Lci Industries · NYSE:LCII
Lci Industries — Q2 2024 Earnings Presentation
14 slides from Lci Industries's earnings presentation, Aug 6, 2024
Slide 1: LCI Industries Q2 2024 Earnings Conference Call
LCI Industries Q2 2024 Earnings Conference Call August 6, 2024 1
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains certain “forward-looking statements” with respect to our financial condition, results of operations, profitability, margin growth, business strategies, operating efficiencies or synergies, competitive position, growth opportunities, acquisitions,
Slide 3: Second Quarter 2024 Highlights
Second Quarter 2024 Highlights Delivered revenue growth and strong margin expansion Financial Performance Balanced Capital Allocation ■ Net sales of $1.1 in the second quarter, up 4% year- ■ Improved liquidity position with $130 million of cash and over-year cash equivalents and $373 million of avai
Slide 4: RV OEM
RV OEM Performance and Trends • 82,000 wholesale towable units shipped in Q2 2024, up 15% YoY • 96,400 estimated retail towable units sold in Q2 2024, down 12% YoY ◦ Implied reduction of dealer inventories of 14,400 for the quarter • Q2 2024 RV OEM sales up 20% YoY • Our current full year 2024 North
Slide 5: Innovation Driving RV Content Growth, Share Gains
Innovation Driving RV Content Growth, Share Gains Key 2025 Model Year Product Wins CURT® HeluxTM Series Furrion® 18K Chill Cube Touring Coil Coil Spring Pin Boxes Air Conditioner Suspension Sequential Towable Content Growth (LTM) YoY Towable Content Growth (LTM) +1% +1% * "Other" includes impact of
Slide 6: Adjacent Industries OEM
Adjacent Industries OEM Performance and Trends • Q2 2024 Adjacent Industries sales down 12% YoY • Decrease primarily due to lower sales to North American marine and utility trailer OEMs ◦ Pressured by current dealer inventory levels, inflation, and elevated interest rates impacting retail consumers
Slide 7: Aftermarket Segment
Aftermarket Segment Performance and Trends • Q2 2024 sales up 1% year over year, driven by market share gains in the automotive aftermarket, partially offset by the impacts of inflation and elevated interest rates on consumers' discretionary spending and softness in the marine aftermarket • 120 bps
Slide 8: International Business
International Business Performance and Trends • Q2 2024 international sales1 down 1% YoY, primarily driven by softening of marine and RV markets and elevated interest rates impacting lending, partially offset by strength in rail market • Maintaining focus on introducing popular European products in
Slide 9: Innovation Driving Growth
Innovation Driving Growth DoubleCOOL Acrylic ABS (Anti-Lock Braking CURT® HeluxTM Series OneControl® Auto Touring Coil Cooling Solutions System) Coil Spring Pin Boxes featuring True Course Suspension Furrion® 18K Chill Cube Solera® 3000 Off-Grid Titan Leveling Systems SureShade® Forward New Window D
Slide 10: Growth Strategy
Growth Strategy Maintaining strong balance sheet while also investing in innovation and growth Balanced Capital Allocation Continue Execution of our Strategy Diversification Strategy • Reducing leverage • Expanding market share beyond our RV OEM channel to increase stability and deliver shareholder
Slide 11: Q2 2024 Financial Performance
Q2 2024 Financial Performance +4% +320 bps +83% +39% * Additional information regarding EBITDA, as well as reconciliation of this non-GAAP financial measure to the most directly comparable GAAP financial measure, is provided in the Appendix. 11
Slide 12: Liquidity and Cash Flow
Liquidity and Cash Flow As of and for the six months ended June 30 2024 2023 Cash and Cash Equivalents $130M $22M Remaining Availability under Revolving Credit $373M $270M Facility(1) Capital Expenditures $21M $34M Dividends $53M $53M Debt / Net Income (TTM) 6.8x 11.1x Net Debt/EBITDA (TTM)(2) 2.1x
Slide 13: Appendix: Reconciliation of Non-GAAP Measures
Appendix Reconciliation of Non-GAAP Measures EBITDA Three Months Ended June 30, Six months ended June 30, Twelve months ended June 30, ($ in thousands) 2024 2023 2024 2023 2024 2023 Net income $ 61,163 $ 33,426 $ 97,708 $ 40,685 $ 121,218 $ 84,948 Interest expense, net 7,962 10,249 17,283 20,643 37,
Slide 14: Q&A
LCI INDUSTRIES Q&A 14