Slide 1: Second Quarter 2024 Earnings Presentation
Second Quarter 2024 Earnings Presentation First Quarter 2024 Earnings| 1
Slide 2: Safe Harbor Statement
SAFE HARBOR STATEMENT This presentation contains forward-looking statements that involve risks and uncertainties and are generally identifiable through the use of words such as “anticipate,” “estimate,” “expect,” “intend,” “believe,” “will likely result,” “outlook,” “project,” “may,” “can,” “plan,”
Slide 3: Q2 2024 Results at a glance
Q2 2024 Results at a glance (QTD, $ in millions) Net Sales Gross Profit $1,769.8 $530.1 -5% vs Q2 2023 -7% vs Q2 2023 Gross Margin 30.0% -60 bps vs Q2 2023 Operating Income Diluted EPS (GAAP) $271.5 $4.99 -17% vs Q2 2023 -16% vs Q2 2023 Operating Margin Diluted EPS (ex-ASU) 15.3% $4.98 -15% vs Q2 20
Slide 4: Q2 2024 POOLCORP Sales Summary
Q2 2024 POOLCORP SALES SUMMARY QTD Sales Performance Pool Corp Q2 2024 Net Sales -5% Sales by State Q2 2024 Horizon Q2 2024 FL -1% Net Sales -6% CA -5% TX -6% Europe Q2 2024 AZ -8% Net Sales -11% Growth in maintenance offset by lower spend on discretionary items Second Quarter 2024 Earnings | 4
Slide 5: Products & End Markets – QTD Results
Q2 2024 POOLCORP SALES SUMMARY Products & End Markets – QTD Results Product Q2 2024 End Market Q2 2024 Chemicals +1% Commercial +16% Building Materials -10% Retail -6% Equipment Flat Pinch A Penny2 +4% Pool 360 & Network Expansion Pool 360 Sales % of Total Sales Total Sales Centers Pinch A Penny Tot
Slide 6: Estimated Quarterly Impacts
ESTIMATED QUARTERLY IMPACTS Q2 2023 Q2 2024 Q2 2023 Q2 2024 Sales 1% Net Price Sales Gross Margin Gross Margin 31% 4% $2.1B Price 30.6% 30.0% 30% 2% $1.9B 2% Supply Chain 0% $1.7B 29% -1% -1% Inv. Commodity Horizon & Avg. 28% Pricing Europe $1.8B Cost -2% $1.5B $1.9B -5% -4% $1.3B 27% Prod. Mix New
Slide 7: Quarterly Financial Trends
QUARTERLY FINANCIAL TRENDS Net Sales & Y/Y Sales Change % Gross Profit & Gross Margin ($ in millions) ($ in millions) $2,400 $720 32.4% 15% 30.6% $2,000 -10% -5% $600 31.2% 30.0% 14% $1,600 -9% $480 29.1% 30.6% 1 6% -15% -7% 2 30.2% $1,200 -8% $360 28.8% 29.3% $800 $240 $400 $120 $0 $0 Q2 Q3 Q4 Q1 Q
Slide 8: Balance Sheet, Cash Flow & Capital Allocation
BALANCE SHEET, CASH FLOW & CAPITAL ALLOCATION As of and through June 30, 2024 2024 Capital Allocation ($ in millions) Cash Flow from Capital Operating Inventory Expenditures Activities $172M $97M Decrease vs. Q2 2023 Share Repurchases Change from Q2 2023 impacted by timing of $34.9 $4.4 Acquisitions
Slide 9: 2024 Expectations
2024 EXPECTATIONS 2024 Earnings Driver 2024 Expected Range (1) Net Sales Full year trend similar to June YTD Inflation/pricing +2% to 3% (-1% commodities for +1% to 2% overall) Maintenance from installed base Flat to slight growth New construction units Down 15% to 20% Renovation and remodel activit
Slide 10: Appendix
Appendix Second Quarter 2024 Earnings| 10
Slide 11: Appendix: Reconciliations of non-GAAP financial measures
APPENDIX Reconciliations of non-GAAP financial measures Three Months Ended Six Months Ended June 30, June 30, June 30, June 30, Reconciliation of Reported Diluted EPS to Adjusted Diluted EPS 2024 2023 2024 2023 Reported Diluted EPS $ 4.99 $ 5.91 $7.03 $8.48 Less: Per diluted share effect of applicat