CALHOUN, Ga., May 2, 2013 /PRNewswire/ -- Mohawk Industries,
Inc. (NYSE: MHK) today announced 2013 first quarter net earnings of
$50 million and diluted earnings per
share (EPS) of $0.72. Excluding
unusual charges, net earnings were $61
million and EPS was $0.87, a
50% increase over last year's first quarter EPS. Net sales for the
first quarter of 2013 were $1.5
billion, an increase of 5.5% versus the prior year's first
quarter. For the first quarter of 2012, net sales were $1.4 billion, net earnings were $40 million and EPS was $0.58.
Commenting on Mohawk Industries' first quarter performance,
Jeffrey S. Lorberbaum, Chairman and
CEO, stated, "Improvements in the U.S. market, product mix,
productivity improvements, lower amortization and the Pergo
acquisition all contributed to our results, offset by the negative
impact of a slower European economy and one less day in the period
compared to last year. During the quarter, we generated adjusted
EBITDA of $151 million and reduced
SG&A by 90 basis points, relative to net sales, across the
enterprise even as we increased investment in growth areas of the
business."
"In January we completed the acquisition of Pergo. In both the
U.S. and Europe, we are executing
our Pergo integration strategy, which includes asset consolidation,
manufacturing process improvements, product line enhancements, and
management, sales and administrative restructuring. After the first
quarter closed, we completed the acquisition of the Marazzi Group,
which makes Mohawk the global leader in ceramic tile. We also
received regulatory approval of our proposed acquisition of the
Belgian board manufacturer Spano in late April and expect to
complete the transaction shortly. For two decades, we have created
significant shareholder value through a dual strategy of growing
our established business while enhancing the performance of
acquired companies. With an experienced management team, we have
the resources and talent to execute these strategies. Regardless of
the pace of the global economic recovery, we remain committed to
driving innovation, operational excellence and geographic expansion
to optimize our business."
Mohawk segment sales were relatively flat during the first
quarter, with operating income rising 24%, excluding unusual
charges. Carpet sales growth was partially offset by home center
transitions that were completed late in the first quarter and lower
rug sales. Sales of our premium products in the specialty channel
continued to show strength, with expected improvement in the home
center channel as new introductions gain traction in the second
quarter. We began implementing a 4-6% carpet price increase during
the quarter to offset our material cost changes; however, the
timing of the implementation will not cover an estimated
$5 - $10 million of those higher
costs in the second quarter. We anticipate the price increase will
align with our material costs in the third quarter. During the
quarter, we built upon the success of our revolutionary
SmartStrand® Silk® collection by adding twelve products that
combine Silk's unsurpassed softness with contemporary styling. Our
exclusive Duracolor® commercial broadloom and tile products
expanded due to their exceptional styling, superior stain and soil
resistance, and improved value. We executed productivity
improvements across the business resulting in material yield
improvements, waste reduction, increased recycled content and
improved efficiencies.
Dal-Tile sales increased 5% as new residential construction,
commercial sales and our Mexican business continued to show
strength. Our positive results for the quarter were supported by
new product introductions featuring both rustic and polished
surfaces, new larger sizes and unique Reveal Imaging® designs. Our
margins were supported by higher volumes and improved labor
productivity, but were partially offset by rising energy costs. We
added sales representatives in both our Dal-Tile and American Olean
brands to increase our focus on new home construction, multifamily
projects and commercial specifications. Commercial sales grew
in the restaurant, retail and hospitality channels with large
projects utilizing high fashion designs, contemporary sizes and
sophisticated colors. In Mexico,
we continue to grow faster than the market by aggressively pursuing
new construction projects, adding distributors, improving product
mix and expanding home center penetration. During the quarter,
Dal-Tile improved costs by reducing off-quality production and
waste, increasing machine efficiency, achieving higher plant
utilization rates, and enhancing material formulations.
Unilin sales grew 20% or 19% at a constant exchange rate due
primarily to the Pergo acquisition. In the legacy Unilin business
sales improved in all product categories in the U.S., and in
insulation boards and wood flooring outside the U.S. This was
partially offset by lower Unilin laminate, wood panels and roofing
sales in Western Europe. Margins
improved from increased U.S. volume and lower amortization costs,
offset by volume, lower mix and material inflation in Europe excluding acquisitions. Our Livyn®
luxury vinyl tile collection is gaining traction across
Western Europe differentiated by
our Quick-Step® brand industry leading realism and an advanced
click installation system. In North
America our laminate flooring sales were enhanced by
introductions with rustic wood visuals in wide plank formats with
highly textured surfaces. Our wood flooring products are growing
with performance features such as Scotchgard® and ArmorMax® that
provide easy maintenance and industry-leading wear resistance and
new products with scraped surfaces that create fashionable
distressed looks. To offset rising lumber costs, we announced
another price increase of 10% for wood flooring that will be
effective in late May. Sales of our insulation board continue to
grow with an expanded product offering and increased geographic
penetration in France and
Germany. Construction of our new
insulation board plant in France
is ahead of schedule with production anticipated to begin in the
third quarter.
We delivered solid results this quarter through product
innovation, productivity improvements, market expansion and
strategic acquisitions. In all areas, we are driving cost and sales
initiatives to enhance our results. We are implementing price
increases as required, though our carpet prices will lag our costs
in the second quarter. We believe that both commercial and new
housing growth will continue this year, and we are anticipating
some improvement in residential remodeling. We remain optimistic
about the long-term prospects of our international businesses even
while challenges persist in some regional economies. In each of
these regions, we have leading market positions, highly recognized
brands, outstanding distribution channels and efficient
manufacturing that will benefit our results as those economies
improve. We anticipate each of our acquisitions contributing to our
sales and earnings this year, as we implement strategies to
maximize their potential. With these factors, our guidance for
second quarter earnings is $1.58 -
$1.67 per share, excluding any restructuring or acquisition
costs.
Mohawk Industries is a leading global flooring manufacturer that
creates products to enhance residential and commercial spaces
around the world. Mohawk's vertically integrated manufacturing and
distribution processes provide competitive advantages in the
production of carpet, rugs, ceramic tile, laminate, wood, stone and
vinyl flooring. Our industry-leading innovation has yielded
products and technologies that differentiate our brands in the
marketplace and satisfy all remodeling and new construction
requirements. Our brands are among the most recognized in the
industry and include American Olean, Bigelow, Dal-Tile, Durkan,
Karastan, Lees, Marazzi, Mohawk, Pergo, Unilin and Quick-Step.
During the past decade, Mohawk has transformed its business from an
American carpet manufacturer into the world's largest flooring
company with operations in Australia, Brazil, Canada, China, Europe, India, Malaysia, Mexico, Russia and the
United States.
Certain of the statements in the immediately preceding
paragraphs, particularly anticipating future performance, business
prospects, growth and operating strategies and similar matters and
those that include the words "could," "should," "believes,"
"anticipates," "expects," and "estimates," or similar expressions
constitute "forward-looking statements." For those statements,
Mohawk claims the protection of the safe harbor for forward-looking
statements contained in the Private Securities Litigation Reform
Act of 1995. There can be no assurance that the
forward-looking statements will be accurate because they are based
on many assumptions, which involve risks and uncertainties. The
following important factors could cause future results to differ:
changes in economic or industry conditions; competition; inflation
in raw material prices and other input costs; energy costs and
supply; timing and level of capital expenditures; timing and
implementation of price increases for the Company's products;
impairment charges; integration of acquisitions; international
operations; introduction of new products; rationalization of
operations; tax, product and other claims; litigation; and other
risks identified in Mohawk's SEC reports and public
announcements.
Conference call Friday, May 3, 2013 at 11:00 AM Eastern Time
The telephone number is 1-800-603-9255 for US/Canada and 1-706-634-2294 for
International/Local.
Conference ID # 32039923. A replay will be available until
May 17, 2013 by dialing
855-859-2056
for US/local calls and 404-537-3406 for International/Local calls
and entering Conference ID # 32039923.
MOHAWK
INDUSTRIES, INC. AND SUBSIDIARIES
|
|
|
|
|
|
|
|
|
|
Consolidated Statement of
Operations
|
|
Three
Months Ended
|
(Amounts in thousands, except per share
data)
|
|
March 30,
2013
|
|
March 31,
2012
|
|
|
|
|
|
Net
sales
|
|
$
1,486,815
|
|
1,409,035
|
Cost of
sales
|
|
1,109,749
|
|
1,049,609
|
Gross profit
|
|
377,066
|
|
359,426
|
Selling,
general and administrative expenses
|
|
290,224
|
|
287,450
|
Operating
income
|
|
86,842
|
|
71,976
|
Interest
expense
|
|
19,156
|
|
22,498
|
Other
expense (income), net
|
|
6,387
|
|
(1,825)
|
Earnings before income
taxes
|
|
61,299
|
|
51,303
|
Income tax
expense
|
|
10,732
|
|
10,291
|
Net
earnings
|
|
50,567
|
|
41,012
|
Net
earnings attributable to noncontrolling interest
|
|
(72)
|
|
(635)
|
Net earnings attributable to
Mohawk Industries, Inc.
|
|
$
50,495
|
|
40,377
|
Basic
earnings per share attributable to Mohawk Industries,
Inc.
|
|
$
0.73
|
|
0.59
|
Weighted-average common shares outstanding -
basic
|
|
69,375
|
|
68,862
|
Diluted
earnings per share attributable to Mohawk Industries,
Inc.
|
|
$
0.72
|
|
0.58
|
Weighted-average common shares outstanding -
diluted
|
|
69,897
|
|
69,141
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Other
Financial Information
|
|
|
|
|
(Amounts in thousands)
|
|
|
|
|
Net cash
used in operating activities
|
|
$
38,944
|
|
44,470
|
Depreciation and amortization
|
|
$
60,349
|
|
73,286
|
Capital
expenditures
|
|
$
63,282
|
|
43,251
|
|
|
|
|
|
Consolidated Balance Sheet Data
|
|
|
|
|
(Amounts in thousands)
|
|
|
|
|
|
|
March 30,
2013
|
|
March 31,
2012
|
ASSETS
|
|
|
|
|
Current
assets:
|
|
|
|
|
Cash and cash
equivalents
|
|
$
1,120,167
|
|
304,775
|
Receivables, net
|
|
825,659
|
|
782,000
|
Inventories
|
|
1,230,250
|
|
1,164,991
|
Prepaid expenses and other current
assets
|
|
157,011
|
|
136,752
|
Deferred income
taxes
|
|
113,519
|
|
156,110
|
Total
current assets
|
|
3,446,606
|
|
2,544,628
|
Property,
plant and equipment, net
|
|
1,729,916
|
|
1,718,396
|
Goodwill
|
|
1,394,062
|
|
1,390,712
|
Intangible
assets, net
|
|
569,356
|
|
599,625
|
Deferred
income taxes and other non-current assets
|
|
121,905
|
|
145,833
|
Total
assets
|
|
$
7,261,845
|
|
6,399,194
|
LIABILITIES AND STOCKHOLDERS'
EQUITY
|
|
|
|
|
Current
liabilities:
|
|
|
|
|
Current
portion of long-term debt
|
|
$
53,496
|
|
57,309
|
Accounts
payable and accrued expenses
|
|
824,135
|
|
721,383
|
Total
current liabilities
|
|
877,631
|
|
778,692
|
Long-term
debt, less current portion
|
|
2,253,020
|
|
1,642,419
|
Deferred
income taxes and other long-term liabilities
|
|
406,610
|
|
458,786
|
Total
liabilities
|
|
3,537,261
|
|
2,879,897
|
Total
stockholders' equity
|
|
3,724,584
|
|
3,519,297
|
Total
liabilities and stockholders' equity
|
|
$
7,261,845
|
|
6,399,194
|
|
|
|
|
|
Segment
Information
|
|
As of or
for the Three Months Ended
|
(Amounts in thousands)
|
|
March 30,
2013
|
|
March 31,
2012
|
|
|
|
|
|
Net
sales:
|
|
|
|
|
Mohawk
|
|
$
695,334
|
|
699,880
|
Dal-Tile
|
|
411,881
|
|
392,925
|
Unilin
|
|
404,475
|
|
337,424
|
Intersegment sales
|
|
(24,875)
|
|
(21,194)
|
Consolidated net sales
|
|
$
1,486,815
|
|
1,409,035
|
|
|
|
|
|
Operating
income (loss):
|
|
|
|
|
Mohawk
|
|
$
25,238
|
|
25,282
|
Dal-Tile
|
|
29,976
|
|
26,028
|
Unilin
|
|
38,693
|
|
27,146
|
Corporate and
eliminations
|
|
(7,065)
|
|
(6,480)
|
Consolidated operating income
|
|
$
86,842
|
|
71,976
|
|
|
|
|
|
Assets:
|
|
|
|
|
Mohawk
|
|
$
1,802,241
|
|
1,820,785
|
Dal-Tile
|
|
1,795,828
|
|
1,759,934
|
Unilin
|
|
2,469,264
|
|
2,620,013
|
Corporate and
eliminations
|
|
1,194,512
|
|
198,462
|
Consolidated assets
|
|
$
7,261,845
|
|
6,399,194
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of Net Earnings Attributable to
Mohawk Industries, Inc. to Adjusted Net Earnings Attributable to
Mohawk Industries, Inc. and Adjusted Diluted Earnings Per Share
Attributable to Mohawk Industries, Inc.
|
(Amounts in thousands, except per share
data)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months Ended
|
|
|
|
|
|
|
|
|
March 30,
2013
|
|
March 31,
2012
|
|
|
|
|
Net
earnings attributable to Mohawk Industries, Inc.
|
|
|
|
$
50,495
|
|
40,377
|
|
|
|
|
Adjusting
items:
|
|
|
|
|
|
|
|
|
|
|
|
Integration costs
|
|
|
|
|
1,634
|
|
-
|
|
|
|
|
Interest
on 3.85% senior notes
|
|
|
|
3,559
|
|
-
|
|
|
|
|
Business
restructurings
|
|
|
|
8,222
|
|
-
|
|
|
|
|
Income
taxes
|
|
|
|
|
(2,780)
|
|
-
|
|
|
|
|
Adjusted
net earnings attributable to Mohawk Industries, Inc.
|
|
$
61,130
|
|
40,377
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted
diluted earnings per share attributable to Mohawk Industries,
Inc.
|
|
$
0.87
|
|
0.58
|
|
|
|
|
Weighted-average common shares outstanding -
diluted
|
|
|
|
69,897
|
|
69,141
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of Total Debt to Net
Debt
|
|
|
|
|
|
|
|
|
|
|
(Amounts in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
March 30,
2013
|
|
|
|
|
|
|
|
|
Current
portion of long-term debt
|
|
$
53,496
|
|
|
|
|
|
|
|
|
Long-term
debt, less current portion
|
|
2,253,020
|
|
|
|
|
|
|
|
|
Less: Cash
and cash equivalents
|
|
1,120,167
|
|
|
|
|
|
|
|
|
Net
Debt
|
|
|
|
$
1,186,349
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of Operating Income to Adjusted
EBITDA
|
|
|
|
|
|
|
|
|
|
|
(Amounts in thousands)
|
|
|
|
|
|
|
|
|
|
|
Trailing
Twelve
|
|
|
|
|
Three
Months Ended
|
|
Months
Ended
|
|
|
|
|
June 30,
2012
|
|
September
29, 2012
|
|
December
31, 2012
|
|
March 30,
2013
|
|
March 30,
2013
|
Operating
income
|
|
|
$
107,718
|
|
103,954
|
|
95,860
|
|
86,842
|
|
394,374
|
Other
(expense) income
|
|
(440)
|
|
(322)
|
|
(1,366)
|
|
(6,387)
|
|
(8,515)
|
Net earnings attributable to
noncontrolling interest
|
|
-
|
|
-
|
|
-
|
|
(72)
|
|
(72)
|
Depreciation and amortization
|
|
71,831
|
|
71,298
|
|
63,878
|
|
60,349
|
|
267,356
|
EBITDA
|
|
|
179,109
|
|
174,930
|
|
158,372
|
|
140,732
|
|
653,143
|
Integration costs
|
|
|
-
|
|
-
|
|
-
|
|
1,634
|
|
1,634
|
Business
restructurings
|
|
|
|
8,226
|
|
4,229
|
|
6,109
|
|
8,222
|
|
26,786
|
Adjusted EBITDA
|
|
|
$
187,335
|
|
179,159
|
|
164,481
|
|
150,588
|
|
681,563
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Net Debt
to Adjusted EBITDA
|
|
|
|
|
|
|
|
|
|
1.7
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of Net Sales to Net Sales on a
Constant Exchange Rate
|
|
|
|
|
|
|
|
|
(Amounts in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months Ended
|
|
|
|
|
|
|
|
|
March 30,
2013
|
|
March 31,
2012
|
|
|
|
|
|
|
Net
sales
|
|
|
|
$
1,486,815
|
|
1,409,035
|
|
|
|
|
|
|
Adjustment
to net sales on a constant exchange rate
|
|
|
|
(2,079)
|
|
-
|
|
|
|
|
|
|
Net sales
on a constant exchange rate
|
|
$
1,484,736
|
|
1,409,035
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of Segment Net Sales to Segment Net
Sales on a Constant Exchange Rate
|
|
|
|
|
|
|
|
|
(Amounts in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months Ended
|
|
|
|
|
|
|
Dal-Tile
|
|
|
|
March 30,
2013
|
|
March 31,
2012
|
|
|
|
|
|
|
Net
sales
|
|
|
|
$
411,881
|
|
392,925
|
|
|
|
|
|
|
Adjustment
to segment net sales on a constant exchange rate
|
(489)
|
|
-
|
|
|
|
|
|
|
Segment
net sales on a constant exchange rate
|
|
$
411,392
|
|
392,925
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of Segment Net Sales to Segment Net
Sales on a Constant Exchange Rate
|
|
|
|
|
|
|
|
|
(Amounts in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months Ended
|
|
|
|
|
|
|
Unilin
|
|
|
|
March 30,
2013
|
|
March 31,
2012
|
|
|
|
|
|
|
Net
sales
|
|
|
|
$
404,475
|
|
337,424
|
|
|
|
|
|
|
Adjustment
to segment net sales on a constant exchange rate
|
(1,590)
|
|
-
|
|
|
|
|
|
|
Segment
net sales on a constant exchange rate
|
|
$
402,885
|
|
337,424
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of Operating Income to
Adjusted Operating Income
|
|
|
|
|
|
|
|
|
(Amounts in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months Ended
|
|
|
|
|
|
|
|
|
March 30,
2013
|
|
March 31,
2012
|
|
|
|
|
|
|
Operating
income
|
|
|
$
86,842
|
|
71,976
|
|
|
|
|
|
|
Adjustments to operating income:
|
|
|
|
|
|
|
|
|
|
|
Integration costs
|
|
|
1,634
|
|
-
|
|
|
|
|
|
|
Business
restructurings
|
|
8,222
|
|
-
|
|
|
|
|
|
|
Adjusted operating income
|
|
$
96,698
|
|
71,976
|
|
|
|
|
|
|
Adjusted operating margin as a percent
of net sales
|
|
6.5%
|
|
5.1%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of Segment Operating Income to
Adjusted Segment Operating Income
|
|
|
|
|
|
|
|
|
(Amounts in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months Ended
|
|
|
|
|
Mohawk
|
|
|
|
March 30,
2013
|
|
March 31,
2012
|
|
|
|
|
|
|
Operating
income
|
|
|
$
25,238
|
|
25,282
|
|
|
|
|
|
|
Adjustment
to segment operating income:
|
|
|
|
|
|
|
|
|
|
|
Business
restructurings
|
|
6,217
|
|
-
|
|
|
|
|
|
|
Adjusted segment operating income
|
|
$
31,455
|
|
25,282
|
|
|
|
|
|
|
Adjusted operating margin as a percent
of net sales
|
|
4.5%
|
|
3.6%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of Segment Operating Income to
Adjusted Segment Operating Income
|
|
|
|
|
|
|
|
|
(Amounts in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months Ended
|
|
|
|
|
Unilin
|
|
|
|
March 30,
2013
|
|
March 31,
2012
|
|
|
|
|
|
|
Operating
income
|
|
|
$
38,693
|
|
27,146
|
|
|
|
|
|
|
Adjustments to segment operating income:
|
|
|
|
|
|
|
|
|
|
|
Integration costs
|
|
|
1,634
|
|
-
|
|
|
|
|
|
|
Business
restructurings
|
|
1,542
|
|
-
|
|
|
|
|
|
|
Adjusted segment operating income
|
|
$
41,869
|
|
27,146
|
|
|
|
|
|
|
Adjusted operating margin as a percent
of net sales
|
|
10.4%
|
|
8.0%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of Segment Operating Income to
Adjusted Segment Operating Income
|
|
|
|
|
|
|
|
|
(Amounts in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months Ended
|
|
|
|
|
Dal-Tile
|
|
|
|
March 30, 2013
|
|
March 31,
2012
|
|
|
|
|
|
|
Operating
income
|
|
|
$
29,976
|
|
26,028
|
|
|
|
|
|
|
Adjustment
to segment operating income:
|
|
|
|
|
|
|
|
|
|
|
Business
restructurings
|
|
463
|
|
-
|
|
|
|
|
|
|
Adjusted segment operating income
|
|
$
30,439
|
|
26,028
|
|
|
|
|
|
|
Adjusted operating margin as a percent
of net sales
|
|
7.4%
|
|
6.6%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of Earnings Before Income Taxes to
Adjusted Earnings Before Income Taxes
|
|
|
|
|
|
|
|
(Amounts in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months Ended
|
|
|
|
|
|
|
|
|
|
|
March 30,
2013
|
|
March 31,
2012
|
|
|
|
|
|
|
Earnings
before income taxes
|
|
$
61,299
|
|
51,303
|
|
|
|
|
|
|
Adjustment
to earnings before income taxes:
|
|
|
|
|
|
|
|
|
|
|
Integration costs
|
|
|
1,634
|
|
-
|
|
|
|
|
|
|
Interest
on 3.85% senior notes
|
|
3,559
|
|
-
|
|
|
|
|
|
|
Business
restructurings
|
|
8,222
|
|
-
|
|
|
|
|
|
|
Adjusted earnings before income taxes
|
|
$
74,714
|
|
51,303
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Reconciliation of Income Tax Expense to Adjusted
Income Tax Expense
|
|
|
|
|
|
|
|
|
(Amounts in thousands)
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Three
Months Ended
|
|
|
|
|
|
|
|
|
|
|
March 30,
2013
|
|
March 31,
2012
|
|
|
|
|
|
|
Income tax
expense
|
|
|
$
10,732
|
|
10,291
|
|
|
|
|
|
|
Income tax
effect of adjusting items
|
|
|
|
2,780
|
|
-
|
|
|
|
|
|
|
Adjusted income tax expense
|
|
$
13,512
|
|
10,291
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
Adjusted
income tax rate
|
|
18%
|
|
20%
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
The
Company believes it is useful for itself and investors to review,
as applicable, both GAAP and the
|
|
|
|
|
|
|
above
non-GAAP measures in order to assess the performance of the
Company's business for
|
|
|
|
|
|
|
planning
and forecasting in subsequent periods.
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SOURCE Mohawk Industries, Inc.