Slide 1: IMI Analyst Briefing 2023 Q3
IMI Analyst Briefing 2023 Q3 November 8, 2023 Online
Slide 2: Global Economic Outlook
Global Economic Outlook
Slide 3: Economic Growth Figures
Economic Growth Figures • Slight contraction in growth 3.5 3.0 2.9 forecasts as geopolitical 3.5 conflicts continue to worsen 0.7 1.2 • Eurozone most significantly WORLD 2022 2023 2024 Eurozone affected by reduction in growth figures • Some recovery in China for Q3 based on stimulus-related optimism
Slide 4: Global Manufacturing PMI and Electronics PMI
GLOBAL ECONOMY AND OPERATING ENVIRONMENT Global Manufacturing PMI and Electronics PMI Global Manufacturing Output business optimism Electronics PMI Companies continue to manage working continues to dip due to low demand, leading to further cuts in output, capital levels and seek to reduce elevated l
Slide 5: Continued Growth in EV Market
Continued Growth in EV Market • Accelerating adoption to Electric Vehicles being seen in most economies • Increased electronic content in each Electric Vehicle contributes directly to the growth of IMI’s mobility segment • Aside from electric power components, EV’s also typically use more ADAS produ
Slide 6: Financials
Financials
Slide 7: 2023 Q3 Segment Updates
2023 Q3 Segment Updates ➢ Automotive: • New business wins in key mobility technologies starting to contribute to segment growth. Another $161M of ARP won '22 Q3 '23 Q3 Y/Y% '22 9M '23 9M Y/Y% YTD will bolster IMI’s position in the global market. Auto 186.0 209.0 12% 546.4 610.0 12% • European automo
Slide 8: 2023 Q3 Region Updates
2023 Q3 Region Updates ➢ Philippines: • Industrial segment customers clearing excess inventory in their supply chain, leading to pushout of orders. Some recovery in Q4 '22 Q3 '23 Q3 Y/Y% '22 9M '23 9M Y/Y% expected as Zero Electric Motorcycle project ramps up • $1.24M YTD of cost reductions realized
Slide 9: 2023 9M Group Program Wins
2023 9M Group Program Wins Win Location - 2023 8 79 9 23% 165 80 247 42% 161 32% 76 3% 2022 2023 Philippines China E. Europe MX Mobility Industrial Others *Wins in US$ of Annual Revenue Potential Win Location - 2022 Notable Wins in 2023 Steering System Mobility Mexico 25% 32% Electric Motorcycle Mot
Slide 10: 2023 Q3 Performance (Non-GAAP)
2023 Q3 Performance (Non-GAAP) Revenue and Gross Profit Margin 9.6% 8.5% Operating Income 8.6% 8.5% 380 11. 0% 7.5% 360 9.0 % 1.7% 2.5% 0.9% 1.3% 340 12.0 0.0% 7.0 % 320 5.0 % 7.0 300 5.9 4.6 8.5 (0.1) 3.0 % 3.4 280 2.0 1.0 % 260 '22Q3 '22Q4 '23Q1 '23Q2 '23Q3 (3 .0) 351 367 347 345 341 -1.0% 240 220
Slide 11: 2023 Q3 Performance Non-GAAP
2023 Q3 Performance Non-GAAP Wholly Owned Subsidiaries Non Wholly Owned Subsidiaries 332 102 282 82 232 Revenue 62 182 132 42 82 22 275 288 276 282 277 76 79 71 63 63 32 2 '22Q3 '22Q4 '23Q1 '23Q2 '23Q3 (1 8) '22Q3 '22Q4 '23Q1 '23Q2 '23Q3 2.2% 1.6% 1.9% 7.0 5.0 % -18 - 1.0% '22Q3 '22Q4 '23Q1 '23Q2 '2
Slide 12: Capital Structure
Capital StructureLong Term Long Term Debt Debt 21% 22% Common Common Equity Dec Equity Sep 45% 52% Short Term 2022 2023 Debt Short Term 27% Debt 33% Dec Sep Dec Sep (US$ Millions) Key Financial Ratios 2022 2023 2022 2023 Short-Term Debt 192.7 218.8 Current ratio 1.51 1.41 Long-Term Debt 150.4 145.5
Slide 13: Disciplined Capital Investments
Disciplined Capital Investments 38.8 7.0 31.0 0.7 5.0 $18.6M 12.2 21.2 2023 9M 8.3 18.7 7.7 3.8 2.2 4.5 3.8 3.1 1.8 0.0 2.3 3.1 4.7 12.8 4.3 2.8 8.8 1.9 Buildings………....…..… .........7% Machinery………..….….........37% 3.3 2.4 Furn & Fix………...............……5% Constr. in progress….....…..47% 2019 2020 2
Slide 14: Key Takeaways
Key Takeaways • Sale of STI to Rcapital successfully closed in October 2023. Moving forward, STI financials will no longer be consolidated into IMI results. • Expect normalization of operating environment going into 2024 albeit slower market growth expectation which would benefit IMI in terms of mit
Slide 15: connect with us
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