CoreLogic, Inc. and CoreLogic Australia Pty Limited Enter into an Amended and Restated Credit Agreement
Apr 22 15
On April 21, 2015, CoreLogic, Inc., CoreLogic Australia Pty Limited entered into an amended and restated credit agreement among the Company, the Australian Borrower, the lenders party thereto, the other parties thereto and Bank of America, N.A. The Credit Agreement provides for a $850.0 million five-year term loan facility and a $550.0 million five-year revolving credit facility (which includes a $100.0 million multicurrency revolving sub-facility and a $50.0 million letter of credit sub-facility) (the Revolving Facility" and, together with the Term Facility, the Facilities"). The Credit Agreement also provides for the ability to increase the Term Facility and/or Revolving Facility by up to $750.0 million in the aggregate. Loans under the Credit Agreement will bear interest, at the election of the Company, at (i) the Alternate Base Rate (defined as the greater of (a) Bank of America's prime rate", (b) the Federal Funds effective rate plus 1/2% and (c) the reserve adjusted London interbank offering rate for a one month Eurocurrency borrowing plus 1%) plus the Applicable Rate (as defined in the Credit Agreement) or (ii) the London interbank offering rate for Eurocurrency borrowings, adjusted for statutory reserves (the Adjusted Eurocurrency Rate") plus the Applicable Rate. The initial Applicable Rate for Alternate Base Rate borrowings is 0.75% and for Adjusted Eurocurrency Rate borrowings is 1.75%. Starting with the next full fiscal quarter, the Applicable Rate will vary depending upon the Company's leverage ratio. The minimum Applicable Rate for Alternate Base Rate borrowings will be 0.25% and the maximum will be 1.00%. The minimum Applicable Rate for Adjusted Eurocurrency Rate borrowings will be 1.25% and the maximum will be 2.00%. The Credit Agreement also requires the Company to pay a commitment fee for the unused portion of the Revolving Facility, which will be a minimum of 0.25% and a maximum of 0.40%, depending on the company's leverage ratio. The Credit Agreement provides that loans under the Term Facility shall be repaid in equal quarterly installments, commencing on the last day of the next full fiscal quarter and continuing on each three-month anniversary thereafter in an amount equal to $10.625 million for the first eight quarterly payments, in an amount equal to $21.250 million for the next four quarterly payments and in an amount equal to $31.875 million for each quarterly payment thereafter. The outstanding balance of the term loan will be due on April 21, 2020. The Term Facility is also subject to prepayment from (i) the Net Cash Proceeds (as defined in the Credit Agreement) of certain debt incurred or issued by the Borrowers and the Guarantors and (ii) the Net Cash Proceeds received by the Borrowers or the Guarantors from certain asset sales and recovery events, subject to certain reinvestment rights.
CoreLogic, Inc. Announces Unaudited Consolidated Earnings Results for the First Quarter Ended March 31, 2015; Announces Impairment Loss for the First Quarter Ended March 31, 2015; Provides Earnings Guidance for the Second Quarter and Full Year of 2015
Apr 22 15
CoreLogic, Inc. announced unaudited consolidated earnings results for the first quarter ended March 31, 2015. For the period, the company reported operating revenues were $364,772,000 compared to $326,104,000 a year ago. Operating income was $49,265,000 compared to $14,827,000 a year ago. Interest income was $1,458,000 compared to $1,171,000 a year ago. Net income from continuing operations was $29,498,000 compared to net loss of $2,913,000 a year ago. Net income attributable to the company was $29,179,000 compared to net loss of $2,792,000 a year ago. Net income from continuing operations attributable to the company's stockholders was $29,290,000 compared to net loss of $3,177,000 a year ago. Net income attributable to the company's stockholders was $29,179,000 compared to net loss of $2,792,000 a year ago. Diluted net income per share from continuing operations was $0.32 compared to net loss per share of $0.03 a year ago. Diluted net income per share from continuing operations attributable to the company was $0.32 compared to net loss per share of $0.03 a year ago. Total cash provided by operating activities was $40,234,000 compared to $16,653,000 a year ago. Purchases of property and equipment were $11,397,000 compared to $13,427,000 a year ago. Purchases of capitalized data and other intangible assets was $11,244,000 compared to $7,185,000 a year ago. Adjusted EBITDA was $100,918,000 against $65,449,000 a year ago. Adjusted pretax income from continuing operations was $65,293,000 or adjusted diluted EPS of $0.46 compared to $28,024,000 or 0.18 per share a year ago. Free cash flow was $275,810,000. Operating income from continuing operations up 232% to $49.3 million reflecting the benefits of revenue growth, favorable business mix and cost productivity. Total debt as of march 31, 2015 was $1.3 billion. Revenues were up 12% year-over-year, driven principally by higher demand for property data, analytics and underwriting solutions as well as share gains and the benefit associated with the acquisition of MSB and Data Quick and as the company capitalized on higher U.S. mortgage volumes and expanded its core property, insurance and international operations. Operating income and adjusted EBITDA were up strongly in the first quarter compared with the same 2014 period. Higher profitability was driven by top line growth, favorable shifts in revenue mix, operating leverage in its mortgage-related businesses and cost management. The 232% increase in operating income resulted primarily from higher revenues, favorable operating leverage and the company’s mortgage-related underwriting solutions businesses and lower expenses, which were partially offset by increased acquisition-related depreciation and amortization. The $32.5 million year-over-year increase was driven primarily by higher operating income and lower interest costs, which more than offset the impact of unfavorable FX and higher tax provisions. This high level of cash flow conversion reflects favorable changes in its business mix and improved margin levels as well as lower collection cycles and taxes. This level of cash flow, together with its current ample cash reserves and the recently completed credit facility amendment, provides the company with significant financial flexibility to drive the company’s stated capital allocation strategy.
For the quarter ended March 31, 2015, the company impairment loss of $58,000 compared to $148,000 a year ago.
The company provided earnings guidance for the second quarter and full year of 2015. Specifically in terms of the second quarter of 2015, based on normal seasonality patterns, current projected market volumes and the timing of TTI-NextGen investments, the company believes that adjusted EBITDA in the second quarter should be 10% to 15% above second quarter of 2014 levels.
In terms of 2015 guidance, given the strength of its first quarter results, the company expects to achieve the high end of its previously issued ranges for revenues, adjusted EBITDA and adjusted EPS. In line with its past practice, they will provide a formal update to its 2015 guidance in conjunction with the second quarter earnings release process.