GREIF, INC. (NYSE:GEF) Files An 8-K Results of Operations and Financial Condition
Item 2.02. Results of Operations and Financial Condition.
On March 1, 2017, Greif, Inc. (the Company) issued a press
release (the Earnings Release) announcing the financial results
for its first>quarter ended January 31, 2017. The full text of
the Earnings Release is attached as Exhibit 99.1 to this Current
Report on Form 8-K.
release (the Earnings Release) announcing the financial results
for its first>quarter ended January 31, 2017. The full text of
the Earnings Release is attached as Exhibit 99.1 to this Current
Report on Form 8-K.
The Earnings Release included the following non-GAAP financial
measures (the non-GAAP Measures):
measures (the non-GAAP Measures):
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(i)
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the Company’s consolidated operating profit, before special
items, for the first quarter of 2017 and the first quarter of 2016, which is equal to the Company’s consolidated operating profit for the applicable period plus restructuring charges, plus non-cash asset impairment charges, plus non-cash pension settlement charges, less gains on disposal of properties, plants, equipment and businesses, net, each on a consolidated basis for the applicable period, along with the Company’s consolidated operating profit margin before special items for the first quarter of 2017 and the first quarter of 2016, which is equal to the amounts of the non-GAAP Measure described above for the applicable period divided by the Company’s consolidated net sales for the applicable period; |
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(ii)
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the Company’s net income, excluding the impact of special
items, for the first quarter of 2017 and the first quarter of 2016, which is equal to the Company’s consolidated net income for the applicable period plus restructuring charges, plus non-cash asset impairment charges, plus non-cash pension settlement charges, less gains on disposal of properties, plants, equipment and businesses, net, each on a consolidated basis for the applicable period; |
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(iii)
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earnings per diluted class A share of the Company, excluding
the impact of special items, for the first quarter of 2017 and the first quarter of 2016, which is equal to earnings per diluted class A share of the Company for the applicable period plus restructuring charges, plus non-cash asset impairment charges, plus non-cash pension settlement charges, less gains on disposal of properties, plants, equipment and businesses, net, each net of tax and noncontrolling interest and on a consolidated basis for the applicable period; |
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(iv)
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the Companys consolidated free cash flow for the first
quarter of 2017 and the first quarter of 2016, which is equal to the Companys consolidated net cash used by operating activities for the applicable period less cash paid for purchases of properties, plants and equipment for the applicable period; |
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(v)
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operating profit before special items and excluding the
impact of divestitures for the Companys Rigid Industrial Packaging Services business segment for the first quarter of 2017 and the first quarter of 2016, which is equal to that business segments operating profit plus restructuring charges, plus non-cash asset impairment charges, plus non-cash pension settlement charges, plus loss on disposal of properties, plants, equipment, and businesses, net, and further adjusted for divestitures occurring during the first quarter of 2016 as applicable to that business segment; |
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(vi)
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operating profit before special items for the Companys Paper
Packaging Services business segment for the first quarter of 2017 and the first quarter of 2016, which is equal to that business segments operating profit plus non-cash asset impairment charges, plus non-cash pension settlement charges, less gains on disposal of properties, plants, equipment, and businesses, net; |
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(vii)
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net sales excluding the impact of divestitures for the
Company’s Flexible Products Services business segment related to primary product volumes for the first quarter of 2017 and the first quarter of 2016, which is equal to that business segment’s net sales for the applicable quarter as adjusted for a divestiture that occurred during the first quarter of 2016 related to primary products volumes applicable to that business segment; and |
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(viii)
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operating profit before special items for the Companys
Flexible Packaging Services business segment for the first quarter of 2017 and the first quarter of 2016, which is equal to that business segments operating profit or loss, as applicable, plus restructuring charges, plus non-cash asset impairment charges, plus non-cash pension pension settlement charges, less gains or plus losses, as applicable, on disposal of properties, plants, equipment, and businesses, net; |
The Earnings Release also included a forward-looking non-GAAP
financial measure, 2017 Class A earnings per share before special
items which excludes gains and losses on the disposal of
businesses, timberland or properties, plants and equipment, net,
non-cash asset impairment charges, non-cash pension settlement
charges, restructuring-related activities or acquisition
financial measure, 2017 Class A earnings per share before special
items which excludes gains and losses on the disposal of
businesses, timberland or properties, plants and equipment, net,
non-cash asset impairment charges, non-cash pension settlement
charges, restructuring-related activities or acquisition
costs, and the income tax effects of these items and other income
tax-related events. No reconciliation of this forward-looking
non-GAAP financial measure was included in the Earnings Release
because, due to the high variability and difficulty in making
accurate forecasts and projections of some of the excluded
information, together with some of the excluded information not
being ascertainable or accessible, the Company is unable to
quantify certain amounts that would be required to be included in
the most directly comparable GAAP financial measure without
unreasonable efforts.
tax-related events. No reconciliation of this forward-looking
non-GAAP financial measure was included in the Earnings Release
because, due to the high variability and difficulty in making
accurate forecasts and projections of some of the excluded
information, together with some of the excluded information not
being ascertainable or accessible, the Company is unable to
quantify certain amounts that would be required to be included in
the most directly comparable GAAP financial measure without
unreasonable efforts.
Management of the Company uses the non-GAAP Measures to evaluate
ongoing operations and believes that these non-GAAP Measures are
useful to investors. The exclusion of the impact of the
identified special items (restructuring charges, acquisition
related costs, non-cash asset impairment charges, non-cash
pension settlement charges, timberland gains and disposals of
properties, plants , equipment and businesses, net), divestitures
and currency translation enable management and investors to
perform meaningful comparisons of current and historical
performance of the Company. Management of the Company also
believes that the exclusion of the impact of the identified
special items, divestitures and currency translation provide a
stable platform on which to compare the historical performance of
the Company and that investors desire this information.
Management believes that the use of consolidated free cash flow,
which excludes cash paid for capital expenditures from the
Company’s consolidated net cash provided by operating
activities, provides additional information on which to evaluate
the cash flow generated by the Company and believes that this is
information that investors find valuable. The non-GAAP Measures
are intended to supplement and should be read together with our
financial results. The non-GAAP Measures should not be considered
an alternative or substitute for, and should not be considered
superior to, our reported financial results. Accordingly, users
of this financial information should not place undue reliance on
the non-GAAP Measures.
ongoing operations and believes that these non-GAAP Measures are
useful to investors. The exclusion of the impact of the
identified special items (restructuring charges, acquisition
related costs, non-cash asset impairment charges, non-cash
pension settlement charges, timberland gains and disposals of
properties, plants , equipment and businesses, net), divestitures
and currency translation enable management and investors to
perform meaningful comparisons of current and historical
performance of the Company. Management of the Company also
believes that the exclusion of the impact of the identified
special items, divestitures and currency translation provide a
stable platform on which to compare the historical performance of
the Company and that investors desire this information.
Management believes that the use of consolidated free cash flow,
which excludes cash paid for capital expenditures from the
Company’s consolidated net cash provided by operating
activities, provides additional information on which to evaluate
the cash flow generated by the Company and believes that this is
information that investors find valuable. The non-GAAP Measures
are intended to supplement and should be read together with our
financial results. The non-GAAP Measures should not be considered
an alternative or substitute for, and should not be considered
superior to, our reported financial results. Accordingly, users
of this financial information should not place undue reliance on
the non-GAAP Measures.
Section 7 Regulation FD
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Item 7.01.
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Regulation FD Disclosure.
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On March 1, 2017, the Company released recorded remarks of
management, made available on the Companys website at
www.greif.com/investors, regarding the Companys financial results
for its first>quarter ended January 31, 2017. The file
transcript of managements recorded remarks is attached as Exhibit
99.2 to this Current Report on Form 8-K.
management, made available on the Companys website at
www.greif.com/investors, regarding the Companys financial results
for its first>quarter ended January 31, 2017. The file
transcript of managements recorded remarks is attached as Exhibit
99.2 to this Current Report on Form 8-K.
On March 2, 2017, management of the Company held a conference
call with interested investors and financial analysts (the
Conference Call) to discuss the Companys financial results for
its first>quarter ended January 31, 2017. The file transcript
of the Conference Call is attached as Exhibit 99.3 to this
Current Report on Form 8-K.
call with interested investors and financial analysts (the
Conference Call) to discuss the Companys financial results for
its first>quarter ended January 31, 2017. The file transcript
of the Conference Call is attached as Exhibit 99.3 to this
Current Report on Form 8-K.
Section 9 Financial Statements and Exhibits
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Item 9.01.
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Financial Statements and Exhibits.
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(d)
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Exhibits.
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Exhibit No.
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Description
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99.1
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Press release issued by Greif, Inc. on March 1, 2017
announcing the financial results for its first quarter ended January 31, 2017. |
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99.2
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File transcript of recorded remarks of management of
Greif, Inc., made available on the Company’s website at www.greif.com/investors on March 1, 2017, regarding the financial results for its first quarter ended January 31, 2017. |
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99.3
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File transcript of conference call with interested
investors and financial analysts held by management of Greif, Inc. on March 2, 2017. |
About GREIF, INC. (NYSE:GEF)
Greif, Inc. is a producer of industrial packaging products and services. The Company operates through four business segments: Rigid Industrial Packaging & Services; Paper Packaging; Flexible Products & Services, and Land Management. In the Rigid Industrial Packaging & Services segment, the Company produces rigid industrial packaging products, including steel, fire and plastic drums, rigid intermediate bulk containers and closure systems, and offers services, such as container life cycle management, blending, filling, logistics, warehousing and other packaging services. In the Paper Packaging segment, the Company sells containerboard, corrugated sheets, corrugated containers and other corrugated products. In the Flexible Products & Services segment, the Company produces flexible intermediate bulk containers and offers related services. In the Land Management segment, the Company is focused on the harvesting and regeneration of the United States timber properties. GREIF, INC. (NYSE:GEF) Recent Trading Information
GREIF, INC. (NYSE:GEF) closed its last trading session down -1.84 at 53.52 with 479,554 shares trading hands.
