Medpace Holdings, Inc. · NASDAQ:MEDP
Medpace — Q1 2023 Earnings Presentation
15 slides from Medpace's earnings presentation, Apr 25, 2023
Slide 1: Q1 2023 Financial Results
Q1 2023 FINANCIAL RESULTS APRIL 24, 2023
Slide 2: Forward Looking Statements & Non-GAAP Financial Measures
FORWARD LOOKING STATEMENTS & 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 matters of histori
Slide 3: Q1 2023 – Key Operating Highlights
Q1 2023 – KEY OPERATING HIGHLIGHTS ($ in millions) First Quarter 2023 2022 % Change Revenue, net $ 434.1 $ 330.9 31.2 % Net New Business Awards $ 555.8 $ 423.0 31.4 % Net Book-to-Bill (A) 1.28 1.28 n.m. Net Book-to-Bill (LTM) 1.26 1.38 n.m. Ending Backlog $ 2,460.1 $ 2,088.0 17.8 % Backlog Conversio
Slide 4: Backlog and New Award Trends
BACKLOG AND NEW AWARD TRENDS Net Book-to-Bill Backlog Conversion Rate 18.6% 1.49x 17.7% 17.6% 1.39x 1.38x 17.1% 17.0% 16.8% 1.28x 1.28x 1.28x 16.7% 16.6% 1.23x 1.23x 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 Net New Business Awards Ending Backlog and Est. NTM Ba
Slide 5: Q1 2023 – Key Financial Highlights
Q1 2023 – KEY FINANCIAL HIGHLIGHTS ($ in millions, except per share data) First Quarter 2023 2022 % Change(C) Revenue, net $ 434.1 $ 330.9 31.2 % EBITDA(A) $ 92.8 $ 70.4 31.9 % % Margin 21.4 % 21.3 % n.m. Net Income $ 72.9 $ 61.3 18.9 % Net Income per diluted share(B) $ 2.27 $ 1.69 34.3 % A. See the
Slide 6: Key Financial Trends
KEY FINANCIAL TRENDS ($ in millions) ($ in millions) Revenue, net EBITDA(A) $434.1 $92.8 $394.1 $89.3 $383.7 $80.4 $351.2 $330.9 $70.4 $68.1 $295.6 $308.6 $278.3 $60.1 $61.4 $47.9 23.3% 20.3% 21.3% 20.4% 21.4% 19.9% 19.4% 17.2% 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q
Slide 7: Key Financial Trends
KEY FINANCIAL TRENDS ($ in millions) Revenue .7 % CA GR +19.5% - 23.6% YOY - 2 0 +19.9% +27.8% YOY +23.4% YOY +22.2% YOY +7.5% YOY Guidance Range $1,460.0 $1,745 - $1,805 $1,142.4 $861.0 $925.9 $704.6 2018 2019 2020 2021 2022 2023 ($ in millions) EBITDA(A) 2 0 .3% CAGR +8.7% - 15.2% YOY +1 8. 9% - +
Slide 8: Key Financial Trends
KEY FINANCIAL TRENDS ($ in millions) Net Income 7 % CAGR +1.9% - 9.6% YOY - 2 9 . +34.9% YOY +27.9% +25.1% YOY +44.7% YOY Guidance Range +37.2% YOY $245.4 $250 - $269 $181.8 $145.4 $73.2 $100.4 2018 2019 2020 2021 2022 2023 Net Income per diluted share % CA GR +7.3% - 15.4% YOY 3 3 .6 +31.7 %- +51.4
Slide 9: Q1 2023 – Revenue Composition
Q1 2023 – REVENUE COMPOSITION Therapeutic Area Customer Tier Top 10 Customer Concentration Concentration(B) Concentration(C) (A) OTH Large 19% Mid-sized Top 5 Pharma ONC Biopharma 22% 4% 33% 17% Q1 2023 AVAI Rest of 8% Small Top 10 CNS Biopharma 7% 9% 79% All Other 71% CV MET 11% 20% (A) Top 5 OTH 1
Slide 10: Q1 2023 – Cash Position
Q1 2023 – CASH POSITION ($ in millions) ($ in millions) First Quarter (A) Free Cash Flow and Free Cash Flow Conversion Free Cash Flow 2023 2022 (A) Free Cash Flow Free Cash Flow Conversion % Operating Cash Flow (GAAP) $ 80.1 $ 46.3 158.6% 125.4% 113.5% $127.4 76.0% Less: CAPEX 9.5 9.3 52.6% $101.3 $
Slide 11: Full Year 2023 Guidance
FULL YEAR 2023 GUIDANCE ($ in millions, except per share data) As of February 13, 2023 As of April 24, 2023 Guidance Range Growth Rate Guidance Range Growth Rate Revenue, net $1,690.0 - $1,750.0 15.8% - 19.9% $1,745.0 - $1,805.0 19.5% - 23.6% EBITDA $325.0 - $350.0 5.5% - 13.6% $335.0 - $355.0 8.7%
Slide 12: Appendix
APPENDIX rest
Slide 13: Q1 2023 – Income Statement
Q1 2023 – INCOME STATEMENT % % Revenue, Revenue, 1Q23 vs. 1Q22 ($ in millions, except per share amounts) 1Q23 net 1Q22 net $ Change % Change Revenue, net $ 434.1 100.0 % $ 330.9 100.0 % $ 103.1 31.2 % Operating Expenses: Direct service costs, excluding depreciation and amortization 151.1 34.8 % 125.
Slide 14: EBITDA Reconciliation
EBITDA RECONCILIATION Full Year Full Year Full Year Full Year Full Year ($ in millions) 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2018 2019 2020 2021 2022 Net income as reported (GAAP) $ 39.9 $ 48.6 $ 50.0 $ 61.3 $ 49.4 $ 66.0 $ 68.7 $ 72.9 $ 73.2 $ 100.4 $ 145.4 $ 181.8 $ 245.4 Income tax provision 2
Slide 15: FY2023 Guidance Reconciliation
FY2023 GUIDANCE RECONCILIATION ($ 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) $ 250.0 $ 269.0 $ 7.81 $ 8.40 Income tax provision 56.7 57.7 Interest expense, net 1.7 1.7 Depreciation 24.4 24.4 Amor