First quarter of 2009:
— Adjusted net income of $10.4 million (24 cents per share), an increase of 2.1% comprising of a negative currency effects of five cents per share
— Organic sales growth of 17.9%
— Operating income of $11.8 million; adjusted operating income of $17.1 million, a decline of 6.6% including negative currency effects of $3.4 million
— EBITDA of $15.2 million; adjusted EBITDA of $20.5 million, a decline of 7% including negative currency effects of $3.7 million
— First quarter orders of $120.8 million, a decrease of 33%; Organic order decline of 25.5%
— Backlog of $305.6 million at period end
We had a solid first quarter thanks to our sizable backlog entering 2009, said John Young, president and chief executive officer of Colfax. Organic sales were up 18% driven by particularly strong growth in the commercial marine, oil and gas, power generation and global navy end markets. However, global economic conditions continued to deteriorate in the quarter as reflected in our organic orders which declined 25%.
We’ve initiated several cost reduction measures across the company in response to the decline in demand. We believe economic conditions could remain difficult for the balance of the year and now expect organic sales for the year to be down between 2% and 4%. We expect adjusted earnings per share of $1.00 to $1.07 for 2009 which includes about 7 cents of negative currency impact compared to our prior guidance of $1.10 to $1.17.
He added, We will remain agile and will continue to make adjustments to our businesses as conditions warrant. Our strong financial position provides flexibility and allows us to pursue acquisitions while also funding our breakthrough growth initiatives. Despite current economic conditions, we’ll continue to deliver unsurpassed value to our customers and execute on our long term strategies to drive profitable sales growth.
