- Fourth quarter net income of $69.9
million, or $0.42 per GAAP
diluted share
- Non-GAAP Adjusted Diluted Earnings Per Share for FY 2014 of
$1.20 per share
- Fuel Segment performance reflects the benefit from the
biodiesel tax credit
- Diamond Green Diesel (DGD)
Joint Venture Adjusted EBITDA $81.6
million for 2014
- Foreign exchange - stronger U.S. dollar impacted Euro and
Canadian dollar translated earnings in fourth quarter
IRVING, Texas, March 4, 2015 /PRNewswire/ -- Darling Ingredients
Inc. (NYSE: DAR), a global developer and producer of sustainable
natural ingredients from edible and inedible bio-nutrients,
creating a wide range of ingredients and customized specialty
solutions for customers in the pharmaceutical, food, pet food,
feed, technical, fuel, bioenergy, and fertilizer industries, today
reported financial results for the fourth quarter and fiscal year
ended January 3, 2015.
Net sales for the fourth quarter of 2014 increased to
$1.0 billion, compared with
$447.9 million in the same period of
2013, attributable to newly acquired operations in first quarter of
2014. Operating income in the fourth quarter of 2014 was
$39.7 million, compared with
$18.5 million for the same period of
2013.
Comments on the 2014 Fourth Quarter and Fiscal Year
End
"Our business continued to experience headwinds in fourth
quarter 2014 from globally lower prices for our finished products
and a stronger U.S. dollar. The global price resetting appears to
have stabilized with raw material values adjusting and prices for
most proteins recovering to meet the increased demand in both the
feed and pet food sectors. Fat and used cooking oil finished
product prices continued their decline as a result of larger global
grain supplies, lower crude oil values, and a non-defined Renewable
Fuel Standard for 2014 or 2015. Diamond
Green Diesel delivered a tremendous quarter, and as
anticipated we benefited from the reinstatement of the biodiesel
blender's tax credit," said Randall
Stuewe, Darling Ingredients Inc. Chairman and Chief
Executive Officer.
"Our gelatin business delivered as expected, with a good
performance in Europe and the US.
China showing signs of recovery
while South America margin
conditions improved. Our global casings business is showing signs
of improvement."
"In 2014 we aggressively stepped onto the world stage and
launched our new global platform," Mr. Stuewe added. "It has been a
challenging year in light of the global deflationary pressures we
faced, but we successfully executed a significant international
integration and are patiently building our platform as the world's
leader in creating sustainable food, feed and fuel ingredients for
a growing population," concluded Mr. Stuewe.
Reconciliation of Fourth Quarter 2014 Net Income to Adjusted
EBITDA
|
Three Months
Ended
|
Adjusted
EBITDA
|
January 3,
|
|
December
28,
|
(U.S. dollars in
thousands)
|
2015
|
|
2013
|
|
|
|
|
Net income
attributable to Darling
|
$ 69,943
|
|
$ 22,493
|
Depreciation and
amortization
|
69,039
|
|
31,713
|
Interest
expense
|
24,633
|
|
21,501
|
Income tax
expense
|
4,792
|
|
585
|
Foreign currency
loss/(gain)
|
1,267
|
|
(28,107)
|
Other expense
/(income), net
|
(269)
|
|
928
|
Equity in net
(income)/loss of unconsolidated subsidiaries
|
(59,547)
|
|
1,136
|
Net income/(loss)
attributable to noncontrolling interests
|
(1,155)
|
|
−
|
Adjusted EBITDA
(Non-GAAP)
|
$108,703
|
|
$ 50,249
|
|
|
|
|
Acquisition and
integration-related expenses
|
2,362
|
|
14,114
|
Pro Forma Adjusted
EBITDA (Non-GAAP)
|
$111,065
|
|
$ 64,363
|
|
|
|
|
DGD Joint Venture
Adjusted EBITDA (Darling's share) (1)
|
$ 63,757
|
|
$ 3,295
|
|
|
|
|
(1)
|
Darling's pro
forma adjusted EBITDA (Non-GAAP) in the above table does not
include the DGD Joint Venture adjusted
EBITDA (Darling's share) if we had consolidated the DGD Joint
Venture.
|
Fourth quarter 2014 net income attributable to Darling was
$69.9 million, or $0.42 per diluted share, compared with net income
of $22.5 million, or $0.18 per diluted share, in the fourth quarter of
2013. For the fourth quarter of fiscal 2014, the Company generated
Adjusted EBITDA of $108.7 million, as
compared to $50.2 million in the same
period in 2013. The increase was primarily attributable to the
inclusion of the blender's tax credit from the DGD Joint Venture
and our newly acquired operations. On a Pro Forma Adjusted EBITDA
basis, the Company would have generated $111.1 million in the fourth quarter 2014, as
compared to a Pro Forma Adjusted EBITDA of $64.4 million in the same period in 2013.
Fourth Quarter Segment Performance
Feed Ingredients
Segment
|
Three Months
Ended
|
($
thousands)
|
January 3,
2015
|
December 28,
2013
|
|
|
|
Net Sales
|
$ 605,976
|
$ 447,394
|
Operating
Income
|
$ 33,613
|
$ 32,271
|
- Feed Ingredients operating income increased by $1.3 million to $33.6
million when compared to the fourth quarter of fiscal 2013.
The increase in operating income is attributable to the newly
acquired operations in first quarter 2014.
- Europe and Canada performed generally as expected, with
the U.S. moderately below expectations with fat markets falling
lower sequentially quarter over quarter impacting the non-formula
business.
Food Ingredients
Segment
|
Three Months
Ended
|
($
thousands)
|
January 3,
2015
|
December 28,
2013
|
|
|
|
Net Sales
|
$ 322,049
|
-
|
Operating
Income
|
$ 13,655
|
-
|
- Food Ingredients operating income was $13.7 million for the fourth quarter of 2014
compared to no prior reporting segment or activity in the Food
Ingredients business lines in the fourth quarter of 2013.
- Rousselot preformed consistently. Our global volumes improved,
with Europe leading the way and
China showing signs of improved
demand while adjustments were made to ease South America margin compression. The
Company's casings business showed signs of improved margins.
Fuel Ingredients
Segment
|
Three Months
Ended
|
($
thousands)
|
January 3,
2015
|
December 28,
2013
|
|
|
|
Net Sales
|
$ 72,179
|
$ 7,910
|
Operating
Income
|
$ 10,935
|
$ 714
|
- Exclusive of the DGD Joint Venture, Fuel Ingredients operating
income for the fourth quarter of fiscal 2014 was $10.9 million, an increase of $10.2 million as compared to fourth quarter of
fiscal 2013. Including the DGD Joint Venture, the Fuel Ingredients
Segment income was $70.0 million in
fourth quarter 2014, as compared to $(0.4)
million in the same period of 2013. The increase of
$70.4 million is primarily related to
the passage of the $1.00 per gallon
blender's tax credit in the fourth quarter of fiscal 2014. The DGD
Joint Venture has not yet distributed any earnings to its venture
partners.
- The new bio-phosphate facility in Son, Netherlands was in full production during
fourth quarter of fiscal 2014, and our disposal rendering
operations experienced increased demand.
Fiscal Year Ended January 3,
2015 Performance
For the fiscal year ended January 3,
2015, the Company reported net sales of $4.0 billion, as compared to $1.8 billion for the 2013 fiscal year. The
$2.2 billion increase in sales
resulted primarily from the inclusion of the newly acquired
businesses.
As a result of the VION Acquisition and the Rothsay Acquisition,
the Company's results for the twelve months of fiscal 2014 include
52 weeks of operations from the VION Acquisition and 53 weeks from
the Rothsay Acquisition, as compared to no operations from the VION
Acquisition and 9 weeks from the Rothsay Acquisition in the twelve
months of fiscal 2013. Net income attributable to Darling for the
fiscal year ended January 3, 2015,
was $64.2 million, or $0.39 per diluted share, as compared to net
income of $109.0 million, or
$0.91 per diluted share, for the
fiscal year ended December 28, 2013.
The results for the twelve months of fiscal 2014 and 2013
respectively, include the following after-tax costs:
Fiscal 2014
- $31.3 million ($0.19 per diluted share) related to a non-cash
inventory step-up associated with the required purchase accounting
for the VION Acquisition related to the portion of acquired
inventory sold during the period;
- $19.9 million ($0.12 per diluted share) related to the
redemption premium and write-off of deferred loan cost associated
with the retirement of the Company's 8.5% Senior Notes on
January 7, 2014;
- $21.0 million ($0.13 per diluted share) associated with the
acquisition and integration costs related to Rothsay and VION
Ingredients during the period; and
- $7.9 million ($0.05 per diluted share) related to certain euro
forward contracts entered into to hedge against foreign exchange
risks related to the closing of the VION Acquisition.
Fiscal 2013
- $15.3 million ($0.13 per diluted share) associated with the
acquisition costs of the Rothsay Acquisition, the acquisition costs
related to the acquired shares of Terra Holding Company, a
Delaware corporation, and its
wholly owned subsidiaries, Terra Renewal Services, Inc., an
Arkansas corporation ("TRS"), and
EV Acquisition, Inc., an Arkansas
corporation (the "Terra Transaction") and the incurred costs
related to the VION Acquisition during the period;
- $8.0 million ($0.07 per diluted share) related to an unused
bridge financing facility commitment associated with the VION
Acquisition; and
- $(16.9) million ($0.14 per diluted share) related to an unrealized
gain on certain euro forward contracts entered into to hedge
against foreign exchange risks related to the closing of the VION
Acquisition.
Net income and diluted earnings per common share, adjusted to
eliminate the one-time costs listed above, would have been
$144.3 million and $0.88 per diluted share, respectively for the
fiscal year ended January 3, 2105, as
compared to $115.4 million and
$0.97 per share, respectively, for
the fiscal year ended December 28,
2013.
Operating income for the fiscal year ended January 3, 2015, was $164.5 million, which reflects a decline of
$5.1 million, or 3.0%, as compared to
the fiscal year ended December 28,
2013. The results for fiscal year 2014 include an increase
to cost of sales of $49.8 million
related to the inventory step-up associated with the required
purchase accounting for the VION Acquisition. Without these costs,
segment operating income for fiscal year 2014 would have been
$214.3 million, or 26.4% higher than
the same period in 2013. Including the Company's share of net
income of unconsolidated subsidiaries, primarily the DGD Joint
Venture, operating income for the fiscal year ended January 3, 2015, would have been $279.9 million, or $102.6
million (57.9%) higher than the same period in 2013. The DGD
Joint Venture has not yet distributed any earnings to its venture
partners.
Reconciliation of Net Income to (Non-GAAP) Adjusted EBITDA
and (Non-GAAP) Pro forma Adjusted EBITDA
|
Fiscal Year
Ended
|
Adjusted
EBITDA
|
January 3,
|
|
December
28,
|
(U.S. dollars in
thousands)
|
2015
|
|
2013
|
|
|
|
|
Net income
attributable to Darling
|
$ 64,215
|
|
$ 108,967
|
Depreciation and
amortization
|
269,517
|
|
98,787
|
Interest
expense
|
135,416
|
|
38,108
|
Income tax
expense/(benefit)
|
13,141
|
|
54,711
|
Foreign currency
loss/(gain)
|
13,548
|
|
(28,107)
|
Other
expense/(income), net
|
(299)
|
|
3,547
|
Equity in net
(income)/loss of unconsolidated subsidiaries
|
(65,609)
|
|
(7,660)
|
Net income/(loss)
attributable to noncontrolling interests
|
4,096
|
|
−
|
Adjusted EBITDA
(Non-GAAP)
|
$434,025
|
|
$ 268,353
|
|
|
|
|
Non-cash inventory
step-up associated with VION Acquisition
|
49,803
|
|
−
|
Acquisition and
integration-related expenses
|
24,667
|
|
23,271
|
Darling Ingredients
International - 13th week (1)
|
4,100
|
|
−
|
Pro Forma Adjusted
EBITDA (Non-GAAP)
|
$512,595
|
|
$ 291,624
|
|
|
|
|
DGD Joint Venture
Adjusted EBITDA (Darling's share) (2)
|
$ 81,639
|
|
$ 16,490
|
|
|
|
|
(1)
|
January 7, 2014
closed on VION Ingredients, thus the 13th week would be revenue
adjusted for January 1, 2014 through
January 7, 2014.
|
(2)
|
Darling's pro
forma adjusted EBITDA (Non-GAAP) in the above table does not
include the DGD Joint Venture adjusted
EBITDA (Darling's share) if we had consolidated the DGD Joint
Venture.
|
For the year ended January 3,
2015, the Company generated Adjusted EBITDA of $434.0 million, as compared to $268.4 million in the same period in 2013. The
increase was primarily attributable to the newly acquired Rothsay
and VION Ingredients businesses. On a Pro forma Adjusted EBITDA
basis, the Company would have generated $512.6 million in fiscal 2014, as compared to a
Pro forma Adjusted EBITDA of $291.6
million in the same period in 2013. The increase in Pro
forma Adjusted EBITDA is attributable to the inclusion of the newly
acquired Rothsay and VION Ingredients businesses.
Reconciliation (Non-GAAP) Adjusted Diluted Earnings Per
Share
|
|
Fiscal Year
Ended
|
ADJUSTED
(Non-GAAP) DILUTED EARNINGS PER SHARE
|
January 3,
|
|
December
28,
|
|
December
29,
|
|
|
2015
|
|
2013
|
|
2012
|
|
|
|
|
|
|
|
|
Weighted average
shares of common stock outstanding (millions)
|
165,059
|
|
119,924
|
|
118,089
|
|
|
|
|
|
|
|
Reported Earnings Per
Share (fully diluted)
|
$ 0.39
|
|
$ 0.91
|
|
$ 1.11
|
|
Non-cash inventory
step-up associated with the VION Acquisition
|
0.19
|
|
−
|
|
−
|
|
Acquisition and
integration costs
|
0.13
|
|
0.13
|
|
−
|
|
Amortization of
intangibles
|
0.32
|
|
0.16
|
|
0.15
|
|
Bridge
financing
|
−
|
|
0.07
|
|
−
|
|
Redemption premium on
8.5% Senior Notes and write off deferred loan costs
|
0.12
|
|
−
|
|
−
|
|
Foreign currency
price risk VION Acquisition
|
0.05
|
|
(0.14)
|
|
−
|
Adjusted diluted
earnings per share attributable to Darling (Non-GAAP)
(1)
|
$ 1.20
|
|
$ 1.13
|
|
$ 1.26
|
|
|
|
|
|
|
|
(1)
|
Adjustments to
diluted earnings per share of acquisition related items are net of
tax. Calculations of all adjustment tax amounts were at the
applicable effective tax rate for the
period, except for fiscal 2014 and fiscal 2013, which were impacted
by biofuel tax incentives and nonrecurring acquisition and integration costs. The
effective tax rate used for calculating Non-GAAP Adjusted EPS in
the above table for the years
ended January 3, 2015, December 28, 2013 and December 29, 2012 was
37.1%, 38.5% and 36.8%, respectively.
|
|
|
|
About Darling
Darling Ingredients Inc. is the world's largest publicly-traded
developer and producer of sustainable natural ingredients from
edible and inedible bio-nutrients, creating a wide range of
ingredients and customized specialty solutions for customers in the
pharmaceutical, food, pet food, feed, technical, fuel, bioenergy
and fertilizer industries. With operations on five continents, the
Company collects and transforms all aspects of animal by-product
streams into useable and specialty ingredients, such as gelatin,
edible fats, feed-grade fats, animal proteins and meals, plasma,
pet food ingredients, organic fertilizers, yellow grease, fuel
feedstocks, green energy, natural casings and hides. The Company
also recovers and converts used cooking oil and commercial bakery
residuals into valuable feed and fuel ingredients. In addition, the
Company provides grease trap services to food service
establishments, environmental services to food processors and sells
restaurant cooking oil delivery and collection equipment. For
additional information, visit the Company's website at
http://ir.darlingii.com.
Conference Call
Darling Ingredients Inc. will host a conference call to discuss
the Company's fourth quarter and fiscal year 2014 financial results
at 8:30 am Eastern Time (7:30 am Central Time) on Thursday, March 5, 2015. To listen to the
conference call, participants calling from within North America should dial 1- 877-270-2148;
international participants should dial 1-412-902-6510. Please refer
to access code 10061490. Please call approximately ten minutes
before the start of the call to ensure that you are connected. A
slide presentation to augment management's formal presentation will
be posted within the presentations section of our Investor
Relations website at http://ir.darlingii.com.
The call will also be available as a live audio webcast that can
be accessed on the Company website at http://ir.darlingii.com
beginning two hours after its completion, a replay of the call can
be accessed through March 12, 2015,
by dialing 1-877-344-7529 (domestically), 1-855-669-9658
(Canada) or 1-412-317-0088
(international). The access code for the replay is 10061490. The
conference call will also be archived on the Company's website.
Use of Non-GAAP Financial Measures:
Adjusted EBITDA is presented here not as an alternative to net
income, but rather as a measure of the Company's operating
performance and is not intended to be a presentation in accordance
with GAAP. Since EBITDA (generally, net income plus interest
expenses, taxes, depreciation and amortization) is not calculated
identically by all companies, this presentation may not be
comparable to EBITDA or adjusted EBITDA presentations disclosed by
other companies. Adjusted EBITDA is calculated in this presentation
and represents, for any relevant period, net income/(loss) plus
depreciation and amortization, goodwill and long-lived asset
impairment, interest expense, (income)/loss from discontinued
operations, net of tax, income tax provision, other
income/(expense) and equity in net loss of unconsolidated
subsidiary. Management believes that Adjusted EBITDA is useful in
evaluating the Company's operating performance compared to that of
other companies in its industry because the calculation of Adjusted
EBITDA generally eliminates the effects of financing income taxes
and certain non-cash and other items that may vary for different
companies for reasons unrelated to overall operating
performance.
As a result, the Company's management used Adjusted EBITDA as a
measure to evaluate performance and for other discretionary
purposes. However, Adjusted EBITDA is not a recognized measurement
under GAAP, should not be considered as an alternative to net
income as a measure of operating results or to cash flow as a
measure of liquidity, and is not intended to be a presentation in
accordance with GAAP. In addition to the foregoing, management also
uses or will use Adjusted EBITDA to measure compliance with certain
financial covenants under the Company's Senior Secured Credit
Facilities and 5.375% Notes that were outstanding at January 3, 2015. However, the amounts shown in
this presentation for Adjusted EBITDA differ from the amounts
calculated under similarly titled definitions in the Company's
Senior Secured Credit Facilities and 5.375% Notes, as those
definitions permit further adjustments to reflect certain other
non-recurring costs and non-cash charges.
In addition, the Company's management used adjusted diluted
earnings per share as a measure of earnings due to the significant
merger and acquisition activity of the Company. However, an
adjusted earnings per share is not a recognized measurement under
GAAP and should not be considered as an alternative to diluted
earnings per share presented in accordance with GAAP. Adjusted
diluted earnings per share is defined as adjusted net income
attributable to Darling divided by the weighted average shares of
diluted common stock. Adjusted net income attributable to Darling
is defined as a reconciliation of net income attributable to
Darling, net of tax (i) adjusted for net of tax acquisition and
integration costs related to merger and acquisitions, (ii) net of
tax amortization of acquisition related intangibles and (iii) net
of tax certain non-recurring items that are not part of normal
operations. This measure is solely for the purpose of calculating
adjusted diluted earnings per share and is not intended to be a
substitute of presentation in accordance with GAAP.
Cautionary Statements Regarding Forward-Looking Information:
{This media release contains "forward-looking" statements
regarding the business operations and prospects of Darling
Ingredients Inc. and industry factors affecting it. These
statements are identified by words such as "believe," "anticipate,"
"expect," "estimate," "intend," "could," "may," "will," "should,"
"planned," "potential," "continue," "momentum," and other words
referring to events that may occur in the future. These statements
reflect Darling Ingredient's current view of future events and are
based on its assessment of, and are subject to, a variety of risks
and uncertainties beyond its control, each of which could cause
actual results to differ materially from those indicated in the
forward-looking statements. These factors include, among others,
existing and unknown future limitations on the ability of the
Company's direct and indirect subsidiaries to upstream their
profits to the Company for payments on the Company's indebtedness
or other purposes; unanticipated costs or operating problems
related to the acquisition and integration of Rothsay and Darling
Ingredients International (including transactional costs and
integration of the new enterprise resource planning (ERP) system);
global demands for bio-fuels and grain and oilseed commodities,
which have exhibited volatility, and can impact the cost of feed
for cattle, hogs and poultry, thus affecting available rendering
feedstock and selling prices for the Company's products; reductions
in raw material volumes available to the Company due to weak
margins in the meat production industry as a result of higher feed
costs, reduced consumer demand or other factors, reduced volume
from food service establishments, reduced demand for animal feed,
or otherwise; reduced finished product prices; continued decline in
fat and used cooking oil finished product prices; changes to
worldwide government policies relating to renewable fuels and
greenhouse gas emissions that adversely affect programs like the
Renewable Fuel Standards Program (RFS2) and tax credits for
biofuels both in the Unites States and abroad; possible product
recall resulting from developments relating to the discovery of
unauthorized adulterations to food or food additives; the
occurrence of Bird Flu including, but not limited to H1N1 flu,
bovine spongiform encephalopathy (or "BSE"), porcine epidemic
diarrhea ("PED") or other diseases associated with animal origin in
the United States or elsewhere;
unanticipated costs and/or reductions in raw material volumes
related to the Company's compliance with the existing or unforeseen
new U.S. or foreign regulations (including, without limitation,
China) affecting the industries in
which the Company operates or its value added products (including
new or modified animal feed, Bird Flu, PED or BSE or similar or
unanticipated regulations); risks associated with the renewable
diesel plant in Norco, Louisiana
owned and operated by a joint venture between Darling Ingredients
and Valero Energy Corporation, including possible unanticipated
operating disruptions; risks relating to possible third party
claims of intellectual property infringement; increased
contributions to the Company's pension and benefit plans, including
multiemployer and employer-sponsored defined benefit pension plans
as required by legislation, regulation or other applicable U.S. or
foreign law or resulting from a U.S. mass withdrawal event; bad
debt write-offs; loss of or failure to obtain necessary permits and
registrations; continued or escalated conflict in the Middle East, North
Korea, Ukraine or
elsewhere; and/or unfavorable export or import markets. These
factors, coupled with volatile prices for natural gas and diesel
fuel, climate conditions, currency exchange fluctuations, general
performance of the U.S. and global economies, disturbances in world
financial, credit, commodities and stock markets, and any decline
in consumer confidence and discretionary spending, including the
inability of consumers and companies to obtain credit due to lack
of liquidity in the financial markets, among others, could
negatively impact the Company's results of operations. Among other
things, future profitability may be affected by the Company's
ability to grow its business, which faces competition from
companies that may have substantially greater resources than the
Company. Other risks and uncertainties regarding Darling
Ingredients Inc., its business and the industries in which it
operates are referenced from time to time in the Company's filings
with the Securities and Exchange Commission. Darling Ingredients
Inc. is under no obligation to (and expressly disclaims any such
obligation to) update or alter its forward-looking statements
whether as a result of new information, future events or
otherwise.}
For More
Information, contact:
|
|
|
|
Melissa A. Gaither,
Director of Investor Relations
|
|
251 O'Connor Ridge
Blvd., Suite 300
|
Email:
mgaither@darlingii.com
|
Irving, Texas
75038
|
Phone:
972-717-0300
|
Financial Tables Follow
Darling Ingredients Inc.
Consolidated Operating
Results
For the Periods Ended January 3, 2015 and December
28, 2013
(Dollars in thousands, except per share
amounts)
|
|
|
|
|
|
|
|
|
|
|
(Fourth Quarter
Unaudited)
|
|
|
|
|
|
|
|
Three Months
Ended
|
Fiscal Year
Ended
|
|
|
|
|
|
|
$ Change
|
|
|
|
|
|
$ Change
|
|
|
Jan. 3,
|
|
Dec. 28,
|
|
Favorable
|
|
Jan. 3,
|
|
Dec. 28,
|
|
Favorable
|
|
2015
|
|
2013
|
|
(Unfavorable)
|
|
2015
|
|
2013
|
|
(Unfavorable)
|
Net sales
|
$1,000,203
|
|
$447,939
|
|
$ 552,264
|
|
$3,956,443
|
|
$1,802,268
|
|
$ 2,154,175
|
Costs and
expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of sales and
operating expenses
|
$ 794,298
|
|
$337,594
|
|
$ (456,704)
|
|
$3,123,171
|
|
$1,339,819
|
|
$ (1,783,352)
|
|
Selling, general and
administrative expenses
|
94,841
|
|
45,982
|
|
(48,859)
|
|
374,580
|
|
170,825
|
|
(203,755)
|
|
Depreciation and
amortization
|
69,039
|
|
31,713
|
|
(37,326)
|
|
269,517
|
|
98,787
|
|
(170,730)
|
|
Acquisition and
Integration costs
|
2,363
|
|
14,114
|
|
11,751
|
|
24,667
|
|
23,271
|
|
(1,396)
|
Total costs and
expenses
|
960,541
|
|
429,403
|
|
(531,138)
|
|
3,791,935
|
|
1,632,702
|
|
(2,159,233)
|
Operating
income
|
39,662
|
|
18,536
|
|
21,126
|
|
164,508
|
|
169,566
|
|
(5,058)
|
Other
expense:
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest
expense
|
(24,633)
|
|
(21,501)
|
|
(3,132)
|
|
(135,416)
|
|
(38,108)
|
|
(97,308)
|
|
Foreign currency
gains/(losses)
|
(1,267)
|
|
28,107
|
|
(29,374)
|
|
(13,548)
|
|
28,107
|
|
(41,655)
|
|
Other
income/(expense), net
|
271
|
|
(928)
|
|
1,199
|
|
299
|
|
(3,547)
|
|
3,846
|
Total other
expense
|
(25,629)
|
|
5,678
|
|
(31,307)
|
|
(148,665)
|
|
(13,548)
|
|
(135,117)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Equity in net
income/(loss) of unconsolidated subsidiaries
|
59,547
|
|
(1,136)
|
|
60,683
|
|
65,609
|
|
7,660
|
|
57,949
|
Income before income
taxes
|
73,580
|
|
23,078
|
|
50,502
|
|
81,452
|
|
163,678
|
|
(82,226)
|
|
|
|
|
|
|
|
|
|
|
|
|
Income taxes
expense
|
4,792
|
|
585
|
|
(4,207)
|
|
13,141
|
|
54,711
|
|
41,570
|
Net
income/(loss)
|
$ 68,788
|
|
$ 22,493
|
|
$ 46,295
|
|
$ 68,311
|
|
$ 108,967
|
|
$ (40,656)
|
|
|
|
|
|
|
|
|
|
|
|
|
Net (income)/loss
attributable to noncontrolling interests
|
$ 1,155
|
|
-
|
|
$ 1,155
|
|
$ (4,096)
|
|
-
|
|
$ (4,096)
|
Net income/(loss)
attributable to Darling
|
$ 69,943
|
|
$ 22,493
|
|
$ 47,450
|
|
$ 64,215
|
|
$ 108,967
|
|
$ (44,752)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic income/(loss)
per share:
|
$ 0.42
|
|
$ 0.18
|
|
$ 0.24
|
|
$ 0.39
|
|
$ 0.91
|
|
$ (0.52)
|
Diluted income/(loss)
per share:
|
$ 0.42
|
|
$ 0.18
|
|
$ 0.24
|
|
$ 0.39
|
|
$ 0.91
|
|
$ (0.52)
|
Darling Ingredients Inc.
Condensed Consolidated Balance Sheets -
Assets
For the Periods Ended January 3, 2015 and December
28, 2013
(Dollars in thousands)
|
|
|
|
|
|
|
|
January 3,
|
|
December
28,
|
|
2015
|
|
2013
|
Current
assets:
|
|
|
|
|
Cash and cash
equivalents
|
$ 108,784
|
|
$ 870,857
|
|
Restricted
cash
|
343
|
|
354
|
|
Accounts Receivable,
net
|
409,779
|
|
112,844
|
|
Inventories
|
401,613
|
|
65,133
|
|
Prepaid
expenses
|
44,629
|
|
14,223
|
|
Income taxes
refundable
|
22,140
|
|
14,512
|
|
Other current
assets
|
21,324
|
|
32,290
|
|
Deferred income
taxes
|
45,001
|
|
17,289
|
|
Total current
assets
|
1,053,613
|
|
1,127,502
|
|
|
|
|
|
Property, plant and
equipment
|
|
|
|
|
less accumulated
depreciation, net
|
1,574,116
|
|
666,573
|
|
|
|
|
|
Intangible
assets
|
|
|
|
|
less accumulated
amortization, net
|
932,413
|
|
588,664
|
Other
assets:
|
|
|
|
|
Goodwill
|
1,320,419
|
|
701,637
|
|
Investment in
unconsolidated subsidiaries
|
202,712
|
|
115,114
|
|
Other
|
71,009
|
|
44,643
|
|
Deferred income
taxes
|
16,431
|
|
−
|
|
Total
assets
|
$ 5,170,713
|
|
$ 3,244,133
|
Darling Ingredients Inc.
Condensed Consolidated Balance
Sheets
Liabilities and Stockholders'
Equity
For the Periods Ended January 3, 2015 and December
28, 2013
(Dollars in thousands)
|
|
|
|
|
|
|
|
January 3,
|
|
December
28,
|
|
2015
|
|
2013
|
Current
liabilities:
|
|
|
|
|
Current portion of
long-term debt
|
$ 54,401
|
|
$ 19,888
|
|
Accounts payable,
principally trade
|
168,518
|
|
43,742
|
|
Income taxes
payable
|
4,363
|
|
−
|
|
Accrued
expenses
|
256,119
|
|
113,174
|
|
Deferred income
taxes
|
642
|
|
−
|
|
Total current
liabilities
|
484,043
|
|
176,804
|
|
|
|
|
|
Long-term debt, net
of current portion
|
2,098,039
|
|
866,947
|
Other non-current
liabilities
|
114,700
|
|
40,671
|
Deferred income
taxes
|
422,797
|
|
138,759
|
|
Total
liabilities
|
3,119,579
|
|
1,223,181
|
|
|
|
|
|
Commitments and
contingencies
|
|
|
|
Total Darling's
Stockholders' equity:
|
1,952,990
|
|
2,020,952
|
|
Noncontrolling
interests
|
98,144
|
|
−
|
|
Total stockholders'
equity
|
$ 2,051,134
|
|
$ 2,020,952
|
|
|
$ 5,170,713
|
|
$ 3,244,133
|