LONG BEACH, Calif., Sept. 3, 2009 (GLOBE NEWSWIRE) -- UTi Worldwide Inc. (Nasdaq:UTIW) today reported financial results for its fiscal 2010 second quarter ended July 31, 2009.
Fiscal Second Quarter 2010 vs. 2009 Results:
* Revenues decreased 33 percent to $840.5 million from $1,255.1 million. * Net revenues (revenues minus purchased transportation costs) decreased 18 percent to $339.4 million from $416.0 million. * Operating income decreased 49 percent to $22.4 million from $43.6 million. * Income from continuing operations attributable to UTi Worldwide Inc. was $11.8 million, or $0.12 per diluted share, compared to $28.5 million, or $0.28 per diluted share. Severance and related charges had a negative impact in the current period of approximately $0.02 per diluted share. Currency translation reduced the current period results by an additional $0.01 per diluted share. * Cash flow from operations increased 44 percent to $51.5 million from $35.7 million.
Eric W. Kirchner, chief executive officer, said, "While I am not satisfied with the quarter's results, we are on track with our sales initiatives and transformation efforts, and they are expected to drive improvement in the future. Results in the quarter continued to be impacted by weak economic and industry conditions. But the pace of volume declines moderated throughout the quarter, primarily due to seasonal factors. It is too early to say that conditions have begun to improve, but the environment appears to be more stable than we have seen in some time, albeit at levels that are lower than the prior year. Lower purchased transportation costs mitigated the impact of declining volumes, but more recently these costs have begun to increase, consistent with the seasonal build.
"On a constant currency basis with the fourth quarter, adjusted operating expenses declined at a rate consistent with our cost reduction goal for fiscal 2010. Despite the difficult climate, we were able to improve our overall operating margin on a sequential basis. Our contract logistics business continued to improve and margins in this segment increased again in the second quarter. Cash flow continues to be strong as we focus on managing our working capital. Our pipeline is healthy and we have signed significant new business in the quarter, including what we expect to be the largest single freight forwarding win in the company's history, which is scheduled to begin shipping later this month."
The decrease in revenues in the 2010 fiscal second quarter compared to the prior-year second quarter was due to the continued declines in forwarding and logistics volumes compared to the prior year, as well as currency fluctuations. On an organic, constant currency basis, adjusted net revenue declined 11 percent in the 2010 second quarter compared to the second quarter a year ago.
Operating expenses in the second quarter of fiscal 2010, excluding purchased transportation costs, were $317.0 million, representing a decrease of 15 percent compared to operating expenses in the same period last year. The decrease reflects lower costs associated with the declining volumes, currency fluctuations, and benefits achieved through cost reduction efforts. Operating expenses in the fiscal 2010 second quarter included severance and related charges totaling $2.7 million.
Kirchner continued, "The company anticipated the weak volume environment and proactively took steps to reduce annualized operating expenses, excluding purchased transportation costs, in fiscal 2010 by $50 million compared to the company's fiscal 2009 fourth quarter adjusted operating expense level (the fourth quarter run-rate)."
Reported expenses in the fiscal 2010 second quarter were higher than the fourth quarter run-rate due to the weakening U.S. dollar, a small acquisition completed since the fourth quarter, and severance and related charges. Excluding these items, on an organic, constant currency basis, operating expenses in the fiscal 2010 second quarter were $13.1 million less than the fiscal 2009 fourth quarter run-rate.
The company reported operating income in the fiscal 2010 second quarter of $22.4 million, which represented 6.6 percent of net revenues. This compares to operating income in the year-ago second quarter of $43.6 million, or 10.5 percent of net revenues.
Investor Conference Call:
UTi management will host an investor conference call today, September 3, 2009, at 8:00 a.m. PDT (11:00 a.m. EDT) to review the company's financials and operations for the fiscal 2010 second quarter. Investment professionals are invited to participate in the live call by dialing 877-570-6091 (domestic) or 702-696-4824 (international) using conference ID 25707632. The call will be open to all interested investors through a live, listen-only audio Internet broadcast at www.go2uti.com and www.earnings.com. For those who are not available to listen to the live broadcast, the call will be archived for one year at both Web sites. A telephonic playback of the conference call also will be available from approximately 11:00 a.m. PDT, today, through September 11, 2009, by calling 800-642-1687 (domestic) or 706-645-9291 (international) and using replay passcode 25707632.
About UTi Worldwide:
UTi Worldwide Inc. is an international, non-asset-based supply chain services and solutions company providing air and ocean freight forwarding, contract logistics, customs brokerage, distribution, inbound logistics, truckload brokerage and other supply chain management services. The company serves a large and diverse base of global and local companies, including clients operating in industries with unique supply chain requirements such as the pharmaceutical, retail, apparel, chemical, automotive and technology industries. The company seeks to use its global network, proprietary information technology systems, relationships with transportation providers, and expertise in outsourced logistics services to deliver competitive advantage to each of its clients' supply chains.
Use of Non-GAAP Financial Information
This press release includes "non-GAAP financial measures" within the meaning of the Securities and Exchange Commission rules. UTi believes that meaningful analysis of its financial performance requires an understanding of the factors underlying that performance and the company's judgments about the likelihood that particular factors will repeat. Short-term patterns and long-term trends may be obscured by the impact of certain items. For this reason, the company has referred to revenue and net revenue growth adjusted to exclude the impact of dispositions and acquisitions made since the beginning of the comparative period and the impact of currency fluctuations between comparable periods, and to operating expenses adjusted to exclude purchased transportation costs, certain severance and related charges and the impact of acquisitions made since the beginning of the comparative period and the impact of currency fluctuations between comparable periods. This information is among the information the company uses as a basis for evaluating company performance on a comparable basis over time, allocating resources and planning and forecasting of future periods. The company has also provided this information because such adjustments make performance information more comparable to prior disclosures for investors, and may enhance the ability of investors to analyze the company's performance. This information is not intended to be considered in isolation or as a substitute for the relevant measures calculated in accordance with U.S. GAAP.
Safe Harbor Statement:
Certain statements in this news release may be deemed to be forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. The company intends that all such statements be subject to the "safe-harbor" provisions contained in those sections. Such statements may include, but are not limited to, the company's discussion of the macroeconomic environment, its sales initiatives and business transformation efforts and the anticipated impact thereof, the commencement of the company's recent freight forwarding win, and the outlook for the future. Many important factors may cause the company's actual results to differ materially from those discussed in any such forward-looking statements, including but not limited to the global economic slowdown that is adversely affecting trade volumes and the financial condition of many of the company's customers; planned or unplanned consequences of the company's sales initiatives and business transformation efforts; the demand for the company's services; the impact of cost reduction measures recently undertaken by the company; the costs and impact of the company's information technology restructuring plan; integration risks associated with acquisitions; increased competition; the impact of volatile fuel costs; the effects of changes in foreign exchange rates; changes in the company's effective tax rates; industry consolidation making it more difficult to compete against larger companies; general economic, political and market conditions, including those in Africa, Asia and EMENA; work stoppages or slowdowns or other material interruptions in transportation services; risks of international operations; risks associated with, and costs and expenses the company will incur as a result of, the ongoing publicly announced U.S. Department of Justice and other governmental investigations into the pricing practices of the air cargo transportation industry and other similar or related investigations and lawsuits; the success and effects of new strategies and of the realignment of the company's executive management structure; disruptions caused by epidemics, conflicts, wars and terrorism; and the other risks and uncertainties described in the company's filings with the Securities and Exchange Commission. Although UTi believes that the assumptions underlying the forward-looking statements are reasonable, any of the assumptions could prove inaccurate and, therefore, the company cannot assure the reader that the results contemplated in forward-looking statements will be realized in the timeframe anticipated or at all. In light of the significant uncertainties inherent in the forward-looking information included herein, the inclusion of such information should not be regarded as a representation by UTi or any other person that UTi's objectives or plans will be achieved. Accordingly, investors are cautioned not to place undue reliance on the company's forward-looking statements. UTi undertakes no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise, except as required by law.
UTi Worldwide Inc.
Condensed Consolidated Statements of Income
(in thousands, except share and per share amounts)
Three months ended Six months ended
July 31, July 31,
------------------------- -------------------------
2009 2008 2009 2008
------------ ------------ ------------ ------------
Revenues: (Unaudited) (Unaudited) (Unaudited) Unaudited)
Airfreight
forwarding $ 270,010 $ 456,359 $ 509,298 $ 905,514
Ocean freight
forwarding 205,548 333,956 397,614 627,459
Customs
brokerage 23,363 30,512 43,312 58,657
Contract
logistics 157,736 177,410 300,662 342,213
Distribution 104,514 156,327 203,014 305,706
Other 79,331 100,523 154,958 199,988
------------ ------------ ------------ ------------
Total revenues 840,502 1,255,087 1,608,858 2,439,537
------------ ------------ ------------ ------------
Operating
expenses:
Purchased
transportation
costs:
Airfreight
forwarding 197,906 358,361 373,262 719,487
Ocean freight
forwarding 162,865 279,779 315,275 528,444
Customs
brokerage 1,564 2,026 2,682 3,555
Contract
logistics 28,787 24,962 52,178 45,835
Distribution 69,399 114,716 135,898 220,073
Other 40,615 59,262 80,690 116,659
Staff costs 186,663 222,731 362,466 439,423
Depreciation
and
amortization 10,491 11,016 20,345 21,205
Amortization of
intangible
assets 2,812 3,079 5,449 6,181
Restructuring
charges -- -- 1,231 6,036
Other operating
expenses 116,992 135,544 219,122 265,358
------------ ------------ ------------ ------------
Total
operating
expenses 818,094 1,211,476 1,568,598 2,372,256
------------ ------------ ------------ ------------
Operating income 22,408 43,611 40,260 67,281
Interest expense,
net (2,298) (4,043) (5,751) (8,598)
Other (expense)/
income, net (796) 193 (998) 633
------------ ------------ ------------ ------------
Pretax income 19,314 39,761 33,511 59,316
Provision for
income taxes 5,907 10,034 10,224 15,455
------------ ------------ ------------ ------------
Income from
continuing
operations, net
of tax 13,407 29,727 23,287 43,861
Discontinued
operations:
Operating (loss)
/income, net of
tax -- (105) -- 100
Gain on sale,
net of tax -- 5,316 -- 5,316
------------ ------------ ------------ ------------
Net income 13,407 34,938 23,287 49,277
Net income
attributable to
noncontrolling
interests 1,652 1,192 1,687 1,989
------------ ------------ ------------ ------------
Net income
attributable to
UTi Worldwide
Inc. $ 11,755 $ 33,746 $ 21,600 $ 47,288
============ ============ ============ ============
Basic earnings
per common share
attributable to
UTi Worldwide
Inc. common
shareholders:
Continuing
operations $ 0.12 $ 0.29 $ 0.22 $ 0.42
Discontinued
operations -- 0.05 -- 0.06
------------ ------------ ------------ ------------
$ 0.12 $ 0.34 $ 0.22 $ 0.48
============ ============ ============ ============
Diluted earnings
per common share
attributable to
UTi Worldwide
Inc. common
shareholders:
Continuing
operations $ 0.12 $ 0.28 $ 0.21 $ 0.41
Discontinued
operations -- 0.05 -- 0.06
------------ ------------ ------------ ------------
$ 0.12 $ 0.33 $ 0.21 $ 0.47
============ ============ ============ ============
Number of
weighted-average
common shares
outstanding used
for per share
calculations:
Basic shares 99,930,796 99,350,699 99,796,544 99,262,635
Diluted shares 100,956,130 100,988,262 100,963,105 100,843,762
Amounts
attributable to
UTi Worldwide
Inc. common
shareholders:
Income from
continuing
operations, net
of tax $ 11,755 $ 28,535 $ 21,600 $ 41,872
Discontinued
operations:
Operating
(loss)/income,
net of tax -- (105) -- 100
Gain on sale,
net of tax -- 5,316 -- 5,316
------------ ------------ ------------ ------------
Net income $ 11,755 $ 33,746 $ 21,600 $ 47,288
============ ============ ============ ============
UTi Worldwide Inc.
Condensed Consolidated Balance Sheets
(in thousands)
July 31, January 31,
2009 2009
---------- ----------
(Unaudited)
ASSETS
Cash and cash equivalents $ 317,528 $ 256,869
Trade receivables, net 633,750 645,275
Deferred income taxes 23,556 19,192
Other current assets 112,227 79,869
---------- ----------
Total current assets 1,087,061 1,001,205
Property, plant and equipment, net 179,242 163,441
Goodwill and other intangible assets, net 475,103 442,691
Investments 3,205 2,940
Deferred income taxes 21,882 23,831
Other non-current assets 19,695 14,578
---------- ----------
Total assets $1,786,188 $1,648,686
========== ==========
LIABILITIES & EQUITY
Bank lines of credit $ 62,402 $ 69,978
Short-term borrowings 8,508 6,899
Current portion of long-term borrowings 66,666 66,666
Current portion of capital lease obligations 16,144 15,878
Trade payables and other accrued liabilities 622,723 593,271
Income taxes payable 11,127 10,425
Deferred income taxes 2,249 2,493
---------- ----------
Total current liabilities 789,819 765,610
Long-term borrowings, excluding current
portion 133,062 115,747
Capital lease obligations, excluding current
portion 22,017 20,754
Deferred income taxes 28,610 27,542
Retirement fund obligations 6,501 6,947
Other non-current liabilities 21,688 19,116
Commitments and contingencies
UTi Worldwide Inc. shareholders' equity:
Common stock 455,415 450,553
Retained earnings 360,061 338,461
Accumulated other comprehensive loss (52,431) (112,268)
---------- ----------
Total UTi Worldwide Inc. shareholders'
equity 763,045 676,746
Noncontrolling interests 21,446 16,224
---------- ----------
Total equity 784,491 692,970
---------- ----------
Total liabilities and equity $1,786,188 $1,648,686
========== ==========
UTi Worldwide Inc.
Condensed Consolidated Statements of Cash Flows
(in thousands)
Six months ended
July 31,
------------
2009 2008
---------- ----------
(Unaudited) (Unaudited)
OPERATING ACTIVITIES:
Net income $ 23,287 $ 49,277
Adjustments to reconcile net income to net
cash provided by operating activities:
Share-based compensation costs, net 4,375 5,444
Depreciation and amortization 20,345 21,429
Amortization of intangible assets 5,449 6,181
Deferred income taxes 320 (5,754)
Uncertain tax positions -- (1,918)
Gain on sale of subsidiaries -- (5,316)
Tax benefit relating to share-based
compensation 789 413
Excess tax benefit from share-based
compensation -- (235)
Gain on disposal of property, plant
and equipment (6,428) (227)
Other (715) 77
Net changes in operating assets and
liabilities 18,880 (55,641)
---------- ----------
Net cash provided by operating activities 66,302 13,730
INVESTING ACTIVITIES:
Purchases of property, plant and equipment (16,752) (30,985)
Proceeds from disposal of property, plant
and equipment 10,949 1,828
Decrease in other non-current assets 504 3,892
Acquisitions and contingent earn-out payments (2,043) (30,360)
Other 352 (3,630)
---------- ----------
Net cash used in investing activities (6,990) (59,255)
FINANCING ACTIVITIES:
(Decrease)/increase in bank lines of credit (34,659) 34,989
(Decrease)/increase in short-term borrowings (2,124) 114
Proceeds from issuance of long-term borrowings 56,498 --
Repayment of long-term borrowings (36,956) (311)
Debt issuance costs (4,206) --
Repayment of capital lease obligations (10,737) (13,895)
Dividends paid to noncontrolling interests (998) (526)
Net proceeds from issuance of ordinary shares 489 2,936
Excess tax benefit from share-based
compensation -- 235
Dividends paid -- (6,141)
---------- ----------
Net cash (used in)/provided by financing
activities (32,693) 17,401
Effect of foreign exchange rate changes on
cash and cash equivalents 34,040 5,324
---------- ----------
Net increase/(decrease) in cash and cash
equivalents 60,659 (22,800)
Cash and cash equivalents at beginning
of period 256,869 289,141
---------- ----------
Cash and cash equivalents at end of period $ 317,528 $ 266,341
========== ==========
UTi Worldwide Inc.
Segment Reporting
(in thousands)
(Unaudited)
Three months ended July 31, 2009
---------------------------------------------------
Contract
Logistics
Freight and
Forwarding Distribution Corporate Total
---------- ------------ --------- -----
Revenues $ 539,364 $ 301,138 $ -- $ 840,502
------------ ------------ ------------ ------------
Purchased
transportation
costs 390,259 110,877 -- 501,136
Staff costs 85,397 97,637 3,629 186,663
Depreciation and
amortization 3,722 6,664 105 10,491
Amortization of
intangible
assets 987 1,825 -- 2,812
Other operating
expenses 38,313 71,403 7,276 116,992
------------ ------------ ------------ ------------
Total operating
expenses 518,678 288,406 11,010 818,094
------------ ------------ ------------ ------------
Operating income/
(loss) $ 20,686 $ 12,732 $ (11,010) 22,408
============ ============ ============
Interest expense,
net (2,298)
Other expense,
net (796)
------------
Pretax income 19,314
Provision for
income taxes 5,907
------------
Net income 13,407
Net income
attributable to
noncontrolling
interests 1,652
------------
Net income
attributable to
UTi Worldwide
Inc. $ 11,755
============
UTi Worldwide Inc.
Segment Reporting
(in thousands)
(Unaudited)
Three months ended July 31, 2008
---------------------------------------------------
Contract
Logistics
Freight and
Forwarding Distribution Corporate Total
---------- ------------ --------- -----
Revenues $ 876,136 $ 378,951 $ -- $ 1,255,087
------------ ------------ ------------ ------------
Purchased
transportation
costs 681,855 157,251 -- 839,106
Staff costs 102,889 117,563 2,279 222,731
Depreciation and
amortization 3,903 7,029 84 11,016
Amortization of
intangible
assets 845 2,234 -- 3,079
Other operating
expenses 47,702 83,079 4,763 135,544
------------ ------------ ------------ -------------
Total operating
expenses 837,194 367,156 7,126 1,211,476
------------ ------------ ------------ ------------
Operating
income/(loss) $ 38,942 $ 11,795 $ (7,126) 43,611
============ ============ ============
Interest expense,
net (4,043)
Other income, net 193
------------
Pretax income 39,761
Provision for
income taxes 10,034
------------
Income from
continuing
operations,
net of tax 29,727
Discontinued
operations,
net of tax (105)
Gain on sale,
net of tax 5,316
------------
Net income 34,938
Net income
attributable to
noncontrolling
interests 1,192
------------
Net income
attributable to
UTi Worldwide
Inc. $ 33,746
============
UTi Worldwide Inc.
Segment Reporting
(in thousands)
(Unaudited)
Six months ended July 31, 2009
---------------------------------------------------
Contract
Logistics
Freight and
Forwarding Distribution Corporate Total
---------- ------------ --------- -----
Revenues $ 1,032,954 $ 575,904 $ -- $ 1,608,858
------------ ------------ ------------ ------------
Purchased
transportation
costs 749,623 210,362 -- 959,985
Staff costs 166,302 189,015 7,149 362,466
Depreciation and
amortization 7,349 12,792 204 20,345
Amortization of
intangible
assets 1,813 3,636 -- 5,449
Restructuring
charges -- -- 1,231 1,231
Other operating
expenses 76,178 136,894 6,050 219,122
------------ ------------ ------------ ------------
Total operating
expenses 1,001,265 552,699 14,634 1,568,598
------------ ------------ ------------ ------------
Operating income/
(loss) $ 31,689 $ 23,205 $ (14,634) 40,260
============ ============ ============
Interest expense,
net (5,751)
Other expense,
net (998)
------------
Pretax income 33,511
Provision for
income taxes 10,224
------------
Net income 23,287
Net income
attributable to
noncontrolling
interests 1,687
------------
Net income
attributable to
UTi Worldwide
Inc. $ 21,600
============
UTi Worldwide Inc.
Segment Reporting
(in thousands)
(Unaudited)
Six months ended July 31, 2008
---------------------------------------------------
Contract
Logistics
Freight and
Forwarding Distribution Corporate Total
---------- ------------ --------- -----
Revenues $ 1,702,329 $ 737,208 $ -- $ 2,439,537
------------ ------------ ------------ ------------
Purchased
transportation
costs 1,332,379 301,674 -- 1,634,053
Staff costs 202,060 232,673 4,690 439,423
Depreciation and
amortization 7,715 13,323 167 21,205
Amortization of
intangible
assets 1,690 4,491 -- 6,181
Restructuring
charges 2,382 3,654 -- 6,036
Other operating
expenses 89,280 166,357 9,721 265,358
------------ ------------ ------------ ------------
Total operating
expenses 1,635,506 722,172 14,578 2,372,256
------------ ------------ ------------ ------------
Operating
income/(loss) $ 66,823 $ 15,036 $ (14,578) 67,281
============ ============ ============
Interest expense,
net (8,598)
Other income, net 633
------------
Pretax income 59,316
Provision for
income taxes 15,455
------------
Income from
continuing
operations,
net of tax 43,861
Discontinued
operations,
net of tax 100
Gain on sale,
net of tax 5,316
------------
Net income 49,277
Net income
attributable to
noncontrolling
interests 1,989
------------
Net income
attributable to
UTi Worldwide
Inc. $ 47,288
============
UTi Worldwide Inc.
Geographic Reporting
(in thousands)
(Unaudited)
Three months ended July 31, 2009
--------------------------------
Contract
Contract Logistics
Logistics and
and Freight Distri-
Freight Distri- Forwarding bution Operating
Forwarding bution Net Net Income/
Revenue Revenue Revenue Revenue (Loss)
--------- --------- --------- --------- ---------
EMENA $ 202,916 $ 59,994 $ 59,140 $ 38,423 $ 2,553
Americas 113,623 157,439 35,295 87,530 4,431
Asia Pacific 160,965 9,479 36,184 6,627 11,075
Africa 61,860 74,226 18,486 57,681 15,359
Corporate -- -- -- -- (11,010)
--------- --------- --------- --------- ---------
Total $ 539,364 $ 301,138 $ 149,105 $ 190,261 $ 22,408
========= ========= ========= ========= =========
Three months ended July 31, 2008
--------------------------------
Contract
Contract Logistics
Logistics and
and Freight Distri-
Freight Distri- Forwarding bution Operating
Forwarding bution Net Net Income/
Revenue Revenue Revenue Revenue (Loss)
--------- --------- --------- --------- ---------
EMENA $ 311,056 $ 70,524 $ 80,658 $ 44,607 $ 14,482
Americas 171,755 220,133 43,706 114,836 14,843
Asia Pacific 292,042 9,141 45,622 5,814 13,518
Africa 101,283 79,153 24,295 56,443 7,894
Corporate -- -- -- -- (7,126)
--------- --------- --------- --------- ---------
Total $ 876,136 $ 378,951 $ 194,281 $ 221,700 $ 43,611
========= ========= ========= ========= =========
UTi Worldwide Inc.
Geographic Reporting
(in thousands)
(Unaudited)
Six months ended July 31, 2009
---------------------------------------
Contract Contract
Logistics Logistics
and Freight and
Freight Distribu- Forward- Distribu- Operating Restruct-
Forwarding tion ing Net tion Net Income/ uring
Revenue Revenue Revenue Revenue (Loss) Charges
---------- --------- --------- --------- --------- ---------
EMENA $ 386,748 $ 113,550 $ 109,926 $ 75,310 $ 1,224 $ --
Americas 219,711 309,384 69,360 172,920 7,558 --
Asia
Pacific 306,480 16,788 69,498 11,799 19,120 --
Africa 120,015 136,182 34,547 105,513 26,992 --
Corporate -- -- -- -- (14,634) 1,231
---------- --------- --------- --------- --------- ---------
Total $1,032,954 $ 575,904 $ 283,331 $ 365,542 $ 40,260 $ 1,231
========== ========= ========= ========= ========= =========
Six months ended July 31, 2008
---------------------------------------
Contract Contract
Logistics Logistics
and Freight and
Freight Distribu- Forward- Distribu- Operating Restruct-
Forwarding tion ing Net tion Net Income/ uring
Revenue Revenue Revenue Revenue (Loss) Charges
---------- --------- --------- --------- --------- ---------
EMENA $ 593,289 $ 138,405 $ 150,284 $ 84,996 $ 20,006 $ 1,572
Americas 331,545 429,380 85,228 230,258 20,729 3,737
Asia
Pacific 580,790 16,793 87,283 10,948 23,801 240
Africa 196,705 152,630 47,155 109,332 17,323 487
Corporate -- -- -- -- (14,578) --
---------- --------- --------- --------- --------- ---------
Total $1,702,329 $ 737,208 $ 369,950 $ 435,534 $ 67,281 $ 6,036
========== ========= ========= ========= ========= =========
UTi Worldwide Inc.
Revenue Growth Reconciliation
(in thousands)
(Unaudited)
Set forth below is a reconciliation of our organic growth in our
revenues and net revenues over the corresponding prior-year period.
REVENUES NET REVENUES
-------- ------------
Three months ended
July 31, 2008 $ 1,255,087 $ 415,981
Add: Acquisitions impact (1) 9,531 4,791
Less: Dispositions impact (2) (7,751) (7,747)
Less: Currency impact (3) (65,314) (27,328)
------------ ------------
Organic growth (351,051) (28)% (46,331) (11)%
------------ ===== ------------ =====
Three months ended
July 31, 2009 $ 840,502 $ 339,366
============ ============
(1) Relates to revenues in the current period for businesses acquired
from May 2008.
(2) Relates to revenues in the corresponding prior period for
businesses exited through the Company's previously announced cost
reduction plans.
(3) Represents the fluctuations in foreign currency exchange rates
when balances are translated into U.S. dollars.
UTi Worldwide Inc.
Revenue Growth Reconciliation
(in thousands)
(Unaudited)
Set forth below is a reconciliation of our organic growth in our
revenues and net revenues over the corresponding prior-year period.
REVENUES NET REVENUES
-------- ------------
Six months ended
July 31, 2008 $ 2,439,537 $ 805,484
Add: Acquisitions impact (1) 16,764 9,169
Less: Dispositions impact (2) (22,551) (22,103)
Less: Currency impact (3) (169,042) (71,986)
------------ ------------
Organic growth (655,850) (27)% (71,691) (9)%
------------ ===== ------------ =====
Six months ended
July 31, 2009 $ 1,608,858 $ 648,873
============ ============
(1) Relates to revenues in the current period for businesses acquired
from February 2008.
(2) Relates to revenues in the corresponding prior period for
businesses exited through the Company's previously announced cost
reduction plans.
(3) Represents the fluctuations in foreign currency exchange rates
when balances are translated into U.S. dollars.
UTi Worldwide Inc.
Operating Expenses Reconciliation
(in thousands)
(Unaudited)
Set forth below is a reconciliation of our fiscal 2010 operating
expenses in comparison to our adjusted fourth quarter fiscal year 2009
operating expenses:
Three months ended Six months ended
July 31, April 30, July 31,
2009 2009 2009
---------- ---------- ----------
Total operating expenses $ 818,094 $ 750,504 $1,568,598
Less: Purchased transportation
costs (501,136) (458,849) (959,985)
---------- ---------- ----------
Subtotal 316,958 291,655 608,613
Less: Acquisition impact (4,404) (4,157) (8,561)
Less: Severance, restructure
and other charges (2,665) (6,404) (9,069)
Less: Gain on sale of property -- 6,271 6,271
Less: Currency impact (16,984) 3,232 (13,752)
---------- ---------- ----------
Adjusted operating expenses $ 292,905 $ 290,597 $ 583,502
========== ========== ==========
Three months ended
January 31,
2009
----------
Total operating expenses $ 991,904
Less: Purchased transportation
costs (561,379)
----------
Subtotal 430,525
Less: Severance, restructure
and other charges (14,576)
Less: Goodwill impairment (109,941)
----------
Adjusted operating expenses $ 306,008 $ 306,008 $ 612,016
========== ========== ==========
Savings over fourth quarter
fiscal year 2009 operating
expenses $ 13,103 $ 15,411 $ 28,514
========== ========== ==========