BOULDER BRANDS, INC.

CIK:0001331301|SEC Filings

Consolidated Statements of Income and Comprehensive Loss - USD ($) $ in Thousands	3 Months Ended		9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014	Sep. 30, 2015	Sep. 30, 2014
Income Statement [Abstract]
Net sales	$ 132,917	$ 133,865	$ 379,634	$ 388,065
Cost of goods sold	84,891	83,422	243,826	244,319
Gross profit	48,026	50,443	135,808	143,746
Operating expenses:
Marketing	6,635	6,206	19,031	16,840
Selling	11,362	11,685	34,080	33,052
General and administrative	21,694	20,378	69,831	63,706
Restructuring, acquisition and integration-related costs	5,084	(186)	6,534	3,900
Goodwill and tradename impairment	0	150,507	2,696	150,507
Total operating expenses	44,775	188,590	132,172	268,005
Operating income (loss)	3,251	(138,147)	3,636	(124,259)
Other income (expense), net:
Interest expense	(4,180)	(5,341)	(12,482)	(13,906)
Other income (expense), net	4,464	(580)	4,193	(714)
Total other income (expense), net	284	(5,921)	(8,289)	(14,620)
Income (loss) before income taxes	3,535	(144,068)	(4,653)	(138,879)
Provision (benefit) for income taxes	2,726	(11,873)	(3,644)	(9,832)
Net income (loss)	809	(132,195)	(1,009)	(129,047)
Less: Net (income) loss attributable to noncontrolling interest	(455)	36	(141)	150
Net income (loss) attributable to Boulder Brands, Inc. and Subsidiaries common stockholders	$ 354	$ (132,159)	$ (1,150)	$ (128,897)
Earnings (loss) per share attributable to Boulder Brands, Inc. and Subsidiaries common stockholders:
Basic (in dollars per share)	$ 0.01	$ (2.17)	$ (0.02)	$ (2.12)
Diluted (in dollars per share)	$ 0.01	$ (2.17)	$ (0.02)	$ (2.12)
Weighted average shares outstanding:
Basic (in shares)	61,514,355	61,032,874	61,354,796	60,803,632
Diluted (in shares)	63,051,813	61,032,874	61,354,796	60,803,632
Other comprehensive income (loss), net of tax:
Foreign currency translation adjustment	$ (2,282)	$ (803)	$ (4,852)	$ (1,092)
Cash flow hedges	(1,050)	0	(659)	0
Other comprehensive income (loss)	(3,332)	(803)	(5,511)	(1,092)
Comprehensive income (loss)	(2,523)	(132,998)	(6,520)	(130,139)
Less: Comprehensive (income) loss attributable to noncontrolling interest	(455)	36	(141)	150
Comprehensive income (loss) attributable to Boulder Brands, Inc. and Subsidiaries	$ (2,978)	$ (132,962)	$ (6,661)	$ (129,989)

Consolidated Statements of Cash Flows - USD ($) $ in Thousands	9 Months Ended
	Sep. 30, 2015	Sep. 30, 2014
Cash flows from operating activities
Net income (loss)	$ (1,009)	$ (129,047)
Adjustments to reconcile net income (loss) to net cash provided by (used in) operating activities:
Depreciation and amortization of intangibles	15,943	16,750
Amortization of deferred financing costs	1,567	1,399
Deferred income taxes	(4,605)	(14,000)
Excess tax deficiency (benefit) from stock-based payment arrangements	44	(4,548)
Stock-based compensation	6,911	7,162
Asset write-offs	0	584
Loss on disposal of property and equipment	200	192
Impairment loss	2,696	150,507
Gain on sale of investment	(4,691)	0
Changes in assets and liabilities:
Accounts receivable	(5,497)	(14,535)
Inventories	(11,311)	(16,367)
Prepaid expenses and other assets	889	(7,541)
Prepaid taxes	774	3,613
Accounts payable and accrued expenses	15,172	5,455
Net cash provided by (used in) operating activities	17,083	(376)
Cash flows from investing activities
Acquisitions, net of cash and cash equivalents acquired	0	(4)
Purchase of investment	(1,000)	0
Proceeds from sale of investment	7,691	0
Purchase of property and equipment	(13,984)	(9,284)
Proceeds from disposal of property and equipment	13	28
Patent/trademark defense costs	(191)	(713)
Net cash used in investing activities	(7,471)	(9,973)
Cash flows from financing activities
Proceeds from issuance of long-term debt	0	26,933
Repayment of debt	(17,941)	(18,589)
Payments for loan costs	0	(1,433)
Contribution from (purchase of) noncontrolling interest	100	(280)
Distribution to noncontrolling interest	(769)	0
Shares withheld for payment of employee payroll taxes	(98)	(2,510)
Proceeds from exercise of stock options	1,460	3,892
Excess tax (deficiency) benefit from stock-based payment arrangements	(44)	4,548
Net cash (used in) provided by financing activities	(17,292)	12,561
Effects of exchange rate changes on cash	(97)	(37)
Net (decrease) increase in cash for the period	(7,777)	2,175
Cash - beginning of period	31,660	16,732
Cash - end of period	23,883	18,907
Cash paid during the period for:
Income taxes	217	172
Interest	$ 10,992	$ 11,161

Consolidated Balance Sheets - USD ($) $ in Thousands	Sep. 30, 2015	Dec. 31, 2014
Current assets:
Cash	$ 23,883	$ 31,660
Accounts receivable, net of allowance of: $1,039 (September 30, 2015) and $1,362 (December 31, 2014)	44,382	40,065
Accounts receivable - other	2,843	4,709
Inventories	63,350	52,888
Prepaid taxes	6,167	6,985
Prepaid expenses and other current assets	5,100	3,844
Deferred tax asset	10,377	6,721
Total current assets	156,102	146,872
Property and equipment, net	59,143	53,151
Other assets:
Goodwill	229,552	233,592
Intangible assets, net	181,181	191,400
Deferred costs, net	6,539	7,830
Investments, at cost	9,751	11,751
Other assets	1,989	1,996
Total other assets	429,012	446,569
Total assets	644,257	646,592
Current liabilities:
Accounts payable and accrued expenses	66,694	53,774
Current portion of long-term debt	1,136	4,101
Total current liabilities	67,830	57,875
Long-term debt	287,781	301,113
Deferred tax liability	41,184	41,536
Other liabilities	6,421	4,909
Total liabilities	$ 403,216	$ 405,433
Commitments and contingencies
Boulder Brands, Inc. and Subsidiaries stockholders' equity:
Common stock, $.0001 par value, 250,000,000 shares authorized; 65,290,767 and 64,876,335 issued at September 30, 2015 and December 31, 2014, respectively and 61,600,104 and 61,185,672 outstanding at September 30, 2015 and December 31, 2014, respectively	$ 6	$ 6
Additional paid in capital	581,791	574,721
Accumulated deficit	(314,564)	(313,414)
Accumulated other comprehensive loss	(11,348)	(5,837)
Treasury stock, at cost (3,690,663 shares)	(15,595)	(15,595)
Total Boulder Brands, Inc. and Subsidiaries stockholders' equity	240,290	239,881
Noncontrolling interest	751	1,278
Total equity	241,041	241,159
Total liabilities and equity	$ 644,257	$ 646,592