Trimble Inc. · NASDAQ:TRMB

Trimble — Q2 2019 Earnings Presentation

12 slides from Trimble's earnings presentation, Jul 31, 2019

  1. Slide 1: Trimble Second Quarter 2019 Results Summary

    Trimble Second Quarter 2019 Results Summary

  2. Slide 2: Forward-looking statements

    Forward-looking statements Certain statements made in this presentation and any subsequent Q&A period are forward-looking statements, within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and are made pursuant to the safe harbor provisions of the Securities Litigation

  3. Slide 3: Agenda

    Agenda ▪ CEO Overview ▪ CFO Review of Results ▪ Guidance ▪ Q&A 3

  4. Slide 4: Second quarter 2019 overview

    Second quarter 2019 overview ▪ Second quarter non-GAAP revenue of $856 million, up 8% total, +3% organic, -2% FX ▪ Annualized recurring revenue of ≈$1.1 billion, up 28% Financial ▪ Adjusted EBITDA margins of 23.1%, up 10 basis points Highlights ▪ Free cash flow $287 million YTD, up 24% ▪ Deferred re

  5. Slide 5: Second quarter 2019 financial summary

    Second quarter 2019 financial summary $M, Except Per Share Second Quarter of Non-GAAP Income Statement Highlights 2018 2019 Y/Y Change ▪ Non-GAAP Revenue: +8% y/y; Revenue $789.3 $855.8 +8% – Organic +3% Gross Margin % of Revenue 57.3% 56.9% -40bps – Currency translation –2% Adjusted EBITDA $181.3 $

  6. Slide 6: Financial metric highlights

    Financial metric highlights Annualized recurring $1.8B in TTM software, services YTD free cash revenue ≈$1.1B and recurring revenue flow up +24% (+28% growth) (+27% growth) TTM research & development Approx. $1.1B backlog 14.3% of revenue (>65% of R&D in software) $452M deferred Net working capital

  7. Slide 7: Non-GAAP revenue by reporting segment

    Non-GAAP revenue by reporting segment TTM Growth $M Q2’19 Q2’19 vs. Q2’18 Growth % Key Factors CAGR % M&A/ Revenue Organic FX Total 1 Year 3 Year Divestiture  Strong organic growth in civil construction Buildings &  Subscription conversion in SketchUp exceeding expectations but $339.9 +7% +17% -2%

  8. Slide 8: Non-GAAP revenue by region

    Non-GAAP revenue by region % of Total % Change Q2’18 Q2’19 Y/Y Quarterly Y/Y TTM North America 53% 57% +17% +16% Europe 28% 28% +6% +12% Asia-Pacific 14% 10% -16% -2% Rest of World 5% 5% -0% +1% Total 100% 100% +8% +12% Figures may vary due to rounding. 8

  9. Slide 9: Non-GAAP revenue mix, trailing 12 month growth

    Non-GAAP revenue mix, trailing 12 month growth [ Recurring + Software & Services = SW, Services, Recurring ] + Hardware = Total Revenue $1,790M $1,506M $3,258M $1,058M $732M $1,468M $2,912M $806M $1,407M $601M TTM Q4'17 TTM TTMQ2’18 Q2’19 TTM Q4'18 TTM TTMQ2’18 TTMQ4'18 Q4'17 TTM Q2’19 TTM Q4'17 TTM

  10. Slide 10: Non-GAAP operating income by reporting segment

    Non-GAAP operating income by reporting segment TTM Growth $M, Non-GAAP Q2’19 TTM Q2’19 Q2’19 Y/Y Key Factors CAGR % Operating Operating Growth vs. Operating Operating 1 Year 3 Year income $ income % Q2’18 income $ income %  Revenue mix and acquisitions Buildings & Infrastructure $84.6 24.9% +20% $2

  11. Slide 11: Guidance and outlook

    Guidance and outlook ▪ Non-GAAP revenue of $789 to $819 million ▪ -2% to +2% total growth; -2% to +2% organic, +1% M&A, -1% FX Third ▪ Non-GAAP EPS of $0.45 to $0.49 per share Quarter 2019 ▪ Income from equity method investments ≈$9M ▪ Net interest expense ≈$19M ▪ Non-GAAP tax rate of 20%, 254M shar

  12. Slide 12: Q&A

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