Slide 1: Array Technologies 3Q 2023 Earnings Call
November 7, 2023 Array Technologies 3Q 2023 Earnings Call 0
Slide 2: Disclaimer
Disclaimer Forward-Looking Statements and Other Information This presentation contains forward-looking statements that are based on our management’s beliefs and assumptions and on information currently available to our management. Forward-looking statements include information concerning our project
Slide 3: Business Update
Business Update Kevin Hostetler, CEO 2
Slide 4: Executive Summary
Executive Summary Highlights Selected Financials ($M) Operational improvements driving increased Revenue(1) Adjusted EBITDA(2) Adjusted EBITDA % profitability year-over-year $515.0 $55.4 $57.4 10.8% 16.4% Adjusted Gross Margin of 26.0%, an expansion $350.4 of 1000 bps from 3Q 2022 Adjusted EBI
Slide 5: Recent Company Updates
Recent Company Updates New Albuquerque Facility Services Portfolio Offering New 216,000 square-foot manufacturing Launched comprehensive Field Services and campus in Bernalillo county Customer Training to improve productivity and quality in the field Will enable further operational improvement
Slide 6: Financial Update
Financial Update Nipul Patel, CFO 5
Slide 7: 3Q 2023 Financial Results
3Q 2023 Financial Results 3Q Snapshot Y/Y Comparison Three Months Ended Revenue down 32% from volume due to anticipated September 30, 2023 project pushouts, ICMS reclassification, and ASP decline ($ in millions, except EPS Data) 2023 2022 Y/Y on lower input costs Revenue $350.4 $515.0 ($164.6) Gro
Slide 8: Updated FY 2023 Guidance
Updated FY 2023 Guidance Full Year Ending December 31, 2023 Segment Specifics $1.525 billion to $1.575 billion Revenue Prior: $1.65 billion to $1.725 billion Legacy Array STI Norland $280 million to $290 million Adjusted EBITDA(1) Prior: $280 million to $295 million $1.125 billion to $1.160 billion
Slide 9: Appendix
Appendix ARRAY
Slide 10: Adjusted Gross Profit Reconciliation
Adjusted Gross Profit Reconciliation ($ in thousands) Three Months Ended Nine Months Ended September 30, September 30, 2023 2022 2023 2022 Revenue 350,438 515,024 1,234,936 1,235,475 Cost of revenue 263,059 438,441 903,614 1,099,637 Gross profit 87,379 76,583 331,322 135,838 Amortization of develope
Slide 11: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation Three Months Ended Nine Months Ended ($ in thousands) September 30, September 30, 2023 2022 2023 2022 Net income (loss) $ 23,214 $ 40,644 $ 114,154 $ 9,683 Preferred dividends and accretion 13,091 12,257 38,359 36,045 Net income (loss) to common shareholders $ 10,123 $
Slide 12: Adjusted Net Income Reconciliation
Adjusted Net Income Reconciliation ($ in thousands) Three Months Ended Nine Months Ended September 30, September 30, 2023 2022 2023 2022 Net income (loss) $ 23,214 $ 40,644 $ 114,154 $ 9,683 Preferred dividends and accretion 13,091 12,257 38,359 36,045 Net income (loss) to common shareholders $ 10,1
Slide 13: Adjusted EPS Reconciliation
Adjusted EPS Reconciliation ($ in thousands, except per share amounts) Three Months Ended Nine Months Ended September 30, September 30, 2023 2022 2023 2022 Income (loss) per common share Basic $ 0.07 $ 0.19 $ 0.50 $ (0.18) Diluted $ 0.07 $ 0.19 $ 0.50 $ (0.18) Weighted average number of common share
Slide 14: Proforma Adjusted Gross Profit
Proforma Adjusted Gross Profit ($ in thousands) 1Q 2Q 3Q 4Q Full-Year 1Q 2Q 3Q 2022 2022 2022 2022 2022 2023 2023 2023 Revenue 300,586 419,865 515,024 402,071 1,637,546 376,773 507,725 350,438 Cost of revenue 277,638 383,558 438,441 325,190 1,424,828 279,233 361,322 263,059 Gross Profit 22,948 36,30