UTi Worldwide Q1 Loss Widens - Quick Facts

(RTTNews) - Supply chain services company UTi Worldwide Inc. (UTIW) said that its net loss attributable to the company for first quarter of fiscal 2015 widened to $43.2 million or $0.43 per share from $12.4 million or $0.12 per share in the first quarter of fiscal 2014.

The GAAP net loss in the fiscal 2015 first quarter included a loss on debt extinguishment of $21.8 million, or $0.21 per share, related to the company's refinancing activities completed earlier in the year. In addition, UTi recorded additional tax expense exceeding its normalized tax rate of $13.0 million, or $0.12 per common share.

Non-GAAP loss per share widened to $0.09 from $0.02 in the same quarter last year. Analysts polled by Thomson Reuters expected the company to report a loss of $0.04 per share for the quarter. Analysts' estimates typically exclude special items.

Total Revenues for the quarter were $1.045 billion, a decrease of 3.3 percent from $1.081 billion last year. Wall Street analysts had a consensus revenue estimate of $1.10 billion.

Net revenues (revenues minus purchased transportation costs) were $372.9 million, a decrease of 0.8 percent from $375.7 million last year.

On an organic basis, revenues decreased 0.3 percent and net revenues increased 3.8 percent versus the comparable prior year period.

The company plans to achieve $95 million in annualized cost savings by the end of fiscal 2015, which represents the high end of the range of its prior estimates. As previously disclosed, it already took action in fiscal 2014 to remove approximately $50 million of this total. The company expects adjusted EBITDA to improve significantly this year as it completes its cost reduction measures and begin to remove duplicative costs associated with the transformation.

It continues to expect free cash flow to be positive for the full fiscal year, which implies an improvement of more than $130 million during the rest of fiscal 2015.