Multi-Color Corporation reported unaudited consolidated earnings results for the second quarter and six months ended September 30, 2018. Net revenues increased 70% to $434.9 million compared to $256 million in the prior year quarter. Organic revenues increased 2% led by strong organic growth in developing markets offset by lower growth in developed markets, primarily in North America, which experienced softer volumes in the second half of the quarter. Operating income increased 79% or $21 million compared to the prior year quarter primarily due to acquisitions and related synergies. Core operating income, a non-GAAP financial measure, increased 60% or $18.8 million compared to the prior year quarter. Net income increased 56% or $8.6 million in the current year quarter compared to the prior year quarter.  Core net income, a non-GAAP financial measure, increased 33% or $6 million compared to the prior year quarter. Diluted EPS increased 32% to $1.16 per diluted share in the current year quarter compared to $0.88 per diluted share in the prior year quarter. Excluding the impact of the non-core items noted below, core EPS, a non-GAAP financial measure, increased 11% to $1.18 per diluted share compared to $1.06 in the prior year quarter. Income before income taxes was $26,930,000 against $22,486,000 a year ago. Core EBITDA was $72,681,000 against $43,854,000 a year ago. Operating income was $47,480,000 compared to $26,479,000 for the same period a year ago.

Net revenues increased 79% to $891 million compared to $498.5 million in the six months ended September 30, 2017. Operating income increased 77% or $40.4 million compared to the six months ended September 30, 2017 primarily due to increased organic revenues, acquisitions and related synergies.  Core operating income increased 72% or $41.6 million compared to the prior year. Net income increased 43% or $12.6 million for the six months ended September 30, 2018 compared to the prior year.  Core net income increased 40% or $13.1 million compared to the prior year. Diluted EPS increased 19% or $0.33 for the six months ended September 30, 2018 compared to the prior year.  Excluding the impact of the non-core items noted below, core EPS increased 17% to $2.24 compared to $1.92 in the prior year. Income before income taxes was $51,902,000 against $40,786,000 a year ago. Core EBITDA was $150,585,000 against $82,724,000 a year ago. Operating income was $92,695,000 compared to $52,313,000 for the same period a year ago.

The company expects its annual effective tax rate on core net income to be approximately 21% in fiscal 2019 or 23% excluding the release of the indemnification receivable.