Exhibit No. | Description | |||||||
Results for Announcement to the Market | ||||||||
ASX Cover 30 September 2020 | ||||||||
Media Release | ||||||||
Management’s Analysis of Results | ||||||||
Management Presentation | ||||||||
Condensed Consolidated Financial Statements | ||||||||
Half-Yearly Directors' Report |
James Hardie Industries plc | ||||||||
Date: 10 November 2020 | By: /s/ Joseph C. Blasko | |||||||
Joseph C. Blasko | ||||||||
General Counsel, Chief Compliance Officer and Company Secretary |
Exhibit No. | Description | |||||||
Results for Announcement to the Market | ||||||||
ASX Cover 30 September 2020 | ||||||||
Media Release | ||||||||
Management’s Analysis of Results | ||||||||
Management Presentation | ||||||||
Condensed Consolidated Financial Statements | ||||||||
Half-Yearly Directors' Report |
James Hardie Industries plc Europa House 2nd Floor, Harcourt Centre Harcourt Street, Dublin 2, D02 WR20, Ireland T: +353 (0) 1 411 6924 F: +353 (0) 1 479 1128 |
• | ASX Coversheet | ||||
• | Media Release | ||||
• | Management’s Analysis of Results | ||||
• | Management Presentation | ||||
• | Condensed Consolidated Financial Statements |
Yours faithfully | ||
Jason Miele | ||
Chief Financial Officer |
Half Year Ended 30 September 2020 | ||||||||||||||
Key Information | Half Year Ended 30 September | |||||||||||||
FY 2021 US$M | FY 2020 US$M | Movement | ||||||||||||
Net Sales From Ordinary Activities | 1,363.1 | 1,316.9 | Up | 4% | ||||||||||
Profit From Ordinary Activities After Tax Attributable to Shareholders | 96.2 | 189.6 | Down | 49% | ||||||||||
Net Profit Attributable to Shareholders | 96.2 | 189.6 | Down | 49% | ||||||||||
Net Tangible Assets per Ordinary Share | US$1.79 | US$1.52 | Up | 18% |
Results for the 2nd Quarter and Half Year Ended 30 September 2020 | |||||
Contents | |||||
1. | Media Release | ||||
2. | Management's Analysis of Results | ||||
3. | Management Presentation | ||||
4. | Condensed Consolidated Financial Statements | ||||
5. | Half-Yearly Directors' Report |
Fiscal 2021 Second Quarter and Half Year Ended 30 September 2020 | |||||
Management’s Analysis of Results | ||
Telephone: | +61 2 8845 3356 | |||||||
Email: | media@jameshardie.com.au |
Management's Analysis of Results: James Hardie - 2nd Quarter Fiscal Year 2021 | 1 |
GROUP RESULTS | |||||
US$ Millions | Three Months and Half Year Ended 30 September | ||||||||||||||||||||||||||||||||||||||||
Q2 FY21 | Q2 FY20 | Change % | HY FY21 | HY FY20 | Change % | ||||||||||||||||||||||||||||||||||||
Volume (mmsf) | 1,041.8 | 960.2 | 8 | 1,953.7 | 1,917.4 | 2 | |||||||||||||||||||||||||||||||||||
Net sales | $ | 736.8 | $ | 660.1 | 12 | $ | 1,363.1 | $ | 1,316.9 | 4 | |||||||||||||||||||||||||||||||
Cost of goods sold | (467.6) | (420.0) | (11) | (874.4) | (843.7) | (4) | |||||||||||||||||||||||||||||||||||
Gross profit | 269.2 | 240.1 | 12 | 488.7 | 473.2 | 3 | |||||||||||||||||||||||||||||||||||
Selling, general and administrative expenses | (98.0) | (98.1) | — | (185.6) | (199.6) | 7 | |||||||||||||||||||||||||||||||||||
Research and development expenses | (8.4) | (8.2) | (2) | (15.7) | (15.8) | 1 | |||||||||||||||||||||||||||||||||||
Restructuring expenses | — | — | (11.1) | — | |||||||||||||||||||||||||||||||||||||
Asbestos adjustments | (16.3) | 18.8 | (80.0) | 27.3 | |||||||||||||||||||||||||||||||||||||
EBIT | 146.5 | 152.6 | (4) | 196.3 | 285.1 | (31) | |||||||||||||||||||||||||||||||||||
Interest, net | (12.7) | (14.2) | 11 | (25.3) | (27.9) | 9 | |||||||||||||||||||||||||||||||||||
Other (expense) income | (0.2) | 0.1 | — | (0.1) | |||||||||||||||||||||||||||||||||||||
Operating profit before income taxes | 133.6 | 138.5 | (4) | 171.0 | 257.1 | (33) | |||||||||||||||||||||||||||||||||||
Income tax expense | (46.8) | (35.4) | (32) | (74.8) | (67.5) | (11) | |||||||||||||||||||||||||||||||||||
Net operating profit | $ | 86.8 | $ | 103.1 | (16) | $ | 96.2 | $ | 189.6 | (49) | |||||||||||||||||||||||||||||||
Earnings per share - basic (US cents) | 20 | 23 | 22 | 43 | |||||||||||||||||||||||||||||||||||||
Earnings per share - diluted (US cents) | 20 | 23 | 22 | 43 |
Management's Analysis of Results: James Hardie - 2nd Quarter Fiscal Year 2021 | 2 |
OPERATING RESULTS | |||||
North America Fiber Cement Segment |
US$ Millions | Three Months and Half Year Ended 30 September | |||||||||||||||||||||||||||||||||||||
Q2 FY21 | Q2 FY20 | Change | HY FY21 | HY FY20 | Change | |||||||||||||||||||||||||||||||||
Volume (mmsf) | 686.7 | 620.9 | 11% | 1,296.4 | 1,233.6 | 5% | ||||||||||||||||||||||||||||||||
Average net sales price per unit (per msf) | US$742 | US$733 | 1% | US$739 | US$732 | 1% | ||||||||||||||||||||||||||||||||
Fiber cement net sales | 515.0 | 459.6 | 12% | 966.8 | 911.9 | 6% | ||||||||||||||||||||||||||||||||
Gross profit | 10% | 6% | ||||||||||||||||||||||||||||||||||||
Gross margin (%) | (0.7 pts) | 0.1 pts | ||||||||||||||||||||||||||||||||||||
EBIT | 148.6 | 124.7 | 19% | 277.0 | 238.2 | 16% | ||||||||||||||||||||||||||||||||
EBIT margin (%) | 28.9 | 27.1 | 1.8 pts | 28.7 | 26.1 | 2.6 pts | ||||||||||||||||||||||||||||||||
Restructuring expenses | — | — | 2.5 | — | ||||||||||||||||||||||||||||||||||
Adjusted EBIT excluding restructuring expenses | 148.6 | 124.7 | 19% | 279.5 | 238.2 | 17% | ||||||||||||||||||||||||||||||||
Adjusted EBIT margin (%) excluding restructuring expenses | 28.9 | 27.1 | 1.8 pts | 28.9 | 26.1 | 2.8 pts | ||||||||||||||||||||||||||||||||
Higher average net sales price | 0.8 pts | ||||
Higher production and distribution costs | (1.5 pts) | ||||
Total percentage point change in gross margin | (0.7 pts) |
Management's Analysis of Results: James Hardie - 2nd Quarter Fiscal Year 2021 | 3 |
OPERATING RESULTS | |||||
Higher average net sales price | 0.6 pts | ||||
Higher production and distribution costs | (0.5 pts) | ||||
Total percentage point change in gross margin | 0.1 pts |
Management's Analysis of Results: James Hardie - 2nd Quarter Fiscal Year 2021 | 4 |
OPERATING RESULTS | |||||
Asia Pacific Fiber Cement Segment |
US$ Millions | Three Months and Half Year Ended 30 September | |||||||||||||||||||||||||||||||||||||
Q2 FY21 | Q2 FY20 | Change | HY FY21 | HY FY20 | Change | |||||||||||||||||||||||||||||||||
Volume (mmsf) | 145.2 | 142.8 | 2% | 255.2 | 277.2 | (8%) | ||||||||||||||||||||||||||||||||
Average net sales price per unit (per msf) | US$757 | US$700 | 8% | US$748 | US$706 | 6% | ||||||||||||||||||||||||||||||||
Fiber cement net sales | 122.1 | 112.6 | 8% | 213.4 | 220.6 | (3%) | ||||||||||||||||||||||||||||||||
Gross profit | 20% | 2% | ||||||||||||||||||||||||||||||||||||
Gross margin (%) | 3.8 pts | 1.8 pts | ||||||||||||||||||||||||||||||||||||
EBIT | 38.7 | 27.0 | 43% | 57.6 | 51.8 | 11% | ||||||||||||||||||||||||||||||||
EBIT margin (%) | 31.7 | 24.0 | 7.7 pts | 27.0 | 23.5 | 3.5 pts | ||||||||||||||||||||||||||||||||
Restructuring expenses | — | — | 3.4 | — | ||||||||||||||||||||||||||||||||||
Adjusted EBIT excluding restructuring expenses | 38.7 | 27.0 | 43% | 61.0 | 51.8 | 18% | ||||||||||||||||||||||||||||||||
Adjusted EBIT margin (%) excluding restructuring expenses | 31.7 | 24.0 | 7.7 pts | 28.6 | 23.5 | 5.1 pts | ||||||||||||||||||||||||||||||||
A$ Millions | Three Months and Half Year Ended 30 September | |||||||||||||||||||||||||||||||||||||
Q2 FY21 | Q2 FY20 | Change | HY FY21 | HY FY20 | Change | |||||||||||||||||||||||||||||||||
Volume (mmsf) | 145.2 | 142.8 | 2% | 255.2 | 277.2 | (8%) | ||||||||||||||||||||||||||||||||
Average net sales price per unit (per msf) | A$1,058 | A$1,022 | 4% | A$1,084 | A$1,020 | 6% | ||||||||||||||||||||||||||||||||
Fiber cement net sales | 170.6 | 164.2 | 4% | 309.3 | 318.6 | (3%) | ||||||||||||||||||||||||||||||||
Gross profit | 15% | 2% | ||||||||||||||||||||||||||||||||||||
Gross margin (%) | 3.8 pts | 1.8 pts | ||||||||||||||||||||||||||||||||||||
EBIT | 54.1 | 39.5 | 37% | 82.8 | 74.9 | 11% | ||||||||||||||||||||||||||||||||
EBIT margin (%) | 31.7 | 24.0 | 7.7 pts | 27.0 | 23.5 | 3.5 pts | ||||||||||||||||||||||||||||||||
Restructuring expenses | — | — | 4.9 | — | ||||||||||||||||||||||||||||||||||
Adjusted EBIT excluding restructuring expenses | 54.1 | 39.5 | 37% | 87.7 | 74.9 | 17% | ||||||||||||||||||||||||||||||||
Adjusted EBIT margin (%) excluding restructuring expenses | 31.7 | 24.0 | 7.7 pts | 28.6 | 23.5 | 5.1 pts | ||||||||||||||||||||||||||||||||
Management's Analysis of Results: James Hardie - 2nd Quarter Fiscal Year 2021 | 5 |
OPERATING RESULTS | |||||
Higher average net sales price | 2.0 pts | ||||
Lower production and distribution costs | 1.8 pts | ||||
Total percentage point change in gross margin | 3.8 pts |
Higher average net sales price | 3.5 pts | ||||
Higher production and distribution costs | (1.7 pts) | ||||
Total percentage point change in gross margin | 1.8 pts |
Management's Analysis of Results: James Hardie - 2nd Quarter Fiscal Year 2021 | 6 |
OPERATING RESULTS | |||||
Europe Building Products Segment |
US$ Millions | Three Months and Half Year Ended 30 September | |||||||||||||||||||||||||||||||||||||
Q2 FY21 | Q2 FY20 | Change | HY FY21 | HY FY20 | Change | |||||||||||||||||||||||||||||||||
Volume (mmsf) | 209.9 | 196.5 | 7% | 402.1 | 406.6 | (1%) | ||||||||||||||||||||||||||||||||
Average net sales price per unit (per msf) | US$373 | US$340 | 10% | US$353 | US$347 | 2% | ||||||||||||||||||||||||||||||||
Fiber cement net sales | 15.0 | 12.4 | 21% | 25.1 | 24.9 | 1% | ||||||||||||||||||||||||||||||||
Fiber gypsum net sales1 | 84.7 | 75.5 | 12% | 157.8 | 158.9 | (1%) | ||||||||||||||||||||||||||||||||
Net sales | 99.7 | 87.9 | 13% | 182.9 | 183.8 | —% | ||||||||||||||||||||||||||||||||
Gross profit | 13% | (13%) | ||||||||||||||||||||||||||||||||||||
Gross margin (%) | (0.1 pts) | (4.0 pts) | ||||||||||||||||||||||||||||||||||||
EBIT | 11.1 | 5.8 | 91% | 8.4 | 13.7 | (39%) | ||||||||||||||||||||||||||||||||
EBIT margin (%) | 11.1 | 6.6 | 4.5 pts | 4.6 | 7.5 | (2.9 pts) | ||||||||||||||||||||||||||||||||
Restructuring expenses | — | — | 5.1 | — | ||||||||||||||||||||||||||||||||||
Adjusted EBIT excluding restructuring expenses | 11.1 | 5.8 | 91% | 13.5 | 13.7 | (1%) | ||||||||||||||||||||||||||||||||
Adjusted EBIT margin (%) excluding restructuring expenses | 11.1 | 6.6 | 4.5 pts | 7.4 | 7.5 | (0.1 pts) | ||||||||||||||||||||||||||||||||
1Also includes cement bonded board net sales |
€ Millions | Three Months and Half Year Ended 30 September | |||||||||||||||||||||||||||||||||||||
Q2 FY21 | Q2 FY20 | Change | HY FY21 | HY FY20 | Change | |||||||||||||||||||||||||||||||||
Volume (mmsf) | 209.9 | 196.5 | 7% | 402.1 | 406.6 | (1%) | ||||||||||||||||||||||||||||||||
Average net sales price per unit (per msf) | €319 | €306 | 4% | €310 | €310 | —% | ||||||||||||||||||||||||||||||||
Fiber cement net sales | 12.8 | 11.2 | 14% | 21.8 | 22.3 | (2%) | ||||||||||||||||||||||||||||||||
Fiber gypsum net sales1 | 72.5 | 67.8 | 7% | 138.9 | 142.1 | (2%) | ||||||||||||||||||||||||||||||||
Net sales | 85.3 | 79.0 | 8% | 160.7 | 164.4 | (2%) | ||||||||||||||||||||||||||||||||
Gross profit | 8% | (15%) | ||||||||||||||||||||||||||||||||||||
Gross margin (%) | (0.1 pts) | (4.0 pts) | ||||||||||||||||||||||||||||||||||||
EBIT | 9.4 | 5.2 | 81% | 6.9 | 12.3 | (44%) | ||||||||||||||||||||||||||||||||
EBIT margin (%) | 11.1 | 6.6 | 4.5 pts | 4.6 | 7.5 | (2.9 pts) | ||||||||||||||||||||||||||||||||
Restructuring expenses | — | — | 4.5 | — | ||||||||||||||||||||||||||||||||||
Adjusted EBIT excluding restructuring expenses | 9.4 | 5.2 | 81% | 11.4 | 12.3 | (7%) | ||||||||||||||||||||||||||||||||
Adjusted EBIT margin (%) excluding restructuring expenses | 11.1 | 6.6 | 4.5 pts | 7.4 | 7.5 | (0.1 pts) | ||||||||||||||||||||||||||||||||
1Also includes cement bonded board net sales |
Management's Analysis of Results: James Hardie - 2nd Quarter Fiscal Year 2021 | 7 |
OPERATING RESULTS | |||||
Higher average net sales price | 2.2 pts | ||||
Higher production and distribution costs | (2.3 pts) | ||||
Total percentage point change in gross margin | (0.1 pts) |
Average net sales price | — pts | ||||
Higher production and distribution costs | (4.0 pts) | ||||
Total percentage point change in gross margin | (4.0 pts) |
Management's Analysis of Results: James Hardie - 2nd Quarter Fiscal Year 2021 | 8 |
OPERATING RESULTS | |||||
General Corporate |
US$ Millions | Three Months and Half Year Ended 30 September | |||||||||||||||||||||||||||||||||||||
Q2 FY21 | Q2 FY20 | Change % | HY FY21 | HY FY20 | Change % | |||||||||||||||||||||||||||||||||
General Corporate SG&A expenses | $ | (28.9) | $ | (15.9) | (82) | $ | (53.6) | $ | (31.9) | (68) | ||||||||||||||||||||||||||||
Asbestos: | ||||||||||||||||||||||||||||||||||||||
Asbestos adjustments | (16.3) | 18.8 | (80.0) | 27.3 | ||||||||||||||||||||||||||||||||||
AICF SG&A expenses1 | (0.3) | (0.4) | 25 | (0.6) | (0.8) | 25 | ||||||||||||||||||||||||||||||||
General Corporate EBIT | $ | (45.5) | $ | 2.5 | $ | (134.2) | $ | (5.4) | ||||||||||||||||||||||||||||||
1Relates to non-claims related operating costs incurred by AICF, which we consolidate into our financial results due to our pecuniary and contractual interests in AICF |
Interest, net |
US$ Millions | Three Months and Half Year Ended 30 September | |||||||||||||||||||||||||||||||||||||
Q2 FY21 | Q2 FY20 | Change % | HY FY21 | HY FY20 | Change % | |||||||||||||||||||||||||||||||||
Gross interest expense | $ | (15.4) | $ | (17.4) | 11 | $ | (30.5) | $ | (33.9) | 10 | ||||||||||||||||||||||||||||
Capitalized interest | 2.5 | 2.4 | 4 | 4.9 | 4.4 | 11 | ||||||||||||||||||||||||||||||||
Interest income | 0.1 | 0.4 | (75) | 0.1 | 1.0 | (90) | ||||||||||||||||||||||||||||||||
Net AICF interest income | 0.1 | 0.4 | (75) | 0.2 | 0.6 | (67) | ||||||||||||||||||||||||||||||||
Interest, net | $ | (12.7) | $ | (14.2) | 11 | $ | (25.3) | $ | (27.9) | 9 | ||||||||||||||||||||||||||||
Management's Analysis of Results: James Hardie - 2nd Quarter Fiscal Year 2021 | 9 |
OPERATING RESULTS | |||||
Income Tax |
Three Months and Half Year Ended 30 September | ||||||||||||||||||||||||||
Q2 FY21 | Q2 FY20 | HY FY21 | HY FY20 | |||||||||||||||||||||||
Income tax expense (US$ Millions) | (46.8) | (35.4) | (74.8) | (67.5) | ||||||||||||||||||||||
Effective tax rate (%) | 35.0 | 25.6 | 43.7 | 26.3 | ||||||||||||||||||||||
Adjusted income tax expense1 (US$ Millions) | (29.6) | (21.1) | (52.7) | (41.2) | ||||||||||||||||||||||
Adjusted effective tax rate1 (%) | 19.7 | 17.6 | 20.1 | 17.9 | ||||||||||||||||||||||
1Includes tax adjustments related to the amortization benefit of certain US intangible assets, asbestos, and other tax adjustments |
Management's Analysis of Results: James Hardie - 2nd Quarter Fiscal Year 2021 | 10 |
OPERATING RESULTS | |||||
Net Operating Profit |
US$ Millions | Three Months and Half Year Ended 30 September | |||||||||||||||||||||||||||||||||||||
Q2 FY21 | Q2 FY20 | Change % | HY FY21 | HY FY20 | Change % | |||||||||||||||||||||||||||||||||
EBIT | ||||||||||||||||||||||||||||||||||||||
North America Fiber Cement1 | $ | 148.6 | $ | 124.7 | 19 | $ | 279.5 | $ | 238.2 | 17 | ||||||||||||||||||||||||||||
Asia Pacific Fiber Cement1 | 38.7 | 27.0 | 43 | 61.0 | 51.8 | 18 | ||||||||||||||||||||||||||||||||
Europe Building Products1 | 11.1 | 5.8 | 91 | 13.5 | 13.7 | (1) | ||||||||||||||||||||||||||||||||
Other Businesses | — | (0.5) | — | (0.1) | ||||||||||||||||||||||||||||||||||
Research and Development1 | (6.4) | (6.9) | 7 | (12.4) | (13.1) | 5 | ||||||||||||||||||||||||||||||||
General Corporate2 | (28.9) | (15.9) | (82) | (53.6) | (31.9) | (68) | ||||||||||||||||||||||||||||||||
Adjusted EBIT | 163.1 | 134.2 | 22 | 288.0 | 258.6 | 11 | ||||||||||||||||||||||||||||||||
Net operating profit | ||||||||||||||||||||||||||||||||||||||
Adjusted interest, net2 | (12.8) | (14.6) | 12 | (25.5) | (28.5) | 11 | ||||||||||||||||||||||||||||||||
Other (expense) income | (0.2) | 0.1 | — | (0.1) | ||||||||||||||||||||||||||||||||||
Adjusted income tax expense3 | (29.6) | (21.1) | (40) | (52.7) | (41.2) | (28) | ||||||||||||||||||||||||||||||||
Adjusted net operating profit | $ | 120.5 | $ | 98.6 | 22 | $ | 209.8 | $ | 188.8 | 11 | ||||||||||||||||||||||||||||
1Excludes restructuring expenses 2Excludes Asbestos-related expenses and adjustments 3Includes tax adjustments related to the amortization benefit of certain US intangible assets, asbestos and other tax adjustments |
Management's Analysis of Results: James Hardie - 2nd Quarter Fiscal Year 2021 | 11 |
OTHER INFORMATION | |||||
COVID-19 |
Cash Flow |
Capacity Expansion |
Management's Analysis of Results: James Hardie - 2nd Quarter Fiscal Year 2021 | 12 |
OTHER INFORMATION | |||||
Liquidity and Capital Allocation |
Capital Management |
Management's Analysis of Results: James Hardie - 2nd Quarter Fiscal Year 2021 | 13 |
NON-US GAAP FINANCIAL MEASURES | |||||
Financial Measures - US GAAP equivalents |
Management’s Analysis of Results and Media Release | Consolidated Statements of Operations and Other Comprehensive Income (Loss) (US GAAP) | |||||||
Net sales | Net sales | |||||||
Cost of goods sold | Cost of goods sold | |||||||
Gross profit | Gross profit | |||||||
Selling, general and administrative expenses | Selling, general and administrative expenses | |||||||
Research and development expenses | Research and development expenses | |||||||
Asbestos adjustments | Asbestos adjustments | |||||||
EBIT* | Operating income (loss) | |||||||
Net interest income (expense)* | Sum of interest expense and interest income | |||||||
Other income (expense) | Other income (expense) | |||||||
Operating profit (loss) before income taxes* | Income (loss) before income taxes | |||||||
Income tax (expense) benefit | Income tax (expense) benefit | |||||||
Net operating profit (loss)* | Net income (loss) | |||||||
*- Represents non-US GAAP descriptions used by Australian companies. |
Management's Analysis of Results: James Hardie - 2nd Quarter Fiscal Year 2021 | 14 |
NON-US GAAP FINANCIAL TERMS | |||||
Non-financial Terms |
Management's Analysis of Results: James Hardie - 2nd Quarter Fiscal Year 2021 | 15 |
NON-US GAAP FINANCIAL MEASURES | |||||
Financial Measures - US GAAP equivalents |
US$ Millions | Three Months and Half Year Ended 30 September | |||||||||||||||||||||||||
Q2 FY21 | Q2 FY20 | HY FY21 | HY FY20 | |||||||||||||||||||||||
EBIT | $ | 146.5 | $ | 152.6 | $ | 196.3 | $ | 285.1 | ||||||||||||||||||
Asbestos: | ||||||||||||||||||||||||||
Asbestos adjustments | 16.3 | (18.8) | 80.0 | (27.3) | ||||||||||||||||||||||
AICF SG&A expenses | 0.3 | 0.4 | 0.6 | 0.8 | ||||||||||||||||||||||
Restructuring expenses | — | — | 11.1 | — | ||||||||||||||||||||||
Adjusted EBIT | $ | 163.1 | $ | 134.2 | $ | 288.0 | $ | 258.6 | ||||||||||||||||||
Net sales | 736.8 | 660.1 | 1,363.1 | 1,316.9 | ||||||||||||||||||||||
Adjusted EBIT margin | 22.1% | 20.3% | 21.1% | 19.6% |
US$ Millions | Three Months and Half Year Ended 30 September | |||||||||||||||||||||||||
Q2 FY21 | Q2 FY20 | HY FY21 | HY FY20 | |||||||||||||||||||||||
North America Fiber Cement Segment EBIT | $ | 148.6 | $ | 124.7 | $ | 277.0 | $ | 238.2 | ||||||||||||||||||
Restructuring expenses | — | — | 2.5 | — | ||||||||||||||||||||||
North America Fiber Cement Segment Adjusted EBIT excluding restructuring expenses | $ | 148.6 | $ | 124.7 | $ | 279.5 | $ | 238.2 | ||||||||||||||||||
North America Fiber Cement segment net sales | 515.0 | 459.6 | 966.8 | 911.9 | ||||||||||||||||||||||
North America Fiber Cement Segment Adjusted EBIT margin excluding restructuring expenses | 28.9% | 27.1% | 28.9% | 26.1% |
US$ Millions | Three Months and Half Year Ended 30 September | |||||||||||||||||||||||||
Q2 FY21 | Q2 FY20 | HY FY21 | HY FY20 | |||||||||||||||||||||||
Asia Pacific Fiber Cement Segment EBIT | $ | 38.7 | $ | 27.0 | $ | 57.6 | $ | 51.8 | ||||||||||||||||||
Restructuring expenses | — | — | 3.4 | — | ||||||||||||||||||||||
Asia Pacific Fiber Cement Segment Adjusted EBIT excluding restructuring expenses | $ | 38.7 | $ | 27.0 | $ | 61.0 | $ | 51.8 | ||||||||||||||||||
Asia Pacific Fiber Cement segment net sales | 122.1 | 112.6 | 213.4 | 220.6 | ||||||||||||||||||||||
Asia Pacific Fiber Cement Segment Adjusted EBIT margin excluding restructuring expenses | 31.7% | 24.0% | 28.6% | 23.5% |
Management's Analysis of Results: James Hardie - 2nd Quarter Fiscal Year 2021 | 16 |
NON-US GAAP FINANCIAL MEASURES | |||||
US$ Millions | Three Months and Half Year Ended 30 September | |||||||||||||||||||||||||
Q2 FY21 | Q2 FY20 | HY FY21 | HY FY20 | |||||||||||||||||||||||
Europe Building Products Segment EBIT | $ | 11.1 | $ | 5.8 | $ | 8.4 | $ | 13.7 | ||||||||||||||||||
Restructuring expenses | — | — | 5.1 | — | ||||||||||||||||||||||
Europe Building Products Segment Adjusted EBIT excluding restructuring expenses | 11.1 | 5.8 | 13.5 | 13.7 | ||||||||||||||||||||||
Europe Building Products segment net sales | 99.7 | 87.9 | 182.9 | 183.8 | ||||||||||||||||||||||
Europe Building Products Segment Adjusted EBIT margin excluding restructuring expenses | 11.1% | 6.6% | 7.4% | 7.5% | ||||||||||||||||||||||
US$ Millions | Three Months and Half Year Ended 30 September | |||||||||||||||||||||||||
Q2 FY21 | Q2 FY20 | HY FY21 | HY FY20 | |||||||||||||||||||||||
Research and Development Segment EBIT | $ | (6.4) | $ | (6.9) | $ | (12.5) | $ | (13.1) | ||||||||||||||||||
Restructuring expenses | — | — | 0.1 | — | ||||||||||||||||||||||
Research and Development Segment Adjusted EBIT excluding restructuring expenses | $ | (6.4) | $ | (6.9) | $ | (12.4) | (13.1) | |||||||||||||||||||
US$ Millions | Three Months and Half Year Ended 30 September | |||||||||||||||||||||||||
Q2 FY21 | Q2 FY20 | HY FY21 | HY FY20 | |||||||||||||||||||||||
Interest, net | $ | (12.7) | $ | (14.2) | $ | (25.3) | $ | (27.9) | ||||||||||||||||||
AICF interest income, net | 0.1 | 0.4 | 0.2 | 0.6 | ||||||||||||||||||||||
Adjusted interest, net | $ | (12.8) | $ | (14.6) | $ | (25.5) | $ | (28.5) | ||||||||||||||||||
Management's Analysis of Results: James Hardie - 2nd Quarter Fiscal Year 2021 | 17 |
NON-US GAAP FINANCIAL MEASURES | |||||
US$ Millions | Three Months and Half Year Ended 30 September | |||||||||||||||||||||||||
Q2 FY21 | Q2 FY20 | HY FY21 | HY FY20 | |||||||||||||||||||||||
Net operating profit | $ | 86.8 | $ | 103.1 | $ | 96.2 | $ | 189.6 | ||||||||||||||||||
Asbestos: | ||||||||||||||||||||||||||
Asbestos adjustments | 16.3 | (18.8) | 80.0 | (27.3) | ||||||||||||||||||||||
AICF SG&A expenses | 0.3 | 0.4 | 0.6 | 0.8 | ||||||||||||||||||||||
AICF interest income, net | (0.1) | (0.4) | (0.2) | (0.6) | ||||||||||||||||||||||
Restructuring expenses | — | — | 11.1 | — | ||||||||||||||||||||||
Tax adjustments1 | 17.2 | 14.3 | 22.1 | 26.3 | ||||||||||||||||||||||
Adjusted net operating profit | $ | 120.5 | $ | 98.6 | $ | 209.8 | $ | 188.8 | ||||||||||||||||||
1Includes tax adjustments related to the amortization benefit of certain US intangible assets, asbestos, and other tax adjustments |
US$ Millions | Three Months and Half Year Ended 30 September | |||||||||||||||||||||||||
Q2 FY21 | Q2 FY20 | HY FY21 | HY FY20 | |||||||||||||||||||||||
Operating profit before income taxes | $ | 133.6 | $ | 138.5 | $ | 171.0 | $ | 257.1 | ||||||||||||||||||
Asbestos: | ||||||||||||||||||||||||||
Asbestos adjustments | 16.3 | (18.8) | 80.0 | (27.3) | ||||||||||||||||||||||
AICF SG&A expenses | 0.3 | 0.4 | 0.6 | 0.8 | ||||||||||||||||||||||
AICF interest income, net | (0.1) | (0.4) | (0.2) | (0.6) | ||||||||||||||||||||||
Restructuring expenses | — | — | 11.1 | — | ||||||||||||||||||||||
Adjusted operating profit before income taxes | $ | 150.1 | $ | 119.7 | $ | 262.5 | $ | 230.0 | ||||||||||||||||||
Income tax expense | (46.8) | (35.4) | (74.8) | (67.5) | ||||||||||||||||||||||
Tax adjustments1 | 17.2 | 14.3 | 22.1 | 26.3 | ||||||||||||||||||||||
Adjusted income tax expense | $ | (29.6) | $ | (21.1) | $ | (52.7) | $ | (41.2) | ||||||||||||||||||
Effective tax rate | 35.0% | 25.6% | 43.7% | 26.3% | ||||||||||||||||||||||
Adjusted effective tax rate | 19.7% | 17.6% | 20.1% | 17.9% | ||||||||||||||||||||||
1Includes tax adjustments related to the amortization benefit of certain US intangible assets, asbestos, and other tax adjustments |
Management's Analysis of Results: James Hardie - 2nd Quarter Fiscal Year 2021 | 18 |
FORWARD-LOOKING STATEMENTS | |||||
Management's Analysis of Results: James Hardie - 2nd Quarter Fiscal Year 2021 | 19 |
Page | |||||
(Millions of US dollars) | (Unaudited) 30 September 2020 | 31 March 2020 | |||||||||
Assets | |||||||||||
Current assets: | |||||||||||
Cash and cash equivalents | $ | 390.6 | $ | 144.4 | |||||||
Restricted cash and cash equivalents | 5.0 | 5.0 | |||||||||
Restricted cash and cash equivalents - Asbestos | 55.8 | 36.4 | |||||||||
Restricted short-term investments - Asbestos | — | 21.6 | |||||||||
Accounts and other receivables, net | 305.5 | 363.3 | |||||||||
Inventories | 230.2 | 305.1 | |||||||||
Prepaid expenses and other current assets | 35.3 | 26.1 | |||||||||
Insurance receivable - Asbestos | 5.7 | 5.0 | |||||||||
Workers’ compensation - Asbestos | 1.7 | 1.5 | |||||||||
Total current assets | 1,029.8 | 908.4 | |||||||||
Property, plant and equipment, net | 1,360.1 | 1,341.7 | |||||||||
Operating lease right-of-use-assets | 39.7 | 40.5 | |||||||||
Finance lease right-of-use-assets | 2.6 | 1.7 | |||||||||
Goodwill | 209.8 | 196.9 | |||||||||
Intangible assets, net | 175.7 | 166.7 | |||||||||
Insurance receivable - Asbestos | 42.7 | 38.5 | |||||||||
Workers’ compensation - Asbestos | 23.8 | 20.7 | |||||||||
Deferred income taxes | 961.0 | 989.4 | |||||||||
Deferred income taxes - Asbestos | 351.3 | 319.1 | |||||||||
Other assets | 3.1 | 4.7 | |||||||||
Total assets | $ | 4,199.6 | $ | 4,028.3 | |||||||
Liabilities and Shareholders’ Equity | |||||||||||
Current liabilities: | |||||||||||
Accounts payable and accrued liabilities | $ | 291.1 | $ | 274.7 | |||||||
Accrued payroll and employee benefits | 81.0 | 87.1 | |||||||||
Operating lease liabilities | 15.1 | 14.3 | |||||||||
Finance lease liabilities | 1.1 | 0.5 | |||||||||
Accrued product warranties | 7.2 | 7.0 | |||||||||
Income taxes payable | 9.1 | 8.9 | |||||||||
Asbestos liability | 119.7 | 103.9 | |||||||||
Workers’ compensation - Asbestos | 1.7 | 1.5 | |||||||||
Other liabilities | 19.2 | 12.1 | |||||||||
Total current liabilities | 545.2 | 510.0 | |||||||||
Long-term debt | 1,254.8 | 1,354.6 | |||||||||
Deferred income taxes | 86.6 | 81.9 | |||||||||
Operating lease liabilities | 39.6 | 41.4 | |||||||||
Finance lease liabilities | 1.8 | 1.5 | |||||||||
Accrued product warranties | 35.7 | 35.4 | |||||||||
Income taxes payable | 21.3 | 21.3 | |||||||||
Asbestos liability | 965.0 | 882.5 | |||||||||
Workers’ compensation - Asbestos | 23.8 | 20.7 | |||||||||
Other liabilities | 45.5 | 43.7 | |||||||||
Total liabilities | 3,019.3 | 2,993.0 | |||||||||
Commitments and contingencies (Note 8) | |||||||||||
Shareholders’ equity: | |||||||||||
Common stock, Euro 0.59 par value, 2.0 billion shares authorized; 443,936,919 shares issued and outstanding at 30 September 2020 and 443,144,740 shares issued and outstanding at 31 March 2020 | 231.2 | 230.6 | |||||||||
Additional paid-in capital | 214.9 | 207.3 | |||||||||
Retained earnings | 755.7 | 659.5 | |||||||||
Accumulated other comprehensive loss | (21.5) | (62.1) | |||||||||
Total shareholders’ equity | 1,180.3 | 1,035.3 | |||||||||
Total liabilities and shareholders’ equity | $ | 4,199.6 | $ | 4,028.3 |
Three Months Ended 30 September | Six Months Ended 30 September | ||||||||||||||||||||||
(Millions of US dollars, except per share data) | 2020 | 2019 | 2020 | 2019 | |||||||||||||||||||
Net sales | $ | 736.8 | $ | 660.1 | $ | 1,363.1 | $ | 1,316.9 | |||||||||||||||
Cost of goods sold | (467.6) | (420.0) | (874.4) | (843.7) | |||||||||||||||||||
Gross profit | 269.2 | 240.1 | 488.7 | 473.2 | |||||||||||||||||||
Selling, general and administrative expenses | (98.0) | (98.1) | (185.6) | (199.6) | |||||||||||||||||||
Research and development expenses | (8.4) | (8.2) | (15.7) | (15.8) | |||||||||||||||||||
Restructuring expenses | — | — | (11.1) | — | |||||||||||||||||||
Asbestos adjustments | (16.3) | 18.8 | (80.0) | 27.3 | |||||||||||||||||||
Operating income | 146.5 | 152.6 | 196.3 | 285.1 | |||||||||||||||||||
Interest, net | (12.7) | (14.2) | (25.3) | (27.9) | |||||||||||||||||||
Other (expense) income | (0.2) | 0.1 | — | (0.1) | |||||||||||||||||||
Income before income taxes | 133.6 | 138.5 | 171.0 | 257.1 | |||||||||||||||||||
Income tax expense | (46.8) | (35.4) | (74.8) | (67.5) | |||||||||||||||||||
Net income | $ | 86.8 | $ | 103.1 | $ | 96.2 | $ | 189.6 | |||||||||||||||
Income per share: | |||||||||||||||||||||||
Basic | $ | 0.20 | $ | 0.23 | $ | 0.22 | $ | 0.43 | |||||||||||||||
Diluted | $ | 0.20 | $ | 0.23 | $ | 0.22 | $ | 0.43 | |||||||||||||||
Weighted average common shares outstanding (Millions): | |||||||||||||||||||||||
Basic | 443.4 | 442.3 | 443.3 | 442.3 | |||||||||||||||||||
Diluted | 444.8 | 444.5 | 444.7 | 444.3 | |||||||||||||||||||
Comprehensive income, net of tax: | |||||||||||||||||||||||
Net income | $ | 86.8 | $ | 103.1 | $ | 96.2 | $ | 189.6 | |||||||||||||||
Currency translation adjustments | 15.4 | (14.8) | 40.6 | (15.4) | |||||||||||||||||||
Comprehensive income | $ | 102.2 | $ | 88.3 | $ | 136.8 | $ | 174.2 |
Six Months Ended 30 September | |||||||||||
(Millions of US dollars) | 2020 | 2019 | |||||||||
Cash Flows From Operating Activities | |||||||||||
Net income | $ | 96.2 | $ | 189.6 | |||||||
Adjustments to reconcile net income to net cash provided by operating activities: | |||||||||||
Depreciation and amortization | 63.1 | 63.6 | |||||||||
Lease expense | 8.5 | 9.1 | |||||||||
Deferred income taxes | 37.1 | 34.3 | |||||||||
Stock-based compensation | 8.2 | 5.5 | |||||||||
Asbestos adjustments | 80.0 | (27.3) | |||||||||
Excess tax benefits from share-based awards | (2.2) | — | |||||||||
Other, net | 10.8 | 7.5 | |||||||||
Changes in operating assets and liabilities: | |||||||||||
Accounts and other receivables | 70.6 | 8.2 | |||||||||
Inventories | 83.7 | 2.6 | |||||||||
Lease assets and liabilities, net | (9.7) | (7.4) | |||||||||
Prepaid expenses and other assets | (10.4) | (7.7) | |||||||||
Insurance receivable - Asbestos | 1.6 | 4.0 | |||||||||
Accounts payable and accrued liabilities | 12.0 | 30.5 | |||||||||
Claims and handling costs paid - Asbestos | (49.7) | (53.5) | |||||||||
Income taxes payable | 3.2 | (0.4) | |||||||||
Other accrued liabilities | 13.8 | (6.8) | |||||||||
Net cash provided by operating activities | $ | 416.8 | $ | 251.8 | |||||||
Cash Flows From Investing Activities | |||||||||||
Purchases of property, plant and equipment | $ | (44.7) | $ | (123.4) | |||||||
Proceeds from sale of property, plant and equipment | 1.0 | 8.0 | |||||||||
Capitalized interest | (4.9) | (4.4) | |||||||||
Purchase of restricted short-term investments - Asbestos | — | (75.5) | |||||||||
Proceeds from restricted short-term investments - Asbestos | 23.2 | 17.5 | |||||||||
Net cash used in investing activities | $ | (25.4) | $ | (177.8) | |||||||
Cash Flows From Financing Activities | |||||||||||
Proceeds from credit facilities | $ | — | $ | 240.0 | |||||||
Repayments of credit facilities | (130.0) | (180.0) | |||||||||
Repayment of finance lease obligations and borrowings | (0.4) | (0.2) | |||||||||
Dividends paid | — | (113.9) | |||||||||
Net cash used in financing activities | $ | (130.4) | $ | (54.1) | |||||||
Effects of exchange rate changes on cash and cash equivalents, restricted cash and restricted cash - Asbestos | $ | 4.6 | $ | (4.6) | |||||||
Net increase in cash and cash equivalents, restricted cash and restricted cash - Asbestos | 265.6 | 15.3 | |||||||||
Cash and cash equivalents, restricted cash and restricted cash - Asbestos at beginning of period | 185.8 | 123.6 | |||||||||
Cash and cash equivalents, restricted cash and restricted cash - Asbestos at end of period | $ | 451.4 | $ | 138.9 | |||||||
Non-Cash Investing and Financing Activities | |||||||||||
Capital expenditures incurred but not yet paid | $ | 7.5 | $ | 9.6 | |||||||
Supplemental Disclosure of Cash Flows Activities | |||||||||||
Cash paid to AICF | $ | 38.3 | $ | 108.9 |
Three Months Ended 30 September 2020 | |||||||||||||||||||||||||||||
(Millions of US dollars) | Common Stock | Additional Paid-in Capital | Accumulated Equity | Accumulated Other Comprehensive Loss | Total | ||||||||||||||||||||||||
Balances at 30 June 2020 | $ | 230.6 | $ | 211.6 | $ | 668.9 | $ | (36.9) | $ | 1,074.2 | |||||||||||||||||||
Net income | — | — | 86.8 | — | 86.8 | ||||||||||||||||||||||||
Other comprehensive gain | — | — | — | 15.4 | 15.4 | ||||||||||||||||||||||||
Stock-based compensation | 0.6 | 3.3 | — | — | 3.9 | ||||||||||||||||||||||||
Balances at 30 September 2020 | $ | 231.2 | $ | 214.9 | $ | 755.7 | $ | (21.5) | $ | 1,180.3 | |||||||||||||||||||
Six Months Ended 30 September 2020 | |||||||||||||||||||||||||||||
(Millions of US dollars) | Common Stock | Additional Paid-in Capital | Accumulated Equity | Accumulated Other Comprehensive Loss | Total | ||||||||||||||||||||||||
Balances at 31 March 2020 | $ | 230.6 | $ | 207.3 | $ | 659.5 | $ | (62.1) | $ | 1,035.3 | |||||||||||||||||||
Net income | — | — | 96.2 | — | 96.2 | ||||||||||||||||||||||||
Other comprehensive gain | — | — | — | 40.6 | 40.6 | ||||||||||||||||||||||||
Stock-based compensation | 0.6 | 7.6 | — | — | 8.2 | ||||||||||||||||||||||||
Balances at 30 September 2020 | $ | 231.2 | $ | 214.9 | $ | 755.7 | $ | (21.5) | $ | 1,180.3 | |||||||||||||||||||
Three Months Ended 30 September 2019 | |||||||||||||||||||||||||||||
(Millions of US dollars) | Common Stock | Additional Paid-in Capital | Accumulated Equity | Accumulated Other Comprehensive Loss | Total | ||||||||||||||||||||||||
Balances at 30 June 2019 | $ | 230.0 | $ | 200.2 | $ | 548.8 | $ | (30.9) | $ | 948.1 | |||||||||||||||||||
Net income | — | — | 103.1 | — | 103.1 | ||||||||||||||||||||||||
Other comprehensive loss | — | — | — | (14.8) | (14.8) | ||||||||||||||||||||||||
Stock-based compensation | 0.3 | 2.6 | — | — | 2.9 | ||||||||||||||||||||||||
Balances at 30 September 2019 | $ | 230.3 | $ | 202.8 | $ | 651.9 | $ | (45.7) | $ | 1,039.3 | |||||||||||||||||||
Six Months Ended 30 September 2019 | |||||||||||||||||||||||||||||
(Millions of US dollars) | Common Stock | Additional Paid-in Capital | Accumulated Equity | Accumulated Other Comprehensive Loss | Total | ||||||||||||||||||||||||
Balances at 31 March 2019 | $ | 230.0 | $ | 197.6 | $ | 577.1 | $ | (30.3) | $ | 974.4 | |||||||||||||||||||
Net income | — | — | 189.6 | — | 189.6 | ||||||||||||||||||||||||
Other comprehensive loss | — | — | — | (15.4) | (15.4) | ||||||||||||||||||||||||
Stock-based compensation | 0.3 | 5.2 | — | — | 5.5 | ||||||||||||||||||||||||
Adoption of ASU 2016-02 | — | — | 0.2 | — | 0.2 | ||||||||||||||||||||||||
Dividends declared | — | — | (115.0) | — | (115.0) | ||||||||||||||||||||||||
Balances at 30 September 2019 | $ | 230.3 | $ | 202.8 | $ | 651.9 | $ | (45.7) | $ | 1,039.3 | |||||||||||||||||||
Three Months Ended 30 September | Six Months Ended 30 September | ||||||||||||||||||||||
(Millions of shares) | 2020 | 2019 | 2020 | 2019 | |||||||||||||||||||
Basic common shares outstanding | 443.4 | 442.3 | 443.3 | 442.3 | |||||||||||||||||||
Dilutive effect of stock awards | 1.4 | 2.2 | 1.4 | 2.0 | |||||||||||||||||||
Diluted common shares outstanding | 444.8 | 444.5 | 444.7 | 444.3 |
Three Months Ended 30 September 2020 | |||||||||||||||||||||||
(Millions of US dollars) | North America Fiber Cement | Asia Pacific Fiber Cement | Europe Building Products | Consolidated | |||||||||||||||||||
Fiber cement revenues | $ | 515.0 | $ | 122.1 | $ | 15.0 | $ | 652.1 | |||||||||||||||
Fiber gypsum revenues | — | — | 84.7 | 84.7 | |||||||||||||||||||
Total revenues | $ | 515.0 | $ | 122.1 | $ | 99.7 | $ | 736.8 |
Three Months Ended 30 September 2019 | |||||||||||||||||||||||
(Millions of US dollars) | North America Fiber Cement | Asia Pacific Fiber Cement | Europe Building Products | Consolidated | |||||||||||||||||||
Fiber cement revenues | $ | 459.6 | $ | 112.6 | $ | 12.4 | $ | 584.6 | |||||||||||||||
Fiber gypsum revenues | — | — | 75.5 | 75.5 | |||||||||||||||||||
Total revenues | $ | 459.6 | $ | 112.6 | $ | 87.9 | $ | 660.1 |
Six Months Ended 30 September 2020 | |||||||||||||||||||||||
(Millions of US dollars) | North America Fiber Cement | Asia Pacific Fiber Cement | Europe Building Products | Consolidated | |||||||||||||||||||
Fiber cement revenues | $ | 966.8 | $ | 213.4 | $ | 25.1 | $ | 1,205.3 | |||||||||||||||
Fiber gypsum revenues | — | — | 157.8 | 157.8 | |||||||||||||||||||
Total revenues | $ | 966.8 | $ | 213.4 | $ | 182.9 | $ | 1,363.1 |
Six Months Ended 30 September 2019 | |||||||||||||||||||||||||||||
(Millions of US dollars) | North America Fiber Cement | Asia Pacific Fiber Cement | Europe Building Products | Other Businesses 1 | Consolidated | ||||||||||||||||||||||||
Fiber cement revenues | $ | 911.9 | $ | 220.6 | $ | 24.9 | $ | — | $ | 1,157.4 | |||||||||||||||||||
Fiber gypsum revenues | — | — | 158.9 | — | 158.9 | ||||||||||||||||||||||||
Other revenues | — | — | — | 0.6 | 0.6 | ||||||||||||||||||||||||
Total revenues | $ | 911.9 | $ | 220.6 | $ | 183.8 | $ | 0.6 | $ | 1,316.9 | |||||||||||||||||||
1 Effective 31 March 2020, the Other Businesses segment no longer qualifies as a reportable segment. |
(Millions of US dollars) | 30 September 2020 | 31 March 2020 | |||||||||
Cash and cash equivalents | $ | 390.6 | $ | 144.4 | |||||||
Restricted cash | 5.0 | 5.0 | |||||||||
Restricted cash - Asbestos | 55.8 | 36.4 | |||||||||
Total cash and cash equivalents, restricted cash and restricted cash - Asbestos | $ | 451.4 | $ | 185.8 |
(Millions of US dollars) | 30 September 2020 | 31 March 2020 | |||||||||
Finished goods | $ | 164.7 | $ | 224.4 | |||||||
Work-in-process | 7.6 | 8.1 | |||||||||
Raw materials and supplies | 67.8 | 87.0 | |||||||||
Provision for obsolete finished goods and raw materials | (9.9) | (14.4) | |||||||||
Total inventories | $ | 230.2 | $ | 305.1 |
(Millions of US dollars) | 30 September 2020 | 31 March 2020 | |||||||||
Senior unsecured notes: | |||||||||||
Principal amount 4.750% notes due 2025 | $ | 400.0 | $ | 400.0 | |||||||
Principal amount 3.625% notes due 2026 (€400 million) | 469.4 | 440.7 | |||||||||
Principal amount 5.000% notes due 2028 | 400.0 | 400.0 | |||||||||
Total | 1,269.4 | 1,240.7 | |||||||||
Unsecured revolving credit facility | — | 130.0 | |||||||||
Unamortized debt issuance costs | (14.6) | (16.1) | |||||||||
Total Long-term debt | $ | 1,254.8 | $ | 1,354.6 | |||||||
Weighted average interest rate | 4.4 | % | 4.3 | % | |||||||
Weighted average term | 4.8 years | 5.3 years | |||||||||
Fair value of Senior unsecured notes (Level 1) | $ | 1,301.1 | $ | 1,147.7 |
Three Months Ended 30 September | Six Months Ended 30 September | ||||||||||||||||||||||
(Millions of US dollars) | 2020 | 2019 | 2020 | 2019 | |||||||||||||||||||
Effect of foreign exchange on Asbestos net liabilities | $ | (20.2) | $ | 18.9 | $ | (82.4) | $ | 26.5 | |||||||||||||||
Gain (loss) on foreign currency forward contracts | 3.9 | (0.1) | 2.4 | 0.8 | |||||||||||||||||||
Total Asbestos Adjustments | $ | (16.3) | $ | 18.8 | $ | (80.0) | $ | 27.3 |
Six Months Ended | For the Years Ended 31 March | ||||||||||||||||||||||||||||||||||
30 September 2020 | 2020 | 2019 | 2018 | 2017 | 2016 | ||||||||||||||||||||||||||||||
Number of open claims at beginning of period | 393 | 332 | 336 | 352 | 426 | 494 | |||||||||||||||||||||||||||||
Number of new claims | |||||||||||||||||||||||||||||||||||
Direct claims | 196 | 449 | 430 | 422 | 402 | 431 | |||||||||||||||||||||||||||||
Cross claims | 93 | 208 | 138 | 140 | 155 | 146 | |||||||||||||||||||||||||||||
Number of closed claims | 311 | 596 | 572 | 578 | 631 | 645 | |||||||||||||||||||||||||||||
Number of open claims at end of period | 371 | 393 | 332 | 336 | 352 | 426 | |||||||||||||||||||||||||||||
Average settlement amount per settled claim | A$227,000 | A$277,000 | A$262,000 | A$253,000 | A$224,000 | A$248,000 | |||||||||||||||||||||||||||||
Average settlement amount per case closed | A$207,000 | A$245,000 | A$234,000 | A$217,000 | A$168,000 | A$219,000 | |||||||||||||||||||||||||||||
Average settlement amount per settled claim | US$156,000 | US$189,000 | US$191,000 | US$196,000 | US$168,000 | US$183,000 | |||||||||||||||||||||||||||||
Average settlement amount per case closed | US$142,000 | US$167,000 | US$171,000 | US$168,000 | US$126,000 | US$161,000 |
(Millions of US dollars) | Asbestos Liability | Insurance Receivables | Restricted Cash and Investments | Other Assets and Liabilities | Net Unfunded AFFA Liability | Deferred Tax Assets | Income Tax Payable | Net Unfunded AFFA Liability, net of tax | |||||||||||||||||||||||||||||||||||||||
Balance - 31 March 2020 | $ | (986.4) | $ | 43.5 | $ | 58.0 | $ | (2.0) | $ | (886.9) | $ | 319.1 | $ | 23.4 | $ | (544.4) | |||||||||||||||||||||||||||||||
Asbestos claims paid1 | 49.2 | — | (49.2) | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||
Payment received in accordance with AFFA2 | — | — | 38.3 | — | 38.3 | — | — | 38.3 | |||||||||||||||||||||||||||||||||||||||
AICF claims-handling costs incurred (paid) | 0.5 | — | (0.5) | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||
AICF operating costs paid - non claims-handling | — | — | (0.6) | — | (0.6) | — | — | (0.6) | |||||||||||||||||||||||||||||||||||||||
Insurance recoveries | — | (1.6) | 1.6 | — | — | — | — | — | |||||||||||||||||||||||||||||||||||||||
Movement in income tax payable | — | — | — | — | — | (16.1) | (10.0) | (26.1) | |||||||||||||||||||||||||||||||||||||||
Other movements | — | — | 0.2 | (0.3) | (0.1) | 0.2 | (0.1) | — | |||||||||||||||||||||||||||||||||||||||
Effect of foreign exchange | (148.0) | 6.5 | 8.0 | (0.2) | (133.7) | 48.1 | 3.2 | (82.4) | |||||||||||||||||||||||||||||||||||||||
Balance - 30 September 2020 | $ | (1,084.7) | $ | 48.4 | $ | 55.8 | $ | (2.5) | $ | (983.0) | $ | 351.3 | $ | 16.5 | $ | (615.2) |
Payment Date | A$ Millions | ||||
1 July 2020 | 55.2 | ||||
1 October 2020 | 55.2 | ||||
4 January 2021 | 55.2 | ||||
23 March 2021 | 55.3 |
Three Months Ended 30 September | Six Months Ended 30 September | ||||||||||||||||||||||
(Millions of US dollars) | 2020 | 2019 | 2020 | 2019 | |||||||||||||||||||
Liability Awards Expense | $ | 6.1 | $ | 2.6 | $ | 12.9 | $ | 4.0 | |||||||||||||||
Equity Awards Expense | 3.9 | 2.9 | 8.2 | 5.5 | |||||||||||||||||||
Total stock-based compensation expense | $ | 10.0 | $ | 5.5 | $ | 21.1 | $ | 9.5 |
Net Sales Three Months Ended 30 September | Net Sales Six Months Ended 30 September | ||||||||||||||||||||||
(Millions of US dollars) | 2020 | 2019 | 2020 | 2019 | |||||||||||||||||||
North America Fiber Cement | $ | 515.0 | $ | 459.6 | $ | 966.8 | $ | 911.9 | |||||||||||||||
Asia Pacific Fiber Cement | 122.1 | 112.6 | 213.4 | 220.6 | |||||||||||||||||||
Europe Building Products | 99.7 | 87.9 | 182.9 | 183.8 | |||||||||||||||||||
Other Businesses | — | — | — | 0.6 | |||||||||||||||||||
Worldwide total | $ | 736.8 | $ | 660.1 | $ | 1,363.1 | $ | 1,316.9 | |||||||||||||||
Operating Income Three Months Ended 30 September | Operating Income Six Months Ended 30 September | ||||||||||||||||||||||
(Millions of US dollars) | 2020 | 2019 | 2020 | 2019 | |||||||||||||||||||
North America Fiber Cement | $ | 148.6 | $ | 124.7 | $ | 277.0 | $ | 238.2 | |||||||||||||||
Asia Pacific Fiber Cement | 38.7 | 27.0 | 57.6 | 51.8 | |||||||||||||||||||
Europe Building Products | 11.1 | 5.8 | 8.4 | 13.7 | |||||||||||||||||||
Other Businesses | — | (0.5) | — | (0.1) | |||||||||||||||||||
Research and Development 1 | (6.4) | (6.9) | (12.5) | (13.1) | |||||||||||||||||||
Segments total | 192.0 | 150.1 | 330.5 | 290.5 | |||||||||||||||||||
General Corporate | (45.5) | 2.5 | (134.2) | (5.4) | |||||||||||||||||||
Total operating income | $ | 146.5 | $ | 152.6 | $ | 196.3 | $ | 285.1 | |||||||||||||||
Research and Development Expenses | |||||||||||||||||||||||
Three Months Ended 30 September | Six Months Ended 30 September | ||||||||||||||||||||||
(Millions of US dollars) | 2020 | 2019 | 2020 | 2019 | |||||||||||||||||||
North America Fiber Cement | $ | 1.7 | $ | 1.4 | $ | 2.8 | $ | 2.7 | |||||||||||||||
Asia Pacific Fiber Cement | 0.3 | 0.4 | 0.6 | 0.9 | |||||||||||||||||||
Europe Building Products | 0.5 | 0.4 | 1.1 | 0.7 | |||||||||||||||||||
Research and Development | 5.9 | 6.0 | 11.2 | 11.5 | |||||||||||||||||||
$ | 8.4 | $ | 8.2 | $ | 15.7 | $ | 15.8 |
(Millions of US dollars) | Cash Flow Hedges | Pension Actuarial Gain | Foreign Currency Translation Adjustments | Total | ||||||||||||||||||||||
Balance at 31 March 2020 | $ | 0.2 | $ | 0.8 | $ | (63.1) | $ | (62.1) | ||||||||||||||||||
Other comprehensive gain | — | — | 40.6 | 40.6 | ||||||||||||||||||||||
Balance at 30 September 2020 | $ | 0.2 | $ | 0.8 | $ | (22.5) | $ | (21.5) |
T27!"-()$^7=TR<&@#K+'Q;I&H74-M%+/&]R";&*[ MF <&*5@J C+?,J ;
5+$%4MO&&(*]CGVH ZNBN>G\;Z);W;PO+.88Y/*EO%MW-O&^<;
M6DQM!_E4^I>*].TR^-B8[N[N4"M+%9VKSF)3T+[0=O\ .@#:HK!O/&>BV=M8
MSF6:<:A&TEJEO \CRA<9PH&
7\Z /-Y-!G@TS1+J./Q%;VR7-U
M),\;*][$)#\K%0G1L9*@9&ZI!I!FTK7'MX-=O#<26PS7244 <)]IGTO1M8T";1;VYN[FXN/(\JW9X[E9F8JQDY
M53QW&F6L4
WEMS
M*NPYCQ:R [O3D@<]ZZ"#7=-N-"_MN.Y'V 1M*92I&%7.