Exhibit 99.1
JLG Industries, Inc. - Page 1
JLG INDUSTRIES, INC.
FINANCIAL DASHBOARD
(in thousands, except per share data and as otherwise identified)
Quarter Ended | Fiscal Year | Quarter Ended | Fiscal Year | |||||||||||||||||||||||||
October 31, | Ended | July 31, | April 30, | January 31, | October 31, | Ended | ||||||||||||||||||||||
2004 | July 31, 2004 | 2004 | 2004 | 2004 | 2003 | July 31, 2003 | ||||||||||||||||||||||
REVENUES AND PROFITABILITY | ||||||||||||||||||||||||||||
Revenues | $ | 306,661 | $ | 1,193,962 | $ | 425,160 | $ | 318,687 | $ | 236,530 | $ | 213,585 | $ | 751,128 | ||||||||||||||
Gross profit margin | 8.4 | % | 18.9 | % | 18.8 | % | 20.0 | % | 18.4 | % | 17.9 | % | 17.9 | % | ||||||||||||||
EBITDA | 2,185 | 105,660 | 38,363 | 30,336 | 19,769 | 17,192 | 62,949 | |||||||||||||||||||||
Trailing twelve month EBITDA | 90,653 | 105,660 | 105,660 | 86,678 | 71,220 | 68,885 | 62,949 | |||||||||||||||||||||
Trailing twelve month EBITDA margin | 7.0 | % | 8.8 | % | 8.8 | % | 8.6 | % | 8.0 | % | 8.6 | % | 8.4 | % | ||||||||||||||
Operating (loss) income | (8,335 | ) | 75,906 | 31,879 | 23,598 | 10,663 | 9,766 | 36,321 | ||||||||||||||||||||
Operating (loss) profit margin | -2.7 | % | 6.4 | % | 7.5 | % | 7.4 | % | 4.5 | % | 4.6 | % | 4.8 | % | ||||||||||||||
Net (loss) income margin | -2.8 | % | 2.2 | % | 3.6 | % | 2.7 | % | 0.9 | % | 0.2 | % | 1.6 | % | ||||||||||||||
Reported EPS per diluted share | $ | (.20 | ) | $ | .61 | $ | .35 | $ | .20 | $ | .05 | $ | .01 | $ | .29 | |||||||||||||
IMPACT OF SELECTED ITEMS ON:(1) | ||||||||||||||||||||||||||||
income (expense) | ||||||||||||||||||||||||||||
PRE-TAX INCOME | ||||||||||||||||||||||||||||
Integration expenses - OmniQuip (in both Cost of sales (COS), Selling & administrative and product development (SA&PD)) | $ | (1,897 | ) | $ | (15,975 | ) | $ | (5,022 | ) | $ | (2,907 | ) | $ | (4,145 | ) | $ | (3,901 | ) | $ | — | ||||||||
Restructuring and repositioning charges (in both COS, Restructuring) | — | (119 | ) | 3 | (1 | ) | (58 | ) | (63 | ) | (4,040 | ) | ||||||||||||||||
Currency effects (in Miscellaneous-net) | 2,281 | (2,309 | ) | (1,171 | ) | (1,938 | ) | 675 | 125 | 5,422 | ||||||||||||||||||
Bad debt charges (in SA&PD) | (1,132 | ) | (11,560 | ) | (3,819 | ) | (2,376 | ) | (4,273 | ) | (1,092 | ) | (7,024 | ) | ||||||||||||||
Inventory charges (in COS) | (1,592 | ) | (4,519 | ) | (1,374 | ) | (196 | ) | (1,622 | ) | (1,327 | ) | (4,463 | ) | ||||||||||||||
Early vesting incentives (in both COS, SA&PD) | (995 | ) | (1,771 | ) | — | (577 | ) | (1,194 | ) | — | — | |||||||||||||||||
Other Incentive pay (in both COS, SA&PD) | — | (16,923 | ) | (12,065 | ) | (4,858 | ) | — | — | (2,605 | ) | |||||||||||||||||
Restatement expenses (in SA&PD) | — | (1,264 | ) | (206 | ) | (1,058 | ) | — | — | — | ||||||||||||||||||
Estimated net unrecovered steel cost (in COS)(2) | (26,764 | ) | (4,695 | ) | (4,695 | ) | — | — | — | — | ||||||||||||||||||
NET INCOME | ||||||||||||||||||||||||||||
Integration expenses - OmniQuip (in both COS, SA&PD) | (1,233 | ) | (10,247 | ) | (3,264 | ) | (1,890 | ) | (2,589 | ) | (2,504 | ) | — | |||||||||||||||
Restructuring and repositioning charges (in both COS, Restructuring) | — | (75 | ) | 2 | (1 | ) | (36 | ) | (40 | ) | (2,747 | ) | ||||||||||||||||
Currency effects (in Miscellaneous-net) | 1,483 | (1,519 | ) | (761 | ) | (1,260 | ) | 422 | 80 | 3,687 | ||||||||||||||||||
Bad debt charges (in SA&PD) | (736 | ) | (7,396 | ) | (2,482 | ) | (1,544 | ) | (2,669 | ) | (701 | ) | (4,776 | ) | ||||||||||||||
Inventory charges (in COS) | (1,035 | ) | (2,885 | ) | (893 | ) | (127 | ) | (1,013 | ) | (852 | ) | (3,035 | ) | ||||||||||||||
Benefit from change in effective income tax rate | — | — | — | — | — | — | 2,051 | |||||||||||||||||||||
Early vesting incentives (in both COS, SA&PD) | (647 | ) | (1,121 | ) | — | (375 | ) | (746 | ) | — | — | |||||||||||||||||
Other Incentive pay (in both COS, SA&PD) | — | (11,000 | ) | (7,842 | ) | (3,158 | ) | — | — | (1,771 | ) | |||||||||||||||||
Restatement expenses (in SA&PD) | — | (822 | ) | (134 | ) | (688 | ) | — | — | — | ||||||||||||||||||
Estimated net unrecovered steel cost (in COS)(2) | (17,397 | ) | (3,052 | ) | (3,052 | ) | — | — | — | — | ||||||||||||||||||
EARNINGS PER SHARE | ||||||||||||||||||||||||||||
Integration expenses - OmniQuip (in both COS, SA&PD) | (0.03 | ) | (0.23 | ) | (0.07 | ) | (0.04 | ) | (0.06 | ) | (0.06 | ) | — | |||||||||||||||
Restructuring and repositioning charges (in both COS, Restructuring) | — | — | — | — | — | — | (0.06 | ) | ||||||||||||||||||||
Currency effects (in Miscellaneous-net) | 0.03 | (0.04 | ) | (0.02 | ) | (0.03 | ) | 0.01 | — | 0.09 | ||||||||||||||||||
Bad debt charges (in SA&PD) | (0.02 | ) | (0.17 | ) | (0.06 | ) | (0.04 | ) | (0.06 | ) | (0.02 | ) | (0.11 | ) | ||||||||||||||
Inventory charges (in COS) | (0.02 | ) | (0.06 | ) | (0.02 | ) | — | (0.02 | ) | (0.02 | ) | (0.07 | ) | |||||||||||||||
Benefit from change in effective income tax rate | — | — | — | — | — | — | 0.05 | |||||||||||||||||||||
Early vesting incentives (in both COS, SA&PD) | (0.01 | ) | (0.03 | ) | — | (0.01 | ) | (0.02 | ) | — | — | |||||||||||||||||
Other Incentive pay (in both COS, SA&PD) | — | (0.25 | ) | (0.18 | ) | (0.07 | ) | — | — | (0.04 | ) | |||||||||||||||||
Restatement expenses (in SA&PD) | — | (0.02 | ) | — | (0.02 | ) | — | — | — | |||||||||||||||||||
Estimated net unrecovered steel cost (in COS)(2) | (0.40 | ) | (0.07 | ) | (0.07 | ) | — | — | — | — | ||||||||||||||||||
BALANCE SHEET & LIQUIDITY MEASURES | ||||||||||||||||||||||||||||
Cash & cash equivalents | $ | 66,498 | $ | 37,656 | $ | 37,656 | $ | 12,945 | $ | 18,125 | $ | 11,288 | $ | 132,809 | ||||||||||||||
Accounts receivable, net | 299,123 | 362,819 | 362,819 | 372,500 | 315,304 | 289,729 | 257,519 | |||||||||||||||||||||
Finance receivable, net | 48,138 | 39,667 | 39,667 | 33,270 | 31,134 | 33,057 | 34,324 | |||||||||||||||||||||
Pledged finance receivables, net | 81,470 | 118,417 | 118,417 | 131,878 | 148,104 | 153,762 | 160,407 | |||||||||||||||||||||
Inventories | 170,731 | 154,405 | 154,405 | 164,160 | 150,074 | 153,200 | 122,675 | |||||||||||||||||||||
Total balance sheet debt | 389,609 | 423,534 | 423,534 | 465,094 | 464,609 | 467,422 | 460,570 | |||||||||||||||||||||
Limited recourse debt from finance receivables monetizations | 85,733 | 121,794 | 121,794 | 135,453 | 150,283 | 153,541 | 164,940 | |||||||||||||||||||||
Net debt(3) | 242,381 | 269,553 | 269,553 | 323,186 | 303,408 | 310,498 | 171,103 | |||||||||||||||||||||
Net debt(3) to total capitalization | 47 | % | 49 | % | 49 | % | 55 | % | 55 | % | 56 | % | 41 | % | ||||||||||||||
Maximum loss exposure from finance receivables monetizations | 26,068 | 25,161 | 25,161 | 23,757 | 24,460 | 23,380 | 21,708 | |||||||||||||||||||||
Equity | 276,780 | 281,270 | 281,270 | 264,018 | 252,252 | 248,911 | 247,714 | |||||||||||||||||||||
Working capital | 328,671 | 340,552 | 340,552 | 353,696 | 336,107 | 321,950 | 382,763 | |||||||||||||||||||||
Depreciation and amortization | 7,088 | 25,681 | 5,070 | 7,359 | 6,766 | 6,486 | 19,937 | |||||||||||||||||||||
Capital expenditures, net of retirements | (2,653 | ) | 11,978 | 3,597 | 2,094 | 2,858 | 3,429 | 10,324 | ||||||||||||||||||||
Free cash flow(4) | 27,172 | (98,450 | ) | 53,633 | (19,778 | ) | 7,090 | (139,395 | ) | 27,781 | ||||||||||||||||||
FINANCIAL RATIOS | ||||||||||||||||||||||||||||
Days sales outstanding | 92.0 | 78.4 | 78.4 | 106.0 | 115.4 | 106.0 | 102.7 | |||||||||||||||||||||
Days payables outstanding | 54.6 | 57.0 | 57.0 | 65.1 | 58.6 | 54.0 | 70.8 | |||||||||||||||||||||
Inventory turnover (annualized) | 5.9 | 5.8 | 5.8 | 5.1 | 4.6 | 3.8 | 3.4 |
(1) | Net of 35%, 35%, 35%, 38%, 36% and 32% effective income tax rate for the first quarter of fiscal 2005, the fourth quarter of fiscal 2004, the third quarter of fiscal 2004, the second quarter of fiscal 2004, the first quarter of fiscal 2004 and fiscal 2003, respectively. EPS is calculated by dividing the Net Income (Loss) amounts by the respective diluted shares for each period. Individual quarterly net income (loss) per diluted share may not equal the fiscal year EPS due to changes in the number of common shares outstanding during the year. Repositioning charges are reported in COS. | |||
(2) | Net unrecovered steel cost is an estimate based upon a baseline average of steel prices per ton for various types of steel at the beginning of fiscal 2004 compared to the impact of steel prices incurred for various types of steel. These estimates include assumptions regarding the steel content of and sources for our products and their components. The steel price increases are netted against steel surcharges invoiced to our customers. | |||
(3) | Net debt reflects total balance sheet debt plus off-balance sheet financing, less cash and limited recourse debt from finance receivables monetizations. | |||
(4) | Free cash flow is defined as cash flow from operating activities, investing activities, payment of dividends, exercise of stock options, and the effect of exchange rate changes on cash less changes in accounts receivable securitization, limited recourse debt from finance receivables monetizations and off-balance sheet debt. |
JLG Industries, Inc. - Page 2
JLG INDUSTRIES, INC.
CONSOLIDATED CONDENSED STATEMENTS OF INCOME
(in thousands, except per share data)
(Quarterly data is unaudited)
Quarter Ended | Fiscal Year | Quarter Ended | Fiscal Year | |||||||||||||||||||||||||
October 31, | Ended | July 31, | April 30, | January 31, | October 31, | Ended | ||||||||||||||||||||||
2004 | July 31, 2004 | 2004 | 2004 | 2004 | 2003 | July 31, 2003 | ||||||||||||||||||||||
Revenues | ||||||||||||||||||||||||||||
Net sales | $ | 302,131 | $ | 1,170,186 | $ | 418,605 | $ | 312,650 | $ | 230,539 | $ | 208,392 | $ | 724,819 | ||||||||||||||
Financial products | 2,660 | 15,203 | 4,172 | 3,913 | 3,442 | 3,676 | 19,184 | |||||||||||||||||||||
Rentals | 1,870 | 8,573 | 2,383 | 2,124 | 2,549 | 1,517 | 7,125 | |||||||||||||||||||||
306,661 | 1,193,962 | 425,160 | 318,687 | 236,530 | 213,585 | 751,128 | ||||||||||||||||||||||
Cost of sales | 280,966 | 968,562 | 345,110 | 255,050 | 193,083 | 175,319 | 616,686 | |||||||||||||||||||||
Gross profit | 25,695 | 225,400 | 80,050 | 63,637 | 43,447 | 38,266 | 134,442 | |||||||||||||||||||||
Gross profit margin | 8.4 | % | 18.9 | % | 18.8 | % | 20.0 | % | 18.4 | % | 17.9 | % | 17.9 | % | ||||||||||||||
Selling and administrative expenses | 28,122 | 128,465 | 42,348 | 34,052 | 28,349 | 23,716 | 79,225 | |||||||||||||||||||||
Selling & administrative % | 9.2 | % | 10.8 | % | 10.0 | % | 10.7 | % | 12.0 | % | 11.1 | % | 10.5 | % | ||||||||||||||
Product development expenses | 5,908 | 21,002 | 5,807 | 5,987 | 4,435 | 4,773 | 16,142 | |||||||||||||||||||||
Product development % | 1.9 | % | 1.8 | % | 1.6 | % | 1.9 | % | 1.9 | % | 2.2 | % | 2.1 | % | ||||||||||||||
Restructuring charges | — | 27 | 16 | — | — | 11 | 2,754 | |||||||||||||||||||||
(Loss) income from operations | (8,335 | ) | 75,906 | 31,879 | 23,598 | 10,663 | 9,766 | 36,321 | ||||||||||||||||||||
Operating (loss) profit margin | -2.7 | % | 6.4 | % | 7.5 | % | 7.4 | % | 4.5 | % | 4.6 | % | 4.8 | % | ||||||||||||||
Other income (deductions): | ||||||||||||||||||||||||||||
Interest expense | (8,996 | ) | (38,098 | ) | (9,274 | ) | (9,400 | ) | (9,548 | ) | (9,876 | ) | (27,985 | ) | ||||||||||||||
Miscellaneous, net | 3,432 | 4,073 | 1,414 | (621 | ) | 2,340 | 940 | 6,691 | ||||||||||||||||||||
(Loss) income before taxes | (13,899 | ) | 41,881 | 24,019 | 13,577 | 3,455 | 830 | 15,027 | ||||||||||||||||||||
Income tax (benefit) provision | (5,170 | ) | 15,232 | 8,748 | 4,890 | 1,297 | 297 | 2,635 | ||||||||||||||||||||
Net (loss) income | $ | (8,729 | ) | $ | 26,649 | $ | 15,271 | $ | 8,687 | $ | 2,158 | $ | 533 | $ | 12,392 | |||||||||||||
Return on revenues | -2.8 | % | 2.2 | % | 3.6 | % | 2.7 | % | 0.9 | % | 0.2 | % | 1.6 | % | ||||||||||||||
(Loss) earnings per common share | $ | (.20 | ) | $ | .62 | $ | .36 | $ | .20 | $ | .05 | $ | .01 | $ | .29 | |||||||||||||
(Loss) earnings per common share - assuming dilution | $ | (.20 | ) | $ | .61 | $ | .35 | $ | .20 | $ | .05 | $ | .01 | $ | .29 | |||||||||||||
Cash Dividends per share | $ | .005 | $ | .020 | $ | .005 | $ | .005 | $ | .005 | $ | .005 | $ | .020 | ||||||||||||||
Average basic shares outstanding | 43,277 | 42,860 | 42,955 | 42,836 | 42,791 | 42,656 | 42,601 | |||||||||||||||||||||
Average diluted shares outstanding | 43,277 | 44,032 | 44,191 | 44,013 | 44,152 | 43,575 | 42,866 | |||||||||||||||||||||
JLG Industries, Inc. - Page 3
JLG INDUSTRIES, INC.
CONSOLIDATED CONDENSED BALANCE SHEETS
(in thousands, except per share data)
(Quarterly data is unaudited)
October 31, | July 31, | April 30, | January 31, | October 31, | July 31, | |||||||||||||||||||
2004 | 2004 | 2004 | 2004 | 2003 | 2003 | |||||||||||||||||||
ASSETS | ||||||||||||||||||||||||
Current assets | ||||||||||||||||||||||||
Cash and cash equivalents | $ | 66,498 | $ | 37,656 | $ | 12,945 | $ | 18,125 | $ | 11,288 | $ | 132,809 | ||||||||||||
Accounts receivable, net | 299,123 | 362,819 | 372,500 | 315,304 | 289,729 | 257,519 | ||||||||||||||||||
Finance receivables, net | 9,136 | 5,920 | 4,473 | 8,252 | 2,573 | 3,168 | ||||||||||||||||||
Pledged finance receivables, net | 25,057 | 31,858 | 36,027 | 42,189 | 39,380 | 41,334 | ||||||||||||||||||
Inventories | 170,731 | 154,405 | 164,160 | 150,074 | 153,200 | 122,675 | ||||||||||||||||||
Other current assets | 45,739 | 41,058 | 42,086 | 27,441 | 54,252 | 46,474 | ||||||||||||||||||
Total current assets | 616,284 | 633,716 | 632,191 | 561,385 | 550,422 | 603,979 | ||||||||||||||||||
Property, plant and equipment, net | 89,443 | 91,504 | 88,277 | 90,862 | 92,525 | 79,699 | ||||||||||||||||||
Equipment held for rental, net | 26,842 | 21,190 | 18,687 | 22,903 | 18,236 | 19,651 | ||||||||||||||||||
Finance receivables, less current portion | 39,002 | 33,747 | 28,797 | 22,882 | 30,484 | 31,156 | ||||||||||||||||||
Pledged finance receivables, less current portion | 56,413 | 86,559 | 95,851 | 105,915 | 114,382 | 119,073 | ||||||||||||||||||
Goodwill | 63,017 | 62,885 | 66,501 | 66,501 | 66,450 | 29,509 | ||||||||||||||||||
Intangible assets, net | 34,590 | 35,240 | 32,979 | 33,709 | 34,448 | — | ||||||||||||||||||
Other assets | 66,991 | 62,603 | 66,434 | 67,961 | 66,002 | 53,135 | ||||||||||||||||||
$ | 992,582 | $ | 1,027,444 | $ | 1,029,717 | $ | 972,118 | $ | 972,949 | $ | 936,202 | |||||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||||||||||||||
Current liabilities | ||||||||||||||||||||||||
Short-term debt and current portion of long-term debt | $ | 1,788 | $ | 1,729 | $ | 14,843 | $ | 1,758 | $ | 2,278 | $ | 1,472 | ||||||||||||
Current portion of limited recourse debt from finance receivables monetizations | 26,725 | 32,585 | 37,086 | 40,824 | 40,153 | 45,279 | ||||||||||||||||||
Accounts payable | 150,600 | 139,990 | 123,984 | 92,762 | 68,197 | 83,408 | ||||||||||||||||||
Accrued expenses | 108,500 | 118,860 | 102,582 | 89,934 | 117,844 | 91,057 | ||||||||||||||||||
Total current liabilities | 287,613 | 293,164 | 278,495 | 225,278 | 228,472 | 221,216 | ||||||||||||||||||
Long-term debt, less current portion | 302,088 | 300,011 | 314,798 | 312,568 | 311,603 | 294,158 | ||||||||||||||||||
Limited recourse debt from finance receivables monetizations, less current portion | 59,008 | 89,209 | 98,367 | 109,459 | 113,388 | 119,661 | ||||||||||||||||||
Accrued post-retirement benefits | 30,211 | 29,666 | 28,798 | 27,998 | 27,199 | 26,179 | ||||||||||||||||||
Other long-term liabilities | 21,362 | 20,542 | 30,501 | 30,487 | 29,790 | 15,160 | ||||||||||||||||||
Provisions for contingencies | 15,520 | 13,582 | 14,740 | 14,076 | 13,586 | 12,114 | ||||||||||||||||||
Shareholders’ equity | ||||||||||||||||||||||||
Capital stock: | ||||||||||||||||||||||||
Authorized shares: 100,000 at $.20 par value | ||||||||||||||||||||||||
Issued shares: 44,535; fiscal 2004 - 43,903; fiscal 2003 - 43,367 | 8,907 | 8,781 | 8,732 | 8,712 | 8,683 | 8,673 | ||||||||||||||||||
Additional paid-in capital | 35,111 | 29,571 | 25,883 | 24,725 | 23,789 | 23,597 | ||||||||||||||||||
Retained earnings | 245,319 | 254,268 | 239,215 | 230,746 | 228,806 | 228,490 | ||||||||||||||||||
Unearned compensation | (4,019 | ) | (5,333 | ) | (2,856 | ) | (3,796 | ) | (5,145 | ) | (5,428 | ) | ||||||||||||
Accumulated other comprehensive loss | (8,538 | ) | (6,017 | ) | (6,956 | ) | (8,135 | ) | (7,222 | ) | (7,618 | ) | ||||||||||||
Total shareholders’ equity | 276,780 | 281,270 | 264,018 | 252,252 | 248,911 | 247,714 | ||||||||||||||||||
$ | 992,582 | $ | 1,027,444 | $ | 1,029,717 | $ | 972,118 | $ | 972,949 | $ | 936,202 | |||||||||||||
JLG Industries, Inc. - Page 4
JLG INDUSTRIES, INC.
CONSOLIDATED CONDENSED STATEMENTS OF CASH FLOW
(in thousands)
(Quarterly data is unaudited)
Quarter Ended | Fiscal Year | Quarter Ended | Fiscal Year | |||||||||||||||||||||||||
October 31, | Ended | July 31, | April 30, | January 31, | October 31, | Ended | ||||||||||||||||||||||
2004 | July 31, 2004 | 2004 | 2004 | 2004 | 2003 | July 31, 2003 | ||||||||||||||||||||||
OPERATIONS | ||||||||||||||||||||||||||||
Net (loss) income | $ | (8,729 | ) | $ | 26,649 | $ | 15,271 | $ | 8,687 | $ | 2,158 | $ | 533 | $ | 12,392 | |||||||||||||
Adjustments to reconcile net (loss) income to cash flow from operating activities: | ||||||||||||||||||||||||||||
(Gain) loss on sale of property, plant and equipment | 161 | 319 | 52 | 214 | (240 | ) | 293 | 266 | ||||||||||||||||||||
(Gain) loss on sale of equipment held for rental | (1,300 | ) | (12,451 | ) | (12,568 | ) | (1,247 | ) | 44 | 1,320 | (6,794 | ) | ||||||||||||||||
Non-cash charges and credits: | ||||||||||||||||||||||||||||
Depreciation and amortization | 7,088 | 25,681 | 5,070 | 7,359 | 6,766 | 6,486 | 19,937 | |||||||||||||||||||||
Other | 2,749 | 17,006 | (1,173 | ) | 5,977 | 8,548 | 3,654 | 7,869 | ||||||||||||||||||||
Changes in selected working capital items: | ||||||||||||||||||||||||||||
Accounts receivable | 62,217 | (66,296 | ) | 18,059 | (57,552 | ) | (27,823 | ) | 1,020 | (35,324 | ) | |||||||||||||||||
Inventories | (16,368 | ) | 9,188 | 13,060 | (14,053 | ) | 3,296 | 6,885 | 43,137 | |||||||||||||||||||
Accounts payable | 10,554 | 33,207 | 11,982 | 31,428 | 24,751 | (34,954 | ) | (46,026 | ) | |||||||||||||||||||
Other operating assets and liabilities | (12,560 | ) | 13,506 | 21,266 | (3,515 | ) | (4,289 | ) | 44 | (12,706 | ) | |||||||||||||||||
Changes in finance receivables | (8,496 | ) | (6,112 | ) | (6,756 | ) | (2,181 | ) | 1,770 | 1,055 | 40,487 | |||||||||||||||||
Changes in pledged finance receivables | 1,391 | (14,866 | ) | 224 | 1,537 | (1,175 | ) | (15,452 | ) | (114,271 | ) | |||||||||||||||||
Changes in other assets and liabilities | (1,147 | ) | (11,090 | ) | (4,408 | ) | (1,921 | ) | (862 | ) | (3,899 | ) | (3,295 | ) | ||||||||||||||
Cash flow from operating activities | 35,560 | 14,741 | 60,079 | (25,267 | ) | 12,944 | (33,015 | ) | (94,328 | ) | ||||||||||||||||||
INVESTMENTS | ||||||||||||||||||||||||||||
Purchases of property, plant and equipment | (2,895 | ) | (12,387 | ) | (3,522 | ) | (2,435 | ) | (2,619 | ) | (3,811 | ) | (10,806 | ) | ||||||||||||||
Proceeds from sale of property, plant and equipment | 81 | 90 | (127 | ) | 127 | 1 | 89 | 216 | ||||||||||||||||||||
Purchases of equipment held for rental | (10,089 | ) | (26,689 | ) | (10,246 | ) | (4,491 | ) | (9,743 | ) | (2,209 | ) | (16,342 | ) | ||||||||||||||
Proceeds from sale of equipment held for rental | 4,150 | 33,269 | 20,563 | 8,008 | 3,557 | 1,141 | 19,063 | |||||||||||||||||||||
Cash portion of acquisitions | — | (109,557 | ) | (14,186 | ) | — | — | (95,371 | ) | — | ||||||||||||||||||
Other | (46 | ) | 333 | (27 | ) | 507 | (101 | ) | (46 | ) | (689 | ) | ||||||||||||||||
Cash flow from investing activities | (8,799 | ) | (114,941 | ) | (7,545 | ) | 1,716 | (8,905 | ) | (100,207 | ) | (8,558 | ) | |||||||||||||||
FINANCING | ||||||||||||||||||||||||||||
Net issuance (repayment) of short-term debt | 58 | 27 | (13,115 | ) | 13,084 | (536 | ) | 594 | (13,497 | ) | ||||||||||||||||||
Issuance of long-term debt | 85,016 | 351,999 | 181,999 | 71,000 | 77,000 | 22,000 | 404,283 | |||||||||||||||||||||
Repayment of long-term debt | (85,092 | ) | (362,506 | ) | (196,202 | ) | (67,099 | ) | (77,119 | ) | (22,086 | ) | (279,647 | ) | ||||||||||||||
Issuance of limited recourse debt | — | 13,979 | — | — | 3,108 | 10,871 | 117,383 | |||||||||||||||||||||
Repayment of limited recourse debt | — | (253 | ) | — | — | — | (253 | ) | (118 | ) | ||||||||||||||||||
Payment of dividends | (220 | ) | (871 | ) | (219 | ) | (218 | ) | (218 | ) | (216 | ) | (859 | ) | ||||||||||||||
Exercise of stock options | 5,086 | 2,414 | 276 | 1,242 | 746 | 150 | 93 | |||||||||||||||||||||
Cash flow from financing activities | 4,848 | 4,789 | (27,261 | ) | 18,009 | 2,981 | 11,060 | 227,638 | ||||||||||||||||||||
CURRENCY ADJUSTMENTS | ||||||||||||||||||||||||||||
Effect of exchange rate changes on cash | (2,767 | ) | 258 | (562 | ) | 362 | (183 | ) | 641 | 1,852 | ||||||||||||||||||
CASH AND CASH EQUIVALENTS | ||||||||||||||||||||||||||||
Net change in cash and cash equivalents | 28,842 | (95,153 | ) | 24,711 | (5,180 | ) | 6,837 | (121,521 | ) | 126,604 | ||||||||||||||||||
Beginning balance | 37,656 | 132,809 | 12,945 | 18,125 | 11,288 | 132,809 | 6,205 | |||||||||||||||||||||
Ending balance | $ | 66,498 | $ | 37,656 | $ | 37,656 | $ | 12,945 | $ | 18,125 | $ | 11,288 | $ | 132,809 | ||||||||||||||
JLG Industries, Inc. - Page 5
JLG INDUSTRIES, INC.
CONSOLIDATED SELECTED SUPPLEMENTAL FINANCIAL INFORMATION
(in thousands)
(Quarterly data is unaudited)
Quarter Ended | Fiscal Year | Quarter Ended | Fiscal Year | |||||||||||||||||||||||||
October 31, | Ended | July 31, | April 30, | January 31, | October 31, | Ended | ||||||||||||||||||||||
2004 | July 31, 2004 | 2004 | 2004 | 2004 | 2003 | July 31, 2003 | ||||||||||||||||||||||
SEGMENT INFORMATION | ||||||||||||||||||||||||||||
REVENUES: | ||||||||||||||||||||||||||||
Machinery | $ | 252,532 | $ | 973,610 | $ | 351,123 | $ | 261,263 | $ | 192,266 | $ | 168,958 | $ | 594,484 | ||||||||||||||
Equipment Services | 51,350 | 204,454 | 69,559 | 53,258 | 40,822 | 40,815 | 136,737 | |||||||||||||||||||||
Access Financial Solutions | 2,779 | 15,898 | 4,478 | 4,166 | 3,442 | 3,812 | 19,907 | |||||||||||||||||||||
$ | 306,661 | $ | 1,193,962 | $ | 425,160 | $ | 318,687 | $ | 236,530 | $ | 213,585 | $ | 751,128 | |||||||||||||||
SEGMENT PROFIT (LOSS): | ||||||||||||||||||||||||||||
Machinery | $ | (13,340 | ) | $ | 70,844 | $ | 27,520 | $ | 25,190 | $ | 11,541 | $ | 6,593 | $ | 25,513 | |||||||||||||
Equipment services | 15,767 | 59,760 | 20,725 | 15,158 | 12,809 | 11,068 | 27,119 | |||||||||||||||||||||
Access Financial Solutions | 194 | 1,695 | 990 | 694 | (273 | ) | 284 | 3,990 | ||||||||||||||||||||
General corporate expenses | (13,249 | ) | (67,308 | ) | (19,898 | ) | (20,229 | ) | (16,088 | ) | (11,093 | ) | (32,001 | ) | ||||||||||||||
Segment (loss) profit | (10,628 | ) | 64,991 | 29,337 | 20,813 | 7,989 | 6,852 | 24,621 | ||||||||||||||||||||
Add: AFS’ interest expense | 2,293 | 10,915 | 2,542 | 2,785 | 2,674 | 2,914 | 11,700 | |||||||||||||||||||||
Operating (Loss) Income | $ | (8,335 | ) | $ | 75,906 | $ | 31,879 | $ | 23,598 | $ | 10,663 | $ | 9,766 | $ | 36,321 | |||||||||||||
PRODUCT GROUP REVENUES | ||||||||||||||||||||||||||||
Aerial work platforms | $ | 124,523 | $ | 562,056 | $ | 217,425 | $ | 146,017 | $ | 109,354 | $ | 89,260 | $ | 428,564 | ||||||||||||||
Telehandlers | 119,668 | 358,865 | 117,510 | 99,439 | 69,908 | 72,008 | 117,475 | |||||||||||||||||||||
Excavators | 8,341 | 52,689 | 16,188 | 15,807 | 13,004 | 7,690 | 48,445 | |||||||||||||||||||||
After-sales service and support, including parts sales, and used and reconditioned equipment sales | 49,599 | 196,576 | 67,482 | 51,387 | 38,273 | 39,434 | 130,335 | |||||||||||||||||||||
Financial products | 2,660 | 15,203 | 4,172 | 3,913 | 3,442 | 3,676 | 19,184 | |||||||||||||||||||||
Rentals | 1,870 | 8,573 | 2,383 | 2,124 | 2,549 | 1,517 | 7,125 | |||||||||||||||||||||
$ | 306,661 | $ | 1,193,962 | �� | $ | 425,160 | $ | 318,687 | $ | 236,530 | $ | 213,585 | $ | 751,128 | ||||||||||||||
GEOGRAPHIC REVENUES | ||||||||||||||||||||||||||||
United States | $ | 238,733 | $ | 923,696 | $ | 327,498 | $ | 246,985 | $ | 177,542 | $ | 171,671 | $ | 546,494 | ||||||||||||||
Europe | 36,863 | 178,392 | 66,076 | 48,079 | 40,286 | 23,951 | 145,038 | |||||||||||||||||||||
Other international | 31,065 | 91,874 | 31,586 | 23,623 | 18,702 | 17,963 | 59,596 | |||||||||||||||||||||
$ | 306,661 | $ | 1,193,962 | $ | 425,160 | $ | 318,687 | $ | 236,530 | $ | 213,585 | $ | 751,128 | |||||||||||||||
JLG Industries, Inc. - Page 6
JLG INDUSTRIES, INC.
EBITDA
QUARTERLY PERIODS
(in thousands)
October 31, | July 31, | April 30, | January 31, | October 31, | July 31, | |||||||||||||||||||
2004 | 2004 | 2004 | 2004 | 2003 | 2003 | |||||||||||||||||||
Net (loss) income | ($ | 8,729 | ) | $ | 15,271 | $ | 8,687 | $ | 2,158 | $ | 533 | $ | 5,672 | |||||||||||
Interest expense | 8,996 | 9,274 | 9,400 | 9,548 | 9,876 | 9,645 | ||||||||||||||||||
Income tax (benefit) provision | (5,170 | ) | 8,748 | 4,890 | 1,297 | 297 | (527 | ) | ||||||||||||||||
Depreciation and amortization | 7,088 | 5,070 | 7,359 | 6,766 | 6,486 | 4,591 | ||||||||||||||||||
EBITDA | $ | 2,185 | $ | 38,363 | $ | 30,336 | $ | 19,769 | $ | 17,192 | $ | 19,381 | ||||||||||||
We also monitor our EBITDA, which is a supplemental measure to GAAP that provides additional information concerning our leverage position and our historical ability to meet debt service and capital expenditure and working capital requirements. EBITDA also is an indicator of profitability, particularly in our capital-intensive industry. EBITDA reflects our earnings (loss) before interest, taxes and depreciation and amortization. EBITDA as presented differs (i) from previously disclosed presentations which excluded restructuring or repositioning charges, and (ii) from measures of EBITDA calculated for purposes of financial covenants in our note indentures and senior credit facilities.
JLG Industries, Inc. - Page 7
JLG INDUSTRIES, INC.
EBITDA AND EBITDA MARGINS
TRAILING TWELVE MONTH PERIODS
(in thousands)
October 31, | July 31, | April 30, | January 31, | October 31, | July 31, | |||||||||||||||||||
2004 | 2004 | 2004 | 2004 | 2003 | 2003 | |||||||||||||||||||
Net income | $ | 17,387 | $ | 26,649 | $ | 17,050 | $ | 10,528 | $ | 12,596 | $ | 12,392 | ||||||||||||
Interest expense | 37,218 | 38,098 | 38,469 | 35,833 | 32,357 | 27,985 | ||||||||||||||||||
Income tax provision | 9,765 | 15,232 | 5,957 | 2,085 | 2,777 | 2,635 | ||||||||||||||||||
Depreciation and amortization | 26,283 | 25,681 | 25,202 | 22,774 | 21,155 | 19,937 | ||||||||||||||||||
EBITDA | $ | 90,653 | $ | 105,660 | $ | 86,678 | $ | 71,220 | $ | 68,885 | $ | 62,949 | ||||||||||||
Revenues | $ | 1,287,038 | $ | 1,193,962 | $ | 1,002,360 | $ | 889,443 | $ | 804,226 | $ | 751,128 | ||||||||||||
EBITDA Margin | 7.0 | % | 8.8 | % | 8.6 | % | 8.0 | % | 8.6 | % | 8.4 | % | ||||||||||||
We also monitor our EBITDA, which is a supplemental measure to GAAP that provides additional information concerning our leverage position and our historical ability to meet debt service and capital expenditure and working capital requirements. EBITDA also is an indicator of profitability, particularly in our capital-intensive industry. EBITDA reflects our earnings before interest, taxes and depreciation and amortization. EBITDA as presented differs (i) from previously disclosed presentations which excluded restructuring or repositioning charges, and (ii) from measures of EBITDA calculated for purposes of financial covenants in our note indentures and senior credit facilities.
JLG Industries, Inc. - Page 8
JLG INDUSTRIES, INC.
NET DEBT
(in thousands)
October 31, | July 31, | April 30, | January 31, | October 31, | July 31, | |||||||||||||||||||
2004 | 2004 | 2004 | 2004 | 2003 | 2003 | |||||||||||||||||||
Revolving credit facilities | $ | — | $ | — | $ | 14,000 | $ | — | $ | — | $ | — | ||||||||||||
$15 million cash management facility | — | — | 13,129 | — | 567 | — | ||||||||||||||||||
$125 million senior notes | 125,000 | 125,000 | 125,000 | 125,000 | 125,000 | 125,000 | ||||||||||||||||||
$175 million senior subordinated notes | 175,000 | 175,000 | 175,000 | 175,000 | 175,000 | 175,000 | ||||||||||||||||||
Miscellaneous debt | 5,219 | 5,236 | 5,321 | 15,465 | 15,554 | 1,983 | ||||||||||||||||||
Fair value of interest rate swaps | (6,492 | ) | (8,814 | ) | (8,296 | ) | (6,795 | ) | (8,065 | ) | (12,347 | ) | ||||||||||||
Gain on terminated interest rate swap | 5,149 | 5,318 | 5,487 | 5,656 | 5,825 | 5,994 | ||||||||||||||||||
Bank debt and notes | 303,876 | 301,740 | 329,641 | 314,326 | 313,881 | 295,630 | ||||||||||||||||||
Limited recourse debt from finance receivables monetizations * | 85,733 | 121,794 | 135,453 | 150,283 | 153,541 | 164,940 | ||||||||||||||||||
Total balance sheet debt | 389,609 | 423,534 | 465,094 | 464,609 | 467,422 | 460,570 | ||||||||||||||||||
Net present value of off-balance sheet rental fleet lease | 1,012 | 1,070 | 1,524 | 2,026 | 2,341 | 2,341 | ||||||||||||||||||
Net present value of off-balance sheet production equipment leases | 3,991 | 4,399 | 4,966 | 5,181 | 5,564 | 5,941 | ||||||||||||||||||
Total off-balance sheet financing | 5,003 | 5,469 | 6,490 | 7,207 | 7,905 | 8,282 | ||||||||||||||||||
Total balance sheet debt and off-balance sheet financing | 394,612 | 429,003 | 471,584 | 471,816 | 475,327 | 468,852 | ||||||||||||||||||
Less: cash | 66,498 | 37,656 | 12,945 | 18,125 | 11,288 | 132,809 | ||||||||||||||||||
Less: limited recourse debt from finance receivables monetizations | 85,733 | 121,794 | 135,453 | 150,283 | 153,541 | 164,940 | ||||||||||||||||||
Net debt | $ | 242,381 | $ | 269,553 | $ | 323,186 | $ | 303,408 | $ | 310,498 | $ | 171,103 | ||||||||||||
* Maximum loss exposure from finance receivables monetizations | $ | 26,068 | $ | 25,161 | $ | 23,757 | $ | 24,460 | $ | 23,380 | $ | 21,708 | ||||||||||||
Shareholders’ Equity | $ | 276,780 | $ | 281,270 | $ | 264,018 | $ | 252,252 | $ | 248,911 | $ | 247,714 | ||||||||||||
Net Debt-to-Net Debt plus Shareholders’ Equity | 47 | % | 49 | % | 55 | % | 55 | % | 56 | % | 41 | % | ||||||||||||
Total Balance Sheet Debt-to-Total Balance Sheet Debt plus Shareholders’ Equity | 58 | % | 60 | % | 64 | % | 65 | % | 65 | % | 65 | % | ||||||||||||
We also monitor our net debt, which is a supplemental measure to GAAP that provides additional information concerning our leverage position and our historical ability to meet debt service and capital expenditure and working capital requirements. We define net debt as the sum of total balance sheet debt and other off-balance sheet financing, minus cash and limited recourse debt arising from our monetizations of customer finance receivables.
JLG Industries, Inc. - Page 9
JLG INDUSTRIES, INC.
FREE CASH FLOW
(in thousands)
Quarter Ended | Fiscal Year | Quarter Ended | Fiscal Year | |||||||||||||||||||||||||
October 31, | Ended | July 31, | April 30, | January 31, | October 31, | Ended | ||||||||||||||||||||||
2004 | July 31, 2004 | 2004 | 2004 | 2004 | 2003 | July 31, 2003 | ||||||||||||||||||||||
Net (loss) income | ($8,729 | ) | $ | 26,649 | $ | 15,271 | $ | 8,687 | $ | 2,158 | $ | 533 | $ | 12,392 | ||||||||||||||
Adjustments to reconcile net (loss) income to cash flow from operating activities: | ||||||||||||||||||||||||||||
Non-cash items | 8,698 | 30,555 | (8,619 | ) | 12,303 | 15,118 | 11,753 | 21,278 | ||||||||||||||||||||
Accounts receivable | 62,217 | (66,296 | ) | 18,059 | (57,552 | ) | (27,823 | ) | 1,020 | (35,324 | ) | |||||||||||||||||
Inventories | (16,368 | ) | 9,188 | 13,060 | (14,053 | ) | 3,296 | 6,885 | 43,137 | |||||||||||||||||||
Other current assets | (2,817 | ) | 8,780 | (158 | ) | (14,211 | ) | 26,225 | (3,076 | ) | (15,960 | ) | ||||||||||||||||
Accounts payable | 10,554 | 33,207 | 11,982 | 31,428 | 24,751 | (34,954 | ) | (46,026 | ) | |||||||||||||||||||
Accrued expenses | (9,743 | ) | 4,726 | 21,424 | 10,696 | (30,514 | ) | 3,120 | 3,254 | |||||||||||||||||||
Finance receivables | (8,496 | ) | (6,112 | ) | (6,756 | ) | (2,181 | ) | 1,770 | 1,055 | 40,487 | |||||||||||||||||
Other cash from operations | (1,147 | ) | (11,090 | ) | (4,408 | ) | (1,921 | ) | (862 | ) | (3,899 | ) | (3,295 | ) | ||||||||||||||
Purchases of property, plant and equipment | (2,895 | ) | (12,387 | ) | (3,522 | ) | (2,435 | ) | (2,619 | ) | (3,811 | ) | (10,806 | ) | ||||||||||||||
Proceeds from sale of property, plant and equipment | 81 | 90 | (127 | ) | 127 | 1 | 89 | 216 | ||||||||||||||||||||
Purchases of equipment held for rental | (10,089 | ) | (26,689 | ) | (10,246 | ) | (4,491 | ) | (9,743 | ) | (2,209 | ) | (16,342 | ) | ||||||||||||||
Proceeds from sale of equipment held for rental | 4,150 | 33,269 | 20,563 | 8,008 | 3,557 | 1,141 | 19,063 | |||||||||||||||||||||
Cash portion of acquisitions | — | (109,557 | ) | (14,186 | ) | — | — | (95,371 | ) | — | ||||||||||||||||||
Other cash from investments | (46 | ) | 333 | (27 | ) | 507 | (101 | ) | (46 | ) | (689 | ) | ||||||||||||||||
Payment of dividends | (220 | ) | (871 | ) | (219 | ) | (218 | ) | (218 | ) | (216 | ) | (859 | ) | ||||||||||||||
Exercise of stock options | 5,086 | 2,414 | 276 | 1,242 | 746 | 150 | 93 | |||||||||||||||||||||
Effect of exchange rate changes on cash | (2,767 | ) | 258 | (562 | ) | 362 | (183 | ) | 641 | 1,852 | ||||||||||||||||||
Seller financing | — | (10,000 | ) | — | — | — | (10,000 | ) | — | |||||||||||||||||||
Capital lease assumed in OmniQuip acquisition | — | (3,630 | ) | — | — | — | (3,630 | ) | — | |||||||||||||||||||
Debt assumed in Delta acquisition | — | (103 | ) | (103 | ) | — | — | — | — | |||||||||||||||||||
Other(1) | (297 | ) | (1,184 | ) | 1,931 | 3,924 | 1,531 | (8,570 | ) | 15,310 | ||||||||||||||||||
Free Cash Flow | $ | 27,172 | ($98,450 | ) | $ | 53,633 | ($19,778 | ) | $ | 7,090 | ($139,395 | ) | $ | 27,781 | ||||||||||||||
(1) Includes changes in other off-balance sheet debt.
In addition to measuring our cash flow generation and usage based upon the Statements of Cash Flows, we also measure our free cash flow. We define free cash flow as cash flow from operating activities, investing activities, payment of dividends, exercise of stock options, and the effect of exchange rate changes on cash less changes in accounts receivable securitization, limited recourse debt from finance receivables monetizations and off-balance sheet debt. Our measure of free cash flow may not be comparable to similarly titled measures being disclosed by other companies and is not a measure of financial performance that is in accordance with GAAP. We utilize free cash flow to explain the change in our net debt position from the prior period.
JLG Industries, Inc. - Page 10
JLG INDUSTRIES, INC.
STATEMENTS OF INCOME
(in thousands, except per share data)
(unaudited)
CONSOLIDATED | EQUIPMENT OPERATIONS | FINANCIAL SERVICES | ||||||||||||||||||||||
JLG Industries, Inc. and | JLG Industries, Inc. with Access | |||||||||||||||||||||||
Consolidated Subsidiaries | Financial Solutions on the Equity Basis | Access Financial Solutions | ||||||||||||||||||||||
Three Months Ended October 31, | Three Months Ended October 31, | Three Months Ended October 31, | ||||||||||||||||||||||
2004 | 2003 | 2004 | 2003 | 2004 | 2003 | |||||||||||||||||||
Revenues | ||||||||||||||||||||||||
Net sales | $ | 302,131 | $ | 208,392 | $ | 302,131 | $ | 208,392 | $ | — | $ | — | ||||||||||||
Financial products | 2,660 | 3,676 | — | — | 2,660 | 3,676 | ||||||||||||||||||
Rentals | 1,870 | 1,517 | 1,751 | 1,381 | 119 | 136 | ||||||||||||||||||
306,661 | 213,585 | 303,882 | 209,773 | 2,779 | 3,812 | |||||||||||||||||||
Cost of sales | 280,966 | 175,319 | 280,772 | 175,161 | 194 | 158 | ||||||||||||||||||
Gross profit | 25,695 | 38,266 | 23,110 | 34,612 | 2,585 | 3,654 | ||||||||||||||||||
Selling and administrative expenses | 28,122 | 23,716 | 28,024 | 23,260 | 98 | 456 | ||||||||||||||||||
Product development expenses | 5,908 | 4,773 | 5,908 | 4,773 | — | — | ||||||||||||||||||
Restructuring charges | — | 11 | — | 11 | — | — | ||||||||||||||||||
(Loss) income from operations | (8,335 | ) | 9,766 | (10,822 | ) | 6,568 | 2,487 | 3,198 | ||||||||||||||||
Other income (deductions): | ||||||||||||||||||||||||
Interest expense | (8,996 | ) | (9,876 | ) | (6,703 | ) | (6,962 | ) | (2,293 | ) | (2,914 | ) | ||||||||||||
Miscellaneous, net | 3,432 | 940 | 3,432 | 940 | — | — | ||||||||||||||||||
(Loss) income before taxes | (13,899 | ) | 830 | (14,093 | ) | 546 | 194 | 284 | ||||||||||||||||
Income tax (benefit) provision | (5,170 | ) | 297 | (5,242 | ) | 195 | 72 | 102 | ||||||||||||||||
Equity in income of Access Financial Solutions | — | — | 122 | 182 | — | — | ||||||||||||||||||
Net (loss) income | $ | (8,729 | ) | $ | 533 | $ | (8,729 | ) | $ | 533 | $ | 122 | $ | 182 | ||||||||||
(Loss) earnings per common share | $ | (.20 | ) | $ | .01 | |||||||||||||||||||
(Loss) earnings per common share - assuming dilution | $ | (.20 | ) | $ | .01 | |||||||||||||||||||
Cash dividends per share | $ | .005 | $ | .005 | ||||||||||||||||||||
Weighted average shares outstanding | 43,277 | 42,656 | ||||||||||||||||||||||
Weighted average shares outstanding - assuming dilution | 43,277 | 43,575 | ||||||||||||||||||||||
JLG Industries, Inc. - Page 11
JLG INDUSTRIES, INC.
BALANCE SHEETS
(in thousands, except per share data)
(unaudited)
CONSOLIDATED | EQUIPMENT OPERATIONS | FINANCIAL SERVICES | ||||||||||||||||||||||
JLG Industries, Inc. and | JLG Industries, Inc. with Access | |||||||||||||||||||||||
Consolidated Subsidiaries | Financial Solutions on the Equity Basis | Access Financial Solutions | ||||||||||||||||||||||
October 31, | July 31, | October 31, | July 31, | October 31, | July 31, | |||||||||||||||||||
2004 | 2004 | 2004 | 2004 | 2004 | 2004 | |||||||||||||||||||
ASSETS | ||||||||||||||||||||||||
Current assets | ||||||||||||||||||||||||
Cash and cash equivalents | $ | 66,498 | $ | 37,656 | $ | 66,498 | $ | 37,656 | $ | — | $ | — | ||||||||||||
Accounts receivable — net | 299,123 | 362,819 | 295,304 | 332,154 | 3,819 | 30,665 | ||||||||||||||||||
Finance receivables — net | 9,136 | 5,920 | — | — | 9,136 | 5,920 | ||||||||||||||||||
Pledged receivables — net | 25,057 | 31,858 | — | — | 25,057 | 31,858 | ||||||||||||||||||
Inventories | 170,731 | 154,405 | 170,731 | 154,405 | — | — | ||||||||||||||||||
Other current assets | 45,739 | 41,058 | 45,739 | 41,058 | — | — | ||||||||||||||||||
Total current assets | 616,284 | 633,716 | 578,272 | 565,273 | 38,012 | 68,443 | ||||||||||||||||||
Property, plant and equipment — net | 89,443 | 91,504 | 89,443 | 91,504 | — | — | ||||||||||||||||||
Equipment held for rental — net | 26,842 | 21,190 | 25,222 | 19,404 | 1,620 | 1,786 | ||||||||||||||||||
Finance receivables, less current portion | 39,002 | 33,747 | — | — | 39,002 | 33,747 | ||||||||||||||||||
Pledged receivables, less current portion | 56,413 | 86,559 | — | — | 56,413 | 86,559 | ||||||||||||||||||
Goodwill | 63,017 | 62,885 | 63,017 | 62,885 | — | — | ||||||||||||||||||
Intangible assets — net | 34,590 | 35,240 | 34,590 | 35,240 | — | — | ||||||||||||||||||
Investment in Access Financial Solutions | — | — | 37,893 | 37,771 | — | — | ||||||||||||||||||
Receivable from Access Financial Solutions | — | — | 11,309 | 31,398 | — | — | ||||||||||||||||||
Other assets | 66,991 | 62,603 | 66,927 | 61,955 | 64 | 648 | ||||||||||||||||||
$ | 992,582 | $ | 1,027,444 | $ | 906,673 | $ | 905,430 | $ | 135,111 | $ | 191,183 | |||||||||||||
LIABILITIES AND SHAREHOLDERS’ EQUITY | ||||||||||||||||||||||||
Current liabilities | ||||||||||||||||||||||||
Short-term debt and current portion of long-term debt | $ | 1,788 | $ | 1,729 | $ | 1,788 | $ | 1,729 | $ | — | $ | — | ||||||||||||
Current portion of limited recourse debt from finance receivables monetizations | 26,725 | 32,585 | — | — | 26,725 | 32,585 | ||||||||||||||||||
Accounts payable | 150,600 | 139,990 | 150,600 | 139,990 | — | — | ||||||||||||||||||
Accrued expenses | 108,500 | 118,860 | 108,324 | 118,652 | 176 | 208 | ||||||||||||||||||
Total current liabilities | 287,613 | 293,164 | 260,712 | 260,371 | 26,901 | 32,793 | ||||||||||||||||||
Long-term debt, less current portion | 302,088 | 300,011 | 302,088 | 300,011 | — | — | ||||||||||||||||||
Limited recourse debt from finance receivables monetizations, less current portion | 59,008 | 89,209 | — | — | 59,008 | 89,209 | ||||||||||||||||||
Payable to JLG Industries, Inc. | — | — | — | — | 11,309 | 31,398 | ||||||||||||||||||
Accrued post-retirement benefits | 30,211 | 29,666 | 30,211 | 29,666 | — | — | ||||||||||||||||||
Other long-term liabilities | 21,362 | 20,542 | 21,362 | 20,542 | — | — | ||||||||||||||||||
Provisions for contingencies | 15,520 | 13,582 | 15,520 | 13,570 | — | 12 | ||||||||||||||||||
Shareholders’ equity | ||||||||||||||||||||||||
Capital stock: | ||||||||||||||||||||||||
Authorized shares: 100,000 at $.20 par value | ||||||||||||||||||||||||
Issued and outstanding shares: 44,535 shares; fiscal 2004 – 43,903 shares | 8,907 | 8,781 | 8,907 | 8,781 | 30,000 | 30,000 | ||||||||||||||||||
Additional paid-in capital | 35,111 | 29,571 | 35,111 | 29,571 | — | — | ||||||||||||||||||
Retained earnings | 245,319 | 254,268 | 245,319 | 254,268 | 7,893 | 7,771 | ||||||||||||||||||
Unearned compensation | (4,019 | ) | (5,333 | ) | (4,019 | ) | (5,333 | ) | — | — | ||||||||||||||
Accumulated other comprehensive loss | (8,538 | ) | (6,017 | ) | (8,538 | ) | (6,017 | ) | — | — | ||||||||||||||
Total shareholders’ equity | 276,780 | 281,270 | 276,780 | 281,270 | 37,893 | 37,771 | ||||||||||||||||||
$ | 992,582 | $ | 1,027,444 | $ | 906,673 | $ | 905,430 | $ | 135,111 | $ | 191,183 | |||||||||||||
JLG Industries, Inc. - Page 12
JLG INDUSTRIES, INC.
STATEMENTS OF CASH FLOWS
(in thousands)
(unaudited)
CONSOLIDATED | EQUIPMENT OPERATIONS | FINANCIAL SERVICES | ||||||||||||||||||||||
JLG Industries, Inc. and | JLG Industries, Inc. with Access | |||||||||||||||||||||||
Consolidated Subsidiaries | Financial Solutions on the Equity Basis | Access Financial Solutions | ||||||||||||||||||||||
Three Months Ended October 31, | Three Months Ended October 31, | Three Months Ended October 31, | ||||||||||||||||||||||
2004 | 2003 | 2004 | 2003 | 2004 | 2003 | |||||||||||||||||||
Operations | ||||||||||||||||||||||||
Net (loss) income | $ | (8,729 | ) | $ | 533 | $ | (8,729 | ) | $ | 533 | $ | 122 | $ | 182 | ||||||||||
Adjustments to reconcile net (loss) income to cash flow from operating activities: | ||||||||||||||||||||||||
(Gain) loss on sale of property, plant and equipment | 161 | 293 | 161 | 293 | — | — | ||||||||||||||||||
(Gain) loss on sale of equipment held for rental | (1,300 | ) | 1,320 | (1,300 | ) | 1,320 | — | — | ||||||||||||||||
Non-cash charges and credits: | ||||||||||||||||||||||||
Depreciation and amortization | 7,088 | 6,486 | 6,894 | 6,332 | 194 | 154 | ||||||||||||||||||
Other | 2,749 | 3,654 | 3,267 | 3,746 | (518 | ) | (92 | ) | ||||||||||||||||
Changes in selected working capital items: | ||||||||||||||||||||||||
Accounts receivable | 62,217 | 1,020 | 35,355 | (21,304 | ) | 26,862 | 22,324 | |||||||||||||||||
Inventories | (16,368 | ) | 6,885 | (16,368 | ) | 6,885 | — | — | ||||||||||||||||
Accounts payable | 10,554 | (34,954 | ) | 10,554 | (34,954 | ) | — | — | ||||||||||||||||
Other operating assets and liabilities | (12,560 | ) | 44 | (12,528 | ) | 20 | (32 | ) | 24 | |||||||||||||||
Changes in finance receivables | (8,496 | ) | 1,055 | — | — | (8,496 | ) | 1,055 | ||||||||||||||||
Changes in pledged finance receivables | 1,391 | (15,452 | ) | — | — | 1,391 | (15,452 | ) | ||||||||||||||||
Changes in other assets and liabilities | (1,147 | ) | (3,899 | ) | (1,719 | ) | (3,573 | ) | 572 | (326 | ) | |||||||||||||
Cash flow from operating activities | 35,560 | (33,015 | ) | 15,587 | (40,702 | ) | 20,095 | 7,869 | ||||||||||||||||
Investments | ||||||||||||||||||||||||
Purchases of property, plant and equipment | (2,895 | ) | (3,811 | ) | (2,895 | ) | (3,811 | ) | — | — | ||||||||||||||
Proceeds from the sale of property, plant and equipment | 81 | 89 | 81 | 89 | — | — | ||||||||||||||||||
Purchases of equipment held for rental | (10,089 | ) | (2,209 | ) | (10,061 | ) | (2,100 | ) | (28 | ) | (109 | ) | ||||||||||||
Proceeds from the sale of equipment held for rental | 4,150 | 1,141 | 4,150 | 1,141 | — | — | ||||||||||||||||||
Cash portion of acquisitions | — | (95,371 | ) | — | (95,371 | ) | — | — | ||||||||||||||||
Investment in income of Access Financial Solutions | — | — | (122 | ) | (182 | ) | — | — | ||||||||||||||||
Other | (46 | ) | (46 | ) | (46 | ) | (46 | ) | — | — | ||||||||||||||
Cash flow from investing activities | (8,799 | ) | (100,207 | ) | (8,993 | ) | (100,280 | ) | (28 | ) | (109 | ) | ||||||||||||
Financing | ||||||||||||||||||||||||
Net increase in short-term debt | 58 | 594 | 58 | 594 | — | — | ||||||||||||||||||
Issuance of long-term debt | 85,016 | 22,000 | 85,016 | 22,000 | — | — | ||||||||||||||||||
Repayment of long-term debt | (85,092 | ) | (22,086 | ) | (85,092 | ) | (22,086 | ) | — | — | ||||||||||||||
Issuance of limited recourse debt | — | 10,871 | — | — | — | 10,871 | ||||||||||||||||||
Repayment of limited recourse debt | (253 | ) | — | — | — | (253 | ) | |||||||||||||||||
Change in receivable from Access Financial Solutions | — | — | 20,089 | 18,378 | — | — | ||||||||||||||||||
Change in payable to JLG Industries, Inc. | — | — | — | — | (20,089 | ) | (18,378 | ) | ||||||||||||||||
Payment of dividends | (220 | ) | (216 | ) | (220 | ) | (216 | ) | — | — | ||||||||||||||
Exercise of stock options | 5,086 | 150 | 5,086 | 150 | — | — | ||||||||||||||||||
Cash flow from financing activities | 4,848 | 11,060 | 24,937 | 18,820 | (20,089 | ) | (7,760 | ) | ||||||||||||||||
Currency Adjustments | ||||||||||||||||||||||||
Effect of exchange rate changes on cash | (2,767 | ) | 641 | (2,789 | ) | 641 | 22 | — | ||||||||||||||||
Cash and Cash Equivalents | ||||||||||||||||||||||||
Net change in cash and cash equivalents | 28,842 | (121,521 | ) | 28,842 | (121,521 | ) | — | — | ||||||||||||||||
Beginning balance | 37,656 | 132,809 | 37,656 | 132,809 | — | — | ||||||||||||||||||
Ending balance | $ | 66,498 | $ | 11,288 | $ | 66,498 | $ | 11,288 | $ | — | $ | — | ||||||||||||
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