ARC Document Solutions Reports Results for First Quarter 2015

(1) On February 1, 2013, we filed a civil complaint against a competitor and a former employee in the Superior Court of California for Orange County, which alleged, among other claims, the misappropriation of ARC trade secrets; namely, proprietary customer lists that were used to communicate with ARC customers in an attempt to unfairly acquire their business. In prior litigation with the competitor based on related facts, in 2007 the competitor entered into a settlement agreement and stipulated judgment, which included an injunction. We instituted this suit to stop the defendant from using similar unfair business practices against us in the Southern California market. The case proceeded to trial in May 2014, and a jury verdict was entered for the defendants. In the first quarter of 2015, we entered into a settlement and paid the defendant. Legal fees associated with the litigation totaled $34 thousand and $0.4 million for the three months ended March 31, 2015 and 2014, respectively, and were recorded as selling, general and administrative expense.

                                                                            
ARC Document Solutions, Inc.                                                
Non-GAAP Measures                                                           
Reconciliation of cash flows provided by operating activities to adjusted   
 cash flows provided by operating activities                                
(In thousands)                                                              
(Unaudited)                                                                 
                                                        Three Months Ended  
                                                            March 31,       
                                                     -----------------------
                                                         2015        2014   
                                                     ----------- -----------
Cash flows provided by operating activities          $     5,288 $     7,714
  Payments related to trade secret litigation costs          999         119
  Payments related to restructuring expenses                 118         303
                                                     ----------- -----------
Adjusted cash flows provided by operating activities $     6,405 $     8,136
                                                     =========== ===========
                                                                            
                                                                            
ARC Document Solutions, Inc.                                                
Non-GAAP Measures                                                           
Reconciliation of net income attributable to ARC to unaudited adjusted net  
 income attributable to ARC                                                 
(In thousands, except per share data)                                       
(Unaudited)                                                                 
                                                                                                Three  Months  Ended        
                                                                                                                      March  31,                
                                                                                                      ------------------------  
                                                                                                              2015                  2014        
                                                                                                      -----------    -----------  
Net  income  attributable  to  ARC  Document  Solutions,                                                    
  Inc.                                                                                            $          4,436    $          1,396  
    Restructuring  expense                                                                          74                    483  
    Trade  secret  litigation  costs                                                          34                    398  
    Income  tax  benefit  related  to  above  items                                (42)                (344)
    Deferred  tax  valuation  allowance  and  other                                                                
      discrete  tax  items                                                                      (1,256)                (157)
                                                                                                      -----------    -----------  
Unaudited  adjusted  net  income  attributable  to  ARC                                                      
  Document  Solutions,  Inc.                                                    $          3,246    $          1,776  
                                                                                                      ===========    ===========  
                                                                                                                                                        
Actual:                                                                                                                                          
Earnings  per  share  attributable  to  ARC  Document                                                          
  Solutions,  Inc.  shareholders:                                                                                            
    Basic                                                                                        $            0.10    $            0.03  
                                                                                                      ===========    ===========  
    Diluted                                                                                    $            0.09    $            0.03  
                                                                                                      ===========    ===========  
Weighted  average  common  shares  outstanding:                                                                  
    Basic                                                                                                  46,443              45,990  
    Diluted                                                                                              47,654              46,782  
                                                                                                                                                        
Adjusted:                                                                                                                                      
Earnings  per  share  attributable  to  ARC  Document                                                          
  Solutions,  Inc.  shareholders:                                                                                            
    Basic                                                                                        $            0.07    $            0.04  
                                                                                                      ===========    ===========  
    Diluted                                                                                    $            0.07    $            0.04  
                                                                                                      ===========    ===========  
Weighted  average  common  shares  outstanding:                                                                  
    Basic                                                                                                  46,443              45,990  
    Diluted                                                                                              47,654              46,782  
                                                                                                                                                        
                                                                                                                                                        
ARC  Document  Solutions,  Inc.                                                                                                
Non-GAAP  Measures                                                                                                                      
Reconciliation  of  net  income  attributable  to  ARC  Document  Solutions,  Inc.      
  shareholders  to  EBIT,  EBITDA  and  Adjusted  EBITDA                                                      
(In  thousands)                                                                                                                            
(Unaudited)                                                                                                                                  
                                                                                                                Three  Months  Ended    
                                                                                                                        March  31,              
                                                                                                          -----------------------
                                                                                                                  2015                2014      
                                                                                                          -----------  -----------
Net  income  attributable  to  ARC  Document  Solutions,                                                    
  Inc.  shareholders                                                                      $          4,436  $          1,396
    Interest  expense,  net                                                                        1,857              3,913
    Income  tax  provision                                                                              761                  664
                                                                                                          -----------  -----------
EBIT                                                                                                              7,054              5,973
    Depreciation  and  amortization                                                        8,555              8,493
                                                                                                          -----------  -----------
EBITDA                                                                                                        15,609            14,466
    Trade  secret  litigation  costs                                                              34                  398
    Restructuring  expense                                                                              74                  483
    Stock-based  compensation                                                                  1,083                  781
                                                                                                          -----------  -----------
Adjusted  EBITDA                                                                            $        16,800  $        16,128
                                                                                                          ===========  ===========
                                                                                                                                                        
                                                                                                                                                        
ARC  Document  Solutions,  Inc.                                                                                                
Net  Sales  by  Product  Line                                                                                                      
(In  thousands)                                                                                                                            
(Unaudited)                                                                                                                                  
                                                                                                                Three  Months  Ended    
                                                                                                                        March  31,              
                                                                                                          -----------------------
                                                                                                                  2015                2014      
                                                                                                          -----------  -----------
Service  Sales                                                                                                                              
CDIM                                                                                                            54,643            53,340
MPS                                                                                                              35,877            33,009
AIM                                                                                                                2,805              2,582
                                                                                                          -----------  -----------
    Total  service  sales                                                                          93,325            88,931
Equipment  and  supplies  sales                                                            10,994            11,442
                                                                                                          -----------  -----------
    Total  net  sales                                                                        $      104,319  $      100,373
                                                                                                          ===========  ===========
                                                                                                                                                        
                                                                                                                                                        
ARC  Document  Solutions,  Inc.                                                                                                
Net  Sales  by  Product  Line                                                                                                      
2014  and  2013  by  Quarter                                                                                                        
(In  thousands)                                                                                                                            
(Unaudited)                                                                                                                                  
                                                                                                                                            Year    
                                                                        Three  Months  Ended                                Ended  
                                            ---------------------------------------------  --------
                                            March  31,  June  30,  September  30,  December  31,                  
                                                  2014          2014                2014                  2014              2014    
                                            ---------  --------  -------------  ------------  --------
Service  Sales                                                                                                                              
CDIM                                    $    53,340  $  57,542  $            55,352  $          53,530  $219,764
MPS                                            33,009      35,743                36,464              36,097    141,313
AIM                                              2,582        2,913                  2,610                2,702      10,807
                                            ---------  --------  -------------  ------------  --------
    Total  service  sales        88,931      96,198                94,426              92,329    371,884
Equipment  and                                                                                                                              
  supplies  sales                    11,442      12,784                12,381              15,265      51,872
                                            ---------  --------  -------------  ------------  --------
    Total  net  sales          $  100,373  $108,982  $          106,807  $        107,594  $423,756
                                            =========  ========  =============  ============  ========
                                                                                                                                                        
                                                                                                                                            Year    
                                                                        Three  Months  Ended                                Ended  
                                            ---------------------------------------------  --------
                                            March  31,  June  30,  September  30,  December  31,                  
                                                  2013          2013                2013                  2013              2013    
                                            ---------  --------  -------------  ------------  --------
Service  Sales                                                                                                                              
CDIM                                    $    54,645  $  56,485  $            53,430  $          51,745  $216,305
MPS                                            30,673      32,243                32,674              32,615    128,205
AIM                                              2,482        2,900                  2,726                2,740      10,848
                                            ---------  --------  -------------  ------------  --------
    Total  service  sales        87,800      91,628                88,830              87,100    355,358
Equipment  and                                                                                                                              
  supplies  sales                    12,236      12,994                12,422              14,185      51,837
                                            ---------  --------  -------------  ------------  --------
    Total  net  sales          $  100,036  $104,622  $          101,252  $        101,285  $407,195
                                            =========  ========  =============  ============  ========
                                                                                                                                                        
 

« Previous Page 1 | 2 | 3 | 4 | 5  Next Page »
Featured Video
Jobs
Machine Learning Engineer 3D Geometry/ Multi-Modal for Autodesk at San Francisco, California
Senior Principal Software Engineer for Autodesk at San Francisco, California
Principal Engineer for Autodesk at San Francisco, California
GIS Specialist for Washington State Department of Natural Resources at Olympia, Washington
Manufacturing Test Engineer for Google at Prague, Czechia, Czech Republic
Senior Principal Mechanical Engineer for General Dynamics Mission Systems at Canonsburg, Pennsylvania
Upcoming Events
Digital Construction North (DCN) 2024 at Manchester Central. Manchester United Kingdom - Nov 13, 2024
Digital Twins 2024 at the Gaylord National Resort & Convention Center in, MD. National Harbor MD - Dec 9 - 11, 2024
Commercial UAV Expo 2025 at RAI Amsterdam Amsterdam Netherlands - Apr 8 - 11, 2025
Commercial UAV Expo 2025 at Amsterdam Netherlands - Apr 8 - 10, 2025



© 2024 Internet Business Systems, Inc.
670 Aberdeen Way, Milpitas, CA 95035
+1 (408) 882-6554 — Contact Us, or visit our other sites:
TechJobsCafe - Technical Jobs and Resumes EDACafe - Electronic Design Automation GISCafe - Geographical Information Services  MCADCafe - Mechanical Design and Engineering ShareCG - Share Computer Graphic (CG) Animation, 3D Art and 3D Models
  Privacy PolicyAdvertise