Investor Presentaiton
Reconciliation of Consolidated and Combined Adjusted EBITDA
($'s in Millions)
(unaudited)
Three Months Ended
September 30,
Revenues
Nine Months Ended
September 30,
Full Year
2019 Guidance
2019
2018
2019
2018
Low
High
$ 445.0 $ 378.6
$1,290.0
$1,086.0
$1,750.0
$1,800.0
Net Income
32.7
3.2
92.2
48.0
101.0
113.0
Add:
Interest expense, net
1.3
4.1
5.0
5.0
Provision (benefit) for income taxes
9.2
3.4
26.1
18.2
30.0
33.0
Depreciation, depletion, and
21.7
16.8
63.2
49.7
92.0
87.0
amortization expense
EBITDA
$
64.9
ՄՌ
$
23.4
$ 185.6
$ 115.9
$ 228.0
$ 238.0
Add:
Impairment charge
Impact of the fair value mark up of
23.2
23.2
0.4
2.0
2.0
2.0
acquired inventory
Other, net (income) expense
(1)
(0.4)
(0.2)
2.0
Adjusted EBITDA
$ 64.9
$ 46.4
$ 187.6
$ 141.1
$ 230.0
$ 240.0
Adjusted EBITDA Margin
14.6%
12.3%
14.5%
13.0%
13.1%
13.3%
(1) Included in Other, net expense was the impact of foreign currency exchange transactions of $(0.3) million and $0.0 million for the three months ended September 30, 2019 and 2018, respectively, and
$0.7 million and $2.2 million for the nine months ended September 30, 2019 and 2018, respectively. Since these amounts were not included as adjustments to EBITDA prior to December 31, 2018,
Adjusted EBITDA and Adjusted EBITDA Margin for the three and nine months ended September 30, 2018 do not agree to amounts previously reported.
GAAP does not define "Earnings Before Interest, Taxes, Depreciation, Depletion and Amortization" ("EBITDA") and it should not be considered as an alternative to earnings measures defined by GAAP,
including net income. We use this metric to assess the operating performance of our consolidated business, as a metric for incentive-based compensation, and as a basis for strategic planning and
forecasting as we believe that it closely correlates to long-term shareholder value, and we believe this metric also assists investors in comparing a company's performance on a consistent basis
without regard to depreciation, depletion, and amortization, which can vary significantly depending on many factors. We adjust consolidated EBITDA for certain non-routine items ("Adjusted EBITDA") to
provide a more consistent comparison of earnings performance from period to period, which we also believe assists investors in comparing a company's performance on a consistent basis. "Adjusted
EBITDA Margin" is defined as Adjusted EBITDA divided by Revenues.
25 / Moving Infrastructure Forward - Investor Presentation, November 2019
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