Lci Industries · NYSE:LCII
Lci Industries — Q3 2023 Earnings Presentation
13 slides from Lci Industries's earnings presentation, Nov 7, 2023
Slide 1: LCI Industries Q3 2023 Earnings Conference Call
LCI Industries Q3 2023 Earnings Conference Call November 7, 2023 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, business strategies, operating efficiencies or synergies, competitive position, growth opportunities, acquisitions, plans and objectives of manag
Slide 3: Third Quarter 2023 Highlights
Third Quarter 2023 Highlights Executing on diversification to enhance results and ensure stability Financial Performance Executing on Diversification ■ Net sales of $1.0 billion in the third quarter, ■ Resilience in Aftermarket and down 15% year-over-year international supporting performance ■ Net i
Slide 4: RV OEM
RV OEM Quarterly Performance • Current 2023 North American forecast of 295 - 305k wholesale units; 73,300 wholesale units shipped in Q3 2023 • Q3 2023 RV OEM sales down 26% YoY primarily due to softened retail demand • Retail continues to outpace wholesale shipments, demonstrating disciplined produc
Slide 5: Aftermarket
AFTERMARKET Quarterly Performance • Q3 2023 sales up 5% year over year, as distribution channel inventories stabilized • Meaningful YOY margin expansion in Q3 driven by decreased commodity costs and leveraging of fixed costs over larger sales and production volume • Innovation driving ongoing portfo
Slide 6: Adjacent Markets
ADJACENT MARKETS Quarterly Performance • Q3 2023 Adjacent Industries sales down 11% YoY • Decrease driven by declines in the Marine market due to inflation and rising interest rates impacting retail consumers • Strength in other adjacent markets such as transit have lessened the impact from lighter
Slide 7: International Business
INTERNATIONAL BUSINESS Quarterly Performance • Q3 2023 sales up 7% YoY • Maintaining focus on introducing popular European products in North American markets, including window blinds, pop top, and B-vans • International results include RV OEM, Adjacent Industries OEM, and Aftermarket net sales • Con
Slide 8: Innovation as a Culture
INNOVATION AS A CULTURE Constant innovation continues to drive long-term content expansion DoubleCOOL Acrylic ABS (Anti-Lock Braking CURT® Enhanced Pin OneControl® Auto Independent Cooling Solutions System) Box Solutions featuring True Course™ Suspension Furrion® 18K Chill Cube Solera® 3000 Off-Grid
Slide 9: Growth Strategy
GROWTH STRATEGY Prioritizing ample liquidity and investments back into the company Balanced Capital Allocation Strategy Continue Execution of our • Reduce leverage Diversification Strategy • Investment in the business, with focus on automation • Lessen the impact from RV down cycles by further proje
Slide 10: Q3 2023 Financial Performance
Q3 2023 FINANCIAL PERFORMANCE * 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. 10
Slide 11: Liquidity and Cash Flow
LIQUIDITY AND CASH FLOW As of and for the nine months ended September 30 2023 2022 Cash and Cash Equivalents $31M $23M Remaining Availability under Revolving Credit $179M $369M Facility(1) Capital Expenditures $50M $104M Dividends $80M $76M Debt / Net Income (TTM) 18.6x 2.1x Net Debt/EBITDA (TTM) 3.
Slide 12: Appendix: Reconciliation of Non-GAAP Measures
APPENDIX Reconciliation of Non-GAAP Measures EBITDA Three Months Ended September 30, ($ in thousands) 2023 2022 Net Income $ 25,887 $ 61,392 Interest Expense, Net 10,325 6,910 Provision for Income Taxes 9,378 19,273 Depreciation and Amortization 33,269 32,247 EBITDA $ 78,859 $ 119,822 EBITDA is a no
Slide 13: Q&A
LCI INDUSTRIES Q&A 13