DFIN Reports Fourth Quarter and Full Year 2022 Results
Donnelley Financial Solutions (DFIN) reported Q4 2022 net sales of $167.7 million, down 28% year-over-year, mainly due to reduced capital markets activity. Software solutions net sales increased significantly to $68.7 million, representing 41% of total sales, up from 31.7% a year ago. Net earnings decreased to $10.9 million, or $0.36 per diluted share, compared to $25.6 million, or $0.73 per diluted share, in Q4 2021. Despite challenges, adjusted EBITDA was $39.3 million with a margin of 23.4%. The company repurchased 366,197 shares for $13.7 million during the quarter, highlighting its commitment to shareholder returns.
- Software solutions net sales rose to $68.7 million, accounting for 41% of total net sales, a 930 basis point increase from Q4 2021.
- Achieved an adjusted EBITDA margin of 23.4% despite challenging market conditions.
- Repurchased shares worth $13.7 million, demonstrating strong capital deployment.
- Total net sales decreased by $65.1 million, or 28%, year-over-year, primarily due to lower capital markets transactional volumes.
- Net earnings fell to $10.9 million from $25.6 million year-over-year, a decline of 57%.
CHICAGO, Feb. 21, 2023 /PRNewswire/ -- Donnelley Financial Solutions, Inc. (NYSE: DFIN) (the "Company" or "DFIN") today reported financial results for the fourth quarter and full year 2022.
Highlights for the fourth quarter of 2022:
- Software solutions net sales of
$68.7 million ; software solutions net sales accounted for41.0% of total net sales, up from31.7% in the fourth quarter of 2021. - Net earnings of
$10.9 million , or$0.36 per diluted share; Adjusted EBITDA(a) of$39.3 million and Adjusted EBITDA margin(a) of23.4% . - Net cash provided by operating activities of
$73.3 million ; Free Cash Flow(a) of$58.5 million . - During the fourth quarter, the Company repurchased 366,197 shares for
$13.7 million at an average price of$37.27 per share. As of December 31, 2022, the remaining share repurchase authorization was$124.3 million . - Completed the sale of EdgarOnline.
(a) Adjusted EBITDA, Adjusted EBITDA margin, and Free Cash Flow are non-GAAP financial measures that exclude the impact of certain items noted in the reconciliation tables below. The tables below provide reconciliations to the most comparable GAAP measures.
"We are pleased with the continued progress we made in the quarter toward becoming a software-centric company. Software solutions net sales made up
Leib continued, "Throughout 2022, we executed well in a very challenging demand environment, delivering
"Looking ahead, by continuing to execute against the key pillars of our strategic transformation – investing to drive a more favorable sales mix of recurring software with high-quality margins, managing our costs in a disciplined manner, and enhancing our financial flexibility – we are well positioned to create additional value for our clients, employees, and shareholders going forward." Leib concluded.
Net Sales
Net sales in the fourth quarter of 2022 were
Net Earnings
For the fourth quarter of 2022, net earnings were
Adjusted EBITDA and Non-GAAP Net Earnings
For the fourth quarter of 2022, Adjusted EBITDA was
For the fourth quarter of 2022, non-GAAP net earnings were
Reconciliations of net earnings to Adjusted EBITDA, Adjusted EBITDA margin, and non-GAAP net earnings are presented in tables below.
Share Repurchase Program
During the fourth quarter of 2022, the Company repurchased 366,197 shares for
Regulatory Impacts
The Company previously disclosed in a Current Report on Form 8-K filed with the SEC on July 22, 2020, that the implementation of SEC Rule 30e-3 (elimination or reduction of print annual and semi-annual reports), Rule 498A (elimination or reduction of print summary prospectus) and the Company's exiting of certain printing and distribution relationships were expected to reduce the Company's print-related 2021 net sales by approximately
In 2021, the Company realized reductions in net sales, net earnings, and Adjusted EBITDA of approximately
Company Results and Conference Call
DFIN's earnings press release for the fourth quarter and full year 2022, which is included as Exhibit 99.1 to the Company's Current Report on Form 8-K that has been furnished to the SEC on February 21, 2023, is available on the Company's investor relations website at investor.dfinsolutions.com. A supplemental trending schedule of historical results, including additional breakouts of segment-level net sales, is also available on the Company's investor relations website.
DFIN will hold a conference call and webcast on February 21, 2023 at 9:00 a.m. Eastern time to discuss financial results for the fourth quarter of 2022, provide a general business update and respond to analyst questions.
A live webcast of the call will also be available on the Company's investor relations website. Please visit investor.dfinsolutions.com at least fifteen minutes prior to the start of the event to register, download and install any necessary audio software.
If you are unable to participate live, a replay of the webcast will be available following the conference call on the Company's investor relations website, along with the earnings press release, and related financial tables.
About DFIN
DFIN is a leading global risk and compliance solutions company. We provide domain expertise, enterprise software and data analytics for every stage of our clients' business and investment lifecycles. Markets fluctuate, regulations evolve, technology advances, and through it all, DFIN delivers confidence with the right solutions in moments that matter. Learn about DFIN's end-to-end risk and compliance solutions online at DFINsolutions.com or you can also follow us on Twitter @DFINSolutions or on LinkedIn.
Use of Non-GAAP Information
This news release contains certain non-GAAP financial measures, including non-GAAP gross profit, adjusted non-GAAP gross profit, non-GAAP gross margin, adjusted non-GAAP selling, general, and administrative expenses ("SG&A"), adjusted non-GAAP income from operations, adjusted non-GAAP operating margin, Adjusted EBITDA, Adjusted EBITDA margin, non-GAAP effective tax rate, adjusted non-GAAP net earnings, adjusted non-GAAP diluted earnings per share, Free Cash Flow and organic net sales. The Company believes that these non-GAAP financial measures, when presented in conjunction with comparable GAAP measures, provide useful information about the Company's operating results and liquidity and enhance the overall ability to assess the Company's financial performance. The Company uses these measures, together with other measures of performance under GAAP, to compare the relative performance of operations in planning, budgeting and reviewing the performance of its business.
The Company's non-GAAP statement of operations measures, which include non-GAAP gross profit, adjusted non-GAAP gross profit, non-GAAP gross margin, adjusted non-GAAP SG&A, adjusted non-GAAP income from operations, adjusted non-GAAP operating margin, Adjusted EBITDA, Adjusted EBITDA margin, non-GAAP effective tax rate, adjusted non-GAAP net earnings and adjusted non-GAAP diluted earnings per share, are adjusted to exclude the impact of certain costs, expenses, gains and losses and other specified items that management believes are not indicative of our ongoing operations. These adjusted measures exclude the impact of expenses associated with the Company's COVID-19 related recoveries, LSC multiemployer pension plans obligations, non-income tax, net, accelerated rent expense, share-based compensation and eliminate potential differences in results of operations between periods caused by factors such as historic cost and age of assets, financing and capital structures, taxation positions or regimes, restructuring, impairment and other charges, net and gain or loss on certain equity investments, business sales and asset sales.
Free Cash Flow is a non-GAAP financial measure and is defined by the Company as net cash flow provided by operating activities less capital expenditures. By adjusting for the level of capital investment in operations, the Company believes that free cash flow can provide useful additional basis for understanding the Company's ability to generate cash after capital investment and provides a comparison to peers with differing capital intensity.
Organic net sales is a non-GAAP financial measure and is defined by the Company as reported net sales adjusted for the changes in foreign currency exchange rates.
These non-GAAP financial measures should be considered in addition to, not a substitute for, or superior to, measures of financial performance prepared in accordance with GAAP. In addition, these measures are defined differently by different companies in our industry and, accordingly, such measures may not be comparable to similarly-titled measures of other companies.
Use of Forward-Looking Statements
This news release includes certain "forward-looking statements" within the meaning of, and subject to the safe harbor created by, Section 21E of the Securities Exchange Act of 1934, as amended, with respect to the business, strategy and plans of DFIN and its expectations relating to future financial condition and performance. Statements that are not historical facts, including statements about DFIN management's beliefs and expectations, are forward-looking statements. Words such as "believes," "anticipates," "estimates," "expects," "intends," "aims," "potential," "will," "would," "could," "considered," "likely," "estimate" and variations of these words and similar future or conditional expressions are intended to identify forward-looking statements but are not the exclusive means of identifying such statements. While DFIN believes these expectations, assumptions, estimates and projections are reasonable, such forward-looking statements are only predictions and involve known and unknown risks and uncertainties, many of which are beyond DFIN's control. By their nature, forward-looking statements involve risk and uncertainty because they relate to events and depend upon future circumstances that may or may not occur. Actual results may differ materially from DFIN's current expectations depending upon a number of factors affecting the business and risks associated with the performance of the business. These factors include such risks and uncertainties detailed in DFIN periodic public filings with the SEC, including but not limited to those discussed under "Special Note Regarding Forward-Looking Statements" and in Part I, Item 1A. Risk Factors of DFIN's Annual Report on Form 10-K for the fiscal year ended December 31, 2022, those discussed under "Special Note Regarding Forward-Looking Statements" in DFIN's Quarterly Reports on Form 10-Q, and in other investor communications of DFIN's from time to time. DFIN does not undertake to and specifically declines any obligation to publicly release the results of any revisions to these forward-looking statements that may be made to reflect future events or circumstances after the date of such statement or to reflect the occurrence of anticipated or unanticipated events.
Donnelley Financial Solutions, Inc. and Subsidiaries ("DFIN") | ||||||||
Condensed Consolidated Balance Sheets | ||||||||
(UNAUDITED) | ||||||||
(in millions, except per share data) | ||||||||
December 31, | December 31, | |||||||
Assets | ||||||||
Cash and cash equivalents | $ | 34.2 | $ | 54.5 | ||||
Receivables, less allowances for expected losses of | 163.5 | 199.1 | ||||||
Prepaid expenses and other current assets | 28.1 | 23.5 | ||||||
Assets held for sale | 2.6 | 2.6 | ||||||
Total current assets | 228.4 | 279.7 | ||||||
Property, plant and equipment, net | 17.6 | 18.7 | ||||||
Operating lease right-of-use assets | 33.3 | 42.6 | ||||||
Software, net | 75.6 | 63.7 | ||||||
Goodwill | 405.8 | 410.0 | ||||||
Other intangible assets, net | 7.8 | 8.7 | ||||||
Deferred income taxes, net | 33.4 | 31.7 | ||||||
Other noncurrent assets | 26.4 | 28.2 | ||||||
Total assets | $ | 828.3 | $ | 883.3 | ||||
Liabilities | ||||||||
Accounts payable | $ | 49.2 | $ | 36.3 | ||||
Operating lease liabilities | 16.3 | 17.9 | ||||||
Accrued liabilities | 159.3 | 207.2 | ||||||
Total current liabilities | 224.8 | 261.4 | ||||||
Long-term debt | 169.2 | 124.0 | ||||||
Deferred compensation liabilities | 13.6 | 19.8 | ||||||
Pension and other postretirement benefits plans liabilities | 42.9 | 40.6 | ||||||
Noncurrent operating lease liabilities | 28.4 | 39.4 | ||||||
Other noncurrent liabilities | 19.9 | 21.1 | ||||||
Total liabilities | 498.8 | 506.3 | ||||||
Equity | ||||||||
Preferred stock, | ||||||||
Authorized: 1.0 shares; Issued: None | — | — | ||||||
Common stock, | ||||||||
Authorized: 65.0 shares; | ||||||||
Issued and Outstanding: 36.9 shares and 28.9 shares in 2022 (2021 - 35.9 shares and 33.0 shares) | 0.4 | 0.4 | ||||||
Treasury stock, at cost: 8.0 shares in 2022 (2021 - 2.9 shares) | (221.8) | (57.1) | ||||||
Additional paid-in capital | 280.2 | 260.6 | ||||||
Retained earnings | 353.9 | 251.4 | ||||||
Accumulated other comprehensive loss | (83.2) | (78.3) | ||||||
Total equity | 329.5 | 377.0 | ||||||
Total liabilities and equity | $ | 828.3 | $ | 883.3 | ||||
Donnelley Financial Solutions, Inc. and Subsidiaries ("DFIN") | ||||||||||||||||
Condensed Consolidated Statements of Operations | ||||||||||||||||
(UNAUDITED) | ||||||||||||||||
(in millions, except per share data) | ||||||||||||||||
Three Months Ended | Twelve Months Ended | |||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||
Net sales | ||||||||||||||||
Tech-enabled services | $ | 68.5 | $ | 124.9 | $ | 380.9 | $ | 519.5 | ||||||||
Software solutions | 68.7 | 73.8 | 279.6 | 270.0 | ||||||||||||
Print and distribution | 30.5 | 34.1 | 173.1 | 203.8 | ||||||||||||
Total net sales | 167.7 | 232.8 | 833.6 | 993.3 | ||||||||||||
Cost of sales (a) | ||||||||||||||||
Tech-enabled services | 27.9 | 39.0 | 141.1 | 162.3 | ||||||||||||
Software solutions | 28.3 | 28.8 | 113.4 | 105.3 | ||||||||||||
Print and distribution | 19.5 | 24.4 | 115.7 | 145.5 | ||||||||||||
Total cost of sales | 75.7 | 92.2 | 370.2 | 413.1 | ||||||||||||
Selling, general and administrative expenses (a) | 58.5 | 82.1 | 264.0 | 307.7 | ||||||||||||
Depreciation and amortization | 12.7 | 10.4 | 46.3 | 40.3 | ||||||||||||
Restructuring, impairment and other charges, net | 3.1 | 6.7 | 7.7 | 13.6 | ||||||||||||
Other operating loss (income), net | 0.6 | — | 0.4 | (0.7) | ||||||||||||
Income from operations | 17.1 | 41.4 | 145.0 | 219.3 | ||||||||||||
Interest expense, net | 3.3 | 9.5 | 9.2 | 26.6 | ||||||||||||
Investment and other income, net | (0.2) | (1.1) | (3.5) | (5.1) | ||||||||||||
Earnings before income taxes | 14.0 | 33.0 | 139.3 | 197.8 | ||||||||||||
Income tax expense | 3.1 | 7.4 | 36.8 | 51.9 | ||||||||||||
Net earnings | $ | 10.9 | $ | 25.6 | $ | 102.5 | $ | 145.9 | ||||||||
Net earnings per share: | ||||||||||||||||
Basic | $ | 0.37 | $ | 0.77 | $ | 3.33 | $ | 4.36 | ||||||||
Diluted | $ | 0.36 | $ | 0.73 | $ | 3.17 | $ | 4.14 | ||||||||
Weighted-average number of common shares outstanding: | ||||||||||||||||
Basic | 29.1 | 33.2 | 30.8 | 33.5 | ||||||||||||
Diluted | 30.7 | 35.1 | 32.3 | 35.2 | ||||||||||||
__________ | ||||||||||||||||
(a) Exclusive of depreciation and amortization. | ||||||||||||||||
Three Months Ended | Twelve Months Ended | |||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||
Components of depreciation and amortization: | ||||||||||||||||
Cost of sales | $ | 11.7 | $ | 9.5 | $ | 43.0 | $ | 36.7 | ||||||||
Selling, general and administrative expenses | 1.0 | 0.9 | 3.3 | 3.6 | ||||||||||||
Total depreciation and amortization | $ | 12.7 | $ | 10.4 | $ | 46.3 | $ | 40.3 | ||||||||
Additional information: | ||||||||||||||||
Gross profit (b) | $ | 80.3 | $ | 131.1 | $ | 420.4 | $ | 543.5 | ||||||||
Exclude: Depreciation and amortization | 11.7 | 9.5 | 43.0 | 36.7 | ||||||||||||
Non-GAAP gross profit | $ | 92.0 | $ | 140.6 | $ | 463.4 | $ | 580.2 | ||||||||
Gross margin (b) | 47.9 | % | 56.3 | % | 50.4 | % | 54.7 | % | ||||||||
Non-GAAP gross margin | 54.9 | % | 60.4 | % | 55.6 | % | 58.4 | % | ||||||||
SG&A as a % of total net sales (a) | 34.9 | % | 35.3 | % | 31.7 | % | 31.0 | % | ||||||||
Operating margin | 10.2 | % | 17.8 | % | 17.4 | % | 22.1 | % | ||||||||
Effective tax rate | 22.1 | % | 22.4 | % | 26.4 | % | 26.2 | % | ||||||||
__________ | ||||||||||||||||
(b) Inclusive of depreciation and amortization. | ||||||||||||||||
Donnelley Financial Solutions, Inc. and Subsidiaries ("DFIN") | ||||||||||||||||||||||||
Reconciliation of GAAP to Non-GAAP Measures | ||||||||||||||||||||||||
For the Three and Twelve Months Ended December 31, 2022 | ||||||||||||||||||||||||
(UNAUDITED) | ||||||||||||||||||||||||
(in millions, except per share data) | ||||||||||||||||||||||||
For the Three Months Ended December 31, 2022 | ||||||||||||||||||||||||
Gross profit | SG&A (a) | Income (loss) from operations | Operating margin | Net earnings (loss) | Net earnings (loss) per diluted share | |||||||||||||||||||
GAAP basis measures | $ | 80.3 | $ | 58.5 | $ | 17.1 | 10.2 | % | $ | 10.9 | $ | 0.36 | ||||||||||||
Exclude: Depreciation and amortization | 11.7 | |||||||||||||||||||||||
Non-GAAP basis measures | 92.0 | |||||||||||||||||||||||
Non-GAAP % of total net sales | 54.9 | % | ||||||||||||||||||||||
Non-GAAP adjustments: | ||||||||||||||||||||||||
Restructuring, impairment and other charges, net | — | — | 3.1 | 1.8 | % | 2.3 | 0.07 | |||||||||||||||||
Share-based compensation expense | — | (5.4) | 5.4 | 3.2 | % | 4.0 | 0.13 | |||||||||||||||||
Non-income tax, net | — | 0.2 | (0.2) | (0.1) | % | (0.1) | — | |||||||||||||||||
COVID-19 related recoveries | (0.2) | — | (0.2) | (0.1) | % | (0.1) | — | |||||||||||||||||
Accelerated rent expense | 0.5 | (0.1) | 0.6 | 0.4 | % | 0.5 | 0.02 | |||||||||||||||||
Loss on sale of a business | — | — | 0.7 | 0.4 | % | 0.4 | 0.01 | |||||||||||||||||
Disposition-related expenses | — | — | 0.1 | 0.1 | % | 0.1 | — | |||||||||||||||||
Total Non-GAAP adjustments (b) | 0.3 | (5.3) | 9.5 | 5.7 | % | 7.1 | 0.23 | |||||||||||||||||
Adjusted Non-GAAP measures (b) | $ | 92.3 | $ | 53.2 | $ | 26.6 | 15.9 | % | $ | 18.0 | $ | 0.59 | ||||||||||||
For the Twelve Months Ended December 31, 2022 | ||||||||||||||||||||||||
Gross profit | SG&A (a) | Income (loss) from operations | Operating margin | Net earnings (loss) | Net earnings (loss) per diluted share | |||||||||||||||||||
GAAP basis measures | $ | 420.4 | $ | 264.0 | $ | 145.0 | 17.4 | % | $ | 102.5 | $ | 3.17 | ||||||||||||
Exclude: Depreciation and amortization | 43.0 | |||||||||||||||||||||||
Non-GAAP basis measures | 463.4 | |||||||||||||||||||||||
Non-GAAP % of total net sales | 55.6 | % | ||||||||||||||||||||||
Non-GAAP adjustments: | ||||||||||||||||||||||||
Restructuring, impairment and other charges, net | — | — | 7.7 | 0.9 | % | 5.7 | 0.18 | |||||||||||||||||
Share-based compensation expense | — | (19.3) | 19.3 | 2.3 | % | 12.1 | 0.37 | |||||||||||||||||
Non-income tax, net | — | 0.9 | (0.9) | (0.1) | % | (0.6) | (0.02) | |||||||||||||||||
Gain on sale of long-lived assets | — | 0.2 | (0.2) | — | (0.2) | (0.01) | ||||||||||||||||||
COVID-19 related recoveries | (0.4) | 0.1 | (0.5) | (0.1) | % | (0.3) | (0.01) | |||||||||||||||||
Accelerated rent expense | 0.6 | (0.2) | 0.8 | 0.1 | % | 0.6 | 0.02 | |||||||||||||||||
Loss on sale of a business | — | — | 0.7 | 0.1 | % | 0.4 | 0.01 | |||||||||||||||||
Disposition-related expenses | — | — | 0.1 | — | 0.1 | — | ||||||||||||||||||
Gain on equity investment | — | — | — | — | (0.4) | (0.01) | ||||||||||||||||||
Total Non-GAAP adjustments (b) | 0.2 | (18.3) | 27.0 | 3.2 | % | 17.4 | 0.54 | |||||||||||||||||
Adjusted Non-GAAP measures (b) | $ | 463.6 | $ | 245.7 | $ | 172.0 | 20.6 | % | $ | 119.9 | $ | 3.71 | ||||||||||||
__________ | |
(a) | Exclusive of depreciation and amortization. |
(b) | Totals may not foot due to rounding. |
Donnelley Financial Solutions, Inc. and Subsidiaries ("DFIN") | ||||||||||||||||||||||||
Reconciliation of GAAP to Non-GAAP Measures | ||||||||||||||||||||||||
For the Three and Twelve Months Ended December 31, 2021 | ||||||||||||||||||||||||
(UNAUDITED) | ||||||||||||||||||||||||
(in millions, except per share data) | ||||||||||||||||||||||||
For the Three Months Ended December 31, 2021 | ||||||||||||||||||||||||
Gross profit | SG&A (a) | Income (loss) from operations | Operating margin | Net earnings (loss) | Net earnings (loss) per diluted share | |||||||||||||||||||
GAAP basis measures | $ | 131.1 | $ | 82.1 | $ | 41.4 | 17.8 | % | $ | 25.6 | $ | 0.73 | ||||||||||||
Exclude: Depreciation and amortization | 9.5 | |||||||||||||||||||||||
Non-GAAP basis measures | 140.6 | |||||||||||||||||||||||
Non-GAAP % of total net sales | 60.4 | % | ||||||||||||||||||||||
Non-GAAP adjustments: | ||||||||||||||||||||||||
Restructuring, impairment and other charges, net | — | — | 6.7 | 2.9 | % | 4.9 | 0.14 | |||||||||||||||||
Share-based compensation expense | — | (5.3) | 5.3 | 2.3 | % | 3.7 | 0.11 | |||||||||||||||||
LSC multiemployer pension plan obligation | — | 2.3 | (2.3) | (1.0) | % | (1.7) | (0.05) | |||||||||||||||||
Non-income tax, net | — | 0.2 | (0.2) | (0.1) | % | (0.2) | (0.01) | |||||||||||||||||
Loss on debt extinguishment (c) | — | — | — | — | 5.4 | 0.16 | ||||||||||||||||||
Total Non-GAAP adjustments (b) | — | (2.8) | 9.5 | 4.1 | % | 12.1 | 0.34 | |||||||||||||||||
Adjusted Non-GAAP measures (b) | $ | 140.6 | $ | 79.3 | $ | 50.9 | 21.9 | % | $ | 37.7 | $ | 1.07 | ||||||||||||
For the Twelve Months Ended December 31, 2021 | ||||||||||||||||||||||||
Gross profit | SG&A (a) | Income (loss) from operations | Operating margin | Net earnings (loss) | Net earnings (loss) per diluted share | |||||||||||||||||||
GAAP basis measures | $ | 543.5 | $ | 307.7 | $ | 219.3 | 22.1 | % | $ | 145.9 | $ | 4.14 | ||||||||||||
Exclude: Depreciation and amortization | 36.7 | |||||||||||||||||||||||
Non-GAAP basis measures | 580.2 | |||||||||||||||||||||||
Non-GAAP % of total net sales | 58.4 | % | ||||||||||||||||||||||
Non-GAAP adjustments: | ||||||||||||||||||||||||
Restructuring, impairment and other charges, net | — | — | 13.6 | 1.4 | % | 9.9 | 0.28 | |||||||||||||||||
Share-based compensation expense | — | (19.5) | 19.5 | 2.0 | % | 9.9 | 0.28 | |||||||||||||||||
LSC multiemployer pension plan obligation | — | (5.4) | 5.4 | 0.5 | % | 3.9 | 0.11 | |||||||||||||||||
Non-income tax, net | — | 1.6 | (1.6) | (0.2) | % | (1.2) | (0.03) | |||||||||||||||||
COVID-19 related recoveries | (1.0) | — | (1.0) | (0.1) | % | (0.7) | (0.02) | |||||||||||||||||
Gain on sale of long-lived assets, net | — | — | (0.7) | (0.1) | % | (0.5) | (0.01) | |||||||||||||||||
Gain on equity investments, net | — | — | — | — | (0.3) | (0.01) | ||||||||||||||||||
Loss on debt extinguishment (c) | — | — | — | — | 5.4 | 0.16 | ||||||||||||||||||
Total Non-GAAP adjustments (b) | (1.0) | (23.3) | 35.2 | 3.5 | % | 26.4 | 0.75 | |||||||||||||||||
Adjusted Non-GAAP measures (b) | $ | 579.2 | $ | 284.4 | $ | 254.5 | 25.6 | % | $ | 172.3 | $ | 4.89 | ||||||||||||
__________ | |
(a) | Exclusive of depreciation and amortization. |
(b) | Totals may not foot due to rounding. |
(c) | Loss on debt extinguishment is recorded within interest expense, net in the Company's Unaudited Condensed Consolidated Statements of Operations. |
Donnelley Financial Solutions, Inc. and Subsidiaries ("DFIN") | ||||||||||||||||||||||||
Segment GAAP to Non-GAAP Reconciliation and Supplementary Information | ||||||||||||||||||||||||
For the Three Months Ended December 31, 2022 and 2021 | ||||||||||||||||||||||||
(UNAUDITED) | ||||||||||||||||||||||||
(in millions) | ||||||||||||||||||||||||
Capital | Capital Markets - | Investment | Investment | Corporate | Consolidated | |||||||||||||||||||
For the Three Months Ended December 31, 2022 | ||||||||||||||||||||||||
Net sales | $ | 43.4 | $ | 73.4 | $ | 25.3 | $ | 25.6 | $ | — | $ | 167.7 | ||||||||||||
Income (loss) from operations | 1.7 | 19.8 | 5.9 | 3.4 | (13.7) | 17.1 | ||||||||||||||||||
Operating margin % | 3.9 | % | 27.0 | % | 23.3 | % | 13.3 | % | nm | 10.2 | % | |||||||||||||
Non-GAAP Adjustments | ||||||||||||||||||||||||
Restructuring, impairment and other charges, net | 0.4 | 1.5 | 0.3 | 0.8 | 0.1 | 3.1 | ||||||||||||||||||
Share-based compensation expense | — | — | — | — | 5.4 | 5.4 | ||||||||||||||||||
Non-income tax, net | (0.1) | — | (0.1) | — | — | (0.2) | ||||||||||||||||||
COVID-19 related recoveries | — | (0.2) | — | — | — | (0.2) | ||||||||||||||||||
Accelerated rent expense | 0.2 | 0.3 | — | 0.1 | — | 0.6 | ||||||||||||||||||
Loss on sale of a business | 0.7 | — | — | — | — | 0.7 | ||||||||||||||||||
Disposition-related expenses | — | — | — | — | 0.1 | 0.1 | ||||||||||||||||||
Total Non-GAAP adjustments | 1.2 | 1.6 | 0.2 | 0.9 | 5.6 | 9.5 | ||||||||||||||||||
Non-GAAP income (loss) from operations | $ | 2.9 | $ | 21.4 | $ | 6.1 | $ | 4.3 | $ | (8.1) | $ | 26.6 | ||||||||||||
Non-GAAP operating margin % | 6.7 | % | 29.2 | % | 24.1 | % | 16.8 | % | nm | 15.9 | % | |||||||||||||
Depreciation and amortization | 6.3 | 2.0 | 3.2 | 1.2 | — | 12.7 | ||||||||||||||||||
Adjusted EBITDA | $ | 9.2 | $ | 23.4 | $ | 9.3 | $ | 5.5 | $ | (8.1) | $ | 39.3 | ||||||||||||
Adjusted EBITDA margin % | 21.2 | % | 31.9 | % | 36.8 | % | 21.5 | % | nm | 23.4 | % | |||||||||||||
Capital expenditures | $ | 7.4 | $ | 1.4 | $ | 3.8 | $ | 0.9 | $ | 1.3 | $ | 14.8 | ||||||||||||
For the Three Months Ended December 31, 2021 | ||||||||||||||||||||||||
Net sales | $ | 50.6 | $ | 127.4 | $ | 23.2 | $ | 31.6 | $ | — | $ | 232.8 | ||||||||||||
Income (loss) from operations | 7.1 | 51.1 | 2.0 | 3.8 | (22.6) | 41.4 | ||||||||||||||||||
Operating margin % | 14.0 | % | 40.1 | % | 8.6 | % | 12.0 | % | nm | 17.8 | % | |||||||||||||
Non-GAAP Adjustments | ||||||||||||||||||||||||
Restructuring, impairment and other charges, net | 0.1 | 0.2 | — | — | 6.4 | 6.7 | ||||||||||||||||||
Share-based compensation expense | — | — | — | — | 5.3 | 5.3 | ||||||||||||||||||
LSC multiemployer pension plans obligation | — | — | — | — | (2.3) | (2.3) | ||||||||||||||||||
Non-income tax, net | (0.1) | — | (0.1) | — | — | (0.2) | ||||||||||||||||||
COVID-19 related recoveries | — | 0.1 | — | (0.1) | — | — | ||||||||||||||||||
Total Non-GAAP adjustments | — | 0.3 | (0.1) | (0.1) | 9.4 | 9.5 | ||||||||||||||||||
Non-GAAP income (loss) from operations | $ | 7.1 | $ | 51.4 | $ | 1.9 | $ | 3.7 | $ | (13.2) | $ | 50.9 | ||||||||||||
Non-GAAP operating margin % | 14.0 | % | 40.3 | % | 8.2 | % | 11.7 | % | nm | 21.9 | % | |||||||||||||
Depreciation and amortization | 4.7 | 1.4 | 2.8 | 1.3 | 0.2 | 10.4 | ||||||||||||||||||
Adjusted EBITDA | $ | 11.8 | $ | 52.8 | $ | 4.7 | $ | 5.0 | $ | (13.0) | $ | 61.3 | ||||||||||||
Adjusted EBITDA margin % | 23.3 | % | 41.4 | % | 20.3 | % | 15.8 | % | nm | 26.3 | % | |||||||||||||
Capital expenditures | $ | 6.5 | $ | 0.9 | $ | 4.3 | $ | 0.6 | $ | 1.8 | $ | 14.1 | ||||||||||||
__________ |
nm - Not meaningful |
Donnelley Financial Solutions, Inc. and Subsidiaries ("DFIN") | ||||||||||||||||||||||||
Segment GAAP to Non-GAAP Reconciliation and Supplementary Information | ||||||||||||||||||||||||
For the Twelve Months Ended December 31, 2022 and 2021 | ||||||||||||||||||||||||
(UNAUDITED) | ||||||||||||||||||||||||
(in millions) | ||||||||||||||||||||||||
Capital | Capital Markets - | Investment | Investment | Corporate | Consolidated | |||||||||||||||||||
For the Twelve Months Ended December 31, 2022 | ||||||||||||||||||||||||
Net sales | $ | 180.2 | $ | 410.3 | $ | 99.4 | $ | 143.7 | $ | — | $ | 833.6 | ||||||||||||
Income (loss) from operations | 13.5 | 131.4 | 21.9 | 35.7 | (57.5) | 145.0 | ||||||||||||||||||
Operating margin % | 7.5 | % | 32.0 | % | 22.0 | % | 24.8 | % | nm | 17.4 | % | |||||||||||||
Non-GAAP Adjustments | ||||||||||||||||||||||||
Restructuring, impairment and other charges, net | 1.5 | 3.7 | 0.5 | 1.4 | 0.6 | 7.7 | ||||||||||||||||||
Share-based compensation expense | — | — | — | — | 19.3 | 19.3 | ||||||||||||||||||
Non-income tax, net | (0.6) | (0.1) | (0.2) | — | — | (0.9) | ||||||||||||||||||
Gain on sale of long-lived assets | — | (0.2) | — | — | — | (0.2) | ||||||||||||||||||
COVID-19 related recoveries | — | (0.5) | — | — | — | (0.5) | ||||||||||||||||||
Loss on sale of a business | 0.7 | — | — | — | — | 0.7 | ||||||||||||||||||
Accelerated rent expense | 0.2 | 0.4 | — | 0.1 | 0.1 | 0.8 | ||||||||||||||||||
Disposition-related expenses | — | — | — | — | 0.1 | 0.1 | ||||||||||||||||||
Total Non-GAAP adjustments | 1.8 | 3.3 | 0.3 | 1.5 | 20.1 | 27.0 | ||||||||||||||||||
Non-GAAP income (loss) from operations | $ | 15.3 | $ | 134.7 | $ | 22.2 | $ | 37.2 | $ | (37.4) | $ | 172.0 | ||||||||||||
Non-GAAP operating margin % | 8.5 | % | 32.8 | % | 22.3 | % | 25.9 | % | nm | 20.6 | % | |||||||||||||
Depreciation and amortization | 23.0 | 6.7 | 11.9 | 4.6 | 0.1 | 46.3 | ||||||||||||||||||
Adjusted EBITDA | $ | 38.3 | $ | 141.4 | $ | 34.1 | $ | 41.8 | $ | (37.3) | $ | 218.3 | ||||||||||||
Adjusted EBITDA margin % | 21.3 | % | 34.5 | % | 34.3 | % | 29.1 | % | nm | 26.2 | % | |||||||||||||
Capital expenditures | $ | 27.0 | $ | 5.0 | $ | 15.6 | $ | 3.0 | $ | 3.6 | $ | 54.2 | ||||||||||||
For the Twelve Months Ended December 31, 2021 | ||||||||||||||||||||||||
Net sales | $ | 181.0 | $ | 561.5 | $ | 89.0 | $ | 161.8 | $ | — | $ | 993.3 | ||||||||||||
Income (loss) from operations | 30.4 | 242.6 | 8.9 | 15.0 | (77.6) | 219.3 | ||||||||||||||||||
Operating margin % | 16.8 | % | 43.2 | % | 10.0 | % | 9.3 | % | nm | 22.1 | % | |||||||||||||
Non-GAAP Adjustments | ||||||||||||||||||||||||
Restructuring, impairment and other charges, net | 0.4 | 3.5 | 0.1 | 2.9 | 6.7 | 13.6 | ||||||||||||||||||
Share-based compensation expense | — | — | — | — | 19.5 | 19.5 | ||||||||||||||||||
LSC multiemployer pension plans obligation | — | — | — | — | 5.4 | 5.4 | ||||||||||||||||||
Non-income tax, net | (1.0) | (0.2) | (0.3) | (0.1) | — | (1.6) | ||||||||||||||||||
Gain on sale of long-lived assets, net | — | — | — | (0.7) | — | (0.7) | ||||||||||||||||||
COVID-19 related recoveries | — | (0.2) | — | (0.8) | — | (1.0) | ||||||||||||||||||
Total Non-GAAP adjustments | (0.6) | 3.1 | (0.2) | 1.3 | 31.6 | 35.2 | ||||||||||||||||||
Non-GAAP income (loss) from operations | $ | 29.8 | $ | 245.7 | $ | 8.7 | $ | 16.3 | $ | (46.0) | $ | 254.5 | ||||||||||||
Non-GAAP operating margin % | 16.5 | % | 43.8 | % | 9.8 | % | 10.1 | % | nm | 25.6 | % | |||||||||||||
Depreciation and amortization | 16.7 | 5.9 | 12.6 | 4.7 | 0.4 | 40.3 | ||||||||||||||||||
Adjusted EBITDA | $ | 46.5 | $ | 251.6 | $ | 21.3 | $ | 21.0 | $ | (45.6) | $ | 294.8 | ||||||||||||
Adjusted EBITDA margin % | 25.7 | % | 44.8 | % | 23.9 | % | 13.0 | % | nm | 29.7 | % | |||||||||||||
Capital expenditures | $ | 18.8 | $ | 3.0 | $ | 13.0 | $ | 2.9 | $ | 4.6 | $ | 42.3 | ||||||||||||
__________ |
nm - Not meaningful |
Donnelley Financial Solutions, Inc. and Subsidiaries ("DFIN") | ||||||||
Condensed Consolidated Statements of Cash Flows | ||||||||
(UNAUDITED) | ||||||||
(in millions) | ||||||||
For the Twelve Months Ended | ||||||||
2022 | 2021 | |||||||
Operating Activities | ||||||||
Net earnings | $ | 102.5 | $ | 145.9 | ||||
Adjustments to reconcile net earnings to net cash provided by operating activities: | ||||||||
Depreciation and amortization | 46.3 | 40.3 | ||||||
Provision for expected losses on accounts receivable | 8.4 | 2.8 | ||||||
Impairment charges | 0.1 | 9.2 | ||||||
Share-based compensation | 19.3 | 19.5 | ||||||
Non-cash loss on debt extinguishments | — | 2.6 | ||||||
Deferred income taxes | (0.5) | (0.3) | ||||||
Net pension plan income | (0.9) | (4.2) | ||||||
Amortization of right-of-use assets | 16.4 | 17.3 | ||||||
Other | 1.8 | 0.8 | ||||||
Changes in operating assets and liabilities, net of acquisition: | ||||||||
Accounts receivable, net | 24.4 | (28.8) | ||||||
Prepaid expenses and other current assets | (3.2) | (6.2) | ||||||
Accounts payable | 12.1 | (19.8) | ||||||
Income taxes payable and receivable | (2.1) | (13.5) | ||||||
Accrued liabilities and other | (53.9) | 36.6 | ||||||
Operating lease liabilities | (18.9) | (20.8) | ||||||
Pension and other postretirement benefits plans contributions | (1.6) | (1.4) | ||||||
Net cash provided by operating activities | 150.2 | 180.0 | ||||||
Investing Activities | ||||||||
Capital expenditures | (54.2) | (42.3) | ||||||
Proceeds from sale of a business | 3.3 | — | ||||||
Acquisitions, net of cash acquired | — | (3.6) | ||||||
Other investing activities | — | 0.9 | ||||||
Net cash used in investing activities | (50.9) | (45.0) | ||||||
Financing Activities | ||||||||
Revolving facility borrowings | 345.5 | 278.0 | ||||||
Payments on revolving facility borrowings | (300.5) | (278.0) | ||||||
Proceeds from issuance of long-term debt | — | 200.0 | ||||||
Payments on long-term debt | — | (312.8) | ||||||
Debt issuance costs | — | (2.8) | ||||||
Treasury share repurchases | (164.7) | (40.9) | ||||||
Proceeds from exercise of stock options | 0.4 | 2.3 | ||||||
Finance lease payments | (1.8) | (0.8) | ||||||
Other financing activities | — | 0.1 | ||||||
Net cash used in financing activities | (121.1) | (154.9) | ||||||
Effect of exchange rate on cash and cash equivalents | 1.5 | 0.8 | ||||||
Net decrease in cash and cash equivalents | (20.3) | (19.1) | ||||||
Cash and cash equivalents at beginning of year | 54.5 | 73.6 | ||||||
Cash and cash equivalents at end of period | $ | 34.2 | $ | 54.5 | ||||
Supplemental cash flow information: | ||||||||
Income taxes paid (net of refunds) | $ | 38.4 | $ | 65.0 | ||||
Interest paid | $ | 7.6 | $ | 21.8 | ||||
Additional Information: | ||||||||||||||||
For the Three Months | For the Twelve Months Ended | |||||||||||||||
2022 | 2021 | 2022 | 2021 | |||||||||||||
Net cash provided by operating activities | $ | 73.3 | $ | 76.8 | $ | 150.2 | $ | 180.0 | ||||||||
Less: capital expenditures | 14.8 | 14.1 | 54.2 | 42.3 | ||||||||||||
Free Cash Flow | $ | 58.5 | $ | 62.7 | $ | 96.0 | $ | 137.7 | ||||||||
Donnelley Financial Solutions, Inc. and Subsidiaries ("DFIN") | ||||||||||||||||||||
Reconciliation of Reported to Organic Net Sales | ||||||||||||||||||||
(UNAUDITED) | ||||||||||||||||||||
(in millions) | ||||||||||||||||||||
Capital | Capital Markets - | Investment | Investment | Consolidated | ||||||||||||||||
Reported Net Sales: | ||||||||||||||||||||
For the Three Months Ended December 31, 2022 | $ | 43.4 | $ | 73.4 | $ | 25.3 | $ | 25.6 | $ | 167.7 | ||||||||||
For the Three Months Ended December 31, 2021 | 50.6 | 127.4 | 23.2 | 31.6 | 232.8 | |||||||||||||||
Net sales change | (14.2) | % | (42.4) | % | 9.1 | % | (19.0) | % | (28.0) | % | ||||||||||
Supplementary non-GAAP information: | ||||||||||||||||||||
Year-over-year impact of changes in foreign exchange rates | (0.8) | % | (0.7) | % | (1.7) | % | (0.3) | % | (0.8) | % | ||||||||||
Year-over-year impact of the EOL disposition | (2.2) | % | — | — | — | (0.5) | % | |||||||||||||
Net organic sales change | (11.2) | % | (41.7) | % | 10.8 | % | (18.7) | % | (26.7) | % | ||||||||||
Capital Markets - Software Solutions | Capital Markets - Compliance and Communications Management | Investment Companies - Software Solutions | Investment Companies - Compliance and Communications Management | Consolidated | ||||||||||||||||
Reported Net Sales: | ||||||||||||||||||||
For the Twelve Months Ended December 31, 2022 | $ | 180.2 | $ | 410.3 | $ | 99.4 | $ | 143.7 | $ | 833.6 | ||||||||||
For the Twelve Months Ended December 31, 2021 | 181.0 | 561.5 | 89.0 | 161.8 | 993.3 | |||||||||||||||
Net sales change | (0.4) | % | (26.9) | % | 11.7 | % | (11.2) | % | (16.1) | % | ||||||||||
Supplementary non-GAAP information: | ||||||||||||||||||||
Year-over-year impact of changes in foreign exchange rates | (0.8) | % | (0.6) | % | (1.7) | % | (0.1) | % | (0.6) | % | ||||||||||
Year-over-year impact of the EOL disposition | (0.6) | % | — | — | — | (0.1) | % | |||||||||||||
Net organic sales change | 1.0 | % | (26.3) | % | 13.4 | % | (11.1) | % | (15.4) | % | ||||||||||
Donnelley Financial Solutions, Inc. and Subsidiaries ("DFIN") | ||||||||||||||||||||
Reconciliation of Net Earnings to Adjusted EBITDA | ||||||||||||||||||||
(UNAUDITED) | ||||||||||||||||||||
(in millions) | ||||||||||||||||||||
For the Twelve Months Ended | For the Three Months Ended | |||||||||||||||||||
December 31, 2022 | December 31, 2022 | September 30, 2022 | June 30, 2022 | March 31, 2022 | ||||||||||||||||
Net earnings | $ | 102.5 | $ | 10.9 | $ | 19.2 | $ | 46.0 | $ | 26.4 | ||||||||||
Adjustments | ||||||||||||||||||||
Restructuring, impairment and other charges, net | 7.7 | 3.1 | 2.6 | 0.2 | 1.8 | |||||||||||||||
Share-based compensation expense | 19.3 | 5.4 | 4.4 | 5.9 | 3.6 | |||||||||||||||
Accelerated rent expense | 0.8 | 0.6 | 0.2 | — | — | |||||||||||||||
Loss on sale of a business | 0.7 | 0.7 | — | — | — | |||||||||||||||
Disposition-related expenses | 0.1 | 0.1 | — | — | — | |||||||||||||||
Non-income tax, net | (0.9) | (0.2) | (0.2) | (0.2) | (0.3) | |||||||||||||||
COVID-19 related recoveries | (0.5) | (0.2) | (0.1) | (0.2) | — | |||||||||||||||
Gain on equity investment | (0.5) | — | (0.5) | — | — | |||||||||||||||
Gain on sale of long-lived assets | (0.2) | — | — | (0.2) | — | |||||||||||||||
Depreciation and amortization | 46.3 | 12.7 | 11.7 | 11.2 | 10.7 | |||||||||||||||
Interest expense, net | 9.2 | 3.3 | 2.3 | 2.1 | 1.5 | |||||||||||||||
Investment and other income, net | (3.0) | (0.2) | (2.3) | (0.3) | (0.2) | |||||||||||||||
Income tax expense | 36.8 | 3.1 | 8.0 | 18.1 | 7.6 | |||||||||||||||
Total Non-GAAP adjustments | 115.8 | 28.4 | 26.1 | 36.6 | 24.7 | |||||||||||||||
Adjusted EBITDA | $ | 218.3 | $ | 39.3 | $ | 45.3 | $ | 82.6 | $ | 51.1 | ||||||||||
Tech-enabled services | $ | 380.9 | $ | 68.5 | $ | 87.4 | $ | 133.3 | $ | 91.7 | ||||||||||
Software solutions | 279.6 | 68.7 | 69.5 | 71.6 | 69.8 | |||||||||||||||
Print and distribution | 173.1 | 30.5 | 31.8 | 61.3 | 49.5 | |||||||||||||||
Total net sales | $ | 833.6 | $ | 167.7 | $ | 188.7 | $ | 266.2 | $ | 211.0 | ||||||||||
Adjusted EBITDA margin % | 26.2 | % | 23.4 | % | 24.0 | % | 31.0 | % | 24.2 | % | ||||||||||
Donnelley Financial Solutions, Inc. and Subsidiaries ("DFIN") | ||||||||||||||||||||
Reconciliation of Net Earnings to Adjusted EBITDA | ||||||||||||||||||||
(UNAUDITED) | ||||||||||||||||||||
(in millions) | ||||||||||||||||||||
For the Twelve Months Ended | For the Three Months Ended | |||||||||||||||||||
December 31, 2021 | December 31, 2021 | September 30, 2021 | June 30, 2021 | March 31, 2021 | ||||||||||||||||
Net earnings | $ | 145.9 | $ | 25.6 | $ | 42.2 | $ | 42.9 | $ | 35.2 | ||||||||||
Adjustments | ||||||||||||||||||||
Restructuring, impairment and other charges, net | 13.6 | 6.7 | 3.3 | 2.8 | 0.8 | |||||||||||||||
Share-based compensation expense | 19.5 | 5.3 | 5.2 | 5.9 | 3.1 | |||||||||||||||
LSC multiemployer pension plans obligation | 5.4 | (2.3) | 0.2 | 0.2 | 7.3 | |||||||||||||||
Non-income tax, net | (1.6) | (0.2) | (0.5) | (1.0) | 0.1 | |||||||||||||||
COVID-19 related recoveries | (1.0) | — | — | (0.1) | (0.9) | |||||||||||||||
Gain on sale of long-lived assets, net | (0.7) | — | (0.7) | — | — | |||||||||||||||
Gain on equity investments, net | (0.4) | — | (0.6) | — | 0.2 | |||||||||||||||
Depreciation and amortization | 40.3 | 10.4 | 10.0 | 10.1 | 9.8 | |||||||||||||||
Interest expense, net | 26.6 | 9.5 | 5.9 | 5.9 | 5.3 | |||||||||||||||
Investment and other income, net | (4.7) | (1.1) | (1.1) | (1.5) | (1.0) | |||||||||||||||
Income tax expense | 51.9 | 7.4 | 18.6 | 14.7 | 11.2 | |||||||||||||||
Total Non-GAAP adjustments | 148.9 | 35.7 | 40.3 | 37.0 | 35.9 | |||||||||||||||
Adjusted EBITDA | $ | 294.8 | $ | 61.3 | $ | 82.5 | $ | 79.9 | $ | 71.1 | ||||||||||
Tech-enabled services | $ | 519.5 | $ | 124.9 | $ | 142.1 | $ | 134.0 | $ | 118.5 | ||||||||||
Software solutions | 270.0 | 73.8 | 69.3 | 66.6 | 60.3 | |||||||||||||||
Print and distribution | 203.8 | 34.1 | 36.3 | 66.9 | 66.5 | |||||||||||||||
Total net sales | $ | 993.3 | $ | 232.8 | $ | 247.7 | $ | 267.5 | $ | 245.3 | ||||||||||
Adjusted EBITDA margin % | 29.7 | % | 26.3 | % | 33.3 | % | 29.9 | % | 29.0 | % | ||||||||||
Donnelley Financial Solutions, Inc. and Subsidiaries ("DFIN") | ||||||||
Debt and Liquidity Summary | ||||||||
(UNAUDITED) | ||||||||
(in millions) | ||||||||
December 31, 2022 | December 31, 2021 | |||||||
Total Liquidity | ||||||||
Availability | ||||||||
Stated amount of the Revolving Facility (a) | $ | 300.0 | $ | 300.0 | ||||
Less: availability reduction from covenants | — | — | ||||||
Amount available under the Revolving Facility | 300.0 | 300.0 | ||||||
Usage | ||||||||
Borrowings under the Revolving Facility | 45.0 | — | ||||||
Impact on availability related to outstanding letters of credit | — | 2.2 | ||||||
Amount used under the Revolving Facility | 45.0 | 2.2 | ||||||
Availability under the Revolving Facility | 255.0 | 297.8 | ||||||
Cash and cash equivalents | 34.2 | 54.5 | ||||||
Net Available Liquidity | $ | 289.2 | $ | 352.3 | ||||
Term Loan A Facility | $ | 125.0 | $ | 125.0 | ||||
Borrowings under the Revolving Facility | 45.0 | — | ||||||
Unamortized debt issuance costs | (0.8) | (1.0) | ||||||
Total debt | $ | 169.2 | $ | 124.0 | ||||
Adjusted EBITDA for the twelve months ended December 31, 2022 and 2021 | $ | 218.3 | $ | 294.8 | ||||
Non-GAAP Gross Leverage (defined as total debt divided by Adjusted EBITDA) | 0.8 | x | 0.4 | x | ||||
Non-GAAP Net Debt (defined as total debt less cash and cash equivalents) | 135.0 | 69.5 | ||||||
Non-GAAP Net Leverage (defined as non-GAAP Net Debt divided by Adjusted EBITDA) | 0.6 | x | 0.2 | x | ||||
__________ | |
(a) | The Company has a |
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SOURCE Donnelley Financial LLC
FAQ
What are the financial results of DFIN for Q4 2022?
How did DFIN's software solutions perform in Q4 2022?
What was the adjusted EBITDA margin for DFIN in Q4 2022?
How many shares did DFIN repurchase in Q4 2022?
What is the outlook for DFIN's software sales by 2026?
