Slide 1: Continuing our transformation
S E P T E M B E R 2 0 2 4 Continuing our transformation.
Slide 2: Creating High Performance Electronics for Tomorrow's Technology
Through a combination of application knowledge, design, materials technology, and advanced manufacturing, we deliver superior solutions for demanding applications. Creating High Performance Electronics for Tomorrow's Technology 2 $560M 2023 Pro Forma Revenue* 4,500 Employees 21% 2023 Pro Forma Adjus
Slide 3: Transforming Our Business to Yield Higher Growth and Higher Margins
3 T R A N S A C T IO N R E S U L T S Transforming Our Business to Yield Higher Growth and Higher Margins • In September 2024, Knowles signed a definitive agreement to sell its Consumer MEMS Microphones (“CMM”) business • Knowles: high-reliability, high-performance industrial technology company 2023
Slide 4: Diversified Across Attractive End Markets
Industrial / Other 23% Defense 21% 4 M A R K E T M IX 50K+ Customers Diversified Across Attractive End Markets 2023 Market Mix*Electrification / Energy 4% MedTech 52% $235M Revenue $93M Revenue $105M Revenue $18M Revenue Includes three major markets: MRI, Implantables, and Hearing Health * 2023 Mark
Slide 5: Product Offering
Precision Devices Superior ceramics know-how Thin film expertise Customized solutions MedTech & Specialty Audio Best audio Smallest size Lowest power High Reliability. High Performance. High Margins. 5 P R O D U C T O F F E R IN G High Performance Capacitors RF / Microwave Filters Hearing Health Sol
Slide 6: Operating Segments
6 O P E R A T IN G S E G M E N T S Precision Devices $221M 2023 Revenue 22% 2023 Adjusted EBITDA Margins* Delivering specialty high-performance components across a broad range of applications. Key Applications Defense Radar & Communications Medical Imaging Implantables Electric Vehicles MedTech & Sp
Slide 7: Capital Allocation to Drive Shareholder Value
• Proven ability to deliver strong cash flow driven by Mid-Single Digit revenue growth with expanding margins • Strong balance sheet supports growth and capital returns to shareholders • Liquidity of $300M+ to support acquisition growth – demonstrated capabilities to acquire and integrate • Expect t
Slide 8: Appendix
Appendix 8
Slide 9: Q3 2024 Guidance and Q4 Revenue Outlook
Q3 2024 GAAP earnings per share from continuing operations are expected to include approximately $0.06 per share in stock-based compensation expense, $0.04 per share in intangibles amortization expense, and $0.02 per share in acquisition related costs, and $0.02 from differences related to the GAAP
Slide 10: Strategically Restructured for Greater Returns
Strategically Restructured for Greater Returns 10 S U M M A R Y 2 CMM transaction changes the mix of our end markets eliminating consumer mobile market, transforming our business to yield higher growth and higher margins 3 Well positioned to drive shareholder value and support acquisition growth thr
Slide 11: Pro Forma Financials
Pro Forma Financials 11 A P P E N D IX Knowles Corporation Year Ended December 31, 2023 Consolidated Revenues Reconciliation Revenues $ 707.6 (-) Revenues from CMM (256.2) Revenues excluding CMM 451.4 + Revenues from Cornell Dubilier prior to acquisition 108.4 Pro forma revenues excluding CMM $ 559.
Slide 12: Pro Forma Financials
Pro Forma Financials 12 A P P E N D IX Knowles Corporation Year Ended December 31, 2023 Consolidated Adjusted EBITDA Reconciliation Operating earnings $ 51.1 Other expense, net 0.7 Earnings before interest and income taxes 50.4 Non-GAAP reconciling adjustments 55.4 Depreciation expense 33.0 Adjusted
Slide 13: Pro Forma Financials
Pro Forma Financials 13 A P P E N D IX Consumer MEMS Microphones (CMM) Year Ended December 31, 2023 Consolidated Adjusted EBITDA Reconciliation Operating earnings $ 9.0 Other expense, net — Earnings before interest and income taxes 9.0 Non-GAAP reconciling adjustments 9.9 Depreciation expense 14.3 A
Slide 14: For additional information, please contact
For additional information, please contact: Sarah Cook Vice President, Investor Relations investorrelations@knowles.com