New Hampton, NY, February 19, 2021 – Balchem Corporation (NASDAQ: BCPC) reported today fourth quarter net earnings of $22.2 million for 2020, compared to net earnings of $20.4 million for the fourth quarter 2019. Fourth quarter adjusted net earnings(a) were $26.9 million, compared to $28.4 million in the prior year quarter. Fourth quarter adjusted EBITDA(a) was $43.6 million, compared to $40.0 million in the prior year quarter. Balchem Corporation also reported for the full year 2020 net earnings of $84.6 million, compared to net earnings of $79.7 million for 2019. Full year adjusted net earnings(a) were $107.8 million, compared to $103.7 million in the prior year, and full year adjusted EBITDA(a) was $174.2 million, compared to $160.0 million in the prior year.
Fourth Quarter 2020 Financial Highlights:
• Record net sales of $180.7 million, an increase of $14.2 million, or 8.5%, compared to the prior year quarter. Year over year quarterly sales growth in all three segments, with record sales in Human Nutrition and Health and Animal Nutrition and Health.
• Record adjusted EBITDA was $43.6 million, an increase of $3.6 million, or 8.9%, from the prior year.
• GAAP net earnings were $22.2 million, an increase of $1.8 million, or 8.7% from the prior year. These net earnings resulted in GAAP earnings per share of $0.68.
• Adjusted net earnings of $26.9 million decreased $1.5 million or 5.4% from the prior year, resulting in adjusted earnings per share(a) of $0.83.
• The effective tax rate of 21.0% was 1,211 basis points higher than the prior year tax rate of 8.9%.
• Cash flows from operations were $48.0 million for the fourth quarter 2020, an increase of $15.0 million from the prior year, with quarterly free cash flow(a) of $35.0 million compared to $26.3 million for the prior year quarter.
Full Year 2020 Financial Highlights:
• Record full year net sales of $703.6 million, an increase of $59.9 million, or 9.3%, compared to the prior year’s full year net sales. Year over year sales growth and record sales achieved in all three segments: Human Nutrition and Health, Animal Nutrition and Health, and Specialty Products.
• Record adjusted EBITDA was $174.2 million, an increase of $14.2 million, or 8.9%, from the prior year.
• GAAP net earnings were $84.6 million, an increase of $5.0 million, or 6.2% from the prior year. These net earnings resulted in GAAP earnings per share of $2.60.
• Record adjusted net earnings of $107.8 million increased $4.1 million or 4.0% from the prior year, resulting in adjusted earnings per share(a) of $3.32.
• Full year cash flows from operations were $150.5 million for 2020, an increase of $26.0 million from prior year, with full year free cash flow(a) of $117.7 million for 2020 compared to $96.1 million in 2019.
