Jarden Corporation today reported its financial results for the three and six months ended June 30, 2010.
For the three months ended June 30, 2010, net sales increased 21.9%, with organic growth of 8.7%, to $1.5 billion compared to $1.3 billion for the same period in the previous year. For the three months ended June 30, 2010, the Company recorded net income of $38.4 million, or $0.43 per diluted share, compared to net income of $44.9 million, or $0.53 per diluted share, for the same period in 2009. On a non-GAAP basis, adjusted net income for the three months ended June 30, 2010 was $74.7 million, or $0.83 per diluted share, compared to $51.4 million, or $0.60 per diluted share, for the same period in 2009. The three months ended June 30, 2010 include the results from the Mapa Spontex acquisition since April 1, 2010.
For the six months ended June 30, 2010, net sales increased 13.6% to $2.7 billion compared to $2.4 billion for the same period in the previous year. For the six months ended June 30, 2010, the Company recorded a net loss of $20.6 million, or ($0.23) per share, compared to net income of $53.8 million, or $0.67 per diluted share, in the six months ended June 30, 2009. On a non-GAAP basis, adjusted net income was $96.9 million, or $1.08 per diluted share, for the six months ended June 30, 2010, compared to $69.8 million, or $0.87 per diluted share, for the six months ended June 30, 2009. The six months ended June 30, 2010 include the results from the Mapa Spontex acquisition since April 1, 2010.
“We continued to demonstrate the strength and resiliency of our leading brands and global operating platform in the second quarter of 2010,” said Martin E. Franklin, Chairman and Chief Executive Officer of Jarden Corporation. “For the second consecutive quarter each segment produced year over year organic growth, led by an exceptional performance in our Outdoor Solutions business with 8.5% organic growth. This broad-based growth was fueled by shelf space gains and strong sell-through on the back of a record level of new product introductions. Our record second quarter segment earnings of $192 million is the result of our continuing significant investment in our brands, which we believe will further strengthen our long-term growth potential.”
Mr. Franklin continued, “Jarden continues to deliver superior performance due to the successful on-going execution of our business strategy. The integration of Mapa Spontex has helped accelerate our international expansion. Retail customers have begun to recognize our acclaimed domestic operating reputation on an international basis, which we believe will enhance our ability to become category leaders in a number of developing markets. Our strategy of supporting market-leading brands with innovative new products continues to position Jarden as a partner of choice with many major retailers and has enabled the Company to continue to produce strong financial results for our shareholders.”
JARDEN CORPORATION CONDENSED CONSOLIDATED STATEMENTS OF INCOME (Unaudited) (In millions, except earnings per share) | |||||||||||||
Three months ended | |||||||||||||
June 30, 2010 | June 30, 2009 | ||||||||||||
As | Adjustments | Adjusted | As | Adjustments | Adjusted | ||||||||
Net sales | $ | 1,547.5 | $ | — | $ | 1,547.5 | $ | 1,269.7 | $ | — | $ | 1,269.7 | |
Cost of sales | 1,135.9 | (25.3) | 1,110.6 | 913.3 | — | 913.3 | |||||||
Gross profit | 411.6 | 25.3 | 436.9 | 356.4 | — | 356.4 | |||||||
Selling, general and administrative expenses | 273.9 | 2.2 | 276.1 | 240.7 | (3.8) | 236.9 | |||||||
Reorganization and acquisition-related integration costs, net | — | — | — | 6.0 | (5.6) | 0.4 | |||||||
Impairment of goodwill and other intangible assets | 18.3 | (18.3) | — | — | — | — | |||||||
Operating earnings | 119.4 | 41.4 | 160.8 | 109.7 | 9.4 | 119.1 | |||||||
Interest expense, net | 43.9 | — | 43.9 | 38.8 | — | 38.8 | |||||||
Income before taxes | 75.5 | 41.4 | 116.9 | 70.9 | 9.4 | 80.3 | |||||||
Income tax provision | 37.1 | 5.1 | 42.2 | 26.0 | 2.9 | 28.9 | |||||||
Net income | $ | 38.4 | $ | 36.3 | $ | 74.7 | $ | 44.9 | $ | 6.5 | $ | 51.4 | |
