FSLY = Fastly joins forces with Mozilla, Intel, and Red Hat in open-source community leveraging WebAssembly to create new cross-platform, cross-device computing runtime. Modern software applications and services are built from global repositories of shared components and frameworks, which greatly accelerate creation of new and better multi-device experiences. However, this leaves trust, data integrity, and system vulnerability factors largely unaddressed. Designed to eliminate potentially dangerous features within execution semantics and sandboxed environments, WebAssembly is an answer to these gaps. Because WebAssembly allows developers to compile and run their code across many devices and platforms — in any language they prefer — it has gained popularity among organizations that value secure, performant, cross-platform and cross-device runtime.
“We’re in a pivotal era for the computing landscape as we face this large opportunity to create a more trustworthy, reliable internet of the future,” commented Tyler McMullen, CTO of Fastly. “Fastly has committed to the power of WebAssembly and WASI, and takes the Bytecode Alliance’s mission to bring stronger, more widely accessible software development standards to the world seriously. We’re thrilled to join forces with such capable stewards of this mission in our partners.”
SPB = Spectrum Brands Holdings, Inc. (NYSE: SPB), a leading global branded consumer products company focused on driving innovation and providing exceptional customer service, today reported results from continuing operations for the fourth quarter of fiscal 2019 ended September 30, 2019.
“We ended the year strong, with Q4 organic sales growth of more than 3%, adjusted EBITDA growth of more than 5%, a significantly improved balance sheet and delivery of full-year results within our guidance,” said David Maura, Chairman and Chief Executive Officer of Spectrum Brands Holdings.
“We believe our actions this year reflect decisions that will drive long-term value creation and sustainable growth. Our accomplishments included materially reducing net debt, closing on the divestitures of two business units and returning over $350 million to our shareholders. We further plan to repurchase up to $250 million of our shares through a $125 million Accelerated Share Repurchase program beginning next week, and additional open market repurchases. This reflects our Board’s confidence in the long-term value of Spectrum Brands and its growth prospects. We have and will continue to drive vision, clarity and focus across our business units as we build a true ownership-mentality culture. Looking ahead, we plan to grow organic sales, EBITDA and adjusted free cash flow in 2020 and beyond,” said Mr. Maura.
Fiscal 2019 Highlights
- Reported sales decreased 0.2% after negative foreign exchange, and organic sales increased 1.4%.
- Net loss from continuing operations was $187 million, driven by impairments.
- Adjusted EBITDA stabilized and in line with guidance with increased investments across the divisions.
- Reduced total debt by $2.4 billion with proceeds from divestitures of the Global Battery & Lighting and Global Auto Care businesses.
- Launched Global Productivity Improvement Plan, expecting to improve overall annualized operating costs by at least $100 million within the next 18 to 24 months; with a substantial portion of the savings to be reinvested in growth-enabling activities including research and development and marketing.
- Returned over $350 million to shareholders through share repurchases of $269 million and $86 million in dividends.
- Issued $300 million in 5.00% 10-Year notes and tendered the majority of the $570 million of 6.625% notes due 2022.
- Incurred $60 million of cash tariffs in fiscal 2019 that were mostly offset with pricing and productivity.
- Strengthened the leadership team with the creation of the Chief Operating Officer role and the addition of a new Chief Financial Officer and General Counsel.
FY20 revenue consensus $3.84B. Fiscal 2020 adjusted EBITDA is expected to be between $570M-$590M, and adjusted free cash flow is expected to be between $240M-$260M.
TVTY = Tivity Health, Inc. (NASDAQ:TVTY) today announced financial results for the third quarter ended September 30, 2019.
Third-Quarter 2019 Financial Highlights
- Revenues increased 100.6% to $303.9 million, including nutrition segment revenues of $143.9 million. This compares to revenues of $151.5 million for the third quarter of 2018.
- Net income was $13.9 million compared to $25.4 million for the third quarter of 2018. Adjusted net income was $22.2 million compared to $25.4 million for the third quarter of 2018. Adjusted net income for the third quarter of 2019 is a non-GAAP financial measure and excludes a total of $5.5 million of pre-tax acquisition, integration, and restructuring costs incurred primarily in connection with the acquisition of Nutrisystem, $4.6 million of pre-tax amortization of intangible assets, and $0.7 million of tax adjustments related to the acquisition. See pages 11-13 for a reconciliation of non-GAAP financial measures.
- Net income per diluted share was $0.29 compared to $0.59 for the third quarter of 2018. Adjusted net income per diluted share was $0.46 compared to $0.59 for the third quarter of 2018. Adjusted net income per diluted share for the third quarter of 2019 is a non-GAAP financial measure and excludes $0.09 per diluted share related to acquisition, integration, and restructuring costs in connection with the Nutrisystem acquisition, $0.07 per diluted share related to amortization of intangible assets, and $0.01 per diluted share related to tax adjustments. See pages 11-13 for a reconciliation of non-GAAP financial measures.
- Adjusted EBITDA for the third quarter of 2019 was $56.8 million, which benefited from combined cost synergies of $2.9 million. Adjusted EBITDA includes $17.7 million from the Nutrition segment (inclusive of synergies) and excludes $5.5 million of acquisition, integration, and restructuring costs associated with the Nutrisystem acquisition. This compares to EBITDA of $36.6 million for the third quarter of 2018. See pages 11-13 for a reconciliation of non-GAAP financial measures.
NSYS = Nortech Systems Incorporated (Nasdaq: NSYS), a leading provider of engineering and manufacturing solutions for complex electromechanical products, reported net sales of $30.1 million for the third quarter ended September 30, 2019, compared with $29.6 million for the third quarter of 2018.
Operating income for the third quarter of 2019 was $713,000, which is a 10% increase compared to operating income of $649,000 for the third quarter of 2018. Net income for the third quarter of 2019 was $413,000, or $0.16 per diluted common share. This is a 13% increase compared to net income for third quarter of 2018 of $364,000, or $0.14 per diluted common share. September 30, 2019 backlog was $58.1 million vs. $43.1 million on September 30, 2018.
“We are pleased with our third quarter improvements in margin and operating income. Revenue met our expectations and our margins were positively impacted by the continuation of strategic operational efficiencies while we manage through component shortages,” said Jay D. Miller, president and CEO. “We continue to expect to deliver on our backlog for the remainder of the year, which is amongst the highest Nortech backlog in 10 years.”
The mission of Nortech Systems is to be the most trusted, innovative, and nimble design and manufacturing services and solutions provider, while taking great care of its employees, customers, and supplier partners.
ENR = Energizer Holdings, Inc. (NYSE: ENR) today announced results for the fourth fiscal quarter and full fiscal year, which ended September 30, 2019. For the fourth fiscal quarter, net earnings from continuing operations were $47.0 million, or $0.62 per diluted common share, compared to net earnings from continuing operations of $1.5 million, or $0.02 per diluted common share, in the prior year fourth quarter. Adjusted net earnings from continuing operations in the fourth quarter were $68.6 million, or $0.93 per diluted common share, compared to adjusted net earnings from continuing operations of $50.8 million, or $0.83 per diluted common share.
For the year, the Company reported net earnings from continuing operations of $64.7 million, or $0.78 per diluted common share, compared with net earnings from continuing operations of $93.5 million, or $1.52 per diluted common share, in the prior year. Adjusted net earnings from continuing operations for the current fiscal year were $216.1 million, or $3.00 per diluted common share, compared to $207.1 million in the prior fiscal year, or $3.37 per diluted common share.
“Fiscal 2019 was an important year in transforming Energizer into a diversified household products leader in Battery, Lights and Auto Care which will create significant value for our shareholders,” said Alan Hoskins, Chief Executive Officer. “Our organization did a terrific job achieving our full year financial objectives while making tremendous progress integrating the acquired battery and auto care businesses. Looking forward to fiscal year 2020, we expect a fifth consecutive year of organic revenue growth and a significant increase in our adjusted EBITDA and free cash flow, allowing us to continue investing in our business and reduce debt.”
FCEL = Uptrending after company announced on November 11, 2019, that it completed the restructuring phase of the Company’s transformation: November 5, 2019: Announced the conclusion of the engagement with Huron Consulting. Since June 2, 2019, Huron provided various services related to the Company’s restructuring and contingency planning initiatives. The Board’s decision was based on the outcome of many actions undertaken by Huron at the direction of the Board that led to the Company’s successful restructuring, including the rightsizing of the business, implementation of cost control measures, and the repayment of substantial corporate debt. November 6, 2019: Announced a new, 8-year $200 million strategic corporate loan facility with Orion Energy Partners. The facility is an integral part of the go-forward capital structure and operating strategy of the Company and will serve to support capital costs associated with completing inflight projects. The Company is planning to leverage the initial October/November 2019 draws totaling $80 million to primarily support execution of certain projects within the Company’s $2 billion project backlog. The balance of the Facility, or $120 million, will be available over the first 18 months to invest in additional project deployments, strategic growth initiatives and provide working capital as needed. November 6, 2019: Announced an expanded, two-year joint-development agreement with ExxonMobil to further enhance carbon capture technology. The agreement, valued at up to $60 million, will focus efforts on optimizing and enhancing the core carbonate fuel cell technology, accelerate overall process integration, and drive towards large-scale deployment of carbon capture solutions. During the period of restructuring, the Company executed a series of initiatives aimed at enhancing its financial and operational position. These significant efforts will enable the Company to deliver on current project commitments at a meaningfully lower cost and successfully scale to meet future growth needs.
“The last several months have been a defining time for FuelCell. While challenging, our organization pulled together and executed the restructuring phase of our strategy that will set us up to execute the next leg of our transformation. With the commitment and strategic investments from Orion Capital Partners and ExxonMobil, FuelCell’s opportunity is to accelerate our momentum now and build on our 50 year history leading the advancement of fuel cell technology,” noted Jason Few, President and Chief Executive Officer of FuelCell Energy. “While we still have work to do, I’m proud of the collective efforts of all FuelCell Energy team members. They never lost sight of the needs of our global client base and partners during this time. We have laid the foundation for profitable growth and are now on a path to restore this great Company to a position of industry leadership across all metrics. Our leadership team looks forward to unveiling our go-forward strategy in early 2020.”