CSS Industries, Inc. Announces Unaudited Consolidated Financial Results for the Quarter and Six Months Ended September 30, 2018; Revises Financial Guidance for the Fiscal Year Ending March 31, 2019
November 02, 2018 at 02:00 am IST
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CSS Industries, Inc. announced unaudited consolidated financial results for the quarter and six months ended September 30, 2018. For the quarter, the company reported net sales of $112,901,000 against $101,397,000 for the same period a year ago. Operating loss was $5,794,000 against income of $3,393,000 for the same period a year ago. Loss before income taxes was $6,062,000 against income of $3,515,000 for the same period a year ago. Net loss was $4,910,000 against income of $3,013,000 for the same period a year ago. Basic and diluted net loss per share was $0.54 per share against income of $0.33 per share for the same period a year ago. Adjusted diluted income per share were $0.32 per share against $0.65 per share for the same period a year ago. Adjusted EBITDA was $7,896,000 against $10,101,000 for the same period a year ago. Adjusted operating income was $4,472,000 against $7,981,000 for the same period a year ago. Adjusted net income was $2,893,000 against $5,949,000 for the same period a year ago. Net cash used for operating activities was $30,417,000 against $18,838,000 for the same period a year ago. Purchase of property, plant and equipment was $2,732,000 against $1,120,000 for the same period a year ago.
For the six months, the company reported net sales of $177,028,000 against $149,721,000 for the same period a year ago. Operating loss was $24,466,000 against $5,491,000 for the same period a year ago. Loss before income taxes was $24,879,000 against $5,156,000 for the same period a year ago. Net loss was $23,386,000 against $4,051,000 for the same period a year ago. Basic and diluted net loss per share was $2.57 per share against $0.45 per share for the same period a year ago. Adjusted diluted loss per share was $0.99 per share against income of $0.12 per share for the same period a year ago. Adjusted EBITDA was $1,166,000 against $6,847,000 for the same period a year ago. Adjusted operating loss was $5,555,000 against income of $2,601,000 for the same period a year ago. Adjusted net loss was $9,014,000 against income of $1,128,000 for the same period a year ago. Net cash used for operating activities was $45,821,000 against $34,162,000 for the same period a year ago. Purchase of property, plant and equipment was $5,891,000 against $2,021,000 for the same period a year ago.
For the fiscal year ending March 31, 2019, the company expects to generate net sales of $398 million to $412 million. The driver of the growth will be the full year impact of the Simplicity acquisition, partially offset by a decline in the company's base business. Net loss outlook is revised and expected to be in the range of $10.2 million to $12.5 million. The increase from previously provided guidance of a net loss of $5.0 million to $7.5 million is driven primarily by costs associated with U.K. restructure, including a non-cash fixed asset write-down, higher costs associated with poly ribbon antidumping case, and higher integration costs. The company reaffirms its adjusted EBITDA guidance for fiscal 2019 to be in the range of $26 million to $29 million. The expected growth in adjusted EBITDA primarily reflects the full year contribution of Simplicity and integration savings related to Simplicity, partially offset by a decline in the company's base business.
CSS Industries, Inc. is a United States-based consumer products company. The Company is engaged in development, manufacture, procurement, distribution and sale of various categories of products include seasonal, which includes holiday gift packaging items, such as ribbon, bows, greeting cards, bags, tags and gift card holders, in addition to specific holiday-themed decorations, accessories, and activities; gift, which includes products designed to celebrate certain life events or special occasions, such as weddings, birthdays, anniversaries, graduations, or the birth of a child, and its offered products include ribbons and bows, floral accessories, infant products, journals, gift card holders, all occasion boxed greeting cards, memory books, scrapbooks, stationery and other items; and craft, which includes sewing patterns, ribbons and trims, buttons, knitting needles, needle arts and kids crafts.
CSS Industries, Inc. Announces Unaudited Consolidated Financial Results for the Quarter and Six Months Ended September 30, 2018; Revises Financial Guidance for the Fiscal Year Ending March 31, 2019