nVent Reports Fourth Quarter and Full-Year 2019 Financial Results
Margin expansion across all segments and strong cash generation
Fourth quarter reported sales of $567 million were flat; Organic sales down 3%. Full-year reported sales of $2.2 billion
Fourth quarter reported EPS of $0.27; Adjusted EPS of $0.47. Full-year reported EPS of $1.29; Adjusted EPS of $1.78
Full-year net cash provided by operating activities of $336 million; Returned over $350 million in cash to shareholders through dividends and share repurchases
Reconciliations of GAAP (reported) to Non-GAAP measures are in the attached financial tables.
LONDON, UNITED KINGDOM – February 5, 2020 – nVent Electric plc (NYSE:NVT) (“nVent”), a global leader in electrical connection and protection solutions, today announced financial results for the fourth quarter and full-year 2019 and provided guidance for the first quarter and full-year 2020.
Fourth quarter sales of $567 million were flat relative to the fourth quarter 2018 and declined 3 percent organically, which excludes the impact from currency fluctuations and acquisitions. Eldon added approximately $23 million in sales to the Enclosures segment during the fourth quarter, and $31 million for the year. Fourth quarter 2019 earnings per diluted share (“EPS”) were $0.27, while on an adjusted basis, the company had EPS of $0.47. Full-year sales of $2.2 billion were flat relative to full-year 2018. Full-year 2019 EPS were $1.29, while on an adjusted basis, the company had EPS of $1.78. Segment income, adjusted net income, free cash flow and adjusted EPS are described in the attached schedules.
Fourth quarter 2019 operating income was $83 million, down from $86 million in the fourth quarter of 2018. On an adjusted basis, segment income of $109 million was up from $108 million in the fourth quarter of 2018, as price and productivity initiatives more than offset inflation. Full-year 2019 operating income was $333 million versus $311 million in 2018. On an adjusted basis, segment income was $424 million, flat compared to full-year 2018.
Full-year net cash provided by operating activities was $336 million and total free cash flow was $304 million. The company delivered full-year free cash flow of approximately 100 percent of adjusted net income.
“Our fourth quarter results demonstrated solid execution in a difficult macro environment as we grew segment income, expanded return on sales in each segment and delivered strong free cash flow. In 2019, we completed the acquisition of Eldon, met our cash conversion goals and invested in R&D and digital to position us well for future growth, “ said Beth Wozniak, nVent's chief executive officer. “In 2020, we expect to accelerate and expand our One nVent growth initiatives, launch a record number of new products and grow globally. We are focused on continued margin expansion, working capital improvements and executing on our capital allocation strategy.”