Minerals Technologies Reports Third Quarter 2020 Earnings of $0.83 Per Share, or $0.92 Per Share, Excluding Special Items
Highlights:
- Sales of
$388 Million , a 9 Percent Increase Sequentially - Improving Demand Across Majority of End Markets
- Continued Strength in Consumer-Oriented Products
- Operating Margins Improved Sequentially and Versus Prior Year
- Strong Cash Flow from Operations of
$54 Million - Improved Financial Flexibility by Extending Debt Maturities and Increasing Liquidity
Worldwide net sales were
"During the third quarter, we saw a noticeable improvement in demand across several of our key end markets, along with continued strength in our consumer-oriented products,” said
The Company incurred special charges of
On
Segment Information
Performance Materials and Specialty Minerals
Sales in the Minerals businesses, which include the Performance Materials and Specialty Minerals segments, were
Performance Materials segment sales were
Metalcasting sales increased 26 percent sequentially and were 4 percent lower than the prior year as foundry production improved in
Operating income for the segment was
The Performance Materials segment provides a wide range of bentonite-based and synthetic materials for industrial and consumer markets and for non-residential construction, environmental remediation, and infrastructure projects worldwide.
Specialty Minerals segment sales, which consist of the Precipitated Calcium Carbonate (PCC) and Processed Minerals product lines, were
Worldwide sales of PCC, which is used in paper and packaging, automotive and construction sealants, and the food and pharmaceutical industries, increased 14 percent sequentially as paper mill capacity came back online in the
Processed Minerals sales increased 13 percent sequentially as end markets steadily improved through the quarter. Processed Minerals products are used in the building materials, polymers, ceramics, consumer products, paints and coatings, glass, and other manufacturing industries.
Segment operating income was
Refractories and Energy Services
Sales in the Service businesses, which include the Refractories and Energy Services segments, were
Refractories segment sales were
Segment operating income was
Energy Services segment sales were
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FORWARD-LOOKING STATEMENTS
This press release may contain "forward‐looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements provide current expectations and forecasts of future events such as new products, revenues and financial performance, and are not limited to describing historical or current facts. They can be identified by the use of words such as “believes,” “expects,” “plans,” “intends,” “anticipates,” and other words and phrases of similar meaning. Forward-looking statements are necessarily based on assumptions, estimates and limited information available at the time they are made. A broad variety of risks and uncertainties, both known and unknown, as well as the inaccuracy of assumptions and estimates, can affect the realization of the expectations or forecasts in these statements. Actual future results may vary materially. Significant factors that could affect the expectations and forecasts include the duration and scope of the COVID-19 pandemic, and government and other third-party responses to it; worldwide general economic, business, and industry conditions, including the effects of the COVID-19 pandemic on the global economy; the cyclicality of our customers’ businesses and their changing demands; the dependence of certain of our product lines on the commercial construction and infrastructure markets, the domestic building and construction markets, and the automotive market; our ability to effectively achieve and implement our growth initiatives; our ability to service our debt; our ability to comply with the covenants in our senior secured credit facility; our ability to renew or extend long term sales contracts for our PCC satellite operations; consolidation in customer industries, principally paper, foundry and steel; compliance with or changes to regulation in the areas of environmental, health and safety, and tax; claims for legal, environmental and tax matters or product stewardship issues; our ability to successfully develop new products; our ability to defend our intellectual property; the increased risks of doing business abroad; the availability of raw materials and access to ore reserves at our mining operations; increases in costs of raw materials, energy, or shipping; our ability to compete in very competitive industries; operating risks and capacity limitations affecting our production facilities; seasonality of some of our segments; cybersecurity and other threats relating to our information technology systems; and other risk factors and cautionary statements in our 2019 Annual Report on Form 10‐K, Quarterly Reports on Form 10-Q, Current Reports on Form 8-K and other reports filed with the
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CONDENSED CONSOLIDATED STATEMENTS OF INCOME | |||||||||||||||||||||||||||
(in millions, except per share data) | |||||||||||||||||||||||||||
(unaudited) | |||||||||||||||||||||||||||
Quarter Ended | % Growth | Nine Months Ended | % Growth | ||||||||||||||||||||||||
2020 | 2020 | 2019 | Prior Qtr. | Prior Year | 2020 | 2019 | Prior Year | ||||||||||||||||||||
Net sales | |||||||||||||||||||||||||||
Product sales | $ | 375.0 | $ | 339.5 | $ | 423.8 | 10 | % | (12 | )% | $ | 1,106.8 | $ | 1,279.2 | (13 | )% | |||||||||||
Service revenue | 13.3 | 17.7 | 25.5 | (25 | )% | (48 | )% | 56.2 | 71.6 | (22 | )% | ||||||||||||||||
Total net sales | 388.3 | 357.2 | 449.3 | 9 | % | (14 | )% | 1,163.0 | 1,350.8 | (14 | )% | ||||||||||||||||
Cost of sales | |||||||||||||||||||||||||||
Cost of goods sold | 280.9 | 256.6 | 320.5 | 9 | % | (12 | )% | 831.6 | 968.5 | (14 | )% | ||||||||||||||||
Cost of service revenue | 9.0 | 11.7 | 17.6 | (23 | )% | (49 | )% | 37.3 | 49.4 | (24 | )% | ||||||||||||||||
Total cost of sales | 289.9 | 268.3 | 338.1 | 8 | % | (14 | )% | 868.9 | 1,017.9 | (15 | )% | ||||||||||||||||
Production margin | 98.4 | 88.9 | 111.2 | 11 | % | (12 | )% | 294.1 | 332.9 | (12 | )% | ||||||||||||||||
Marketing and administrative expenses | 42.1 | 41.8 | 46.9 | 1 | % | (10 | )% | 127.3 | 138.2 | (8 | )% | ||||||||||||||||
Research and development expenses | 4.8 | 5.1 | 5.2 | (6 | )% | (8 | )% | 15.0 | 14.9 | 1 | % | ||||||||||||||||
Litigation expenses | 1.5 | 8.3 | 5.6 | (82 | )% | (73 | )% | 10.4 | 5.6 | 86 | % | ||||||||||||||||
Restructuring and other items, net | 1.5 | 6.5 | 0.0 | (77 | )% | * | 8.0 | 13.2 | (39 | )% | |||||||||||||||||
Income from operations | 48.5 | 27.2 | 53.5 | 78 | % | (9 | )% | 133.4 | 161.0 | (17 | )% | ||||||||||||||||
Interest expense, net | (10.1 | ) | (8.1 | ) | (11.0 | ) | 25 | % | (8 | )% | (27.5 | ) | (33.3 | ) | (17 | )% | |||||||||||
Non-cash pension settlement charge | (1.1 | ) | (4.3 | ) | 0.0 | (74 | )% | * | (5.4 | ) | 0.0 | * | |||||||||||||||
Other non-operating deductions, net | (1.5 | ) | (0.2 | ) | (1.6 | ) | * | (6 | )% | (1.1 | ) | (5.4 | ) | (80 | )% | ||||||||||||
Total non-operating deductions, net | (12.7 | ) | (12.6 | ) | (12.6 | ) | 1 | % | 1 | % | (34.0 | ) | (38.7 | ) | (12 | )% | |||||||||||
Income before tax and equity in earnings | 35.8 | 14.6 | 40.9 | 145 | % | (12 | )% | 99.4 | 122.3 | (19 | )% | ||||||||||||||||
Provision for taxes on income | 7.0 | 0.9 | 2.6 | 678 | % | 169 | % | 17.6 | 17.0 | 4 | % | ||||||||||||||||
Equity in earnings of affiliates, net of tax | 0.5 | 1.2 | 0.8 | (58 | )% | (38 | )% | 2.0 | 1.4 | 43 | % | ||||||||||||||||
Consolidated net income | 29.3 | 14.9 | 39.1 | 97 | % | (25 | )% | 83.8 | 106.7 | (21 | )% | ||||||||||||||||
Less: Net income attributable to non-controlling interests | 1.0 | 0.5 | 1.1 | 100 | % | (9 | )% | 2.5 | 3.0 | (17 | )% | ||||||||||||||||
Net Income attributable to Minerals Technologies Inc. | $ | 28.3 | $ | 14.4 | $ | 38.0 | 97 | % | (26 | )% | $ | 81.3 | $ | 103.7 | (22 | )% | |||||||||||
Weighted average number of common shares outstanding: | |||||||||||||||||||||||||||
Basic | 34.1 | 34.1 | 35.0 | 34.2 | 35.1 | ||||||||||||||||||||||
Diluted | 34.1 | 34.1 | 35.1 | 34.2 | 35.2 | ||||||||||||||||||||||
Earnings per share attributable to |
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Basic | $ | 0.83 | $ | 0.42 | $ | 1.09 | 98 | % | (24 | )% | $ | 2.38 | $ | 2.95 | (19 | )% | |||||||||||
Diluted | $ | 0.83 | $ | 0.42 | $ | 1.08 | 98 | % | (23 | )% | $ | 2.38 | $ | 2.95 | (19 | )% | |||||||||||
Cash dividends declared per common share | $ | 0.05 | $ | 0.05 | $ | 0.05 | $ | 0.15 | $ | 0.15 | |||||||||||||||||
* Percentage not meaningful |
MINERALS TECHNOLOGIES INC. AND SUBSIDIARY COMPANIES | ||||||||||||||||||||
NOTES TO CONDENSED CONSOLIDATED STATEMENTS OF INCOME | ||||||||||||||||||||
1 | ) | For comparative purposes, the quarterly periods ended |
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2 | ) | In |
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In |
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In the second quarter of 2019, the Company initiated a restructuring and cost savings program to better align our costs and organizational structure with the current market environment. The Company recorded non-cash impairment of assets charges of |
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(millions of dollars) | ||||||||||||||||||||
Quarter Ended | Nine Months Ended | |||||||||||||||||||
2020 | 2020 | 2019 | 2020 | 2019 | ||||||||||||||||
Asset Write-Downs | ||||||||||||||||||||
Performance Materials | $ | 0.0 | $ | 0.0 | $ | 0.0 | $ | 0.0 | $ | 4.2 | ||||||||||
Specialty Minerals | 1.1 | 6.0 | 0.0 | 7.1 | 1.6 | |||||||||||||||
Energy Services | 0.0 | 0.0 | 0.0 | 0.0 | 1.7 | |||||||||||||||
Total asset write-downs | $ | 1.1 | $ | 6.0 | $ | 0.0 | $ | 7.1 | $ | 7.5 | ||||||||||
Restructuring and other items, net | ||||||||||||||||||||
Severance related costs | $ | 0.0 | $ | 0.3 | $ | 0.0 | $ | 0.3 | $ | 5.7 | ||||||||||
Other costs | 0.4 | 0.2 | 0.0 | 0.6 | 0.0 | |||||||||||||||
$ | 0.4 | 0.5 | $ | 0.0 | $ | 0.9 | $ | 5.7 | ||||||||||||
Total restructuring and other items, net | $ | 1.5 | $ | 6.5 | $ | 0.0 | $ | 8.0 | $ | 13.2 | ||||||||||
3 | ) | To supplement the Company's consolidated financial statements presented in accordance with GAAP, the following is a presentation of the Company's non-GAAP earnings per share, excluding special items, for the quarterly periods ended |
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(millions of dollars) | Quarter Ended | Nine Months Ended | ||||||||||||||||||
2020 | 2020 | 2019 | 2020 | 2019 | ||||||||||||||||
Net income attributable to MTI | $ | 28.3 | $ | 14.4 | $ | 38.0 | $ | 81.3 | $ | 103.7 | ||||||||||
% of sales | 7.3 | % | 4.0 | % | 8.5 | % | 7.0 | % | 7.7 | % | ||||||||||
Special items: | ||||||||||||||||||||
Write-off of receivables due to |
0.0 | 0.0 | 0.0 | 0.0 | 2.5 | |||||||||||||||
Restructuring and other items, net | 1.5 | 6.5 | 0.0 | 8.0 | 13.2 | |||||||||||||||
Litigation expense | 1.5 | 8.3 | 5.6 | 10.4 | 5.6 | |||||||||||||||
Non-cash pension settlement charge | 1.1 | 4.3 | 0.0 | 5.4 | 0.0 | |||||||||||||||
Tax credit from statute expiration | 0.0 | 0.0 | (5.0 | ) | 0.0 | (5.0 | ) | |||||||||||||
Related tax effects on special items | (0.9 | ) | (4.5 | ) | (1.3 | ) | (5.6 | ) | (4.5 | ) | ||||||||||
Net income attributable to MTI, excluding special items | $ | 31.5 | $ | 29.0 | $ | 37.3 | $ | 99.5 | $ | 115.5 | ||||||||||
% of sales | 8.1 | % | 8.1 | % | 8.3 | % | 8.6 | % | 8.6 | % | ||||||||||
Diluted earnings per share, excluding special items | $ | 0.92 | $ | 0.85 | $ | 1.06 | $ | 2.91 | $ | 3.28 | ||||||||||
Included in litigation expense for the three month and nine month period ended |
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Included in marketing and administrative expenses for the nine month period ended |
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4 | ) | Free cash flow is defined as cash flow from operations less capital expenditures. The following is a presentation of the Company's non-GAAP free cash flow for the quarterly periods ended |
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Quarter Ended | Nine Months Ended | |||||||||||||||||||
(millions of dollars) | ||||||||||||||||||||
2020 | 2020 | 2019 | 2020 | 2019 | ||||||||||||||||
Cash flow from operations | $ | 54.3 | $ | 63.8 | $ | 60.2 | $ | 148.4 | $ | 158.5 | ||||||||||
Capital expenditures | 14.2 | 15.0 | 16.3 | 45.8 | 51.8 | |||||||||||||||
Free cash flow | $ | 40.1 | $ | 48.8 | $ | 43.9 | $ | 102.6 | $ | 106.7 | ||||||||||
Depreciation, depletion and amortization expense | $ | 23.9 | $ | 23.4 | $ | 24.7 | $ | 70.2 | $ | 73.6 | ||||||||||
5 | ) | “Adjusted EBITDA” is a non-GAAP financial measure and refers to earnings before interest, taxes, depreciation and amortization (EBITDA), excluding special items. The following is a presentation of the Company's non-GAAP EBITDA and Adjusted EBITDA for the quarterly periods ended |
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Quarter Ended | Nine Months Ended | |||||||||||||||||||
(millions of dollars) | ||||||||||||||||||||
2020 | 2020 | 2019 | 2020 | 2019 | ||||||||||||||||
Net income | 28.3 | 14.4 | 38.0 | 81.3 | 103.7 | |||||||||||||||
Add back: | ||||||||||||||||||||
Depreciation, depletion and amortization | 23.9 | 23.4 | 24.7 | 70.2 | 73.6 | |||||||||||||||
Interest expense, net | 10.1 | 8.1 | 11.0 | 27.5 | 33.3 | |||||||||||||||
Equity in earnings of affiliates, net of tax | (0.5 | ) | (1.2 | ) | (0.8 | ) | (2.0 | ) | (1.4 | ) | ||||||||||
Net income attributable to non-controlling interests | 1.0 | 0.5 | 1.1 | 2.5 | 3.0 | |||||||||||||||
Provision for taxes on income | 7.0 | 0.9 | 2.6 | 17.6 | 17.0 | |||||||||||||||
EBITDA | 69.8 | 46.1 | 76.6 | 197.1 | 229.2 | |||||||||||||||
Add special items: | ||||||||||||||||||||
Restructuring and other charges | 1.5 | 6.5 | 0.0 | 8.0 | 13.2 | |||||||||||||||
Litigation expense | 1.5 | 8.3 | 5.6 | 10.4 | 5.6 | |||||||||||||||
Write-off of receivables due to |
0.0 | 0.0 | 0.0 | 0.0 | 2.5 | |||||||||||||||
Pension settlement charge | 1.1 | 4.3 | 0.0 | 5.4 | 0.0 | |||||||||||||||
Adjusted EBITDA | 73.9 | 65.2 | 82.2 | 220.9 | 250.5 | |||||||||||||||
% of sales | 19.0 | % | 18.3 | % | 18.3 | % | 19.0 | % | 18.5 | % | ||||||||||
6 | ) | The following table reflects the components of non-operating income and deductions: | ||||||||||||||||||
(millions of dollars) | Quarter Ended | Nine Months Ended | ||||||||||||||||||
2020 | 2020 | 2019 | 2020 | 2019 | ||||||||||||||||
Interest income | $ | 0.5 | $ | 0.4 | $ | 0.5 | $ | 1.2 | $ | 1.7 | ||||||||||
Interest expense | (10.6 | ) | (8.5 | ) | (11.5 | ) | (28.7 | ) | (35.0 | ) | ||||||||||
Non-cash pension settlement charge | (1.1 | ) | (4.3 | ) | 0.0 | (5.4 | ) | 0.0 | ||||||||||||
Foreign exchange gains | 0.9 | 0.3 | 0.7 | 3.5 | 1.7 | |||||||||||||||
Other deductions | (2.4 | ) | (0.5 | ) | (2.3 | ) | (4.6 | ) | (7.1 | ) | ||||||||||
Non-operating deductions, net | $ | (12.7 | ) | $ | (12.6 | ) | $ | (12.6 | ) | $ | (34.0 | ) | $ | (38.7 | ) | |||||
Included in non-operating deductions for the three-month and nine month periods ended |
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7 | ) | On |
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8 | ) | The analyst conference call to discuss operating results for the third quarter is scheduled for |
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SUPPLEMENTARY DATA | |||||||||||||||||||||||||||||||||
(millions of dollars) | |||||||||||||||||||||||||||||||||
(unaudited) | |||||||||||||||||||||||||||||||||
Quarter Ended | % Growth | Nine Months Ended | % Growth | ||||||||||||||||||||||||||||||
SALES DATA | % of | % of | % of | % of | % of | ||||||||||||||||||||||||||||
2020 | Total Sales | 2020 | Total Sales | 2019 | Total Sales | Prior Qtr | Prior Year | 2020 | Total Sales | 2019 | Total Sales | Prior Year | |||||||||||||||||||||
$ | 199.9 | 51 | % | $ | 180.7 | 51 | % | $ | 243.6 | 54 | % | 11 | % | (18 | )% | $ | 607.5 | 52 | % | $ | 728.6 | 54 | % | (17 | )% | ||||||||
International | 188.4 | 49 | % | 176.5 | 49 | % | 205.7 | 46 | % | 7 | % | (8 | )% | 555.5 | 48 | % | 622.2 | 46 | % | (11 | )% | ||||||||||||
Net Sales | $ | 388.3 | 100 | % | $ | 357.2 | 100 | % | $ | 449.3 | 100 | % | 9 | % | (14 | )% | $ | 1,163.0 | 100 | % | $ | 1,350.8 | 100 | % | (14 | )% | |||||||
Metalcasting | $ | 66.3 | 17 | % | $ | 52.8 | 15 | % | $ | 69.0 | 15 | % | 26 | % | (4 | )% | $ | 180.8 | 16 | % | $ | 218.0 | 16 | % | (17 | )% | |||||||
Household, Personal Care & Specialty Products | 93.9 | 24 | % | 87.9 | 25 | % | 94.1 | 21 | % | 7 | % | -0 | % | 278.0 | 24 | % | 280.4 | 21 | % | (1 | )% | ||||||||||||
Environmental Products | 16.9 | 4 | % | 19.9 | 6 | % | 27.1 | 6 | % | (15 | )% | (38 | )% | 48.3 | 4 | % | 72.0 | 5 | % | (33 | )% | ||||||||||||
Building Materials | 13.5 | 3 | % | 13.2 | 4 | % | 17.1 | 4 | % | 2 | % | (21 | )% | 43.5 | 4 | % | 51.5 | 4 | % | (16 | )% | ||||||||||||
Performance Materials Segment | $ | 190.6 | 49 | % | $ | 173.8 | 49 | % | $ | 207.3 | 46 | % | 10 | % | (8 | )% | $ | 550.6 | 47 | % | $ | 621.9 | 46 | % | (11 | )% | |||||||
Paper PCC | $ | 74.5 | 19 | % | $ | 65.5 | 18 | % | $ | 90.2 | 20 | % | 14 | % | (17 | )% | $ | 225.1 | 19 | % | $ | 271.9 | 20 | % | (17 | )% | |||||||
Specialty PCC | 17.3 | 4 | % | 14.9 | 4 | % | 17.7 | 4 | % | 16 | % | (2 | )% | 49.7 | 4 | % | 53.1 | 4 | % | (6 | )% | ||||||||||||
PCC Products | $ | 91.8 | 24 | % | $ | 80.4 | 23 | % | $ | 107.9 | 24 | % | 14 | % | (15 | )% | $ | 274.8 | 24 | % | $ | 325.0 | 24 | % | (15 | )% | |||||||
Ground Calcium Carbonate | $ | 23.2 | 6 | % | $ | 20.6 | 6 | % | $ | 23.0 | 5 | % | 13 | % | 1 | % | $ | 66.4 | 6 | % | 70.1 | 5 | % | (5 | )% | ||||||||
Talc | 10.1 | 3 | % | 8.8 | 2 | % | 12.2 | 3 | % | 15 | % | (17 | )% | 30.8 | 3 | % | 37.5 | 3 | % | (18 | )% | ||||||||||||
Processed Minerals Products | $ | 33.3 | 9 | % | $ | 29.4 | 8 | % | $ | 35.2 | 8 | % | 13 | % | (5 | )% | $ | 97.2 | 8 | % | $ | 107.6 | 8 | % | (10 | )% | |||||||
Specialty Minerals Segment | $ | 125.1 | 32 | % | $ | 109.8 | 31 | % | $ | 143.1 | 32 | % | 14 | % | (13 | )% | $ | 372.0 | 32 | % | $ | 432.6 | 32 | % | (14 | )% | |||||||
Total Minerals Businesses | $ | 315.7 | 81 | % | $ | 283.6 | 79 | % | $ | 350.4 | 78 | % | 11 | % | (10 | )% | $ | 922.6 | 79 | % | $ | 1,054.5 | 78 | % | (13 | )% | |||||||
Refractory Products | $ | 48.8 | 13 | % | $ | 47.1 | 13 | % | $ | 61.3 | 14 | % | 4 | % | (20 | )% | $ | 151.7 | 13 | % | $ | 184.3 | 14 | % | (18 | )% | |||||||
Metallurgical Products | 10.5 | 3 | % | 8.8 | 2 | % | 12.1 | 3 | % | 19 | % | (13 | )% | 32.5 | 3 | % | 40.4 | 3 | % | (20 | )% | ||||||||||||
Refractories Segment | $ | 59.3 | 15 | % | $ | 55.9 | 16 | % | $ | 73.4 | 16 | % | 6 | % | (19 | )% | $ | 184.2 | 16 | % | $ | 224.7 | 17 | % | (18 | )% | |||||||
Energy Services Segment | $ | 13.3 | 3 | % | $ | 17.7 | 5 | % | $ | 25.5 | 6 | % | (25 | )% | (48 | )% | $ | 56.2 | 5 | % | $ | 71.6 | 5 | % | (22 | )% | |||||||
Total Service Businesses | $ | 72.6 | 19 | % | $ | 73.6 | 21 | % | $ | 98.9 | 22 | % | (1 | )% | (27 | )% | $ | 240.4 | 21 | % | $ | 296.3 | 22 | % | (19 | )% | |||||||
Net Sales | $ | 388.3 | 100 | % | $ | 357.2 | 100 | % | $ | 449.3 | 100 | % | 9 | % | (14 | )% | $ | 1,163.0 | 100 | % | $ | 1,350.8 | 100 | % | (14 | )% | |||||||
SUPPLEMENTARY DATA | |||||||||||||||||||||||||
(millions of dollars) | |||||||||||||||||||||||||
(unaudited) | |||||||||||||||||||||||||
Quarter Ended | % Growth | Nine Months Ended | % Growth | ||||||||||||||||||||||
SEGMENT OPERATING INCOME DATA | 2020 | 2020 | 2019 | Prior Qtr | Prior Year | 2020 | 2019 | Prior Year | |||||||||||||||||
Performance Materials Segment | $ | 28.2 | $ | 21.0 | $ | 26.9 | 34 | % | 5 | % | $ | 73.3 | $ | 73.9 | (1 | )% | |||||||||
% of Sales | 14.8 | % | 12.1 | % | 13.0 | % | 13.3 | % | 11.9 | % | |||||||||||||||
Specialty Minerals Segment | $ | 16.6 | $ | 9.0 | $ | 21.7 | 84 | % | (24 | )% | $ | 45.9 | $ | 63.7 | (28 | )% | |||||||||
% of Sales | 13.3 | % | 8.2 | % | 15.2 | % | 12.3 | % | 14.7 | % | |||||||||||||||
Total Minerals Businesses | $ | 44.8 | $ | 30.0 | $ | 48.6 | 49 | % | (8 | )% | $ | 119.2 | $ | 137.6 | (13 | )% | |||||||||
% of Sales | 14.2 | % | 10.6 | % | 13.9 | % | 12.9 | % | 13.0 | % | |||||||||||||||
Refractories Segment | $ | 7.3 | $ | 5.9 | $ | 10.2 | 24 | % | (28 | )% | $ | 24.4 | $ | 29.4 | (17 | )% | |||||||||
% of Sales | 12.3 | % | 10.6 | % | 13.9 | % | 13.2 | % | 13.1 | % | |||||||||||||||
Energy Services Segment | $ | 0.0 | $ | 1.4 | $ | 2.0 | (100 | )% | (100 | )% | $ | 4.6 | $ | 5.3 | (13 | )% | |||||||||
% of Sales | 0.0 | % | 7.9 | % | 7.8 | % | 8.2 | % | 7.4 | % | |||||||||||||||
Total Service Businesses | $ | 7.3 | $ | 7.3 | $ | 12.2 | (0 | )% | (40 | )% | $ | 29.0 | $ | 34.7 | (16 | )% | |||||||||
% of Sales | 10.1 | % | 9.9 | % | 12.3 | % | 12.1 | % | 11.7 | % | |||||||||||||||
Unallocated and other Corporate Expenses | $ | (3.6 | ) | $ | (10.1 | ) | $ | (7.3 | ) | * | (51 | )% | $ | (14.8 | ) | $ | (11.3 | ) | 31 | % | |||||
Consolidated | $ | 48.5 | $ | 27.2 | $ | 53.5 | 78 | % | (9 | )% | $ | 133.4 | $ | 161.0 | (17 | )% | |||||||||
% of Sales | 12.5 | % | 7.6 | % | 11.9 | % | 11.5 | % | 11.9 | % | |||||||||||||||
SPECIAL ITEMS | |||||||||||||||||||||||||
Performance Materials Segment | $ | 0.0 | $ | 0.0 | $ | 0.0 | * | * | $ | 0.0 | $ | 7.0 | * | ||||||||||||
Specialty Minerals Segment | $ | 1.4 | $ | 6.3 | $ | 0.0 | * | * | $ | 7.7 | $ | 2.5 | * | ||||||||||||
Total Minerals Businesses | $ | 1.4 | $ | 6.3 | $ | 0.0 | * | * | $ | 7.7 | $ | 9.5 | * | ||||||||||||
Refractories Segment | $ | 0.0 | $ | 0.0 | $ | 0.0 | * | * | $ | 0.0 | $ | 3.3 | * | ||||||||||||
Energy Services Segment | $ | 0.0 | $ | 0.0 | $ | 0.0 | * | * | $ | 0.0 | $ | 1.8 | * | ||||||||||||
Total Service Businesses | $ | 0.0 | $ | 0.0 | $ | 0.0 | * | * | $ | 0.0 | $ | 5.1 | * | ||||||||||||
Unallocated and Other Corporate Expenses | $ | 1.6 | $ | 8.5 | $ | 5.6 | * | * | $ | 10.7 | $ | 6.7 | * | ||||||||||||
Consolidated | $ | 3.0 | $ | 14.8 | $ | 5.6 | * | * | $ | 18.4 | $ | 21.3 | * | ||||||||||||
To supplement the Company's consolidated financial statements presented in accordance with GAAP, the following is a presentation of the Company's non-GAAP operating income, excluding special items for the quarterly periods ended |
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Quarter Ended | % Growth | Nine Months Ended | % Growth | ||||||||||||||||||||||
SEGMENT OPERATING INCOME, | |||||||||||||||||||||||||
EXCLUDING SPECIAL ITEMS | 2020 | 2020 | 2019 | Prior Qtr | Prior Year | 2020 | 2019 | Prior Year | |||||||||||||||||
Performance Materials Segment | $ | 28.2 | $ | 21.0 | $ | 26.9 | 34 | % | 5 | % | $ | 73.3 | $ | 80.9 | (9 | )% | |||||||||
% of Sales | 14.8 | % | 12.1 | % | 13.0 | % | 13.3 | % | 13.0 | % | |||||||||||||||
Specialty Minerals Segment | $ | 18.0 | $ | 15.3 | $ | 21.7 | 18 | % | (17 | )% | $ | 53.6 | $ | 66.2 | (19 | )% | |||||||||
% of Sales | 14.4 | % | 13.9 | % | 15.2 | % | 14.4 | % | 15.3 | % | |||||||||||||||
Total Minerals Businesses | $ | 46.2 | $ | 36.3 | $ | 48.6 | 27 | % | (5 | )% | $ | 126.9 | $ | 147.1 | (14 | )% | |||||||||
% of Sales | 14.6 | % | 12.8 | % | 13.9 | % | 13.8 | % | 13.9 | % | |||||||||||||||
Refractories Segment | $ | 7.3 | $ | 5.9 | $ | 10.2 | 24 | % | (28 | )% | $ | 24.4 | $ | 32.7 | (25 | )% | |||||||||
% of Sales | 12.3 | % | 10.6 | % | 13.9 | % | 13.2 | % | 14.6 | % | |||||||||||||||
Energy Services Segment | $ | 0.0 | $ | 1.4 | $ | 2.0 | (100 | )% | (100 | )% | $ | 4.6 | $ | 7.1 | (35 | )% | |||||||||
% of Sales | 0.0 | % | 7.9 | % | 7.8 | % | 8.2 | % | 9.9 | % | |||||||||||||||
Total Service Businesses | $ | 7.3 | $ | 7.3 | $ | 12.2 | (0 | )% | (40 | )% | $ | 29.0 | $ | 39.8 | (27 | )% | |||||||||
% of Sales | 10.1 | % | 9.9 | % | 12.3 | % | 12.1 | % | 13.4 | % | |||||||||||||||
Unallocated Corporate Expenses | $ | (2.0 | ) | $ | (1.6 | ) | $ | (1.7 | ) | 25 | % | 18 | % | $ | (4.1 | ) | $ | (4.6 | ) | (11 | )% | ||||
Consolidated | $ | 51.5 | $ | 42.0 | $ | 59.1 | 23 | % | (13 | )% | $ | 151.8 | $ | 182.3 | (17 | )% | |||||||||
% of Sales | 13.3 | % | 11.8 | % | 13.2 | % | 13.1 | % | 13.5 | % | |||||||||||||||
* Percentage not meaningful | |||||||||||||||||||||||||
CONDENSED CONSOLIDATED BALANCE SHEETS | ||||||||
ASSETS | ||||||||
(In Millions of Dollars) | ||||||||
2020* | 2019** | |||||||
Current assets: | ||||||||
Cash & cash equivalents | $ | 379.0 | $ | 241.6 | ||||
Short-term investments | 2.8 | 1.6 | ||||||
Accounts receivable, net | 363.2 | 376.2 | ||||||
Inventories | 255.2 | 253.3 | ||||||
Prepaid expenses and other current assets | 47.7 | 46.5 | ||||||
Total current assets | 1,047.9 | 919.2 | ||||||
Property, plant and equipment | 2,228.8 | 2,257.0 | ||||||
Less accumulated depreciation | 1,201.7 | 1,204.2 | ||||||
Net property, plant & equipment | 1,027.1 | 1,052.8 | ||||||
806.2 | 807.4 | |||||||
Intangible assets | 197.0 | 203.0 | ||||||
Other assets and deferred charges | 135.9 | 130.2 | ||||||
Total assets | $ | 3,214.1 | $ | 3,112.6 | ||||
LIABILITIES AND SHAREHOLDERS' EQUITY | ||||||||
Current liabilities: | ||||||||
Short-term debt | $ | 0.0 | $ | 101.2 | ||||
Current maturities of long-term debt | 0.9 | 2.1 | ||||||
Accounts payable | 140.7 | 163.4 | ||||||
Other current liabilities | 130.4 | 131.8 | ||||||
Total current liabilities | 272.0 | 398.5 | ||||||
Long-term debt | 1,012.3 | 824.3 | ||||||
Deferred income taxes | 180.7 | 180.6 | ||||||
Other non-current liabilities | 275.2 | 274.6 | ||||||
Total liabilities | 1,740.2 | 1,678.0 | ||||||
Total MTI shareholders' equity | 1,438.1 | 1,402.7 | ||||||
Non-controlling Interests | 35.8 | 31.9 | ||||||
Total shareholders' equity | 1,473.9 | 1,434.6 | ||||||
Total liabilities and shareholders' equity | $ | 3,214.1 | $ | 3,112.6 | ||||
* | Unaudited | |||||||
** | Condensed from audited financial statements. |
Source: Minerals Technologies Inc.