Slide 1: Stoneridge, Inc. Fourth Quarter 2013 Earnings Release Presentation
1 Stoneridge, Inc . Fourth Quarter 2013 Earnings Release Presentation March 6, 2014 Exhibit 99.2
Slide 2: Forward Looking Statements
Statements in this presentation that are not historical facts (including, but not limited to, 2014 net sales guidance) are forward - looking statements, which involve risks and uncertainties that could cause actual events or results to differ materially from those expressed or implied by the stateme
Slide 3: Forward Looking Statements (cont'd)
Forward Looking Statements (cont’d) Also, see Rounding Differences Disclosure below These factors should not be construed as exhaustive and should be considered with the other cautionary statements in Stoneridge’s filings with the Securities and Exchange Commission. Forward - looking statements are
Slide 4: 2013 Targeted Goals & Objectives
2013 Targeted Goals & Objectives Top line growth – annual 6% to 8% goal Sustainable cost position with focus on continuous improvement Focused technology evolution to create new products and keep existing products competitive Strong Balance Sheet provides Stoneridge opportunities to make investments
Slide 5: 2013 Financial Highlights
2013 Financial Highlights 1.0% 38.2% 182.2% 180.0% Net Sales Op Income Net Income EPS Yr over Yr % Δ 2012 2013 Net Sales $938.5 $947.8 Operating Income $28.7 $39.7 Net Income $3.7 $15.1 EPS $0.20 $0.56
Slide 6: Sales by Segment – 4Q13 vs 4Q12
Sales by Segment – 4Q13 vs 4Q12 CD ELEC WIRING PST SRI CD ELEC WIRING PST SRI Pass Car / Light Truck 54.2 0.5 0.3 0.0 55.1 49.9 0.5 0.0 0.0 50.4 Med / HD Truck 9.1 49.4 33.4 0.0 91.9 6.1 39.7 40.7 0.0 86.6 Ag 4.0 0.0 30.0 0.0 34.0 3.7 0.5 30.3 0.0 34.6 PST / Other 4.6 1.8 2.8 45.8 54.9 4.4 0.7 1.6 4
Slide 7: Sales, Gross Profit, & Op Income – 4Q12 vs 4Q13
SRI SRI excl PST PST PST PPA SRI SRI 4Q12 4Q13 USD [millions] except per share data Actual Actual ∆ # ∆ % Net Sales 222.7 190.0 45.8 - 235.8 13.1 5.9% Cost of Goods Sold 168.1 153.8 28.2 0.3 182.3 14.2 8.4% Gross Profit 54.6 36.3 17.6 (0.3) 53.6 (1.0) (1.8%) Gross Profit % 24.5% 19.1% 38.4% 22.7% To
Slide 8: 4Q13 Sales Revenue by Business Unit
4Q13 Sales Control Devices $71.7 Electronics $51.7 Wiring $66.6 PST $45.8 PST (Brazil ): Est 2012: $185 - $197 million Revenue by Business Unit Consolidated Sales : $235.8 million 2012 Guidance Core Sales (excl PST) $755 – $765 million 30.4% 19.4% 21.9% 28.3% Automotive Aftermarket Commercial Vehicl
Slide 9: Sales by Segment – 4Q13 vs 3Q13
Sales by Segment – 4Q13 vs 3Q13 CD ELEC WIRING PST SRI CD ELEC WIRING PST SRI Pass Car / Light Truck 54.2 0.5 0.3 0.0 55.1 57.9 0.5 0.9 0.0 59.3 Med / HD Truck 9.1 49.4 33.4 0.0 91.9 8.4 43.3 38.3 0.0 90.0 Ag 4.0 0.0 30.0 0.0 34.0 4.0 0.0 30.5 0.0 34.6 PST / Other 4.6 1.8 2.8 45.8 54.9 2.7 1.1 2.2 4
Slide 10: 2013 Sales Revenue by Business Unit
2013 Sales Control Devices $291.2 Electronics $189.8 Wiring $288.3 PST $178.5 PST (Brazil ): Est 2012: $185 - $197 million Revenue by Business Unit Consolidated Sales : $947.8 million 2012 Guidance Core Sales (excl PST) $755 – $765 million 30.8% 18.8% 20.0% 30.4% Automotive Aftermarket Commercial Ve
Slide 11: Sales by Segment – 2013 vs 2012
Sales by Segment – 2013 vs 2012 CD ELEC WIRING PST SRI CD ELEC WIRING PST SRI Pass Car / Light Truck 225.3 2.8 2.0 0.0 230.1 203.4 3.6 0.6 0.0 207.6 Med / HD Truck 34.2 181.7 154.7 0.0 370.6 29.7 155.4 193.4 0.0 378.5 Ag 14.9 0.0 123.3 0.0 138.2 15.9 1.7 125.6 0.0 143.2 PST / Other 16.9 5.2 8.3 178.
Slide 12: 4Q12 vs 4Q13 EPS Bridge
4Q12 vs 4Q13 EPS Bridge PST Impacts SRI ex PST TOTAL Volume 0.01 0.09 0.10 Mix / Direct Material / SGA / OH (0.04) (0.05) (0.09) Copper 0.00 0.03 0.03 FX 0.00 0.05 0.05 Wiring Labor / Other 0.00 (0.16) (0.16) Tax 0.00 (0.03) (0.03) PST PPA / Int. 0.01 0.00 0.01 TOTAL (0.02) (0.07) (0.09) 0.01 0.01 (
Slide 13: PST Purchase Price Accounting Expense [Non Cash]
PST Purchase Price Accounting Expense [Non Cash] (millions) Q1 Q2 Q3 Q4 Full Year 2012 1Q 2Q 3Q 4Q Full Year 2013 COGS / DM Inventory Write Up $1.8 $1.4 $0.0 $0.0 $3.2 $0.0 $0.0 $0.0 $0.0 $0.0 COGS / Depreciation – Fixed Asset Write Up $0.4 $0.3 $0.3 $0.3 $1.3 $0.3 $0.3 $0.3 $0.3 $1.2 SGA / Amortize
Slide 14: Improving Direct Material Costs in 2H12
Improving Direct Material Costs in 2H12 1Q12 2Q12 1 st Half 3Q12 4Q12 2 nd Half FY 2012 1Q13 2Q13 3Q13 4Q13 FY 2013 SRI excl PST Direct Material 56.2% 56.7% 56.4% 56.0% 54.9% 55.4% 56.0% 53.9% 53.7% 54.5% 53.9% 54.0% PST Direct Material * 38.0% 37.8% 37.9% 37.0% 32.1% 34.5% 36.2% 34.9% 35.6% 40.5% 4
Slide 15: Cash Flow Summary
USD [millions] 2011 1Q12 2Q12 3Q12 4Q12 2012 1Q13 2Q13 3Q13 4Q13 2013 Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Actual Beginning Cash 72.0 78.7 42.9 39.2 35.6 78.7 44.6 46.7 37.0 46.1 44.6 Consolidated Net Income 45.5 5.7 (5.3) 0.6 2.7 3.7 4.3 6.4 5.5 0.3 16.5 Depreciatio
Slide 16: Debt / Net Debt
Debt / Net Debt (millions USD) 2011 1Q12 2Q12 3Q12 2012 1Q13 2Q13 3Q13 2013 Total Debt $267.1 $253.2 $244.9 $222.3 $201.4 $211.2 $199.3 $196.7 $197.2 Net Debt $188.4 $210.2 $205.8 $186.7 $156.8 $164.4 $162.3 $150.6 $134.4 Total Debt / LTM Adj.EBITDA 3.5 x 1 2.9 x 3.2 x 2.7 x 2.6 x 2.7 x ABL Balance
Slide 17: 2014 Guidance
2014 Guidance 17 Sales: $994 - $1,083 Gross Margin: 25.5% - 27.0% Op Margin*: 5.3% - 6.3% EPS: $0.80 - $1.00 EBITDA Margin: 8.9% - 9.8% Reconciliation of Operating Margin to EBITDA Margin Operating Margin 5.3% - 6.3% Depreciation 3.1% - 3.0% Amortization 0.5% - 0.5% EBITDA Margin 8.9% - 9.8% EBITDA
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