June 30, 2018 | June 30, 2017 | ||||||
Payroll, employee benefits and other administrative accruals | $ | 75,918 | $ | 68,658 | |||
Facility, freight and warehousing accruals | 20,970 | 20,019 | |||||
Selling and marketing related accruals | 15,546 | 9,734 | |||||
Other accruals | 3,567 | 8,316 | |||||
$ | 116,001 | $ | 106,727 |
Fiscal Year Ended June 30, | |||||||||||
2018 | 2017 | 2016 | |||||||||
Fair value of restricted stock and restricted share units granted | $ | 17,898 | $ | 6,567 | $ | 10,203 | |||||
Fair value of shares vested | $ | 15,736 | $ | 9,866 | $ | 18,917 | |||||
Tax benefit recognized from restricted shares vesting | $ | 5,235 | $ | 3,768 | $ | 7,139 |
Column A | Column B | Column C | Column D | Column E | ||||||||||||||||
Additions | ||||||||||||||||||||
Balance at beginning of period | Charged to costs and expenses | Charged to other accounts - describe (i) | Deductions - describe (ii) | Balance at end of period | ||||||||||||||||
Fiscal Year Ended June 30, 2018: | ||||||||||||||||||||
Allowance for doubtful accounts | $ | 1,447 | $ | 1,880 | $ | 49 | $ | (1,290 | ) | $ | 2,086 | |||||||||
Valuation allowance for deferred tax assets | $ | 14,850 | $ | 1,251 | $ | — | $ | (1,132 | ) | $ | 14,969 | |||||||||
Fiscal Year Ended June 30, 2017: | ||||||||||||||||||||
Allowance for doubtful accounts | $ | 936 | $ | 1,077 | $ | 149 | $ | (715 | ) | $ | 1,447 | |||||||||
Valuation allowance for deferred tax assets | $ | 15,310 | $ | 1,862 | $ | — | $ | (2,322 | ) | $ | 14,850 | |||||||||
Fiscal Year Ended June 30, 2016: | ||||||||||||||||||||
Allowance for doubtful accounts | $ | 896 | $ | 208 | $ | 54 | $ | (222 | ) | $ | 936 | |||||||||
Valuation allowance for deferred tax assets | $ | 10,926 | $ | 7,484 | $ | — | $ | (3,100 | ) | $ | 15,310 | |||||||||
Amounts above are inclusive our Hain Pure Protein reporting segment classified as discontinued operations |
(i) | Represents the allowance for doubtful accounts of the business acquired during the fiscal year |
(ii) | Amounts written off and changes in exchange rates |
Buildings and improvements | 10 - 40 years | |
Machinery and equipment | 3 - 20 years | |
Furniture and fixtures | 3 - 15 years |
• | As required, we prospectively recognized a tax benefit of $309 in the income tax line item of our consolidated income statement for the fiscal year ended June 30, 2018 related to excess tax benefits upon vesting or settlement in that period. |
• | We elected to adopt the cash flow presentation of the excess tax benefits retrospectively. As a result, we decreased our cash used in financing activities by $3,298 and $11,317 for the fiscal years ended June 30, 2017 and 2016, respectively. |
• | We have elected to continue to estimate the number of stock-based awards expected to vest, rather than electing to account for forfeitures as they occur to determine the amount of compensation costs to be recognized in each period. |
• | We have not changed our policy on statutory withholding requirements and will continue to allow an employee to withhold at the minimum statutory withholding requirements. Amounts paid by us to taxing authorities when directly withholding shares associated with employees’ income tax withholding obligations are classified as a financing activity in our cash flow statement. |
• | We excluded the excess tax benefits from the assumed proceeds available to repurchase shares in the computation of our diluted earnings per share for the fiscal year ended June 30, 2018. |
• | We did not have any material excess tax benefits previously recognized in additional paid-in capital; therefore, it was not necessary to record a deferred tax asset for the unrecognized tax benefits with an adjustment to opening retained earnings. |
Fiscal Year Ended | |||
June 30, 2016 | |||
Net sales from continuing operations | $ | 2,481,362 | |
Net income from continuing operations | $ | 31,412 | |
Net income per common share from continuing operations - diluted | $ | 0.30 |
Fiscal Year Ended | |||
June 30, 2016 | |||
Net sales from continuing operations | $ | 2,481,362 | |
Net income from continuing operations | $ | 31,412 | |
Net income per common share from continuing operations - diluted | $ | 0.30 |
Fiscal Year | |||
2019 | $ | 16,382 | |
2020 | 14,044 | ||
2021 | 10,566 | ||
2022 | 9,453 | ||
2023 | 8,848 | ||
Thereafter | 44,360 | ||
$ | 103,653 |
June 30, 2018 | June 30, 2017 | ||||||
Unsecured revolving credit facility | $ | 401,852 | $ | 733,715 | |||
Term loan | 296,250 | — | |||||
Less: Unamortized issuance costs | (692 | ) | — | ||||
Tilda short-term borrowing arrangements | 9,338 | 7,761 | |||||
Other borrowings | 7,358 | 8,285 | |||||
714,106 | 749,761 | ||||||
Short-term borrowings and current portion of long-term debt | 26,605 | 9,626 | |||||
Long-term debt, less current portion | $ | 687,501 | $ | 740,135 |
Due in Fiscal Year | Amount | |||
2019 | $ | 26,605 | ||
2020 | 16,988 | |||
2021 | 16,857 | |||
2022 | 15,339 | |||
2023 | 638,154 | |||
Thereafter | 163 | |||
$ | 714,106 |
Fiscal Year Ended June 30, | |||||||||||
2018 | 2017 | 2016 | |||||||||
Compensation cost (included in selling, general and administrative expense) | $ | 11,177 | $ | 9,658 | $ | 12,688 | |||||
Related income tax benefit | $ | 2,165 | $ | 3,622 | $ | 4,758 |
2018 | Weighted Average Exercise Price | 2017 | Weighted Average Exercise Price | 2016 | Weighted Average Exercise Price | |||||||||||||||
Outstanding at beginning of year | 122 | $ | 2.26 | 342 | $ | 6.66 | 1,249 | $ | 6.12 | |||||||||||
Exercised | — | $ | — | (220 | ) | $ | 9.10 | (907 | ) | $ | 5.91 | |||||||||
Outstanding at end of year | 122 | $ | 2.26 | 122 | $ | 2.26 | 342 | $ | 6.66 | |||||||||||
Options exercisable at end of year | 122 | $ | 2.26 | 122 | $ | 2.26 | 342 | $ | 6.66 |
Fiscal Year Ended June 30, | |||||||||||
2018 | 2017 | 2016 | |||||||||
Intrinsic value of options exercised | $ | — | $ | 6,507 | $ | 27,147 | |||||
Cash received from stock option exercises | $ | — | $ | — | $ | — | |||||
Tax benefit recognized from stock option exercises | $ | — | $ | 2,538 | $ | 10,587 |
2018 | Weighted Average Grant Date Fair Value (per share) | 2017 | Weighted Average Grant Date Fair Value (per share) | 2016 | Weighted Average Grant Date Fair Value (per share) | |||||||||
Non-vested restricted stock and restricted share units - beginning of year | 992 | $27.59 | 1,121 | $28.24 | 1,145 | $32.30 | ||||||||
Granted | 685 | $26.13 | 195 | $33.68 | 416 | $24.54 | ||||||||
Vested | (433 | ) | $36.68 | (290 | ) | $33.89 | (408 | ) | $35.13 | |||||
Forfeited | (187 | ) | $31.15 | (34 | ) | $29.88 | (32 | ) | $45.83 | |||||
Non-vested restricted stock and restricted share units - end of year | 1,057 | $22.29 | 992 | $27.59 | 1,121 | $28.24 |
Fiscal Year Ended June 30, | |||||||||||
2018 | 2017 | 2016 | |||||||||
Fair value of restricted stock and restricted share units granted | $ | 17,898 | $ | 6,567 | $ | 10,203 | |||||
Fair value of shares vested | $ | 15,736 | $ | 9,866 | $ | 18,917 | |||||
Tax benefit recognized from restricted shares vesting | $ | 5,235 | $ | 3,768 | $ | 7,139 |
Fiscal Year Ended June 30, | |||||||||||
2018 | 2017 | 2016 | |||||||||
Net sales | $ | 509,475 | $ | 509,606 | $ | 492,510 | |||||
Cost of sales | 486,023 | 487,631 | 443,842 | ||||||||
Gross profit | 23,452 | 21,975 | 48,668 | ||||||||
Asset impairments | 78,464 | — | — | ||||||||
Selling, general and administrative expense | 18,743 | 19,180 | 15,740 | ||||||||
Other expense | 4,699 | 1,530 | 1,590 | ||||||||
Net (loss) income from discontinued operations before income taxes | (78,454 | ) | 1,265 | 31,338 | |||||||
(Benefit) provision for income taxes | (5,720 | ) | (624 | ) | 11,480 | ||||||
Net (loss) income from discontinued operations, net of tax | $ | (72,734 | ) | $ | 1,889 | $ | 19,858 |
Assets | June 30, 2018 | June 30, 2017 | |||||
Cash and cash equivalents | $ | 6,461 | $ | 9,937 | |||
Accounts receivable, less allowance for doubtful accounts | 21,616 | 22,671 | |||||
Inventories | 105,359 | 85,313 | |||||
Prepaid expenses and other current assets | 5,604 | 5,866 | |||||
Total current assets* | 123,787 | ||||||
Property, plant and equipment, net | 83,776 | 78,645 | |||||
Goodwill | 41,089 | 41,089 | |||||
Trademarks and other intangible assets, net | 51,029 | 52,040 | |||||
Other assets | 4,381 | 3,330 | |||||
Total noncurrent assets of discontinued operations* | 175,104 | ||||||
Impairments of long-lived assets held for sale | (78,464 | ) | — | ||||
Total assets of discontinued operations | $ | 240,851 | $ | 298,891 | |||
Liabilities | |||||||
Accounts payable | $ | 31,762 | $ | 35,943 | |||
Accrued expenses and other current liabilities | 6,880 | 2,005 | |||||
Total current liabilities of discontinued operations* | 37,948 | ||||||
Deferred tax liabilities | 11,111 | 23,129 | |||||
Other noncurrent liabilities | 93 | 193 | |||||
Total noncurrent liabilities of discontinued operations* | 23,322 | ||||||
Total liabilities of discontinued operations | $ | 49,846 | $ | 61,270 |
Fiscal Year Ended June 30, | |||||||||||
2018 | 2017 | 2016 | |||||||||
Numerator: | |||||||||||
Net income from continuing operations | $ | 82,428 | $ | 65,541 | $ | 27,571 | |||||
Net (loss) income from discontinued operations, net of tax | $ | (72,734 | ) | $ | 1,889 | $ | 19,858 | ||||
Net income | $ | 9,694 | $ | 67,430 | $ | 47,429 | |||||
Denominator: | |||||||||||
Basic weighted average shares outstanding | 103,848 | 103,611 | 103,135 | ||||||||
Effect of dilutive stock options, unvested restricted stock and unvested restricted share units | 629 | 637 | 1,048 | ||||||||
Diluted weighted average shares outstanding | 104,477 | 104,248 | 104,183 | ||||||||
Basic net income (loss) per common share: | |||||||||||
Continuing operations | $ | 0.79 | $ | 0.63 | $ | 0.27 | |||||
Discontinued operations | (0.70 | ) | 0.02 | 0.19 | |||||||
Basic net income per common share | $ | 0.09 | $ | 0.65 | $ | 0.46 | |||||
Diluted net income (loss) per common share: | |||||||||||
Continuing operations | $ | 0.79 | $ | 0.63 | $ | 0.26 | |||||
Discontinued operations | (0.70 | ) | 0.02 | 0.19 | |||||||
Diluted net income per common share | $ | 0.09 | $ | 0.65 | $ | 0.46 |
• | Level 1 – Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; |
• | Level 2 – Quoted prices in markets that are not active, or inputs which are observable, either directly or indirectly, for substantially the full term of the asset or liability; and |
• | Level 3 – Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (i.e., supported by little or no market activity). |
Total | Quoted prices in active markets (Level 1) | Significant other observable inputs (Level 2) | Significant unobservable inputs (Level 3) | ||||||||||||
Assets: | |||||||||||||||
Cash equivalents | $ | 99 | $ | 99 | $ | — | $ | — | |||||||
Forward foreign currency contracts | 365 | — | 365 | — | |||||||||||
Available for sale securities | 692 | 692 | — | — | |||||||||||
$ | 1,156 | $ | 791 | $ | 365 | $ | — | ||||||||
Liabilities: | |||||||||||||||
Forward foreign currency contracts | $ | 27 | $ | — | $ | 27 | $ | — | |||||||
Contingent consideration, noncurrent | 1,909 | — | — | 1,909 | |||||||||||
Total | $ | 1,936 | $ | — | $ | 27 | $ | 1,909 |
Total | Quoted prices in active markets (Level 1) | Significant other observable inputs (Level 2) | Significant unobservable inputs (Level 3) | ||||||||||||
Assets: | |||||||||||||||
Cash equivalents | $ | 21,800 | $ | 21,800 | $ | — | $ | — | |||||||
Forward foreign currency contracts | 99 | — | 99 | — | |||||||||||
Available for sale securities | 882 | 882 | — | — | |||||||||||
$ | 22,781 | $ | 22,682 | $ | 99 | $ | — | ||||||||
Liabilities: | |||||||||||||||
Forward foreign currency contracts | 53 | — | 53 | — | |||||||||||
Contingent consideration, current | 2,656 | — | — | 2,656 | |||||||||||
Total | $ | 2,709 | $ | — | $ | 53 | $ | 2,656 |
Fiscal Year Ended June 30, | |||||||
2018 | 2017 | ||||||
Balance at beginning of year | $ | 2,656 | $ | 3,553 | |||
Fair value of initial contingent consideration | 1,547 | 2,652 | |||||
Contingent consideration adjustment | (2,281 | ) | 526 | ||||
Contingent consideration paid | — | (3,969 | ) | ||||
Translation adjustment | (13 | ) | (106 | ) | |||
Balance at end of year | $ | 1,909 | $ | 2,656 |
Fiscal Year Ended June 30, | |||||||
2018 | 2017 | ||||||
Balance at beginning of year | $ | 2,656 | $ | 3,553 | |||
Fair value of initial contingent consideration | 1,547 | 2,652 | |||||
Contingent consideration adjustment | (2,281 | ) | 526 | ||||
Contingent consideration paid | — | (3,969 | ) | ||||
Translation adjustment | (13 | ) | (106 | ) | |||
Balance at end of year | $ | 1,909 | $ | 2,656 |
• | Level 1 – Unadjusted quoted prices in active markets that are accessible at the measurement date for identical, unrestricted assets or liabilities; |
• | Level 2 – Quoted prices in markets that are not active, or inputs which are observable, either directly or indirectly, for substantially the full term of the asset or liability; and |
• | Level 3 – Prices or valuation techniques that require inputs that are both significant to the fair value measurement and unobservable (i.e., supported by little or no market activity). |
Fiscal Year Ended June 30, | |||||||||||
2018 | 2017 | 2016 | |||||||||
Amortization of intangible assets | $ | 18,202 | $ | 16,988 | $ | 17,544 |
United States | United Kingdom | Rest of World | Total | ||||||||||||
Balance as of June 30, 2016 (a) | $ | 605,702 | $ | 332,561 | $ | 80,984 | $ | 1,019,247 | |||||||
Acquisition activity | — | 6,962 | 3,083 | 10,045 | |||||||||||
Reallocation of goodwill between reporting units (b) | (16,377 | ) | — | 16,377 | — | ||||||||||
Translation and other adjustments, net | (992 | ) | (10,388 | ) | 980 | (10,400 | ) | ||||||||
Balance as of June 30, 2017 (a) | 588,333 | 329,135 | 101,424 | 1,018,892 | |||||||||||
Acquisition activity | — | 7,062 | — | 7,062 | |||||||||||
Reallocation of goodwill between reporting units (c) | (35,519 | ) | 35,519 | — | — | ||||||||||
Impairment charge | — | — | (7,700 | ) | (7,700 | ) | |||||||||
Translation and other adjustments, net | — | 5,447 | 435 | 5,882 | |||||||||||
Balance as of June 30, 2018 (d) | $ | 552,814 | $ | 377,163 | $ | 94,159 | $ | 1,024,136 |
June 30, 2018 | June 30, 2017 | ||||||
Non-amortized intangible assets: | |||||||
Trademarks and trade names (a) | $ | 385,609 | $ | 384,917 | |||
Amortized intangible assets: | |||||||
Other intangibles | 239,323 | 232,112 | |||||
Less: accumulated amortization | (114,545 | ) | (95,801 | ) | |||
Net carrying amount | $ | 510,387 | $ | 521,228 |
Fiscal Year Ended June 30, | |||||||||||
2018 | 2017 | 2016 | |||||||||
Amortization of intangible assets | $ | 18,202 | $ | 16,988 | $ | 17,544 |
Fiscal Year Ending June 30, | |||||||||||||||||||
2019 | 2020 | 2021 | 2022 | 2023 | |||||||||||||||
Estimated amortization expense | $ | 15,675 | $ | 14,379 | $ | 13,913 | $ | 13,209 | $ | 12,620 |
Fiscal Year Ended June 30, | |||||||||||
2018 | 2017 | 2016 | |||||||||
Domestic | $ | (13,936 | ) | $ | 47,781 | $ | 126,686 | ||||
Foreign | 95,138 | 40,097 | (39,617 | ) | |||||||
Total | $ | 81,202 | $ | 87,878 | $ | 87,069 |
Fiscal Year Ended June 30, | |||||||||||
2018 | 2017 | 2016 | |||||||||
Current: | |||||||||||
Federal | $ | (1,309 | ) | $ | 18,331 | $ | 9,953 | ||||
State and local | 1,383 | (293 | ) | 1,668 | |||||||
Foreign | 20,542 | 14,884 | 14,737 | ||||||||
20,616 | 32,922 | 26,358 | |||||||||
Deferred: | |||||||||||
Federal | (22,612 | ) | (3,198 | ) | 30,711 | ||||||
State and local | 1,973 | 960 | 5,017 | ||||||||
Foreign | (864 | ) | (8,218 | ) | (2,635 | ) | |||||
(21,503 | ) | (10,456 | ) | 33,093 | |||||||
Total | $ | (887 | ) | $ | 22,466 | $ | 59,451 |
Fiscal Year Ended June 30, | ||||||||||||||||||||
2018 | % | 2017 | % | 2016 | % | |||||||||||||||
Expected United States federal income tax at statutory rate | $ | 22,818 | 28.1 | % | $ | 30,757 | 35.0 | % | $ | 30,474 | 35.0 | % | ||||||||
State income taxes, net of federal benefit | 2,774 | 3.4 | % | 2,757 | 3.1 | % | 4,263 | 4.9 | % | |||||||||||
Domestic manufacturing deduction | — | — | % | (846 | ) | (1.0 | )% | (505 | ) | (0.6 | )% | |||||||||
Foreign income at different rates | (7,174 | ) | (8.8 | )% | (6,539 | ) | (7.4 | )% | (4,051 | ) | (4.7 | )% | ||||||||
Impairment of goodwill and intangibles | 1,816 | 2.2 | % | — | — | % | 23,172 | 26.6 | % | |||||||||||
Change in valuation allowance | 119 | 0.1 | % | (60 | ) | (0.1 | )% | 5,067 | 5.8 | % | ||||||||||
Corporate tax reorganization | — | — | % | — | — | % | (4,173 | ) | (4.8 | )% | ||||||||||
Unrealized foreign exchange losses | — | — | % | 807 | 0.9 | % | 7,056 | 8.1 | % | |||||||||||
Change in reserves for uncertain tax positions | (3,859 | ) | (4.8 | )% | (4,417 | ) | (5.0 | )% | 1,448 | 1.7 | % | |||||||||
Tax Act’s transition tax (b) | 7,054 | 8.7 | % | — | — | % | — | — | % | |||||||||||
Tax Act’s impact of deferred taxes (a) | (25,006 | ) | (30.8 | )% | — | — | % | — | — | % | ||||||||||
Reduction of deferred tax liabilities resulting from change in United Kingdom tax rate | — | — | % | (1,841 | ) | (2.1 | )% | (4,942 | ) | (5.7 | )% | |||||||||
Other | 571 | 0.8 | % | 1,848 | 2.2 | % | 1,642 | 2.0 | % | |||||||||||
(Benefit) provision for income taxes | $ | (887 | ) | (1.1 | )% | $ | 22,466 | 25.6 | % | $ | 59,451 | 68.3 | % |
June 30, 2018 | June 30, 2017 | ||||||
Noncurrent deferred tax assets/(liabilities): | |||||||
Basis difference on inventory | $ | 9,139 | $ | 9,003 | |||
Reserves not currently deductible | 11,060 | 23,111 | |||||
Basis difference on intangible assets | (97,365 | ) | (124,756 | ) | |||
Basis difference on property and equipment | (8,444 | ) | (12,086 | ) | |||
Other comprehensive income | (133 | ) | (768 | ) | |||
Net operating loss and tax credit carryforwards | 12,414 | 19,049 | |||||
Stock-based compensation | 1,348 | 3,996 | |||||
Other | 41 | (616 | ) | ||||
Valuation allowances | (14,969 | ) | (14,850 | ) | |||
Noncurrent deferred tax liabilities, net (1) | $ | (86,909 | ) | $ | (97,917 | ) |
(1) | The June 30, 2017 the Consolidated Balance Sheet includes $429 of non-current deferred tax assets in Other Assets. |
Fiscal Year Ended June 30, | |||||||
2018 | 2017 | ||||||
Balance at beginning of year | $ | 14,850 | $ | 15,310 | |||
Additions charged to income tax expense | 1,251 | 1,862 | |||||
Reductions credited to income tax expense | (1,345 | ) | (1,922 | ) | |||
Currency translation adjustments | 213 | (400 | ) | ||||
Balance at end of year | $ | 14,969 | $ | 14,850 |
Fiscal Year Ended June 30, | |||||||||||
2018 | 2017 | 2016 | |||||||||
Balance at beginning of year | $ | 11,602 | $ | 16,019 | $ | 10,759 | |||||
Additions based on tax positions related to the current year | 118 | 217 | 4,276 | ||||||||
Additions based on tax positions related to prior years | — | — | 1,404 | ||||||||
Reductions due to lapse in statute of limitations and settlements | (4,990 | ) | (4,634 | ) | (420 | ) | |||||
Balance at end of year | $ | 6,730 | $ | 11,602 | $ | 16,019 |
June 30, 2018 | June 30, 2017 | ||||||
Non-amortized intangible assets: | |||||||
Trademarks and trade names (a) | $ | 385,609 | $ | 384,917 | |||
Amortized intangible assets: | |||||||
Other intangibles | 239,323 | 232,112 | |||||
Less: accumulated amortization | (114,545 | ) | (95,801 | ) | |||
Net carrying amount | $ | 510,387 | $ | 521,228 |
June 30, 2018 | June 30, 2017 | ||||||
Finished goods | $ | 231,926 | $ | 214,547 | |||
Raw materials, work-in-progress and packaging | 159,599 | 127,448 | |||||
$ | 391,525 | $ | 341,995 |
• | As required, we prospectively recognized a tax benefit of $309 in the income tax line item of our consolidated income statement for the fiscal year ended June 30, 2018 related to excess tax benefits upon vesting or settlement in that period. |
• | We elected to adopt the cash flow presentation of the excess tax benefits retrospectively. As a result, we decreased our cash used in financing activities by $3,298 and $11,317 for the fiscal years ended June 30, 2017 and 2016, respectively. |
• | We have elected to continue to estimate the number of stock-based awards expected to vest, rather than electing to account for forfeitures as they occur to determine the amount of compensation costs to be recognized in each period. |
• | We have not changed our policy on statutory withholding requirements and will continue to allow an employee to withhold at the minimum statutory withholding requirements. Amounts paid by us to taxing authorities when directly withholding shares associated with employees’ income tax withholding obligations are classified as a financing activity in our cash flow statement. |
• | We excluded the excess tax benefits from the assumed proceeds available to repurchase shares in the computation of our diluted earnings per share for the fiscal year ended June 30, 2018. |
• | We did not have any material excess tax benefits previously recognized in additional paid-in capital; therefore, it was not necessary to record a deferred tax asset for the unrecognized tax benefits with an adjustment to opening retained earnings. |
June 30, 2018 | June 30, 2017 | ||||||
Land | $ | 28,378 | $ | 28,092 | |||
Buildings and improvements | 83,289 | 83,648 | |||||
Machinery and equipment | 323,348 | 300,750 | |||||
Computer hardware and software | 54,092 | 50,773 | |||||
Furniture and fixtures | 17,894 | 15,613 | |||||
Leasehold improvements | 31,519 | 29,296 | |||||
Construction in progress | 17,280 | 11,134 | |||||
555,800 | 519,306 | ||||||
Less: Accumulated depreciation | 245,628 | 227,440 | |||||
$ | 310,172 | $ | 291,866 |
Buildings and improvements | 10 - 40 years | |
Machinery and equipment | 3 - 20 years | |
Furniture and fixtures | 3 - 15 years |
June 30, 2018 | June 30, 2017 | ||||||
Land | $ | 28,378 | $ | 28,092 | |||
Buildings and improvements | 83,289 | 83,648 | |||||
Machinery and equipment | 323,348 | 300,750 | |||||
Computer hardware and software | 54,092 | 50,773 | |||||
Furniture and fixtures | 17,894 | 15,613 | |||||
Leasehold improvements | 31,519 | 29,296 | |||||
Construction in progress | 17,280 | 11,134 | |||||
555,800 | 519,306 | ||||||
Less: Accumulated depreciation | 245,628 | 227,440 | |||||
$ | 310,172 | $ | 291,866 |
Three Months Ended | |||||||||||||||
June 30, 2018 | March 31, 2018 | December 31, 2017 | September 30, 2017 | ||||||||||||
Net sales | $ | 619,598 | $ | 632,720 | $ | 616,232 | $ | 589,219 | |||||||
Gross profit | $ | 125,097 | $ | 133,013 | $ | 133,950 | $ | 123,388 | |||||||
Operating income | $ | 16,580 | $ | 29,254 | $ | 30,965 | $ | 29,241 | |||||||
Income before income taxes and equity in earnings of equity-method investees | $ | 5,838 | $ | 24,032 | $ | 25,246 | $ | 26,086 | |||||||
Net (loss) income from continuing operations | $ | (4,556 | ) | $ | 25,241 | $ | 43,130 | $ | 18,613 | ||||||
Net (loss) income from discontinued operations, net of tax | $ | (65,385 | ) | $ | (12,555 | ) | $ | 3,973 | $ | 1,233 | |||||
Net (loss) income | $ | (69,941 | ) | $ | 12,686 | $ | 47,103 | $ | 19,846 | ||||||
Net income (loss) per common share: | |||||||||||||||
Basic net (loss) income per common share from continuing operations | $ | (0.04 | ) | $ | 0.24 | $ | 0.42 | $ | 0.18 | ||||||
Basic net (loss) income per common share from discontinued operations | $ | (0.63 | ) | $ | (0.12 | ) | $ | 0.04 | $ | 0.01 | |||||
Basic net income (loss) per common share | $ | (0.67 | ) | $ | 0.12 | $ | 0.45 | $ | 0.19 | ||||||
Diluted net (loss) income per common share from continuing operations | $ | (0.04 | ) | $ | 0.24 | $ | 0.41 | $ | 0.18 | ||||||
Diluted net (loss) income per common share from discontinued operations | $ | (0.63 | ) | $ | (0.12 | ) | $ | 0.04 | $ | 0.01 | |||||
Diluted net income (loss) per common share | $ | (0.67 | ) | $ | 0.12 | $ | 0.45 | $ | 0.19 |
Three Months Ended | |||||||||||||||
June 30, 2017 | March 31, 2017 | December 31, 2016 | September 30, 2016 | ||||||||||||
Net sales | $ | 602,891 | $ | 588,798 | $ | 587,021 | $ | 564,795 | |||||||
Gross profit | $ | 143,862 | $ | 139,203 | $ | 130,011 | $ | 106,320 | |||||||
Operating income | $ | 7,174 | $ | 49,621 | $ | 37,859 | $ | 14,769 | |||||||
Income before income taxes and equity in earnings of equity-method investees | $ | 1,366 | $ | 42,150 | $ | 34,116 | $ | 10,246 | |||||||
Net (loss) income from continuing operations | $ | (1,504 | ) | $ | 32,824 | $ | 24,769 | $ | 9,452 | ||||||
Net income (loss) from discontinued operations, net of tax | $ | 1,817 | $ | (1,496 | ) | $ | 2,417 | $ | (849 | ) | |||||
Net income | $ | 313 | $ | 31,328 | $ | 27,185 | $ | 8,604 | |||||||
Net income (loss) per common share: | |||||||||||||||
Basic net (loss) income per common share from continuing operations | $ | (0.01 | ) | $ | 0.32 | $ | 0.24 | $ | 0.09 | ||||||
Basic net income (loss) per common share from discontinued operations | $ | 0.02 | $ | (0.01 | ) | $ | 0.02 | $ | (0.01 | ) | |||||
Basic net income per common share | $ | — | $ | 0.30 | $ | 0.26 | $ | 0.08 | |||||||
Diluted net (loss) income per common share from continuing operations | $ | (0.01 | ) | $ | 0.31 | $ | 0.24 | $ | 0.09 | ||||||
Diluted net income (loss) per common share from discontinued operations | $ | 0.02 | $ | (0.01 | ) | $ | 0.02 | $ | (0.01 | ) | |||||
Diluted net income per common share | $ | — | $ | 0.30 | $ | 0.26 | $ | 0.08 |
Fiscal Year Ended June 30, | ||||||||||||
2018 | 2017 | 2016 | ||||||||||
United States | $ | 1,144,832 | $ | 1,167,688 | $ | 1,237,240 | ||||||
United Kingdom | 938,029 | 851,757 | 859,183 | |||||||||
All Other | 374,908 | 324,060 | 296,441 | |||||||||
Total | $ | 2,457,769 | $ | 2,343,505 | $ | 2,392,864 |
June 30, 2018 | June 30, 2017 | ||||||
Payroll, employee benefits and other administrative accruals | $ | 75,918 | $ | 68,658 | |||
Facility, freight and warehousing accruals | 20,970 | 20,019 | |||||
Selling and marketing related accruals | 15,546 | 9,734 | |||||
Other accruals | 3,567 | 8,316 | |||||
$ | 116,001 | $ | 106,727 |
Fiscal Year Ended June 30, | |||||||
2018 | 2017 | ||||||
Foreign currency translation adjustments: | |||||||
Other comprehensive loss before reclassifications (1) | $ | 11,497 | $ | (22,951 | ) | ||
Deferred gains/(losses) on cash flow hedging instruments: | |||||||
Other comprehensive income before reclassifications | 39 | 196 | |||||
Amounts reclassified into income (2) | (106 | ) | (575 | ) | |||
Unrealized gain on available for sale investment: | |||||||
Other comprehensive loss before reclassifications | (191 | ) | (51 | ) | |||
Amounts reclassified into income (3) | — | 13 | |||||
Net change in accumulated other comprehensive income (loss) | $ | 11,239 | $ | (23,368 | ) |
(1) | Foreign currency translation adjustments included intra-entity foreign currency transactions that were of a long-term investment nature and were a gain of $493 and a loss of $18,385 for the fiscal years ended June 30, 2018 and 2017, respectively. |
(2) | Amounts reclassified into income for deferred gains/(losses) on cash flow hedging instruments are recorded in “Cost of sales” in the Consolidated Statements of Income and, before taxes, were $132 and $1,233 for the fiscal years ended June 30, 2018 and 2017, respectively. |
(3) | Amounts reclassified into income for gains on sale of available for sale investments were based on the average cost of the shares held (See Note 15, Investments and Joint Ventures). Such amounts are recorded in “Other (income)/expense, net” in the Consolidated Statements of Income and was $21 before taxes for the fiscal year ended June 30, 2017. There were no amounts reclassified into income for the fiscal year ended June 30, 2018. |
Fiscal Year Ended June 30, | |||||||||||
2018 | 2017 | 2016 | |||||||||
Compensation cost (included in selling, general and administrative expense) | $ | 11,177 | $ | 9,658 | $ | 12,688 | |||||
Related income tax benefit | $ | 2,165 | $ | 3,622 | $ | 4,758 |
Fiscal Year Ended June 30, | |||||||||||
2018 | 2017 | 2016 | |||||||||
Current: | |||||||||||
Federal | $ | (1,309 | ) | $ | 18,331 | $ | 9,953 | ||||
State and local | 1,383 | (293 | ) | 1,668 | |||||||
Foreign | 20,542 | 14,884 | 14,737 | ||||||||
20,616 | 32,922 | 26,358 | |||||||||
Deferred: | |||||||||||
Federal | (22,612 | ) | (3,198 | ) | 30,711 | ||||||
State and local | 1,973 | 960 | 5,017 | ||||||||
Foreign | (864 | ) | (8,218 | ) | (2,635 | ) | |||||
(21,503 | ) | (10,456 | ) | 33,093 | |||||||
Total | $ | (887 | ) | $ | 22,466 | $ | 59,451 |
June 30, 2018 | June 30, 2017 | ||||||
Unsecured revolving credit facility | $ | 401,852 | $ | 733,715 | |||
Term loan | 296,250 | — | |||||
Less: Unamortized issuance costs | (692 | ) | — | ||||
Tilda short-term borrowing arrangements | 9,338 | 7,761 | |||||
Other borrowings | 7,358 | 8,285 | |||||
714,106 | 749,761 | ||||||
Short-term borrowings and current portion of long-term debt | 26,605 | 9,626 | |||||
Long-term debt, less current portion | $ | 687,501 | $ | 740,135 |
June 30, 2018 | June 30, 2017 | ||||||
Noncurrent deferred tax assets/(liabilities): | |||||||
Basis difference on inventory | $ | 9,139 | $ | 9,003 | |||
Reserves not currently deductible | 11,060 | 23,111 | |||||
Basis difference on intangible assets | (97,365 | ) | (124,756 | ) | |||
Basis difference on property and equipment | (8,444 | ) | (12,086 | ) | |||
Other comprehensive income | (133 | ) | (768 | ) | |||
Net operating loss and tax credit carryforwards | 12,414 | 19,049 | |||||
Stock-based compensation | 1,348 | 3,996 | |||||
Other | 41 | (616 | ) | ||||
Valuation allowances | (14,969 | ) | (14,850 | ) | |||
Noncurrent deferred tax liabilities, net (1) | $ | (86,909 | ) | $ | (97,917 | ) |
(1) | The June 30, 2017 the Consolidated Balance Sheet includes $429 of non-current deferred tax assets in Other Assets. |
Fiscal Year Ended June 30, | |||||||||||
2018 | 2017 | 2016 | |||||||||
Net sales | $ | 509,475 | $ | 509,606 | $ | 492,510 | |||||
Cost of sales | 486,023 | 487,631 | 443,842 | ||||||||
Gross profit | 23,452 | 21,975 | 48,668 | ||||||||
Asset impairments | 78,464 | — | — | ||||||||
Selling, general and administrative expense | 18,743 | 19,180 | 15,740 | ||||||||
Other expense | 4,699 | 1,530 | 1,590 | ||||||||
Net (loss) income from discontinued operations before income taxes | (78,454 | ) | 1,265 | 31,338 | |||||||
(Benefit) provision for income taxes | (5,720 | ) | (624 | ) | 11,480 | ||||||
Net (loss) income from discontinued operations, net of tax | $ | (72,734 | ) | $ | 1,889 | $ | 19,858 |
Assets | June 30, 2018 | June 30, 2017 | |||||
Cash and cash equivalents | $ | 6,461 | $ | 9,937 | |||
Accounts receivable, less allowance for doubtful accounts | 21,616 | 22,671 | |||||
Inventories | 105,359 | 85,313 | |||||
Prepaid expenses and other current assets | 5,604 | 5,866 | |||||
Total current assets* | 123,787 | ||||||
Property, plant and equipment, net | 83,776 | 78,645 | |||||
Goodwill | 41,089 | 41,089 | |||||
Trademarks and other intangible assets, net | 51,029 | 52,040 | |||||
Other assets | 4,381 | 3,330 | |||||
Total noncurrent assets of discontinued operations* | 175,104 | ||||||
Impairments of long-lived assets held for sale | (78,464 | ) | — | ||||
Total assets of discontinued operations | $ | 240,851 | $ | 298,891 | |||
Liabilities | |||||||
Accounts payable | $ | 31,762 | $ | 35,943 | |||
Accrued expenses and other current liabilities | 6,880 | 2,005 | |||||
Total current liabilities of discontinued operations* | 37,948 | ||||||
Deferred tax liabilities | 11,111 | 23,129 | |||||
Other noncurrent liabilities | 93 | 193 | |||||
Total noncurrent liabilities of discontinued operations* | 23,322 | ||||||
Total liabilities of discontinued operations | $ | 49,846 | $ | 61,270 |
Fiscal Year Ended June 30, | |||||||||||
2018 | 2017 | 2016 | |||||||||
Numerator: | |||||||||||
Net income from continuing operations | $ | 82,428 | $ | 65,541 | $ | 27,571 | |||||
Net (loss) income from discontinued operations, net of tax | $ | (72,734 | ) | $ | 1,889 | $ | 19,858 | ||||
Net income | $ | 9,694 | $ | 67,430 | $ | 47,429 | |||||
Denominator: | |||||||||||
Basic weighted average shares outstanding | 103,848 | 103,611 | 103,135 | ||||||||
Effect of dilutive stock options, unvested restricted stock and unvested restricted share units | 629 | 637 | 1,048 | ||||||||
Diluted weighted average shares outstanding | 104,477 | 104,248 | 104,183 | ||||||||
Basic net income (loss) per common share: | |||||||||||
Continuing operations | $ | 0.79 | $ | 0.63 | $ | 0.27 | |||||
Discontinued operations | (0.70 | ) | 0.02 | 0.19 | |||||||
Basic net income per common share | $ | 0.09 | $ | 0.65 | $ | 0.46 | |||||
Diluted net income (loss) per common share: | |||||||||||
Continuing operations | $ | 0.79 | $ | 0.63 | $ | 0.26 | |||||
Discontinued operations | (0.70 | ) | 0.02 | 0.19 | |||||||
Diluted net income per common share | $ | 0.09 | $ | 0.65 | $ | 0.46 |
Fiscal Year Ended June 30, | ||||||||||||||||||||
2018 | % | 2017 | % | 2016 | % | |||||||||||||||
Expected United States federal income tax at statutory rate | $ | 22,818 | 28.1 | % | $ | 30,757 | 35.0 | % | $ | 30,474 | 35.0 | % | ||||||||
State income taxes, net of federal benefit | 2,774 | 3.4 | % | 2,757 | 3.1 | % | 4,263 | 4.9 | % | |||||||||||
Domestic manufacturing deduction | — | — | % | (846 | ) | (1.0 | )% | (505 | ) | (0.6 | )% | |||||||||
Foreign income at different rates | (7,174 | ) | (8.8 | )% | (6,539 | ) | (7.4 | )% | (4,051 | ) | (4.7 | )% | ||||||||
Impairment of goodwill and intangibles | 1,816 | 2.2 | % | — | — | % | 23,172 | 26.6 | % | |||||||||||
Change in valuation allowance | 119 | 0.1 | % | (60 | ) | (0.1 | )% | 5,067 | 5.8 | % | ||||||||||
Corporate tax reorganization | — | — | % | — | — | % | (4,173 | ) | (4.8 | )% | ||||||||||
Unrealized foreign exchange losses | — | — | % | 807 | 0.9 | % | 7,056 | 8.1 | % | |||||||||||
Change in reserves for uncertain tax positions | (3,859 | ) | (4.8 | )% | (4,417 | ) | (5.0 | )% | 1,448 | 1.7 | % | |||||||||
Tax Act’s transition tax (b) | 7,054 | 8.7 | % | — | — | % | — | — | % | |||||||||||
Tax Act’s impact of deferred taxes (a) | (25,006 | ) | (30.8 | )% | — | — | % | — | — | % | ||||||||||
Reduction of deferred tax liabilities resulting from change in United Kingdom tax rate | — | — | % | (1,841 | ) | (2.1 | )% | (4,942 | ) | (5.7 | )% | |||||||||
Other | 571 | 0.8 | % | 1,848 | 2.2 | % | 1,642 | 2.0 | % | |||||||||||
(Benefit) provision for income taxes | $ | (887 | ) | (1.1 | )% | $ | 22,466 | 25.6 | % | $ | 59,451 | 68.3 | % |
Fiscal Year Ended June 30, | ||||||||
2018 | 2017 | |||||||
United States | $ | 99,650 | $ | 112,373 | ||||
United Kingdom | 174,214 | 165,334 | ||||||
All Other | 86,700 | 63,392 | ||||||
Total | $ | 360,564 | $ | 341,099 |
Fiscal Year Ended June 30, | ||||||||||||
2018 | 2017 | 2016 | ||||||||||
Grocery | $ | 1,842,535 | $ | 1,743,860 | $ | 1,800,640 | ||||||
Snacks | 302,795 | 312,784 | 307,797 | |||||||||
Personal Care | 196,245 | 176,408 | 171,669 | |||||||||
Tea | 116,194 | 110,453 | 112,758 | |||||||||
Total | $ | 2,457,769 | $ | 2,343,505 | $ | 2,392,864 |
Total | Quoted prices in active markets (Level 1) | Significant other observable inputs (Level 2) | Significant unobservable inputs (Level 3) | ||||||||||||
Assets: | |||||||||||||||
Cash equivalents | $ | 99 | $ | 99 | $ | — | $ | — | |||||||
Forward foreign currency contracts | 365 | — | 365 | — | |||||||||||
Available for sale securities | 692 | 692 | — | — | |||||||||||
$ | 1,156 | $ | 791 | $ | 365 | $ | — | ||||||||
Liabilities: | |||||||||||||||
Forward foreign currency contracts | $ | 27 | $ | — | $ | 27 | $ | — | |||||||
Contingent consideration, noncurrent | 1,909 | — | — | 1,909 | |||||||||||
Total | $ | 1,936 | $ | — | $ | 27 | $ | 1,909 |
Total | Quoted prices in active markets (Level 1) | Significant other observable inputs (Level 2) | Significant unobservable inputs (Level 3) | ||||||||||||
Assets: | |||||||||||||||
Cash equivalents | $ | 21,800 | $ | 21,800 | $ | — | $ | — | |||||||
Forward foreign currency contracts | 99 | — | 99 | — | |||||||||||
Available for sale securities | 882 | 882 | — | — | |||||||||||
$ | 22,781 | $ | 22,682 | $ | 99 | $ | — | ||||||||
Liabilities: | |||||||||||||||
Forward foreign currency contracts | 53 | — | 53 | — | |||||||||||
Contingent consideration, current | 2,656 | — | — | 2,656 | |||||||||||
Total | $ | 2,709 | $ | — | $ | 53 | $ | 2,656 |
Fiscal Year | |||
2019 | $ | 16,382 | |
2020 | 14,044 | ||
2021 | 10,566 | ||
2022 | 9,453 | ||
2023 | 8,848 | ||
Thereafter | 44,360 | ||
$ | 103,653 |
United States | United Kingdom | Rest of World | Total | ||||||||||||
Balance as of June 30, 2016 (a) | $ | 605,702 | $ | 332,561 | $ | 80,984 | $ | 1,019,247 | |||||||
Acquisition activity | — | 6,962 | 3,083 | 10,045 | |||||||||||
Reallocation of goodwill between reporting units (b) | (16,377 | ) | — | 16,377 | — | ||||||||||
Translation and other adjustments, net | (992 | ) | (10,388 | ) | 980 | (10,400 | ) | ||||||||
Balance as of June 30, 2017 (a) | 588,333 | 329,135 | 101,424 | 1,018,892 | |||||||||||
Acquisition activity | — | 7,062 | — | 7,062 | |||||||||||
Reallocation of goodwill between reporting units (c) | (35,519 | ) | 35,519 | — | — | ||||||||||
Impairment charge | — | — | (7,700 | ) | (7,700 | ) | |||||||||
Translation and other adjustments, net | — | 5,447 | 435 | 5,882 | |||||||||||
Balance as of June 30, 2018 (d) | $ | 552,814 | $ | 377,163 | $ | 94,159 | $ | 1,024,136 |
Fiscal Year Ended June 30, | |||||||||||
2018 | 2017 | 2016 | |||||||||
Domestic | $ | (13,936 | ) | $ | 47,781 | $ | 126,686 | ||||
Foreign | 95,138 | 40,097 | (39,617 | ) | |||||||
Total | $ | 81,202 | $ | 87,878 | $ | 87,069 |
June 30, 2018 | June 30, 2017 | ||||||
Finished goods | $ | 231,926 | $ | 214,547 | |||
Raw materials, work-in-progress and packaging | 159,599 | 127,448 | |||||
$ | 391,525 | $ | 341,995 |
Due in Fiscal Year | Amount | |||
2019 | $ | 26,605 | ||
2020 | 16,988 | |||
2021 | 16,857 | |||
2022 | 15,339 | |||
2023 | 638,154 | |||
Thereafter | 163 | |||
$ | 714,106 |
Three Months Ended | |||||||||||||||
June 30, 2018 | March 31, 2018 | December 31, 2017 | September 30, 2017 | ||||||||||||
Net sales | $ | 619,598 | $ | 632,720 | $ | 616,232 | $ | 589,219 | |||||||
Gross profit | $ | 125,097 | $ | 133,013 | $ | 133,950 | $ | 123,388 | |||||||
Operating income | $ | 16,580 | $ | 29,254 | $ | 30,965 | $ | 29,241 | |||||||
Income before income taxes and equity in earnings of equity-method investees | $ | 5,838 | $ | 24,032 | $ | 25,246 | $ | 26,086 | |||||||
Net (loss) income from continuing operations | $ | (4,556 | ) | $ | 25,241 | $ | 43,130 | $ | 18,613 | ||||||
Net (loss) income from discontinued operations, net of tax | $ | (65,385 | ) | $ | (12,555 | ) | $ | 3,973 | $ | 1,233 | |||||
Net (loss) income | $ | (69,941 | ) | $ | 12,686 | $ | 47,103 | $ | 19,846 | ||||||
Net income (loss) per common share: | |||||||||||||||
Basic net (loss) income per common share from continuing operations | $ | (0.04 | ) | $ | 0.24 | $ | 0.42 | $ | 0.18 | ||||||
Basic net (loss) income per common share from discontinued operations | $ | (0.63 | ) | $ | (0.12 | ) | $ | 0.04 | $ | 0.01 | |||||
Basic net income (loss) per common share | $ | (0.67 | ) | $ | 0.12 | $ | 0.45 | $ | 0.19 | ||||||
Diluted net (loss) income per common share from continuing operations | $ | (0.04 | ) | $ | 0.24 | $ | 0.41 | $ | 0.18 | ||||||
Diluted net (loss) income per common share from discontinued operations | $ | (0.63 | ) | $ | (0.12 | ) | $ | 0.04 | $ | 0.01 | |||||
Diluted net income (loss) per common share | $ | (0.67 | ) | $ | 0.12 | $ | 0.45 | $ | 0.19 |
Three Months Ended | |||||||||||||||
June 30, 2017 | March 31, 2017 | December 31, 2016 | September 30, 2016 | ||||||||||||
Net sales | $ | 602,891 | $ | 588,798 | $ | 587,021 | $ | 564,795 | |||||||
Gross profit | $ | 143,862 | $ | 139,203 | $ | 130,011 | $ | 106,320 | |||||||
Operating income | $ | 7,174 | $ | 49,621 | $ | 37,859 | $ | 14,769 | |||||||
Income before income taxes and equity in earnings of equity-method investees | $ | 1,366 | $ | 42,150 | $ | 34,116 | $ | 10,246 | |||||||
Net (loss) income from continuing operations | $ | (1,504 | ) | $ | 32,824 | $ | 24,769 | $ | 9,452 | ||||||
Net income (loss) from discontinued operations, net of tax | $ | 1,817 | $ | (1,496 | ) | $ | 2,417 | $ | (849 | ) | |||||
Net income | $ | 313 | $ | 31,328 | $ | 27,185 | $ | 8,604 | |||||||
Net income (loss) per common share: | |||||||||||||||
Basic net (loss) income per common share from continuing operations | $ | (0.01 | ) | $ | 0.32 | $ | 0.24 | $ | 0.09 | ||||||
Basic net income (loss) per common share from discontinued operations | $ | 0.02 | $ | (0.01 | ) | $ | 0.02 | $ | (0.01 | ) | |||||
Basic net income per common share | $ | — | $ | 0.30 | $ | 0.26 | $ | 0.08 | |||||||
Diluted net (loss) income per common share from continuing operations | $ | (0.01 | ) | $ | 0.31 | $ | 0.24 | $ | 0.09 | ||||||
Diluted net income (loss) per common share from discontinued operations | $ | 0.02 | $ | (0.01 | ) | $ | 0.02 | $ | (0.01 | ) | |||||
Diluted net income per common share | $ | — | $ | 0.30 | $ | 0.26 | $ | 0.08 |
Fiscal Years Ended June 30, | ||||||||||||
2018 | 2017 | 2016 | ||||||||||
Net Sales: (1) | ||||||||||||
United States | $ | 1,084,871 | $ | 1,107,806 | $ | 1,164,817 | ||||||
United Kingdom | 938,029 | 851,757 | 859,183 | |||||||||
Rest of World | 434,869 | 383,942 | 368,864 | |||||||||
$ | 2,457,769 | $ | 2,343,505 | $ | 2,392,864 | |||||||
Operating Income: | ||||||||||||
United States | $ | 86,319 | $ | 145,307 | $ | 188,671 | ||||||
United Kingdom | 56,046 | 51,948 | 70,809 | |||||||||
Rest of World | 38,660 | 32,010 | 27,898 | |||||||||
181,025 | 229,265 | 287,378 | ||||||||||
Corporate and Other (2) | (74,985 | ) | (119,842 | ) | (168,577 | ) | ||||||
$ | 106,040 | $ | 109,423 | $ | 118,801 |
(1) | One of our customers accounted for approximately 11%, 12%, and 12% of our consolidated net sales for the fiscal years ended June 30, 2018, 2017 and 2016, respectively, which were primarily related to the United States and United Kingdom segments. A second customer accounted for approximately, 11%, 11% and 12% of our consolidated net sales for the fiscal years ended June 30, 2018, 2017 and 2016, respectively, which were primarily related to the United States segment. |
(2) | For the fiscal year ended June 30, 2018, Corporate and Other included $12,841 of acquisition related expenses, restructuring, integration and other charges and $9,293 of accounting review and remediation costs, net of insurance proceeds. Corporate and Other for the fiscal year ended June 30, 2018 also included impairment charges of $5,632 ($5,100 related to Rest of World and $532 related to the United Kingdom segment) related to certain of the Company’s trade names. For the fiscal year ended June 30, 2017, Corporate and Other included $29,562 of accounting review and remediation costs, $10,388 of acquisition related expenses, restructuring, integration and other charges. Corporate and Other for the fiscal year ended June 30, 2017 also included impairment charges of $14,079 ($7,579 related to the United Kingdom segment and $6,500 related to the United States segment) related to certain of the Company’s trade names, a $26,373 impairment charge primarily related to long-lived assets associated with the exit of certain portions of our own-label chilled desserts business in the United Kingdom segment. For the fiscal year ended June 30, 2016, Corporate and Other included $12,065 of acquisition related expenses, restructuring, integration and other charges, goodwill impairment charges of $84,548 related to the United Kingdom segment, an impairment charge of $39,724 ($20,932 related to the United Kingdom segment and $18,792 related to the United States segment) related to certain of the Company’s trade names and a $3,476 impairment charge related to long-lived assets associated with the divestiture of certain portions of our own-label juice business in the United Kingdom. |
2018 | Weighted Average Exercise Price | 2017 | Weighted Average Exercise Price | 2016 | Weighted Average Exercise Price | |||||||||||||||
Outstanding at beginning of year | 122 | $ | 2.26 | 342 | $ | 6.66 | 1,249 | $ | 6.12 | |||||||||||
Exercised | — | $ | — | (220 | ) | $ | 9.10 | (907 | ) | $ | 5.91 | |||||||||
Outstanding at end of year | 122 | $ | 2.26 | 122 | $ | 2.26 | 342 | $ | 6.66 | |||||||||||
Options exercisable at end of year | 122 | $ | 2.26 | 122 | $ | 2.26 | 342 | $ | 6.66 |
Fiscal Year Ended June 30, | |||||||||||
2018 | 2017 | 2016 | |||||||||
Intrinsic value of options exercised | $ | — | $ | 6,507 | $ | 27,147 | |||||
Cash received from stock option exercises | $ | — | $ | — | $ | — | |||||
Tax benefit recognized from stock option exercises | $ | — | $ | 2,538 | $ | 10,587 |
2018 | Weighted Average Grant Date Fair Value (per share) | 2017 | Weighted Average Grant Date Fair Value (per share) | 2016 | Weighted Average Grant Date Fair Value (per share) | |||||||||
Non-vested restricted stock and restricted share units - beginning of year | 992 | $27.59 | 1,121 | $28.24 | 1,145 | $32.30 | ||||||||
Granted | 685 | $26.13 | 195 | $33.68 | 416 | $24.54 | ||||||||
Vested | (433 | ) | $36.68 | (290 | ) | $33.89 | (408 | ) | $35.13 | |||||
Forfeited | (187 | ) | $31.15 | (34 | ) | $29.88 | (32 | ) | $45.83 | |||||
Non-vested restricted stock and restricted share units - end of year | 1,057 | $22.29 | 992 | $27.59 | 1,121 | $28.24 |
Fiscal Year Ended June 30, | |||||||||||
2018 | 2017 | 2016 | |||||||||
Balance at beginning of year | $ | 11,602 | $ | 16,019 | $ | 10,759 | |||||
Additions based on tax positions related to the current year | 118 | 217 | 4,276 | ||||||||
Additions based on tax positions related to prior years | — | — | 1,404 | ||||||||
Reductions due to lapse in statute of limitations and settlements | (4,990 | ) | (4,634 | ) | (420 | ) | |||||
Balance at end of year | $ | 6,730 | $ | 11,602 | $ | 16,019 |
Fiscal Year Ending June 30, | |||||||||||||||||||
2019 | 2020 | 2021 | 2022 | 2023 | |||||||||||||||
Estimated amortization expense | $ | 15,675 | $ | 14,379 | $ | 13,913 | $ | 13,209 | $ | 12,620 |
Fiscal Years Ended June 30, | ||||||||||||
2018 | 2017 | 2016 | ||||||||||
Net Sales: (1) | ||||||||||||
United States | $ | 1,084,871 | $ | 1,107,806 | $ | 1,164,817 | ||||||
United Kingdom | 938,029 | 851,757 | 859,183 | |||||||||
Rest of World | 434,869 | 383,942 | 368,864 | |||||||||
$ | 2,457,769 | $ | 2,343,505 | $ | 2,392,864 | |||||||
Operating Income: | ||||||||||||
United States | $ | 86,319 | $ | 145,307 | $ | 188,671 | ||||||
United Kingdom | 56,046 | 51,948 | 70,809 | |||||||||
Rest of World | 38,660 | 32,010 | 27,898 | |||||||||
181,025 | 229,265 | 287,378 | ||||||||||
Corporate and Other (2) | (74,985 | ) | (119,842 | ) | (168,577 | ) | ||||||
$ | 106,040 | $ | 109,423 | $ | 118,801 |
(1) | One of our customers accounted for approximately 11%, 12%, and 12% of our consolidated net sales for the fiscal years ended June 30, 2018, 2017 and 2016, respectively, which were primarily related to the United States and United Kingdom segments. A second customer accounted for approximately, 11%, 11% and 12% of our consolidated net sales for the fiscal years ended June 30, 2018, 2017 and 2016, respectively, which were primarily related to the United States segment. |
(2) | For the fiscal year ended June 30, 2018, Corporate and Other included $12,841 of acquisition related expenses, restructuring, integration and other charges and $9,293 of accounting review and remediation costs, net of insurance proceeds. Corporate and Other for the fiscal year ended June 30, 2018 also included impairment charges of $5,632 ($5,100 related to Rest of World and $532 related to the United Kingdom segment) related to certain of the Company’s trade names. For the fiscal year ended June 30, 2017, Corporate and Other included $29,562 of accounting review and remediation costs, $10,388 of acquisition related expenses, restructuring, integration and other charges. Corporate and Other for the fiscal year ended June 30, 2017 also included impairment charges of $14,079 ($7,579 related to the United Kingdom segment and $6,500 related to the United States segment) related to certain of the Company’s trade names, a $26,373 impairment charge primarily related to long-lived assets associated with the exit of certain portions of our own-label chilled desserts business in the United Kingdom segment. For the fiscal year ended June 30, 2016, Corporate and Other included $12,065 of acquisition related expenses, restructuring, integration and other charges, goodwill impairment charges of $84,548 related to the United Kingdom segment, an impairment charge of $39,724 ($20,932 related to the United Kingdom segment and $18,792 related to the United States segment) related to certain of the Company’s trade names and a $3,476 impairment charge related to long-lived assets associated with the divestiture of certain portions of our own-label juice business in the United Kingdom. |
Fiscal Year Ended June 30, | ||||||||||||
2018 | 2017 | 2016 | ||||||||||
Grocery | $ | 1,842,535 | $ | 1,743,860 | $ | 1,800,640 | ||||||
Snacks | 302,795 | 312,784 | 307,797 | |||||||||
Personal Care | 196,245 | 176,408 | 171,669 | |||||||||
Tea | 116,194 | 110,453 | 112,758 | |||||||||
Total | $ | 2,457,769 | $ | 2,343,505 | $ | 2,392,864 |
Fiscal Year Ended June 30, | ||||||||||||
2018 | 2017 | 2016 | ||||||||||
United States | $ | 1,144,832 | $ | 1,167,688 | $ | 1,237,240 | ||||||
United Kingdom | 938,029 | 851,757 | 859,183 | |||||||||
All Other | 374,908 | 324,060 | 296,441 | |||||||||
Total | $ | 2,457,769 | $ | 2,343,505 | $ | 2,392,864 |
Fiscal Year Ended June 30, | ||||||||
2018 | 2017 | |||||||
United States | $ | 99,650 | $ | 112,373 | ||||
United Kingdom | 174,214 | 165,334 | ||||||
All Other | 86,700 | 63,392 | ||||||
Total | $ | 360,564 | $ | 341,099 |
Fiscal Year Ended June 30, | |||||||
2018 | 2017 | ||||||
Foreign currency translation adjustments: | |||||||
Other comprehensive loss before reclassifications (1) | $ | 11,497 | $ | (22,951 | ) | ||
Deferred gains/(losses) on cash flow hedging instruments: | |||||||
Other comprehensive income before reclassifications | 39 | 196 | |||||
Amounts reclassified into income (2) | (106 | ) | (575 | ) | |||
Unrealized gain on available for sale investment: | |||||||
Other comprehensive loss before reclassifications | (191 | ) | (51 | ) | |||
Amounts reclassified into income (3) | — | 13 | |||||
Net change in accumulated other comprehensive income (loss) | $ | 11,239 | $ | (23,368 | ) |
(1) | Foreign currency translation adjustments included intra-entity foreign currency transactions that were of a long-term investment nature and were a gain of $493 and a loss of $18,385 for the fiscal years ended June 30, 2018 and 2017, respectively. |
(2) | Amounts reclassified into income for deferred gains/(losses) on cash flow hedging instruments are recorded in “Cost of sales” in the Consolidated Statements of Income and, before taxes, were $132 and $1,233 for the fiscal years ended June 30, 2018 and 2017, respectively. |
(3) | Amounts reclassified into income for gains on sale of available for sale investments were based on the average cost of the shares held (See Note 15, Investments and Joint Ventures). Such amounts are recorded in “Other (income)/expense, net” in the Consolidated Statements of Income and was $21 before taxes for the fiscal year ended June 30, 2017. There were no amounts reclassified into income for the fiscal year ended June 30, 2018. |
Fiscal Year Ended June 30, | |||||||
2018 | 2017 | ||||||
Balance at beginning of year | $ | 14,850 | $ | 15,310 | |||
Additions charged to income tax expense | 1,251 | 1,862 | |||||
Reductions credited to income tax expense | (1,345 | ) | (1,922 | ) | |||
Currency translation adjustments | 213 | (400 | ) | ||||
Balance at end of year | $ | 14,969 | $ | 14,850 |