H.B. Fuller ??????????????????????? 4 ?????????????? 2561

H.B. Fuller Company

2019-01-17 21:03 416

??????????????????????????????? ??????? 4%[7] ???????? 4

????????????????? ??????? $0.79 ???????? 4

????????????????? (adjusted) ??????? $0.90[2] ????????? 27% ??????????????????? 4/60

??????????? $204 ???????? 2561 ????????????

????????????????? (adjusted) ????????????? 2562 ?????????????????? $3.15 - $3.45

????????, ?????????, 16 ?.?. 2562 /???????????????/ -- H.B. Fuller Company (NYSE: FUL) ???????????????????????????? 4 ??????????????????????????? 1 ?.?. 2561

?????????????????????? 4 ?? 2561:

- ????????????????????????????????? 146 ??????????? ??????????????????????????? 70 ??????????????????? 4/2560 ?????????????????? 204 ???????????????????????? 2561 ???????????????????????????????????? 170 ???????????

- ?????????????????? 768 ??????????? ????????? 13% ??????????????????? 4/2560 ????????????????????????? 4% [7] ?????????????????????????????????????????????????????????????????????? Engineering Adhesives

- ???????????????? 41 ??????????? ?????????????????????? (EPS) ?????? ??? 0.79 ??????? ??????????????????????????????????? 4/2560 ??????????????? (adjusted) ??????? 47 ??????????? [2] ?????????????????????? (adjusted) ??? 0.90 ??????? [2] ????????? 27%

- ????????????????????????? 2.4% ?????????????? (adjusted) [5] ????????? 1.5% ??????????????????? 4/2560

- Adjusted EBITDA ??????? 121 ??????????? [2] ????????? 30% ?????????????????????????????????? ???????????????????????????????? ?????????????????? ????????????????????????????? ??????????????? 8% ????????????? pro-forma ???????????? Royal [1]

- Adjusted EBITDA margin ??????????? 15.7% [2] ??????????????????? 4/2560 ???????????????? 13.7% [2] ???????????? 14.2% ????????????? pro-forma ????????? Royal [1]

- ???????????????? Royal Adhesives ?????????????????????????? ???????????????????? 5 ??????????????????? 4 ??????????????????? (Cost Synergy) ???????? 15 ???????????????????????? 2561

??????????????????????? 2562:

- ?????????????????????????????????????????????????????????????????????????? ??????? ????????????????????????????????? ???????????????????????????????????? 2561

- ?????????????????????????????????????????????? 3-5% ??????????????????????????????????????? 1-2% ????????????????????????????????????????????????????????????????? ????????????????????????????????????? 2-3%

- ????????????????? (adjusted) ?????????? 3.15-3.45 ??????? ???????????? 10% ? ???????????

- Adjusted EBITDA ?????????? 465-485 ??????????? ?????????????? 6% ? ???????????

- ???????????????????????? 26-29%

- ???????????????????? 100 ???????????

- ????????????????????? 200 ?????????? ????????????????????????????????????????????????

??????????????????????????? 4 ?? 2561:

($ ????)	???????????			Adjusted/Proforma
	2561	2560	% ???????????	2561	2560	% ???????????
???????????	768	678	+13%	768	771¹	-0.3%
????????????????	27.3%	24.9%	+240bps	28.1%⁵	26.6%⁵	+150bps
?????????	41	(7)	N/A	47²	37²	+27%
?????????????????	$0.79	($0.13)	N/A	$0.90²	$0.71²	+27%

?????????????????????????? 4 ?? 2561

???????????????????? 4/2561 ??????? 768 ??????????? ????????? 13% ??????????????????? 4/2560 ????????????????????????????????????????? 3.8%[7] ?????????????????????????????????????????????????????????????????????? Engineering Adhesives

??????????????????????? 27.3% ????????????? 24.9% ??????????????????????? 2560 ??????????????????? (adjusted) ??????? 28.1% [5] ????????? 1.5% ???????????????????????? ????????????????????????????????????????????? ???????????????????????????????? ???????????????????????? ???????????????????????? ???????????????? ???????????????????????? (SG&A) ??????? 140 ??????????? ????????????? 151 ???????????????????????? ????????????? Adjusted SG&A ??????? 131 ??????????? [6] ?????????????????????? 117 ??????????????????? 4 ????? 2560 ??????????????????????????????????????????? ?????????? Adjusted SG&A ???? 2 ??????????? ????????????? pro-forma ???????????? Royal [1]

?????????????????? 4/2561 ??????? 41 ??????????? ???? 0.79 ???????????????????? ?????????????????????? 7 ??????????? ???? (0.13 ???????) ??????????????????????????????????????? ??????????????? (adjusted) ??????? 47 ??????????? [2] ???? 0.90 [2] ?????????????? (adjusted) ???????????????????????? ???? Adjusted EBITDA ??????? 121 ??????????? [2] ????????? 30% ??????????????????????? ?????????????????? 5 ???????????????? ??? Adjusted EBITDA ????????? 8% ????????????? proforma ?????????? Royal [8]

"???????????????????????????????????? Engineering Adhesives ???????????? ?????????????????????????????????????????????????? ?????????????????????????????????????????????????????????????????????????? H.B. Fuller" ??? ??????? ???????????????????????????????? ????? "????????????????????????????????????????????????????????????? ??????????????????????????????????????????????? Engineering Adhesives ?????????????????????????????? ????????????????????????????????????????????????????????????????????????? ????????????????????????????????????????????????????????????????????? 4 ????????????????????????????????????????? ????????????????? Adjusted EBITDA ????????? 8% ??????????????????????????????????????????????????????????????? 4 ?????????????? ????????????????? 204 ??????????????? 2561 ???????????????? 170 ????????????????????"

???????????????????????? 2561:

??????????????????????????? 2561 ??????? 3,041 ??????????? ????????? 32% ???????????????????????? 2560 ????????????????????????? 3.7% [7] ??????????????????????? ???????????????????????????????????????????????????? ?????????????????????????????????????? Engineering Adhesives

??????????????????????? 27.5% ????????????? 1.3% ???????????????????????? 2560 ??????????????????? (adjusted) ??????? 27.9% [5] ????????? 0.6% ???????????????????????? ?????????????????????????? 2561 ??????? 171 ??????????? ???? 3.29 ???????????????????? ?????????????????????? 59 ??????????? ???? 1.15 ?????????????????????????? 2560 ????????? (adjusted) ??????? 156 ??????????? [2] ???? 3.00[2] ???????????????????? ????????? 23% ????????????? 127[2] ??????????? ???? 2.45[2] ????????????????????????????????? 2560 ?????? Adjusted EBITDA ??????? 449 ??????????? [2] ????????? 50% ??????????????????????? ???????????? 7% ????????????? proforma ?????????? Royal [8]

???????????????????:

? ?????????? 4 ????? 2561 ?????????????????????????? 151 ??????????? ???????????????????? 2,248 ??????????? ????????????? 70% ????????????????????? ????????????????????????????????????? 150 ??????????? ??? 2,364 ??????????????????? 3 ????? 2561 ?????????????????????????????????? 4 ??????? 146 ???????????????? ????????????? 70 ?????????????????????????????????? 2560 ??????????????????????????????????????????????????????? ????????????????????????????????????? ????????????????????? 22 ??????????????????? 4 ????? 2561 ???????? 19 ???????????????????????????????????????

?????????????????????:

????????????????? 2562 ????????????????? ??????????? (adjusted) ???????????? 3.15 - 3.45 ??????? ??? Adjusted EBITDA ???????????? 465 - 485 ??????????? ?????????????????????????????????????????? ??????????????? 3-5% ??????????????? 2561 ?????????????????????????????? 1-2% ??????????????????????????????????????????????????????????????????????????? 2-3% ?????????????????????? ????????????????????????????????????????? ?????????????????????? 26-29% ?????? H.B. Fuller ??????????????????? 100 ?????????????????????????? 2562

"???? 2562 ????????????????????????????????????????????????????????????????????????????? ?????????????????????????????????????????????????????????????? ???????????????????? 200 ??????????? Engineering Adhesives ???????????????????????????????????????????????????????????? 2562 ????????????????????" ?????????? ????? "??????????????????????????????????????????? ?????????????? ?????????????????????????????????? ??????????????????????????? ???????????????????????????????????????????????????? 2562 ????????? ??????????????????????????????????????????????? ??????????????????????????????????????? ????????????????????????????????????????????????? ??????????????????????????????????????????????????????????? ?????? ??????????????????????????????????????? 2562 ??????????????????????? ????????????????????????? ??? EBITDA ??????????????????????????????????????"

??????????????????????? "????????? ???????????????????????????????????????????????????????????????????????????? 2562 ???????????? 40 ??????????? ???????????????????????????????????????????? ??????? ?????????????????????????????? ????????????????? EBITDA ???? 2561 ??? 2562 ?????????????????????????????????????? ????????????????? 10-12% ????????????????? ???????????? EBITDA ????????????????????????????????????? 2563 ????????????????????????????????????????????????? EBITDA ??? 600 ?????????????????????????? ?????????????????????????????????????????????????????????????????? 600 ?????????????????????? 2563 ???????????????????????????????? ???????????????????????????????????????? ?????????????????????????????????????????"

??????????????????????????????????????????????? 15-20 ????????????????????????????? Royal ?????????????? ????????????? 2560 ????????????????????????????????? 6-8 ????????????????????????????????????????? ERP ???????????????????????????????????????????????????????????????????????????????????????????????? ????????????????????????????????????????????? non-GAAP ??????????????????????????????????????? 2562 ?????? ?????????????????????????????? "unreasonable efforts" ??? Item 10(e)(1)(i)(B) of Regulation S-K ?????????????????????????????????????????????

????????????????????:

??????????????????????????????????????????? ???????????????????????????????????? 4 ???????????????? 17 ?????? 2562 ???? 10.30 ?.??????????????????????????? ???????????????????????????????????????????????????????????????????????????????? ???????????????????????????????????????????????????????????? ??????????????????????????????????????????????? 15 ???? ?????????????? ??????????????????????????????????????? ??????????????????????????????????????????????????????????????? ???????????????????????????????????????????????????????????????????????? 1 ??????? ?????????????????????????? 31 ?.?. 2562 ?????????????????? 1-877-344-7529 ???? 1-412-317-0088 ?????????????? 10127319

?????????????????????????????????????? ???????????????????????????????????? ?????????????????????? ????????????????????????????????????? Form 10-K ????????????????????????????????? 1 ??????? 2561 ????????????????????????????????????????????????????????????????????????????????????????????

Regulation G:

?????????????????????????????????????????????? ???????????????????????????????????????????????, ??????????? (adjusted), ???????????????? (adjusted), ?????????????????? ???????????????? ???????????????????????? (adjusted), ????????????????????? (adjusted) ?????????????????????????? (adjusted), ??????????? (adjusted), ??????????????????? (adjusted), ????????? (adjusted), ????????????????? (adjusted) ?????????????????????????? ????????????????????????????? (adjusted EBITDA) ?????????????????????????????????? (GAAP) ?????????????????????????????????????????????????????????????????? GAAP ???????????????????????? non-GAAP ??????????????????????????????????????????????????????????????????? ????????????????????????????????? ?????? non-GAAP ?????????????????????????????????????????????????? ?????? non-GAAP ??????????????????????????????????????????????????????? GAAP ??????????????? ???????????????? non-GAAP ????????????????????????????????? ???????????????????????????? 2562 ?????? ????????????????????????????????

????????? H.B. Fuller:
H.B. Fuller ?????????????????????????????????.?.2430 ?????????????????????????????????????????? ??????? ???????????????????????????????? ????????????????????????????????????????????????? H.B. Fuller ???????????????????? 3 ??????????????????????????? 2561 ????????????????????????? ????????? ???????????????? ? ???????????????????????????????????????????? ???????????????????????????????????????????????????????????????????????????????????????????????????? ?????? ?????????????? ????????? ???????? ???????? ???????? ???????????? ?????????? ??????????? ?????? ???????????????? ?????????????????????????????? ????????? ?????????????????????????????????????????????????????????????????????????? ??????????????????????????

????????????????????????????????????????????????????????????????????????:
???????????????????????????????? ?????????????????????????????????????????????????? (Forward-Looking Statements) ????????????????????????????????????????????? ?.?. 2538 (Private Securities Act of 1995) ????????????????????????????????????????????????????????? ?????????? ??????????????????????????????????: ????????????? Royal ?????????????????????????????????????????????????????????????; ?????????????????????????????????????????????????????????????????????????????????????????????; ??????????????????????????????????????????????????????????? Royal, ?????????????????????????????????????????? ??????????????????????, ?????????????????????????????????????????????????????? ???????????????????????????????????????, ????????????????????????????????????????????????????????????????????????????????????? ????????????????????????????????; ??????????????? ????????????????????????????????????????? ???????????????????????????????????????????? ????????????????????????????????????????????????????; ???????????????????????????????????????????????????????? ?????????????????????????????? ??????????????????????????????????????????????? ?????????????; ????????????????????????????????????????????????????????? Royal ??????????????????????????????????, ???????????????????????????????????????????? ???????????????????????????????????????????????????; ???????????????????????????? Project ONE ?????????????????????; ???????????????????????????????????; ????????????????????; ????????????????????????????????????; ???????????????????????????????????????????????????????; ???????????????????????????????; ??????????????????????????????????; ????????????????????????????????????????????????????; ??????????????????????????????????????; ????????????????????????????????????????????????????????????; ???????????????????????????????????????????????????????????; ????????????????????????????????????? ?????????????????????????????????; ???????????????????? ??????????????????????????????????????????????????????? ???????????????????????????????? 10-K ?????????????????????????????? 2 ??????? 2560 ???????????????? SEC ???????????????????????????????????????????????????????????????????????????? ? ???????????????????????? ?????????????????????????????????? ??????????????????????????????????????? ????????? ????????????????????????????????????????????????????????????????????????????????????? ????????????????????????????????????????????????????????????????????????????? ???????????????????????????????????????????????????????????, ?????????????????, ????????????????????????????????? ?????????? ???????????? ??????????????????????????????????????????????????????? ????????????????????????????????? ???????????????????????????????????????????????????

H.B. FULLER COMPANY AND SUBSIDIARIES
CONSOLIDATED FINANCIAL INFORMATION
In thousands, except per share amounts (unaudited)

	13 Weeks Ended		Percent of	13 Weeks Ended		Percent of
	December 1, 2018		Net Revenue	December 2, 2017		Net Revenue
Net revenue	$	768,429	100.0%	$	678,200	100.0%
Cost of sales		(558,829)	(72.7%)		(509,412)	(75.1%)
Gross profit		209,600	27.3%		168,788	24.9%

Selling, general and administrative expenses		(139,844)	(18.2%)		(151,126)	(22.3%)

Other expense, net		(2,324)	(0.3%)		(26,163)	(3.9%)
Interest expense		(27,574)	(3.6%)		(19,073)	(2.8%)
Interest income		3,005	0.4%		1,762	0.3%
Income (loss) before income taxes and income from equity method investments		42,863	5.6%		(25,812)	(3.8%)

Income (taxes) benefit		(3,488)	(0.5%)		16,691	2.5%

Income from equity method investments		1,990	0.3%		2,228	0.3%
Income (loss) from continuing operations		41,365	5.4%		(6,893)	(1.0%)

Net income (loss) including non-controlling interests		41,365	5.4%		(6,893)	(1.0%)

Net income attributable to non-controlling interests		(20)	(0.0%)		(14)	(0.0%)
Net income (loss) attributable to H.B. Fuller	$	41,345	5.4%	$	(6,907)	(1.0%)

Basic income (loss) per common share attributable to H.B. Fuller
Income from continuing operations		0.82			(0.14)
Basic income (loss) per common share attributable to H.B. Fuller	$	0.82		$	(0.14)

Diluted income (loss) per common share attributable to H.B. Fuller
Income from continuing operations		0.79			(0.13)
Diluted income (loss) per common share attributable to H.B. Fuller	$	0.79		$	(0.13)

Weighted-average common shares outstanding:
Basic		50,712			50,356
Diluted		52,017			51,724

Selected Balance Sheet Information (subject to change prior to filing of the Company's Annual Report on Form 10-K)

	December 1, 2018		December 2, 2017		December 3, 2016
Cash & cash equivalents	$	150,793	$	194,398	$	142,245
Trade accounts receivable, net		485,719		473,700		351,130
Inventories		355,563		372,102		258,096
Trade payables		273,378		268,467		162,964
Total assets		4,175,271		4,373,243		2,066,565
Total debt		2,247,527		2,451,910		703,271

H.B. FULLER COMPANY AND SUBSIDIARIES
CONSOLIDATED FINANCIAL INFORMATION
In thousands, except per share amounts (unaudited)

	52 Weeks Ended		Percent of	52 Weeks Ended		Percent of
	December 1, 2018		Net Revenue	December 2, 2017		Net Revenue
Net revenue	$	3,041,002	100.0%	$	2,306,043	100.0%
Cost of sales		(2,204,108)	(72.5%)		(1,700,973)	(73.8%)
Gross profit		836,894	27.5%		605,070	26.2%

Selling, general and administrative expenses		(582,132)	(19.1%)		(477,030)	(20.7%)

Other income (expense), net		1,184	0.0%		(27,667)	(1.2%)
Interest expense		(110,994)	(3.6%)		(43,701)	(1.9%)
Interest income		11,774	0.4%		3,927	0.2%
Income from continuing operations before income taxes and income from equity method investments		156,726	5.2%		60,599	2.6%

Income benefit (taxes)		6,356	0.2%		(9,810)	(0.4%)

Income from equity method investments		8,150	0.3%		8,677	0.4%
Income from continuing operations		171,232	5.6%		59,466	2.6%

Net income including non-controlling interests		171,232	5.6%		59,466	2.6%

Net income attributable to non-controlling interests		(24)	(0.0%)		(48)	(0.0%)
Net income attributable to H.B. Fuller	$	171,208	5.6%	$	59,418	2.6%

Basic income per common share attributable to H.B. Fuller
Income from continuing operations		3.38			1.18
Basic income per common share attributable to H.B. Fuller	$	3.38		$	1.18

Diluted income per common share attributable to H.B. Fuller^a
Income from continuing operations		3.29			1.15
Diluted income per common share attributable to H.B. Fuller^a	$	3.29		$	1.15

Weighted-average common shares outstanding:
Basic		50,591			50,370
Diluted		51,975			51,619

Dividends declared per common share	$	0.615		$	0.590

^a Income per share amounts may not add due to rounding


H.B. FULLER COMPANY AND SUBSIDIARIES
REGULATION G RECONCILIATION
In thousands, except per share amounts (unaudited)

	13 Weeks Ended				52 Weeks Ended
	December 1, 2018		December 2, 2017		December 1, 2018		December 2, 2017

Net income attributable to H.B. Fuller	$	41,345	$	(6,907)	$	171,208	$	59,418

Acquisition project costs		616		1,894		2,833		5,258
Tonsan call option agreement		3,555		(1,705)		1,496		(3,946)
Organizational realignment		469		789		2,836		15,620
Royal restructuring and integration		5,930		43,893		20,351		47,423
Tax reform		(7,138)		-		(43,276)		-
Other		1,787		(1,415)		514		2,787
Adjusted net income attributable to H.B. Fuller ²		46,564		36,549		155,962		126,560

Add:
Interest expense		27,468		17,949		110,624		42,365
Interest income		(3,005)		(720)		(11,774)		(2,886)
Income taxes		13,580		11,226		49,541		46,200
Depreciation expense		17,109		14,697		67,910		50,559
Amortization expense		18,855		13,114		76,490		36,243
Adjusted EBITDA ²		120,571		92,815		448,753		299,041

Diluted Shares		52,017		51,724		51,975		51,619
Adjusted diluted income per common share attributable to H.B. Fuller ²	$	0.90	$	0.71	$	3.00	$	2.45
Revenue	$	768,429	$	678,200	$	3,041,002	$	2,306,043
Adjusted EBITDA margin ²		15.7%		13.7%		14.8%		13.0%

² Adjusted net income attributable to H.B. Fuller, adjusted diluted income per common share attributable to H.B. Fuller, adjusted EBITDA and adjusted EBITDA margin are non-GAAP financial measures. Adjusted net income attributable to H.B. Fuller is defined as net income before the specific adjustments shown above. Adjusted diluted income per common share is defined as adjusted net income attributable to H.B. Fuller divided by the number of diluted common shares. Adjusted EBITDA is defined as net income before interest, income taxes, depreciation, amortization and the specific adjustments shown above. Adjusted EBITDA margin is defined as adjusted EBITDA divided by net revenue. The table above provides a reconciliation of adjusted net income attributable to H.B. Fuller, adjusted diluted income per common share attributable to H.B. Fuller, adjusted EBITDA and adjusted EBITDA margin to net income attributable to H.B. Fuller, the most directly comparable financial measure determined and reported in accordance with GAAP.

H.B. FULLER COMPANY AND SUBSIDIARIES
SEGMENT FINANCIAL INFORMATION
In thousands (unaudited)

	13 Weeks Ended		13 Weeks Ended
	December 1, 2018		December 2, 2017
Net Revenue:
Americas Adhesives	$	278,105	$	254,100
EIMEA		184,522		171,984
Asia Pacific		71,135		74,609
Construction Adhesives		105,922		80,450
Engineering Adhesives		128,745		97,057
Total H.B. Fuller	$	768,429	$	678,200

Segment Operating Income:
Americas Adhesives	$	30,430	$	17,579
EIMEA		9,424		68
Asia Pacific		6,939		5,402
Construction Adhesives		7,212		(9,891)
Engineering Adhesives		15,751		4,504
Total H.B. Fuller	$	69,756	$	17,662

Adjusted EBITDA ²
Americas Adhesives	$	44,988	$	39,151
EIMEA		20,937		18,011
Asia Pacific		9,312		8,461
Construction Adhesives		18,460		9,389
Engineering Adhesives		27,059		15,869
Total H.B. Fuller	$	120,756	$	90,881

Adjusted EBITDA Margin ²
Americas Adhesives		16.2%		15.4%
EIMEA		11.3%		10.5%
Asia Pacific		13.1%		11.3%
Construction Adhesives		17.4%		11.7%
Engineering Adhesives		21.0%		16.4%
Total H.B. Fuller		15.7%		13.4%

H.B. FULLER COMPANY AND SUBSIDIARIES
SEGMENT FINANCIAL INFORMATION
In thousands (unaudited)

	52 Weeks Ended		52 Weeks Ended
	December 1, 2018		December 2, 2017
Net Revenue:
Americas Adhesives	$	1,099,918	$	907,765
EIMEA		738,553		568,658
Asia Pacific		278,079		264,692
Construction Adhesives		446,101		260,330
Engineering Adhesives		478,351		304,598
Total H.B. Fuller	$	3,041,002	$	2,306,043

Segment Operating Income:
Americas Adhesives	$	115,363	$	91,198
EIMEA		40,060		18,821
Asia Pacific		17,995		14,826
Construction Adhesives		32,917		(12,975)
Engineering Adhesives		48,427		16,170
Total H.B. Fuller	$	254,762	$	128,040

Adjusted EBITDA ²
Americas Adhesives	$	172,112	$	137,583
EIMEA		83,491		62,767
Asia Pacific		29,145		26,362
Construction Adhesives		77,834		26,393
Engineering Adhesives		81,463		39,090
Total H.B. Fuller	$	444,045	$	292,195

Adjusted EBITDA Margin ²
Americas Adhesives		15.6%		15.2%
EIMEA		11.3%		11.0%
Asia Pacific		10.5%		10.0%
Construction Adhesives		17.4%		10.1%
Engineering Adhesives		17.0%		12.8%
Total H.B. Fuller		14.6%		12.7%

H.B. FULLER COMPANY AND SUBSIDIARIES
REGULATION G RECONCILIATION
In thousands, except per share amounts (unaudited)

	13 Weeks Ended				52 Weeks Ended
	December 1, 2018		December 2, 2017		December 1, 2018		December 2, 2017

Income before income taxes and income from equity method investments	$	42,863	$	(25,812)	$	156,726	$	60,599

Adjustments:
Acquisition project costs		848		2,846		3,957		7,990
Tonsan call option agreement		3,555		(1,705)		1,496		(3,946)
Organizational realignment		544		1,018		2,840		19,963
Royal restructuring and integration		8,094		66,486		28,566		71,917
Tax reform		305		-		305		-
Other		1,965		2,728		3,487		7,608
Adjusted income before income taxes and income from equity method investments ³	$	58,174	$	45,561	$	197,377	$	164,131

³ Adjusted income before income taxes and income from equity investments is a non-GAAP financial measure. Adjusted income before income taxes and income from equity investments is defined as income before income taxes and income from equity investments before the specific adjustments shown above. The table above provides a reconciliation of adjusted income before income taxes and income from equity investments to income before income taxes and income from equity investments, the most directly comparable financial measure determined and reported in accordance with GAAP.


H.B. FULLER COMPANY AND SUBSIDIARIES
REGULATION G RECONCILIATION
In thousands, except per share amounts (unaudited)

	13 Weeks Ended				52 Weeks Ended
	December 1, 2018		December 2, 2017		December 1, 2018		December 2, 2017

Income Taxes	$	(3,488)	$	16,691	$	6,356	$	(9,810)

Adjustments:
Acquisition project costs		(232)		(952)		(1,124)		(2,732)
Organizational realignment		(75)		(230)		(4)		(4,343)
Royal restructuring and integration		(2,164)		(22,592)		(8,215)		(24,494)
Tax reform		(7,444)		-		(43,582)		-
Other		(177)		(4,143)		(2,972)		(4,821)
Adjusted income taxes ⁴	$	(13,580)	$	(11,226)	$	(49,541)	$	(46,200)

Adjusted income before income taxes and income from equity method investments	$	58,174	$	45,561	$	197,377	$	164,131
Adjusted effective income tax rate ⁴		23.3%		24.6%		25.1%		28.1%

⁴ Adjusted income taxes and adjusted effective income tax rate are non-GAAP financial measures. Adjusted income taxes is defined as income taxes before the specific adjustments shown above. Adjusted effective income tax rate is defined as income taxes divided by adjusted income before income taxes and income from equity method investments. The table above provides a reconciliation of adjusted income taxes and adjusted effective income tax rate to income taxes, the most directly comparable financial measure determined and reported in accordance with GAAP.

H.B. FULLER COMPANY AND SUBSIDIARIES
REGULATION G RECONCILIATION
In thousands (unaudited)

	13 Weeks Ended				52 Weeks Ended
	December 1, 2018		December 2, 2017		December 1, 2018		December 2, 2017

Net revenue	$	768,429	$	678,200	$	3,041,002	$	2,306,043

Gross profit	$	209,600	$	168,788	$	836,894	$	605,070
Gross profit margin		27.3%		24.9%		27.5%		26.2%

Adjustments:
Acquisition project costs		526		1,344		2,521		4,287
Organizational realignment		235		442		1,533		11,452
Royal restructuring and integration		2,810		10,781		5,027		10,781
Other		2,407		(1,052)		2,407		(1,900)
Adjusted gross profit ⁵	$	215,578	$	180,303	$	848,382	$	629,690
Adjusted gross profit margin ⁵		28.1%		26.6%		27.9%		27.3%

⁵ Adjusted gross profit and adjusted gross profit margin are non-GAAP financial measures. Adjusted gross profit and adjusted gross profit margin is defined as gross profit and gross profit margin excluding the specific adjustments shown above. The table above provides a reconciliation of adjusted gross profit and gross profit margin to gross profit and gross profit margin, the most directly comparable financial measure determined and reported in accordance with GAAP.


H.B. FULLER COMPANY AND SUBSIDIARIES
REGULATION G RECONCILIATION
In thousands (unaudited)

	13 Weeks Ended				52 Weeks Ended
	December 1, 2018		December 2, 2017		December 1, 2018		December 2, 2017

Selling, general and administrative expenses	$	(139,844)	$	(151,126)	$	(582,132)	$	(477,030)

Adjustments:
Acquisition project costs		323		1,359		1,436		3,561
Tonsan call option agreement		3,450		(1,780)		1,126		(4,233)
Organizational realignment		309		577		1,308		8,511
Royal restructuring and integration		5,114		29,957		23,370		35,387
Tax reform		305				305
Other		(442)		3,780		5,851		9,508
Adjusted selling, general and administrative expenses ⁶	$	(130,785)	$	(117,233)	$	(548,736)	$	(424,296)

⁶ Adjusted selling, general and administrative expenses is a non-GAAP financial measure. Adjusted selling, general and administrative expenses is defined as selling, general and administrative expenses excluding the specific adjustments shown above. The table above provides a reconciliation of adjusted selling, general and administrative expenses to selling, general and administrative expenses, the most directly comparable financial measure determined and reported in accordance with GAAP.

H.B. FULLER COMPANY AND SUBSIDIARIES
REGULATION G RECONCILIATION
In thousands (unaudited)

	Americas							Asia		Construction			Engineering					Corporate			H.B. Fuller
	Adhesives				EIMEA			Pacific		Adhesives			Adhesives			Total		Unallocated			Consolidated

13 Weeks Ended December 1, 2018		$	30,430		$	9,424		$	6,939		$	7,212		$	15,751	$	69,756		$	(28,411)		$	41,345
Net income attributable to H.B. Fuller

Adjustments:
Acquisition project costs			794			22			10			12			10		848			(232)			616
Tonsan call option agreement			-			-			-			-			3,449		3,449			106			3,555
Organizational realignment			12			361			4			163			4		544			(75)			469
Royal restructuring and integration			1,641			3,067			401			1,532			1,284		7,925			(1,995)			5,930
Tax reform			116			77			36			38			38		305			(7,443)			(7,138)
Other			2,024			142			(97)			(2)			(102)		1,965			(178)			1,787

Adjusted net income attributable to H.B. Fuller ²			35,017			13,093			7,293			8,955			20,434		84,792			(38,228)			46,564

Add:
Interest expense			-			-			-			-			-		-			27,468			27,468
Interest income			-			-			-			-			-		-			(3,005)			(3,005)
Income taxes			-			-			-			-			-		-			13,580			13,580
Depreciation expense			4,504			5,400			1,599			3,091			2,515		17,109			-			17,109
Amortization expense			5,467			2,444			420			6,414			4,110		18,855			-			18,855
Adjusted EBITDA ²	$		44,988		$	20,937		$	9,312		$	18,460		$	27,059	$	120,756		$	(185)		$	120,571

	Americas						Asia			Construction			Engineering					Corporate			H.B. Fuller
	Adhesives			EIMEA			Pacific			Adhesives			Adhesives			Total		Unallocated			Consolidated

52 Weeks Ended December 1, 2018		$	115,363		$	40,060		$	17,995		$	32,917		$	48,427	$	254,762		$	(83,554)		$	171,208
Net income attributable to H.B. Fuller

Adjustments:
Acquisition project costs			3,674			95			45			48			95		3,957			(1,124)			2,833
Tonsan call option agreement			-			-			-			-			1,126		1,126			370			1,496
Organizational realignment			199			1,701			9			922			9		2,840			(4)			2,836
Royal restructuring and integration			8,781			7,663			1,925			5,963			4,065		28,397			(8,046)			20,351
Tax reform			116			77			36			38			38		305			(43,581)			(43,276)
Other			4,422			1,712			651			786			687		8,258			(7,744)			514

Adjusted net income attributable to H.B. Fuller ²			132,555			51,308			20,661			40,674			54,447		299,645			(143,683)			155,962

Add:
Interest expense			-			-			-			-			-		-			110,624			110,624
Interest income			-			-			-			-			-		-			(11,774)			(11,774)
Income taxes			-			-			-			-			-		-			49,541			49,541
Depreciation expense			17,626			22,088			6,574			11,653			9,969		67,910			-			67,910
Amortization expense			21,931			10,095			1,910			25,507			17,047		76,490			-			76,490
Adjusted EBITDA ²	$		172,112		$	83,491		$	29,145		$	77,834		$	81,463	$	444,045		$	4,708		$	448,753

Note: Adjusted EBITDA is a non-GAAP financial measure. The tables above provide a reconciliation of adjusted EBITDA for each segment to net income attributable to H.B. Fuller for each segment, the most directly comparable financial measure determined and reported in accordance with U.S. GAAP.

H.B. FULLER COMPANY AND SUBSIDIARIES
REGULATION G RECONCILIATION
In thousands (unaudited)

	Americas					Asia		Construction			Engineering								H.B. Fuller
	Adhesives			EIMEA		Pacific		Adhesives			Adhesives			Total		Unallocated			Consolidated

13 Weeks Ended December 2, 2017		$	17,579	$	68	$	5,402		$	(9,891)		$	4,504	$	17,662		$	(24,569)		$	(6,907)
Net income attributable to H.B. Fuller

Adjustments:
Acquisition project costs			2,760		(71)		(34)			(35)			83		2,703			(809)			1,894
Tonsan call option agreement			-		-		-			-			(1,780)		(1,780)			75			(1,705)
Organizational realignment			130		514		35			274			66		1,019			(230)			789
Royal Restructuring			10,362		10,024		621			12,283			7,448		40,738			3,155			43,893
Other			713		946		451			142			476		2,728			(4,143)			(1,415)

Adjusted net income attributable to H.B. Fuller ²			31,544		11,481		6,475			2,773			10,797		63,070			(26,521)			36,549

Add:
Interest expense			-		-		-			-			-		-			17,949			17,949
Interest income			-		-		-			-			-		-			(720)			(720)
Income taxes			-		-		-			-			-		-			11,226			11,226
Depreciation expense			4,056		4,656		1,525			2,378			2,082		14,697			-			14,697
Amortization expense			3,551		1,874		461			4,238			2,990		13,114			-			13,114
Adjusted EBITDA ²	$		39,151	$	18,011	$	8,461		$	9,389		$	15,869	$	90,881		$	1,934		$	92,815

	Americas					Asia		Construction			Engineering								H.B. Fuller
	Adhesives			EIMEA		Pacific		Adhesives			Adhesives			Total		Unallocated			Consolidated

52 Weeks Ended December 2, 2017		$	91,198	$	18,821	$	14,826		$	(12,975)		$	16,170	$	128,040		$	(68,622)		$	59,418
Net income attributable to H.B. Fuller

Adjustments:
Acquisition project costs			6,904		312		151			157			323		7,847			(2,589)			5,258
Tonsan call option agreement			-		-		-			-			(4,233)		(4,233)			287			(3,946)
Organizational realignment			2,444		8,973		1,790			5,895			861		19,963			(4,343)			15,620
Royal Restructuring			11,850		11,220		731			14,022			8,345		46,168			1,255			47,423
Other			2,188		2,379		1,133			711			1,197		7,608			(4,821)			2,787

Adjusted net income attributable to H.B. Fuller ²			114,584		41,705		18,631			7,810			22,663		205,393			(78,833)			126,560

Add:
Interest expense			-		-		-			-			-		-			42,365			42,365
Interest income			-		-		-			-			-		-			(2,886)			(2,886)
Income taxes			-		-		-			-			-		-			46,200			46,200
Depreciation expense			14,491		15,917		5,976			7,432			6,743		50,559			-			50,559
Amortization expense			8,508		5,145		1,755			11,151			9,684		36,243			-			36,243
Adjusted EBITDA ²	$		137,583	$	62,767	$	26,362		$	26,393		$	39,090	$	292,195		$	6,846		$	299,041

H.B. FULLER COMPANY AND SUBSIDIARIES
SEGMENT FINANCIAL INFORMATION
NET REVENUE GROWTH
(unaudited)

13 Weeks Ended December 1, 2018

	Americas Adhesives	EIMEA	Asia Pacific	Construction Adhesives	Engineering Adhesives	Total HBF
Price	5.0%	4.3%	2.4%	0.2%	2.1%	3.5%
Volume	(4.0%)	(1.5%)	(3.1%)	(1.0%)	15.8%	(0.1%)
Mix	2.4%	0.3%	(1.1%)	(2.5%)	(1.1%)	0.4%
Acquisition	11.8%	12.1%	1.1%	35.9%	19.8%	14.7%
Constant Currency Growth ⁷	15.2%	15.2%	(0.7%)	32.6%	36.6%	18.5%

F/X	(5.8%)	(7.9%)	(4.0%)	(1.0%)	(4.0%)	(5.2%)
	9.4%	7.3%	(4.7%)	31.6%	32.6%	13.3%

Organic Revenue Growth ⁷	3.4%	3.1%	(1.8%)	(3.3%)	16.8%	3.8%



52 Weeks Ended December 1, 2018

	Americas Adhesives	EIMEA	Asia Pacific	Construction Adhesives	Engineering Adhesives	Total HBF
Price	3.8%	4.4%	1.4%	0.0%	4.8%	3.4%
Volume	(3.4%)	(0.9%)	0.9%	(0.2%)	9.2%	(0.3%)
Mix	1.4%	0.4%	(0.5%)	(1.0%)	0.7%	0.6%
Acquisition	22.1%	24.3%	1.5%	72.4%	39.9%	28.3%
Constant Currency Growth ⁷	23.9%	28.2%	3.3%	71.2%	54.6%	32.0%

F/X	(2.7%)	1.7%	1.8%	0.2%	2.5%	(0.1%)
	21.2%	29.9%	5.1%	71.4%	57.1%	31.9%

Organic Revenue Growth ⁷	1.8%	3.9%	1.8%	(1.2%)	14.7%	3.7%

⁷ Constant currency revenue growth is a non-GAAP financial measure defined as changes in revenue due to price, volume, mix and acquisitions and excludes revenue changes driven by foreign currency translation. Organic revenue growth is a non-GAAP financial measure defined as constant currency revenue growth less growth from acquisitions.

1	Proforma results were provided to reflect the historical combination of H.B. Fuller and Royal as of the comparable prior periods before the acquisition was completed in October of 2017. The proforma results and reconciliations to GAAP outcomes were filed on a Form 8-K dated March 28, 2018.

????? -

??????: Barbara Doyle, Investor Relations contact, 651-236-5023

Source: H.B. Fuller Company

Related Stocks:

NYSE:FUL

SINGAUTO ??????????? 50 ??????????????? ????????????????????????????????????????????????

2025-09-27 01:17

SINGAUTO Strategic Investment Signing Ceremony (PRNewsfoto/SingAuto)

XPPen ??????? Artist Ultra 16: ???????????????????????????????????????????????????????????????????????????? ????? 4K OLED

2025-09-26 23:06

????????????: ????????????????????????????????????????????????????????????????????????????????????????????????

2025-09-26 22:41

On September 26, during the United Nations General Assembly, Fortescue formally announced in New York that it signed a supply contract with XCMG for new energy mining equipment. (PRNewsfoto/XCMG Machinery)

SUNMI ????????????????????? Google Android Enterprise Gold Partner ?????????????????? AER ?????????????????????????????????????????????????????????????

2025-09-26 16:46

ATOMIX ??????????????? ?????????? NO.1 ????????? NORTH AMERICA'S 50 BEST RESTAURANTS 2025 ??????????????????????

2025-09-26 14:16

Atomix in New York City is named The Best Restaurant in North America at North America's 50 Best Restaurants awards 2025, sponsored by S.Pellegrino & Acqua Panna, held in Las Vegas on September 25th.

?????????????: Kerry ???????????????????????????????????????????????????????????????????????????

2025-09-26 09:00

亚洲在线日韩伦理片,96精品国产AⅤ一区二区,青鸟影视网,yy黄色频道,国内精品久久久精品AV电影院

H.B. Fuller ??????????????????????? 4 ?????????????? 2561

SINGAUTO ??????????? 50 ??????????????? ????????????????????????????????????????????????

XPPen ??????? Artist Ultra 16: ???????????????????????????????????????????????????????????????????????????? ????? 4K OLED

????????????: ????????????????????????????????????????????????????????????????????????????????????????????????

SUNMI ????????????????????? Google Android Enterprise Gold Partner ?????????????????? AER ?????????????????????????????????????????????????????????????