Dorel Industries Inc. Reports Unaudited Consolidated Earnings Results for Fourth Quarter and Year Ended December 30, 2017; Provides Effective Tax Rate Guidance for the Year 2018; Reports Impairment for the Fourth Quarter of 2017
March 07, 2018
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Dorel Industries Inc. reported unaudited consolidated earnings results for fourth quarter and year ended December 30, 2017. For the quarter, the company reported total revenue of $677,052,000 against $648,749,000 a year ago. Operating profit was $9,878,000 against loss of $5,358,000 a year ago. Income before income taxes was $1,656,000 against loss of $17,124,000 a year ago. Net loss was $2,992,000 or $0.09 per basic and diluted share against $5,567,000 or $0.17 per basic and diluted share a year ago. Cash provided by operating activities was $15,691,000 against $70,508,000 a year ago. Additions to property, plant and equipment were $11,941,000 against $6,001,000 a year ago. Additions to intangible assets were $6,951,000 against $4,061,000 a year ago. Adjusted operating profit was $33,507,000 against $9,948,000 a year ago. Adjusted income before income tax was $25,285,000 against $1,022,000 a year ago. Adjusted net income was $20,410,000 or $0.62 per diluted share compared to $7,740,000 or $0.24 per basic and diluted share a year ago.
For the year, the company reported total revenue of $2,577,668,000 against $2,603,185,000 a year ago. Operating profit was $91,257,000 against $21,314,000 a year ago. Income before income taxes was $48,009,000 against loss of $21,585,000 a year ago. Net income was $30,583,000 or $0.94 per basic and diluted share against loss of $11,611,000 or $0.36 per basic and diluted share a year ago. Cash provided by operating activities was $57,394,000 against $171,865,000 a year ago. Additions to property, plant and equipment were $36,464,000 against $20,014,000 a year ago. Additions to intangible assets were $21,054,000 against 16,165,000 a year ago. Adjusted operating profit was $123,260,000 against $101,336,000 a year ago. Adjusted income before tax was $90,487,000 against $62,702,000 a year ago. Adjusted net income was $70,097,000 or $2.15 per diluted share against $58,251,000 or $1.79 per diluted share a year ago. Adjusted EBITDA was $169,748,000 against $162,225,000 a year ago.
The effective tax rate for 2018 is expected to be between 20% and 25%, incorporating the U.S. Tax Reform signed into law on December 22, 2017 that reduces the U.S. federal corporate income tax rate from 35% to 21%, effective January 1, 2018.
For the fourth quarter, the company reported impairment losses on goodwill and intangible assets of 19,929,000.
Dorel Industries Inc. is a Canada-based global consumer products company. The Company designs, manufactures or sources, markets, and distributes a diverse portfolio of product brands through its Dorel Home and Dorel Juvenile segments. The Dorel Home segment is engaged in the sale of ready-to-assemble furniture and home furnishings, which include metal folding furniture, futons, children's furniture, step stools, hand trucks, ladders, outdoor furniture, and other imported furniture items. The Dorel Home segment's brands include Maxi-Cosi, Tiny Love, Infanti, Safety 1st, Bebe Confort, Quinny, and Cosco. The Dorel Juvenile segment is engaged in the sale of childrenâs accessories, which include infant car seats, strollers, high-chairs and infant health and safety aids. The Dorel Juvenile segment's brands include DHP, Signature Sleep, Little Seeds, Ameriwood Home, Cosco Home & Office, Queer Eye, Cosmo Living, Novogratz, Real Rooms, Mr. Kate, Baby Relax, Alphason, Bertini, Ntense, and Notio.
Dorel Industries Inc. Reports Unaudited Consolidated Earnings Results for Fourth Quarter and Year Ended December 30, 2017; Provides Effective Tax Rate Guidance for the Year 2018; Reports Impairment for the Fourth Quarter of 2017