THOUSAND OAKS, Calif. – February 4, 2016 – Teledyne Technologies Incorporated (NYSE:TDY)
Fourth quarter sales of $600.0 million
Fourth quarter earnings per diluted share of $1.57
Issued $125.0 million in aggregate principal amount of senior unsecured notes
Extended credit facility maturity to 2020 and lowered interest rate
Authorized a new stock repurchase program for an additional 3,000,000 shares
Teledyne today reported fourth quarter 2015 sales of $600.0 million, compared with sales of $622.3 million for the fourth quarter of 2014, a decrease of 3.6%. Net income attributable to Teledyne was $55.5 million ($1.57 per diluted share) for the fourth quarter of 2015, compared with $60.2 million ($1.62 per diluted share) for the fourth quarter of 2014, a decrease of 7.8%. The fourth quarter of 2015 included pretax severance charges of $2.5 million. The fourth quarter of 2015 also included $5.9 million in research and development tax credits and net discrete tax benefits of $1.3 million. The fourth quarter of 2014 included pretax severance charges of $1.8 million. The fourth quarter of 2014 included $5.6 million in research and development tax credits and net discrete tax benefits of $0.7 million.
“We ended 2015 with our strongest quarter of the year. Sales and earnings per share were significantly higher than the preceding quarters. In fact, earnings in the fourth quarter of 2015 were nearly a record, just under last year’s record results, with research and development tax credits benefiting both periods,” said Robert Mehrabian, Chairman, President and Chief Executive Officer. “Despite a very weak industrial economy and currency headwinds, full year sales declined only four percent. However, we were able to maintain GAAP operating margin in 2015 given agile cost reductions. Our balanced business portfolio is not dependent on any single product or market. While energy markets have weakened, our aerospace and defense businesses are performing well. Nevertheless, in 2016 we expect further deterioration in our offshore energy businesses, which now represent approximately 15% of total sales. We also remain cautious in other commercial markets given the challenging global economic environment, so we believe it is prudent to be measured in our outlook. Finally, we continue to generate strong cash flow and will maintain capital deployment on share repurchases and complementary acquisitions.”