Valspar Reports Fiscal 2012 Fourth-Quarter and Full-Year Results
MINNEAPOLIS - The Valspar Corp. has reported its results for the fourth quarter and fiscal year ended October 26, 2012. Fiscal year 2012 sales totaled $4.02 billion, a two percent increase from fiscal year 2011. Adjusted net income per share increased 24 percent to $3.28 in 2012 from $2.65 in 2011. Fiscal year 2012 adjusted net income per share excludes $0.18 per share in restructuring charges. Adjusted net income per share for 2011 excludes a $3.75 per share non-cash impairment charge for goodwill and intangibles, a $0.24 per share restructuring charge and $0.09 per share in acquisition-related charges. Reported net income for fiscal year 2012 was $292.5 million, or $3.10 per share. The reported net loss for fiscal year 2011 was $138.6 million, or $1.47 per share.
Fourth-quarter sales totaled $1.02 billion, compared to $1.05 billion for the fourth quarter of 2011. Excluding currency impact, sales were flat in the quarter. Fourth-quarter adjusted net income per share was $0.86 in 2012 compared to $0.84 in 2011. Last year’s net income per share included a one-time non-recurring benefit from favorable tax rulings that contributed $0.09. Fourth-quarter adjusted net income per share in 2012 excludes $0.07 per share in restructuring charges. Reported net income for the fourth quarter of 2012 was $73.8 million, or $0.79 per share.
Fourth-quarter adjusted net income per share in 2011 excludes a $3.82 per share non-cash impairment charge for goodwill and intangibles and a $0.13 per share restructuring charge. Including the after-tax non-cash impairment charge of $363.4 million in 2011, the reported net loss for the fourth quarter of 2011 was $295.7 million, or $3.18 per share.
"We are pleased to deliver our fourth consecutive year of double-digit earnings growth," said Gary E. Hendrickson, Chairman and Chief Executive Officer. "We overcame the challenge of uneven global markets by winning significant new business and through a relentless focus on productivity. We continued to invest in our brands and innovative technology to secure long-term growth. In addition, we returned cash to shareholders by repurchasing 5.7 million shares and increased our dividend for the 34th consecutive year."
Commenting on the outlook for 2013, Hendrickson noted, "We expect uneven global demand to continue, but we are well-positioned for growth in both our Coatings and Paints segments. We have a strong new product pipeline to help gain new market share. Additionally, our productivity initiatives and operating discipline will support further margin expansion. We estimate fiscal 2013 net income per share to be in the range of $3.65 to $3.85, delivering another year of double-digit earnings growth."