Charles River - JP Morgan Conference Presentation
CHARLES RIVER LABORATORIES INTERNATIONAL, INC.
RECONCILIATION OF GAAP EARNINGS TO NON-GAAP EARNINGS (UNAUDITED) (D)
(in thousands, except per share data)
Net income attributable to common shareholders
Add back:
Non-GAAP adjustments to operating income (Refer to previous schedule)
Write-off of deferred financing costs and fees related to debt financing
Venture capital and strategic equity investment losses (gains), net
Other
(2)
Tax effect of non-GAAP adjustments:
$
Three Months Ended
September 24, 2022
September 25, 2021
96,473
$
103,426
$
Nine Months Ended
September 24, 2022
September 25, 2021
298,816
$
253,404
50,432
36,013
121,967
135,908
26,089
(3,447)
10,367
20,068
17,277
240
4,205
(2,942)
Non-cash tax provision related to international financing structure
(3)
1,161
1,461
3,624
3,781
Enacted tax law changes
Tax effect of the remaining non-GAAP adjustments
10,036
(10,115)
Net income attributable to common shareholders, excluding non-GAAP adjustments
134,744
$
(12,139)
139,128 $
(30,928)
(41,468)
417,752 $
402,085
Weighted average shares outstanding - Basic
50,870
50,425
50,778
50,234
Effect of dilutive securities:
Stock options, restricted stock units and performance share units
Weighted average shares outstanding - Diluted
Earnings per share attributable to common shareholders:
Basic
Diluted
Basic, excluding non-GAAP adjustments
Diluted, excluding non-GAAP adjustments
413
51,283
1,133
51,558
507
51,285
1,126
51,360
$
1.90
$
2.05
$
5.88
$
5.04
$
1.88
$
2.01
$
5.83
$
4.93
$
$
2.65
2.63 $
$
2.76 $
2.70 $
8.23 $
8.00
8.15 $
7.83
(1) Charles River management believes that supplementary non-GAAP financial measures provide useful information to allow investors to gain a meaningful understanding of our core operating results and
future prospects, without the effect of often-one-time charges and other items which are outside our normal operations, consistent with the manner in which management measures and forecasts the
Company's performance. The supplementary non-GAAP financial measures included are not meant to be considered superior to, or a substitute for results of operations prepared in accordance with
U.S. GAAP. The Company intends to continue to assess the potential value of reporting non-GAAP results consistent with applicable rules, regulations and guidance.
(2) Adjustments included in 2022 primarily relate to a purchase price adjustment in connection with the 2021 divestiture of RMS Japan and a reversal of an indemnification asset related to a prior
acquisition. Adjustments included in 2021 include gains on an immaterial divestiture and the finalization of an annuity purchase related to the termination of the Company's U.S. pension plan.
(3) This adjustment relates to the recognition of deferred tax assets expected to be utilized as a result of changes to the Company's international financing structure.
Charles River - JP Morgan Conference Presentation
22
32View entire presentation