Reports $0.81 Earnings Per Share from Continuing Operations for the
Fourth Quarter 2014
CHARLOTTE, N.C.--(BUSINESS WIRE)--
Carlisle Companies Incorporated (NYSE:CSL) reported net sales from
continuing operations of $790.0 million for the quarter ended December
31, 2014, a 9.1% increase from $724.0 million in the fourth quarter
2013. Organic sales growth was 6.0%. The acquisition of LHi Technology
(“LHi”) reported in the Carlisle Interconnect Technologies (CIT) segment
contributed 3.6% to sales in the fourth quarter. The negative impact on
net sales from fluctuations in foreign exchange was 0.5%.
Income from continuing operations in the fourth quarter 2014 declined
12% to $53.2 million, or $0.81 per diluted share, compared with $60.2
million, or $0.92 per diluted share, in the fourth quarter 2013,
reflecting higher costs at Carlisle Construction Materials (CCM), lower
net sales and EBIT (earnings before interest and income taxes) at
Carlisle Brake & Friction (CBF) and a higher effective tax rate in the
fourth quarter of 2014 versus the prior year.
For the full year 2014, Carlisle reported record net sales from
continuing operations of $3.20 billion, an 8.9% increase from $2.94
billion for the prior year. Higher net sales in 2014 reflected organic
sales growth of 7.9% and acquired growth of 0.9%. For the full year
2014, Carlisle reported record income from continuing operations of
$251.7 million, or $3.83 per diluted share, a 7.0% increase over income
of $235.2 million, or $3.61 per diluted share, in 2013. Results for 2013
include a tax benefit of $11.8 million, or $0.18 per diluted share, from
the release of a deferred tax liability from an election in a foreign
jurisdiction.
All financial and percentage comparisons in our fourth quarter reporting
are made to the same quarter of the previous year, unless otherwise
stated.
Comment
David A. Roberts
, Chairman and CEO, said, “As we previously announced,
our results for the fourth quarter 2014 were not as strong as expected.
Nevertheless, 2014 was an outstanding year for Carlisle as we achieved
record sales, EBIT and net earnings. In addition, our working capital as
a percent of sales improved 90 bps to 17.8%, moving closer to our 15%
goal.
“During 2014, we also continued our transformation into becoming a
manufacturer of high margin products with the October 1, 2014
acquisition of LHi, which supplies products to the medical technology
market, and our pending acquisition of the Liquid Finishing Brands
business from Graco Inc. (NYSE:GGG). We anticipate completing the Liquid
Finishing Brands acquisition by the end of the first quarter of 2015.
These acquisitions, combined with our organic growth initiatives, move
us closer to our long term strategic goals.
“For the full year 2014, Carlisle Construction Materials (CCM) achieved
record sales of $1.94 billion, an 8.9% increase over the prior year. The
sales momentum we achieved throughout the year slowed in November and
December, primarily impacted by the early onset of winter conditions
compounded by lower than expected demand. CCM’s EBIT growth for the full
year 2014 of 1.8% versus the prior year was negatively impacted by lower
selling price and higher costs for plant startup, as well as higher
freight and other operating costs. Despite lower than expected sales
growth in the fourth quarter, we remain very positive about the outlook
for 2015 on the strength of the commercial construction market, an
expected tailwind from lower raw material costs and the timely
investments we have made in TPO (thermoplastic polyolefin), PVC
(polyvinyl chloride) and Polyiso (foam board) capacity to meet growing
market demand.
“Carlisle Interconnect Technologies (CIT) achieved exceptional
performance in 2014 with record sales of $669.1 million, a 16% increase
over the prior year, and record EBIT of $132.2 million, a 48% increase
over the prior year. EBIT margin grew 430 basis points to 19.8%
reflecting excellent sales leverage and execution of the Carlisle
Operating System. The acquisition of LHi broadens CIT’s product
offerings in the highly engineered medical technology market. We expect
2015 to be another record year for CIT as it continues to benefit from
strong demand in the aerospace market, ramps up production at our new
Nogales, Mexico, facility and expands its offerings in the medical
connectivity market.
“Sales at Carlisle Brake & Friction (CBF) of $355.3 million for the full
year 2014 grew a modest 1.5% versus the prior year, reflecting continued
softness in the mining markets and a weakening of the agriculture market
in the second half of the year. CBF’s EBIT declined in 2014 on lower
selling price, higher operating costs and $1.2 million in staff
reduction costs. We expect the agriculture and mining markets to remain
weak in 2015. While we anticipate limited sales growth in 2015, CBF’s
EBIT is expected to improve as a result of its cost alignment actions.
“In 2014, Carlisle FoodService Products (CFS) achieved record EBIT of
$29.6 million, a 9.6% increase over the prior year on a 2.3% increase in
sales. EBIT margin improved by 80 bps to 12.1% reflecting continued
focus on operating improvements. We expect sales growth in 2015 in line
with U.S. GDP growth and continued EBIT improvement.
“We ended the year with $731 million in cash on hand. We used our strong
cash flow to invest $119 million in our businesses in 2014, completing a
new PVC plant in Greenville, IL, adding a new TPO facility in Carlisle,
PA, and building a new plant for CIT’s aerospace applications in
Nogales, Mexico. We expect to fund the $590 million acquisition of the
Liquid Finishing Brands business with our available cash. Following the
acquisition, we expect to have ample liquidity from our cash flow
generation and our revolving credit facility to continue investing in
our businesses, to pursue additional acquisitions and to return capital
to shareholders.”
Roberts concluded by stating, “As previously noted, the actions taken in
2014 mark a significant transformation at Carlisle that began seven
years ago, when we started progressing from a company with a significant
portion of our revenue being generated by low margin commodity products,
to where we are today as a manufacturer of high margin, highly
engineered products. We look to improve performance in 2015 as we plan
for organic sales growth in the mid-to-high single digit percent range
with continued EBIT and EBIT margin improvement. We expect the
acquisition of Liquid Finishing Brands, as the new Carlisle Fluid
Technologies (CFT) segment with annual sales of approximately $275
million, to be accretive to our net earnings in 2015. We are planning
for capital expenditures of approximately $100 million in 2015. We are
well on our way to meeting our long term goals with the transformational
steps we have taken.”
Segment Results for Fourth Quarter 2014
Carlisle Construction Materials (CCM): Net sales in the fourth
quarter 2014 grew 5.1% to $463.2 million, reflecting organic sales
growth of 5.5% primarily due to higher sales volume of roofing systems
and polyiso applications, partially offset by a 0.4% negative impact
from fluctuations in foreign exchange. CCM’s selling price in the fourth
quarter declined slightly versus the prior year on higher rebate levels.
In addition, CCM’s sales growth in the fourth quarter was negatively
impacted in part by the early onset of winter weather in much of the
U.S. EBIT margin declined 250 bps to 12.7%, primarily reflecting plant
startup and product line closing expense in the fourth quarter of $4.3
million, versus plant startup expense of $0.9 million in the prior year,
lower selling price due to rebate volumes, negative foreign exchange
impact from the stronger U.S. dollar, higher freight expense and other
higher operating costs. EBIT margin also declined in the fourth quarter
2014 versus the prior year due to the non-recurrence of a $1.6 million
gain in the prior year on the sale of its exited facility in Kent, WA,
and a $1.9 million gain in the prior year on the sale of solar inventory
that had previously been determined to be obsolete.
Carlisle Interconnect Technologies (CIT): Net sales in the fourth
quarter 2014 grew 34% to $191.6 million, reflecting organic growth of
16% and acquisition growth of 18%. The acquisition of LHi contributed
$26.1 million in net sales. Sales in CIT’s aerospace market were up 18%.
Sales to the military and test and measurement markets were up 10% and
48%, respectively. Sales to the industrial market were down 11%. CIT’s
EBIT margin improved 70 basis points to 17.5%, primarily driven by
higher sales volume and savings from the Carlisle Operating System.
These positive impacts were partially offset by $2.4 million in costs
related to the acquisition of LHi. Included in acquisition related costs
was $0.8 million in transaction related expenses and $1.6 million of
additional costs of goods sold related to the fair valuation of acquired
inventory.
Carlisle Brake & Friction (CBF): Net sales in the fourth
quarter of 2014 declined 5.2% to $76.2 million, reflecting 2.5% lower
sales volume and a 2.7% negative impact on sales from foreign exchange
rate fluctuations. Sales in the agriculture and mining markets declined
by 32% and 18%, respectively, partially offset by increased sales into
the construction market of 14%. Demand in the agriculture and mining
markets declined more significantly in the fourth quarter on lower
commodity prices and slowing global demand. CBF’s EBIT margin during the
fourth quarter decreased 520 basis points to 0.9%, primarily due to
lower sales volume, negative foreign exchange impact from the stronger
U.S. dollar, and $1.1 million in inventory write-downs. During the
fourth quarter 2014, CBF incurred $0.9 million in severance expense from
staffing reductions. CBF incurred $0.1 million in plant restructuring
costs for the closure of our Akron, OH facility, as compared to plant
restructuring costs of $0.9 million in the prior year.
Carlisle FoodService Products (CFS): Net sales in the fourth
quarter 2014 decreased by 1.5% to $59.0 million, primarily reflecting
lower selling price. Sales into the healthcare market declined by 8% on
lower equipment orders. This decline was partially offset by sales
growth in the janitorial/sanitation market of 3%. Sales into the
foodservice market were relatively level reflecting higher domestic
foodservice market growth offset by lower international sales. CFS’ EBIT
margin during the fourth quarter 2014 declined 130 basis points to
11.4%, primarily reflecting lower selling price and lower overhead
absorption from inventory reduction efforts.
Cash Flow
Cash flow provided from operations of $295.9 million for 2014 declined
by $118.8 million versus the prior year period primarily reflecting the
disposition of the Transportation Products business on December 31, 2013
and higher cash used for working capital in 2014 versus 2013. Cash used
for working capital in 2014 of $50.4 million compared to cash provided
by working capital of $48.0 million in 2013. Cash was used in 2014 for
working capital due to higher organic sales and production activity from
higher demand in the fourth quarter of 2014 compared to the prior year.
Cash provided by working capital in 2013 also benefitted from inventory
reduction efforts at the divested Carlisle Transportation Product
business.
During 2014, average working capital (defined as the average of the
quarter-end balances, excluding current year acquisitions, of
receivables, plus inventory less accounts payable) as a percentage of
annualized sales (defined as year-to-date net sales from continuing
operations, excluding current year acquisitions, calculated on an
annualized basis) improved to 17.8%, as compared to 18.7% for the prior
year.
Free cash flow (defined as cash provided by operating activities less
capital expenditures, and comprised of continuing and discontinued
operations), was $177.1 million for 2014, a decrease of $126.8 million
versus the prior year. Capital expenditures of $118.8 million in 2014
were $8.0 million higher than the prior year. Included in capital
expenditures in 2014 were investments in the construction of a new
216,000 square foot facility by CIT in Nogales, Mexico, and completion
of a new TPO facility by CCM in Carlisle, PA. During 2014, we used
$194.0 million in cash to acquire LHi for Carlisle Interconnect
Technologies.
During 2014, we increased our annual dividend paid to shareholders by
12% to $0.94 per share, our 38th year of consecutive dividend
increases. As of December 31, 2014, we had $730.8 million cash on hand
and $600 million of availability under our revolving credit facility.
Conference Call and Webcast
The Company will discuss fourth quarter 2014 results on a conference
call at 8:00 a.m. ET today. The call may be accessed live by going to
the Investor Relations section of the Carlisle website (http://www.carlisle.com/investor-relations/events-and-webcasts/default.aspx),
or the taped call may be listened to shortly following the live call at
the same website location. A PowerPoint presentation will accompany the
call and can be found on the Carlisle website as well.
Forward-Looking Statements
This press release contains forward-looking statements within the
meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking
statements generally use words such as “expect,” “foresee,”
“anticipate,” “believe,” “project,” “should,” “estimate,” “will,”
“plans”, “forecast” and similar expressions, and reflect our
expectations concerning the future. It is possible that our
future performance may differ materially from current expectations
expressed in these forward-looking statements, due to a variety of
factors such as: increasing price and product/service competition by
foreign and domestic competitors, including new entrants; technological
developments and changes; the ability to continue to introduce
competitive new products and services on a timely, cost-effective basis;
our mix of products/services; increases in raw material costs which
cannot be recovered in product pricing; domestic and foreign
governmental and public policy changes including environmental and
industry regulations; threats associated with and efforts to combat
terrorism; protection and validity of patent and other intellectual
property rights; the successful integration and identification of our
strategic acquisitions; the cyclical nature of our businesses; and the
outcome of pending and future litigation and governmental proceedings.
In addition, such statements could be affected by general industry and
market conditions and growth rates, the condition of the financial and
credit markets, and general domestic and international economic
conditions including interest rate and currency exchange rate
fluctuations. Further, any conflict in the international arena
may adversely affect general market conditions and our future
performance. We refer you to the documents we file from time to
time with the Securities and Exchange Commission, such as our reports on
Form 10-K, Form 10-Q and Form 8-K, for a discussion of these and other
risks and uncertainties that could cause our actual results to differ
materially from our current expectations and from the forward-looking
statements contained in this press release. We undertake no
obligation to update any forward-looking statement.
About Carlisle Companies Incorporated
Carlisle Companies Incorporated is a global diversified company that
designs, manufactures and markets a wide range of products that serve a
broad range of niche markets including commercial roofing, energy,
agriculture, mining, construction, aerospace and defense electronics,
medical technology, foodservice, healthcare and sanitary maintenance.
Through our group of decentralized operating companies led by
entrepreneurial management teams, we bring innovative product solutions
to solve the challenges facing our customers. Our worldwide team of
employees, who generated $3.2 billion in net sales in 2014, is focused
on continuously improving the value of the Carlisle brand by developing
the best products, ensuring the highest quality and providing unequaled
customer service in the many industries we serve. Learn more about
Carlisle at www.carlisle.com.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Carlisle Companies Incorporated
|
Unaudited Condensed Consolidated Statements of Earnings
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended December 31,
|
|
|
Twelve Months Ended December 31,
|
(in millions except share and per share amounts)
|
|
|
2014
|
|
|
2013
|
|
|
2014
|
|
|
2013
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Sales
|
|
|
$
|
790.0
|
|
|
|
$
|
724.0
|
|
|
|
$
|
3,204.0
|
|
|
|
$
|
2,943.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost and expenses:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Cost of goods sold
|
|
|
|
594.3
|
|
|
|
|
538.2
|
|
|
|
|
2,384.5
|
|
|
|
|
2,197.4
|
|
Selling and administrative expenses
|
|
|
|
97.0
|
|
|
|
|
88.2
|
|
|
|
|
379.0
|
|
|
|
|
353.7
|
|
Research and development expenses
|
|
|
|
8.8
|
|
|
|
|
7.5
|
|
|
|
|
33.8
|
|
|
|
|
29.3
|
|
Other (income) expense, net
|
|
|
|
0.9
|
|
|
|
|
(2.3
|
)
|
|
|
|
(1.6
|
)
|
|
|
|
(4.2
|
)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings before interest and income taxes
|
|
|
|
89.0
|
|
|
|
|
92.4
|
|
|
|
|
408.3
|
|
|
|
|
366.8
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Interest expense, net
|
|
|
|
8.5
|
|
|
|
|
8.4
|
|
|
|
|
32.2
|
|
|
|
|
33.8
|
|
Earnings before income taxes from continuing operations
|
|
|
|
80.5
|
|
|
|
|
84.0
|
|
|
|
|
376.1
|
|
|
|
|
333.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income tax expense
|
|
|
|
27.3
|
|
|
|
|
23.8
|
|
|
|
|
124.4
|
|
|
|
|
97.8
|
|
Income from continuing operations
|
|
|
|
53.2
|
|
|
|
|
60.2
|
|
|
|
|
251.7
|
|
|
|
|
235.2
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Discontinued operations
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Loss before taxes
|
|
|
|
(0.2
|
)
|
|
|
|
(2.0
|
)
|
|
|
|
(2.1
|
)
|
|
|
|
(60.5
|
)
|
Income tax benefit
|
|
|
|
-
|
|
|
|
|
(11.5
|
)
|
|
|
|
(1.7
|
)
|
|
|
|
(35.0
|
)
|
Income (loss) from discontinued operations
|
|
|
|
(0.2
|
)
|
|
|
|
9.5
|
|
|
|
|
(0.4
|
)
|
|
|
|
(25.5
|
)
|
Net income
|
|
|
$
|
53.0
|
|
|
|
$
|
69.7
|
|
|
|
$
|
251.3
|
|
|
|
$
|
209.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic earnings (loss) per share attributable to common shares(1)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from continuing operations
|
|
|
$
|
0.81
|
|
|
|
$
|
0.94
|
|
|
|
$
|
3.89
|
|
|
|
$
|
3.69
|
|
Income (loss) from discontinued operations
|
|
|
|
0.01
|
|
|
|
|
0.15
|
|
|
|
|
-
|
|
|
|
|
(0.40
|
)
|
Basic Earnings per share
|
|
|
$
|
0.82
|
|
|
|
$
|
1.09
|
|
|
|
$
|
3.89
|
|
|
|
$
|
3.29
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Diluted earnings (loss) per share attributable to common shares(1)
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from continuing operations
|
|
|
$
|
0.81
|
|
|
|
$
|
0.92
|
|
|
|
$
|
3.83
|
|
|
|
$
|
3.61
|
|
Income (loss) from discontinued operations
|
|
|
|
0.00
|
|
|
|
|
0.15
|
|
|
|
|
(0.01
|
)
|
|
|
|
(0.39
|
)
|
Diluted earnings per share
|
|
|
$
|
0.81
|
|
|
|
$
|
1.07
|
|
|
|
$
|
3.82
|
|
|
|
$
|
3.22
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Average shares outstanding - in thousands
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Basic
|
|
|
|
64,517
|
|
|
|
|
63,629
|
|
|
|
|
64,170
|
|
|
|
|
63,471
|
|
Diluted
|
|
|
|
65,698
|
|
|
|
|
65,071
|
|
|
|
|
65,304
|
|
|
|
|
64,806
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Dividends declared and paid
|
|
|
$
|
16.2
|
|
|
|
$
|
14.1
|
|
|
|
$
|
61.2
|
|
|
|
$
|
53.7
|
|
Dividends declared and paid per share
|
|
|
$
|
0.25
|
|
|
|
$
|
0.22
|
|
|
|
$
|
0.94
|
|
|
|
$
|
0.84
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
(1) Numerator for basic and diluted EPS calculated based
on "two-class" method of computing earnings per share:
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Income from continuing operations
|
|
|
$
|
53.0
|
|
|
|
$
|
59.9
|
|
|
|
$
|
249.9
|
|
|
|
$
|
234.0
|
|
Net income
|
|
|
$
|
52.8
|
|
|
|
$
|
69.4
|
|
|
|
$
|
249.5
|
|
|
|
$
|
208.6
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Carlisle Companies Incorporated
|
Unaudited Segment Information
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three Months Ended
|
|
|
Increase
|
|
|
Twelve Months Ended
|
|
|
Increase
|
|
|
|
December 31,
|
|
|
(Decrease)
|
|
|
December 31,
|
|
|
(Decrease)
|
(in millions, except percentages)
|
|
|
2014
|
|
|
2013
|
|
|
Amount
|
|
|
Percent
|
|
|
2014
|
|
|
2013
|
|
|
Amount
|
|
|
Percent
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Sales
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Carlisle Construction Materials
|
|
|
$
|
463.2
|
|
|
|
$
|
440.7
|
|
|
|
$
|
22.5
|
|
|
|
5.1
|
%
|
|
|
$
|
1,935.4
|
|
|
|
$
|
1,776.5
|
|
|
|
$
|
158.9
|
|
|
|
8.9
|
%
|
Carlisle Interconnect Technologies
|
|
|
|
191.6
|
|
|
|
|
143.0
|
|
|
|
|
48.6
|
|
|
|
34.0
|
|
|
|
|
669.1
|
|
|
|
|
577.7
|
|
|
|
|
91.4
|
|
|
|
15.8
|
|
Carlisle Brake & Friction
|
|
|
|
76.2
|
|
|
|
|
80.4
|
|
|
|
|
(4.2
|
)
|
|
|
(5.2
|
)
|
|
|
|
355.3
|
|
|
|
|
350.0
|
|
|
|
|
5.3
|
|
|
|
1.5
|
|
Carlisle FoodService Products
|
|
|
|
59.0
|
|
|
|
|
59.9
|
|
|
|
|
(0.9
|
)
|
|
|
(1.5
|
)
|
|
|
|
244.2
|
|
|
|
|
238.8
|
|
|
|
|
5.4
|
|
|
|
2.3
|
|
Total
|
|
|
$
|
790.0
|
|
|
|
$
|
724.0
|
|
|
|
$
|
66.0
|
|
|
|
9.1
|
%
|
|
|
$
|
3,204.0
|
|
|
|
$
|
2,943.0
|
|
|
|
$
|
261.0
|
|
|
|
8.9
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Earnings Before Interest and Income Taxes
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Carlisle Construction Materials
|
|
|
$
|
58.8
|
|
|
|
$
|
67.0
|
|
|
|
$
|
(8.2
|
)
|
|
|
(12.2
|
)%
|
|
|
$
|
268.8
|
|
|
|
$
|
264.0
|
|
|
|
$
|
4.8
|
|
|
|
1.8
|
%
|
Carlisle Interconnect Technologies
|
|
|
|
33.5
|
|
|
|
|
24.0
|
|
|
|
|
9.5
|
|
|
|
39.6
|
|
|
|
|
132.2
|
|
|
|
|
89.4
|
|
|
|
|
42.8
|
|
|
|
47.9
|
|
Carlisle Brake & Friction
|
|
|
|
0.7
|
|
|
|
|
4.9
|
|
|
|
|
(4.2
|
)
|
|
|
(85.7
|
)
|
|
|
|
26.8
|
|
|
|
|
33.5
|
|
|
|
|
(6.7
|
)
|
|
|
(20.0
|
)
|
Carlisle FoodService Products
|
|
|
|
6.7
|
|
|
|
|
7.6
|
|
|
|
|
(0.9
|
)
|
|
|
(11.8
|
)
|
|
|
|
29.6
|
|
|
|
|
27.0
|
|
|
|
|
2.6
|
|
|
|
9.6
|
|
Corporate
|
|
|
|
(10.7
|
)
|
|
|
|
(11.1
|
)
|
|
|
|
0.4
|
|
|
|
3.6
|
|
|
|
|
(49.1
|
)
|
|
|
|
(47.1
|
)
|
|
|
|
(2.0
|
)
|
|
|
(4.2
|
)
|
Total
|
|
|
$
|
89.0
|
|
|
|
$
|
92.4
|
|
|
|
$
|
(3.4
|
)
|
|
|
(3.7
|
)%
|
|
|
$
|
408.3
|
|
|
|
$
|
366.8
|
|
|
|
$
|
41.5
|
|
|
|
11.3
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
EBIT Margins
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Carlisle Construction Materials
|
|
|
|
12.7
|
%
|
|
15.2
|
%
|
|
|
|
|
|
|
|
|
13.9
|
%
|
|
14.9
|
%
|
|
|
|
|
|
Carlisle Interconnect Technologies
|
|
|
|
17.5
|
|
|
|
|
16.8
|
|
|
|
|
|
|
|
|
|
|
|
19.8
|
|
|
|
|
15.5
|
|
|
|
|
|
|
|
|
Carlisle Brake & Friction
|
|
|
|
0.9
|
|
|
|
|
6.1
|
|
|
|
|
|
|
|
|
|
|
|
7.5
|
|
|
|
|
9.6
|
|
|
|
|
|
|
|
|
Carlisle FoodService Products
|
|
|
|
11.4
|
|
|
|
|
12.7
|
|
|
|
|
|
|
|
|
|
|
|
12.1
|
|
|
|
|
11.3
|
|
|
|
|
|
|
|
|
Corporate
|
|
|
|
(1.4
|
)
|
|
|
|
(1.5
|
)
|
|
|
|
|
|
|
|
|
|
|
(1.5
|
)
|
|
|
|
(1.6
|
)
|
|
|
|
|
|
|
|
Total
|
|
|
|
11.3
|
%
|
|
12.8
|
%
|
|
|
|
|
|
|
|
|
12.7
|
%
|
|
12.5
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Carlisle Companies Incorporated
|
Condensed Consolidated Balance Sheets
|
|
|
|
|
|
|
|
|
|
|
|
|
December 31,
|
|
December 31,
|
(in millions except share and per share amounts)
|
|
|
2014
|
|
|
2013
|
|
|
|
(Unaudited)
|
|
|
|
|
Assets
|
|
|
|
|
|
|
|
|
Current assets:
|
|
|
|
|
|
|
|
|
Cash and cash equivalents
|
|
|
$
|
730.8
|
|
|
|
$
|
754.5
|
|
Receivables, net of allowance of $4.8 in 2014 and $3.3 in 2013
|
|
|
|
439.2
|
|
|
|
|
399.6
|
|
Inventories
|
|
|
|
339.1
|
|
|
|
|
298.8
|
|
Deferred income taxes
|
|
|
|
35.4
|
|
|
|
|
35.7
|
|
Prepaid expenses and other current assets
|
|
|
|
67.0
|
|
|
|
|
46.4
|
|
Total current assets
|
|
|
|
1,611.5
|
|
|
|
|
1,535.0
|
|
|
|
|
|
|
|
|
|
|
Property, plant, and equipment, net of accumulated depreciation
|
|
|
|
547.3
|
|
|
|
|
497.2
|
|
|
|
|
|
|
|
|
|
|
Other assets:
|
|
|
|
|
|
|
|
|
Goodwill, net
|
|
|
|
964.5
|
|
|
|
|
858.7
|
|
Other intangible assets, net
|
|
|
|
611.7
|
|
|
|
|
579.8
|
|
Other long-term assets
|
|
|
|
23.7
|
|
|
|
|
22.3
|
|
Total other assets
|
|
|
|
1,599.9
|
|
|
|
|
1,460.8
|
|
|
|
|
|
|
|
|
|
|
TOTAL ASSETS
|
|
|
$
|
3,758.7
|
|
|
|
$
|
3,493.0
|
|
|
|
|
|
|
|
|
|
|
Liabilities and Shareholders' Equity
|
|
|
|
|
|
|
|
|
Current liabilities:
|
|
|
|
|
|
|
|
|
Accounts payable
|
|
|
$
|
198.0
|
|
|
|
$
|
187.0
|
|
Accrued expenses
|
|
|
|
176.3
|
|
|
|
|
172.0
|
|
Deferred revenue
|
|
|
|
17.9
|
|
|
|
|
17.4
|
|
Total current liabilities
|
|
|
|
392.2
|
|
|
|
|
376.4
|
|
|
|
|
|
|
|
|
|
|
Long-term liabilities:
|
|
|
|
|
|
|
|
|
Long-term debt
|
|
|
|
749.8
|
|
|
|
|
751.0
|
|
Deferred revenue
|
|
|
|
151.1
|
|
|
|
|
143.6
|
|
Other long-term liabilities
|
|
|
|
260.6
|
|
|
|
|
235.9
|
|
Total long-term liabilities
|
|
|
|
1,161.5
|
|
|
|
|
1,130.5
|
|
|
|
|
|
|
|
|
|
|
Shareholders' equity:
|
|
|
|
|
|
|
|
|
Preferred stock, $1 par value per share. Authorized and unissued
5,000,000 shares
|
|
|
|
-
|
|
|
|
|
-
|
|
Common stock, $1 par value per share. Authorized 100,000,000 shares;
|
|
|
|
|
|
|
|
|
78,661,248 shares issued; 64,691,059 outstanding in 2014 and
63,658,777
|
|
|
|
|
|
|
|
|
outstanding in 2013
|
|
|
|
78.7
|
|
|
|
|
78.7
|
|
Additional paid-in capital
|
|
|
|
247.8
|
|
|
|
|
201.1
|
|
Deferred Compensation - Equity
|
|
|
|
6.0
|
|
|
|
|
3.0
|
|
Cost of shares in treasury - 13,723,201 shares in 2014 and 14,761,481
|
|
|
|
|
|
|
|
|
shares in 2013
|
|
|
|
(200.1
|
)
|
|
|
|
(209.5
|
)
|
Accumulated other comprehensive loss
|
|
|
|
(61.8
|
)
|
|
|
|
(31.5
|
)
|
Retained earnings
|
|
|
|
2,134.4
|
|
|
|
|
1,944.3
|
|
Total shareholders' equity
|
|
|
|
2,205.0
|
|
|
|
|
1,986.1
|
|
|
|
|
|
|
|
|
|
|
TOTAL LIABILITIES AND SHAREHOLDERS' EQUITY
|
|
|
$
|
3,758.7
|
|
|
|
$
|
3,493.0
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Carlisle Companies Incorporated
|
Unaudited Condensed Consolidated Statements of Cash Flows
|
|
|
|
For the Years Ended December 31,
|
(in millions)
|
|
|
2014
|
|
|
2013
|
|
|
|
|
|
|
|
|
|
Operating activities
|
|
|
|
|
|
|
|
|
Net income
|
|
|
$
|
251.3
|
|
|
|
$
|
209.7
|
|
Reconciliation of net income to cash flows from operating activities:
|
|
|
|
|
|
|
|
|
Depreciation
|
|
|
|
64.7
|
|
|
|
|
75.4
|
|
Amortization
|
|
|
|
39.3
|
|
|
|
|
38.5
|
|
Non-cash compensation, net of tax benefit
|
|
|
|
3.3
|
|
|
|
|
11.9
|
|
Gain on sale of businesses
|
|
|
|
-
|
|
|
|
|
(6.2
|
)
|
Gain on sale of property and equipment, net
|
|
|
|
(0.9
|
)
|
|
|
|
(1.3
|
)
|
Impairment of assets
|
|
|
|
-
|
|
|
|
|
100.3
|
|
Deferred taxes
|
|
|
|
(9.9
|
)
|
|
|
|
(61.7
|
)
|
Foreign exchange (gain) loss
|
|
|
|
(2.0
|
)
|
|
|
|
0.1
|
|
Changes in assets and liabilities, excluding effects of acquisitions
and divestitures:
|
|
|
|
|
|
|
|
Receivables
|
|
|
|
(18.1
|
)
|
|
|
|
8.4
|
|
Inventories
|
|
|
|
(27.7
|
)
|
|
|
|
35.6
|
|
Prepaid expenses and other assets
|
|
|
|
(5.5
|
)
|
|
|
|
11.1
|
|
Accounts payable
|
|
|
|
(5.1
|
)
|
|
|
|
(20.6
|
)
|
Accrued expenses and deferred revenues
|
|
|
|
14.5
|
|
|
|
|
12.6
|
|
Long-term liabilities
|
|
|
|
(8.5
|
)
|
|
|
|
0.9
|
|
Other operating activities
|
|
|
|
0.5
|
|
|
|
|
-
|
|
Net cash provided by operating activities
|
|
|
|
295.9
|
|
|
|
|
414.7
|
|
|
|
|
|
|
|
|
|
|
Investing activities
|
|
|
|
|
|
|
|
|
Capital expenditures
|
|
|
|
(118.8
|
)
|
|
|
|
(110.8
|
)
|
Acquisitions, net of cash
|
|
|
|
(194.0
|
)
|
|
|
|
-
|
|
Proceeds from sale of property and equipment
|
|
|
|
5.3
|
|
|
|
|
11.9
|
|
Proceeds from sale of businesses
|
|
|
|
9.7
|
|
|
|
|
369.0
|
|
Net cash provided by (used in) investing activities
|
|
|
|
(297.8
|
)
|
|
|
|
270.1
|
|
|
|
|
|
|
|
|
|
|
Financing activities
|
|
|
|
|
|
|
|
|
Repayments of long-term debt
|
|
|
|
(1.5
|
)
|
|
|
|
(1.5
|
)
|
Debt issuance costs
|
|
|
|
-
|
|
|
|
|
(0.6
|
)
|
Acquisition date value of contingent consideration settled
|
|
|
|
-
|
|
|
|
|
(5.2
|
)
|
Dividends
|
|
|
|
(61.2
|
)
|
|
|
|
(53.7
|
)
|
Proceeds from issuance of treasury shares and stock options, net
|
|
|
|
42.5
|
|
|
|
|
19.5
|
|
Net cash used in financing activities
|
|
|
|
(20.2
|
)
|
|
|
|
(41.5
|
)
|
|
|
|
|
|
|
|
|
|
Effect of exchange rate changes on cash and cash equivalents
|
|
|
|
(1.6
|
)
|
|
|
|
(1.3
|
)
|
Change in cash and cash equivalents
|
|
|
|
(23.7
|
)
|
|
|
|
642.0
|
|
Cash and cash equivalents
|
|
|
|
|
|
|
|
|
Beginning of period
|
|
|
|
754.5
|
|
|
|
|
112.5
|
|
End of period
|
|
|
$
|
730.8
|
|
|
|
$
|
754.5
|
|
Source: Carlisle Companies Incorporated