09.15.17
Brady Corporation reported its financial results for its fiscal 2017 fourth quarter ended July 31, 2017.
Sales for the quarter ended July 31, 2017, increased 2.5% to $289.2 million compared to $282.1 million in the same quarter last year. Total organic sales increased 3.0% and the impact of foreign currency translation decreased sales by 0.5%. By segment, organic sales increased 4.4% in Identification Solutions and decreased 0.6% in Workplace Safety.
Net earnings for the quarter ended July 31, 2017, were $25.2 million compared to $25.1 million in the same quarter last year. Earnings before income taxes increased 12.2% to $35.9 million for the quarter ended July 31, 2017 compared to $32.0 million for the quarter ended July 31, 2016.
Net earnings for the year ended July 31, 2017, were $95.6 million compared to $80.1 million last year. Earnings before income taxes increased 15.8% to $126.6 million for the year ended July 31, 2017, compared to $109.3 million last year.
Sales for the year ended July 31, 2017, decreased 0.7% to $1.11 billion compared to $1.12 billion last year. Total organic sales increased 0.5% and foreign currency translation decreased sales by 1.2%. By segment, organic sales increased 1.6% in Identification Solutions and decreased 2.0% in Workplace Safety.
“We finished fiscal 2017 with our eighth consecutive quarter of year-over-year improvement in pre-tax earnings. This is a direct result of our organic sales growth, our consistent focus on driving efficiencies throughout our SG&A structure, and our improved manufacturing processes,” said J. Michael Nauman, Brady’s president and CEO. “Organic sales growth was 3.0% this quarter.
“Our Identification Solutions business was the driver of our organic sales growth and is where we have been investing the most in the development of innovative new products,” Nauman noted. “This is beginning to generate improved organic sales trends. Our priorities for fiscal 2018 remain unchanged, which are to grow our pipeline of innovative new products, accelerate organic sales growth, provide excellent customer service and deliver operational efficiencies throughout our business.”
“During the year ended July 31, 2017, we increased our pre-tax earnings by 15.8%, increased net earnings by 19.4%, and generated $144.0 million of cash from operating activities, which represents 151% of net earnings,” said Brady CFO Aaron Pearce. “Our cash generation was primarily used to return funds to our shareholders in the form of dividends and to strengthen our balance sheet. We finished the year in a net cash position of $26.2 million compared to a net debt position of $75.7 million at the start of this fiscal year. Our balance sheet provides significant flexibility for investments to drive long-term shareholder value.”
Sales for the quarter ended July 31, 2017, increased 2.5% to $289.2 million compared to $282.1 million in the same quarter last year. Total organic sales increased 3.0% and the impact of foreign currency translation decreased sales by 0.5%. By segment, organic sales increased 4.4% in Identification Solutions and decreased 0.6% in Workplace Safety.
Net earnings for the quarter ended July 31, 2017, were $25.2 million compared to $25.1 million in the same quarter last year. Earnings before income taxes increased 12.2% to $35.9 million for the quarter ended July 31, 2017 compared to $32.0 million for the quarter ended July 31, 2016.
Net earnings for the year ended July 31, 2017, were $95.6 million compared to $80.1 million last year. Earnings before income taxes increased 15.8% to $126.6 million for the year ended July 31, 2017, compared to $109.3 million last year.
Sales for the year ended July 31, 2017, decreased 0.7% to $1.11 billion compared to $1.12 billion last year. Total organic sales increased 0.5% and foreign currency translation decreased sales by 1.2%. By segment, organic sales increased 1.6% in Identification Solutions and decreased 2.0% in Workplace Safety.
“We finished fiscal 2017 with our eighth consecutive quarter of year-over-year improvement in pre-tax earnings. This is a direct result of our organic sales growth, our consistent focus on driving efficiencies throughout our SG&A structure, and our improved manufacturing processes,” said J. Michael Nauman, Brady’s president and CEO. “Organic sales growth was 3.0% this quarter.
“Our Identification Solutions business was the driver of our organic sales growth and is where we have been investing the most in the development of innovative new products,” Nauman noted. “This is beginning to generate improved organic sales trends. Our priorities for fiscal 2018 remain unchanged, which are to grow our pipeline of innovative new products, accelerate organic sales growth, provide excellent customer service and deliver operational efficiencies throughout our business.”
“During the year ended July 31, 2017, we increased our pre-tax earnings by 15.8%, increased net earnings by 19.4%, and generated $144.0 million of cash from operating activities, which represents 151% of net earnings,” said Brady CFO Aaron Pearce. “Our cash generation was primarily used to return funds to our shareholders in the form of dividends and to strengthen our balance sheet. We finished the year in a net cash position of $26.2 million compared to a net debt position of $75.7 million at the start of this fiscal year. Our balance sheet provides significant flexibility for investments to drive long-term shareholder value.”