• This fall income of $838 million greater 10% in comparison to prior 12 months; natural income lowered 1%
• This fall GAAP EPS of $0.17 lowered from $0.24 within the prior 12 months; adjusted EPS of $1.01 lowered 11%
• Robust This fall running coins stream of $167 million, up $93 million in comparison to prior 12 months; web leverage lowered sequentially to a few.3x
• FY 2024 income of $3.18 billion greater 13% vs. prior 12 months; natural income lowered 5%
• FY 2024 GAAP EPS of $(3.03) lowered from $1.53 within the prior 12 months in large part because of a non-cash impairment fee in fiscal Q3 connected to the MTS section; adjusted EPS of $3.32 lowered 6%
• FY 2025 steerage: Complete Future adjusted EPS of $2.80 – $3.15; Q1 adjusted EPS of $0.52 – $0.57

BATESVILLE, Ind., Nov. 13, 2024 /PRNewswire/ — Hillenbrand, Inc. (NYSE: HI), a important world supplier of highly-engineered processing apparatus and answers, reported effects for the fourth quarter and whole fiscal 12 months, which ended September 30, 2024.

“As we’ve completed our first full year as a pure-play global industrial company, we remain confident in the capabilities of our leading brands and differentiated technologies to deliver world-class solutions for our customers,” mentioned Kim Ryan, President and Eminent Govt Officer of Hillenbrand. “I am proud of our team’s resiliency and determination in delivering a strong finish to the year in the face of persistent macroeconomic challenges. We accelerated cost saving and working capital initiatives, diligently managed discretionary costs, and made significant progress on our integrations. As a result of these efforts, we drove strong cash generation in the fourth quarter and exceeded our goal for FPM’s margins in the year.”

“Heading into fiscal 2025, our pipeline of customer opportunities is healthy, and we remain confident in the underlying growth trends that support our end markets over the long-term. While we are cautious in our near-term revenue outlook, we are committed to controlling what we can through innovation, continued cost discipline, and driving operational efficiencies across the enterprise to better position us for success once end market demand recovers.”

Abstract of Fourth Quarter 2024 Effects¹

Internet income of $838 million greater 10% in comparison to the prior 12 months essentially because of the FPM acquisition. On an natural foundation, which excludes the affects of acquisitions and foreign exchange trade charges, web income lowered 1%, as favorable pricing and better aftermarket portions and repair income had been greater than offset by means of decrease capital apparatus quantity.

Internet source of revenue of $12 million, or $0.17 in line with percentage, lowered from $0.24 in line with percentage within the prior 12 months essentially because of an build up in industry integration prices, upper tax expense, price inflation, decrease quantity, and better passion expense, in part offset by means of a achieve within the quarter connected to the prior to now introduced sale-leaseback transaction, the FPM acquisition, and favorable pricing.

Adjusted web source of revenue of $71 million ended in adjusted EPS of $1.01, a scale down of $0.12, or 11%, essentially because of price inflation, decrease quantity, and an build up in passion expense, in part offset by means of the FPM acquisition, favorable pricing, and value movements, together with financial savings from the prior to now introduced restructuring. The adjusted efficient tax price for the quarter was once 27.4%, a scale down of 100 foundation issues in comparison to the prior 12 months.

Adjusted EBITDA of $144 million lowered 2% 12 months over 12 months. On an natural foundation, adjusted EBITDA lowered 13%.

Complicated Procedure Answers (APS)

Internet income of $591 million greater 15% in comparison to the prior 12 months essentially because of the FPM acquisition. On an natural foundation, web income was once i’m sick 2%, as favorable pricing and better aftermarket portions and repair income had been greater than offset by means of decrease capital apparatus quantity.

Adjusted EBITDA of $117 million was once necessarily flat 12 months over 12 months. On an natural foundation, adjusted EBITDA lowered 14% because of price inflation and decrease quantity, in part offset by means of favorable pricing and value movements. Adjusted EBITDA margin of nineteen.8% lowered 300 foundation issues.

Backlog of $1.68 billion lowered 10% in comparison to the prior 12 months and was once i’m sick 3% on a sequential foundation.

Molding Generation Answers (MTS)

Internet income of $247 million was once necessarily flat 12 months over 12 months.

Adjusted EBITDA of $42 million lowered 8%, essentially because of price inflation and unfavourable product combine, in part offset by means of price movements, together with financial savings from the prior to now introduced restructuring. Adjusted EBITDA margin of 17.0% lowered 150 foundation issues from the prior 12 months.

Backlog of $231 million lowered 1% in comparison to the prior 12 months and was once i’m sick 3% on a sequential foundation.

Abstract of Fiscal Future 2024 Effects¹

Hillenbrand’s complete 12 months web income of $3.18 billion greater 13% in comparison to the prior 12 months essentially because of the FPM acquisition. On an natural foundation, web income was once i’m sick 5% as favorable pricing and better aftermarkets portions and repair income was once greater than offset by means of decrease capital apparatus quantity. Complete 12 months natural APS web income was once i’m sick 2%, occasion MTS web income was once i’m sick 11%.

Internet lack of $213 million, or $(3.03) in line with percentage, lowered $4.53 in comparison to the prior 12 months in large part because of $265 million in non-cash impairment fees incurred within the fiscal 3rd quarter connected to the MTS section, in addition to an build up in industry integration and restructuring prices, decrease quantity, price inflation, upper passion expense, and non-cash pension agreement fees, in part offset by means of the FPM acquisition, favorable pricing, and a achieve connected to the prior to now introduced sale-leaseback transaction.

Adjusted web source of revenue of $234 million ended in adjusted EPS of $3.32, a scale down of $0.20, or 6%, essentially because of decrease natural quantity, price inflation, and an build up in passion expense, in part offset by means of the FPM acquisition, favorable pricing, and the have an effect on of price movements, together with financial savings from the prior to now introduced restructuring. The adjusted efficient tax price for the 12 months was once 28.1%, a scale down of 140 foundation issues in comparison to the prior 12 months.

Adjusted EBITDA of $512 million greater 6% 12 months over 12 months. On an natural foundation, adjusted EBITDA lowered 12%. Adjusted EBITDA margin of 16.1% was once i’m sick 100 foundation issues.

Steadiness Sheet, Money Stream and Capital Allocation¹

Hillenbrand generated coins stream from operations of $191 million within the 12 months, a scale down of $16 million year-over-year, essentially pushed by means of decrease income and less buyer advances because of a scale down in capital apparatus orders, in part offset by means of decreased stock and coins won as a part of a one-time 401-k plan agreement finished within the 12 months. Capital expenditures had been roughly $54 million within the 12 months. All through the 12 months, the Corporate returned roughly $63 million to shareholders within the mode of quarterly dividends.

As of September 30, 2024, web debt was once $1.69 billion, and the online debt to professional forma adjusted EBITDA ratio was once 3.3x. Liquidity was once roughly $799 million, together with $199 million in coins readily available and the residue to be had below our revolving credit score facility.

Fiscal 2025 Outlook

Hillenbrand is offering annual steerage for fiscal 12 months 2025 and quarterly steerage for fiscal Q1 2025.

“Entering fiscal 2025, we continue to operate in an uncertain global macroeconomic environment. Due to lower starting backlog and expected trajectory of orders, we anticipate total company revenue will be down mid-single digits at the midpoint, primarily driven by our APS segment. Debt reduction remains our top priority for cash, though we expect the timeframe for returning to our net leverage guardrails to extend beyond fiscal 2025 due to the uncertain timing of order recovery. We remain focused on driving productivity and managing costs appropriately as we navigate these near-term headwinds, while continuing to innovate across our leading product offerings to keep us well positioned for long-term growth,” mentioned Bob VanHimbergen, SVP and Eminent Monetary Officer of Hillenbrand.

Convention Name Knowledge
Past/Date: Thursday, November 14, 2024, 8:00 a.m. ET
Dial-In for U.S. and Canada: 1-877-407-8012
Dial-In for Global: +1-412-902-1013
Convention name ID quantity: 13748893
Webcast hyperlink: http://ir.hillenbrand.com below the Information & Occasions tab (archived via Thursday, December 12, 2024)

Replay – Convention Name
Past/Date: To be had till nighttime ET, Thursday, November 28, 2024
Replay ID quantity: 13748893
Dial-In for U.S. and Canada: 1-877-660-6853
Dial-In for Global: +1-201-612-7415

Hillenbrand’s Method 10-Ok will probably be filed next this time, and will probably be made to be had at the Corporate’s website online (https://ir.hillenbrand.com).  

Along with the monetary measures ready based on United States usually permitted accounting ideas (GAAP), this income shed additionally accommodates non-GAAP running efficiency measures. Those non-GAAP measures are known as “adjusted” measures and exclude refer to pieces:

• industry acquisition, divestiture, and integration prices;
• restructuring and restructuring connected fees;
• impairment fees;
• achieve on sale of attribute, plant, and gear;
• intangible asset amortization;
• pension agreement fees;
• stock step-up prices connected to acquisitions;
• prices related to debt financing actions;
• alternative non-recurring prices connected to a discrete industrial dispute;
• positive aspects and losses on divestitures;
• alternative in my view immaterial one-time prices;
• the connected source of revenue tax have an effect on for all of these things; and
• the revaluation of deferred tax balances attributable to fluctuations in foreign money trade charges and non-routine adjustments in tax charges for positive international jurisdictions.

Please see the Reconciliation of Non-GAAP Measures for additional knowledge on those changes.  Non-GAAP knowledge is supplied as a complement to, no longer as an alternative choice to, or as superb to, measures of monetary efficiency ready based on GAAP.

Hillenbrand makes use of this non-GAAP knowledge internally to measure running section efficiency and assemble running selections and believes it’s useful to buyers as it permits extra significant period-to-period comparisons of ongoing running effects. The ideas can be worn to accomplish pattern research and to higher establish running traits that can differently be masked or distorted by means of pieces such because the above excluded pieces. Hillenbrand believes this knowledge supplies the next stage of transparency.

One impressive non-GAAP measure Hillenbrand makes use of is adjusted income ahead of passion, source of revenue tax, depreciation, and amortization (“adjusted EBITDA”). Part of Hillenbrand’s technique is to selectively gain firms that we consider can have the benefit of the Hillenbrand Running Type (“HOM”) to spur quicker and extra successful expansion. For the reason that technique, this is a herbal aftereffect to incur connected bills, reminiscent of amortization from got intangible property and backup passion expense from debt-funded acquisitions. Accordingly, we utility adjusted EBITDA, amongst alternative measures, to observe our industry efficiency. We additionally utility “adjusted net income” and “adjusted diluted earnings per share (EPS),” that are outlined as web source of revenue and income in line with percentage, respectively, every except pieces described in reference to adjusted EBITDA. Adjusted EBITDA, adjusted web source of revenue, and changed diluted EPS don’t seem to be known phrases below GAAP and subsequently don’t purport to be choices to web source of revenue or to diluted EPS, as appropriate. Additional, Hillenbrand’s measures of adjusted EBITDA, adjusted web source of revenue, and changed diluted EPS will not be related to in a similar fashion titled measures of alternative firms.

Natural income and natural adjusted EBITDA are outlined respectively as web income and changed EBITDA except contemporary acquisitions, together with FPM and Peerless Meals Apparatus, and adjusting for the results of foreign exchange trade. As well as, the ratio of web debt to professional forma adjusted EBITDA is a key monetary measure this is worn by means of control to evaluate Hillenbrand’s borrowing capability (and is calculated because the ratio of overall debt much less coins and coins equivalents to the trailing three hundred and sixty five days professional forma adjusted EBITDA). Trailing three hundred and sixty five days professional forma adjusted EBITDA is outlined as adjusted EBITDA together with adjusted EBITDA immediately resulting from FPM within the trailing twelve time era previous to Hillenbrand’s acquisition of FPM. Hillenbrand makes use of natural and professional forma measures to evaluate efficiency of its reportable running sections and the Corporate in overall with out the have an effect on of latest acquisitions and divestitures.

Hillenbrand calculates the foreign exchange have an effect on on web income, adjusted EBITDA, and backlog to bring to higher measure the comparison of effects between sessions. We calculate the foreign exchange have an effect on by means of translating tide 12 months effects at prior 12 months foreign currencies charges. This data is supplied as a result of trade charges can distort the underlying alternate in gross sales, both undoubtedly or negatively.

Some other impressive operational measure worn is backlog.  Backlog isn’t a word known below GAAP; alternatively, this is a ordinary dimension worn in industries with prolonged govern occasions for situation achievement (long-term agreements), like the ones wherein our reportable running sections compete. Backlog represents the quantity of web income that we think to appreciate on agreements awarded to our reportable running sections.  For functions of calculating backlog, 100% of estimated web income resulting from consolidated subsidiaries is incorporated.  Backlog contains anticipated web income from immense techniques and gear, in addition to aftermarket portions, elements, and repair. The dimension of date that initiatives stay in backlog can span from days for aftermarket portions or carrier to roughly 18 to 24 months for higher gadget gross sales throughout the Complicated Procedure Answers reportable running section. The vast majority of the backlog throughout the Molding Generation Answers reportable running section is predicted to be fulfilled throughout the later three hundred and sixty five days. Backlog contains anticipated web income from the excess portion of establishment orders no longer but finished, in addition to web income from alternate orders to the level that they’re moderately anticipated to be learned.  We come with in backlog the whole word of honour award, together with awards topic to additional buyer approvals, which we think to lead to income in era sessions.  In line with trade follow, our agreements might come with provisions for cancellation, termination, or suspense on the discretion of the client.

Hillenbrand expects that era web income related to our reportable running sections will probably be influenced by means of situation backlog as a result of the govern date serious about pleasurable engineered-to-order apparatus for purchasers. Even though backlog can also be a trademark of era web income, it does no longer come with initiatives and portions orders which are booked and shipped inside of the similar quarter. The timing of situation placement, measurement, extent of customization, and buyer supply dates can manufacture fluctuations in backlog and web income. Internet income resulting from backlog will also be suffering from foreign currencies fluctuations for orders denominated in currencies alternative than U.S. greenbacks.

See under for a reconciliation from GAAP running efficiency measures to essentially the most immediately related non-GAAP (adjusted) monetary efficiency measures. For the reason that backlog is an operational measure and that the Corporate’s method for calculating backlog does no longer meet the definition of a non-GAAP monetary measure, as that word is outlined by means of the U.S. Securities and Change Fee, a quantitative reconciliation isn’t required or supplied. As well as, forward-looking income, adjusted EBITDA, adjusted EBITDA margin, and changed income in line with percentage for 2025 exclude doable fees or positive aspects that can be recorded all the way through the fiscal 12 months, together with amongst alternative issues, pieces described above in reference to those and alternative “adjusted” measures. Hillenbrand thus additionally does no longer struggle to handover reconciliations of such forward-looking non-GAAP income steerage to the related GAAP measure, as authorized by means of Merchandise 10(e)(1)(i)(B) of Law S-Ok, for the reason that have an effect on and timing of those doable fees or positive aspects is inherently unsure and tough to expect and is unavailable with out unreasonable efforts. As well as, the Corporate believes such reconciliations would indicate some extent of precision and walk in the park which may be complicated to buyers. Such pieces will have a considerable have an effect on on GAAP measures of Hillenbrand’s monetary efficiency.

Ahead-Taking a look Statements

Right through this income shed, we assemble numerous “forward-looking statements,” together with statements which are throughout the that means of Category 27A of the Securities Office of 1933, as amended, Category 21E of the Securities Change Office of 1934, as amended, and the Non-public Securities Litigation Reform Office of 1995, and which are meant to be lined by means of the safeguard harbor supplied below those categories. Because the phrases indicate, those are statements about era gross sales, income, coins stream, result of operations, makes use of of money, financings, percentage repurchases, talent to satisfy deleveraging objectives, and alternative measures of monetary efficiency or doable era plans or occasions, methods, targets, ideals, potentialities, guesses, expectancies, and projected prices or financial savings or transactions of the Corporate that would possibly or would possibly no longer occur going forward, as contrasted with ancient knowledge. Ahead-looking statements are in keeping with guesses that we consider are cheap, however by means of their very nature are topic to a large dimension of dangers. If our guesses end up erroneous or unknown dangers and uncertainties materialize, original effects may range materially from Hillenbrand’s expectancies and projections.

Phrases that would point out that we’re making forward-looking statements come with refer to:

This isn’t an exhaustive checklist, however is meant to provide you with an concept of the way we effort to spot forward-looking statements. The being lacking any of those phrases, alternatively, does no longer cruel that the commentary isn’t forward-looking.

Here’s the important thing level:  Ahead-looking statements don’t seem to be promises of era efficiency or occasions, and original effects or occasions may fluctuate materially from the ones prepared forth in any forward-looking statements. Any selection of elements, a lot of that are past our regulate, may purpose our efficiency to fluctuate considerably from what’s described within the forward-looking statements. Those elements come with, however don’t seem to be restricted to: world marketplace and financial statuses, together with the ones connected to the continuing volatility within the monetary markets, together with because of the USA (“U.S.”) presidential election; the danger of industrial disruptions related to knowledge generation, cyber-attacks, or tragic losses affecting infrastructure; expanding pageant for extremely professional and proficient employees, in addition to exertions shortages; closures or slowdowns and adjustments in exertions prices and exertions difficulties; indecision connected to environmental law and trade requirements, in addition to bodily dangers of circumstance alternate; indecision connected to environmental law, together with the Securities and Change Fee’s (“SEC”) ultimate circumstance laws and litigation relating to its enforceability; greater prices, destitute property, or unavailability of uncooked fabrics or positive outsourced products and services and provide chain disruptions; financial and fiscal statuses together with volatility in passion and trade charges, commodity and fairness costs and the worth of monetary property; indecision in U.S. world business coverage and dangers with governmental instability in positive portions of the sector reminiscent of Germany; our stage of world gross sales and operations; the have an effect on of incurring vital quantities of indebtedness and any incapacity of the Corporate to reply to adjustments in its industry or assemble era fascinating acquisitions; the facility of the Corporate to conform to monetary or alternative covenants in debt guarantees; unwanted side effects of acquisitions, together with the Schenck Procedure Meals and Efficiency Fabrics (“FPM”) industry and Linxis Crew SAS (“Linxis”) acquisitions, at the Corporate’s industry, monetary status, result of operations and fiscal efficiency (together with the facility of the Corporate to conserve relationships with its consumers, providers, and others with whom it does industry); the chance that the predicted advantages from acquisitions together with the FPM and Linxis acquisitions can’t be learned by means of the Corporate in complete or in any respect, or might jerk longer to appreciate than anticipated; dangers that the integrations of FPM or Linxis or alternative got companies disrupt tide operations or pose doable difficulties in worker retention or differently impact monetary or running effects; pageant within the industries wherein we function, together with on value; cyclical call for for commercial capital items; the facility to acknowledge the advantages of any acquisition or divestiture, together with doable synergies and value financial savings or the failure of the Corporate or any got corporate to reach its plans and targets usually; impairment fees to approbation and alternative identifiable intangible property; affects of decreases in call for or adjustments in technological advances, rules, or law on the internet revenues that we derive from the plastics trade; adjustments in meals intake patterns because of nutritional traits, or financial statuses, or alternative causes; our reliance upon staff, brokers, and industry companions to conform to rules in many nations and jurisdictions; the have an effect on to the Corporate’s efficient tax price of adjustments within the mixture of income or in tax rules and likely alternative tax-related issues; publicity to tax uncertainties and audits; involvement in claims, complaints, and governmental court cases connected to operations; indecision within the U.S. political and regulatory situation, together with because of the U.S. presidential election; antagonistic foreign exchange fluctuations; exertions disruptions; and the impact of positive provisions of the Corporate’s governing paperwork and Indiana regulation that would scale down the buying and selling value of the Corporate’s ordinary secure. Shareholders, doable buyers, and alternative readers are instructed to believe those dangers and uncertainties in comparing ahead searching statements and are cautioned to not playground undue reliance at the forward-looking statements. For a closer dialogue of those and alternative elements that would purpose original effects to fluctuate from the ones contained in forward-looking statements, see the discussions below the heading “Risk Factors” in Hillenbrand’s most up-to-date Annual File on Method 10-Ok, filed with the Securities and Change Fee (“SEC”) and in any due to this fact filed Method 10-Q. Any forward-looking commentary made by means of us in any SEC submitting is founded simplest on knowledge these days to be had to us and speaks simplest as of the pace on which it’s made. We adopt disagree legal responsibility to publicly replace any forward-looking commentary, whether or not written or oral, that can be comprised of date to date, whether or not because of unused knowledge, era tendencies or differently.

About Hillenbrand 
Hillenbrand (NYSE: HI) is a world commercial corporate that gives highly-engineered, mission-critical processing apparatus and answers to consumers in over 100 international locations all over the world. Our portfolio consists of important commercial manufacturers that lend immense, sexy finish markets, together with sturdy plastics, meals, and recycling. Guided by means of our Function — Situation What Issues For The next day™ — we pursue excellence, collaboration, and innovation to constantly situation answers that highest lend our pals, consumers, communities, and alternative stakeholders. To be informed extra, discuss with: www.Hillenbrand.com. 

SOURCE Hillenbrand

WANT YOUR COMPANY’S NEWS FEATURED ON PRNEWSWIRE.COM?

440k+
Newsrooms &
Influencers

9k+
Virtual Media
Shops

270k+
Reporters
Opted In