PITTSBURGH, Jan. 26, 2017 /PRNewswire/ -- WESCO International, Inc. (NYSE: WCC), a
leading provider of electrical, industrial, and communications MRO and OEM products, construction materials, and advanced supply
chain management and logistics services, announces its results for the fourth quarter and full year 2016.
Mr. John J. Engel, WESCO's Chairman and Chief Executive Officer, stated, "Fourth quarter
results were in line with our expectations, and results for the full year were within the outlook range provided in December
2015. Normalized organic sales declined versus prior year but grew sequentially, reflecting improving momentum in our
business, and our first Q4 sequential sales growth in five years. Operating margin was also in line with our expectations, as we
took additional actions to reduce our costs and improve productivity. Free cash flow generation remained strong, enabling us
to reduce our debt and get back within our target financial leverage range."
The following are results for the three months ended December 31, 2016 compared to the three months ended
December 31, 2015:
- Net sales were $1.79 billion for the fourth quarter of 2016, compared to $1.86 billion for the fourth quarter of 2015, a decrease of 3.7%. Acquisitions had a 1.8% positive impact on
net sales and were offset by a 1.6% impact from number of workdays and a 0.3% impact from foreign exchange rates, resulting in
a 3.6% decrease in normalized organic sales. Sequentially, net sales decreased 3.3% and normalized organic sales increased
0.3%.
- Cost of goods sold for the fourth quarter of 2016 was $1.44 billion and gross profit was
$348.6 million, compared to cost of goods sold and gross profit of $1.50
billion and $363.5 million for the fourth quarter of 2015, respectively. As a percentage
of net sales, gross profit was 19.4% and 19.5% for the fourth quarters of 2016 and 2015, respectively.
- Selling, general, and administrative ("SG&A") expenses were $249.9 million, or 13.9% of
net sales for the fourth quarter of 2016, compared to $256.9 million, or 13.8% of net sales, for
the fourth quarter of 2015.
- Operating profit was $82.1 million for the current quarter, compared to $90.0 million for the fourth quarter of 2015. Operating profit as a percentage of net sales was 4.6% for the
fourth quarter of 2016, compared to 4.8% for the fourth quarter of 2015.
- Interest expense for the fourth quarter of 2016 was $17.5 million, compared to $9.9 million for the fourth quarter of 2015. Non-cash interest expense for the fourth quarter of 2016 and
2015, which includes amortization of debt discounts and deferred financing fees, and interest related to uncertain tax
positions, was expense of $1.7 million and income of $6.5 million,
respectively. In the fourth quarter of 2015, the resolution of transfer pricing matters associated with previously filed tax
positions resulted in non-cash interest income.
- The effective tax rate for the current quarter was 26.0%, compared to 39.3% for the prior year fourth quarter. The
resolution of the transfer pricing matter described above increased the effective tax rate for the fourth quarter of 2015.
- Net income attributable to WESCO International, Inc. was $47.4 million for the fourth quarter
of 2016, compared to net income of $48.4 million for the fourth quarter of 2015.
- Earnings per diluted share was $0.96 for the fourth quarter of 2016, based on 49.2 million
diluted shares, compared to earnings per diluted share of $1.03 for the fourth quarter of 2015,
based on 47.2 million diluted shares.
- Operating cash flow for the fourth quarter of 2016 was $83.0 million, compared to
$107.1 million for the fourth quarter of 2015. Free cash flow for the fourth quarter of 2016 was
$78.2 million, or 164% of net income, compared to $101.6 million,
or 209% of net income for the fourth quarter of 2015.
The following are results for the year ended December 31, 2016 compared to the year ended December 31, 2015:
- Net sales were $7.34 billion for 2016, compared to $7.52
billion for 2015, a decrease of 2.4%. Acquisitions and number of workdays had positive impacts on net sales of 3.1% and
0.4%, respectively, and were partially offset by a 1.0% impact from foreign exchange rates, resulting in a 4.9% decrease in
normalized organic sales.
- Cost of goods sold for 2016 was $5.89 billion and gross profit was $1.45 billion, compared to cost of goods sold and gross profit of $6.02 billion
and $1.49 billion for 2015, respectively. As a percentage of net sales, gross profit was 19.7%
and 19.9% for 2016 and 2015, respectively.
- Selling, general, and administrative ("SG&A") expenses were $1.0 billion, or 14.3% of net
sales for 2016, compared to $1.1 billion, or 14.0% of net sales, for 2015.
- Operating profit was $332.0 million for 2016, compared to $373.7
million for 2015. Operating profit as a percentage of net sales was 4.5% for 2016, compared to 5.0% for 2015.
- Interest expense for 2016 was $76.6 million, compared to $69.8
million for 2015. Non-cash interest expense for 2016 and 2015, which includes amortization of debt discounts and
deferred financing fees, and interest related to uncertain tax positions, was $7.8 million and
$3.5 million, respectively. In 2015, the resolution of transfer pricing matters associated with
previously filed tax positions resulted in non-cash interest income.
- Loss on debt redemption of $123.9 million for 2016 was the result of a non-cash charge from
the early redemption of the Company's 6.0% Convertible Senior Debentures due 2029 in the third quarter of 2016.
- The effective tax rate for 2016 was 23.1%, compared to 31.4% for 2015. The effective tax rate for the current year was
positively impacted by the loss on debt redemption, whereas the resolution of the transfer pricing matter described above
resulted in incremental income tax expense in 2015.
- Net income attributable to WESCO International, Inc. was $101.6 million for 2016, compared to
$210.7 million for 2015. Adjusted net income attributable to WESCO International, Inc. for 2016
was $184.3 million.
- Earnings per diluted share for 2016 was $2.10 per share, based on 48.3 million diluted
shares, compared to $4.18 per share for 2015, based on 50.4 million diluted shares. Adjusted
earnings per diluted share for 2016 was $3.80.
- Operating cash flow for 2016 was $300.2 million, compared to $283.1
million for 2015. Free cash flow for 2016 of $282.2 million, or 154% of adjusted net
income, compared to $261.4 million, or 125% of net income for 2015.
Mr. Engel continued, "On a full year basis, our 2016 results reflect the challenging economic and end market environment, as
well as the impact of political uncertainty on spending in the industries we serve. We responded to these challenges by
reducing our costs and streamlining our organization while ensuring continued strong free cash flow generation. These
actions partially mitigated the impact of lower sales and business mix on earnings per share. We remain focused on executing our
One WESCO strategy, and as a result of our organizational changes and continued execution of our business initiatives, we
are entering 2017 with a stronger team focused on driving increased profitability as our end markets return to growth. The free
cash flow generation capability of our business supports continued investment in our One WESCO growth initiatives, including
acquisitions, along with our other cash allocation priorities. We reaffirm our expectation of 2017 sales in the range of flat to
up 4%, EPS of $3.60 to $4.00 per diluted share, and free cash flow generation of at least 90% of
net income, as we outlined in our investor outlook call in December."
Mr. Engel added, "After two years of industry sales declines and talk of an industrial recession, we are pleased to hear
increased optimism from customers and see the beginning signs of a recovery. In this period of change and uncertainty,
customers and suppliers need strong and reliable supply chain partners. WESCO provides leading supply chain solutions supported
by our broad portfolio of products and value-added services. Our efforts are centered on providing outstanding customer service
and delivering value to our customers' operations and supply chains. I am very proud of the extra effort demonstrated by all
WESCO associates in serving our customers last year, and I am confident in our team's ability to improve our performance in
2017."
Webcast and Teleconference Access
WESCO will conduct a webcast and teleconference to discuss the fourth quarter earnings as described in this News Release on
Thursday, January 26, 2017, at 11:00 a.m. E.T. The call will be broadcast live over the
Internet and can be accessed from the Company's Website at http://www.wesco.com. The call will be archived on this Internet site for seven days.
WESCO International, Inc. (NYSE: WCC), a publicly traded Fortune 500 holding company headquartered in Pittsburgh, Pennsylvania, is a leading provider of electrical, industrial, and communications maintenance,
repair and operating (MRO) and original equipment manufacturers (OEM) products, construction materials, and advanced supply chain
management and logistic services. 2016 annual sales were approximately $7.3 billion. The company
employs approximately 9,000 people, maintains relationships with over 25,000 suppliers, and serves over 80,000 active customers
worldwide. Customers include commercial and industrial businesses, contractors, government agencies, institutions,
telecommunications providers, and utilities. WESCO operates nine fully automated distribution centers and approximately 500
full-service branches in North America and international markets, providing a local presence for
customers and a global network to serve multi-location businesses and multi-national corporations.
The matters discussed herein may contain forward-looking statements that are subject to certain risks and uncertainties
that could cause actual results to differ materially from expectations. Certain of these risks are set forth in the Company's
Annual Report on Form 10-K for the fiscal year ended December 31, 2015, as well as the Company's
other reports filed with the Securities and Exchange Commission.
WESCO INTERNATIONAL, INC.
|
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
|
(dollar amounts in millions, except per share amounts)
|
(Unaudited)
|
|
|
|
Three Months Ended
|
|
|
December 31,
2016
|
|
|
December 31,
2015
|
|
Net sales
|
$
|
1,793.3
|
|
|
|
$
|
1,861.5
|
|
|
Cost of goods sold (excluding
|
1,444.7
|
|
80.6
|
%
|
|
1,498.0
|
|
80.5
|
%
|
depreciation and amortization)
|
|
|
|
|
|
Selling, general and administrative expenses
|
249.9
|
|
13.9
|
%
|
|
256.9
|
|
13.8
|
%
|
Depreciation and amortization
|
16.6
|
|
|
|
16.6
|
|
|
Income from operations
|
82.1
|
|
4.6
|
%
|
|
90.0
|
|
4.8
|
%
|
Interest expense, net
|
17.5
|
|
|
|
9.9
|
|
|
Income before income taxes
|
64.6
|
|
3.6
|
%
|
|
80.1
|
|
4.3
|
%
|
Provision for income taxes
|
16.8
|
|
|
|
31.5
|
|
|
Net income
|
47.8
|
|
2.7
|
%
|
|
48.6
|
|
2.6
|
%
|
Net income attributable to noncontrolling interests
|
0.4
|
|
|
|
0.2
|
|
|
Net income attributable to WESCO International,
Inc.
|
$
|
47.4
|
|
2.6
|
%
|
|
$
|
48.4
|
|
2.6
|
%
|
|
|
|
|
|
|
Diluted earnings per common share
|
$
|
0.96
|
|
|
|
$
|
1.03
|
|
|
Weighted-average common shares outstanding and common
|
|
|
|
|
|
share equivalents used in computing diluted earnings per
|
|
|
|
|
|
share (in millions)
|
49.2
|
|
|
|
47.2
|
|
|
WESCO INTERNATIONAL, INC.
|
CONDENSED CONSOLIDATED STATEMENTS OF INCOME
|
(dollar amounts in millions, except per share amounts)
|
(Unaudited)
|
|
|
|
Twelve Months Ended
|
|
|
December 31,
2016
|
|
|
December 31,
2015
|
|
Net sales
|
$
|
7,336.0
|
|
|
|
$
|
7,518.5
|
|
|
Cost of goods sold (excluding
|
5,887.8
|
|
80.3
|
%
|
|
6,024.8
|
|
80.1
|
%
|
depreciation and amortization)
|
|
|
|
|
|
Selling, general and administrative expenses
|
1,049.3
|
|
14.3
|
%
|
|
1,055.0
|
|
14.0
|
%
|
Depreciation and amortization
|
66.9
|
|
|
|
65.0
|
|
|
Income from operations
|
332.0
|
|
4.5
|
%
|
|
373.7
|
|
5.0
|
%
|
Interest expense, net
|
76.6
|
|
|
|
69.8
|
|
|
Loss on debt redemption
|
123.9
|
|
|
|
—
|
|
|
Income before income taxes
|
131.5
|
|
1.8
|
%
|
|
303.9
|
|
4.0
|
%
|
Provision for income taxes
|
30.4
|
|
|
|
95.5
|
|
|
Net income
|
101.1
|
|
1.4
|
%
|
|
208.4
|
|
2.8
|
%
|
Net loss attributable to noncontrolling interests
|
(0.5)
|
|
|
|
(2.3)
|
|
|
Net income attributable to WESCO International,
Inc.
|
$
|
101.6
|
|
1.4
|
%
|
|
$
|
210.7
|
|
2.8
|
%
|
|
|
|
|
|
|
Diluted earnings per common share
|
$
|
2.10
|
|
|
|
$
|
4.18
|
|
|
Weighted-average common shares outstanding and common
|
|
|
|
|
|
share equivalents used in computing diluted earnings per
|
|
|
|
|
|
share (in millions)
|
48.3
|
|
|
|
50.4
|
|
|
WESCO INTERNATIONAL, INC.
|
CONDENSED CONSOLIDATED BALANCE SHEETS
|
(dollar amounts in millions)
|
(Unaudited)
|
|
|
December 31,
2016
|
|
December 31,
2015
|
Assets
|
|
|
|
Current Assets
|
|
|
|
Cash and cash equivalents
|
$
|
110.1
|
|
|
$
|
160.3
|
|
Trade accounts receivable, net
|
1,034.4
|
|
|
1,075.3
|
|
Inventories
|
821.4
|
|
|
810.1
|
|
Current deferred income taxes (1)
|
—
|
|
|
8.5
|
|
Other current assets
|
206.5
|
|
|
203.4
|
|
Total current assets
|
2,172.4
|
|
|
2,257.6
|
|
|
|
|
|
Other assets (2)
|
2,318.5
|
|
|
2,312.2
|
|
Total assets
|
$
|
4,490.9
|
|
|
$
|
4,569.8
|
|
|
|
|
|
|
|
|
|
Liabilities and Stockholders' Equity
|
|
|
|
Current Liabilities
|
|
|
|
Accounts payable
|
$
|
684.7
|
|
|
$
|
715.5
|
|
Current debt and short-term borrowings
|
22.1
|
|
|
44.3
|
|
Other current liabilities
|
190.0
|
|
|
188.0
|
|
Total current liabilities
|
896.8
|
|
|
947.8
|
|
|
|
|
|
Long-term debt (2)
|
1,363.1
|
|
|
1,439.1
|
|
Other noncurrent liabilities
|
221.0
|
|
|
409.0
|
|
Total liabilities
|
2,480.9
|
|
|
2,795.9
|
|
|
|
|
|
Stockholders' Equity
|
|
|
|
Total stockholders' equity
|
2,010.0
|
|
|
1,773.9
|
|
Total liabilities and stockholders' equity
|
$
|
4,490.9
|
|
|
$
|
4,569.8
|
|
|
|
|
|
|
|
|
|
|
(1) The Company early adopted Accounting
Standards Update (ASU) 2015-17 , Balance Sheet Classification of Deferred Taxes, on a prospective basis
during the first quarter of 2016. This guidance requires that all deferred tax assets and liabilities, along
with any related valuation allowance, be classified as noncurrent on the balance sheet.
|
|
(2) The Company adopted ASU 2015-03,
Simplifying the Presentation of Debt Issuance Costs, and ASU 2015-15, Presentation and Subsequent
Measurement of Debt Issuance Costs Associated with Line-of-Credit Arrangements, on a retrospective basis during the
first quarter of 2016. These ASUs simplify the presentation of debt issuance costs by requiring that debt issuance costs
related to a recognized liability be presented in the balance sheet as a direct deduction from the carrying amount
of that debt liability, consistent with debt discounts. As a result of adopting this guidance, the Company reclassified
approximately $17.7 million of deferred financing fees from other noncurrent assets to long-term debt in the balance
sheet as of December 31, 2015.
|
WESCO INTERNATIONAL, INC.
|
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
|
(dollar amounts in millions)
|
(Unaudited)
|
|
|
|
Twelve Months Ended
|
|
December 31,
2016
|
|
December 31,
2015
|
Operating Activities:
|
|
|
|
Net income
|
$
|
101.1
|
|
|
$
|
208.4
|
|
Add back (deduct):
|
|
|
|
Depreciation and amortization
|
66.9
|
|
|
65.0
|
|
Deferred income taxes
|
(45.2)
|
|
|
42.9
|
|
Change in trade receivables, net
|
56.8
|
|
|
40.1
|
|
Change in inventories
|
(1.6)
|
|
|
2.4
|
|
Change in accounts payable
|
(40.6)
|
|
|
(55.9)
|
|
Other (1)
|
162.8
|
|
|
(19.8)
|
|
Net cash provided by operating activities
|
300.2
|
|
|
283.1
|
|
|
|
|
|
Investing Activities:
|
|
|
|
Capital expenditures
|
(18.0)
|
|
|
(21.7)
|
|
Acquisition payments
|
(50.9)
|
|
|
(151.6)
|
|
Other
|
(1.6)
|
|
|
3.0
|
|
Net cash used in investing activities
|
(70.5)
|
|
|
(170.3)
|
|
|
|
|
|
Financing Activities:
|
|
|
|
Debt (repayments) borrowings, net
|
(262.5)
|
|
|
91.8
|
|
Equity activity, net
|
(2.9)
|
|
|
(154.2)
|
|
Other
|
(10.8)
|
|
|
(5.4)
|
|
Net cash used in financing activities
|
(276.2)
|
|
|
(67.8)
|
|
|
|
|
|
Effect of exchange rate changes on cash and cash equivalents
|
(3.7)
|
|
|
(13.0)
|
|
|
|
|
|
Net change in cash and cash equivalents
|
(50.2)
|
|
|
32.0
|
|
Cash and cash equivalents at the beginning of the period
|
160.3
|
|
|
128.3
|
|
Cash and cash equivalents at the end of the period
|
$
|
110.1
|
|
|
$
|
160.3
|
|
|
(1) Other operating cash flow activities for
the year ended December 31, 2016 includes a $123.9 million loss on redemption of the Company's 6.0% Convertible
Senior Debentures due 2029.
|
NON-GAAP FINANCIAL MEASURES
This earnings release includes certain non-GAAP financial measures. These financial measures include normalized organic sales
change, gross profit, financial leverage, free cash flow, adjusted net income and adjusted earnings per diluted share. The
Company believes that these non-GAAP measures are useful to investors in order to provide a better understanding of the Company's
organic sales trends, capital structure position and liquidity on a comparable basis. Additionally, certain of the aforementioned
non-GAAP measures either focus on or exclude transactions impacting comparability of results, allowing investors to more easily
compare the Company's financial performance from period to period. Management does not use these non-GAAP financial measures for
any purpose other than the reasons stated above.
WESCO INTERNATIONAL, INC.
|
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
|
(dollar amounts in millions, except normalized organic sales
data)
|
(Unaudited)
|
|
|
|
Three Months
Ended
|
|
Twelve Months
Ended
|
Normalized Organic Sales Change - Year-Over-Year:
|
December 31,
2016
|
|
December 31,
2016
|
|
|
|
|
Change in net sales
|
(3.7)%
|
|
(2.4)%
|
Impact from acquisitions
|
1.8 %
|
|
3.1 %
|
Impact from foreign exchange rates
|
(0.3)%
|
|
(1.0)%
|
Impact from number of workdays
|
(1.6)%
|
|
0.4 %
|
Normalized organic sales
change
|
(3.6)%
|
|
(4.9)%
|
|
Three Months
Ended
|
Normalized Organic Sales Change - Sequential:
|
December 31,
2016
|
|
|
Change in net sales
|
(3.3)%
|
Impact from acquisitions
|
— %
|
Impact from foreign exchange rates
|
(0.5)%
|
Impact from number of workdays
|
(3.1)%
|
Normalized organic sales
change
|
0.3 %
|
|
Note: Normalized organic sales change is provided by the Company as an
additional financial measure to provide a better understanding of the Company's organic sales trends. Normalized organic
sales change is calculated by deducting the percentage impact from acquisitions in the first year of ownership,
foreign exchange rates and number of workdays from the overall percentage change in consolidated net sales.
|
|
Three Months Ended
|
|
Twelve Months Ended
|
Gross Profit:
|
December 31,
2016
|
|
December 31,
2015
|
|
December 31,
2016
|
|
December 31,
2015
|
|
|
|
|
|
|
|
|
Net sales
|
$
|
1,793.3
|
|
|
$
|
1,861.5
|
|
|
$
|
7,336.0
|
|
|
$
|
7,518.5
|
|
Cost of goods sold (excluding depreciation and
amortization)
|
1,444.7
|
|
|
1,498.0
|
|
|
5,887.8
|
|
|
6,024.8
|
|
Gross profit
|
$
|
348.6
|
|
|
$
|
363.5
|
|
|
$
|
1,448.2
|
|
|
$
|
1,493.7
|
|
Gross margin
|
19.4
|
%
|
|
19.5
|
%
|
|
19.7
|
%
|
|
19.9
|
%
|
|
|
|
|
|
|
|
|
|
|
|
|
Note: Gross profit is provided by the Company as an additional financial
measure. Gross profit is calculated by deducting cost of goods sold, excluding depreciation and amortization, from net
sales. This amount represents a commonly used financial measure within the distribution industry. Gross margin is
calculated by dividing gross profit by net sales.
|
WESCO INTERNATIONAL, INC.
|
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
|
(dollar amounts in millions)
|
(Unaudited)
|
|
|
|
Twelve Months Ended
|
Financial Leverage:
|
December 31,
2016
|
|
December 31,
2015
|
|
|
|
|
Income from operations
|
$
|
332.0
|
|
|
$
|
373.7
|
|
Depreciation and amortization
|
66.9
|
|
|
65.0
|
|
EBITDA
|
$
|
398.9
|
|
|
$
|
438.7
|
|
|
|
|
|
|
December 31,
2016
|
|
December 31,
2015
|
Current debt and short-term borrowings
|
$
|
22.1
|
|
|
$
|
44.3
|
|
Long-term debt
|
1,363.1
|
|
|
1,439.1
|
|
Debt discount and deferred financing fees(1)
|
17.3
|
|
|
182.0
|
|
Total debt
|
$
|
1,402.5
|
|
|
$
|
1,665.4
|
|
|
|
|
|
Financial leverage ratio
|
3.5
|
|
|
3.8
|
|
|
(1) Long-term debt is presented in the
condensed consolidated balance sheets net of deferred financing fees and debt discount related to the convertible
debentures and term loan.
|
|
Note: Financial leverage is a non-GAAP financial measure provided by the
Company to illustrate its capital structure position. Financial leverage ratio is calculated by dividing total debt,
including debt discount and deferred financing fees, by EBITDA. EBITDA is defined as the trailing twelve months earnings
before interest, taxes, depreciation and amortization.
|
|
Three Months Ended
|
|
Twelve Months Ended
|
Free Cash Flow:
|
December 31,
2016
|
|
December 31,
2015
|
|
December 31,
2016
|
|
December 31,
2015
|
|
|
|
|
|
|
|
|
Cash flow provided by operations
|
$
|
83.0
|
|
|
$
|
107.1
|
|
|
$
|
300.2
|
|
|
$
|
283.1
|
|
Less: Capital expenditures
|
(4.8)
|
|
|
(5.5)
|
|
|
(18.0)
|
|
|
(21.7)
|
|
Free cash flow
|
$
|
78.2
|
|
|
$
|
101.6
|
|
|
$
|
282.2
|
|
|
$
|
261.4
|
|
Percent of adjusted net income (1)
|
164%
|
|
|
209%
|
|
|
154%
|
|
|
125%
|
|
|
(1) See the following page for a
reconciliation of adjusted net income.
|
|
Note: Free cash flow is provided by the Company as an additional liquidity
measure. Capital expenditures are deducted from operating cash flow to determine free cash flow. Free cash flow is
available to fund the Company's other investing and financing activities.
|
WESCO INTERNATIONAL, INC.
|
RECONCILIATION OF NON-GAAP FINANCIAL MEASURES
|
(dollar amounts in millions, except per share amounts)
|
(Unaudited)
|
|
|
|
Twelve Months Ended
|
|
|
Adjusted Income Before Income Taxes:
|
December 31,
2016
|
|
December 31,
2015
|
|
|
|
|
Income before income taxes
|
$
|
131.5
|
|
|
$
|
303.9
|
|
Loss on debt redemption
|
123.9
|
|
|
—
|
|
Adjusted income before income taxes
|
$
|
255.4
|
|
|
$
|
303.9
|
|
|
|
|
|
|
|
|
|
|
Twelve Months Ended
|
|
|
Adjusted Tax Provision:
|
December 31,
2016
|
|
December 31,
2015
|
|
|
|
|
Provision for income taxes
|
$
|
30.4
|
|
|
$
|
95.5
|
|
Income tax benefit from loss on debt redemption (1)
|
41.2
|
|
|
—
|
|
Adjusted provision for income taxes
|
$
|
71.6
|
|
|
$
|
95.5
|
|
|
|
|
|
|
|
|
|
|
Twelve Months Ended
|
|
|
Adjusted Net Income Attributable to WESCO
International, Inc.:
|
December 31,
2016
|
|
December 31,
2015
|
|
|
|
|
Adjusted income before income taxes
|
$
|
255.4
|
|
|
$
|
303.9
|
|
Adjusted provision for income taxes
|
71.6
|
|
|
95.5
|
|
Adjusted net income
|
183.8
|
|
|
208.4
|
|
Net loss attributable to noncontrolling interests
|
(0.5)
|
|
|
(2.3)
|
|
Adjusted net income attributable to WESCO
|
|
|
|
International, Inc.
|
$
|
184.3
|
|
|
$
|
210.7
|
|
|
Twelve Months
Ended
|
Adjusted Earnings Per Diluted Share:
|
December 31,
2016
|
|
|
Diluted earnings per common share
|
$
|
2.10
|
|
Loss on debt redemption (2)
|
2.54
|
|
Tax effect of loss on debt redemption (2)
|
(0.84)
|
|
Adjusted diluted earnings per common share
|
$
|
3.80
|
|
|
(1) Represents the third quarter of 2016
income tax benefit related to the loss on debt redemption.
|
|
(2) The loss on debt redemption and related
income tax benefit are based on the third quarter of
2016 diluted shares of 48.7 million.
|
|
Note: Adjusted net income attributable to WESCO International, Inc. is
defined as income before income taxes plus the third quarter loss on debt redemption, less the provision for income taxes
excluding the third quarter benefit of such loss. Adjusted earnings per diluted share is computed by adding the loss per
diluted share on debt redemption and deducting the related income tax benefit per diluted share recognized in the third
quarter of 2016. The Company believes that these non-GAAP financial measures are useful to investors' overall
understanding of the Company's current financial performance and provides a consistent measure for assessing the current
and historical financial results.
|
To view the original version on PR Newswire, visit:http://www.prnewswire.com/news-releases/wesco-international-inc-reports-fourth-quarter-2016-results-300397171.html
SOURCE WESCO International, Inc.