Frank Gerace, President and CEO of Multi-Color, says, “In the midst of the most severe global economic decline in more than 75 years, the company successfully completed the largest transformation in its 100-year history by expanding its international footprint and completing its largest capital reinvestment in North America, while continuing to produce record results.”
Net revenues increased 38 percent to $289.8 million from $210.3 million. The increase was due to the Collotype acquisition completed in February 2008, which generated $106.4 million in revenues for the year, partially offset by a $17.6 million or 9 percent reduction in North American organic revenues due to the recessionary impact on consumer spending.
Gross profit increased 36 percent to $52.8 million due to the Collotype acquisition, partially offset by the impact of the decrease in North American organic revenues and plant startup costs incurred during the first half of the year for the new Batavia, OH, USA, manufacturing facility.
Operating income increased 31 percent to $22.9 million. Excluding the impact of the special items from both periods, adjusted operating income increased 42 percent to $26.4 million from $18.5 million.
Interest expense increased to $6.8 million from $1 million due to the debt incurred to finance the Collotype acquisition. During fiscal year 2009, the company repaid $25 million or 19 percent of long term debt.