Snap-on Incorporated · NYSE:SNA
Snap-on — Q2 2017 Earnings Presentation
13 slides from Snap-on's earnings presentation, Jul 20, 2017
Slide 1: Quarterly Financial Review Second Quarter 2017
Quarterly Financial Review Second Quarter 2017 Snap-on Tools In-Depth Business Review Q2-2017 Board Quarterly Review of Directors 1April DB-2 1 -1 © 2017 Snap-on 27, 2011 Incorporated
Slide 2: Cautionary Statement
Cautionary Statement These slides should be read in conjunction with comments from the July 20, 2017 conference call. The financial statement information included herein is unaudited. Statements made during the July 20, 2017 conference call and/or information included in this presentation may co
Slide 3: Snap-on Tools In-Depth Business Review
Snap-on Tools In-Depth Business Review Board of Directors DB-2 3April 27, 2011 3 -3
Slide 4: Nick Pinchuk
Nick Pinchuk Chairman and Chief Executive Officer Snap-on Tools In-Depth Business Review Q2-2017 Board Quarterly Review of Directors 4April DB-2 4 -4 © 2017 Snap-on 27, 2011 Incorporated
Slide 5: Aldo Pagliari
Aldo Pagliari Senior Vice President and Chief Financial Officer Snap-on Tools In-Depth Business Review Q2-2017 Board Quarterly Review of Directors 5April DB-2 5 -5 © 2017 Snap-on 27, 2011 Incorporated
Slide 6: Consolidated Results – 2nd Quarter
Consolidated Results – 2nd Quarter 2017 2016 ($ in millions, except per share data - unaudited) $ % $ % Change Net sales $ 921.4 $ 872.3 5.6 % Organic sales 23.2 2.7 % Acquisitions 38.4 4.5 % Currency translation (12.5) (1.6)% Gross profit $ 463.0 50.2 % $ 431.3 49.4 % Operating expenses 279.3
Slide 7: Commercial & Industrial – 2nd Quarter
Commercial & Industrial – 2nd Quarter ($ in millions - unaudited) 2017 2016 Change Segment sales $ 310.0 $ 285.7 8.5 % Organic sales 13.3 4.7 % Acquisitions 15.9 5.7 % Currency translation (4.9) (1.9)% Gross profit $ 120.8 $ 111.4 % of sales 39.0 % 39.0 % Operating expenses $ 78.1 $ 72.1 % of
Slide 8: Snap-on Tools – 2nd Quarter
Snap-on Tools – 2nd Quarter ($ in millions - unaudited) 2017 2016 Change Segment sales $ 413.8 $ 416.7 (0.7)% Organic sales 2.1 0.5 % Currency translation (5.0) (1.2)% Gross profit $ 183.6 $ 182.1 % of sales 44.4 % 43.7 % Operating expenses $ 103.0 $ 105.8 % of sales 24.9 % 25.4 % Operating earn
Slide 9: Repair Systems & Information – 2nd Quarter
Repair Systems & Information – 2nd Quarter ($ in millions - unaudited) 2017 2016 Change Segment sales $ 338.1 $ 295.2 14.5 % Organic sales 24.1 8.3 % Acquisitions 22.5 7.7 % Currency translation (3.7) (1.5)% Gross profit $ 158.6 $ 137.8 % of sales 46.9 % 46.7 % Operating expenses $ 76.7 $ 63.3
Slide 10: Financial Services – 2nd Quarter
Financial Services – 2nd Quarter ($ in millions - unaudited) 2017 2016 Change Segment revenue $ 77.7 $ 69.3 12.1 % Operating earnings $ 54.6 $ 49.5 10.3 % Originations $ 270.6 $ 281.0 (3.7)% Originations decreased $10.4 million or 3.7% Average yield on finance receivables of 17.9% in both years
Slide 11: Financial Services Portfolio Data
Financial Services Portfolio Data United States International Extended Extended ($ in millions - unaudited) Credit Total Credit Total Gross finance portfolio $ 1,375.6 $ 1,672.8 $ 172.0 $ 241.5 Portfolio net losses (TTM) $ 38.2 $ 39.9 $ 2.2 $ 2.5 60+ Delinquency: As of 6/30/17 1.4 % 1.2 % 0.6 % 0.6
Slide 12: Cash Flows
Cash Flows 2nd Quarter June YTD ($ in millions - unaudited) 2017 2016 2017 2016 Net cash provided by operating activities $ 127.1 $ 162.1 $ 319.5 $ 303.7 Net earnings 156.8 143.4 301.9 274.7 Depreciation and amortization 22.8 21.7 45.9 42.7 Changes in deferred income taxes (4.3) (15.1) 3.1 (5.
Slide 13: Balance Sheet
Balance Sheet July 1, December 31, ($ in millions - unaudited) 2017 2016 Trade & Other Accounts Receivable - net $ 645.3 $ 598.8 Days Sales Outstanding 66 63 Finance Receivables - net $ 1,495.1 $ 1,407.0 Contract Receivables - net $ 381.8 $ 374.8 Inventory - net $ 601.4 $ 530.5 Inventory turns - TTM