Post Holdings, Inc. (POST) swung to a net loss for the quarter ended Mar. 31, 2017. The company has made a net loss of $4 million, or $ 0.11 a share in the quarter, against a net profit of $4.90 million, or $0.02 a share in the last year period. On the other hand, adjusted net income for the quarter stood at $43.70 million, or $0.55 a share compared with $69 million or $0.87 a share, a year ago. Revenue during the quarter went down marginally by 1.24 percent to $1,255.40 million from $1,271.10 million in the previous year period. Gross margin for the quarter contracted 320 basis points over the previous year period to 29 percent. Total expenses were 89.05 percent of quarterly revenues, up from 87.22 percent for the same period last year. That has resulted in a contraction of 183 basis points in operating margin to 10.95 percent.
Operating income for the quarter was $137.50 million, compared with $162.50 million in the previous year period.
However, the adjusted EBITDA for the quarter stood at $228.50 million compared with $247.80 million in the prior year period. At the same time, adjusted EBITDA margin contracted 129 basis points in the quarter to 18.20 percent from 19.49 percent in the last year period.
Operating cash flow turns negative
Post Holdings, Inc. has spent $26.50 million cash to meet operating activities during the first half as against cash inflow of $196.40 million in the last year period. The company has spent $141.60 million cash to meet investing activities during the first six months as against cash outgo of $122 million in the last year period.
Cash flow from financing activities was $509.80 million for the first six months as against cash outgo of $48.50 million in the last year period.
Cash and cash equivalents stood at $1,484.90 million as on Mar. 31, 2017, up 71.03 percent or $616.70 million from $868.20 million on Mar. 31, 2016.
Working capital increases sharply
Post Holdings, Inc. has recorded an increase in the working capital over the last year. It stood at $2,068.70 million as at Mar. 31, 2017, up 65.06 percent or $815.40 million from $1,253.30 million on Mar. 31, 2016. Current ratio was at 5.53 as on Mar. 31, 2017, up from 3.25 on Mar. 31, 2016.
Cash conversion cycle (CCC) has decreased to 34 days for the quarter from 55 days for the last year period. Days sales outstanding went up to 31 days for the quarter compared with 27 days for the same period last year.
Days inventory outstanding has decreased to 26 days for the quarter compared with 52 days for the previous year period. At the same time, days payable outstanding went down to 22 days for the quarter from 24 for the same period last year.
Debt moves up
Post Holdings, Inc. has witnessed an increase in total debt over the last one year. It stood at $5,270.50 million as on Mar. 31, 2017, up 16.76 percent or $756.60 million from $4,513.90 million on Mar. 31, 2016. Total debt was 53.64 percent of total assets as on Mar. 31, 2017, compared with 49.04 percent on Mar. 31, 2016. Debt to equity ratio was at 1.76 as on Mar. 31, 2017, up from 1.50 as on Mar. 31, 2016. Interest coverage ratio deteriorated to 1.71 for the quarter from 2.10 for the same period last year. Disclaimer: Please note that this is an auto-generated article. IRIS does not guarantee the accuracy, adequacy or completeness of any information and is not responsible for any errors or omissions or for the results obtained from the use of such information. IRIS especially states that it has no financial liability whatsoever to any user on account of the use of information provided on its website. For queries contact: [email protected]
