Investor Presentaiton
RECONCILIATION OF ADJUSTED NET INCOME AND ADJUSTED DILUTED EPS
For the Years Ended December 31,
(in thousands, except per share information)
(Unaudited)
QUANTA
2010
2015
2022
Low
As of November 2, 2023
Estimated Guidance Range
2023E
Midpoint
High
Net income from continuing operations attributable to common stock (as defined by GAAP)
Adjustments:
Acquisition and integration costs
Asset impairment charges
Change in fair value of contingent consideration liabilities
Equity in (earnings) losses of non-integral unconsolidated affiliates
Unrealized loss from mark to market adjustment on investment
Gains on sales of investments
Loss on early extinguishment of debt
Income tax impact of adjustments
Reconciliation of adjusted net income from continuing operations attributable to common stock:
$
142,693 $
120,286 $
491,189 $
729,000
$
743,900 $
758,800
10,575
7,966
58,451
47,431
14,457
37,600
37,600
37,600.
-
4,422
800
800
(20,333)
(1,100)
(1,100)
800
(1,100)
91,500
(22,222)
(1,500)
(1,500)
(1,500)
7,107
(3,872)
(16,186)
(5,477)
Impact of income tax contingency releases.
(9,428)
(4,197)
Impact of Alberta tax law change
4,982
Impact of tax benefit from realization of previously unrecognized deferred tax asset
(4,228)
Adjusted net income from continuing operations attributable to common stock before certain non-cash adjustments
147,075
171,271
596,770
764,800
779,700
794,600
Non-cash stock-based compensation
20,640
36.939
105.600
127,400
127,400
127,400
Amortization of intangible assets
37,655
34,848
353,973
283,000
283.000
283,000
Amortization included in equity in earnings of integral unconsolidated affiliates
1,894
6,200
6,200
6.200
Non-cash interest expense
1,704
Income tax impact of non-cash adjustments
(23,113)
(25,817)
(120,101)
(139,700)
(139,700)
(139,700)
Adjusted net income from continuing operations attributable to common stock after certain non-cash adjustments
(a)
183,961
217,241
938,136
1,041,700
1,056,600
1,071,500
Effect of convertible subordinated notes under the "if-converted" method - interest expense addback, net of tax-
Adjusted net income from continuing operations attributable to common stock (a)
$
1,412
185,373 $
217,241
938,136
1,041,700
1,056,600
1,071,500
Reconciliation of adjusted diluted earnings per share:
Diluted earnings per share from continuing operations attributable to common stock (as defined by GAAP)
Acquisition and integration costs
$
0.67 $
0.05
0.62 $
3.32 $
0.04
0.32
4.90
0.25
$
5.00
0.25
$
5.10
0.25
Asset impairment charges
0.30
0.10
-
-
Change in fair value of contingent consideration liabilities
Equity in (earnings) losses of non-integral unconsolidated affiliates
Unrealized loss from mark to market adjustment on investment
Gains on sales of investments
Loss on early extinguishment of debt
Income tax impact of adjustments
0.03
0.01
0.01
0.01
(0.14)
(0.01)
(0.01)
(0.01)
0.62
(0.15)
(0.01)
(0.01)
(0.01)
0.03
(0.02)
(0.09)
(0.04)
Impact of income tax contingency releases
(0.04)
(0.03)
Impact of Alberta tax law change
0.03.
Impact of tax benefit from realization of previously unrecognized deferred tax asset
(0.02)
Adjusted net income from continuing operations attributable to common stock before certain non-cash adjustments
0.69
0.88
4.03
Non-cash stock-based compensation
0.10
0.19
0.71
0.86
0.86
0.86
Amortization of intangible assets
0.18
0.18
2.39
1.90
1.90
1.90
Amortization included in equity in earnings of integral unconsolidated affiliates
0.01
0.04
0.04
0.04
Non-cash interest expense
0.01
Income tax impact of non-cash adjustments
(0.11)
(0.14)
(0.80)
(0.94)
(0.94)
(0.94)
Adjusted diluted earnings per share from continuing operations attributable to common stock (a)
$
0.87 $
1.11
6.34 $
7.00
7.10
$
7.20
Weighted average shares:
Weighted average shares outstanding for diluted earnings per share
Weighted average shares outstanding for adjusted diluted earnings per share
211,796
214,151
195,120
195,120
147,992
148,800
148.800
147,992
148,800
148,800
148,800
148,800
(a) The calculation of Adjusted Net Income and Adjusted Diluted EPS was changed during 2022. No recast was made for periods prior to 2021.
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