Phibro Animal Health Corporation Reports Second Quarter Results, Updates Financial Guidance
Phibro Animal Health Corporation (PAHC) announced its Q2 financial results, showing a 2% increase in net sales to $249.9 million and a 5% decrease in adjusted EBITDA to $29.5 million. The company affirmed its fiscal year 2024 guidance for net sales and adjusted EBITDA, but updated its guidance for net income and diluted EPS, reflecting recent developments such as expenses for Brazil employment taxes and foreign currency losses.
Positive
Net sales increased by 2% to $249.9 million for the three months ended December 31, 2023.
Adjusted EBITDA decreased by 5% to $29.5 million for the three months ended December 31, 2023.
The company affirmed its fiscal year 2024 guidance for net sales and adjusted EBITDA.
The company updated its fiscal year 2024 guidance for net income and diluted EPS, reflecting recent developments such as expenses for Brazil employment taxes and foreign currency losses.
Negative
Net income decreased by 55% to $12 million to $17 million for fiscal year 2024.
Diluted EPS decreased by 56% to $0.30 to $0.42 for fiscal year 2024.
Adjusted EBITDA decreased by 3% to $106 million to $112 million for fiscal year 2024.
The recent financial results and updated guidance from Phibro Animal Health Corporation suggest a mixed performance with some positive growth in net sales but a notable decrease in net income and diluted earnings per share (EPS). The growth in net sales, particularly in the Animal Health segment, is a positive indicator of demand resilience and successful product introductions in the market. However, the decline in net income and diluted EPS, including a significant decrease in forecasted net income and diluted EPS for fiscal year 2024, could be concerning for investors. The updated guidance indicating a 55% decline in net income and a 56% decline in diluted EPS year-over-year is particularly stark.
These financial metrics are crucial for evaluating the company's profitability and operational efficiency. The higher variable interest rates and increased debt levels that led to a rise in net interest expense reflect broader economic conditions that may affect other companies in the sector. Furthermore, the foreign currency losses, notably from Argentina, highlight the risks associated with international operations and currency volatility. The adjusted EBITDA decrease, though modest, suggests some pressure on operational efficiency. In the longer term, strategic investments and new product introductions may enhance the company's competitive position, but the immediate impact on profitability and the stock price could be negative.
Analyzing the performance of Phibro's different segments provides insight into the company's strategic positioning. The Animal Health segment's net sales growth of 6% is promising, driven by international demand and new vaccine product introductions in Latin America. This indicates a successful expansion in emerging markets and a potential for future growth. However, the decrease in nutritional specialty products sales due to lower domestic dairy demand could be a sign of market saturation or competitive pressure in the U.S.
The decline in the Mineral Nutrition and Performance Products segments, both in net sales and gross profit, reflects challenges such as unfavorable product mix and raw material cost increases. This suggests potential supply chain inefficiencies or pricing pressures that could impact the company's market share and profitability in these areas. The company's ability to navigate these challenges and improve performance in the second half of the year, as indicated in the commentary, will be critical for investor confidence.
The $4.2 million cost from an unfavorable litigation result related to Brazil employment taxes is a significant one-time expense that adversely affected the company's financials. This highlights the legal and regulatory risks associated with international business operations. The litigation cost, while non-recurring, may raise concerns about the company's risk management practices and the potential for similar issues in other jurisdictions. Additionally, the increase in the effective income tax rate due to an unfavorable mix of pre-tax income and related tax provisions illustrates the complexity of tax management in a multinational corporation. The improvement in the adjusted effective income tax rate, however, suggests that recent global tax structuring efforts may yield benefits in tax efficiency going forward.
02/07/2024 - 04:30 PM
TEANECK, N.J. --(BUSINESS WIRE)--
Phibro Animal Health Corporation (Nasdaq: PAHC) (“Phibro” or the “Company”) today announced financial results for its second quarter ended December 31, 2023 and its updated financial guidance for the year ending June 30, 2024.
Highlights for the three months ended December 31, 2023 (compared to the three months ended December 31, 2022)
Net sales of $249.9 million $5.3 million 2%
Net income of $1.3 million $5.9 million
Diluted earnings per share of $0.03 $0.15
Adjusted EBITDA of $29.5 million $1.5 million 5%
Adjusted net income of $13.5 million $0.3 million 2%
Adjusted diluted EPS of $0.33 $0.01 2%
We affirm our previously issued fiscal year 2024 guidance for the following measures:
Net sales of $980 million $1.02 0 billion
Adjusted EBITDA of $106 million $112 million
Adjusted net income of $42 million $47 million
Adjusted diluted EPS of $1.04 $1.16
We have updated our fiscal year 2024 guidance for the following measures:
Net income of $12 million $17 million
Diluted EPS of $0.30 $0.42
Adjusted effective tax rate of 28% to 30%
COMMENTARY
“I am pleased that we once again have delivered very strong top line growth in our core Animal Health segment, with 6% net sales growth as compared to the same quarter last year. Equally important, our Adjusted EBITDA growth in this segment grew at a similar pace, as we were led by the growth of high value new product introductions in our vaccine product line,” said Jack Bendheim, Phibro’s Chairman, President, and Chief Executive Officer.
Jack continued, “We expect continuing growth in our Animal Health business in the second half of the year. We also expect to see significant improvement in our Mineral Nutrition and Performance Products segments in the second half of the year, as we work through inventory imbalances and as we see a rebound in demand.”
Jack added, “I am very excited to welcome Glenn David to Phibro as Chief Financial Officer, as we recently announced. Glenn brings over 30 years of experience in commercial and financial leadership roles, including a wealth of knowledge in the animal health industry. He brings the capabilities needed to play a key role in Phibro’s future success and to bring value to our shareholders.”
QUARTERLY RESULTS
Net sales
Net sales of $249.9 million $5.3 million 2% , as compared to the three months ended December 31, 2022. Animal Health increased $9.3 million $0.3 million $3.7 million
Animal Health
Net sales of $173.1 million $9.3 million 6% . Net sales of MFAs and other increased $4.8 million 5% , due to increased demand for our MFAs in international regions and for our processing aids used in the ethanol fermentation industry. Net sales of nutritional specialty products decreased $2.4 million 6% , mostly due to lower domestic dairy demand. Net sales of vaccines increased $7.0 million 31% , primarily due to poultry product introductions in Latin America , plus an increase in domestic demand.
Mineral Nutrition
Net sales of $61.3 million for the three months ended December 31, 2023, decreased $0.3 million 1% , primarily due to declines in average selling prices and some reduction in sales volume.
Performance Products
Net sales of $15.5 million for the three months ended December 31, 2023, decreased $3.7 million 19% , driven by decreased demand for personal care product ingredients and industrial chemicals.
Gross profit
Gross profit of $78.6 million for the three months ended December 31, 2023, increased $1.2 million 2% , as compared to the three months ended December 31, 2022. Gross margin decreased 10 basis points to 31.5% of net sales for the three months ended December 31, 2023, as compared to 31.6% for the three months ended December 31, 2022, due to decreased sales and unfavorable product mix in Mineral Nutrition and Performance Products.
Animal Health gross profit increased $4.1 million $1.0 million $1.6 million $0.3 million
Selling, general and administrative expenses
Selling, general and administrative expenses (“SG&A”) of $62.9 million $1.4 million 2% , as compared to the three months ended December 31, 2022. SG&A for the three months ended December 31, 2023, included a $4.2 million Brazil employment taxes paid from January 2013 through December 2015, an additional $0.3 million $0.1 million $6.6 million $3.4 million 6% .
Animal Health SG&A increased $2.3 million Latin America and Asia Pacific . Mineral Nutrition and Performance Products SG&A was comparable to the prior year. Corporate costs increased by $1.4 million
Interest expense, net
Interest expense, net of $4.7 million $0.8 million
Foreign currency losses (gains), net
Foreign currency losses, net for the three months ended December 31, 2023, were $7.5 million $(0.1) million U.S. dollar, including a major devaluation in Argentina .
Provision for income taxes
The provision for income taxes was $2.3 million $4.9 million 64.3% and 40.5% for the three months ended December 31, 2023 and 2022, respectively. The effective income tax rate for the three months ended December 31, 2023, increased due to an unfavorable mix of pre-tax income and related tax provisions in the various jurisdictions where we have operations and the relatively greater effect of certain items such as Global Intangible Low-Taxed Income on reduced pre-tax income.
Net income
Net income of $1.3 million $5.9 million $7.2 million $0.1 million $4.2 million Brazil employment taxes paid from January 2013 through December 2015. Interest expense, net increased $0.8 million $7.6 million $2.6 million
Adjusted EBITDA
Adjusted EBITDA of $29.5 million $1.5 million 5% , as compared to the three months ended December 31, 2022. Animal Health Adjusted EBITDA increased $2.2 million $0.9 million $1.5 million $1.3 million
Adjusted provision for income taxes
The adjusted provision for income taxes was $4.9 million $7.2 million 26.7% and 34.3% for the three months ended December 31, 2023 and 2022, respectively. The improvement in our adjusted effective income tax rate for the three months ended December 31, 2023, was driven by a favorable mix of pre-tax income and the benefit of recently implemented global tax structuring.
Adjusted net income
Adjusted net income of $13.5 million $0.3 million 2% , as compared to the prior year. Increased adjusted gross profit, driven by sales growth, was offset by higher adjusted SG&A and higher adjusted interest expense, net, with a partial benefit from a reduced adjusted provision for income taxes. Adjusted SG&A increased due to strategic investments and increased employee-related costs and adjusted interest expense, net, increased due to higher variable interest rates.
Adjusted diluted earnings per share
Adjusted diluted earnings per share was $0.33 $0.01 2% as compared to the adjusted diluted earnings per share of $0.34
BALANCE SHEET AND CASH FLOWS
Free cash flow was $37.0 million for the twelve months ended December 31, 2023
4.4x gross leverage ratio as of December 31, 2023
$476 million
$108 million
Cash and short-term investments of $92.5 million
FISCAL YEAR 2024 FINANCIAL GUIDANCE
Our affirmed or updated fiscal year 2024 financial guidance is as shown in the table below. Comparisons are to the prior fiscal year and year-over-year percentages are calculated using the midpoint of the guidance ranges.
Net sales of $980 million $1.02 0 billion2% , affirmed
Net income of $12 million $17 million 55% , updated
Diluted EPS of $0.30 $0.42 56% , updated
Adjusted EBITDA of $106 million $112 million 3% , affirmed
Adjusted net income of $42 million $47 million 9% , affirmed
Adjusted diluted EPS of $1.04 $1.16 9% , affirmed
Adjusted effective tax rate of 28% to 30% , updated
The updated guidance reflects recent developments, including expense for Brazil employment taxes, additional foreign currency losses, primarily due to a major devaluation in Argentina , acquisition-related expenses from a recent small acquisition and the related effects on the provision for income taxes. Each of these items are reflected in our GAAP guidance but are excluded from adjusted measures.
WEBCAST & CONFERENCE CALL DETAILS
Phibro Animal Health Corporation will host a webcast and conference call during which the Company will review its financial results and respond to questions.
Date:
Thursday, February 8, 2024
Time:
9:00 AM Eastern
Location:
https://investors.pahc.com
U.S. Toll-Free:
+1 (888) 330-2022
International Toll:
+1 (365) 977-0051
Conference ID:
3927884
NOTE: To join this conference call, all participants will be required to provide the Conference ID number.
A replay of the webcast will be archived and made available on Phibro’s website.
DISCLOSURE NOTICES
Forward-Looking Statements: This communication contains forward-looking statements that are subject to risks and uncertainties. All statements other than statements of historical or current fact included in this report are forward-looking statements. Forward-looking statements discuss our current expectations and projections relating to our financial condition, results of operations, plans, objectives, future performance and business. You can identify forward-looking statements by the fact that they do not relate strictly to historical or current facts. These statements may include words such as “aim,” “anticipate,” “believe,” “estimate,” “expect,” “forecast,” “outlook,” “potential,” “project,” “projection,” “plan,” “intend,” “seek,” “may,” “could,” “would,” “will,” “should,” “can,” “can have,” “likely,” the negatives thereof and other words and terms of similar meaning in connection with any discussion of the timing or nature of future operating or financial performance or other events. These statements are not guarantees of future performance or actions. If one or more of these risks or uncertainties materialize, or if management’s underlying assumptions prove to be incorrect, actual results may differ materially from those contemplated by a forward-looking statement. Forward-looking statements speak only as of the date on which they are made. Phibro expressly disclaims any obligation to update or revise any forward-looking statement, whether as a result of new information, future events or otherwise. A further list and description of risks, uncertainties and other matters can be found in our Quarterly Report on Form 10-Q and Annual Report on Form 10-K, including in the sections thereof captioned “Forward-Looking Statements” and “Risk Factors.” These filings and subsequent filings are available online at www.sec.gov , www.pahc.com , or on request from Phibro.
Non-GAAP Financial Information: We use non-GAAP financial measures, such as adjusted EBITDA, adjusted net income, adjusted diluted EPS and free cash flow to assess and analyze our operational results and trends and to make financial and operational decisions. Management uses adjusted EBITDA as its primary operating measure. We report adjusted net income to portray the results of our operations prior to considering certain income statement elements. We believe these non-GAAP financial measures are also useful to investors because they provide greater transparency regarding our operating performance. The non-GAAP financial measures included in this communication should not be considered alternatives to measurements required by GAAP, such as net income, operating income and earnings per share, and should not be considered measures of liquidity. These non-GAAP financial measures are unlikely to be comparable with non-GAAP information provided by other companies. Reconciliation of non-GAAP financial measures and GAAP financial measures are included in the tables accompanying this communication and/or our Quarterly Report on Form 10-Q and Annual Report on Form 10-K.
We are not providing a reconciliation of forward-looking guidance of non-GAAP financial measures to the most directly comparable GAAP financial measures because of the uncertainty regarding, and the potential variability of, certain of the items required for a reconciliation; accordingly, a reconciliation of the non-GAAP financial measure to the corresponding GAAP financial measure is not available without unreasonable effort.
Internet Posting of Information: We routinely post information that may be important to investors in the “Investors” section of our website at www.pahc.com . We encourage investors and potential investors to consult our website regularly for important information about us.
Phibro Animal Health Corporation
Consolidated Results of Operations
Three Months
Six Months
For the Periods Ended December 31
2023
2022
Change
2023
2022
Change
(in millions, except per share amounts and percentages)
Net sales
$
249.9
$
244.6
$
5.3
2
%
$
481.3
$
477.2
$
4.1
1
%
Cost of goods sold
171.3
167.3
4.1
2
%
335.0
331.1
3.8
1
%
Gross profit
78.6
77.4
1.2
2
%
146.3
146.0
0.3
0
%
Selling, general and administrative
62.9
61.5
1.4
2
%
131.4
116.5
14.9
13
%
Operating income
15.7
15.8
(0.1
)
(1
)%
15.0
29.5
(14.6
)
*
%
Interest expense, net
4.7
3.9
0.8
20
%
9.2
7.0
2.3
33
%
Foreign currency losses (gains), net
7.5
(0.1
)
7.6
*
14.2
5.1
9.1
*
Income (loss) before income taxes
3.6
12.1
(8.5
)
(71
)%
(8.4
)
17.5
(25.9
)
*
Provision (benefit) for income taxes
2.3
4.9
(2.6
)
(53
)%
(1.7
)
6.5
(8.1
)
*
Net income (loss)
$
1.3
$
7.2
$
(5.9
)
(82
)%
$
(6.7
)
$
11.1
$
(17.8
)
*
Net income (loss) per share
basic
$
0.03
$
0.18
$
(0.15
)
(82
)%
$
(0.17
)
$
0.27
$
(0.44
)
*
diluted
$
0.03
$
0.18
$
(0.15
)
(82
)%
$
(0.17
)
$
0.27
$
(0.44
)
*
Weighted average common shares outstanding
basic
40.5
40.5
40.5
40.5
diluted
40.5
40.5
40.5
40.5
Ratio to net sales
Gross profit
31.5
%
31.6
%
30.4
%
30.6
%
Selling, general and administrative
25.2
%
25.2
%
27.3
%
24.4
%
Operating income
6.3
%
6.5
%
3.1
%
6.2
%
Income (loss) before income taxes
1.4
%
4.9
%
(1.7
)%
3.7
%
Net income (loss)
0.5
%
2.9
%
(1.4
)%
2.3
%
Effective tax rate
64.3
%
40.5
%
19.9
%
36.9
%
Amounts and percentages may reflect rounding adjustments.
*
Calculation not meaningful
Phibro Animal Health Corporation
Segment Net Sales and Adjusted EBITDA
Three Months
Six Months
For the Periods Ended December 31
2023
2022
Change
2023
2022
Change
(in millions, except percentages)
Net Sales
MFAs and other
$
101.9
$
97.2
$
4.8
5
%
$
196.0
$
190.0
$
6.1
3
%
Nutritional specialties
41.4
43.9
(2.4
)
(6
)%
81.6
82.9
(1.3
)
(2
)%
Vaccines
29.7
22.8
7.0
31
%
55.9
45.8
10.2
22
%
Animal Health
173.1
163.8
9.3
6
%
333.6
318.7
15.0
5
%
Mineral Nutrition
61.3
61.6
(0.3
)
(0
)%
117.4
121.3
(3.9
)
(3
)%
Performance Products
15.5
19.2
(3.7
)
(19
)%
30.3
37.2
(6.9
)
(19
)%
Total
$
249.9
$
244.6
$
5.3
2
%
$
481.3
$
477.2
$
4.1
1
%
Adjusted EBITDA
Animal Health
$
39.3
$
37.1
$
2.2
6
%
$
67.8
$
64.0
$
3.8
6
%
Mineral Nutrition
3.5
4.4
(0.9
)
(20
)%
6.4
9.7
(3.3
)
(34
)%
Performance Products
0.8
2.3
(1.5
)
(64
)%
2.2
4.7
(2.4
)
(52
)%
Corporate
(14.2
)
(12.8
)
(1.3
)
10
%
(28.3
)
(25.3
)
(3.0
)
12
%
Total
$
29.5
$
30.9
$
(1.5
)
(5
)%
$
48.1
$
53.0
$
(4.9
)
(9
)%
Ratio to segment net sales
Animal Health
22.7
%
22.6
%
20.3
%
20.1
%
Mineral Nutrition
5.7
%
7.1
%
5.4
%
8.0
%
Performance Products
5.3
%
11.9
%
7.4
%
12.5
%
Corporate (1)
(5.7
)%
(5.2
)%
(5.9
)%
(5.3
)%
Total (1)
11.8
%
12.6
%
10.0
%
11.1
%
Reconciliation of GAAP Net Income (Loss) to Adjusted EBITDA
Net income (loss)
$
1.3
$
7.2
$
(5.9
)
(82
)%
$
(6.7
)
$
11.1
$
(17.8
)
*
Interest expense, net
4.7
3.9
0.8
20
%
9.2
7.0
2.3
33
%
Provision (benefit) for income taxes
2.3
4.9
(2.6
)
(53
)%
(1.7
)
6.5
(8.1
)
*
Depreciation and amortization
8.9
8.5
0.4
5
%
17.8
16.9
0.8
5
%
EBITDA
17.1
24.5
(7.4
)
(30
)%
18.6
41.4
(22.8
)
(55
)%
Acquisition-related cost of goods sold
0.3
—
0.3
*
0.3
—
0.3
*
Pension settlement cost
0.2
—
0.2
*
10.7
—
10.7
*
Brazil employment taxes
4.2
—
4.2
*
4.2
—
4.2
*
Stock-based compensation
0.1
—
0.1
*
0.2
—
0.2
*
Environmental remediation costs
—
6.6
(6.6
)
*
—
6.6
(6.6
)
*
Foreign currency losses (gains), net
7.5
(0.1
)
7.6
*
14.2
5.1
9.1
*
Adjusted EBITDA
$
29.5
$
30.9
$
(1.5
)
(5
)%
$
48.1
$
53.0
$
(4.9
)
(9
)%
Amounts and percentages may reflect rounding adjustments.
*
Calculation not meaningful
(1)
Reflects ratio to total net sales
Phibro Animal Health Corporation
Adjusted Net Income
Three Months
Six Months
For the Periods Ended December 31
2023
2022
Change
2023
2022
Change
(in millions, except per share amounts and percentages)
Reconciliation of GAAP Net Income (Loss) to Adjusted Net Income
Net income (loss)
$
1.3
$
7.2
$
(5.9
)
(82
)%
$
(6.7
)
$
11.1
$
(17.8
)
*
Acquisition-related intangible amortization (1)
1.7
1.7
0.0
1
%
3.3
3.3
0.0
1
%
Acquisition-related intangible amortization (2)
0.8
0.8
0.0
3
%
1.6
1.5
0.0
3
%
Acquisition-related cost of goods sold (1)
0.3
—
0.3
*
0.3
—
0.3
*
Pension settlement cost (2)
0.2
—
0.2
*
10.7
—
10.7
*
Brazil employment taxes (2)
4.2
—
4.2
*
4.2
—
4.2
*
Stock-based compensation (2)
0.1
—
0.1
*
0.2
—
0.2
*
Environmental remediation costs (2)
—
6.6
(6.6
)
*
—
6.6
(6.6
)
*
Foreign currency losses (gains), net (3)
7.5
(0.1
)
7.6
*
14.2
5.1
9.1
*
Adjustments to income taxes (4)
(2.6
)
(2.3
)
(0.3
)
*
(8.7
)
(5.4
)
(3.3
)
*
Adjusted net income
$
13.5
$
13.8
$
(0.3
)
(2
)%
$
19.0
$
22.1
$
(3.1
)
(14
)%
Statement of Operations Line Items - adjusted
Adjusted cost of goods sold (1)
$
169.3
$
165.6
$
3.7
2
%
$
331.3
$
327.8
$
3.5
1
%
Adjusted gross profit
80.6
79.0
1.6
2
%
150.0
149.3
0.7
0
%
Adjusted selling, general and administrative (2)
57.6
54.2
3.4
6
%
114.8
108.4
6.3
6
%
Adjusted interest expense, net
4.7
3.9
0.8
20
%
9.2
7.0
2.3
33
%
Adjusted income before income taxes
18.4
21.0
(2.6
)
(12
)%
26.0
34.0
(8.0
)
(23
)%
Adjusted provision for income taxes (4)
4.9
7.2
(2.3
)
(32
)%
7.0
11.9
(4.9
)
(41
)%
Adjusted net income
$
13.5
$
13.8
$
(0.3
)
(2
)%
$
19.0
$
22.1
$
(3.1
)
(14
)%
Adjusted net income per share
diluted
$
0.33
$
0.34
$
(0.01
)
(2
)%
$
0.47
$
0.55
$
(0.08
)
(14
)%
Weighted average common shares outstanding
diluted
40.5
40.5
40.5
40.5
Ratio to net sales
Adjusted gross profit
32.2
%
32.3
%
31.2
%
31.3
%
Adjusted selling, general and administrative
23.0
%
22.2
%
23.8
%
22.7
%
Adjusted income before income taxes
7.3
%
8.6
%
5.4
%
7.1
%
Adjusted net income
5.4
%
5.6
%
3.9
%
4.6
%
Adjusted effective tax rate
26.7
%
34.3
%
27.0
%
34.9
%
Amounts and percentages may reflect rounding adjustments.
*
Calculation not meaningful
(1)
Adjusted cost of goods sold excludes acquisition-related intangible amortization and acquisition-related cost of goods sold
(2)
Adjusted selling, general and administrative excludes acquisition-related intangible amortization, pension settlement cost, Brazil employment taxes, stock-based compensation and environmental remediation costs
(3)
Foreign currency losses (gains), net, are excluded from adjusted net income
(4)
Adjusted provision for income taxes excludes the income tax effect of pre-tax income adjustments and certain income tax items
Phibro Animal Health Corporation
Operating, Investing and Free Cash Flows
Three Months
Six Months
For the Periods Ended December 31
2023
2022
Change
2023
2022
Change
(in millions)
EBITDA
$
17.1
$
24.5
$
(7.4
)
$
18.6
$
41.4
$
(22.8
)
Adjustments
Acquisition-related cost of goods sold
0.3
—
0.3
0.3
—
0.3
Pension settlement cost
0.2
—
0.2
10.7
—
10.7
Brazil employment taxes
4.2
—
4.2
4.2
—
4.2
Stock-based compensation
0.1
—
0.1
0.2
—
0.2
Environmental remediation costs
—
6.6
(6.6
)
—
6.6
(6.6
)
Foreign currency losses (gains), net
7.5
(0.1
)
7.6
14.2
5.1
9.1
Interest paid, net
(4.4
)
(3.7
)
(0.7
)
(8.7
)
(6.6
)
(2.1
)
Income taxes paid
(4.5
)
(5.5
)
1.1
(9.1
)
(9.3
)
0.2
Changes in operating assets and liabilities and other items
11.0
(24.2
)
35.1
17.5
(50.3
)
67.8
Net cash provided (used) by operating activities
$
31.6
$
(2.5
)
$
34.0
$
47.8
$
(13.2
)
$
60.9
Short-term investments, net
$
(11.5
)
$
—
$
(11.5
)
$
(19.5
)
$
7.0
$
(26.5
)
Capital expenditures
(11.0
)
(9.8
)
(1.1
)
(18.4
)
(33.0
)
14.6
Business acquisition
(3.3
)
—
(3.3
)
(3.3
)
—
(3.3
)
Other investing, net
0.9
—
0.9
1.1
0.0
1.0
Net cash used by investing activities
$
(24.9
)
$
(9.8
)
$
(15.0
)
$
(40.2
)
$
(26.0
)
$
(14.3
)
Free cash flow:
Net cash provided (used) by operating activities
$
31.6
$
(2.5
)
$
34.0
$
47.8
$
(13.2
)
$
60.9
Capital expenditures
(11.0
)
(9.8
)
(1.1
)
(18.4
)
(33.0
)
14.6
Building purchase (1)
—
—
—
—
15.0
(15.0
)
Free cash flow (adjusted)
$
20.6
$
(12.3
)
$
32.9
$
29.3
$
(31.2
)
$
60.5
Amounts and percentages may reflect rounding adjustments.
(1)
Adjusted free cash flow for the six months ended December 31, 2022, excludes a $15 million
About Phibro Animal Health Corporation
Phibro Animal Health Corporation is a leading global diversified animal health and mineral nutrition company. We strive to be a trusted partner with livestock producers, farmers, veterinarians and consumers who raise or care for farm and companion animals by providing solutions to help them maintain and enhance the health of their animals. For further information, please visit www.pahc.com .
View source version on businesswire.com: https://www.businesswire.com/news/home/20240207615458/en/
Phibro Animal Health Corporation
investor.relations@pahc.com
Source: Phibro Animal Health Corporation
What were Phibro Animal Health Corporation's (PAHC) Q2 net sales?
Net sales for Q2 were $249.9 million, an increase of 2% compared to the same period last year.
What was the adjusted EBITDA for Phibro Animal Health Corporation (PAHC) in Q2?
Adjusted EBITDA for Q2 was $29.5 million, a decrease of 5% compared to the same period last year.
What is Phibro Animal Health Corporation's (PAHC) fiscal year 2024 guidance for net income?
The company's fiscal year 2024 guidance for net income is $12 million to $17 million, reflecting a decline of 55%.
What is Phibro Animal Health Corporation's (PAHC) fiscal year 2024 guidance for diluted EPS?
The company's fiscal year 2024 guidance for diluted EPS is $0.30 to $0.42, reflecting a decline of 56%.
What is Phibro Animal Health Corporation's (PAHC) fiscal year 2024 guidance for adjusted EBITDA?
The company's fiscal year 2024 guidance for adjusted EBITDA is $106 million to $112 million, reflecting a decline of 3%.
