Business
Matthews International Reports Results for Fourth Quarter and Fiscal Year Ended September 30, 2019
Financial Highlights: Fiscal 2019 consolidated sales of $1.54 billion; $392.4 million for 4th quarterCompany targets growth for fiscal 20204th quarter debt
About this update from Matthews International Corporation
[{"type":"text","content":"Financial Highlights:\n Fiscal 2019 consolidated sales of $1.54 billion; $392.4 million for 4th quarterCompany targets growth for fiscal 20204th quarter debt reduction of $39 millionEstimated annual savings from cost reduction project of at least $25 million4th quarter goodwill write-down of $78 million PITTSBURGH, Nov. 21, 2019 (GLOBE NEWSWIRE) -- Matthews International Corporation (NASDAQ GSM: MATW) today announced financial results for its fiscal 2019 fourth quarter and fiscal year ended September 30, 2019. In discussing the Company’s results for the quarter, Joseph C. Bartolacci, President and Chief Executive Officer, stated: “We closed out fiscal 2019 consistent with the preliminary estimates provided on November 8, 2019. Unfavorable currency rate changes and a brand client account loss early in the fiscal year continued to unfavorably impact year-over-year comparability into the fourth fiscal quarter. In addition, delayed orders in our Industrial Technologies segment and for cremation and incineration equipment, combined with challenging market conditions in Europe for the SGK Brand Solutions segment, impacted the current quarter relative to our expectations. “However, during the fourth quarter, we began to see signs of improving conditions in the U.S. brand market. In addition, we have already received several of the significant orders which were delayed by customers in the fiscal 2019 fourth quarter for the Industrial Technologies segment and for cremation and incineration equipment. These orders are expected to contribute to our earnings in fiscal 2020. “Additionally, we recently received our first significant order in the energy storage market for our engineered solutions business (SGK Brand Solutions segment). This initial order is scheduled for delivery during fiscal 2020 and interest in all of our engineered solutions continues to grow. “Lastly, as a result of the continued challenging market conditions, we initiated a strategic evaluation during the quarter to improve profitability and reduce our cost structure. These actions leverage the benefit of our new global ERP platform, primarily targeted at the SGK Brand Solutions segment, both operational and commercial structure, and our shared financial services and other administrative functions. This evaluation has identified opportunities for significant cost structu...