FORM 8-K |
Delaware | 1-8267 | 11-2125338 | ||
(State or Other Jurisdiction of Incorporation) | (Commission File Number) | (I.R.S. Employer Identification No.) |
301 Merritt Seven, Norwalk, CT | 06851-1092 | |
(Address of Principal Executive Offices) | (Zip Code) |
(203) 849-7800 |
(Registrant’s Telephone Number, Including Area Code) |
N/A |
(Former Name or Former Address, if Changed Since Last Report) |
o | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
o | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
o | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
o | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
(d) Exhibits | |
Exhibit Number | Description |
99.1 | Press Release issued by EMCOR Group, Inc. on July 30, 2015 disclosing results of operations for its fiscal 2015 second quarter ended June 30, 2015. |
EMCOR Group, Inc. | |||
Dated: July 30, 2015 | By: | /s/ ANTHONY J. GUZZI | |
Anthony J. Guzzi | |||
President and | |||
Chief Executive Officer |
EXHIBIT 99.1 |
FOR: | EMCOR GROUP, INC. | |
News Release | ||
CONTACT: | R. Kevin Matz Executive Vice President Shared Services (203) 849-7938 | |
FTI Consulting, Inc. Investors: Michelle Bitman (212) 850-5600 | ||
LAK Public Relations, Inc. Media: Lisa Linden / Mollie Fullington (212) 575-4545 / (917) 346-6123 |
EMCOR GROUP, INC. REPORTS SECOND QUARTER 2015 RESULTS |
- Record Quarterly Revenue of $1.65 Billion; 6.4% Increase Year-over-Year - |
- Record Quarterly Diluted EPS from Continuing Operations of $0.74 - |
- 2015 Revenue Guidance Maintained; 2015 EPS Guidance Range Narrowed - |
EMCOR Reports Second Quarter Results | Page 2 |
EMCOR Reports Second Quarter Results | Page 3 |
For the three months ended June 30, | For the six months ended June 30, | |||||||||||||||
2015 | 2014 | 2015 | 2014 | |||||||||||||
Revenues | $ | 1,652,585 | $ | 1,552,918 | $ | 3,241,772 | $ | 3,143,457 | ||||||||
Cost of sales | 1,413,058 | 1,332,677 | 2,785,316 | 2,707,013 | ||||||||||||
Gross profit | 239,527 | 220,241 | 456,456 | 436,444 | ||||||||||||
Selling, general and administrative expenses | 161,391 | 150,406 | 322,982 | 294,260 | ||||||||||||
Restructuring expenses | 433 | 176 | 441 | 401 | ||||||||||||
Operating income | 77,703 | 69,659 | 133,033 | 141,783 | ||||||||||||
Interest expense | (2,208 | ) | (2,242 | ) | (4,424 | ) | (4,490 | ) | ||||||||
Interest income | 182 | 221 | 358 | 455 | ||||||||||||
Income from continuing operations before income taxes | 75,677 | 67,638 | 128,967 | 137,748 | ||||||||||||
Income tax provision | 28,727 | 25,203 | 48,952 | 51,430 | ||||||||||||
Income from continuing operations | 46,950 | 42,435 | 80,015 | 86,318 | ||||||||||||
Loss from discontinued operation, net of income taxes | (114 | ) | (1,435 | ) | (469 | ) | (3,476 | ) | ||||||||
Net income including noncontrolling interests | 46,836 | 41,000 | 79,546 | 82,842 | ||||||||||||
Less: Net loss (income) attributable to noncontrolling interests | 13 | (1,087 | ) | 152 | (1,668 | ) | ||||||||||
Net income attributable to EMCOR Group, Inc. | $ | 46,849 | $ | 39,913 | $ | 79,698 | $ | 81,174 | ||||||||
Basic earnings (loss) per common share: | ||||||||||||||||
From continuing operations | $ | 0.75 | $ | 0.61 | $ | 1.27 | $ | 1.26 | ||||||||
From discontinued operation | $ | (0.00 | ) | $ | (0.02 | ) | $ | (0.01 | ) | $ | (0.05 | ) | ||||
Diluted earnings (loss) per common share: | ||||||||||||||||
From continuing operations | $ | 0.74 | $ | 0.61 | $ | 1.26 | $ | 1.24 | ||||||||
From discontinued operation | $ | (0.00 | ) | $ | (0.02 | ) | $ | (0.01 | ) | $ | (0.05 | ) | ||||
Amounts attributable to EMCOR Group, Inc. common stockholders: | ||||||||||||||||
Net income from continuing operations attributable to EMCOR Group, Inc. | $ | 46,963 | $ | 41,348 | $ | 80,167 | $ | 84,650 | ||||||||
Loss from discontinued operation, net of income taxes | (114 | ) | (1,435 | ) | (469 | ) | (3,476 | ) | ||||||||
Net income attributable to EMCOR Group, Inc. | $ | 46,849 | $ | 39,913 | $ | 79,698 | $ | 81,174 | ||||||||
Weighted average shares of common stock outstanding: | ||||||||||||||||
Basic | 62,809,699 | 67,294,498 | 62,932,295 | 67,242,392 | ||||||||||||
Diluted | 63,330,253 | 68,000,361 | 63,468,622 | 68,000,750 | ||||||||||||
Dividends declared per common share | $ | 0.08 | $ | 0.08 | $ | 0.16 | $ | 0.16 |
June 30, 2015 (Unaudited) | December 31, 2014 | |||||||
ASSETS | ||||||||
Current assets: | ||||||||
Cash and cash equivalents | $ | 360,849 | $ | 432,056 | ||||
Accounts receivable, net | 1,309,095 | 1,234,187 | ||||||
Costs and estimated earnings in excess of billings on uncompleted contracts | 135,939 | 103,201 | ||||||
Inventories | 65,123 | 46,854 | ||||||
Prepaid expenses and other | 66,728 | 70,305 | ||||||
Total current assets | 1,937,734 | 1,886,603 | ||||||
Investments, notes and other long-term receivables | 6,570 | 9,122 | ||||||
Property, plant & equipment, net | 118,529 | 122,178 | ||||||
Goodwill | 834,628 | 834,102 | ||||||
Identifiable intangible assets, net | 483,680 | 502,060 | ||||||
Other assets | 36,645 | 34,902 | ||||||
Total assets | $ | 3,417,786 | $ | 3,388,967 | ||||
LIABILITIES AND EQUITY | ||||||||
Current liabilities: | ||||||||
Borrowings under revolving credit facility | $ | — | $ | — | ||||
Current maturities of long-term debt and capital lease obligations | 18,814 | 19,041 | ||||||
Accounts payable | 428,424 | 460,478 | ||||||
Billings in excess of costs and estimated earnings on uncompleted contracts | 384,989 | 368,555 | ||||||
Accrued payroll and benefits | 229,900 | 245,854 | ||||||
Other accrued expenses and liabilities | 211,838 | 189,489 | ||||||
Total current liabilities | 1,273,965 | 1,283,417 | ||||||
Long-term debt and capital lease obligations | 307,523 | 316,399 | ||||||
Other long-term obligations | 362,011 | 359,764 | ||||||
Total liabilities | 1,943,499 | 1,959,580 | ||||||
Equity: | ||||||||
Total EMCOR Group, Inc. stockholders’ equity | 1,470,815 | 1,416,013 | ||||||
Noncontrolling interests | 3,472 | 13,374 | ||||||
Total equity | 1,474,287 | 1,429,387 | ||||||
Total liabilities and equity | $ | 3,417,786 | $ | 3,388,967 |
2015 | 2014 | |||||||
Cash flows - operating activities: | ||||||||
Net income including noncontrolling interests | $ | 79,546 | $ | 82,842 | ||||
Depreciation and amortization | 17,942 | 17,956 | ||||||
Amortization of identifiable intangible assets | 18,951 | 19,005 | ||||||
Deferred income taxes | 1,406 | 4,648 | ||||||
Loss on sale of subsidiary | — | 608 | ||||||
Excess tax benefits from share-based compensation | (1,038 | ) | (5,627 | ) | ||||
Equity income from unconsolidated entities | (1,034 | ) | (836 | ) | ||||
Other non-cash items | 5,703 | 3,185 | ||||||
Distributions from unconsolidated entities | 3,316 | 572 | ||||||
Changes in operating assets and liabilities | (130,858 | ) | (82,713 | ) | ||||
Net cash (used in) provided by operating activities | (6,066 | ) | 39,640 | |||||
Cash flows - investing activities: | ||||||||
Payments for acquisitions of businesses, net of cash acquired | (1,176 | ) | — | |||||
Proceeds from sale of subsidiary | — | 1,108 | ||||||
Proceeds from sale of property, plant and equipment | 2,569 | 2,630 | ||||||
Purchase of property, plant and equipment | (15,793 | ) | (16,579 | ) | ||||
Investments in and advances to unconsolidated entities and joint ventures | — | (1,590 | ) | |||||
Net cash used in investing activities | (14,400 | ) | (14,431 | ) | ||||
Cash flows - financing activities: | ||||||||
Repayments of long-term debt | (8,758 | ) | (8,756 | ) | ||||
Repayments of capital lease obligations | (1,330 | ) | (840 | ) | ||||
Dividends paid to stockholders | (10,054 | ) | (10,743 | ) | ||||
Repurchase of common stock | (21,148 | ) | (18,332 | ) | ||||
Proceeds from exercise of stock options | 1,368 | 4,533 | ||||||
Payments to satisfy minimum tax withholding | (3,790 | ) | (1,481 | ) | ||||
Issuance of common stock under employee stock purchase plan | 2,051 | 1,753 | ||||||
Payments for contingent consideration arrangements | (403 | ) | — | |||||
Distributions to noncontrolling interests | (9,750 | ) | (1,400 | ) | ||||
Excess tax benefits from share-based compensation | 1,038 | 5,627 | ||||||
Net cash used in financing activities | (50,776 | ) | (29,639 | ) | ||||
Effect of exchange rate changes on cash and cash equivalents | 35 | 1,736 | ||||||
Decrease in cash and cash equivalents | (71,207 | ) | (2,694 | ) | ||||
Cash and cash equivalents at beginning of year | 432,056 | 439,813 | ||||||
Cash and cash equivalents at end of period | $ | 360,849 | $ | 437,119 |
For the three months ended June 30, | ||||||||
2015 | 2014 | |||||||
Revenues from unrelated entities: | ||||||||
United States electrical construction and facilities services | $ | 346,202 | $ | 335,492 | ||||
United States mechanical construction and facilities services | 554,003 | 538,556 | ||||||
United States building services | 435,627 | 418,142 | ||||||
United States industrial services | 225,168 | 177,232 | ||||||
Total United States operations | 1,561,000 | 1,469,422 | ||||||
United Kingdom building services | 91,585 | 83,496 | ||||||
Total worldwide operations | $ | 1,652,585 | $ | 1,552,918 | ||||
For the six months ended June 30, | ||||||||
2015 | 2014 | |||||||
Revenues from unrelated entities: | ||||||||
United States electrical construction and facilities services | $ | 665,196 | $ | 643,628 | ||||
United States mechanical construction and facilities services | 1,065,029 | 1,051,567 | ||||||
United States building services | 875,119 | 866,186 | ||||||
United States industrial services | 457,893 | 409,190 | ||||||
Total United States operations | 3,063,237 | 2,970,571 | ||||||
United Kingdom building services | 178,535 | 172,886 | ||||||
Total worldwide operations | $ | 3,241,772 | $ | 3,143,457 | ||||
For the three months ended June 30, | ||||||||
2015 | 2014 | |||||||
Operating income (loss): | ||||||||
United States electrical construction and facilities services | $ | 25,277 | $ | 24,841 | ||||
United States mechanical construction and facilities services | 32,364 | 28,740 | ||||||
United States building services | 17,939 | 13,920 | ||||||
United States industrial services | 17,415 | 12,376 | ||||||
Total United States operations | 92,995 | 79,877 | ||||||
United Kingdom building services | 2,834 | 6,202 | ||||||
Corporate administration | (17,693 | ) | (16,244 | ) | ||||
Restructuring expenses | (433 | ) | (176 | ) | ||||
Total worldwide operations | 77,703 | 69,659 | ||||||
Other corporate items: | ||||||||
Interest expense | (2,208 | ) | (2,242 | ) | ||||
Interest income | 182 | 221 | ||||||
Income from continuing operations before income taxes | $ | 75,677 | $ | 67,638 | ||||
For the six months ended June 30, | ||||||||
2015 | 2014 | |||||||
Operating income (loss): | ||||||||
United States electrical construction and facilities services | $ | 41,951 | $ | 46,496 | ||||
United States mechanical construction and facilities services | 53,265 | 47,846 | ||||||
United States building services | 38,917 | 34,218 | ||||||
United States industrial services | 30,248 | 35,770 | ||||||
Total United States operations | 164,381 | 164,330 | ||||||
United Kingdom building services | 5,212 | 9,565 | ||||||
Corporate administration | (36,119 | ) | (31,711 | ) | ||||
Restructuring expenses | (441 | ) | (401 | ) | ||||
Total worldwide operations | 133,033 | 141,783 | ||||||
Other corporate items: | ||||||||
Interest expense | (4,424 | ) | (4,490 | ) | ||||
Interest income | 358 | 455 | ||||||
Income from continuing operations before income taxes | $ | 128,967 | $ | 137,748 | ||||
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