—Fifth Consecutive Quarter of Gross Margin Expansion—
—Industry-Leading Operational Performance at Pre-Pandemic Levels—
—34% Growth in Adjusted EBITDA Year-Over-Year—
Selected Financial Highlights:
Third Quarter FY 2023
- Net sales of
$166.1 million - Gross margin expanded 710 basis points to 37.6%
- Net income of
$5.7 million ; Adjusted net income of$11.2 million - Diluted EPS of
$0.15 ; Adjusted diluted EPS was$0.30 - Adjusted EBITDA of
$15.4 million , up$3.9 million year-over-year - Backlog of
$134.5 million
Management Commentary
CEO
Overview
Third Quarter Fiscal 2023 Results
Third quarter 2023 consolidated net sales were
Capital expenditures in the third quarter of fiscal year 2023 were
Three Months Ended | Nine Months Ended | ||||||||||||||||
(Unaudited) | |||||||||||||||||
(Amounts in Millions) | 2023 | 2022 | % Change | 2023 | 2022 | % Change | |||||||||||
Workplace * | $ | 112.0 | $ | 119.8 | (7 | %) | $ | 368.3 | $ | 336.3 | 10 | % | |||||
Health | 25.2 | 26.6 | (5 | %) | 82.3 | 76.2 | 8 | % | |||||||||
Hospitality | 28.9 | 34.5 | (16 | %) | 76.3 | 76.4 | 0 | % | |||||||||
Total |
$ | 166.1 | $ | 180.9 | (8 | %) | $ | 526.9 | $ | 488.9 | 8 | % |
Orders Received by End Market | |||||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||||
(Unaudited) | |||||||||||||||||
(Amounts in Millions) | 2023 | 2022 | % Change | 2023 | 2022 | % Change | |||||||||||
Workplace * | $ | 116.3 | $ | 121.0 | (4 | %) | $ | 352.0 | $ | 377.8 | (7 | %) | |||||
Health | 23.1 | 26.8 | (14 | %) | 74.0 | 86.5 | (14 | %) | |||||||||
Hospitality | 24.1 | 17.5 | 38 | % | 77.2 | 68.4 | 13 | % | |||||||||
Total Orders | $ | 163.5 | $ | 165.3 | (1 | %) | $ | 503.2 | $ | 532.7 | (6 | %) |
* Workplace end market includes education, government, commercial, and financial vertical markets and eBusiness
Summary
“I am incredibly proud of what we have built at
In light of the pending acquisition by HNI Corporation, and as is customary during such transactions,
Non-GAAP Financial Measures
This press release contains non-GAAP financial measures. A non-GAAP financial measure is a numerical measure of a company’s financial performance that excludes or includes amounts so as to be different than the most directly comparable measure calculated and presented in accordance with Generally Accepted Accounting Principles (“GAAP”) in
- adjusted selling and administrative expense, defined as selling and administrative expense excluding HNI merger related charges, market valuation adjustments related to our SERP liability,
Poppin acquisition-related amortization adjustments, and COVID vaccine incentive costs; - adjusted selling and administrative expense percentage, defined as adjusted selling and administrative expense as a percentage of net sales;
- adjusted operating income (loss), defined as operating income (loss) excluding HNI merger related charges, restructuring expenses, goodwill impairment, a gain on a sale of a warehouse, market valuation adjustments related to our SERP liability,
Poppin acquisition-related amortization and inventory valuation adjustments, contingent earn-out gain or loss, and COVID vaccine incentive costs; - adjusted operating income (loss) percentage, defined as adjusted operating income as a percentage of net sales;
- adjusted net income (loss), defined as net income (loss) excluding HNI merger related charges, restructuring expenses, goodwill impairment, a gain on sale of a warehouse,
Poppin acquisition-related amortization and inventory valuation adjustments, contingent earn-out gain or loss, and COVID vaccine incentive costs; - adjusted diluted earnings (loss) per share, defined as diluted earnings (loss) per share excluding HNI merger related charges, restructuring expenses, goodwill impairment, a gain on sale of a warehouse,
Poppin acquisition-related amortization and inventory valuation adjustments, contingent earn-out gain or loss, and COVID vaccine incentive costs; - adjusted EBITDA, defined as earnings before interest, statutory income tax impacts for taxable after-tax measures, depreciation, and amortization and excluding HNI merger related charges, restructuring expenses, goodwill impairment, a gain on sale of a warehouse,
Poppin acquisition-related inventory valuation adjustments, contingent earn-out gain or loss, and COVID vaccine incentive costs; and - adjusted EBITDA percentage, defined as adjusted EBITDA as a percentage of net sales.
Reconciliations of the reported GAAP numbers to these non-GAAP financial measures are included in the tables below. Management believes that adjusted EBITDA and other metrics excluding HNI merger related charges, restructuring expense, goodwill impairment, a gain on sale of a warehouse, market value adjustments related to the SERP liability,
The orders received metric is a key performance indicator used to evaluate general sales trends and develop future operating plans. Orders received represent firm orders placed by our customers during the current quarter which are expected to be recognized as revenue during current or future quarters. The orders received metric is not intended to be presented as an alternative measure of revenue recognized in accordance with GAAP.
FORWARD-LOOKING STATEMENTS
This communication contains “forward-looking statements” within the meaning of Section 27A of the Securities Act of 1933, as amended, and Rule 175 promulgated thereunder, and Section 21E of the Securities Exchange Act of 1934, as amended, and Rule 3b-6 promulgated thereunder, which involve inherent risks and uncertainties. Any statements about HNI’s, Kimball’s or the combined company’s plans, objectives, expectations, strategies, beliefs, or future performance or events constitute forward-looking statements. Such statements are identified as those that include words or phrases such as “believes,” “expects,” “anticipates,” “plans,” “trend,” “objective,” “continue,” or similar expressions or future or conditional verbs such as “will,” “would,” “should,” “could,” “might,” “may,” or similar expressions. Forward-looking statements involve known and unknown risks, uncertainties, assumptions, estimates, and other important factors that change over time and could cause actual results to differ materially from any results, performance, or events expressed or implied by such forward-looking statements. Such forward-looking statements include but are not limited to statements about the benefits of the business combination transaction between HNI and Kimball (the “Transaction”), including future financial and operating results, the combined company’s plans, objectives, expectations and intentions, and other statements that are not historical facts.
These forward-looking statements are subject to risks and uncertainties that may cause actual results to differ materially from those projected. In addition to factors previously disclosed in HNI’s and Kimball’s reports filed with the
These factors are not necessarily all of the factors that could cause HNI’s, Kimball’s or the combined company’s actual results, performance, or achievements to differ materially from those expressed in or implied by any of the forward-looking statements. Other unknown or unpredictable factors also could harm HNI’s, Kimball’s or the combined company’s results.
All forward-looking statements attributable to HNI, Kimball, or the combined company, or persons acting on HNI’s or Kimball’s behalf, are expressly qualified in their entirety by the cautionary statements set forth above. Forward-looking statements speak only as of the date they are made and HNI and Kimball do not undertake or assume any obligation to update publicly any of these statements to reflect actual results, new information or future events, changes in assumptions, or changes in other factors affecting forward-looking statements, except to the extent required by applicable law. If HNI or Kimball update one or more forward-looking statements, no inference should be drawn that HNI or Kimball will make additional updates with respect to those or other forward-looking statements. Further information regarding HNI, Kimball and factors which could affect the forward-looking statements contained herein can be found in HNI’s Annual Report on Form 10-K, its Quarterly Reports on Form 10-Q, and its other filings with the
NO OFFER OR SOLICITATION
This communication is for informational purposes only and is not an offer to purchase, nor a solicitation of an offer to sell, subscribe for or buy any securities, nor the solicitation of any vote or approval in any jurisdiction pursuant to the proposed transactions or otherwise, nor shall there be any sale, issuance or transfer of securities in any jurisdiction in contravention of applicable law. No offer of securities shall be made except by means of a prospectus meeting the requirements of Section 10 of the Securities Act of 1933, as amended.
ADDITIONAL INFORMATION ABOUT THE TRANSACTION AND WHERE TO FIND IT
In connection with the Transaction, HNI filed with the
INVESTORS AND SECURITY HOLDERS ARE URGED TO READ THE REGISTRATION STATEMENT ON FORM S-4 AND THE JOINT PROXY STATEMENT/PROSPECTUS INCLUDED WITHIN THE REGISTRATION STATEMENT ON FORM S-4, AS WELL AS ANY OTHER RELEVANT DOCUMENTS FILED WITH THE SEC IN CONNECTION WITH THE TRANSACTION OR INCORPORATED BY REFERENCE INTO THE JOINT PROXY STATEMENT/PROSPECTUS, BECAUSE THEY WILL CONTAIN IMPORTANT INFORMATION REGARDING HNI, KIMBALL, THE TRANSACTION AND RELATED MATTERS.
Investors and security holders may obtain free copies of these documents and other documents filed with the
PARTICIPANTS IN THE SOLICITATION
HNI, Kimball, and certain of their respective directors and executive officers may be deemed to be participants in the solicitation of proxies from the shareholders of Kimball in connection with the Transaction under the rules of the
About
For over 70 years, our brands have seized opportunities to customize solutions into personalized experiences, turning ordinary spaces into meaningful places. Our family of brands includes Kimball, National, Etc., Interwoven,
Financial highlights for the third quarter ended
Condensed Consolidated Statements of Operations | |||||||||||||
(Unaudited) | Three Months Ended | ||||||||||||
(Amounts in Thousands, except per share data) | |||||||||||||
$ | 166,184 | 100.0 | % | $ | 180,918 | 100.0 | % | ||||||
Cost of Sales | 103,705 | 62.4 | % | 125,782 | 69.5 | % | |||||||
Gross Profit | 62,479 | 37.6 | % | 55,136 | 30.5 | % | |||||||
Selling and Administrative Expenses | 57,508 | 34.6 | % | 48,783 | 26.9 | % | |||||||
Other General (Income) Expense | 0 | 0.0 | % | (4,523 | ) | (2.5 | %) | ||||||
Contingent Earn-Out (Gain) Loss | 0 | 0.0 | % | 2,150 | 1.2 | % | |||||||
Restructuring Expense | 793 | 0.5 | % | 1,730 | 1.0 | % | |||||||
Operating Income (Loss) | 4,178 | 2.5 | % | 6,996 | 3.9 | % | |||||||
Other Income (Expense), net | 122 | 0.1 | % | (1,235 | ) | (0.7 | %) | ||||||
Income Before Taxes on Income | 4,300 | 2.6 | % | 5,761 | 3.2 | % | |||||||
Provision for Income Taxes | (1,391 | ) | (0.8 | %) | (534 | ) | (0.3 | %) | |||||
Net Income | $ | 5,691 | 3.4 | % | $ | 6,295 | 3.5 | % | |||||
Earnings Per Share of Common Stock: | |||||||||||||
Basic | $ | 0.16 | $ | 0.17 | |||||||||
Diluted | $ | 0.15 | $ | 0.17 | |||||||||
Average Number of Total Shares Outstanding: | |||||||||||||
Basic | 36,404 | 36,795 | |||||||||||
Diluted | 36,912 | 37,061 |
(Unaudited) | Nine Months Ended | ||||||||||||
(Amounts in Thousands, except per share data) | |||||||||||||
$ | 526,942 | 100.0 | % | $ | 488,931 | 100.0 | % | ||||||
Cost of Sales | 338,712 | 64.3 | % | 338,254 | 69.2 | % | |||||||
Gross Profit | 188,230 | 35.7 | % | 150,677 | 30.8 | % | |||||||
Selling and Administrative Expenses | 167,710 | 31.8 | % | 150,863 | 30.7 | % | |||||||
Other General (Income) Expense | 0 | 0.0 | % | (4,523 | ) | (0.9 | %) | ||||||
Contingent Earn-Out (Gain) Loss | (3,160 | ) | (0.6 | %) | (15,750 | ) | (3.2 | %) | |||||
Restructuring Expense | 2,842 | 0.5 | % | 4,195 | 0.9 | % | |||||||
Goodwill Impairment | 36,684 | 7.0 | % | 34,118 | 7.0 | % | |||||||
Operating Income (Loss) | (15,846 | ) | (3.0 | %) | (18,226 | ) | (3.7 | %) | |||||
Other Expense, net | (886 | ) | (0.2 | %) | (1,192 | ) | (0.3 | %) | |||||
Income (Loss) Before Taxes on Income | (16,732 | ) | (3.2 | %) | (19,418 | ) | (4.0 | %) | |||||
Provision for Income Taxes | 7,084 | 1.3 | % | 650 | 0.1 | % | |||||||
Net Income (Loss) | $ | (23,816 | ) | (4.5 | %) | $ | (20,068 | ) | (4.1 | %) | |||
Earnings (Loss) Per Share of Common Stock: | |||||||||||||
Basic | $ | (0.65 | ) | $ | (0.55 | ) | |||||||
Diluted | $ | (0.65 | ) | $ | (0.55 | ) | |||||||
Average Number of Total Shares Outstanding: | |||||||||||||
Basic | 36,566 | 36,788 | |||||||||||
Diluted | 36,566 | 36,788 |
(Unaudited) | |||||
Condensed Consolidated Balance Sheets | 2023 |
2022 |
|||
(Amounts in Thousands) | |||||
ASSETS | |||||
Cash and cash equivalents | $ | 18,768 | $ | 10,934 | |
Receivables, net | 49,543 | 79,301 | |||
Inventories | 89,633 | 97,969 | |||
Prepaid expenses and other current assets | 15,706 | 30,937 | |||
Property and Equipment, net | 96,740 | 96,970 | |||
Right of use operating lease assets | 17,338 | 12,839 | |||
11,160 | 47,844 | ||||
Other Intangible Assets, net | 51,250 | 54,767 | |||
Deferred Tax Assets | 18,219 | 14,472 | |||
Other Assets | 14,442 | 15,245 | |||
Total Assets | $ | 382,799 | $ | 461,278 | |
LIABILITIES AND SHAREHOLDERS’ EQUITY | |||||
Current maturities of long-term debt | 0 | 33 | |||
Accounts payable | 46,755 | 70,936 | |||
Customer deposits | 27,011 | 29,706 | |||
Current portion of operating lease liability | 5,768 | 6,096 | |||
Dividends payable | 3,786 | 3,623 | |||
Accrued expenses | 39,525 | 41,088 | |||
Long-term debt, less current maturities | 50,000 | 68,046 | |||
Long-term operating lease liability | 16,285 | 12,150 | |||
Other | 14,163 | 16,064 | |||
Shareholders’ Equity | 179,506 | 213,536 | |||
Total Liabilities and Shareholders’ Equity | $ | 382,799 | $ | 461,278 |
Condensed Consolidated Statements of Cash Flows | Nine Months Ended | ||||||
(Unaudited) | |||||||
(Amounts in Thousands) | 2023 |
2022 |
|||||
$ | 55,966 | $ | (6,602 | ) | |||
(16,599 | ) | (10,346 | ) | ||||
(32,105 | ) | 5,008 | |||||
Net Increase (Decrease) in Cash, Cash Equivalents, and Restricted Cash | 7,262 | (11,940 | ) | ||||
Cash, Cash Equivalents, and Restricted Cash at Beginning of Period | 11,996 | 25,727 | |||||
Cash, Cash Equivalents, and Restricted Cash at End of Period | $ | 19,258 | $ | 13,787 |
Reconciliation of Non-GAAP Financial Measures | |||||||||||||||
(Unaudited) | |||||||||||||||
(Amounts in Thousands, except per share data) | |||||||||||||||
Adjusted Gross Profit | |||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||
2023 |
2022 |
2023 |
2022 |
||||||||||||
Gross Profit, as reported | $ | 62,479 | $ | 55,136 | $ | 188,230 | $ | 150,677 | |||||||
Add: Pre-tax COVID vaccine incentive | 0 | 0 | 0 | 1,569 | |||||||||||
Add: Pre-tax Poppin Acquisition-related Inventory Valuation Adjustment | 0 | 48 | 0 | 253 | |||||||||||
Adjusted Gross Profit | $ | 62,479 | $ | 55,184 | $ | 188,230 | $ | 152,499 | |||||||
Adjusted Gross Profit % | 37.6 | % | 30.5 | % | 35.7 | % | 31.2 | % | |||||||
Adjusted Selling and Administrative Expense | |||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||
2023 |
2022 |
2023 |
2022 |
||||||||||||
Selling and Administrative Expense, as reported | $ | 57,508 | $ | 48,783 | $ | 167,710 | $ | 150,863 | |||||||
Less: Pre-tax HNI Merger-related charges | (3,853 | ) | 0 | (3,853 | ) | 0 | |||||||||
Less: Pre-tax Expense Adjustment to SERP Liability | (613 | ) | 887 | (773 | ) | 300 | |||||||||
Less: Pre-tax Poppin Acquisition-related Amortization | (1,502 | ) | (1,610 | ) | (4,506 | ) | (4,830 | ) | |||||||
Less: Pre-tax COVID Vaccine incentive | 0 | 0 | 0 | (1,140 | ) | ||||||||||
Adjusted Selling and Administrative Expense | $ | 51,540 | $ | 48,060 | $ | 158,578 | $ | 145,193 | |||||||
Adjusted Selling and Administrative Expense % | 31.0 | % | 26.6 | % | 30.1 | % | 29.7 | % | |||||||
Adjusted Operating Income (Loss) | |||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||
2023 |
2022 |
2023 |
2022 |
||||||||||||
Operating Income (Loss), as reported | $ | 4,178 | $ | 6,996 | $ | (15,846 | ) | $ | (18,226 | ) | |||||
Add: Pre-tax HNI Merger-related charges | 3,853 | 0 | 3,853 | 0 | |||||||||||
Add: Pre-tax Restructuring Expense | 793 | 1,730 | 2,842 | 4,195 | |||||||||||
Add: Pre-tax Goodwill Impairment | 0 | 0 | 36,684 | 34,118 | |||||||||||
Add: Pre-tax Other General (Income) Expense(1) | 0 | (4,523 | ) | 0 | (4,523 | ) | |||||||||
Add: Pre-tax Expense Adjustment to SERP Liability | 613 | (887 | ) | 773 | (300 | ) | |||||||||
Add: Pre-tax Poppin Acquisition-related Amortization | 1,502 | 1,610 | 4,506 | 4,830 | |||||||||||
Add: Pre-tax Poppin Acquisition-related Inventory Valuation Adjustment | 0 | 48 | 0 | 253 | |||||||||||
Add: Pre-tax Contingent Earn-Out (Gain) Loss | 0 | 2,150 | (3,160 | ) | (15,750 | ) | |||||||||
Add: Pre-tax COVID vaccine incentive | 0 | 0 | 0 | 2,709 | |||||||||||
Adjusted Operating Income (Loss) | $ | 10,939 | $ | 7,124 | $ | 29,652 | $ | 7,306 | |||||||
Adjusted Operating Income (Loss)% | 6.6 | % | 3.9 | % | 5.6 | % | 1.5 | % | |||||||
Adjusted Net Income (Loss) | |||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||
2023 |
2022 |
2023 |
2022 |
||||||||||||
Net Income (Loss), as reported | $ | 5,691 | $ | 6,295 | $ | (23,816 | ) | $ | (20,068 | ) | |||||
Pre-tax HNI Merger-related charges | 3,853 | 0 | 3,853 | 0 | |||||||||||
Tax on HNI Merger-related charges | 0 | 0 | 0 | 0 | |||||||||||
Add: HNI Merger-related charges | 3,853 | 0 | 3,853 | 0 | |||||||||||
Pre-tax Restructuring Expense | 793 | 1,730 | 2,842 | 4,195 | |||||||||||
Tax on Restructuring Expense | (204 | ) | (445 | ) | (731 | ) | (1,079 | ) | |||||||
Add: After-tax Restructuring Expense | 589 | 1,285 | 2,111 | 3,116 | |||||||||||
Pre-tax Goodwill Impairment | 0 | 0 | 36,684 | 34,118 | |||||||||||
Tax on Goodwill Impairment | 0 | 0 | 0 | 0 | |||||||||||
Add: After-tax Goodwill Impairment | 0 | 0 | 36,684 | 34,118 | |||||||||||
Pre-tax Other General (Income) Expense(1) | 0 | (4,523 | ) | 0 | (4,523 | ) | |||||||||
Tax on Other General (Income) Expense | 0 | 1,164 | 0 | 1,164 | |||||||||||
Add: After-tax Other General (Income) Expense | 0 | (3,359 | ) | 0 | (3,359 | ) | |||||||||
Pre-tax Poppin Acquisition-related Amortization | 1,502 | 1,610 | 4,506 | 4,830 | |||||||||||
Tax on Poppin Acquisition-related Amortization | (387 | ) | (414 | ) | (1,160 | ) | (1,243 | ) | |||||||
Add: After-tax Poppin Acquisition-related Amortization | 1,115 | 1,196 | 3,346 | 3,587 | |||||||||||
Pre-tax Poppin Acquisition-related Inventory Valuation Adjustment | 0 | 48 | 0 | 253 | |||||||||||
Tax on Poppin Acquisition-related Inventory Valuation Adjustment | 0 | (12 | ) | 0 | (65 | ) | |||||||||
Add: After-tax Poppin Acquisition-related Inventory Adjustment | 0 | 36 | 0 | 188 | |||||||||||
Pre-tax Contingent Earn-Out (Gain) Loss | 0 | 2,150 | (3,160 | ) | (15,750 | ) | |||||||||
Tax on Contingent Earn-Out (Gain) Loss | 0 | 0 | 0 | 0 | |||||||||||
Add: After-tax Contingent Earn-Out (Gain) Loss | 0 | 2,150 | (3,160 | ) | (15,750 | ) | |||||||||
Pre-tax COVID Vaccine Incentive | 0 | 0 | 0 | 2,709 | |||||||||||
Tax on COVID Vaccine Incentive | 0 | 0 | 0 | (697 | ) | ||||||||||
Add: After-tax COVID Vaccine Incentive | 0 | 0 | 0 | 2,012 | |||||||||||
Adjusted Net Income (Loss) | $ | 11,248 | $ | 7,603 | $ | 19,018 | $ | 3,844 | |||||||
Adjusted Diluted Earnings (Loss) Per Share | |||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||
2023 |
2022 |
2023 |
2022 |
||||||||||||
Diluted Earnings (Loss) Per Share, as reported | $ | 0.15 | $ | 0.17 | $ | (0.65 | ) | $ | (0.55 | ) | |||||
Add: After-tax HNI Merger-related charges | 0.11 | 0.00 | 0.11 | 0.00 | |||||||||||
Add: After-tax Restructuring Expense | 0.01 | 0.04 | 0.06 | 0.09 | |||||||||||
Add: After-tax Goodwill Impairment | 0.00 | 0.00 | 1.00 | 0.93 | |||||||||||
Add: After-tax Other General (Income) Expense(1) | 0.00 | (0.09 | ) | 0.00 | (0.09 | ) | |||||||||
Add: After-tax Poppin Acquisition-related Amortization | 0.03 | 0.03 | 0.09 | 0.10 | |||||||||||
Add: After-tax Poppin Acquisition-related Inventory Valuation Adjustment | 0.00 | 0.00 | 0.00 | 0.01 | |||||||||||
Add: After-tax Contingent Earn-Out (Gain) Loss | 0.00 | 0.06 | (0.09 | ) | (0.43 | ) | |||||||||
Add: After-tax COVID Vaccine Incentive | 0.00 | 0.00 | 0.00 | 0.05 | |||||||||||
Adjusted Diluted Earnings (Loss) Per Share | $ | 0.30 | $ | 0.21 | $ | 0.52 | $ | 0.11 |
Adjusted EBITDA | |||||||||||||||
Three Months Ended | Nine Months Ended | ||||||||||||||
2023 |
2022 |
2023 |
2022 |
||||||||||||
Net Income (Loss) | $ | 5,691 | $ | 6,295 | $ | (23,816 | ) | $ | (20,068 | ) | |||||
Provision for Income Taxes | (1,391 | ) | (534 | ) | 7,084 | 650 | |||||||||
Income (Loss) Before Taxes on Income | 4,300 | 5,761 | (16,732 | ) | (19,418 | ) | |||||||||
Interest Expense | 668 | 390 | 2,045 | 922 | |||||||||||
Interest Income | (165 | ) | (25 | ) | (354 | ) | (77 | ) | |||||||
Depreciation | 3,720 | 3,635 | 11,160 | 10,820 | |||||||||||
Amortization | 2,268 | 2,358 | 6,682 | 7,212 | |||||||||||
Pre-tax HNI Merger-related charges | 3,853 | 0 | 3,853 | 0 | |||||||||||
Pre-tax Restructuring Expense | 793 | 1,730 | 2,842 | 4,195 | |||||||||||
Pre-tax Goodwill Impairment | 0 | 0 | 36,684 | 34,118 | |||||||||||
Pre-tax Other General (Income) Expense(1) | 0 | (4,523 | ) | 0 | (4,523 | ) | |||||||||
Pre-tax Poppin Acquisition-related Inventory Valuation Adjustment | 0 | 48 | 0 | 253 | |||||||||||
Pre-tax Contingent Earn-Out (Gain) Loss | 0 | 2,150 | (3,160 | ) | (15,750 | ) | |||||||||
Pre-tax COVID Vaccine Incentive | 0 | 0 | 0 | 2,709 | |||||||||||
Adjusted EBITDA | $ | 15,437 | $ | 11,524 | $ | 43,020 | $ | 20,461 | |||||||
Adjusted EBITDA % | 9.3 | % | 6.4 | % | 8.2 | % | 4.2 | % |
(1) Third quarter fiscal year 2022 Other General (Income) Expense consists of a gain realized on the sale of a warehouse totaling
Supplementary Information | |||||||||||||||
Components of Other Income (Expense), net | Three Months Ended | Nine Months Ended | |||||||||||||
(Unaudited) | |||||||||||||||
(Amounts in Thousands) | 2023 |
2022 |
2023 |
2022 |
|||||||||||
Interest Income | $ | 165 | $ | 25 | $ | 354 | $ | 77 | |||||||
Interest Expense | (668 | ) | (390 | ) | (2,045 | ) | (922 | ) | |||||||
Gain (Loss) on Supplemental Employee Retirement Plan Investments | 613 | (887 | ) | 773 | (300 | ) | |||||||||
Other Non-Operating Income (Expense) | 12 | 17 | 32 | (47 | ) | ||||||||||
Other Income (Expense), net | $ | 122 | $ | (1,235 | ) | $ | (886 | ) | $ | (1,192 | ) |
For additional information contact:
Telephone 812.482.1600

Source: Kimball International, Inc.