Clearfield, Inc. · NASDAQ:CLFD

Clearfield — Q2 2018 Earnings Presentation

18 slides from Clearfield's earnings presentation, Apr 26, 2018

  1. Slide 1: Fiscal Q2 2018 Earnings Call FieldReport

    NASDAQ:CLFD Leader in Fiber Optic Management and Connectivity Solutions Fiscal Q2 2018 Earnings Call FieldReport April 26, 2018 NASDAQ : CLFD

  2. Slide 2: Important Cautions Regarding Forward-Looking Statements

    NASDAQ:CLFD Important Cautions Regarding Forward - Looking Statements • Forward - looking statements contained herein and in any related presentation or in the FieldReport are made pursuant to the safe harbor provisions of the Private Litigation Reform Act of 1995. Words such as “may,” “will,” “expe

  3. Slide 3: Welcome

    NASDAQ:CLFD Welcome 3 Cheri Beranek President & CEO

  4. Slide 4: FQ2 2018 Review: Revenue Negatively Affected by Tier and Wireless Drag

    NASDAQ:CLFD FQ2 2018 Review: Revenue Negatively Affected by Tier 1 and Wireless Drag; Net Income Affected by 1x Settlement Expense 4 $17.7M $19.6M $18.4M $16.9M $16.8M Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 $7.4M $7.9M $7.7M $7.1M $6.8M Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Net Income Revenue Gross Profit $0.9M $0.8

  5. Slide 5: Financial Update

    NASDAQ:CLFD Financial Update 5 Dan Herzog Chief Financial Officer

  6. Slide 6: Quarterly Financial Performance

    NASDAQ:CLFD Quarterly Financial Performance $17.7M $19.6M $18.4M $16.9M $16.8M Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Revenue +4% - 9% - 13% - 8% - 5% Year - over - Year Growth Rate 6

  7. Slide 7: Quarterly Financial Performance

    NASDAQ:CLFD Quarterly Financial Performance $7.4M $7.9M $7.7M $7.1M $6.8M Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Gross Profit 42.2% 40.5% 41.7% 42.1% 40.3% Gross Profit (%) 7 $17.7M $19.6M $18.4M $16.9M $16.8M Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Revenue +4% - 9% - 13% - 8% - 5% Year - over - Year Growth Rate

  8. Slide 8: Operating Expenses

    NASDAQ:CLFD Operating Expenses $6.2M $6.6M $6.2M $6.5M $7.3M Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Operating Expenses % of Revenue 8

  9. Slide 9: Quarterly Financial Performance

    NASDAQ:CLFD Quarterly Financial Performance 5.1% 4.1% 6.8% 5.6% - 1.8% Net Margin 9 $17.7M $19.6M $18.4M $16.9M $16.8M Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Revenue +4% - 9% - 13% - 8% - 5% Year - over - Year Growth Rate $7.4M $7.9M $7.7M $7.1M $6.8M Q2-17 Q3-17 Q4-17 Q1-18 Q2-18 Gross Profit 42.2% 40.5% 41

  10. Slide 10: Balance Sheet Supports Growth

    NASDAQ:CLFD Balance Sheet Supports Growth $ in Millions Mar. 31, 2018 Dec. 31, 2017 Cash and Investments $35.6 $ 46.2 Total Assets $70.3 $69.2 Stockholders’ Equity $ 66.1 $66.1 Total Debt $0 $0 Total Capitalization $66.1 $ 66.1 $22.6 $33.1 $34.3 $44.2 $44.3 $35.6 2013 2014 2015 2016 2017 Q2-18 Cash

  11. Slide 11: Operational Update and Outlook

    NASDAQ:CLFD Operational Update and Outlook 11 Cheri Beranek President & CEO

  12. Slide 12: FQ2 2018 Revenue Composition and Market Overview

    NASDAQ:CLFD FQ2 2018 Revenue Composition and Market Overview Based on revenue of $ 16.8 million for the fiscal quarter ended Mar. 31, 2018. 9 % WIRELESS & CABLE TV 5 % INTERNATIONAL 5% WIRELINE – TIER 1 69% WIRELINE 12% OTHER 12 • Wireless service providers • Multiple service providers (MSOs) • Cont

  13. Slide 13: Phase I, Phase II and Phase III Strategy

    NASDAQ:CLFD Phase I (2008 - 2015) Phase II (2015+) Phase III (2018+) • Rebuild the Company • Restore balance sheet and develop profitable and sustainable growth business • Build and expand the value proposition through patented and cost - minimizing solutions • Expand into national carrier market th

  14. Slide 14: Fiscal 2018 Outlook and Guidance

    NASDAQ:CLFD Fiscal 2018 Outlook and Guidance $37.5 $53.4 $58.0 $60.3 $75.3 $73.9 $74 - 76 2012 2013 2014 2015 2016 2017 2018F Revenue Growth Outlook ($ in Millions) Please note: Outlook and forecast effective only on April 26, 2018. 14 Fiscal year outlook updated • $74 to $76 million in revenue • 40

  15. Slide 15: Q & A

    NASDAQ:CLFD Q & A 15 Cheri Beranek President & CEO Dan Herzog Chief Financial Officer

  16. Slide 16: NASDAQ:CLFD 16

    NASDAQ:CLFD 16

  17. Slide 17: Thank You

    NASDAQ:CLFD Thank You 17 Cheri Beranek President & CEO

  18. Slide 18: Company Contact and Investor Relations

    NASDAQ:CLFD Company Contact: Cheri Beranek President & CEO Clearfield, Inc. IR@clfd.net Investor Relations: Matt Glover or Najim Mostamand, CFA Liolios Group, Inc. (949) 574 - 3860 CLFD@liolios.com 18

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