InnerWorkings Reports Record Sales
Record Year For Chicago-Based Firm
Counselor Top 40 distributor InnerWorkings (asi/168860) has announced its total fourth quarter sales increased 22% to $245.6 million, capping a record year of revenue growth for the Chicago-based firm. For all of 2013, driven by enterprise segment gains, InnerWorkings reported sales of $893.4 million, a year-over-year rise of 13%. The increases in sales, though, were part of a mixed earnings statement, as InnerWorkings missed some forecasts on a per-share basis.
“Despite a number of unexpected challenges in 2013, our team was able to drive double-digit top-line growth,” said Eric Belcher, CEO of InnerWorkings. “With our focus on our growing core enterprise business, we expect to generate stronger bottom line results and shareholder value in 2014 and beyond.”
As an example of its bottom-line struggles, InnerWorkings said its non-GAAP 2013 adjusted EBITDA was $25.8 million, compared to $37.4 million a year earlier. InnerWorkings blamed the change on a “spending reduction by a large retail customer,” as well as the underperformance of its inside sales business. For 2013, InnerWorkings reported a net income loss of $9.2 million, compared with year-earlier earnings of $38.6 million.
“We have proactively addressed the areas that impacted our 2013 results,” said Joseph M. Busky, CFO of InnerWorkings. “Our enterprise business remains firmly intact, as evidenced by the strong revenue growth in the fourth quarter. We look forward to continued growth and increased profitability in 2014.”
In its full-year 2014 forecast, InnerWorkings is projecting sales of between $965 million and $1 billion and per-share earnings of up to 27 cents. InnerWorkings, which offers print management, warehousing, creative services and promotional products, ranks as the 12th-largest distributor in the industry with 2012 North American ad specialty sales of $114.1 million.