Dorel reports Q4 and 2015 year-end results
Montreal, Qc - 3/10/2016
Dorel Industries Inc. (TSX: DII.B, DII.A) today announced results for the fourth quarter and full year ended December 30, 2015. Revenue for the fourth quarter was US$668.9 million down 4.6% from US$701.0 million a year ago. Organic revenue, adjusted for foreign exchange variation rates and business acquisitions, increased by approximately 4% in the quarter. Adjusted net income for the fourth quarter was US$14.1 million or US$0.43 per diluted share compared to adjusted net income of US$11.0 million or US$0.34 per diluted share in the fourth quarter of 2014. Adjusted net income increased despite a net negative after-tax impact of approximately US$9.0 million, or US$0.28 per diluted share, due to the effect of the appreciation of the US dollar versus the prior year. Reported net income for the quarter was US$6.6 million or US$0.20 per diluted share compared to a reported net loss of US$80.7 million or a net loss of US$2.50 per diluted share in 2014.
Revenue for the full year remained flat compared to the previous year at US$2.68 billion, with an organic revenue increase of approximately 4%. Adjusted net income for the year was US$58.0 million or US$1.78 per diluted share compared to adjusted net income of US$84.0 million or US$2.59 per diluted share in 2014. The net negative after-tax impact year-over-year of the appreciation of the US dollar versus the prior year was approximately US$35 million or US$1.08 per diluted share. Reported net income was US$25.7 million or US$0.79 per diluted share, compared to a reported net loss of US$21.3 million or a net loss of US$0.66 per diluted share a year ago.
As detailed below, the reported net income (loss) includes impairment losses on goodwill and intangible assets, restructuring and other costs and remeasurement of forward purchase agreement liabilities totalling US$32.3 million or US$0.99 per diluted share in 2015 and US$105.2 million or US$3.25 per diluted share in 2014. As such, the Company is presenting adjusted financial information as it believes that excluding these items is a more meaningful comparison of its core business performance between the periods presented. Contained within this press release are reconciliations of non-GAAP financial measures to the most directly comparable financial measures calculated in accordance with GAAP.
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