Form 8-K BlueLinx Holdings Inc. For: Aug 04
UNITED STATES
SECURITIES AND EXCHANGE COMMISSION
Washington, D.C. 20549
FORM 8-K
CURRENT REPORT
PURSUANT TO SECTION 13 OR 15(d) OF
THE SECURITIES EXCHANGE ACT OF 1934
Date of Report (Date of earliest event reported): August 4, 2016
BLUELINX HOLDINGS INC.
(Exact name of registrant specified in its charter)
Delaware | 001-32383 | 77-0627356 |
(State or other | (Commission | (I.R.S. Employer |
jurisdiction of incorporation) | File Number) | Identification No.) |
4300 Wildwood Parkway, Atlanta, Georgia | 30339 |
(Address of principal executive offices) | (Zip Code) |
Registrant's telephone number, including area code: (770) 953-7000
Not applicable
(Former name or former address, if changed since last report.)
Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions (see General Instruction A.2. below):
¨ | Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425) |
¨ | Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12) |
¨ | Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b)) |
¨ | Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c)) |
Item 2.02 Results of Operations and Financial Condition
On August 4, 2016, BlueLinx Holdings Inc. (“BlueLinx” or “the Company”) issued a press release announcing its financial results for the fiscal second quarter ended July 2, 2016. A copy of BlueLinx’s press release is attached hereto as Exhibit 99.1 and incorporated herein by reference.
On August 4, 2016, as previously announced, BlueLinx will hold a teleconference and audio webcast to discuss its financial results from the fiscal second quarter ended July 2, 2016. The webcast will be archived and can be accessed via BlueLinx’s website at www.BlueLinxCo.com. Additionally, BlueLinx will post slides at its website, under the investor relations page, which will be referenced during the audio webcast. These slides are furnished as Exhibit 99.2 hereto. All information on the slides and in the webcast is presented as of August 4, 2016, and BlueLinx does not assume any obligation to update such information in the future.
To supplement GAAP financial information, we may use adjusted measures of operating results which are non-GAAP measures. This non-GAAP adjusted financial information is provided as additional information for investors, but should not be considered a substitute for or superior to GAAP results. Non-GAAP financial measures used in the included press release are therein reconciled to the most directly comparable GAAP financial measures.
The information included in this Item 2.02, as well as Exhibits 99.1 and 99.2, shall not be deemed “filed” for purposes of Section 18 of the Securities Exchange Act of 1934, nor shall it be deemed incorporated by reference in any filing under the Securities Act of 1933.
Item 9.01 Financial Statements and Exhibits
(d) Exhibits
Exhibit No. | Description | |
99.1 | Press release, dated August 4, 2016, reporting financial results for the fiscal second quarter ended July 2, 2016 | |
99.2 | Webcast conference call slides used during webcast conference call on August 4, 2016 | |
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned hereunto duly authorized.
BlueLinx Holdings Inc. | |||
(Registrant) | |||
Dated: August 4, 2016 | By: | /s/ Susan C. O’Farrell | |
Susan C. O’Farrell | |||
Senior Vice President, Chief Financial Officer, Treasurer, and Principal Accounting Officer | |||
Exhibit 99.1
4300 Wildwood Parkway
Atlanta, GA 30339
1-888-502-BLUE
www.BlueLinxCo.com
BlueLinx Contact Information: | ||
Susan O’Farrell, SVP, CFO & Treasurer | Natalie Poulos, Investor Relations | |
BlueLinx Holdings Inc. | BlueLinx Holdings Inc. | |
(770) 953-7000 | (770) 953-7522 | |
FOR IMMEDIATE RELEASE
BLUELINX ANNOUNCES SECOND-QUARTER RESULTS
- Debt principal reduction of $63.6 million from Q2 2015 -
- Net working capital reduced by $64.5 million from Q2 2015 -
ATLANTA - August 4, 2016 - BlueLinx Holdings Inc. (NYSE: BXC), a leading distributor of building and industrial products in North America, today reported financial results for the fiscal second quarter ended July 2, 2016.
“We are pleased to report our second quarter results and the significant progress we’re making on our key strategic initiatives of reducing working capital, exiting underperforming facilities, and monetizing certain real estate. We were able to execute on these important activities while still improving our same center sales volume, operational efficiency, and adjusted EBITDA. Our team is energized to continue our focus on deleveraging our balance sheet, garnering market share and improving our operating results,” said Mitch Lewis, President and Chief Executive Officer.
Susan O’Farrell, Senior Vice President and Chief Financial Officer added, “As previously announced on April 21st, our primary focus is on deleveraging the balance sheet. We have decreased our debt principal by $63.6 million and our net working capital by $64.5 million when compared to the same period a year ago primarily through our inventory and facility rationalization. In addition, we are currently under contract to sell several of our closed facilities and are actively marketing certain operating facilities for sale leaseback opportunities.”
Second Quarter Results Compared to Prior Year Period
For the fiscal quarter ended July 2, 2016, BlueLinx generated net sales of $509.0 million, with a 1.7% increase in sales unit volume. When excluding closed facilities, revenue for same centers increased $8.3 million compared to the same period a year ago, with a 4.1% increase in sales unit volume.
The Company recorded gross profit in fiscal second quarter 2016 of $57.4 million with a gross margin of 11.3%, or 13.1% when excluding closed facilities and SKU rationalization.
The Company recorded a net loss of $3.1 million for fiscal second quarter 2016 compared to net income of $2.9 million from this period a year ago. The inventory and facility rationalization initiatives reduced net income by $7.7 million during the quarter. These charges included $1.2 million in severance and employee benefits charges. Excluding these severance and employee benefits charges, operating expenses remained comparable to the same period last year, even with increased sales volume.
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Adjusted EBITDA, which is a non-GAAP measure, for fiscal second quarter 2016 was $12.7 million, up $2.9 million versus $9.8 million for the same period a year ago.
Liquidity
As of July 2, 2016, the Company had $65.3 million of excess availability under its asset-based revolving credit facilities.
Conference Call
BlueLinx will host a conference call today at 10:00 a.m. Eastern Time, accompanied by a supporting slide presentation. Investors can listen to the conference call and view the accompanying slide presentation by going to the BlueLinx website, www.BlueLinxCo.com, and selecting the conference link on the Investor Relations page. Investors will be able to access an archived recording of the conference call for one week by calling 404-537-3406, Conference ID# 50544972. The recording will be available two hours after the conference call has concluded. Investors also can access a recording of this call on the BlueLinx website.
Use of Non-GAAP Measures
BlueLinx reports its financial results in accordance with accounting principles generally accepted in the United States (“GAAP”). The Company also believes that presentation of certain non-GAAP measures may be useful to investors. Any non-GAAP measures used herein are reconciled in the financial tables accompanying this news release. The Company cautions that non-GAAP measures should be considered in addition to, but not as a substitute for, the Company’s reported GAAP results.
We define Adjusted EBITDA as an amount equal to net income (loss) plus interest expense and all interest expense related items (e.g., write-off of debt issuance costs, charges associated with mortgage refinancing), income taxes, depreciation and amortization, and further adjusted to exclude certain non-cash items and other adjustments to Consolidated Net Income (Loss). We present Adjusted EBITDA because it is a primary measure used by management to evaluate operating performance and, we believe, helps to enhance investors’ overall understanding of the financial performance and cash flows of our business. However, Adjusted EBITDA is not a presentation made in accordance with GAAP, and is not intended to present a superior measure of the financial condition from those determined under GAAP. Adjusted EBITDA, as used herein, is not necessarily comparable to other similarly titled captions of other companies due to differences in methods of calculation.
We believe Adjusted EBITDA is helpful in highlighting operating trends. We also believe that Adjusted EBITDA is frequently used by securities analysts, investors and other interested parties in their evaluation of companies, many of which present an Adjusted EBITDA measure when reporting their results. We compensate for the limitations of using non-GAAP financial measures by using them to supplement GAAP results to provide a more complete understanding of the factors and trends affecting the business than using GAAP results alone.
We believe net working capital is helpful to investors in highlighting our operating efficiencies. Net working capital is defined as accounts receivable plus inventories less accounts payable and bank overdrafts. Management of net working capital helps us monitor our progress in meeting our goals to maximize our return on net working capital assets and our ability to easily convert assets into cash.
We believe comparable same center sales are helpful to investors to highlight our performance on a go-forward basis. Same center sales exclude closed centers which are defined as facility locations that have been announced closed and are no longer operating and generating revenue.
About BlueLinx Holdings Inc.
BlueLinx Holdings Inc., operating through its wholly owned subsidiary BlueLinx Corporation, is a leading distributor of building products in North America. The Company is headquartered in Atlanta, Georgia and operates its distribution business through its network of distribution centers. BlueLinx is traded on the New York Stock Exchange under the symbol BXC. Additional information about BlueLinx can be found on its website at www.BlueLinxCo.com.
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Forward-looking Statements
This press release includes “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995, including statements relating to our ability to return to profitability, and our guidance regarding anticipated financial results. All of these forward-looking statements are based on estimates and assumptions made by our management that, although believed by BlueLinx to be reasonable, are inherently uncertain. Forward-looking statements involve risks and uncertainties, including, but not limited to, economic, competitive, governmental and technological factors outside of BlueLinx’s control that may cause its business, strategy or actual results to differ materially from the forward-looking statements. These risks and uncertainties may include, among other things: changes in the prices, supply and/or demand for products that it distributes, general economic and business conditions in the United States; the activities of competitors; changes in significant operating expenses; changes in the availability of capital and interest rates; adverse weather patterns or conditions; acts of cyber intrusion; variations in the performance of the financial markets, including the credit markets; and other factors described in the “Risk Factors” section in the Company’s Annual Report on Form 10-K for the year ended January 2, 2016, its Quarterly Reports on Form 10-Q, and in its periodic reports filed with the Securities and Exchange Commission from time to time. Given these risks and uncertainties, you are cautioned not to place undue reliance on forward-looking statements. BlueLinx undertakes no obligation to publicly update or revise any forward-looking statement as a result of new information, future events, and changes in expectation or otherwise, except as required by law.
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BLUELINX HOLDINGS INC.
CONDENSED CONSOLIDATED STATEMENTS OF OPERATIONS AND
COMPREHENSIVE INCOME (LOSS)
(In thousands, except per share data)
(unaudited)
Three Months Ended | Six Months Ended | ||||||||||||||
July 2, 2016 | July 4, 2015 | July 2, 2016 | July 4, 2015 | ||||||||||||
Net sales | $ | 509,011 | $ | 515,656 | $ | 983,337 | $ | 970,605 | |||||||
Cost of sales | 451,624 | 455,673 | 868,354 | 860,426 | |||||||||||
Gross profit | 57,387 | 59,983 | 114,983 | 110,179 | |||||||||||
Operating expenses: | |||||||||||||||
Selling, general, and administrative | 52,294 | 50,675 | 107,093 | 100,711 | |||||||||||
Depreciation and amortization | 2,396 | 2,438 | 4,872 | 4,716 | |||||||||||
Total operating expenses | 54,690 | 53,113 | 111,965 | 105,427 | |||||||||||
Operating income | 2,697 | 6,870 | 3,018 | 4,752 | |||||||||||
Non-operating expenses (income): | |||||||||||||||
Interest expense | 6,250 | 6,690 | 13,457 | 13,243 | |||||||||||
Other expense (income), net | 135 | 29 | (237 | ) | 387 | ||||||||||
Income (loss) before benefit from income taxes | (3,688 | ) | 151 | (10,202 | ) | (8,878 | ) | ||||||||
Benefit from income taxes | (544 | ) | (2,719 | ) | (913 | ) | (2,803 | ) | |||||||
Net income (loss) | $ | (3,144 | ) | $ | 2,870 | $ | (9,289 | ) | $ | (6,075 | ) | ||||
Weighted average common shares: | |||||||||||||||
Basic | 8,895 | 8,739 | 8,886 | 8,728 | |||||||||||
Diluted | 8,895 | 8,786 | 8,886 | 8,728 | |||||||||||
Basic and diluted net income (loss) per share applicable to common stock | $ | (0.35 | ) | $ | 0.33 | $ | (1.05 | ) | $ | (0.70 | ) | ||||
Comprehensive income (loss): | |||||||||||||||
Net income (loss) | $ | (3,144 | ) | $ | 2,870 | $ | (9,289 | ) | $ | (6,075 | ) | ||||
Other comprehensive income (loss): | |||||||||||||||
Foreign currency translation, net of tax | 34 | (34 | ) | 306 | (316 | ) | |||||||||
Amortization of unrecognized pension loss, net of tax | 223 | 211 | 447 | 422 | |||||||||||
Pension curtailment, net of tax | (12,185 | ) | 6,102 | (12,185 | ) | 6,102 | |||||||||
Total other comprehensive income (loss) | (11,928 | ) | 6,279 | (11,432 | ) | 6,208 | |||||||||
Comprehensive income (loss) | $ | (15,072 | ) | $ | 9,149 | $ | (20,721 | ) | $ | 133 | |||||
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BLUELINX HOLDINGS INC.
CONDENSED CONSOLIDATED BALANCE SHEETS
(In thousands, except share data)
(unaudited)
July 2, 2016 | January 2, 2016 | ||||||
Assets: | |||||||
Current assets: | |||||||
Cash | $ | 5,240 | $ | 4,808 | |||
Receivables, less allowances of $3.4 million and $3.2 million, respectively | 181,623 | 138,545 | |||||
Inventories, net | 214,802 | 226,660 | |||||
Other current assets | 28,562 | 32,011 | |||||
Total current assets | 430,227 | 402,024 | |||||
Property and equipment: | |||||||
Land and land improvements | 35,926 | 40,108 | |||||
Buildings | 80,630 | 89,006 | |||||
Machinery and equipment | 78,646 | 79,173 | |||||
Construction in progress | 349 | 255 | |||||
Property and equipment, at cost | 195,551 | 208,542 | |||||
Accumulated depreciation | (105,628 | ) | (106,966 | ) | |||
Property and equipment, net | 89,923 | 101,576 | |||||
Other non-current assets | 9,784 | 9,542 | |||||
Total assets | $ | 529,934 | $ | 513,142 | |||
Liabilities: | |||||||
Current liabilities: | |||||||
Accounts payable | $ | 96,830 | $ | 88,087 | |||
Bank overdrafts | 17,330 | 17,287 | |||||
Accrued compensation | 6,829 | 4,165 | |||||
Current maturities of long-term debt | 62,653 | 6,611 | |||||
Other current liabilities | 12,942 | 14,023 | |||||
Total current liabilities | 196,584 | 130,173 | |||||
Non-current liabilities: | |||||||
Long-term debt | 340,222 | 377,773 | |||||
Pension benefit obligation | 45,755 | 36,791 | |||||
Other non-current liabilities | 12,934 | 14,301 | |||||
Total liabilities | 595,495 | 559,038 | |||||
Stockholders’ deficit: | |||||||
Common Stock, $0.01 par value, Authorized - 20,000,000 shares, Issued - 9,031,275 and 8,943,846 respectively. | 90 | 89 | |||||
Additional paid-in capital | 256,959 | 255,905 | |||||
Accumulated other comprehensive loss | (46,206 | ) | (34,774 | ) | |||
Accumulated stockholders’ deficit | (276,404 | ) | (267,116 | ) | |||
Total stockholders’ deficit | (65,561 | ) | (45,896 | ) | |||
Total liabilities and stockholders’ deficit | $ | 529,934 | $ | 513,142 | |||
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BLUELINX HOLDINGS INC.
CONDENSED CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
(unaudited)
Six Months Ended July 2, 2016 | Six Months Ended July 4, 2015 | ||||||
Net cash used in operating activities | $ | (25,943 | ) | $ | (46,247 | ) | |
Net cash provided by (used in) investing activities | 1,853 | (699 | ) | ||||
Cash flows from financing activities: | |||||||
Repayments on revolving credit facilities | (282,371 | ) | (187,394 | ) | |||
Borrowings from revolving credit facilities | 308,673 | 256,647 | |||||
Principal payments on mortgage | (9,431 | ) | (8,534 | ) | |||
Increase (decrease) in bank overdrafts | — | (15,428 | ) | ||||
Decrease in restricted cash related to the mortgage | 9,118 | — | |||||
Other, net | (1,467 | ) | (23 | ) | |||
Net cash provided by financing activities | 24,522 | 45,268 | |||||
Increase (decrease) in cash | 432 | (1,678 | ) | ||||
Cash balance, beginning of period | 4,808 | 4,522 | |||||
Cash balance, end of period | $ | 5,240 | $ | 2,844 | |||
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BLUELINX HOLDINGS INC.
RECONCILIATION OF NON-GAAP MEASUREMENTS
(In thousands)
(unaudited)
Quarter Ended | Six Months Ended | ||||||||||||||
Adjusted EBITDA | July 2, 2016 | July 4, 2015 | July 2, 2016 | July 4, 2015 | |||||||||||
Net income (loss) | $ | (3,144 | ) | $ | 2,870 | $ | (9,289 | ) | $ | (6,075 | ) | ||||
Adjustments: | |||||||||||||||
Depreciation and amortization | 2,396 | 2,438 | 4,872 | 4,716 | |||||||||||
Interest expense | 6,250 | 6,690 | 13,457 | 13,243 | |||||||||||
Benefit from income taxes | (544 | ) | (2,719 | ) | (913 | ) | (2,803 | ) | |||||||
Gain from the sale of properties | (384 | ) | — | (761 | ) | — | |||||||||
Share-based compensation expense, excluding restructuring | 430 | 519 | 845 | 1,135 | |||||||||||
Restructuring, severance, and legal | 7,581 | (36 | ) | 8,069 | (65 | ) | |||||||||
Refinancing-related expenses | 69 | — | 3,385 | — | |||||||||||
Adjusted EBITDA | $ | 12,654 | $ | 9,762 | $ | 19,665 | $ | 10,151 | |||||||
Quarter Ended | Six Months Ended | ||||||||||||||
Comparable Same Center Schedule | July 2, 2016 | July 4, 2015 | July 2, 2016 | July 4, 2015 | |||||||||||
Net sales | $ | 509,011 | $ | 515,656 | $ | 983,337 | $ | 970,605 | |||||||
Less: closed centers | 31,164 | 46,121 | 65,861 | 90,973 | |||||||||||
Same center net sales | $ | 477,847 | $ | 469,535 | $ | 917,476 | $ | 879,632 | |||||||
Actual year-over-year percentage increase (decrease) | (1.3 | )% | 1.3 | % | |||||||||||
Same center year-over-year percentage increase | 1.8 | % | 4.3 | % | |||||||||||
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BLUELINX HOLDINGS INC.
ADDITIONAL INFORMATION
(In thousands)
(unaudited)
Quarter Ended | |||||||
Debt principal | July 2, 2016 | July 4, 2015 | |||||
Revolving credit facilities - principal | $ | 246,858 | $ | 300,020 | |||
Mortgage - principal | 158,769 | 169,188 | |||||
Total debt principal payable | $ | 405,627 | $ | 469,208 | |||
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BlueLinx Quarterly Review
Second Quarter 2016
2
Forward-Looking Statement Safe Harbor - This presentation includes "forward-looking statements" within the
meaning of the Private Securities Litigation Reform Act of 1995. All of these forward-looking statements are based on
estimates and assumptions made by our management that, although believed by us to be reasonable, are inherently
uncertain. Forward-looking statements involve risks and uncertainties, including, but not limited to, economic,
competitive, governmental and technological factors outside of our control, that may cause our business, strategy or
actual results to differ materially from the forward-looking statements. These risks and uncertainties may include, among
other things: changes in the prices, supply, and/or demand for products which we distribute; general economic and
business conditions in the United States; the activities of competitors; changes in significant operating expenses;
changes in the availability of capital and interest rates; adverse weather patterns or conditions; acts of cyber intrusion;
and other factors described in the “Risk Factors” section in the Company’s Annual Report on Form 10-K for the year
ended January 2, 2016, and in its periodic reports filed with the Securities and Exchange Commission from time to
time. In addition, the statements in this presentation are made as of August 4, 2016. We undertake no obligation to
update any of the forward-looking statements made herein, whether as a result of new information, future events,
changes in expectation or otherwise. These forward-looking statements should not be relied upon as representing our
views as of any date subsequent to August 4, 2016.
Use of Non-GAAP and Adjusted Financial Information - The Company reports its financial results in accordance with
accounting principles generally accepted in the U.S. (“GAAP”). The Company also believes that presentation of certain
non-GAAP measures may be useful to investors. Any non-GAAP measures used herein are reconciled to the most
relevant GAAP presentation. The Company cautions that non-GAAP measures should be considered in addition to, but
not as a substitute for, the Company’s reported GAAP results.
Immaterial Rounding Differences - Immaterial rounding adjustments and differences may exist between slides, press
releases, and previously issued presentations.
BlueLinx Holdings Inc.
3
Mitch Lewis
Chief Executive Officer
4
Key Emphasis
• Continue initiatives to delever the Company
◦ Real estate monetization
◦ Close inventory management and processes
• Emphasize local customer interaction to grow market
share
• Sales excellence initiatives
Key Emphasis for BlueLinx
5
Susan O’Farrell
Chief Financial Officer and Treasurer
6
Executive Summary – Second Quarter Results
• Net Sales of $509.0 million
◦ Net sales down while same center sales up $8.3 million
from Q2 2015
• Sales unit volume increased 1.7% from Q2 2015
◦ Same center sales unit volume increased by 4.1%
• Net loss of $3.1 million
◦ Inventory and facility rationalization initiatives reduced net
income by $7.7 million
• Adjusted EBITDA of $12.7 million, up $2.9 million from Q2 2015
• Debt principal reduction of $63.6 million from Q2 2015
7
2016 2015
in millions Q2 Q2
Net sales $ 509.0 $ 515.7
Less: closed centers 31.1 46.1
Same center net sales $ 477.9 $ 469.6
Revenue
• Net sales decreased 1.3% from Q2 2015
• Sales unit volume up 1.7%
• Specialty volume increased 3.7%
• Structural volume decreased 1.2%
• Comparable same center sales up 1.8% from Q2 2015
• Comparable same center sales unit volumes up 4.1%
• Specialty volume increased 5.5%
• Structural volume decreased 2.2%
8
Quarterly Revenues
% by Product Total Revenues
in millions
9
Gross Margin
10
2016 2015
in millions Q2 Q2
Selling, general, and administrative $ 52.3 $ 50.7
Depreciation and amortization 2.4 2.4
Total operating expenses $ 54.7 $ 53.1
Operating Expenses
• Selling, general, and administrative expenses were up by $1.6 million for the
quarter, primarily in restructuring charges related to severance and sales
incentives associated with the facility closures
• When excluding the severance charges, operating expenses remained
comparable year over year even with increased sales volume
11
Cash Cycle Days
9 day reduction
• Cash cycle days for the second quarter 2016 were 54 days, a nine day
improvement from second quarter 2015 and a 10 day improvement from
second quarter 2014
• Net working capital improved by $64.5 million from June 2016 compared
to June 2015
1 Including outstanding checks
2 Cash Cycle days calculated on a trailing three month basis
2Q '14 2Q '15 2Q '16
Inventory 52 54 45
Accounts Receivable 36 35 33
Accounts Payable1 (24) (26) (24)
Cash Cycle Days2 64 63 54
12
TOPIC PAGE
Statements of Operations 13
Adjusted EBITDA 14
Comparable Same Center Schedule 15
Debt Principal 16
Appendix
13
Statements of Operations
$ in millions except per share amounts
2016 2015
Q2 Q2
Net sales $ 509.0 $ 515.7
Cost of sales 451.6 455.7
Gross profit 57.4 60.0
Gross margin % 11.3 % 11.6 %
Operating expenses:
Selling, general, and administrative 52.3 50.7
Depreciation and amortization 2.4 2.4
Total operating expenses 54.7 53.1
Net operating income 2.7 6.9
Non-operating (income) expenses:
Interest expense 6.3 6.7
Other (income) expense, net 0.1 —
Loss before benefit from income taxes (3.7 ) 0.2
Benefit from income taxes (0.6 ) (2.7 )
Net income (loss) $ (3.1 ) $ 2.9
Basic and diluted net loss per share applicable to common stock $ (0.35 ) $ 0.33
14
Adjusted EBITDA
$ in millions
2016 2015
Q2 Q2
Net income (loss) $ (3.1 ) $ 2.9
Adjustments:
Depreciation and amortization 2.4 2.4
Interest expense 6.3 6.7
Benefit from income taxes (0.5 ) (2.7 )
Gain from the sale of properties (0.4 ) —
Share-based compensation expense, excluding restructuring 0.4 0.5
Restructuring, severance, and legal 7.5 —
Refinancing-related expenses 0.1 —
Adjusted EBITDA $ 12.7 $ 9.8
15
Comparable Same Center Schedule
$ in millions
2016 2015
Q2 Q2
Net sales $ 509.0 $ 515.7
Less: closed centers 31.2 46.1
Same center net sales $ 477.8 $ 469.5
Actual year-over-year percentage decrease (1.3 )%
Same center year-over-year percentage increase 1.8 %
16
Debt Principal
$ in millions
2016 2015
Q2 Q2
Revolving credit facilities - principal $ 246.8 $ 300.0
Mortgage - principal 158.8 169.2
Total debt principal payable $ 405.6 $ 469.2
www.BlueLinxco.com