Multi-Color Corporation Announces Unaudited Consolidated Earnings Results for the Third Quarter and First Nine Months Ended December 31, 2017; Provides Capital Expenditure Guidance for the Full Year of Fiscal 2018 and Earnings Guidance for the Full Year of Fiscal 2019
For the first nine months, the company announced net revenues of $851,173,000 compared to $679,292,000 for the same period a year ago. Operating income was $67,335,000 compared to $79,858,000 for the same period a year ago. Income before income taxes was $24,482,000 compared to $62,425,000 for the same period a year ago. Net income attributable to the company was $49,828,000 compared to $44,274,000 for the same period a year ago. Diluted earnings per common share were $2.78 compared to $2.60 for the same period a year ago. Core operating income, (non-GAAP) was $90,689,000 compared to $81,419,000 for the same period a year ago. Core EBITDA, (non-GAAP) was $136,971,000 compared to $117,107,000 for the same period a year ago. Core income before income taxes, (non-GAAP) was $62,257,000 compared to $63,099,000 for the same period a year ago. Core net income (non-GAAP) was $46,828,000 or $2.61 per diluted share compared to $44,756,000 or $2.63 per diluted share for the same period a year ago. Free cash flow was negative $2.4 million compared to $37.3 million in the prior year period primarily due to acquisition and integration costs of $17 million year-to-date, preacquisition financing costs of $5 million, tax payments and other working capital requirements of $8 million and capital expenditure increases of $10 million. Capital expenditures were $44.1 million compared to $34.1 million in the prior year period. Net debt as of December 31, 2017, was $1.5 billion. Core operating income increased 11% or $9.3 million compared to the prior year-to-date period. Core EPS decreased 1% to $2.61 per diluted share from $2.63 in the prior year-to-date period. Core EBITDA increased 17% to $137 million for the 9 months ended December 31, 2017, compared to the prior year period.
The projected amount of capital expenditures for fiscal 2018 is approximately $66 million.
The company provided effective tax rate guidance for the full year of fiscal 2018. The company expects its annual effective tax rate on core net income to be approximately 27% in fiscal 2018. In addition, the company believes that fiscal year 2019 offers the opportunity for continued decent organic growth in the 3% to 5% range, and that the company will experience better profit value from this growth that the company has in 2018.