transaction related
costs(d) |
|
8.3 |
|
|
2.7 |
|
Management fee(e) |
|
0.5 |
|
|
0.5 |
|
COVID-19 adjustment(f) |
|
0.2 |
|
|
0.3 |
|
Adjusted EBITDA |
$ |
112.0 |
|
$ |
101.5 |
|
thereof EL Segment Adjusted
EBITDA |
$ |
84.2 |
|
$ |
71.5 |
|
thereof GMF Segment Adjusted
EBITDA |
$ |
27.7 |
|
$ |
30.0 |
|
(a) Eliminates the non-cash impact of (1) share-based
compensation, (2) losses on the sale of fixed assets, (3)
impairment charges and (4) mark-to-market adjustments related to
our foreign currency derivatives entered into in connection with
certain redenomination transactions not linked to underlying
individual transactions and bifurcated embedded derivatives related
to certain redemption features of the 6.250% Senior Notes due 2025
(the “Opco Notes”) and 8.75%/9.50% Senior PIK Toggle Notes (the
“Holdco Notes”), and (5) valuation adjustments from the revaluation
of the earn-out liability initially recognized in 2019. The dollar
value of these non-cash adjustments for each period presented above
is set forth below:
|
Three months
ended(unaudited) |
($ in millions) |
Sept 30, 2021 |
Sept 30, 2020 |
Share based compensation |
$ |
3.6 |
|
$ |
0.1 |
|
Losses on the sale of fixed
assets |
|
(0.8 |
) |
|
0.7 |
|
Impairment charges |
|
1.2 |
|
|
2.5 |
|
Mark-to-market
adjustments |
|
2.7 |
|
|
(10.6 |
) |
Valuation adjustments |
|
0.0 |
|
|
(0.0 |
) |
Non-cash
adjustments |
$ |
6.8 |
|
$ |
(7.3 |
) |
(b) Eliminates net foreign currency transactional gains and
losses on balance sheet items. (c) Eliminates charges resulting
from restructuring activities principally from the Company’s
cost-reduction efforts. (d) Reflects an adjustment to eliminate (1)
IPO-related costs linked to the existing equity, (2) professional
fees paid to third-party advisors in connection with the
implementation of strategic initiatives and (3) for the three and
nine months ended September 30, 2021 the increased expenses of the
D&O insurance in connection with the IPO.(e) Reflects an
adjustment to eliminate fees paid to Carlyle. The consulting
agreement pursuant to which management fees are paid to Carlyle
will terminate on the earlier of (i) the third anniversary of the
IPO and (ii) the date upon which Carlyle ceases to own more than
ten percent of the outstanding voting securities of the Company.
Management does not view these fees as indicative of the Company’s
operational performance and the removal of these fees from Adjusted
EBITDA is consistent with the calculation of similar measures under
our old senior secured credit facilities and our new credit
agreement as well as the indentures that previously governed the
Holdco Notes and Opco Notes. For a description of the consulting
agreement with Carlyle, see Item 7.B. “Major Shareholders and
Related Party Transactions—Related Party Transactions” in our
Annual Report on Form 20-F. (f) Eliminates charges in connection
with masks, sanitizers, and other COVID-19 related expenses at
certain plant and office locations.
ATOTECH LIMITED Chemistry
Revenue Growth Reconciliation
|
Three months ended Sept 30,
2021(unaudited) |
|
Reported Revenue Growth |
Impact of Currency |
Palladium Pass-Through |
Organic Growth |
|
|
|
|
|
Electronics |
17 |
% |
(4 |
%) |
(6 |
%) |
7 |
% |
General Metal Finishing |
10 |
% |
(3 |
%) |
(1 |
%) |
6 |
% |
Total |
15 |
% |
(4 |
%) |
(4 |
%) |
6 |
% |
1 Adjusted EBITDA is a non-IFRS financial measure. Adjusted
EBITDA should be considered in addition to, but not as a substitute
for, the information provided in accordance with IFRS. A
reconciliation for adjusted EBITDA to the most directly comparable
IFRS financial measure is provided in the Reconciliation of
Adjusted EBITDA to Consolidated Net Income (Loss) table. We are not
able to forecast Consolidated net income (loss) on a
forward-looking basis without unreasonable efforts due to the high
variability and difficulty in predicting certain items that affect
Consolidated net income (loss), including, but not limited to,
Income taxes, Interest expense, and Foreign exchange income
(loss).
Contacts:
Sarah Spray
+1 803 504 4731
sarah.spray@atotech.com
Susanne Richter
+49 30 349 85 418
press@atotech.com
Atotech (NYSE:ATC)
Graphique Historique de l'Action
De Mar 2024 à Avr 2024
Atotech (NYSE:ATC)
Graphique Historique de l'Action
De Avr 2023 à Avr 2024