Sensient Technologies Corporation (NYSE: SXT), a leading
provider of flavors and colors for the food, pharmaceutical, and
personal care markets, today reported financial results for the
fourth quarter ended December 31, 2023. The Company also announced
its Portfolio Optimization Plan, pending changes to its officer
group, as well as a nominee for election to its Board of Directors
at its 2024 annual meeting of shareholders.
Fourth Quarter Consolidated Results
- Reported revenue increased 0.2% to $349.3 million in the fourth
quarter of 2023 versus last year’s fourth quarter results of $348.7
million. On a local currency basis(1), revenue decreased 1.8%.
- Reported operating income declined 80.4% to $8.1 million
compared to $41.2 million recorded in the fourth quarter of 2022.
In the fourth quarter of 2023, the Company recorded $27.8 million
of costs, primarily non-cash, related to its recently enacted
Portfolio Optimization Plan. Local currency adjusted operating
income(1) and local currency adjusted EBITDA(1) decreased 9.6% and
8.5%, respectively, in the fourth quarter, with each decreasing as
a result of lower sales volumes.
- Reported earnings per share was a loss of 14 cents in the
fourth quarter of 2023 compared to income of 69 cents in the fourth
quarter of 2022. Adjusted local currency EPS(1) decreased 23.4% in
the fourth quarter as a result of lower sales volumes and higher
interest expense.
“As expected, 2023 was a transitional year for the market and
Sensient as inflation and destocking provided significant
headwinds. I expect a better environment in 2024 with a return to
volume growth and continuation of our strong sales win rate.
Concurrently, we are proactively reducing costs through a Portfolio
Optimization Plan that we expect to provide significant cost
savings. Overall, I am optimistic about 2024,” said Paul Manning,
Sensient’s Chairman, President, and Chief Executive Officer.
Fourth Quarter Group Results
Reported Local Currency(1) Revenue
Quarter Year-to-Date Quarter
Year-to-Date Flavors & Extracts
2.3
%
0.4
%
0.4
%
-0.8
%
Color
-4.4
%
0.7
%
-7.0
%
-0.9
%
Asia Pacific
-3.9
%
1.7
%
-4.6
%
3.5
%
Total Revenue
0.2
%
1.4
%
-1.8
%
0.3
%
Reported Adjusted Local Currency(1)
Operating Profit Quarter Year-to-Date
Quarter Year-to-Date Flavors & Extracts
-16.0
%
-16.7
%
-16.6
%
-17.3
%
Color
-13.2
%
-8.1
%
-16.2
%
-9.6
%
Asia Pacific
-11.0
%
4.4
%
-11.9
%
6.3
%
Total Operating Profit
-80.4
%
-21.2
%
-9.6
%
-6.8
%
The Flavors & Extracts Group reported fourth quarter 2023
revenue of $182.9 million, an increase of $4.0 million versus the
prior year’s fourth quarter. The Group’s revenue benefited from
favorable pricing and exchange rates, partially offset by lower
volumes, primarily due to customer destocking and market declines
in certain product lines. Segment operating income was $18.1
million in the fourth quarter of 2023, a decrease of $3.4 million
compared to the prior year’s fourth quarter. The lower operating
income was primarily due to the lower volumes and higher input
costs, partially offset by favorable pricing.
The Color Group reported revenue of $141.4 million in the fourth
quarter of 2023, a decrease of $6.4 million compared to the prior
year’s fourth quarter. The Group’s revenue was negatively impacted
by lower volumes in both the food and pharmaceutical and personal
care product lines, primarily due to customer destocking and market
declines in certain product lines, partially offset by higher
pricing and favorable exchange rates. Segment operating income was
$21.3 million in the fourth quarter of 2023, a decrease of $3.2
million compared to the prior year’s fourth quarter results. The
lower operating income is primarily a result of the lower volumes
and higher input costs, partially offset by favorable pricing and
exchange rates.
The Asia Pacific Group reported revenue of $33.2 million in the
fourth quarter of 2023, a decrease of $1.4 million compared to the
prior year’s fourth quarter. The Group’s revenue was negatively
impacted by lower volumes, partially offset by favorable pricing.
Segment operating income was $5.9 million in the quarter, a
decrease of $0.7 million compared to the prior year’s fourth
quarter. The lower operating income is primarily a result of the
lower volumes and higher input costs, partially offset by favorable
pricing.
Corporate & Other reported operating expenses of $37.2
million in the fourth quarter of 2023, compared to $11.5 million of
operating expenses reported in the prior year’s fourth quarter. The
increase was primarily due to the Portfolio Optimization Plan costs
of $27.8 million recorded in the fourth quarter of 2023, which were
primarily non-cash costs. In the fourth quarter of 2022, the
Company recorded $2.5 million of divestiture related income related
to an earnout payment received in connection with the divestiture
of the yogurt fruit preparations business. Adjusted local currency
operating expenses(1) for Corporate & Other decreased $4.6
million compared to the prior year’s fourth quarter, primarily due
to lower performance-based compensation recorded in 2023.
During the fourth quarter of 2023, the Company initiated a
Portfolio Optimization Plan to undertake an effort to optimize its
organizational structure with a focus on driving improved
productivity and delivering cost improvement. The Company currently
estimates that the Portfolio Optimization Plan will deliver annual
cost savings of approximately $8 million to $10 million once fully
implemented by the end of 2025. Including the costs incurred during
the fourth quarter of 2023, the Company currently expects to incur
pre-tax charges of approximately $40 million through 2025, of which
approximately $30 million will be non-cash. The Company announced
that it is beginning the information and consultation process with
certain employee groups in the United Kingdom, France, and Germany
that may be impacted by the plan.
In addition, the Company will be increasing its Board of
Directors from nine to ten directors and nominating Brett Bruggeman
for election to the Board of Directors at its 2024 annual meeting
of shareholders. Mr. Bruggeman is the Chief Operating Officer of
Land O’Lakes, Inc., a Fortune 250 food company and one of the
world’s premier agribusiness companies. “We are delighted to
nominate Brett to the Board. He brings over 30 years of food
industry experience, including 16 years at Land O’Lakes. His
insights into agribusiness will be invaluable as the Company
continues our expansion in natural colors and flavors across all of
its business units,” said Paul Manning, Sensient’s Chairman,
President, and Chief Executive Officer.
Sensient also announced today that Stephen Rolfs, Senior Vice
President and Chief Financial Officer, has informed the Company
that he intends to retire effective June 30, 2024. Mr. Rolfs has
served as Chief Financial Officer since February of 2015. Tobin
Tornehl will be named Chief Financial Officer upon Mr. Rolfs’
retirement. Mr. Tornehl joined Sensient in 2008 and has served as
Vice President, Controller, and Chief Accounting Officer, since
2018. Prior to joining Sensient, Mr. Tornehl worked in a variety of
financial leadership roles at Jefferson Wells and Ernst &
Young. Mr. Tornehl is a Certified Public Accountant and holds a
Bachelor of Business Administration from Boston College. “On behalf
of the Board of Directors and the Executive Team, I want to thank
Steve for his financial leadership and his significant
contributions over his more than twenty-five years with the
Company,” said Paul Manning, Chairman of the Board, President, and
Chief Executive Officer of Sensient Technologies Corporation. “I am
also pleased to have Tobin succeed Steve as Chief Financial
Officer. I have had the chance to work closely with Tobin over the
last five years, and he is well suited to lead our financial
function going forward. His promotion is a sign of Sensient’s
strong talent pool and thoughtful succession planning.”
2024 OUTLOOK
Sensient expects 2024 diluted earnings per share to be between
$2.80 and $2.90, which includes approximately 15 cents of Portfolio
Optimization Plan costs in 2024, compared to the Company’s 2023
reported GAAP diluted earnings of $2.21.
The Company expects 2024 revenue, 2024 adjusted EBITDA(1), and
2024 adjusted diluted earnings per share(1) to grow at a low-to-mid
single-digit rate on a local currency basis compared to the
Company’s 2023 revenue, the Company’s 2023 adjusted EBITDA(1), and
the Company’s 2023 adjusted diluted earnings per share(1) of $2.86,
respectively.
The Company expects its 2024 diluted earnings per share to be
impacted by higher interest expense. The Company currently expects
interest expense to increase by approximately $3 million ($0.05 per
diluted share) in 2024 compared to the Company’s 2023 full year
interest expense of $25.2 million. The Company also expects its
full year 2024 tax rate to be between 24% and 25%.
The Company’s guidance is based on current conditions and
economic and market trends in the markets in which the Company
operates and is subject to various risks and uncertainties as
described below.
(1)
Please refer to “Reconciliation of
Non-GAAP Amounts” at the end of this release for more information
regarding our non-GAAP financial measures.
USE OF NON-GAAP FINANCIAL MEASURES
The Company’s non-GAAP financial measures eliminate the impact
of certain items, which, depending on the measure, include:
currency movements, depreciation and amortization, Portfolio
Optimization Plan costs, divestiture and other related income, and
non-cash share-based compensation. These measures are provided to
enhance the overall understanding of the Company’s performance when
viewed together with the GAAP results. Refer to “Reconciliation of
Non-GAAP Amounts” at the end of this release.
CONFERENCE CALL
The Company will host a conference call to discuss its 2023
fourth quarter financial results at 8:30 a.m. CST on Friday,
February 9, 2024. To participate in the conference call, contact
Chorus Call Inc. at (844) 492-3726 or (412) 317-1078, and ask to
join the Sensient Technologies Corporation conference call.
Alternatively, the call can be accessed by using the webcast link
that is available on the Investor Information section of the
Company’s web site at www.sensient.com.
A replay of the call will be available one hour after the end of
the conference call through February 16, 2024, by calling (877)
344-7529 and using access code 4647643. An audio replay and written
transcript of the call will also be posted on the Investor
Information section of the Company’s web site at www.sensient.com
on or after February 13, 2024.
This release contains statements that may constitute
“forward-looking statements” within the meaning of Federal
securities laws including under “2024 Outlook” above. Such
forward-looking statements are not guarantees of future performance
and involve known and unknown risks, uncertainties, and other
factors concerning the Company’s operations and business
environment. Important factors that could cause actual results to
differ materially from those suggested by these forward-looking
statements and that could adversely affect the Company’s future
financial performance include the following: the Company’s ability
to manage general business, economic, and capital market
conditions, including actions taken by customers in response to
such market conditions, and the impact of recessions and economic
downturns; the impact of macroeconomic and geopolitical volatility,
including inflation and shortages impacting the availability and
cost of raw materials, energy, and other supplies, disruptions and
delays in the Company’s supply chain, and the conflicts between
Russia and Ukraine and Israel and Hamas and other parties in the
Middle East; the availability and cost of labor, logistics, and
transportation; the pace and nature of new product introductions by
the Company and the Company’s customers; the Company’s ability to
anticipate and respond to changing consumer preferences and
changing technologies; the Company’s ability to successfully
implement its growth strategies; the outcome of the Company’s
various productivity-improvement and cost-reduction efforts,
acquisition and divestiture activities, and portfolio optimization
plan; industry, regulatory, legal, and economic factors related to
the Company’s domestic and international business; the effects of
tariffs, trade barriers, and disputes; growth in markets for
products in which the Company competes; industry and customer
acceptance of price increases; actions by competitors; the
Company’s ability to enhance its innovation efforts and drive cost
efficiencies; currency exchange rate fluctuations; and other
factors included in “Risk Factors” in the Company's Annual Report
on Form 10-K for the year ended December 31, 2023, and in other
documents that the Company files with the SEC. The risks and
uncertainties identified above are not the only risks the Company
faces. Additional risks and uncertainties not presently known to
the Company or that it currently believes to be immaterial also may
adversely affect the Company. Should any known or unknown risks and
uncertainties develop into actual events, these developments could
have material adverse effects on our business, financial condition,
and results of operations. This release contains time-sensitive
information that reflects management’s best analysis only as of the
date of this release. Except to the extent required by applicable
laws, the Company does not undertake to publicly update or revise
its forward-looking statements even if experience or future changes
make it clear that any projected results expressed or implied
herein will not be realized.
ABOUT SENSIENT TECHNOLOGIES
Sensient Technologies Corporation is a leading global
manufacturer and marketer of colors, flavors, and other specialty
ingredients. Sensient uses advanced technologies and robust global
supply chain capabilities to develop specialized solutions for food
and beverages, as well as products that serve the pharmaceutical,
nutraceutical, and personal care industries. Sensient’s customers
range in size from small entrepreneurial businesses to major
international manufacturers representing some of the world’s
best-known brands. Sensient is headquartered in Milwaukee,
Wisconsin.
www.sensient.com
Sensient Technologies Corporation (In thousands, except
percentages and per share amounts) (Unaudited)
Consolidated Statements of Earnings Three Months Ended
December 31, Year Ended December 31,
2023
2022
% Change
2023
2022
% Change
Revenue
$
349,302
$
348,736
0.2
%
$
1,456,450
$
1,437,039
1.4
%
Cost of products sold
249,472
237,232
5.2
%
996,153
947,928
5.1
%
Selling and administrative expenses
91,767
70,279
30.6
%
305,274
292,360
4.4
%
Operating income
8,063
41,225
(80.4
%)
155,023
196,751
(21.2
%)
Interest expense
6,524
4,799
25,172
14,547
Earnings before income taxes
1,539
36,426
129,851
182,204
Income taxes
7,372
7,305
36,457
41,317
Net earnings
$
(5,833
)
$
29,121
(120.0
%)
$
93,394
$
140,887
(33.7
%)
Earnings per share of common stock: Basic
$
(0.14
)
$
0.70
$
2.22
$
3.36
Diluted
$
(0.14
)
$
0.69
$
2.21
$
3.34
Average common shares outstanding: Basic
42,051
41,896
42,027
41,888
Diluted
42,051
42,255
42,242
42,213
Results by Segment Three Months
Ended December 31, Year Ended December 31,
Revenue
2023
2022
% Change
2023
2022
% Change
Flavors & Extracts
$
182,939
$
178,893
2.3
%
$
741,072
$
738,003
0.4
%
Color
141,396
147,842
(4.4
%)
607,959
604,017
0.7
%
Asia Pacific
33,202
34,567
(3.9
%)
146,090
143,581
1.7
%
Intersegment elimination
(8,235
)
(12,566
)
(38,671
)
(48,562
)
Consolidated
$
349,302
$
348,736
0.2
%
$
1,456,450
$
1,437,039
1.4
%
Operating Income
Flavors & Extracts
$
18,059
$
21,495
(16.0
%)
$
87,773
$
105,424
(16.7
%)
Color
21,343
24,584
(13.2
%)
105,370
114,619
(8.1
%)
Asia Pacific
5,889
6,615
(11.0
%)
30,800
29,492
4.4
%
Corporate & Other
(37,228
)
(11,469
)
(68,920
)
(52,784
)
Consolidated
$
8,063
$
41,225
(80.4
%)
$
155,023
$
196,751
(21.2
%)
Sensient Technologies Corporation (In thousands)
(Unaudited) Consolidated Condensed Balance
Sheets December 31, December 31,
2023
2022
Cash and cash equivalents
$
28,934
$
20,921
Trade accounts receivable
272,164
302,109
Inventories
598,399
564,110
Prepaid expenses and other current assets
37,119
47,640
Total Current Assets
936,616
934,780
Goodwill & intangible assets (net)
436,177
434,315
Property, plant, and equipment (net)
505,277
483,193
Other assets
136,437
129,326
Total Assets
$
2,014,507
$
1,981,614
Trade accounts payable
$
131,114
$
142,365
Short-term borrowings
13,460
20,373
Other current liabilities
91,732
109,415
Total Current Liabilities
236,306
272,153
Long-term debt
645,085
630,331
Accrued employee and retiree benefits
27,715
26,364
Other liabilities
52,077
53,168
Shareholders' Equity
1,053,324
999,598
Total Liabilities and Shareholders' Equity
$
2,014,507
$
1,981,614
Sensient Technologies Corporation (In thousands, except
per share amounts) (Unaudited) Consolidated
Statements of Cash Flows Year Ended December 31,
2023
2022
Cash flows from operating activities: Net earnings
$
93,394
$
140,887
Adjustments to arrive at net cash provided by operating activities:
Depreciation and amortization
57,820
52,467
Share-based compensation expense
8,933
16,138
Net loss on assets
541
276
Net gain on divestiture of business
-
(2,532
)
Portfolio optimization plan costs
24,089
-
Deferred income taxes
(5,100
)
(11,010
)
Changes in operating assets and liabilities: Trade accounts
receivable
35,801
(46,086
)
Inventories
(28,193
)
(159,014
)
Prepaid expenses and other assets
5,767
(5,055
)
Trade accounts payable and other accrued expenses
(5,978
)
17,489
Accrued salaries, wages, and withholdings
(17,830
)
3,486
Income taxes
(1,175
)
4,422
Other liabilities
1,628
602
Net cash provided by operating activities
169,697
12,070
Cash flows from investing activities: Acquisition of
property, plant, and equipment
(87,868
)
(79,322
)
Proceeds from sale of assets
156
264
Proceeds from divestiture of business
-
2,532
Acquisiton of new businesses
(1,650
)
(22,714
)
Other investing activities
1,741
792
Net cash used in investing activities
(87,621
)
(98,448
)
Cash flows from financing activities: Proceeds from
additional borrowings
351,662
328,597
Debt payments
(355,161
)
(171,447
)
Dividends paid
(69,222
)
(68,915
)
Other financing activities
(9,278
)
(2,056
)
Net cash (used in) provided by financing activities
(81,999
)
86,179
Effect of exchange rate changes on cash and cash equivalents
7,936
(4,620
)
Net increase (decrease) in cash and cash equivalents
8,013
(4,819
)
Cash and cash equivalents at beginning of period
20,921
25,740
Cash and cash equivalents at end of period
$
28,934
$
20,921
Supplemental Information Year Ended
December 31,
2023
2022
Dividends paid per share
$
1.64
$
1.64
Sensient Technologies Corporation (In thousands, except
percentages and per share amounts) (Unaudited)
Reconciliation of Non-GAAP Amounts The Company's
results for the three and twelve months ended December 31, 2023 and
2022 include adjusted operating income, adjusted net earnings, and
adjusted diluted earnings per share, which exclude divestiture
& other related income and portfolio optimization plan costs.
Three Months Ended December 31, Year Ended
December 31,
2023
2022
% Change
2023
2022
% Change
Operating income (GAAP)
$
8,063
$
41,225
(80.4
%)
$
155,023
$
196,751
(21.2
%)
Divestiture & other related income – Selling and
administrative expenses
-
(2,532
)
-
(2,532
) Portfolio optimization plan costs – Cost of products sold
3,135
-
3,135
-
Portfolio optimization plan costs – Selling and administrative
expenses
24,706
-
24,706
-
Adjusted operating income
$
35,904
$
38,693
(7.2
%)
$
182,864
$
194,219
(5.8
%)
Net earnings (GAAP)
$
(5,833
)
$
29,121
(120.0
%)
$
93,394
$
140,887
(33.7
%)
Divestiture & other related income, before tax
-
(2,532
)
-
(2,532
)
Tax impact of divestiture & other related income(1)
-
636
-
636
Portfolio optimization plan costs, before tax
27,841
-
27,841
-
Tax impact of portfolio optimization plan costs(1)
(415
)
-
(415
)
-
Adjusted net earnings
$
21,593
$
27,225
(20.7
%)
$
120,820
$
138,991
(13.1
%)
Diluted earnings per share (GAAP)
$
(0.14
)
$
0.69
(120.3
%)
$
2.21
$
3.34
(33.8
%)
Divestiture & other related income, net of tax
-
(0.04
)
-
(0.04
)
Portfolio optimization plan costs, net of tax
0.65
-
0.65
-
Adjusted diluted earnings per share
$
0.51
$
0.64
(20.3
%)
$
2.86
$
3.29
(13.1
%)
Note: Earnings per share calculations may not foot due to
rounding differences. (1) Tax impact adjustments were
determined based on the nature of the underlying non-GAAP
adjustments and their relevant jurisdictional tax rates.
Results by Segment Three Months Ended December
31, Adjusted Adjusted Operating Income
2023
Adjustments(2)
2023
2022
Adjustments(2)
2022
Flavors & Extracts
$
18,059
$
-
$
18,059
$
21,495
$
-
$
21,495
Color
21,343
-
21,343
24,584
-
24,584
Asia Pacific
5,889
-
5,889
6,615
-
6,615
Corporate & Other
(37,228
)
27,841
(9,387
)
(11,469
)
(2,532
)
(14,001
)
Consolidated
$
8,063
$
27,841
$
35,904
$
41,225
$
(2,532
)
$
38,693
Results by Segment Year Ended December 31,
Adjusted Adjusted Operating
Income
2023
Adjustments(2)
2023
2022
Adjustments(2)
2022
Flavors & Extracts
$
87,773
$
-
$
87,773
$
105,424
$
-
$
105,424
Color
105,370
-
105,370
114,619
-
114,619
Asia Pacific
30,800
-
30,800
29,492
-
29,492
Corporate & Other
(68,920
)
27,841
(41,079
)
(52,784
)
(2,532
)
(55,316
)
Consolidated
$
155,023
$
27,841
$
182,864
$
196,751
$
(2,532
)
$
194,219
(2) For Operating Income, adjustments consist of
divestiture & other related income in 2022 and portfolio
optimization plan costs in 2023.
Sensient Technologies
Corporation (In thousands, except percentages)
(Unaudited) Reconciliation of Non-GAAP Amounts
The following table summarizes the percentage change in the 2023
results compared to the 2022 results for the corresponding periods.
Three Months Ended December 31, Revenue
Total Foreign Exchange Rates Adjustments(3)
Adjusted Local Currency Flavors & Extracts
2.3%
1.9%
N/A
0.4%
Color
(4.4%)
2.6%
N/A
(7.0%)
Asia Pacific
(3.9%)
0.7%
N/A
(4.6%)
Total Revenue
0.2%
2.0%
N/A
(1.8%)
Operating Income
Flavors & Extracts
(16.0%)
0.6%
0.0%
(16.6%)
Color
(13.2%)
3.0%
0.0%
(16.2%)
Asia Pacific
(11.0%)
0.9%
0.0%
(11.9%)
Corporate & Other
224.6%
0.0%
257.6%
(33.0%)
Total Operating Income
(80.4%)
2.3%
(73.1%)
(9.6%)
Diluted Earnings Per Share
(120.3%)
1.4%
(98.3%)
(23.4%)
Adjusted EBITDA
(6.4%)
2.1%
N/A
(8.5%)
Year Ended December
31,
Revenue
Total
Foreign Exchange Rates
Adjustments(3)
Adjusted Local
Currency
Flavors & Extracts
0.4%
1.2%
N/A
(0.8%)
Color
0.7%
1.6%
N/A
(0.9%)
Asia Pacific
1.7%
(1.8%)
N/A
3.5%
Total Revenue
1.4%
1.1%
N/A
0.3%
Operating Income
Flavors & Extracts
(16.7%)
0.6%
0.0%
(17.3%)
Color
(8.1%)
1.5%
0.0%
(9.6%)
Asia Pacific
4.4%
(1.9%)
0.0%
6.3%
Corporate & Other
30.6%
0.0%
56.3%
(25.7%)
Total Operating Income
(21.2%)
1.0%
(15.4%)
(6.8%)
Diluted Earnings Per Share
(33.8%)
0.9%
(20.7%)
(14.0%)
Adjusted EBITDA
(5.0%)
0.9%
N/A
(5.9%)
(3) For Operating Income, Diluted Earnings per Share, and
Adjusted EBITDA, adjustments consist divestiture & other
related income in 2022 and portfolio optimization plan costs in
2023. The following table summarizes the
reconciliation between Operating Income (GAAP) and Adjusted EBITDA
for the three months and year ended December 31, 2023 and 2022.
Three Months Ended December 31, Year Ended
December 31,
2023
2022
% Change
2023
2022
% Change
Operating income (GAAP)
$
8,063
$
41,225
(80.4%)
$
155,023
$
196,751
(21.2%)
Depreciation and amortization
14,460
13,205
57,820
52,467
Share-based compensation expense
1,648
3,662
8,933
16,138
Divestiture & other related income, before tax
-
(2,532)
-
(2,532)
Portfolio optimization plan costs, before tax
27,841
-
27,841
-
Adjusted EBITDA
$
52,012
$
55,560
(6.4%)
$
249,617
$
262,824
(5.0%)
Sensient Technologies Corporation (In thousands, except
percentages) (Unaudited) Reconciliation of
Non-GAAP Amounts - Continued The following table summarizes the
reconciliation between Debt (GAAP) and Net Debt, and Operating
Income (GAAP) and Credit Adjusted EBITDA for the year ended
December 31, 2023 and 2022.
Year Ended December 31,
Debt
2023
2022
Short-term borrowings
$
13,460
$
20,373
Long-term debt
645,085
630,331
Credit Agreement adjustments(1)
(16,743
)
(10,180
)
Net Debt
$
641,802
$
640,524
Operating income (GAAP)
$
155,023
$
196,751
Depreciation and amortization
57,820
52,467
Share-based compensation expense
8,933
16,138
Divestiture & other related income, before tax
-
(2,532
)
Portfolio optimization plan costs, before tax
27,841
-
Other non-operating gains(2)
(762
)
(866
)
Credit Adjusted EBITDA
$
248,855
$
261,958
Net Debt to Credit Adjusted EBITDA 2.6x 2.4x
(1) Adjustments include cash and cash equivalents, as described in
the Company's Third Amended and Restated Credit Agreement (Credit
Agreement), and certain letters of credit and hedge contracts. (2)
Adjustments consist of certain financing transaction costs, certain
non-financing interest items, and gains and losses related to
certain non-cash, non-operating, and/or non-recurring items as
described in the Credit Agreement. We have included
each of these non-GAAP measures in order to provide additional
information regarding our underlying operating results and
comparable period-over-period performance. Such information is
supplemental to information presented in accordance with GAAP and
is not intended to represent a presentation in accordance with
GAAP. These non-GAAP measures should not be considered in
isolation. Rather, they should be considered together with GAAP
measures and the rest of the information included in this release
and our SEC filings. Management internally reviews each of these
non-GAAP measures to evaluate performance on a comparative
period-to-period basis and to gain additional insight into
underlying operating and performance trends, and we believe the
information can be beneficial to investors for the same purposes.
These non-GAAP measures may not be comparable to similarly titled
measures used by other companies.
Category: Earnings
View source
version on businesswire.com: https://www.businesswire.com/news/home/20240207126895/en/
Amy Agallar (414) 347-3706 investor.relations@sensient.com
Sensient Technologies (NYSE:SXT)
Graphique Historique de l'Action
De Avr 2024 à Mai 2024
Sensient Technologies (NYSE:SXT)
Graphique Historique de l'Action
De Mai 2023 à Mai 2024