EnerSys · NYSE:ENS
EnerSys — ESG Presentation (March 2023)
25 slides from EnerSys's sustainability presentation, Mar 6, 2023
Slide 1: Corporate Responsibility ESG Update
Corporate Responsibility ESG Update MARCH 6, 2023 March 2023 © 2023 EnerSys. All Rights Reserved.
Slide 2: Forward Looking Statements
Forward Looking Statements As a reminder, we will be presenting certain forward-looking statements on this call that are based on Management’s current expectations and views regarding future events and operating performance and are subject to uncertainties and changes in circumstances. Our actual re
Slide 3: EnerSys at a Glance (NYSE: ENS)
EnerSys at a Glance (NYSE: ENS) L EAD IN G PR O VID ER O F D IF F ER EN T IAT ED EN ER G Y SO L U T IONS $3.4bn2 7.9%2 $4.472 ~11.4k2 10k+2 22%2 Sales Adj. Op. Earnings1 Margin Adj. Diluted EPS1 Total Employees Customers Market Share3 FY’22 SALES BY GEOGRAPHY GLOBAL FACILITY BASE4 Asia 7% EMEA 24% A
Slide 4: Technology Driven Portfolio Transformation
Technology Driven Portfolio Transformation 2010 2022 ▪ Traditional lead acid ▪ Integrated technology Growth Opportunities battery company solutions across energy ▪ Expand capacity for storage, power & premium products electronics, and software ▪ Grow Motive Power ▪ Narrow set of end markets & servic
Slide 5: Leveraging Our Platforms Across All Segments
Leveraging Our Platforms Across All Segments 3 Core Technology Platforms 3 Business Segments 8 End Markets Telecom Networks Energy Systems Broadband Cable Power Industrial Power and Utilities Electronics Energy Renewable Energy Storage Motive Power Premium (Flooded, TPPL, Data Centers Lithium-ion) E
Slide 6: Disciplined & Balanced Capital Allocation
Disciplined & Balanced Capital Allocation Capital Allocation FY’18 – FY’22 FY’23 YTD Healthy Balance Sheet (cumulative) Priorities $ millions $ millions • 2 – 3x target leverage Invest in Organic • ~$300M cash and cash equivalents 1 Growth (CapEx) ~$390 ~$58 • Strong cash generation outpaced by stra
Slide 7: Our Sustainability Journey
Our Sustainability Journey July 2021 December April 2022 2H 2020 Launched 2021 Published 2025 Established full-time inaugural Published inaugural GRI and December 2022 Target date for 2021 Sustainability Team; joined diversity supplemental SASB-aligned Published first environmental Sustainability 2H
Slide 8: Our Sustainability Strategy
Our Sustainability Strategy $ 4 M A N N U A L C A P I TA L A L L O C AT I O N O V E R T H E N E X T 5 Y E A R S Our Progress to Date Future Aspirations 1 ■ Detailed tracking of key environmental metrics including Scope 1 & 2; Scope 3 emission ■ Targeting 25% reduction in energy intensity by 2030 (vs
Slide 9: Environmental Stewardship
1 Environmental Stewardship COMMITTED TO ACTING AS A RESPONSIBLE INDUSTRY LEADER Topic Our Practices / Commitments 2022 Highlights External Initiatives ■ Aim to reduce direct / indirect emissions by ■ Set climate targets for Scope 1 and Scope 2 increasing operational efficiency and exploring ■ Budge
Slide 10: Our People and Community
2 Our People and Community OUR COMMITMENT TO OUR PEOPLE Topic Our Practices / Commitments 2022 Highlights ■ Undertake efforts to monitor and reduce acute and chronic exposures WORKFORCE in the workplace ■ Richmond, KY facility honored with the Governor’s Safety and Health Award for HEALTH AND achiev
Slide 11: Sustainability Governance
3 Sustainability Governance W E TA K E O U R R E S P O N S I B I L I T Y A S A C O R P O R AT E C I T I Z E N S E R I O U S LY ESG OVERSIGHT AT ENERSYS SUPPLY CHAIN MANAGEMENT ■ Formal Workforce Labor Rights Policy and Corporate Social Responsibility and Human Rights Policy in place BOARD OF DIRECTO
Slide 12: Sustainability of Products and Services
4 Sustainability of Products and Services OUR POWER SOLUTIONS ENABLE THE TRANSITION TO A LOW CARBON ECONOM Y SUSTAINABILITY IN OUR CORE BUSINESSES PRODUCT AND SERVICE APPLICATIONS ACROSS THE INDUSTRIES WE SERVE Energy Systems Aerospace & Specialty Cable Broadband Communication Networks Data Centers
Slide 13: Corporate Governance
Corporate Governance O U R R E P U TAT I O N F O R B U I L D I N G R E L I A B L E P R O D U C T S A N D S O L U T I O N S I S R O O T E D I N O U R S T R O N G C O R P O R AT E G O V E R N A N C E BOARD BOARD BOARD STOCK OWNERSHIP / INDEPENDENCE PRACTICES ACCOUNTABILITY COMPENSATION ■ Independent B
Slide 14: Board of Directors
Board of Directors E X P E R I E N C E D L E A D E R S F R O M A R A N G E O F R E L E VA N T B A C K G R O U N D S Arthur Katsaros* David Shaffer Caroline Chan Former Group Vice President Vice President and General Manager President and CEO, (Development and Technology), (Network Business Incubator
Slide 15: Board Commitment to Diversity
Board Commitment to Diversity O U R B O A R D P R I O R I T I Z E S A N D VA L U E S D I V E R S I T Y AGE1 TENURE1 GENDER / RACE / ETHNICITY1 <60 60-70 < 6 Years Years Old Years Old 45% 55% 27% 36% of Directors are Female and/or Ethnically Diverse >70 > 10 Years 6 –10 Years Years Old 36% 18% 18% 1.
Slide 16: Board Evaluation and Refreshment
Board Evaluation and Refreshment C O M M I T M E N T T O R E G U L A R R E F R E S H M E N T T O E V O LV E O U R B O A R D PROCESS OVERVIEW ■ Robust Board evaluation and refreshment process in place ■ Regularly evaluate mix of Board attributes, skills and experiences in the context of our strategy
Slide 17: Board Committees and Risk Oversight
Board Committees and Risk Oversight OUR APPROACH TO COMMITTEE COMPOSITION AND RESPONSIBILITIES BOARD ROLE IN RISK OVERSIGHT ■ Receives regular reports from management’s risk committee on any identified materials risks and reviews AUDIT COMMITTEE ■ Full Board oversees various and discusses policies a
Slide 18: Executive Compensation Philosophy and Design
Executive Compensation Philosophy and Design C O M M I T T E D T O A L I G N I N G O U R C O M P E N S AT I O N W I T H S T O C K H O L D E R I N T E R E S T S INCENTIVES ALIGNED WITH BUSINESS GOALS FY 2022 TARGET COMPENSATION MIX Type of Pay Goals Metrics CEO 60% 20% Expense Control Operating Free
Slide 19: Compelling EnerSys Investment Case
Compelling EnerSys Investment Case BUILDING BLOCKS FOR CONTINUED SUCCESS 1 Provider of highly differentiated energy solutions 2 Full suite of technologies for a diverse set of end markets 3 Strategically aligned to large and growing markets fueled by industry megatrends 4 Healthy balance sheet with
Slide 20: Appendix
Appendix March 2023 © 2023 EnerSys. All Rights Reserved.
Slide 21: Non-GAAP Reconciliations
Non-GAAP Reconciliations March 2023 © 2023 EnerSys. All Rights Reserved.
Slide 22: Non-GAAP Reconciliation
Non-GAAP Reconciliation F Y ’ 2 2 A D J U S T E D O P E R AT I N G E A R N I N G S March 2023 © 2023 EnerSys. All Rights Reserved. 22
Slide 23: Non-GAAP Reconciliation
Non-GAAP Reconciliation FY’22 ADJUSTED DILUTED EPS March 2023 © 2023 EnerSys. All Rights Reserved. 23
Slide 24: Non-GAAP Reconciliation
Non-GAAP Reconciliation FY’22 ADJUSTED DILUTED EPS (CONTINUED) March 2023 © 2023 EnerSys. All Rights Reserved. 24
Slide 25: Thank you.
Thank you. For more information visit us at enersys.com EnerSys Global Headquarters EnerSys EMEA EnerSys APAC 2366 Bernville Road EH Europe GmbH 152 Beach Road Reading, PA 19605 | USA Baarerstrasse 18 Gateway East Building #11- 03 Tel. +1-610-208-1991 6300 Zug Singapore +1-800-538-3627 Switzerland 1