| FOR THE YEAR ENDED AUGUST 31 | ||||
| (in millions of dollars, except earnings per share) | 2013(1) | 2012(2) | % Change | |
|---|---|---|---|---|
| OPERATIONS | ||||
| Net sales | $2,089.1 | $1,933.7 | 8% | |
| Gross profit % | 40.1% | 40.8% | ||
| Operating profit | $221.5 | $208.0 | 6% | |
| Operating profit % | 10.6% | 10.8% | ||
| Net income | $127.4 | $116.3 | 10% | |
| Diluted earnings per share | $2.95 | $2.72 | 8% | |
| Diluted weighted average number of shares outstanding (in millions) | 42.5 | 41.9 | ||
| Return on average shareholders’ equity | 14.1% | 14.6% | (3)% | |
| Cash provided by operating activities | $132.3 | $172.2 | (23)% | |
| Depreciation and amortization | $40.8 | $39.8 | 3% | |
| Capital expenditures | $40.6 | $31.4 | 29% | |
| FINANCIAL POSITION | ||||
| Total assets | $1,904 | $1,737 | 10% | |
| Total cash | $359 | $285 | 26% | |
| Total debt | $354 | $354 | 0% | |
| Total stockholders’ equity | $994 | $834 | 19% | |
| Ratio of total debt to capital | 26.2% | 29.8% | ||
| Operating working capital as a percentage of net sales(3) | 13.0% | 11.6% | ||
(1) 2013 results include a $8.5 million pre-tax special charge (or $0.12 per diluted share) related to streamlining activities; $8.4 million (or $0.12 per diluted share) of temporary manufacturing inefficiencies associated with the closing of the Cochran facility; and, a pre-tax loss of $8.1 million (or $0.12 per diluted EPS) resulting from fraud perpetrated at a freight payment and audit service firm formerly retained by the Company.
(2) 2012 results include a $13.3 million pre-tax charge (or $0.21 per diluted share) for streamlining activities; $3.2 million of higher costs (or $0.05 per diluted share) directly related to manufacturing inefficiencies associated with the closing of the Cochran facility, and $1.2 million of non-cash expenses (or $0.02 per diluted share) related to the abandonment of certain otherwise usable inventory at the facility.
(3) Operating working capital is defined as net receivables plus inventories minus accounts payable.
($ in Billions)
(from continuing operations)
($ in Millions)
MARGINS 
($ in Millions)
Free Cash Flow is defined as cash provided by operating activities minus purchases of property, plant, and equipment.