Slide 1: Fiscal 2022 First Quarter Financial Results
FISCAL 2022 FIRST QUARTER FINANCIAL RESULTS September 2, 2021
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains certain forward-looking statements, which reflect management's expectations regarding future events and operating performance and speak only as of the date hereof. These forward- looking statements are subject to the safe harbor protection provid
Slide 3: Non-GAAP Financial Measures
Non-GAAP Financial Measures To supplement the company's financial statements presented in accordance with generally accepted accounting principles in the United States (“GAAP”), Methode uses certain non-GAAP financial measures, such as EBITDA, Net Debt, and Free Cash Flow. Reconciliation to the near
Slide 4: FY22 Q1 Highlights
FY22 Q1 Highlights Quarterly Performance Electric Vehicle Activity Sales of $288 Million 16% of Q1 Consolidated Sales Organic Sales Up 45% Expecting Mid-Teens % in FY22 Sales & Margin Impacts from Supply Chain Disruptions Growth in Power Distribution Business Activity Balance Sheet & Cash Flow Growt
Slide 5: Select Business Awards
FY22 Q1 Select Business Awards Electric Vehicles • Busbar Assembly for European Auto OEM • Interior Lighting for European Commercial Vehicle OEM • Busbar Assembly for U.S.-Asian Auto OEM JV $14M * • Busbar Assembly for U.S. SUV/Truck OEM Non-EV Automotive • Transmission Connector for European Auto O
Slide 6: EV, Commercial Vehicle, and Cloud Computing Driving Customer Diversification
EV, Commercial Vehicle, and Cloud Computing Driving Customer Diversification Sales by Customer $1,088 $1,000 $1,000 Key Customers: $ in millions $817 $800 52% 64% 41% $600 $400 50% 36% 27% $200 9% 12% 9% $0 FY17 FY19 FY21 Ford GM Other Customers 6 FY21 Other Customer Sales 64% of Total, Up from 41%
Slide 7: Financial Results
Q@AETHODE ELECTRONICS Financial Results
Slide 8: FY22 Q1 Financial Highlights
FY22 Q1 Financial Highlights (Dollars in millions except per share amounts) Diluted Earnings Net Sales Net Income Per Share $287.8 $190.9 $0.76 $29.1 $0.54* $20.7* FY21 Q1 FY22 Q1 FY21 Q1 FY22 Q1 FY21 Q1 FY22 Q1 * FY21 Q1 included a discrete tax benefit of $7.8 million or $0.20 per diluted share 8
Slide 9: FY22 Q1 Financial Results
FY22 Q1 Financial Results Gross Margin % Selling & Administrative % • Higher sales volume • Higher sales volume • Lower restructuring costs • Lower restructuring costs • Favorable foreign currency translation Partially offset by: Partially offset by: • Higher stock-based compensation expense • Highe
Slide 10: FY22 Q1 Financial Results
FY22 Q1 Financial Results Net Income EBITDA* • Higher sales volume • Higher income from operations • Favorable foreign currency translation • Favorable foreign currency translation Partially offset by: Partially offset by: • Higher tax expense • Lower other income • Lower other income • Higher cost
Slide 11: FY22 Q1 Free Cash Flow
FY22 Q1 Free Cash Flow (Dollars in millions) FY21 Q1 FY22 Q1 FY22 Q1 Net Cash Provided by $16.4 $9.7 Operating Activities Free Cash Flow* ($6.2) Capital Expenditure ($11.6) ($15.9) Free Cash Flow $4.8 ($6.2) • Decrease mainly due to investment in inventory to support the increased sales and higher c
Slide 12: Guidance
FY22 Guidance FY2022 Full Year Reaffirmed • Net sales for FY22 of $1,175 - $1,235 million • Diluted earnings per share for FY22 of $3.35 - $3.75 Guidance is subject to a variety of risk factors including the ongoing semiconductor shortage, other supply chain disruptions, and the COVID-19 pandemic Fu
Slide 13: Thank You
AETHODE ELECTRONICS Thank You
Slide 14: Appendix
fA Appendix THOSE METHODE ELECTRONICS, INC. AND SUBSIDIARIES RECONCILIATION OF NON-GAAP MEASURES (Unaudited) (in millions) Three Months Ended July 31, 2021 August 1, 2020 EBITDA: Net income $ 29.1 $ 20.7 Income tax expense 51 (6.1) Interest expense, net Ll 16 Amortization of intangibles 48 47 Deprec