Quarterly report pursuant to Section 13 or 15(d)

Segment Information (Tables)

v3.19.1
Segment Information (Tables)
6 Months Ended
Mar. 31, 2019
Segment Reporting [Abstract]  
Information About the Company's Segments
 
 
Three Months Ended
March 31,
 
Six Months Ended
March 31,
 
 
2019
 
2018
 
2019
 
2018
Sales:
 
 
SGK Brand Solutions
 
$
190,651

 
$
207,052

 
$
375,951

 
$
398,818

Memorialization
 
162,176

 
168,689

 
316,062

 
313,578

Industrial Technologies
 
38,573

 
38,320

 
73,564

 
71,119

Consolidated Sales
 
$
391,400

 
$
414,061

 
$
765,577

 
$
783,515

Adjusted EBITDA:
 
 
 
 
 
 
 
 
SGK Brand Solutions
 
$
29,370

 
$
35,099

 
$
56,721

 
$
65,951

Memorialization
 
34,965

 
39,478

 
65,286

 
67,921

Industrial Technologies
 
4,792

 
4,881

 
8,387

 
8,568

Corporate and Non-Operating
 
(12,939
)
 
(17,003
)
 
(27,725
)
 
(33,489
)
Total Adjusted EBITDA
 
$
56,188

 
$
62,455

 
$
102,669

 
$
108,951

 
 
 
 
 
 
 
 
 
Acquisition costs (1)**
 
(3,374
)
 
(3,859
)
 
(5,406
)
 
(5,790
)
ERP integration costs (2)**
 
(1,805
)
 
(3,541
)
 
(3,982
)
 
(5,568
)
Strategic initiatives and other charges (3)**
 
(2,112
)
 
(1,568
)
 
(2,112
)
 
(2,215
)
Loss on divestiture (4)
 

 

 
(4,465
)
 

Stock-based compensation
 
(1,366
)
 
(2,658
)
 
(5,013
)
 
(8,132
)
Non-service pension and postretirement expense (5)
 
(970
)
 
(1,425
)
 
(1,901
)
 
(2,850
)
Depreciation and amortization *
 
(21,050
)
 
(19,748
)
 
(40,276
)
 
(36,986
)
Interest expense
 
(10,259
)
 
(9,262
)
 
(20,560
)
 
(17,063
)
Net loss attributable to noncontrolling interests
 
(223
)
 
(110
)
 
(336
)
 
(132
)
Income before income taxes
 
15,029

 
20,284

 
18,618

 
30,215

Income tax (provision) benefit
 
165

 
(2,212
)
 
(440
)
 
23,015

Net income
 
$
15,194

 
$
18,072

 
$
18,178

 
$
53,230

(1) Includes certain non-recurring costs associated with recent acquisition activities.
(2) Represents costs associated with global ERP system integration efforts.
(3) Includes certain non-recurring costs associated with productivity and cost-reduction initiatives intended to result in improved operating performance, profitability and working capital levels. 
(4) Represents a loss on the sale of a controlling interest in a Memorialization business.
(5) Non-service pension and postretirement expense includes interest cost, expected return on plan assets and amortization of actuarial gains and losses. These benefit cost components are excluded from adjusted EBITDA since they are primarily influenced by external market conditions that impact investment returns and interest (discount) rates. The service cost and prior service cost components of pension and postretirement expense are included in the calculation of adjusted EBITDA, since they are considered to be a better reflection of the ongoing service-related costs of providing these benefits. Please note that GAAP pension and postretirement expense or the adjustment above are not necessarily indicative of the current or future cash flow requirements related to these employee benefit plans.
* Depreciation and amortization was $13,165 and $11,827 for the SGK Brand Solutions segment, $5,039 and $5,172 for the Memorialization segment, $1,559 and $1,476 for the Industrial Technologies segment, and $1,287 and $1,273 for Corporate and Non-Operating, for the three months ended March 31, 2019 and 2018, respectively. Depreciation and amortization was $24,607 and $22,832 for the SGK Brand Solutions segment, $10,058 and $9,314 for the Memorialization segment, $3,085 and $2,602 for the Industrial Technologies segment, and $2,526 and $2,238 for Corporate and Non-Operating, for the six months ended March 31, 2019 and 2018, respectively.
** Acquisition costs, ERP integration costs, and strategic initiatives and other charges were $2,808 and $1,535 for the SGK Brand Solutions segment and $4,483 and $6,294 for Corporate and Non-Operating, for the three months ended March 31, 2019 and 2018, respectively. Acquisition costs, ERP integration costs, and strategic initiatives and other charges were $642 for the Memorialization segment and $497 for the Industrial Technologies segment for the three months ended March 31, 2018. Acquisition costs, ERP integration costs, and strategic initiatives and other charges were $3,409 and $3,185 for the SGK Brand Solutions segment and $8,091 and $8,871 for Corporate and Non-Operating, for the six months ended March 31, 2019 and 2018, respectively. Acquisition costs, ERP integration costs, and strategic initiatives and other charges were $930 for the Memorialization segment and $587 for the Industrial Technologies segment for the six months ended March 31, 2018.