Medpace Holdings, Inc. · NASDAQ:MEDP
Medpace — Q4 2021 Earnings Presentation
15 slides from Medpace's earnings presentation, Feb 14, 2022
Slide 1: Q4 2021 Financial Results
Q4 2021 FINANCIAL RESULTS FEBRUARY 14, 2022
Slide 2: Forward-Looking Statements & Non-GAAP Financial Measures
F O RWA R D L O O K I N G S TAT E M E N T S & NON-GAAP FINANCIAL MEASURES Forward-Looking Statements This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. All statements contained in this presentation that do not relate to m
Slide 3: 2021 COVID-19 Metrics
2021 COVID-19 METRICS L O W C O N C E N T R AT I O N R I S K F R O M C O V I D - 1 9 2021 COVID-19 2021 COVID-19 2021 COVID-19 Revenue Net Awards Ending Backlog $24.7M ($0.4M) $15.4M 2% of Total 0% of Total 1% of Total Revenue, net Net New Business Awards $9.7 $8.6 $6.1 $5.2 $4.6 $6.2 $5.0 $3.7 $(0.
Slide 4: Q4 2021 – Key Operating Highlights
Q 4 2 0 2 1 – K E Y O P E R AT I N G H I G H L I G H T S ($ in millions) Fourth Quarter Full Year 2021 2020 % Change 2021 2020 % Change Revenue, net $ 308.6 $ 259.7 18.8% $ 1,142.4 $ 925.9 23.4% Net New Business Awards 458.7 358.6 27.9% 1,610.4 1,175.0 37.1% Net Book-to-Bill (A) 1.49 1.38 n.m. 1.41
Slide 5: Backlog and New Award Trends
B A C K L O G A N D N E W AWA R D T R E N D S Net Book-to-Bill Backlog Conversion Rate 18.1% 1.49x 18.0% 1.37x 1.38x 1.37x 1.39x 1.38x 1.24x 17.2% 16.9% 17.1% 17.0% 16.7% 1.07x 15.8% 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 Net New Business Awards Ending Backlo
Slide 6: Q4 2021 – Key Financial Highlights
Q4 2021 – KEY FINANCIAL HIGHLIGHTS ($ in millions, except per share data) Fourth Quarter Full Year 2021 2020 % Change 2021 2020 % Change Revenue, net $ 308.6 $ 259.7 18.8% $ 1,142.4 $ 925.9 23.4% EBITDA(A) 61.4 60.2 2.0% 223.1 187.8 18.8% % Margin 19.9% 23.2% n.m. 19.5% 20.3% n.m. Net Income 50.0 50
Slide 7: Key Financial Trends
KEY FINANCIAL TRENDS ($ in millions) ($ in millions) Revenue, net EBITDA(A) $308.6 $60.2 $60.1 $61.4 $295.6 $278.3 $51.9 $53.6 $47.9 $259.7 $260.0 $40.6 $230.9 $230.4 $35.0 $205.0 23.2% 22.5% 20.6% 20.3% 19.9% 17.6% 17.1% 17.2% 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q
Slide 8: Key Financial Trends
KEY FINANCIAL TRENDS ($ in millions) Revenue +22.6% - 27.8% YOY +23.4% YOY +22.2% YOY +7.5% YOY Guidance Range $1,142.4 $1,400 - $1,460 $861.0 $925.9 $704.6 2018 2019 2020 2021 2022 ($ in millions) EBITDA(A) +17.4% - 24.6% YOY +18.8% YOY +25.5% YOY +6.2% YOY Guidance Range $262 - $278 $223.1 $187.8
Slide 9: 2021 – Revenue Composition
2021 – REVENUE COMPOSITION Therapeutic Area Customer Tier Top 10 Customer Concentration Concentration(B) Concentration(C) Large Top 5 OTH (A) Pharma 17% 23% ONC Mid-Sized 7% Rest of 32% Top 10 Biopharma 16% 7% 2021 AVAI Small 10% Biopharma 77% CV MET All Other 10% 14% 76% CNS 11% (A) Large Top 5 OTH
Slide 10: Q4 2021 – Cash Position
Q4 2021 – CASH POSITION ($ in millions) ($ in millions) Fourth Quarter Full Year Free Cash Flow and Free Cash Flow Conversion(A) Free Cash Flow 2021 2020 2021 2020 Operating Cash Free Cash Flow Free Cash Flow Conversion % (A) $ 70.9 $ 105.5 $ 263.3 $ 258.7 Flow (GAAP) 162.3% 140 Less: CAPEX 9.1 7.8
Slide 11: Full Year 2022 Guidance
FULL YEAR 2022 GUIDANCE ($ in millions, except per share data) As of February 14, 2022 Guidance Range Growth Rate Revenue, net $1,400.0 - $1,460.0 22.6% - 27.8% EBITDA $262.0 - $278.0 17.4% - 24.6% GAAP Net Income $204.0 - $216.0 12.2% - 18.8% GAAP Net Income per diluted share $5.35 - $5.67 11.2% -
Slide 12: Appendix
—=Q) ——0) —=0) 2) APPENDIX =O O A)
Slide 13: Q4 2021 – Income Statement
Q 4 2 0 2 1 – I N C O M E S TAT E M E N T % Revenue, % Revenue, 4Q21 vs. 4Q20 ($ in millions, except per share amounts) 4Q21 net 4Q20 net $ Change % Change Revenue, net $ 308.6 100.0% $ 259.7 100.0% 48.9 18.8% Operating Expenses: Direct service costs, excluding depreciation and amortization 118.9 38
Slide 14: EBITDA Reconciliation
E B I T D A R E C O N C I L I AT I O N Full Year Full Year Full Year Full Year ($ in millions) 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 2018 2019 2020 2021 Net income as reported (GAAP) $ 29.0 $ 24.1 $ 41.5 $ 50.9 $ 43.3 $ 39.9 $ 48.6 $ 50.0 $ 73.2 $ 100.4 $ 145.4 $ 181.8 Income tax provision 7.5 6.3
Slide 15: FY2022 Guidance Reconciliation
F Y 2 0 2 2 G U I D A N C E R E C O N C I L I AT I O N ($ in millions, except per share amounts) Net Income per diluted Net Income share Low High Low High Net Income and Net Income per diluted share (GAAP) $ 204.0 $ 216.0 $ 5.35 $ 5.67 Income tax provision 32.1 36.1 Depreciation 20.8 20.8 Amortizati