Slide 1: Quarterly Financial Review Third Quarter 2022
Quarterly Financial Review Third Quarter 2022
Slide 2: Q3-2022 Quarterly Review
Q3-2022 Quarterly Review © 2022 Snap-on Incorporated
Slide 3: Cautionary Statement
Cautionary Statement ▪ These slides should be read in conjunction with comments from the October 20, 2022 conference call. The financial statement information included herein is unaudited. ▪ Statements made during the October 20, 2022 conference call and/or information included in this presentation
Slide 4: Nick Pinchuk
Nick Pinchuk Chairman and Chief Executive Officer
Slide 5: Aldo Pagliari
Aldo Pagliari Senior Vice President and Chief Financial Officer
Slide 6: Consolidated Results
Consolidated Results Q3 2022 Q3 2021 ($ in millions, except per share data - unaudited) $ % $ % Change Net sales $ 1,102.5 $ 1,037.7 6.2 % ➢ Organic sales 103.9 10.4 % ➢Currency translation (39.1) (4.2)% Gross profit $ 532.6 48.3 % $ 520.7 50.2 % Operating expenses 309.1 28.0 % 319.4 30.8 % Operatin
Slide 7: Commercial & Industrial
Commercial & Industrial ($ in millions - unaudited) Q3 2022 Q3 2021 Change Segment sales $ 356.8 $ 351.4 1.5 % ➢ Organic sales 26.2 7.9 % ➢ Currency translation (20.8) (6.4)% Gross profit $ 131.8 $ 134.1 % of sales 36.9 % 38.2 % Operating expenses $ 79.5 $ 80.5 % of sales 22.2 % 22.9 % Operating ear
Slide 8: Snap-on Tools
Snap-on Tools ($ in millions - unaudited) Q3 2022 Q3 2021 Change Segment sales $ 496.6 $ 471.4 5.3 % ➢ Organic sales 34.1 7.4 % ➢ Currency translation (8.9) (2.1)% Gross profit $ 223.2 $ 215.9 % of sales 44.9 % 45.8 % Operating expenses $ 121.0 $ 117.7 % of sales 24.3 % 25.0 % Operating earnings $ 1
Slide 9: Repair Systems & Information
Repair Systems & Information ($ in millions - unaudited) Q3 2022 Q3 2021 Change Segment sales $ 414.0 $ 364.4 13.6 % ➢ Organic sales 60.8 17.2 % ➢Currency translation (11.2) (3.6)% Gross profit $ 177.6 $ 170.7 % of sales 42.9 % 46.8 % Operating expenses $ 82.2 $ 87.4 % of sales 19.9 % 23.9 % Operati
Slide 10: Financial Services
Financial Services ($ in millions - unaudited) Q3 2022 Q3 2021 Change Segment revenue $ 87.3 $ 87.3 - % Operating earnings $ 66.4 $ 70.6 (5.9)% Originations $ 300.2 $ 269.3 11.5 % ▪ Originations increased $30.9 million or 11.5% ▪ Average yields on finance receivables were 17.7% and 17.8% in 2022 and
Slide 11: Financial Services Portfolio Data
Financial Services Portfolio Data United States International Extended Extended ($ in millions - unaudited) Credit Total Credit Total Gross finance portfolio $ 1,562.5 $ 1,968.7 $ 185.1 $ 258.8 Portfolio net losses (TTM) $ 39.4 $ 40.8 $ 2.8 $ 3.3 60+ Delinquency: As of 9/30/22 1.5 % 1.3 % 0.8 % 1.0
Slide 12: Cash Flows
Cash Flows 3rd Quarter September YTD ($ in millions - unaudited) 2022 2021 2022 2021 Net cash provided by operating activities $ 129.9 $ 186.4 $ 464.6 $ 743.9 ➢ Net earnings 229.5 201.5 689.4 612.3 ➢ Depreciation and amortization 24.4 24.9 75.5 75.1 ➢ Changes in deferred income taxes (7.0) (0.6) (14
Slide 13: Balance Sheet
Balance Sheet October 1, January 1, ($ in millions - unaudited) 2022 2022 Trade & Other Accounts Receivable - net $ 739.0 $ 682.3 Days Sales Outstanding 60 58 Finance Receivables - net $ 1,687.3 $ 1,656.3 Contract Receivables - net $ 488.8 $ 488.6 Inventory - net $ 955.1 $ 803.8 Inventory turns - TT
Slide 14: Snap-on Makers + Fixers