CHARLOTTE, N.C., Feb. 26, 2013 (GLOBE NEWSWIRE) -- Swisher Hygiene Inc. ("Swisher Hygiene") (Nasdaq:SWSH) (TSX:SWI), a leading provider of essential hygiene and sanitation products and services, announced today that it has filed its 10-K for the year ended December 31, 2011. All amounts in this news release are in United States dollars.
Select results for the year ended December 31, 2011:
Total revenue of $220.0 million, including Waste segment revenue of $59.4 million.
Total hygiene revenue of $160.6 million, a 152% increase compared to the prior year. Hygiene revenue from company-owned operations, excluding acquisitions, increased 28% from the prior year.
Total adjusted EBITDA loss of $3.6 million based off a net loss of $25.3 million. For a reconciliation of non-GAAP to GAAP measures, please review the disclosures and table included with this release.
- Basic and diluted loss per share of $0.16.
"We are pleased to report results for the full year 2011 and officially put the year behind us as we continue to make progress in filing our outstanding financials," said Thomas Byrne, President and Chief Executive Officer of Swisher Hygiene. "We intend to file our quarterly reports for the first three quarters of 2012 shortly in order to regain compliance."
"In terms of our 2011 results, we achieved 28% revenue growth from hygiene company-owned operations when excluding acquisitions," continued Mr. Byrne. "Our costs were significant in 2011 as we completed a large number of acquisitions and had material initial public company costs; however, we started to institute cost initiatives in the latter part of 2011 that ultimately led to the implementation of over $10 million in cost reductions during 2012, and we are looking to achieve corresponding efficiencies during the current year. We remain dedicated to serving our customers nationwide on a day-to-day basis with our comprehensive core chemical program as well as our complementary hygiene and sanitation services."
Results for the Year ended December 31, 2011
For the year ended December 31, 2011 ("Fiscal 2011"), Swisher Hygiene reported revenue of $220.0 million, an increase of 246% compared to $63.7 million in Fiscal 2010. Fiscal 2011 results include Waste segment revenue of $59.4 million, which segment was sold on November 15, 2012. Hygiene revenue for Fiscal 2011 was $160.6 million, a 152% increase compared to the year ended December 31, 2010 ("Fiscal 2010"). Excluding the impact of acquisitions, hygiene revenue from company-owned operations increased 28% from Fiscal 2010.
Total costs and expenses for Fiscal 2011 were $254.1 million, an increase of 223% compared to $78.8 million in Fiscal 2010. Total hygiene costs and expenses for Fiscal 2011 (excluding acquisition and merger-related costs, as well as depreciation and amortization) were $178.3 million, a 159% increase from Fiscal 2010.
Net loss for Fiscal 2011, which includes the Waste segment that was sold on November 15, 2012, was $25.3 million, compared to a net loss of $17.6 million in Fiscal 2010.
During 2012, Swisher Hygiene incurred in excess of $6 million directly attributable to the Audit Committee's investigation process. In addition, during 2012 and through February 15, 2013, Swisher Hygiene incurred an additional $12 million in review-related expenses, including fees for additional audit work, accounting review, IT consulting, legal representation and valuation services. None of the costs associated with the review were incurred in 2011.
Swisher Hygiene will host a conference call to provide a company update and discuss full year 2011 results this morning at 9:00 AM Eastern Time.
The conference call can be accessed over the phone by dialing 1-855-541-0980 or for international callers by dialing 1-970-315-0440; please dial-in 10 minutes before the start of the call. A replay will be available two hours after the call and can be accessed by dialing 1-855-859-2056 or for international callers by dialing 1-404-537-3406; the conference ID is 16198617. The replay will be available until Tuesday, March 5, 2013.
In order to access the live webcast, please go to the Investors section of Swisher Hygiene's website at http://www.swisherhygiene.com and click on the webcast link that will be made available. A replay will be available shortly after the original webcast.
Non-GAAP Financial Measures
This press release and the attached financial tables contain certain Non-GAAP financial measures. In addition to net income determined in accordance with GAAP, we use certain non-GAAP measures, such as "Adjusted EBITDA," in assessing our operating performance. We believe this non-GAAP measure serves as an appropriate measure to be used in evaluating the performance of our business.
We define Adjusted EBITDA as net loss excluding the impact of income taxes, depreciation and amortization expense, interest expense and income, gains on foreign currency, unrealized loss, net, stock-based compensation expense, and costs directly related to merger and acquisitions.
We present Adjusted EBITDA because we consider it an important supplemental measure of our operating performance and believe it is frequently used by securities analysts, investors and other interested parties in the evaluation of our results. Management uses this non-GAAP financial measure frequently in our decision-making because it provides supplemental information that facilitates internal comparisons to the historical operating performance of prior periods and gives a better indication of our core operating performance. We include this non-GAAP financial measure in our earnings announcement in order to provide transparency to our investors and enable investors to better compare our operating performance with the operating performance of our competitors. Adjusted EBITDA should not be considered in isolation from, and is not intended to represent an alternative measure of, revenue, operating results or of cash flows from operating activities, as determined in accordance with GAAP. Additionally, our definition of Adjusted EBITDA may not be comparable to similarly titled measures reported by other companies.
Under SEC rules, we are required to provide a reconciliation of non-GAAP measures to the most directly comparable GAAP measures. Accordingly, the following is a reconciliation of Adjusted EBITDA to our net losses for the full years ended December 31, 2011, 2010 and 2009:
|Full Year Ended December 31,|
|Net loss||$ (25,346)||$ (17,570)||$ (7,259)|
|Income tax (benefit) expense||(15,766)||1,700||—|
|Depreciation and amortization expense||22,374||4,857||4,744|
|Interest expense, net||2,526||1,300||1,008|
|Foreign currency (gain)||(55)||(820)||(598)|
|Loss from impairment of long-lived asset||116||—||—|
|Realized and unrealized loss on fair value of convertible debt||4,658||—||—|
|Loss on extinguishment of debt||1,500||398||—|
|Gain from bargain purchase||(4,359)||—||—|
|Acquisition and merger expenses||6,107||5,122||—|
|Adjusted EBITDA||$ (3,597)||$ (4,736)||$ (2,105)|
Cautionary Statement on Forward-Looking Information
All statements other than statements of historical fact contained in this press release, the conference call and the webcast constitute "forward-looking information" or "forward-looking statements" within the meaning of the U.S. federal securities laws and the Securities Act (Ontario) and are based on the expectations, estimates and projections of management as of the date of this press release, the conference call and the webcast unless otherwise stated. All statements other than historical facts are, or may be, deemed to be forward looking statements. The words "plans," "expects," "is expected," "scheduled," "estimates," or "believes," or similar words or variations of such words and phrases or statements that certain actions, events or results "may," "could," "would," "might," or "will be taken," "occur," and similar expressions identify forward-looking statements.
Certain information in this press release, the conference call and the webcast is forward-looking information. Forward-looking statements are necessarily based upon a number of estimates and assumptions that, while considered reasonable by Swisher Hygiene as of the date of such statements, are inherently subject to significant business, economic and competitive uncertainties and contingencies. All of these assumptions have been derived from information currently available to Swisher Hygiene including information obtained by Swisher Hygiene from third-party sources. These assumptions may prove to be incorrect in whole or in part. All of the forward-looking statements made in this press release, the conference call and the webcast are qualified by the above cautionary statements and those made in the "Risk Factors" section of Swisher Hygiene's Annual Report on Form 10-K for the year ended December 31, 2011, filed with the Securities and Exchange Commission, available on www.sec.gov, and with Canadian securities regulators available on Swisher Hygiene's SEDAR profile at www.sedar.com, and Swisher Hygiene's other filings with the Securities and Exchange Commission and with Canadian securities regulators available on Swisher Hygiene's SEDAR profile at www.sedar.com. The forward-looking information set forth in this press release, the conference call and the webcast is subject to various assumptions, risks, uncertainties and other factors that are difficult to predict and which could cause actual results to differ materially from those expressed or implied in the forward-looking information. Swisher Hygiene disclaims any intention or obligation to update or revise any forward-looking statements to reflect subsequent events and circumstances, except to the extent required by applicable law.
About Swisher Hygiene Inc.
Swisher Hygiene Inc. is a NASDAQ and TSX listed company that provides essential hygiene and sanitation solutions to customers throughout much of North America and internationally through its global network of company-owned operations, franchises and master licensees operating in countries across Europe and Asia. These essential solutions include cleaning and sanitizing chemicals, foodservice and laundry products, restroom hygiene programs and a full range of related products and services. This broad set of offerings is designed to promote superior cleanliness and sanitation in all commercial environments, enhancing the safety, satisfaction and well-being of employees and patrons. Swisher Hygiene's customers include a wide range of commercial enterprises, with a particular emphasis on the foodservice, hospitality, retail, industrial and healthcare industries.
CONTACT: For Further Information, Please Contact: Swisher Hygiene Inc. Investor Contact: Amy Simpson Phone: (704) 602-7116 Garrett Edson, ICR Phone: (203) 682-8331 Media Contact: Alecia Pulman, ICR Phone: (203) 682-8224