Douglas Dynamics, Inc. Reports Unaudited Consolidated Earnings Results for the Fourth Quarter and Full Year Ended December 31, 2013; Provides Earnings Guidance for 2014
Mar 10 14
Douglas Dynamics, Inc. reported unaudited consolidated earnings results for the fourth quarter and full year ended December 31, 2013. For the quarter, the company reported net sales of $72,997,000 against $28,200,000 for the same period in the last year. The increase in sales during the quarter reflects increased demand related to higher than average snowfall levels across core markets compared to the fourth quarter of 2012, which saw lower than average snowfall and additional sales of products related to the business of TrynEx, Inc., which the company acquired in May of 2013. Income from operations was $16,787,000 against $1,712,000 for the same period in the last year. Income before taxes was $14,605,000 against loss before taxes of $419,000 for the same period in the last year. Net income attributable to common shareholders was $8,397,000 or $0.38 per diluted share against net loss attributable to common shareholders of $1,027,000 or $0.05 per diluted share for the same period in the last year. Included in the 2013 results are $0.1 million of non-cash purchase accounting adjustments related to the TrynEx acquisition. The company reported adjusted EBITDA of $19.8 million for the fourth quarter of 2013, compared to adjusted EBITDA of $4.2 million for the fourth quarter of 2012. EBITDA was $19,036,000 against $3,690,000 for the same period in the last year. Adjusted net income was $8.5 million or $0.38 per diluted share against adjusted net loss of $1.0 million or $0.05 per diluted share for the same period in the last year.
For the year, the company reported net sales of $194,320,000 against $140,033,000 for the same period in the last year. This increase was primarily driven by increased sales of both equipment units and parts and accessories, plus the addition of the TrynEx products. Income from operations was $27,506,000 against $18,869,000 for the same period in the last year. Income before taxes was $19,017,000 against $10,156,000 for the same period in the last year. Net income attributable to common shareholders was $11,460,000 or $0.51 per diluted share against $5,943,000 or $0.26 per diluted share for the same period in the last year. The full-year 2013 results include certain non-cash purchase accounting adjustments attributable to the acquisition of the TrynEx business in May 2013, which negatively impacted earnings per share in 2013 by $0.20. The adjustments of $4.5 million, net of tax, are primarily reflected in the increase in selling, general and administrative expenses of $12.0 million due to the $4.0 million in earn out compensation expenses recorded in conjunction with the acquisition. The company reported adjusted EBITDA of $44.6 million for the full year 2013, a 49.9% increase compared to adjusted EBITDA of $29.7 million for the full year 2012. For the full year 2013, the company reported net cash provided by operating activities of $32.2 million compared to net cash provided by operating activities of $15.6 million in 2012, an increase of $16.6 million. Capital expenditures were $2,775,000 against $1,446,000 for the same period in the last year. EBITDA was $36,038,000 against $26,567,000 for the same period in the last year. Adjusted net income was $12.0 million or $0.54 per diluted share against $6.0 million or $0.26 per diluted share for the same period in the last year.
Based on 2013 results, dealer sentiment and industry trends, the company expects net sales for the full year 2014 to range from $200 million to $260 million and adjusted EBITDA to range from $40 million to $70 million. Earnings per share are expected to range from $0.65 per share to $1.20 per share.
Douglas Dynamics Declares Quarterly Cash Dividend, Payable on March 31, 2014
Mar 10 14
Douglas Dynamics, Inc. announced that pursuant to the company's dividend policy its board of directors has declared a quarterly cash dividend of $0.2175 per share of the company's common stock. The quarterly cash dividend of $0.2175 per share represents an increase of 2.35% from the previous quarterly dividend. The declared $0.2175 per share cash dividend will be paid on March 31, 2014 to stockholders of record as of the close of business on March 21, 2014.
Douglas Dynamics, Inc. Announces Executive Changes
Mar 10 14
On March 5, 2014, Michael W. Wickham, a member of the board of directors of Douglas Dynamics, Inc. and its non-executive Chairman, notified the company of his intention to retire from serving as a member of the Board and as its non-executive Chairman when his term as a director expires at the time of the company's 2014 Annual Meeting of Stockholders. James L. Janik, the company's President and Chief Executive Officer, has been elected to succeed Mr. Wickham in the role of Chairman and will continue as President and Chief Executive Officer. In conjunction with this change, the board also appointed James D. Staley as its Lead Independent Director. Mr. Staley joined the Board of Douglas Dynamics in 2010 and currently serves on the Audit, Nominating and Governance and Compensation Committees.