• Brady Corporation Provides Recast Historical Data for new Operating Segments

    المصدر: Nasdaq GlobeNewswire / 24 فبراير 2023 07:05:47   America/New_York

    MILWAUKEE, Feb. 24, 2023 (GLOBE NEWSWIRE) -- Brady Corporation (NYSE: BRC) (“Brady” or “Company”) is providing recast historical financial data for fiscal 2021, 2022 and the first two quarters of fiscal 2023 for its new operating segments announced on December 1, 2022, which are effective in the Company’s third quarter of fiscal 2023.

    The Company has recast its historical financial data to disclose sales and segment profit for its two new operating segments: Americas & Asia and Europe & Australia. This change to a regional operating structure will allow the Company to further integrate its businesses, support continued growth through the application of its best go-to-market strategies in key geographies, facilitate new product development in its recent acquisitions and further simplify its global business.   The Company expects that the change to a regional structure will result in an improvement of approximately $0.10 to $0.20 of Earnings per diluted Class A Common Share beginning primarily in fiscal 2024. One-time charges resulting from employee severance are expected to be largely offset by reduced costs in fiscal 2023.

    The following tables provide recast segment sales, segment profit, and sales growth data by quarter for fiscal years 2021, 2022 and the first two quarters of fiscal 2023. This recast does not represent a restatement of previously issued financial statements and does not affect the Company’s reported net income, earnings per share, total assets or stockholders’ equity for any of the previously reported periods.

    Brady Corporation is an international manufacturer and marketer of complete solutions that identify and protect people, products and places. Brady’s products help customers increase safety, security, productivity and performance and include high-performance labels, signs, safety devices, printing systems and software.   Founded in 1914, the Company has a diverse customer base in electronics, telecommunications, manufacturing, electrical, construction, medical, aerospace and a variety of other industries. Brady is headquartered in Milwaukee, Wisconsin and as of July 31, 2022, employed approximately 5,700 people in its worldwide businesses. Brady’s fiscal 2022 sales were approximately $1.30 billion. Brady stock trades on the New York Stock Exchange under the symbol BRC. More information is available on the Internet at www.bradyid.com.

    In this news release, statements that are not reported financial results or other historic information are “forward-looking statements.” These forward-looking statements relate to, among other things, the Company's future financial position, business strategy, targets, projected sales, costs, income, capital expenditures, debt levels and cash flows, and plans and objectives of management for future operations.

    The use of words such as “may,” “will,” “expect,” “intend,” “estimate,” “anticipate,” “believe,” “should,” “project,” “plan” or similar terminology are generally intended to identify forward-looking statements. These forward-looking statements by their nature address matters that are, to different degrees, uncertain and are subject to risks, assumptions, and other factors, some of which are beyond Brady’s control, that could cause actual results to differ materially from those expressed or implied by such forward-looking statements. For Brady, uncertainties arise from: increased cost of raw materials, labor and freight as well as raw material shortages and supply chain disruptions; decreased demand for our products; our ability to compete effectively or to successfully execute our strategy; our ability to develop technologically advanced products that meet customer demands; Brady’s ability to identify, integrate, and grow acquired companies, and to manage contingent liabilities from divested businesses; adverse impacts of the novel coronavirus (“COVID-19”) pandemic or other pandemics; difficulties in protecting our websites, networks, and systems against security breaches; risks associated with the loss of key employees; extensive regulations by U.S. and non-U.S. governmental and self-regulatory entities; litigation, including product liability claims; foreign currency fluctuations; potential write-offs of goodwill and other intangible assets; changes in tax legislation and tax rates; differing interests of voting and non-voting shareholders; numerous other matters of national, regional and global scale, including major public health crises and government responses thereto and those of a political, economic, business, competitive, and regulatory nature contained from time to time in Brady’s U.S. Securities and Exchange Commission filings, including, but not limited to, those factors listed in the “Risk Factors” section within Item 1A of Part I of Brady’s Form 10-K for the year ended July 31, 2022.

    These uncertainties may cause Brady's actual future results to be materially different than those expressed in its forward-looking statements. Brady does not undertake to update its forward-looking statements except as required by law.



    BRADY CORPORATION AND SUBSIDIARIES
    RECAST SEGMENT INFORMATION
    (Unaudited; Dollars in thousands)
            
    The following table represents segment sales, sales growth information, and segment profit for the three and six months ended January 31, 2023 and 2022 recast to reflect the Company's regional operating structure effective February 1, 2023.
            
            
            
     Three months ended January 31, Six months ended January 31,
      2023   2022   2023   2022 
    NET SALES       
    Americas & Asia$220,067  $207,842  $438,562  $420,713 
    Europe & Australia 106,182   110,213   210,256   218,817 
    Total$326,249  $318,055  $648,818  $639,530 
            
    SALES INFORMATION       
    Americas & Asia       
    Organic 6.9%  13.9%  5.4%  11.6%
    Currency (1.0)%  0.0%  (1.2)%  0.4%
    Acquisition %  8.1%  %  8.2%
    Total 5.9%  22.0%  4.2%  20.2%
    Europe & Australia       
    Organic 5.2%  11.7%  8.9%  7.1%
    Currency (8.9)%  (5.8)%  (12.8)%  (2.6)%
    Acquisition %  9.6%  %  8.9%
    Total (3.7)%  15.5%  (3.9)%  13.4%
    Total Company       
    Organic 6.3%  13.1%  6.6%  10.0%
    Currency (3.7)%  (2.1)%  (5.1)%  (0.7)%
    Acquisition %  8.6%  %  8.5%
    Total 2.6%  19.6%  1.5%  17.8%
            
    SEGMENT PROFIT       
    Americas & Asia$40,174  $32,331  $81,319  $69,638 
    Europe & Australia 13,459   16,313   30,217   30,115 
    Total$53,633  $48,644  $111,536  $99,753 
    SEGMENT PROFIT AS A PERCENT OF NET SALES       
    Americas & Asia 18.3%  15.6%  18.5%  16.6%
    Europe & Australia 12.7%  14.8%  14.4%  13.8%
    Total 16.4%  15.3%  17.2%  15.6%
            
            
     Three months ended January 31, Six months ended January 31,
      2023   2022   2023   2022 
    Total segment profit$53,633  $48,644  $111,536  $99,753 
    Unallocated amounts:       
    Administrative costs (4,852)  (5,772)  (11,369)  (12,546)
    Investment and other income (expense) 968   (578)  811   (35)
    Interest expense (1,239)  (252)  (2,133)  (434)
    Income before income taxes$48,510  $42,042  $98,845  $86,738 
            


    BRADY CORPORATION AND SUBSIDIARIES          
    RECAST SEGMENT INFORMATION          
    (Unaudited; Dollars in thousands)          
                            
    The following table provides recast segment sales, sales growth information, and segment profit for each of the quarters in the six-month period ended January 31, 2023, and for the fiscal years ended July 31, 2022 and 2021. This recast does not represent a restatement of previously issued financial statements and does not affect the Company's reported net income, earnings per share, total assets or shareholders' equity for any of the previously reported periods.          
                            
     2023 2022 2021
     Q1 Q2 Q1 Q2 Q3 Q4 Full Year Q1 Q2 Q3 Q4 Full Year
    NET SALES                       
    Americas & Asia$218,495 $220,067 $212,871 $207,842 $222,579 $217,792 $861,084 $179,712 $170,430 $189,074 $196,366 $735,582
    Europe & Australia 104,074  106,182  108,604  110,213  115,972  106,189  440,978  97,515  95,408  106,429  109,764  409,116
    Total$322,569 $326,249 $321,475 $318,055 $338,551 $323,981 $1,302,062 $277,227 $265,838 $295,503 $306,130 $1,144,698
                            
    SALES INFORMATION                       
    Americas & Asia                       
    Organic 4.0%  6.9%  9.3%  13.9%  9.2%  9.1%  10.3%  (7.9)%  (7.3)%  7.8%  18.0%  1.9%
    Currency (1.4)%  (1.0)%  0.9%  0.0%  (0.1)%  (1.0)%  (0.1)%  (0.4)%  0.1%  1.1%  1.9%  0.6%
    Acquisition —%  —%  8.3%  8.1%  8.6%  2.8%  6.9%  —%  —%  —%  3.7%  0.8%
    Total 2.6%  5.9%  18.5%  22.0%  17.7%  10.9%  17.1%  (8.3)%  (7.2)%  8.9%  23.6%  3.3%
    Europe & Australia                       
    Organic 12.8%  5.2%  2.6%  11.7%  8.5%  8.8%  7.9%  1.5%  (4.4)%  4.2%  3.2%  1.1%
    Currency (17.0)%  (8.9)%  0.6%  (5.8)%  (8.2)%  (13.9)%  (7.0)%  5.6%  7.0%  11.0%  8.6%  8.1%
    Acquisition —%  —%  8.2%  9.6%  8.7%  1.8%  6.9%  —%  —%  —%  6.3%  1.6%
    Total (4.2)%  (3.7)%  11.4%  15.5%  9.0%  (3.3)%  7.8%  7.1%  2.6%  15.2%  18.1%  10.8%
    Total Company                       
    Organic 6.9%  6.3%  7.0%  13.1%  9.0%  9.0%  9.4%  (4.9)%  (6.3)%  6.5%  12.6%  1.6%
    Currency (6.6)%  (3.7)%  0.7%  (2.1)%  (3.0)%  (5.7)%  (2.6)%  1.5%  2.4%  4.6%  4.3%  3.2%
    Acquisition —%  —%  8.3%  8.6%  8.6%  2.5%  6.9%  —%  —%  —%  4.7%  1.1%
    Total 0.3%  2.6%  16.0%  19.6%  14.6%  5.8%  13.7%  (3.4)%  (3.9)%  11.1%  21.6%  5.9%
                            
    SEGMENT PROFIT                       
    Americas & Asia$41,145 $40,174 $37,307 $32,331 $45,021 $42,648 $157,307 $35,939 $30,558 $37,309 $32,829 $136,635
    Europe & Australia 16,758  13,459  13,802  16,313  16,050  16,893  63,058  12,328  11,905  15,886  15,238  55,357
    Total$57,903 $53,633 $51,109 $48,644 $61,071 $59,541 $220,365 $48,267 $42,463 $53,195 $48,067 $191,992
    SEGMENT PROFIT AS A PERCENT OF NET SALES                       
    Americas & Asia 18.8%  18.3%  17.5%  15.6%  20.2%  19.6%  18.3%  20.0%  17.9%  19.7%  16.7%  18.6%
    Europe & Australia 16.1%  12.7%  12.7%  14.8%  13.8%  15.9%  14.3%  12.6%  12.5%  14.9%  13.9%  13.5%
    Total 18.0%  16.4%  15.9%  15.3%  18.0%  18.4%  16.9%  17.4%  16.0%  18.0%  15.7%  16.8%
                            
                            
     2023 2022 2021
     Q1 Q2 Q1 Q2 Q3 Q4 Full Year Q1 Q2 Q3 Q4 Full Year
    Total segment profit$57,903 $53,633 $51,109 $48,644 $61,071 $59,541 $220,365 $48,267 $42,463 $53,195 $48,067 $191,992
    Unallocated amounts:                       
    Administrative costs (6,517)  (4,852)  (6,774)  (5,772)  (8,182)  (6,625)  (27,353)  (6,079)  (5,051)  (6,470)  (7,265)  (24,865)
    Investment and other (expense) income (157)  968  543  (578)  (1,308)  1,587  244  155  2,036  1,181  961  4,333
    Interest expense (894)  (1,239)  (182)  (252)  (329)  (513)  (1,276)  (106)  (51)  (131)  (149)  (437)
    Income before income taxes and losses of unconsolidated affiliate$50,335 $48,510 $44,696 $42,042 $51,252 $53,990 $191,980 $42,237 $39,397 $47,775 $41,614 $171,023
                            

    For More Information:
    Investor contact: Ann Thornton 414-438-6887
    Media contact: Kate Venne 414-358-5176


    Primary Logo

شارك على،