Phibro Animal Health Corporation Reports Fourth Quarter and Fiscal Year Results, Provides Financial Guidance
Phibro Animal Health (Nasdaq: PAHC) reported fourth-quarter and fiscal year 2024 results, showing mixed performance. Q4 Highlights: Net sales rose 7% to $273.2M; net income dropped $10.7M to $0.8M; diluted EPS fell by $0.26 to $0.02. Adjusted EBITDA increased 3% to $33.4M; adjusted net income rose 10% to $16.7M. Fiscal Year 2024 Highlights: Net sales grew 4% to $1.02B; net income decreased by $30.2M to $2.4M; diluted EPS dropped $0.75 to $0.06. Adjusted EBITDA fell 1% to $111.2M; adjusted net income dipped by 1% to $48.4M. Guidance for FY 2025: Net sales projected at $1.040B to $1.090B; adjusted EBITDA between $118M-$126M. CEO Jack Bendheim highlighted strength in Q4 performance and expects continued growth, especially in Animal Health.
Phibro Animal Health (Nasdaq: PAHC) ha riportato i risultati del quarto trimestre e dell'anno fiscale 2024, mostrando una performance mista. Principali risultati del Q4: Le vendite nette sono aumentate del 7% a $273,2 milioni; l'utile netto è calato di $10,7 milioni a $0,8 milioni; l'utile per azione diluito è sceso di $0,26 a $0,02. L'EBITDA rettificato è aumentato del 3% a $33,4 milioni; l'utile netto rettificato è salito del 10% a $16,7 milioni. Principali risultati dell'anno fiscale 2024: Le vendite nette sono cresciute del 4% a $1,02 miliardi; l'utile netto è diminuito di $30,2 milioni a $2,4 milioni; l'utile per azione diluito è calato di $0,75 a $0,06. L'EBITDA rettificato è sceso dell'1% a $111,2 milioni; l'utile netto rettificato è diminuito dell'1% a $48,4 milioni. Previsioni per l'anno fiscale 2025: Vendite nette previste tra $1,040 miliardi e $1,090 miliardi; EBITDA rettificato tra $118 milioni e $126 milioni. Il CEO Jack Bendheim ha evidenziato la solidità della performance nel Q4 e prevede una continua crescita, soprattutto nella salute animale.
Phibro Animal Health (Nasdaq: PAHC) reportó los resultados del cuarto trimestre y del año fiscal 2024, mostrando un rendimiento mixto. Aspectos destacados del Q4: Las ventas netas aumentaron un 7% a $273.2 millones; el ingreso neto cayó en $10.7 millones a $0.8 millones; las ganancias por acción diluidas cayeron en $0.26 a $0.02. El EBITDA ajustado aumentó un 3% a $33.4 millones; el ingreso neto ajustado creció un 10% a $16.7 millones. Aspectos destacados del año fiscal 2024: Las ventas netas crecieron un 4% a $1.02 mil millones; el ingreso neto disminuyó en $30.2 millones a $2.4 millones; las ganancias por acción diluidas cayeron en $0.75 a $0.06. El EBITDA ajustado cayó un 1% a $111.2 millones; el ingreso neto ajustado se redujo en un 1% a $48.4 millones. Proyecciones para el año fiscal 2025: Se proyecta que las ventas netas oscilarán entre $1.040 mil millones y $1.090 mil millones; EBITDA ajustado entre $118 millones y $126 millones. El CEO Jack Bendheim destacó la fortaleza en el rendimiento del Q4 y espera un crecimiento continuo, especialmente en salud animal.
Phibro Animal Health (Nasdaq: PAHC)는 2024 회계연도 4분기 및 전체 결과를 보고하며 엇갈린 실적을 보였습니다. 4분기 주요 내용: 순매출은 7% 증가하여 2억 7320만 달러에 달했고; 순이익은 1070만 달러 감소하여 80만 달러가 되었으며; 희석 주당 순이익은 0.26달러 감소하여 0.02 달러로 떨어졌습니다. 조정 EBITDA는 3% 증가하여 3천 340만 달러에 달했으며; 조정 순이익은 10% 상승하여 1천 670만 달러로 증가했습니다. 2024 회계연도 주요 내용: 순매출은 4% 증가하여 10억 2000만 달러에 이르었고; 순이익은 3020만 달러 감소하여 240만 달러가 되었으며; 희석 주당 순이익은 0.75달러 감소하여 0.06달러로 줄어들었습니다. 조정 EBITDA는 1% 감소하여 1억 1120만 달러가 되었고; 조정 순이익은 1% 감소하여 4840만 달러로 축소되었습니다. 2025 회계연도 전망: 순매출은 10억 4000만 달러에서 10억 9000만 달러로 예상되며; 조정 EBITDA는 1억 1800만 달러에서 1억 2600만 달러 사이로 예상됩니다. CEO 잭 벤다임은 4분기 실적의 강점을 강조하며 지속적인 성장이 있을 것이라 기대하고 있으며, 특히 동물 건강 분야에서 더욱 그렇습니다.
Phibro Animal Health (Nasdaq: PAHC) a rapporté des résultats du quatrième trimestre et de l'exercice fiscal 2024, montrant des performances mitigées. Points forts du Q4 : Les ventes nettes ont augmenté de 7 % pour atteindre 273,2 millions de dollars ; le résultat net a chuté de 10,7 millions de dollars pour atteindre 0,8 million de dollars ; le BPA dilué a baissé de 0,26 dollar pour s'établir à 0,02 dollar. L'EBITDA ajusté a augmenté de 3 % pour atteindre 33,4 millions de dollars ; le résultat net ajusté a augmenté de 10 % pour atteindre 16,7 millions de dollars. Points forts de l'exercice 2024 : Les ventes nettes ont progressé de 4 % pour atteindre 1,02 milliard de dollars ; le résultat net a diminué de 30,2 millions de dollars pour atteindre 2,4 millions de dollars ; le BPA dilué a baissé de 0,75 dollar pour atteindre 0,06 dollar. L'EBITDA ajusté a diminué de 1 % pour atteindre 111,2 millions de dollars ; le résultat net ajusté a reculé de 1 % pour atteindre 48,4 millions de dollars. Prévisions pour l'exercice 2025 : Les ventes nettes devraient se situer entre 1,040 milliard et 1,090 milliard de dollars ; l'EBITDA ajusté devrait se situer entre 118 millions et 126 millions de dollars. Le PDG Jack Bendheim a souligné la solidité de la performance au quatrième trimestre et s'attend à une croissance continue, notamment dans le domaine de la santé animale.
Phibro Animal Health (Nasdaq: PAHC) hat die Ergebnisse für das vierte Quartal und das Geschäftsjahr 2024 veröffentlicht, mit gemischter Leistung. Höhepunkte Q4: Der Nettoumsatz stieg um 7% auf 273,2 Millionen Dollar; der Nettogewinn sank um 10,7 Millionen Dollar auf 0,8 Millionen Dollar; der verwässerte Gewinn pro Aktie fiel um 0,26 Dollar auf 0,02 Dollar. Das bereinigte EBITDA stieg um 3% auf 33,4 Millionen Dollar; der bereinigte Nettogewinn erhöhte sich um 10% auf 16,7 Millionen Dollar. Höhepunkte Geschäftsjahr 2024: Der Nettoumsatz wuchs um 4% auf 1,02 Milliarden Dollar; der Nettogewinn fiel um 30,2 Millionen Dollar auf 2,4 Millionen Dollar; der verwässerte Gewinn pro Aktie fiel um 0,75 Dollar auf 0,06 Dollar. Das bereinigte EBITDA sank um 1% auf 111,2 Millionen Dollar; der bereinigte Nettogewinn ging um 1% auf 48,4 Millionen Dollar zurück. Prognose für das Geschäftsjahr 2025: Der Nettoumsatz wird zwischen 1,040 und 1,090 Milliarden Dollar geschätzt; das bereinigte EBITDA wird zwischen 118 und 126 Millionen Dollar liegen. CEO Jack Bendheim hob die Stärke der Leistung im Q4 hervor und erwartet weiteres Wachstum, insbesondere im Bereich Tiergesundheit.
- Q4 net sales increased 7% to $273.2M.
- Q4 adjusted EBITDA rose by 3% to $33.4M.
- Q4 adjusted net income increased 10% to $16.7M.
- FY 2024 net sales grew 4% to $1.017B.
- FY 2024 guidance indicates net sales between $1.040B and $1.090B.
- FY 2025 guidance suggests adjusted EBITDA of $118M to $126M.
- Q4 net income dropped by $10.7M to $0.8M.
- Q4 diluted EPS decreased by $0.26 to $0.02.
- FY 2024 net income fell by $30.2M to $2.4M.
- FY 2024 adjusted EBITDA decreased by 1% to $111.2M.
Insights
Phibro Animal Health 's Q4 and FY2024 results present a mixed picture. While Q4 showed some positive trends, the full-year performance was more muted:
- Q4 net sales increased
7% year-over-year to$273.2 million , with Animal Health segment growing8% - Q4 adjusted EBITDA rose
3% to$33.4 million - Full-year net sales grew
4% to$1.02 billion , but adjusted EBITDA declined slightly by1% to$111.2 million
The company's FY2025 guidance suggests improved performance, projecting
The animal health market appears resilient, as evidenced by Phibro's Animal Health segment growth. Key drivers include:
- Vaccines:
14% Q4 growth and21% full-year growth, driven by new poultry products in Latin America - MFAs and other:
12% Q4 growth and9% full-year growth, indicating strong demand across regions
The company's planned acquisition of Zoetis's Medicated Feed Additive portfolio could further strengthen its market position. However, challenges in the dairy sector and some international markets (e.g., Argentina, Brazil) warrant attention. The Phibro Forward initiative focused on revenue growth and cost savings could be a key differentiator if executed successfully.
Phibro's financial position presents some concerns:
- High leverage: 4.4x gross leverage ratio indicates significant debt burden
- Foreign currency exposure:
$23.9 million in FX losses for FY2024, primarily due to Argentine peso devaluation and Brazilian real weakening - Tax complexities: Effective tax rate volatility (77.9% for FY2024) due to various factors including GILTI taxes and international operations
While free cash flow of
Highlights for the three months ended June 30, 2024 (compared to the three months ended June 30, 2023)
-
Net sales of
$273.2 million $18.1 million 7% -
Net income of
$0.8 million $10.7 million -
Diluted earnings per share of
$0.02 $0.26 -
Adjusted EBITDA of
$33.4 million $1.1 million 3% -
Adjusted net income of
$16.7 million $1.5 million 10% -
Adjusted diluted EPS of
$0.41 $0.03 10%
Highlights for the year ended June 30, 2024 (compared to the year ended June 30, 2023)
-
Net sales of
$1,017.7 million $39.8 million 4% -
Net income of
$2.4 million $30.2 million -
Diluted earnings per share of
$0.06 $0.75 -
Adjusted EBITDA of
$111.2 million $1.5 million 1% -
Adjusted net income of
$48.4 million $0.6 million 1% -
Adjusted diluted EPS of
$1.19 $0.02 1%
We are providing full fiscal year 2025 guidance, which includes:
-
Net sales of
$1.04 0 billion$1.09 0 billion -
Adjusted EBITDA of
$118 million $126 million
Our guidance is on a standalone basis without giving effect to the proposed acquisition of Zoetis’s Medicated Feed Additive portfolio.
COMMENTARY
“We showed a lot of strength in our 4th quarter performance, with each of our segments growing at a faster year-over-year rate as compared to their first nine months of the year. This was led by our core Animal Health segment which grew at
Jack continued, “We ended the year on an upswing that we anticipate building upon as we enter our 2025 fiscal year. Our guidance reflects our strong momentum as well as the early fruits of Phibro Forward – a company-wide initiative we have undertaken focused on unlocking additional areas of revenue growth and cost savings. We expect meaningful additional impact from Phibro Forward in the years to come, and, together with the anticipated closing of the Zoetis MFA acquisition in the coming months, believe we are extremely well positioned to grow income faster than our historical levels.”
QUARTERLY RESULTS
Net sales
Net sales of
Animal Health
Net sales of
Mineral Nutrition
Net sales of
Performance Products
Net sales of
Gross profit
Gross profit of
Animal Health gross profit increased
Selling, general and administrative expenses
Selling, general and administrative expenses (“SG&A”) of
Animal Health SG&A increased
Interest expense, net
Interest expense, net of
Foreign currency losses (gains), net
Foreign currency losses, net for the three months ended June 30, 2024 were
Provision for income taxes
The provision for income taxes was
Net income
Net income of
Adjusted EBITDA
Adjusted EBITDA of
Adjusted provision for income taxes
The adjusted provision for income taxes was
Adjusted net income
Adjusted net income of
Adjusted diluted earnings per share
Adjusted diluted earnings per share was
FULL YEAR RESULTS
Net sales
Net sales of
Animal Health
Net sales of
Mineral Nutrition
Net sales of
Performance Products
Net sales of
Gross profit
Gross profit of
Animal Health gross profit increased
Selling, general and administrative expenses
SG&A expenses of
Animal Health SG&A increased
Interest expense, net
Interest expense, net of
Foreign currency (gains) losses, net
Foreign currency losses, net for the year ended June 30, 2024 were
Provision for income taxes
The provision for income taxes was
We record the GILTI-related aspects of comprehensive
Net income
Net income of
Adjusted EBITDA
Adjusted EBITDA of
Adjusted provision for income taxes
The adjusted provision for income taxes was
Adjusted net income
Adjusted net income of
Adjusted diluted earnings per share
Adjusted diluted earnings per share was
BALANCE SHEET AND CASH FLOWS
-
Free cash flow was
$46.4 million -
4.4x gross leverage ratio as of June 30, 2024
-
$489.1 million -
$111.2 million
-
-
Cash and short-term investments of
$114.6 million
FISCAL YEAR 2025 FINANCIAL GUIDANCE
The Company’s financial guidance for the year ending June 30, 2025, with year-over-year growth percentages calculated using the midpoint of the guidance provided, is:
-
Net sales of
$1.04 0 billion$1.09 0 billion5% growth -
Net income of
$32 million $38 million -
Diluted EPS of
$0.79 $0.93 -
Adjusted EBITDA of
$118 million $126 million 10% growth -
Adjusted net income of
$50 million $56 million 9% growth -
Adjusted diluted EPS of
$1.22 $1.37 9% growth -
Adjusted effective income tax rate of
25% to27%
Growth is driven by continued growth in our Animal Health business as well as recovery in Mineral Nutrition and Performance Products.
Guidance for GAAP measures assumes no foreign exchange (gains) losses for the year ending June 30, 2025.
Our guidance is on a standalone basis without giving effect to the proposed acquisition of Zoetis’s Medicated Feed Additive portfolio.
WEBCAST & CONFERENCE CALL DETAILS
Phibro Animal Health Corporation will host a webcast and conference call during which the Company will review its financial results and respond to questions.
Date: |
Thursday, August 29, 2024 |
|
Time: |
9:00 AM Eastern |
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Location: |
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+1 (888) 330-2022 |
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International Toll: |
+1 (365) 977-0051 |
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Conference ID: |
3927884 |
NOTE: To join this conference call, all participants will be required to provide the Conference ID number.
A replay of the webcast will be archived and made available on Phibro’s website.
DISCLOSURE NOTICES
Forward-Looking Statements: This communication contains forward-looking statements that are subject to risks and uncertainties, including with respect to any future debt and leverage levels. All statements other than statements of historical or current fact included in this report are forward-looking statements. Forward-looking statements discuss our current expectations and projections relating to our financial condition, results of operations, plans, objectives, future performance and business. You can identify forward-looking statements by the fact that they do not relate strictly to historical or current facts. These statements may include words such as “aim,” “anticipate,” “believe,” “estimate,” “expect,” “forecast,” “outlook,” “potential,” “project,” “projection,” “plan,” “intend,” “seek,” “may,” “could,” “would,” “will,” “should,” “can,” “can have,” “likely,” the negatives thereof and other words and terms of similar meaning in connection with any discussion of the timing or nature of future operating or financial performance or other events. These statements are not guarantees of future performance or actions. If one or more of these risks or uncertainties materialize, or if management’s underlying assumptions prove to be incorrect, actual results may differ materially from those contemplated by a forward-looking statement. Forward-looking statements speak only as of the date on which they are made. Phibro expressly disclaims any obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. A further list and description of risks, uncertainties and other matters can be found in our Quarterly Report on Form 10-Q and Annual Report on Form 10-K, including in the sections thereof captioned “Forward-Looking Statements” and “Risk Factors.” These filings and subsequent filings are available online at www.sec.gov, www.pahc.com, or on request from Phibro.
Non-GAAP Financial Information: We use non-GAAP financial measures, such as adjusted EBITDA, adjusted net income, adjusted diluted EPS and free cash flow to assess and analyze our operational results and trends and to make financial and operational decisions. Management uses adjusted EBITDA as its primary operating measure. We report adjusted net income to portray the results of our operations prior to considering certain income statement elements. We believe these non-GAAP financial measures are also useful to investors because they provide greater transparency regarding our operating performance. The non-GAAP financial measures included in this communication should not be considered alternatives to measurements required by GAAP, such as net income, operating income and earnings per share, and should not be considered measures of liquidity. These non-GAAP financial measures may not be comparable with non-GAAP information provided by other companies. Reconciliation of non-GAAP financial measures and GAAP financial measures are included in the tables accompanying this communication and/or our Quarterly Report on Form 10-Q and Annual Report on Form 10-K.
We are not providing a reconciliation of forward-looking guidance of non-GAAP financial measures to the most directly comparable GAAP financial measures because of the uncertainty regarding, and the potential variability of, certain of the items required for a reconciliation; accordingly, a reconciliation of the non-GAAP financial measure to the corresponding GAAP financial measure is not available without unreasonable effort.
Internet Posting of Information: We routinely post information that may be important to investors in the “Investors” section of our website at www.pahc.com. We encourage investors and potential investors to consult our website regularly for important information about us.
Phibro Animal Health Corporation Consolidated Results of Operations |
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Three Months |
Twelve Months |
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For the Periods Ended June 30 |
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2024 |
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2023 |
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Change |
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2024 |
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2023 |
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Change |
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(in millions, except per share amounts and percentages) |
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Net sales |
|
$ |
273.2 |
|
$ |
255.0 |
|
$ |
18.1 |
|
|
7 |
% |
$ |
1,017.7 |
|
$ |
977.9 |
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$ |
39.8 |
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|
4 |
% |
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Cost of goods sold |
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|
186.0 |
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178.4 |
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7.6 |
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4 |
% |
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704.6 |
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679.7 |
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24.9 |
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4 |
% |
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Gross profit |
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87.2 |
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76.7 |
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10.5 |
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14 |
% |
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313.1 |
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298.2 |
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14.9 |
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5 |
% |
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Selling, general and administrative |
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68.7 |
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52.9 |
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15.8 |
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30 |
% |
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259.8 |
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226.4 |
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33.4 |
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15 |
% |
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Operating income |
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18.4 |
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23.8 |
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(5.4 |
) |
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(23 |
)% |
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53.3 |
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71.8 |
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(18.5 |
) |
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(26 |
)% |
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Interest expense, net |
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4.7 |
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4.5 |
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0.2 |
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5 |
% |
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18.5 |
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15.3 |
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3.2 |
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21 |
% |
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Foreign currency (gains) losses, net |
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|
7.3 |
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(2.2 |
) |
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9.4 |
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* |
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23.9 |
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2.5 |
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21.4 |
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* |
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Income before income taxes |
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6.4 |
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21.4 |
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(15.0 |
) |
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(70 |
)% |
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10.9 |
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54.1 |
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(43.2 |
) |
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(80 |
)% |
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Provision for income taxes |
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5.7 |
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9.9 |
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(4.3 |
) |
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(43 |
)% |
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8.5 |
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21.5 |
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(13.0 |
) |
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(60 |
)% |
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Net income |
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$ |
0.8 |
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$ |
11.5 |
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$ |
(10.7 |
) |
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(93 |
)% |
$ |
2.4 |
|
$ |
32.6 |
|
$ |
(30.2 |
) |
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(93 |
)% |
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Net income per share - basic and diluted |
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basic |
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$ |
0.02 |
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$ |
0.28 |
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$ |
(0.26 |
) |
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(93 |
)% |
$ |
0.06 |
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$ |
0.81 |
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$ |
(0.75 |
) |
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(93 |
)% |
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diluted |
|
$ |
0.02 |
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$ |
0.28 |
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$ |
(0.26 |
) |
|
(93 |
)% |
$ |
0.06 |
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$ |
0.81 |
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$ |
(0.75 |
) |
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(93 |
)% |
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Weighted average common shares outstanding |
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basic |
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40.5 |
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40.5 |
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40.5 |
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40.5 |
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diluted |
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40.6 |
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40.5 |
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40.5 |
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40.5 |
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Ratio to net sales |
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Gross profit |
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31.9 |
% |
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30.1 |
% |
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30.8 |
% |
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30.5 |
% |
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Selling, general and administrative |
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25.2 |
% |
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20.7 |
% |
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25.5 |
% |
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23.2 |
% |
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Operating income |
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6.7 |
% |
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9.3 |
% |
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5.2 |
% |
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7.3 |
% |
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Income before income taxes |
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2.3 |
% |
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8.4 |
% |
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1.1 |
% |
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5.5 |
% |
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Net income |
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0.3 |
% |
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4.5 |
% |
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0.2 |
% |
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3.3 |
% |
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Effective tax rate |
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88.3 |
% |
|
46.4 |
% |
|
|
|
|
|
77.9 |
% |
|
39.7 |
% |
|
|
|
|
||||||
Amounts and percentages may reflect rounding adjustments. |
* Calculation not meaningful |
Phibro Animal Health Corporation Segment Net Sales and Adjusted EBITDA |
||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
|
Three Months |
Twelve Months |
|||||||||||||||||||||||||||
For the Periods Ended June 30 |
|
2024 |
2023 |
|
Change |
|
2024 |
|
2023 |
|
Change |
|||||||||||||||||||
|
|
(in millions, except percentages) |
||||||||||||||||||||||||||||
Net Sales |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
||||||||||||||
MFAs and other |
|
$ |
116.7 |
|
$ |
104.2 |
|
$ |
12.5 |
|
|
12 |
% |
$ |
421.0 |
|
$ |
387.3 |
|
$ |
33.6 |
|
|
9 |
% |
|||||
Nutritional specialties |
|
|
42.8 |
|
|
44.6 |
|
|
(1.7 |
) |
|
(4 |
)% |
|
164.7 |
|
|
172.5 |
|
|
(7.8 |
) |
|
(5 |
)% |
|||||
Vaccines |
|
|
32.0 |
|
|
28.0 |
|
|
4.0 |
|
|
14 |
% |
|
120.9 |
|
|
100.0 |
|
|
20.9 |
|
|
21 |
% |
|||||
Animal Health |
|
|
191.5 |
|
|
176.8 |
|
|
14.8 |
|
|
8 |
% |
|
706.5 |
|
|
659.9 |
|
|
46.6 |
|
|
7 |
% |
|||||
Mineral Nutrition |
|
|
62.1 |
|
|
58.4 |
|
|
3.6 |
|
|
6 |
% |
|
243.7 |
|
|
242.7 |
|
|
1.0 |
|
|
0 |
% |
|||||
Performance Products |
|
|
19.6 |
|
|
19.9 |
|
|
(0.3 |
) |
|
(1 |
)% |
|
67.5 |
|
|
75.4 |
|
|
(7.8 |
) |
|
(10 |
)% |
|||||
Total |
|
$ |
273.2 |
|
$ |
255.0 |
|
$ |
18.1 |
|
|
7 |
% |
$ |
1,017.7 |
|
$ |
977.9 |
|
$ |
39.8 |
|
|
4 |
% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Adjusted EBITDA |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Animal Health |
|
$ |
41.3 |
|
$ |
37.9 |
|
$ |
3.4 |
|
|
9 |
% |
$ |
145.6 |
|
$ |
136.1 |
|
$ |
9.5 |
|
|
7 |
% |
|||||
Mineral Nutrition |
|
|
5.4 |
|
|
3.9 |
|
|
1.5 |
|
|
40 |
% |
|
16.4 |
|
|
17.4 |
|
|
(1.0 |
) |
|
(6 |
)% |
|||||
Performance Products |
|
|
3.1 |
|
|
2.3 |
|
|
0.8 |
|
|
35 |
% |
|
7.7 |
|
|
9.3 |
|
|
(1.7 |
) |
|
(18 |
)% |
|||||
Corporate |
|
|
(16.3 |
) |
|
(11.7 |
) |
|
(4.6 |
) |
|
40 |
% |
|
(58.5 |
) |
|
(50.1 |
) |
|
(8.3 |
) |
|
17 |
% |
|||||
Total |
|
$ |
33.4 |
|
$ |
32.3 |
|
$ |
1.1 |
|
|
3 |
% |
$ |
111.2 |
|
$ |
112.8 |
|
$ |
(1.5 |
) |
|
(1 |
)% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Ratio to segment net sales |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Animal Health |
|
|
21.6 |
% |
|
21.4 |
% |
|
|
|
|
|
20.6 |
% |
|
20.6 |
% |
|
|
|
|
|||||||||
Mineral Nutrition |
|
|
8.7 |
% |
|
6.6 |
% |
|
|
|
|
|
6.8 |
% |
|
7.2 |
% |
|
|
|
|
|||||||||
Performance Products |
|
|
15.6 |
% |
|
11.5 |
% |
|
|
|
|
|
11.3 |
% |
|
12.4 |
% |
|
|
|
|
|||||||||
Corporate (1) |
|
|
(6.0 |
)% |
|
(4.6 |
)% |
|
|
|
|
|
(5.7 |
)% |
|
(5.1 |
)% |
|
|
|
|
|||||||||
Total (1) |
|
|
12.2 |
% |
|
12.7 |
% |
|
|
|
|
|
10.9 |
% |
|
11.5 |
% |
|
|
|
|
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Reconciliation of GAAP Net Income to Adjusted EBITDA |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Net income |
|
$ |
0.8 |
|
$ |
11.5 |
|
$ |
(10.7 |
) |
|
(93 |
)% |
$ |
2.4 |
|
$ |
32.6 |
|
$ |
(30.2 |
) |
|
(93 |
)% |
|||||
Interest expense, net |
|
|
4.7 |
|
|
4.5 |
|
|
0.2 |
|
|
5 |
% |
|
18.5 |
|
|
15.3 |
|
|
3.2 |
|
|
21 |
% |
|||||
Provision for income taxes |
|
|
5.7 |
|
|
9.9 |
|
|
(4.3 |
) |
|
(43 |
)% |
|
8.5 |
|
|
21.5 |
|
|
(13.0 |
) |
|
(60 |
)% |
|||||
Depreciation and amortization |
|
|
9.2 |
|
|
8.6 |
|
|
0.6 |
|
|
7 |
% |
|
36.2 |
|
|
34.0 |
|
|
2.2 |
|
|
6 |
% |
|||||
EBITDA |
|
|
20.3 |
|
|
34.5 |
|
|
(14.2 |
) |
|
(41 |
)% |
|
65.6 |
|
|
103.4 |
|
|
(37.8 |
) |
|
(37 |
)% |
|||||
Acquisition-related cost of goods sold |
|
|
— |
|
|
— |
|
|
— |
|
|
* |
|
0.5 |
|
|
— |
|
|
0.5 |
|
|
* |
|||||||
Acquisition-related transaction costs |
|
|
5.9 |
|
|
— |
|
|
5.9 |
|
|
* |
|
6.4 |
|
|
— |
|
|
6.4 |
|
|
* |
|||||||
Pension settlement cost |
|
|
— |
|
|
— |
|
|
— |
|
|
* |
|
10.7 |
|
|
— |
|
|
10.7 |
|
|
* |
|||||||
|
|
|
— |
|
|
— |
|
|
— |
|
|
* |
|
4.2 |
|
|
— |
|
|
4.2 |
|
|
* |
|||||||
Stock-based compensation |
|
|
0.2 |
|
|
— |
|
|
0.2 |
|
|
* |
|
0.5 |
|
|
— |
|
|
0.5 |
|
|
* |
|||||||
Phibro Forward income growth initiatives implementation costs (2) |
|
|
0.4 |
|
|
— |
|
|
0.4 |
|
|
* |
|
0.4 |
|
|
— |
|
|
0.4 |
|
|
* |
|||||||
Insurance proceeds |
|
|
(0.6 |
) |
|
— |
|
|
(0.6 |
) |
|
* |
|
(0.9 |
) |
|
— |
|
|
(0.9 |
) |
|
* |
|||||||
Environmental remediation costs |
|
|
— |
|
|
— |
|
|
— |
|
|
* |
|
— |
|
|
6.9 |
|
|
(6.9 |
) |
|
* |
|||||||
Foreign currency (gains) losses, net |
|
|
7.3 |
|
|
(2.2 |
) |
|
9.4 |
|
|
* |
|
23.9 |
|
|
2.5 |
|
|
21.4 |
|
|
* |
|||||||
Adjusted EBITDA |
|
$ |
33.4 |
|
$ |
32.3 |
|
$ |
1.1 |
|
|
3 |
% |
$ |
111.2 |
|
$ |
112.8 |
|
$ |
(1.5 |
) |
|
(1 |
)% |
|||||
Amounts and percentages may reflect rounding adjustments. |
|
* |
Calculation not meaningful |
(1) |
Reflects ratio to total net sales |
(2) |
Phibro Forward is a company-wide initiative focused on unlocking additional areas of revenue growth and cost savings |
Phibro Animal Health Corporation Adjusted Net Income |
||||||||||||||||||||||||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
|
|
Three Months |
Twelve Months |
|||||||||||||||||||||||||||
For the Periods Ended June 30 |
|
2024 |
2023 |
Change |
2024 |
2023 |
Change |
|||||||||||||||||||||||
|
|
(in millions, except per share amounts and percentages) |
||||||||||||||||||||||||||||
Reconciliation of GAAP Net Income to Adjusted Net Income |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Net income |
|
$ |
0.8 |
|
$ |
11.5 |
|
$ |
(10.7 |
) |
|
(93 |
)% |
$ |
2.4 |
|
$ |
32.6 |
|
$ |
(30.2 |
) |
|
(93 |
)% |
|||||
Acquisition-related intangible amortization(1) |
|
|
1.7 |
|
|
1.7 |
|
|
(0.0 |
) |
|
(1 |
)% |
|
6.7 |
|
|
6.7 |
|
|
0.0 |
|
|
0 |
% |
|||||
Acquisition-related intangible amortization(2) |
|
|
0.7 |
|
|
0.8 |
|
|
(0.1 |
) |
|
(13 |
)% |
|
3.0 |
|
|
3.0 |
|
|
(0.1 |
) |
|
(2 |
)% |
|||||
Acquisition-related cost of goods sold(1) |
|
|
— |
|
|
— |
|
|
— |
|
|
* |
|
0.5 |
|
|
— |
|
|
0.5 |
|
|
* |
|||||||
Acquisition-related transaction costs(2) |
|
|
5.9 |
|
|
— |
|
|
5.9 |
|
|
* |
|
6.4 |
|
|
— |
|
|
6.4 |
|
|
* |
|||||||
Pension settlement costs(2) |
|
|
— |
|
|
— |
|
|
— |
|
|
* |
|
10.7 |
|
|
— |
|
|
10.7 |
|
|
* |
|||||||
|
|
|
— |
|
|
— |
|
|
— |
|
|
* |
|
4.2 |
|
|
— |
|
|
4.2 |
|
|
* |
|||||||
Stock-based compensation(2) |
|
|
0.2 |
|
|
— |
|
|
0.2 |
|
|
* |
|
0.5 |
|
|
— |
|
|
0.5 |
|
|
* |
|||||||
Phibro Forward income growth initiatives implementation costs(2) |
|
|
0.4 |
|
|
— |
|
|
0.4 |
|
|
* |
|
0.4 |
|
|
— |
|
|
0.4 |
|
|
* |
|||||||
Insurance proceeds(2) |
|
|
(0.6 |
) |
|
— |
|
|
(0.6 |
) |
|
* |
|
(0.9 |
) |
|
— |
|
|
(0.9 |
) |
|
* |
|||||||
Environmental remediation costs(2) |
|
|
— |
|
|
— |
|
|
— |
|
|
* |
|
— |
|
|
6.9 |
|
|
(6.9 |
) |
|
* |
|||||||
Foreign currency (gains) losses, net(3) |
|
|
7.3 |
|
|
(2.2 |
) |
|
9.4 |
|
|
* |
|
23.9 |
|
|
2.5 |
|
|
21.4 |
|
|
* |
|||||||
Adjustments to income taxes(4) |
|
|
0.5 |
|
|
3.4 |
|
|
(2.9 |
) |
|
* |
|
(9.3 |
) |
|
(2.7 |
) |
|
(6.6 |
) |
|
* |
|||||||
Adjusted net income |
|
$ |
16.7 |
|
$ |
15.2 |
|
$ |
1.5 |
|
|
10 |
% |
$ |
48.4 |
|
$ |
49.0 |
|
$ |
(0.6 |
) |
|
(1 |
)% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Statement of Operations Line Items - adjusted |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Adjusted cost of goods sold(1) |
|
$ |
184.4 |
|
$ |
176.7 |
|
$ |
7.6 |
|
|
4 |
% |
$ |
697.4 |
|
$ |
673.0 |
|
$ |
24.4 |
|
|
4 |
% |
|||||
Adjusted gross profit |
|
|
88.8 |
|
|
78.3 |
|
|
10.5 |
|
|
13 |
% |
|
320.3 |
|
|
304.9 |
|
|
15.4 |
|
|
5 |
% |
|||||
Adjusted selling, general and administrative(2) |
|
|
62.3 |
|
|
52.1 |
|
|
10.1 |
|
|
19 |
% |
|
235.6 |
|
|
216.5 |
|
|
19.1 |
|
|
9 |
% |
|||||
Adjusted interest expense, net |
|
|
4.7 |
|
|
4.5 |
|
|
0.2 |
|
|
5 |
% |
|
18.5 |
|
|
15.3 |
|
|
3.2 |
|
|
21 |
% |
|||||
Adjusted income before income taxes |
|
|
21.8 |
|
|
21.7 |
|
|
0.1 |
|
|
0 |
% |
|
66.2 |
|
|
73.1 |
|
|
(6.9 |
) |
|
(9 |
)% |
|||||
Adjusted provision for income taxes(4) |
|
|
5.1 |
|
|
6.5 |
|
|
(1.4 |
) |
|
(21 |
)% |
|
17.8 |
|
|
24.2 |
|
|
(6.3 |
) |
|
(26 |
)% |
|||||
Adjusted net income |
|
$ |
16.7 |
|
$ |
15.2 |
|
$ |
1.5 |
|
|
10 |
% |
$ |
48.4 |
|
$ |
49.0 |
|
$ |
(0.6 |
) |
|
(1 |
)% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Adjusted net income per share |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
diluted |
|
$ |
0.41 |
|
$ |
0.38 |
|
$ |
0.03 |
|
|
10 |
% |
$ |
1.19 |
|
$ |
1.21 |
|
$ |
(0.02 |
) |
|
(1 |
)% |
|||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Weighted average common shares outstanding |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
diluted |
|
|
40.6 |
|
|
40.5 |
|
|
|
|
|
|
40.5 |
|
|
40.5 |
|
|
|
|
|
|||||||||
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Ratio to net sales |
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|||||||||||||
Adjusted gross profit |
|
|
32.5 |
% |
|
30.7 |
% |
|
|
|
|
|
31.5 |
% |
|
31.2 |
% |
|
|
|
|
|||||||||
Adjusted selling, general and administrative |
|
|
22.8 |
% |
|
20.4 |
% |
|
|
|
|
|
23.1 |
% |
|
22.1 |
% |
|
|
|
|
|||||||||
Adjusted income before income taxes |
|
|
8.0 |
% |
|
8.5 |
% |
|
|
|
|
|
6.5 |
% |
|
7.5 |
% |
|
|
|
|
|||||||||
Adjusted net income |
|
|
6.1 |
% |
|
6.0 |
% |
|
|
|
|
|
4.8 |
% |
|
5.0 |
% |
|
|
|
|
|||||||||
Adjusted effective tax rate |
|
|
23.6 |
% |
|
29.9 |
% |
|
|
|
|
|
26.9 |
% |
|
33.0 |
% |
|
|
|
|
|||||||||
| Amounts and percentages may reflect rounding adjustments. | |
* |
Calculation not meaningful |
(1) |
Adjusted cost of goods sold excludes acquisition-related intangible amortization and acquisition-related cost of goods sold |
(2) |
Adjusted selling, general and administrative excludes acquisition-related intangible amortization, pension settlement cost, |
(3) |
Foreign currency losses (gains), net, are excluded from adjusted net income |
(4) |
Adjusted provision for income taxes excludes the income tax effect of pre-tax income adjustments and certain income tax items |
About Phibro Animal Health Corporation
Phibro Animal Health Corporation is a leading global diversified animal health and mineral nutrition company. We strive to be a trusted partner with livestock producers, farmers, veterinarians and consumers who raise or care for farm and companion animals by providing solutions to help them maintain and enhance the health of their animals. For further information, please visit www.pahc.com.
View source version on businesswire.com: https://www.businesswire.com/news/home/20240828804260/en/
Phibro Animal Health Corporation
Glenn C. David
Chief Financial Officer
+1-201-329-7300
Or
investor.relations@pahc.com
Source: Phibro Animal Health Corporation
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