Transcat, Inc. · NASDAQ:TRNS
Transcat — Q1 FY2021 Earnings Presentation
14 slides from Transcat's earnings presentation, Jul 22, 2020
Slide 1: Q1 Financial Results Fiscal 2021
Q1 Financial Results Fiscal 2021 Lee D. Rudow President and CEO Michael J. Tschiderer Chief Financial Officer TRANSGAT Trust in every measure
Slide 2: Safe Harbor Statement
TRANSCAT ins: ‘in every measure Safe Harbor Statement This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not statements of historical fact and thus are subject to risks, uncertainties and as
Slide 3: Q1 FY21 Execution
TRANSCAT rastin ‘every measure Q1 FY21 Execution Exceeded expectations: generated $1.0M in operating income Gross margin expanded 50 basis points, despite 8% decline in revenue Achieved net income of $0.8 million, or $0.11 per diluted share Generated $4.0M in cash from operations TTE (which we refer
Slide 4: Revenue
TRANSCAT ‘rns: overy neti Revenue ($ in millions) Q1 Service Segment Consolidated — Annual ' ' $160.9 9173-1 = $169.6 ony $23.0 $143.9 9455-1 LJ LJ rr Q1 2020 Qi 2021 FY 2017 FY 2018 FY 2019 FY 2020. Q1FY21TTM @ Service © Distribution Q1 Distribution Segment Pipettes.com contributed $1.6M to consoli
Slide 5: Operating Income
TRANSCAT inst in every measure: Operating Income ($ in millions) Q1 Service Segment Consolidated — Annual 10. sua goo $102, pouaime _$0.9 $7.9 = $5.2 $5.7 eed $0.7 ae $5.2 . anes Q1 2020 Qi 2021 FY 2017 FY 2018 FY 2019 FY2020. Q1LFY21TTM @ Service © Distribution Q1 Distribution Segment $1.2 * Produc
Slide 6: Net Income & Diluted EPS
TRANSCAT ins: ‘in every measure Net Income & Diluted EPS ($ in millions, except EPS) Annual Quarterly 5 . ; | | ted Ee LU [nal FY 2017 FY 2018 FY 2019 FY 2020 aaah FY21 Q1 2020 Qi 2021 * Q1 FY21 included a discrete tax benefit due to tax accounting associated with share-based awards and stock option
Slide 7: Adjusted EBITDA and Margin
TRANSCAT ttn over measure Adjusted EBITDA* and Margin ($ in millions) Consolidated — Annual 17.8 $18.4 $18.0 16.4 sus = = Q1 Service Segment $2.9 $2.1 12.5% Q1 2020 Qi 2021 Q1 Distribution Segment $1.8 $0.6 Qi 2020 Qi 2021 FY 2017 FY 2018 FY 2019 FY 2020 Qi FY21TTM I Service © Distribution * Continu
Slide 8: Flexible Balance Sheet Supports Growth Strategy
Flexible Balance Sheet Supports Growth Strategy (Sin millions) [egies eiccah es “eh $23.6M available from credit facility as of 2) | June 27, 2020 Cash and cash equivalents S 04 $ 0.5 Paid down $1.8M of debt in Q1 ees ess Ee 1.50x leverage ratio at quarter-end Total net debt 28.2 29.8 (Total debt to
Slide 9: Cash Flow
TRANSCAT ttn over measure Cash Flow (Sin millions) $27.3M in working capital at quarter end Three Months Ended Inventory remained stable in Q1 June 27, June 29, 2020 2019 Accounts receivable decreased $3.1 million Capital investments were focused on technology and Service segment capabilities, and f
Slide 10: FY 2021 Outlook
TRANSGAT rnstin ‘every measure FY 2021 Outlook* * Believe we are in strong position to navigate this challenging environment * Believe highly-regulated Life Science and other critical industries will continue to provide a degree of resilience * Distribution segment sales more susceptible to current
Slide 11: Conference Call and Webcast Playback
TRANSCAT ‘srustin every measure Conference Call and Webcast Playback ¢ Replay Number: 412-317-6671 passcode: 13705865 * Telephone replay available through Wednesday, July 29, 2020 * Webcast / Presentation / Replay available at Transcript, when available, at
Slide 12: Supplemental Information
Supplemental Information TRANSGAT Trust in every measure
Slide 13: Adjusted EBITDA Reconciliation
Trust in every measure Adjusted EBITDA Reconciliation (Sin thousands) Qi Fy21 FY 2017 FY 2018 FY 2019 FY 2020 TT Net Income $ 4522 $ 5,922 $ 7,145 $ 8067 $ 7,147 + Interest Expense 719 1,018 903 934 914 + Other Expense / (Income) 51 60 91 186 164 +Tax Provision 2,642 2,026 2,090 1,663 1,631 Operatin
Slide 14: Segment Adjusted EBITDA Reconciliation
TRANSCAT ‘srustin every measure Segment Adjusted EBITDA Reconciliation (Sin thousands) qu ry21 FY 2017 Fy 2018 FY 2019 FY 2020 1™ Service Operating Income $ 4,769 $ 5,158 $ 5,202 $ 5,672 $ 6,063 +Depreciation & Amortization 4,660 4,397 4,754 4,929 5,103 +Restructuring Expense - - - - 193 +Other (Exp