VPG Reports Fiscal 2022 Second Quarter Results; Stock Repurchase Authorization Announced


MALVERN, Pa., Aug. 08, 2022 (GLOBE NEWSWIRE) -- Vishay Precision Group, Inc. (NYSE: VPG), a leader in precision measurement sensing technologies, today announced its results for its fiscal 2022 second quarter ended July 2, 2022.

Second Fiscal Quarter Highlights:

  • Revenues of $88.6 million increased 17.6% from a year ago.
  • Gross profit margin was 42.1%, as compared to 39.6% reported a year ago.
  • Adjusted gross profit margin* was 42.9%, as compared to 42.3% reported a year ago.
  • Operating margin was 11.9%, as compared to 6.5% reported a year ago.
  • Adjusted operating margin* was 13.7%, as compared to 12.2% reported a year ago.
  • Diluted net earnings per share of $0.79 compared to $0.29 reported a year ago.
  • Adjusted diluted net earnings per share* of $0.68 compared to $0.49 reported a year ago.
  • EBITDA* was $17.6 million with an EBITDA margin* of 19.8%.
  • Adjusted EBITDA* was $15.8 million with an adjusted EBITDA margin* of 17.8%.
  • Book-to-bill ratio was 1.08.
  • Cash from operating activities was $9.0 million with adjusted free cash flow* of $4.9 million.

Ziv Shoshani, Chief Executive Officer of VPG, commented, "We are pleased to report another strong quarter for VPG, as we executed well and grew our revenue both sequentially and year-over-year. We ended the quarter with record-level backlog of $171.4 million, which positions us well for the second half of the year. We achieved these results despite the headwind of unfavorable foreign exchange rates."

Mr. Shoshani said: "Adjusted diluted net earnings per share* of $0.68 reached a record level, and we achieved record adjusted EBITDA* of $15.8 million, or an adjusted EBITDA margin* of 17.8%. We continue to invest in our long-term growth and cost-savings initiatives as we address expanding applications and markets for our precision measurement sensing technologies."

VPG Announces Stock Repurchase Authorization:
The Company also announced today that its Board of Directors has approved a stock repurchase plan, authorizing the Company to repurchase in aggregate up to 600,000 shares of its outstanding common stock.

Marc Zandman, VPG’s Chairman of the Board said, “This authorization reflects our commitment to maximize long-term value for our stockholders by strategically allocating our capital.   We believe that our business strategy, strong balance sheet, and cash generation capability can support investments in current operations and value-adding M&A, as well as share repurchases such as the plan announced today.”

Second Fiscal Quarter and Six Month Financial Trends:
The Company's second fiscal quarter 2022 net earnings attributable to VPG stockholders were $10.8 million, or $0.79 per diluted share, compared to $3.9 million, or $0.29 per diluted share, in the second fiscal quarter of 2021.

In the six fiscal months ended July 2, 2022 net earnings attributable to VPG stockholders were $17.1 million, or $1.25 per diluted share, compared to $8.9 million, or $0.65 per diluted share, in the six fiscal months ended July 3, 2021.

The second fiscal quarter 2022 adjusted net earnings* attributable to VPG stockholders were $9.3 million, or $0.68 per adjusted diluted net earnings per share*, compared to $6.7 million, or $0.49 per adjusted diluted net earnings per share* in the second fiscal quarter of 2021.

In the six fiscal months ended July 2, 2022 adjusted net earnings* attributable to VPG stockholders were $16.0 million, or $1.17 per adjusted diluted net earnings per share*, compared to $10.9 million, or $0.80 per adjusted diluted net earnings per share* in the six fiscal months ended July 3, 2021.

Segment Performance:
The Sensors segment revenue of $40.3 million in the second fiscal quarter of 2022 increased 29.2% from $31.2 million in the second fiscal quarter of 2021; sequentially, revenue increased 6.7% compared to $37.8 million in the first quarter of 2022. The year-over-year increase in revenues was primarily attributable to higher sales of precision resistors in the Test and Measurements market and higher revenue of our advanced sensors products primarily in Other markets (mainly for consumer and medical applications) and in our General Industrial markets for energy applications. Sequentially, the increase in revenues reflected revenue growth in our sales of precision resistors in the Test and Measurement market, partially offset by a decrease in revenues for precision resistors in the Avionics, Military and Space market.

Gross profit margin for the Sensors segment was 44.3% for the second fiscal quarter of 2022. Gross profit margin increased compared to 38.9% (or 42.9% adjusted to exclude the impact of $1.3 million of advanced sensors facility start-up costs and COVID-19-related costs) in the second fiscal quarter of 2021, and increased compared to 37.8% (or 38.6% adjusted to exclude the impact of $0.3 million of advanced sensors facility start-up costs and COVID-19 related costs) in the first fiscal quarter of 2022. The year-over-year increase in adjusted gross profit margin* was primarily due to higher volume partially offset by unfavorable foreign exchange rates, wage increases, and labor inefficiencies due to the hiring of new personnel. Sequentially, the higher adjusted gross profit margin* was primarily due to higher volume and labor efficiencies.

The Weighing Solutions segment revenue of $28.5 million in the second fiscal quarter of 2022 decreased 10.2% compared to $31.7 million in the second fiscal quarter of 2021 and was 13.1% lower than $32.8 million in the first quarter of 2022. The year-over-year and sequential decreases in revenues were primarily attributable to a decrease in revenue related to force sensor products to our OEM customers in our Other markets and lower sales of onboard weighing products to the Transportation market.

Gross profit margin for the Weighing Solutions segment was 33.7% for the second fiscal quarter of 2022, which was a decrease compared to 37.2% (or 37.6% adjusted to exclude the impact of COVID-19) in the second fiscal quarter of 2021, and a decrease compared to 36.9% in the first fiscal quarter of 2022. The year-over-year decrease in adjusted gross profit margin* was primarily due to lower volume, unfavorable foreign exchange rates, and unfavorable product mix. The sequential decrease in adjusted gross profit margin* was primarily due to lower volume and an unfavorable product mix.

The Measurement Systems segment revenue of $19.9 million in the second fiscal quarter of 2022 increased 59.2% year-over-year from $12.5 million in the second fiscal quarter of 2021 and was 15.9% higher than $17.1 million in the first fiscal quarter of 2022. The year-over-year increase in revenue was primarily attributable to the addition of revenue from Diversified Technical Systems, Inc. ("DTS"), which was acquired on June 1, 2021, and higher revenue of our KELK and Dynamic Systems, Inc. ("DSI") steel-related businesses. Sequentially, the increase in revenue was primarily due to the higher revenue of KELK and DSI products to the Steel market.

Gross profit margin for the Measurement Systems segment was 49.9% (or 53.3% adjusted to exclude the $0.7 million of purchase accounting adjustments related to the DTS acquisition), compared to 47.1% (or 52.5% adjusted to exclude the purchase accounting adjustment related to the DTS acquisition and the impact of COVID-19 of $0.7 million), in the second fiscal quarter of 2021, and 51.8% (or 54.1% adjusted to exclude the $0.4 million of purchase accounting adjustments related to the DTS acquisition) in the first fiscal quarter of 2022. The year-over-year increase in adjusted gross profit margin* was mainly due to higher revenue, partially offset by an unfavorable foreign exchange rate and a full quarter of costs for DTS compared to one month in the prior year period. Adjusted gross profit margin* sequentially reflected higher volume which was offset by unfavorable product mix and a reduction in inventory.

Impacts from the Global COVID-19 Pandemic:
As of August 8, 2022, all of the Company’s facilities are open and operational. Nonetheless, given the ongoing uncertainty concerning the magnitude and duration of the COVID-19 pandemic around the world, any ongoing economic disruption may adversely affect the Company’s business and financial results.

Near-Term Outlook:
“We expect net revenues to grow sequentially and be in the range of $90 million to $100 million for the third fiscal quarter of 2022, at constant second fiscal quarter 2022 exchange rates,” concluded Mr. Shoshani.

*Use of Non-GAAP Financial Information:
We define “adjusted gross profit margin" as gross profit margin before purchase accounting adjustments related to the DTS and DSI acquisitions, start-up costs related to our new advanced sensors facility, and COVID-19 costs. We define "adjusted operating margin" as operating margin before purchase accounting adjustments related to the DTS and DSI acquisitions, acquisition costs related to the DTS acquisition, start-up costs related to our new advanced sensors facility, COVID-19 costs, impairment of goodwill and indefinite-lived intangibles, and restructuring costs. We define "adjusted net earnings” and "adjusted diluted net earnings per share" as net earnings attributable to VPG stockholders before purchase accounting adjustments related to the DTS and DSI acquisitions, acquisition costs related to the DTS acquisition, start-up costs related to our new advanced sensors facility, COVID-19 costs, impairment of goodwill and indefinite-lived intangibles, restructuring costs, foreign exchange gains and losses, and associated tax effects. We define "EBITDA" as earnings before interest, taxes, depreciation, and amortization. We define "Adjusted EBITDA" as earnings before interest, taxes, depreciation, and amortization before purchase accounting adjustments related to the DTS and DSI acquisitions, acquisition costs related to the DTS acquisition, start-up costs related to our new advanced sensors facility, COVID-19 costs, impairment of goodwill and indefinite-lived intangibles, restructuring costs, foreign exchange gains and losses, and associated tax effects. "Adjusted free cash flow" for the second fiscal quarter of 2022 is defined as the amount of cash generated from operating activities ($9.0 million), in excess of our capital expenditures ($4.5 million), net of proceeds, if any, from the sale of assets ($0.4 million).

Management believes that these non-GAAP measures are useful to investors because each presents what management views as our core operating results for the relevant period. The adjustments to the applicable GAAP measures relate to occurrences or events that are outside of our core operations, and management believes that the use of these non-GAAP measures provides a consistent basis to evaluate our operating profitability and performance trends across comparable periods. In addition, the Company has historically provided these or similar non-GAAP measures and understands that some investors and financial analysts find this information helpful in analyzing the Company’s performance and in comparing the Company’s financial performance to that of its peer companies and competitors. Management believes that the Company’s non-GAAP measures are regarded as supplemental to its GAAP financial results. These reconciling items are indicated on the accompanying reconciliation schedules and are more fully described in VPG’s financial statements presented in our Annual Report on Form 10-K and our Quarterly Reports on Forms 10-Q.

Conference Call and Webcast:
A conference call will be held on Tuesday, August 9, 2022 at 9:00 a.m. ET (8:00 a.m. CT). To access the conference call, interested parties may call 1-844-200-6205 or internationally +1-929-526-1599 and use passcode 289177, or log on to the investor relations page of the VPG website at ir.vpgsensors.com. A replay will be available approximately one hour after the completion of the call by calling toll-free 1-866-813-9403 or internationally +1-929-458-6194 and by using passcode 615215. The replay will also be available on the “Events” page of investor relations section of the VPG website at ir.vpgsensors.com.

About VPG:
Vishay Precision Group, Inc. (VPG) is a leader in precision measurement sensing technologies. Our sensors, weighing solutions and measurement systems optimize and enhance our customers’ product performance across a broad array of markets to make our world safer, smarter, and more productive. To learn more, visit VPG at www.vpgsensors.com and follow us on LinkedIn.

Forward-Looking Statements:
From time to time, information provided by us, including, but not limited to, statements in this press release, or other statements made by or on our behalf, may contain or constitute "forward-looking" information within the meaning of the Private Securities Litigation Reform Act of 1995. Such statements involve a number of risks, uncertainties, and contingencies, many of which are beyond our control, which may cause actual results, performance, or achievements to differ materially from those anticipated.

Such statements are based on current expectations only, and are subject to certain risks, uncertainties, and assumptions. Should one or more of these risks or uncertainties materialize, or should underlying assumptions prove incorrect, actual results may vary materially from those anticipated, expected, estimated, or projected. Among the factors that could cause actual results to materially differ include: general business and economic conditions; impact of inflation, global labor and supply chain challenges; difficulties or delays in identifying, negotiating and completing acquisitions and integrating acquired companies; the inability to realize anticipated synergies and expansion possibilities; difficulties in new product development; changes in competition and technology in the markets that we serve and the mix of our products required to address these changes; changes in foreign currency exchange rates; political, economic, health (including the COVID-19 pandemic) and military instability in the countries in which we operate; difficulties in implementing our cost reduction strategies, such as underutilization of production facilities, labor unrest or legal challenges to our lay-off or termination plans, operation of redundant facilities due to difficulties in transferring production to achieve efficiencies; our compliance with applicable laws, such as export control laws, and related governmental investigations; significant developments from the recent and potential changes in tariffs and trade regulation; our efforts and efforts by governmental authorities to mitigate the COVID-19 pandemic, such as travel bans, shelter-in-place orders and business closures and the related impact on resource allocations, manufacturing and supply chains; our status as a “critical”, “essential” or “life-sustaining” business in light of COVID-19 business closure laws, orders and guidance being challenged by a governmental body or other applicable authority; our ability to execute our new corporate strategy and business continuity, operational and budget plans; and other factors affecting our operations, markets, products, services, and prices that are set forth in our Annual Report on Form 10-K for the fiscal year ended December 31, 2021. We undertake no obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise.

Contact:
Steve Cantor
Vishay Precision Group, Inc.
781-222-3516
info@vpgsensors.com


VISHAY PRECISION GROUP, INC.   
Consolidated Condensed Statements of Operations   
(Unaudited - In thousands, except per share amounts)   
    
 Fiscal quarter ended
 July 2, 2022 July 3, 2021
Net revenues$88,618  $75,339 
Costs of products sold 51,284   45,541 
Gross profit 37,334   29,798 
Gross profit margin 42.1%  39.6%
    
Selling, general, and administrative expenses 25,879   22,453 
Acquisition costs    1,198 
Impairment of goodwill and indefinite-lived intangibles    1,223 
Restructuring costs 904    
Operating income 10,551   4,924 
Operating margin 11.9%  6.5%
    
Other income (expense):   
Interest expense (428)  (273)
Other 3,344   (326)
Other income (expense) 2,916   (599)
    
Income before taxes 13,467   4,325 
    
Income tax expense 2,587   262 
    
Net earnings 10,880   4,063 
Less: net earnings attributable to noncontrolling interests 125   143 
Net earnings attributable to VPG stockholders$10,755  $3,920 
    
Basic earnings per share attributable to VPG stockholders$0.79  $0.29 
Diluted earnings per share attributable to VPG stockholders$0.79  $0.29 
    
Weighted average shares outstanding - basic 13,648   13,618 
Weighted average shares outstanding - diluted 13,692   13,646 


VISHAY PRECISION GROUP, INC.   
Consolidated Condensed Statements of Operations   
(Unaudited - In thousands, except per share amounts)   
    
 Six fiscal months ended
 July 2, 2022 July 3, 2021
Net revenues$176,283  $145,928 
Costs of products sold 103,699   87,508 
Gross profit 72,584   58,420 
Gross profit margin 41.2%  40.0%
    
Selling, general, and administrative expenses 52,553   44,636 
Acquisition costs    1,198 
Impairment of goodwill and indefinite-lived intangibles    1,223 
Restructuring costs 1,165    
Operating income 18,866   11,363 
Operating margin 10.7%  7.8%
    
Other income (expense):   
Interest expense (757)  (578)
Other 3,783   247 
Other income (expense) 3,026   (331)
    
Income before taxes 21,892   11,032 
    
Income tax expense 4,328   2,026 
    
Net earnings 17,564   9,006 
Less: net earnings attributable to noncontrolling interests 453   125 
Net earnings attributable to VPG stockholders$17,111  $8,881 
    
Basic earnings per share attributable to VPG stockholders$1.25  $0.65 
Diluted earnings per share attributable to VPG stockholders$1.25  $0.65 
    
Weighted average shares outstanding - basic 13,643   13,605 
Weighted average shares outstanding - diluted 13,684   13,638 


VISHAY PRECISION GROUP, INC.   
Consolidated Condensed Balance Sheets   
(In thousands)   
 July 2, 2022 December 31, 2021
 (Unaudited)  
Assets   
Current assets:   
Cash and cash equivalents$79,429  $84,335 
Accounts receivable, net 58,674   58,265 
Inventories:   
Raw materials 29,484   25,464 
Work in process 28,126   23,851 
Finished goods 26,728   27,112 
Inventories, net 84,338   76,427 
    
Prepaid expenses and other current assets 15,228   15,916 
Total current assets 237,669   234,943 
    
Property and equipment:   
Land 4,119   4,241 
Buildings and improvements 68,339   68,778 
Machinery and equipment 122,388   122,202 
Software 9,303   8,871 
Construction in progress 8,305   7,747 
Accumulated depreciation (130,506)  (130,619)
Property and equipment, net 81,948   81,220 
    
Goodwill 45,872   45,830 
Intangible assets, net 50,426   52,437 
Operating lease right-of-use assets 25,783   27,764 
Other assets 16,680   19,695 
Total assets$458,378  $461,889 


VISHAY PRECISION GROUP, INC.   
Consolidated Condensed Balance Sheets   
(In thousands)   
 July 2, 2022 December 31, 2021
 (Unaudited)  
Liabilities and equity   
Current liabilities:   
Trade accounts payable$13,172  $14,876 
Payroll and related expenses 17,872   23,772 
Other accrued expenses 23,562   17,596 
Income taxes 478   3,774 
Current portion of operating lease liabilities 4,343   4,610 
Total current liabilities 59,427   64,628 
    
Long-term debt, less current portion 60,758   60,714 
Deferred income taxes 6,096   5,848 
Operating lease liabilities 21,749   25,140 
Other liabilities 14,157   16,264 
Accrued pension and other postretirement costs 10,841   12,253 
Total liabilities 173,028   184,847 
    
Commitments and contingencies   
    
Equity:   
Common stock 1,325   1,322 
Class B convertible common stock 103   103 
Treasury stock (8,765)  (8,765)
Capital in excess of par value 199,749   199,151 
Retained earnings 137,407   120,296 
Accumulated other comprehensive loss (44,581)  (35,008)
Total Vishay Precision Group, Inc. stockholders' equity 285,238   277,099 
Noncontrolling interests 112   (57)
Total equity 285,350   277,042 
Total liabilities and equity$458,378  $461,889 


VISHAY PRECISION GROUP, INC.   
Consolidated Condensed Statements of Cash Flows   
(Unaudited - In thousands)   
    
 Six Fiscal Months Ended
 July 2, 2022 July 3, 2021
Operating activities   
Net earnings$17,564  $9,006 
Adjustments to reconcile net earnings to net cash provided by operating activities:   
Impairment of goodwill and indefinite-lived intangibles    1,223 
Depreciation and amortization 7,622   7,108 
Loss (gain) on sale of property and equipment (178)  44 
Reclassification of foreign currency translation adjustment related to disposal of subsidiary 191    
Share-based compensation expense 1,024   942 
Inventory write-offs for obsolescence 866   1,135 
Deferred income taxes 1,116   (1,110)
Other (3,485)  (1,820)
Net changes in operating assets and liabilities:   
Accounts receivable, net (3,434)  (776)
Inventories, net (10,739)  (7,744)
Prepaid expenses and other current assets 254   314 
Trade accounts payable 14   1,715 
Other current liabilities (2,059)  2,341 
Net cash provided by operating activities 8,756   12,378 
    
Investing activities   
Capital expenditures (8,815)  (8,309)
Proceeds from sale of property and equipment 380   16 
Purchase of business, net of cash acquired    (47,216)
Net cash used in investing activities (8,435)  (55,509)
    
Financing activities   
Principal payments on long-term debt    (18)
Proceeds from revolving facility    20,000 
Distributions to noncontrolling interests (284)  (167)
Payments of employee taxes on certain share-based arrangements (435)  (846)
Net cash (used in) provided by financing activities (719)  18,969 
Effect of exchange rate changes on cash and cash equivalents (4,508)  (820)
Decrease in cash and cash equivalents (4,906)  (24,982)
    
Cash and cash equivalents at beginning of period 84,335   98,438 
Cash and cash equivalents at end of period$79,429  $73,456 
    
Supplemental disclosure of investing transactions:   
Capital expenditures purchased$(8,432) $(6,353)
Capital expenditures accrued but not yet paid$2,684  $606 


VISHAY PRECISION GROUP, INC.   
Reconciliation of Consolidated Adjusted Gross Profit, Operating Income, Net Earnings Attributable to VPG Stockholders and Diluted Earnings Per Share
(Unaudited - In thousands)       
                
 Gross Profit Operating Income Net Earnings Attributable to VPG Stockholders Diluted Earnings Per share
Three months endedJuly 2, 2022 July 3, 2021 July 2, 2022 July 3, 2021 July 2, 2022 July 3, 2021 July 2, 2022 July 3, 2021
As reported - GAAP$37,334  $29,798  $10,551  $4,924  $10,755  $3,920  $0.79  $0.29 
As reported - GAAP Margins 42.1%  39.6%  11.9%  6.5%        
Acquisition purchase accounting adjustments 679   919   679   919   679   919   0.05   0.07 
Acquisition costs         1,198      1,198      0.09 
COVID-19 impact    (26)     (242)     (242)     (0.02)
Start-up costs    1,159      1,159      1,159      0.08 
Impairment of goodwill and indefinite-lived intangibles         1,223      1,223      0.09 
Restructuring costs      904      904      0.07    
Foreign exchange (gain)/loss           (3,380)  174   (0.25)  0.01 
Less: Tax effect of reconciling items and discrete tax items           (377)  1,639   (0.02)  0.12 
As Adjusted - Non GAAP$38,013  $31,850  $12,134  $9,181  $9,335  $6,712  $0.68  $0.49 
As Adjusted - Non GAAP Margins 42.9%  42.3%  13.7%  12.2%        


VISHAY PRECISION GROUP, INC.  
Reconciliation of Consolidated Adjusted Gross Profit, Operating Income, Net Earnings Attributable to VPG Stockholders and Diluted Earnings Per Share
(Unaudited - In thousands)               
                
                
 Gross Profit Operating Income Net Earnings Attributable to VPG Stockholders Diluted Earnings Per share
Six fiscal months endedJuly 2, 2022 July 3, 2021 July 2, 2022 July 3, 2021 July 2, 2022 July 3, 2021 July 2, 2022 July 3, 2021
As reported - GAAP$72,584  $58,420  $18,866  $11,363  $17,111  $8,881  $1.25  $0.65 
As reported - GAAP Margins 41.2%  40.0%  10.7%  7.8%        
Acquisition purchase accounting adjustments 1,050   930   1,050   930   1,050   930   0.08   0.07 
Acquisition costs         1,198      1,198      0.09 
COVID-19 impact 138   (177)  138   (685)  138   (685)  0.01   (0.05)
Start-up costs 150   1,288   150   1,288   150   1,288   0.01   0.09 
Impairment of goodwill and indefinite-lived intangibles          1,223      1,223      0.09 
Restructuring costs     1,165      1,165      0.09    
Foreign exchange (gain)/loss         (3,934)  (561)  (0.29)  (0.04)
Less: Tax effect of reconciling items and discrete tax items         (302)  1,406   (0.02)  0.10 
As Adjusted - Non GAAP$73,922  $60,461  $21,369  $15,317  $15,982  $10,868   1.17  $0.80 
As Adjusted - Non GAAP Margins 41.9%  41.4%  12.1%  10.5%        


VISHAY PRECISION GROUP, INC.
Reconciliation of Adjusted Gross Profit by segment
(Unaudited - In thousands)
      
 Fiscal quarter ended
 July 2, 2022 July 3, 2021 April 2, 2022
Sensors     
As reported - GAAP$17,831  $12,120  $14,286 
As reported - GAAP Margins 44.3%  38.9%  37.8%
COVID-19 impact    94   121 
Start-up costs$  $1,159  $150 
As Adjusted - Non GAAP$17,831  $13,373  $14,557 
As Adjusted - Non GAAP Margins 44.3%  42.9%  38.6%
      
Weighing Solutions     
As reported - GAAP$9,585  $11,791  $12,079 
As reported - GAAP Margins 33.7%  37.2%  36.9%
COVID-19 impact    127    
As Adjusted - Non GAAP$9,585  $11,918  $12,079 
As Adjusted - Non GAAP Margins 33.7%  37.6%  36.9%
      
Measurement Systems     
As reported - GAAP$9,918  $5,887  $8,885 
As reported - GAAP Margins 49.9%  47.1%  51.8%
Acquisition purchase accounting adjustments 679   919   371 
COVID-19 impact    (247)  17 
As Adjusted - Non GAAP$10,597  $6,559  $9,273 
As Adjusted - Non GAAP Margins 53.3%  52.5%  54.1%


VISHAY PRECISION GROUP, INC.
Reconciliation of Adjusted EBITDA
(Unaudited - In thousands)
 Fiscal quarter ended
 July 2, 2022 July 3, 2021 April 2, 2022
Net earnings attributable to VPG stockholders$10,755  $3,920  $6,356 
Interest Expense 428   273   329 
Income tax expense 2,587   262   1,741 
Depreciation 2,832   2,829   2,853 
Amortization 967   757   970 
EBITDA$
17,569  $8,041  $12,249 
EBITDA MARGIN 19.8%  10.7%  14.0%
Impairment of goodwill and indefinite-lived intangibles    1,223    
Acquisition purchase accounting adjustments 679   919   371 
Acquisition costs    1,198    
Restructuring costs 904      261 
COVID-19 impact    (242)  138 
Start-up costs    1,159   150 
Foreign exchange (gain)/loss (3,380)  174   (554)
ADJUSTED EBITDA$15,772  $12,472  $12,615 
ADJUSTED EBITDA MARGIN 17.8%  16.6%  14.4%