SOUTH MILWAUKEE, Wis., July 24, 2008 (PRIME NEWSWIRE) -- Bucyrus International, Inc. (Nasdaq:BUCY), a leading designer, manufacturer and marketer of high productivity mining equipment for surface and underground mining, announced today its summary unaudited financial results for the quarter and six months ended June 30, 2008.
Operating Results
The net assets acquired and results of operations of DBT GmbH ("DBT") since the May 4, 2007 date of acquisition are included in Bucyrus' financial information presented below. As a result, the financial results for the second quarter and six months ended June 30, 2008 are not necessarily comparative to the results for the second quarter and six months ended June 30, 2007 and may not be indicative of future results. Bucyrus now has two reportable segments: surface mining and underground mining. Prior to the acquisition of DBT, all of Bucyrus' operations were in surface mining.
Consolidated Condensed Statements of Earnings (Unaudited)
Quarter Ended Six Months Ended
June 30, June 30,
---------------------- ----------------------
2008 2007 2008 2007
---------- --------- ---------- ----------
(Dollars in thousands, except per share amounts)
Sales $ 621,008 $ 374,801 $1,137,989 $ 565,162
Cost of
products sold 446,912 278,504 822,308 416,787
---------- ---------- ---------- ----------
Gross profit 174,096 96,297 315,681 148,375
Selling, general
and
administrative
expenses 59,383 41,687 118,864 62,805
Research and
development
expenses 10,359 4,614 18,510 7,162
Amortization of
intangible
assets 4,610 4,452 11,031 4,898
---------- ---------- ---------- ----------
Operating
earnings 99,744 45,544 167,276 73,510
Interest expense
- net 6,583 6,217 12,497 7,454
Other expense 769 600 1,536 865
---------- ---------- ---------- ----------
Earnings before
income taxes 92,392 38,727 153,243 65,191
Income tax
expense 30,075 10,965 49,845 19,566
---------- ---------- ---------- ----------
Net earnings $ 62,317 $ 27,762 $ 103,398 $ 45,625
========== ========== ========== ==========
Net earnings per share:
Basic:
Net earnings
per share $ 0.84 $ 0.40 $ 1.39 $ 0.69
Weighted average
shares 74,342,810 68,749,332 74,333,624 65,721,758
Diluted:
Net earnings per
share $ 0.83 $ 0.40 $ 1.37 $ 0.69
Weighted average
shares 75,272,435 69,406,916 75,238,982 66,328,538
Other Financial
Data:
EBITDA (1) $ 114,022 $ 57,684 $ 196,960 $ 89,844
========== ========== ========== ==========
Non-cash stock
compensation
expense (2) $ 2,157 $ 1,365 $ 3,979 $ 3,057
Severance
expenses (3) 910 757 1,190 1,230
Loss on sale of
fixed assets (4) 5 205 565 300
Inventory fair
value
adjustment
charged to cost
of products
sold (5) 3,229 5,631 12,088 5,631
---------- ---------- ---------- ----------
$ 6,301 $ 7,958 $ 17,822 $ 10,218
========== ========== ========== ==========
(1) EBITDA is defined as net earnings before interest income,
interest expense, income tax expense, depreciation and
amortization. EBITDA is presented because (i) management uses
EBITDA to measure Bucyrus' liquidity and financial performance
and (ii) management believes EBITDA is frequently used by
securities analysts, investors and other interested parties in
evaluating the performance and enterprise value of companies in
general, and in evaluating the liquidity of companies with
significant debt service obligations and their ability to service
their indebtedness. The EBITDA calculation is not an alternative
to operating earnings under accounting principles generally
accepted in the United States of America ("GAAP") as an indicator
of operating performance or of cash flows as a measure of
liquidity. Additionally, EBITDA is not intended to be a measure
of free cash flow for management's discretionary use, as it does
not consider certain cash requirements such as interest payments,
tax payments and debt service requirements. Because not all
companies use identical calculations, this presentation of EBITDA
may not be comparable to other similarly titled measures of other
companies. The following table reconciles net earnings to EBITDA
and EBITDA to net cash provided by operating activities.
(2) Reflects non-cash stock compensation expense related to equity
incentive plans.
(3) Reflects severance and early retirement expenses for personnel
changes in the ordinary course.
(4) Reflects losses on the sale of fixed assets in the ordinary
course.
(5) In connection with the acquisition of DBT, inventories purchased
were adjusted to estimated fair value. This adjustment is being
charged to cost of products sold as the inventory is sold.
EBITDA Reconciliation (Unaudited)
Quarter Ended Six Months Ended
June 30, June 30,
------------------ ------------------
2008 2007 2008 2007
-------- -------- -------- --------
(Dollars in thousands)
Net earnings $62,317 $27,762 $103,398 $45,625
Interest expense - net 6,583 6,217 12,497 7,454
Income tax expense 30,075 10,965 49,845 19,566
Depreciation 9,983 7,688 18,653 11,436
Amortization 5,064 5,052 12,567 5,763
-------- -------- -------- --------
EBITDA 114,022 57,684 196,960 89,844
Changes in assets and
liabilities (84,056) (38,273) 7,578 (53,330)
Non-cash stock compensation
expense 2,157 1,365 3,979 3,057
Loss on sale of fixed assets 5 205 565 300
Interest expense - net (6,583) (6,217) (12,497) (7,454)
Income tax expense (30,075) (10,965) (49,845) (19,566)
-------- -------- -------- --------
Net cash provided by (used in)
operating activities ($4,530) $3,799 $146,740 $12,851
======== ======== ======== ========
Consolidated Balance Sheets (Unaudited)
June 30, Dec.
