Parker-hannifin Corporation · NYSE:PH
Parker-hannifin — Q1 FY2010 Earnings Presentation
15 slides from Parker-hannifin's earnings presentation, Oct 20, 2009
Slide 1: Quarterly Earnings Release 1st Quarter FY 2010
Parker Hannifin Corporation Quarterly Earnings Release 1st Quarter FY 2010 October 20, 2009 Exhibit 99.2 Forward-Looking Statements Forward-Looking Statements: Forward-looking statements contained in this and other written and oral reports are made based on known events and circumstances at the time
Slide 2: Financial Highlights: Diluted Earnings per Share
Financial Highlights Diluted Earnings per Share 1 Quarter $.00 $.20 $.40 $.60 $.80 $1.00 $1.20 $1.40 $1.60 Q1 FY10 Q1 FY09 $.45 $1.50 st
Slide 3: Financial Highlights: Sales
Financial Highlights Sales - st Quarter Dollars in millions FY2010 % Change FY2009 Sales As reported 2,237 $ (27.0)% 3,065 $ Acquisitions 2.5 % Currency (46) (1.5)% Adjusted Sales 2,207 $ (28.0)% 1st Quarter
Slide 4: Segment Reporting: Industrial North America
Segment Reporting Industrial North America Dollars in millions FY2010 % Change FY2009 Sales As reported $ (29.3)% 1,107 $ Acquisitions 1.8 % Currency (7) (0.7)% Adjusted Sales $ (30.4)% Operating Margin As reported $ $ % of Sales 9.7 % 14.5 % 1st Quarter
Slide 5: Segment Reporting: Industrial International
Segment Reporting Industrial International Dollars in millions FY2010 % Change FY2009 Sales As reported $ (30.5)% 1,223 $ Acquisitions 4.6 % Currency (31) (2.6)% Adjusted Sales $ (32.5)% Operating Margin As reported $ $ % of Sales 7.3 % 16.6 % 1st Quarter
Slide 6: Segment Reporting: Aerospace
Segment Reporting Aerospace Dollars in millions FY2010 % Change FY2009 Sales As reported $ (12.9)% $ Acquisitions Currency (2) (0.4)% Adjusted Sales $ (12.5)% Operating Margin As reported $ $ % of Sales 12.7 % 14.2 % 1st Quarter
Slide 7: Segment Reporting: Climate & Industrial Controls
Segment Reporting Climate & Industrial Controls Dollars in millions FY2010 % Change FY2009 Sales As reported $ (27.0)% $ Acquisitions Currency (6) (2.2)% Adjusted Sales $ (24.8)% Operating Margin As reported $ $ % of Sales 5.6 % 6.1 % 1st Quarter
Slide 8: Parker Order Rates
Parker Order Rates Excludes Acquisitions & Currency 3-month year-over-year comparisons of total dollars, except Aerospace Aerospace is calculated using a 12-month moving average SEPT ’09 JUN ’09 SEPT ’08 JUN ’08 Total Parker 25 % - 38 % - 1 % + 8 % + Industrial North America 27 % - 40 % - 2 % + 4 %
Slide 9: Strong Cash Flow
Strong Cash Flow Cash from Operating Activities 1st Quarter $307 $260 $0 $50 $100 $150 $200 $250 $300 $350 $400 Q1 FY10 Q1 FY09
Slide 10: Financial Leverage
Financial Leverage Debt to Debt Equity 32.5% 16.0% 18.0% 20.0% 22.0% 24.0% 26.0% 28.0% 30.0% 32.0% 34.0% 36.0% 38.0% 40.0% 42.0% FY00 FY01 FY02 FY03 FY04 FY05 FY06 FY07 FY08 FY09 FY10 YTD 32.5% Debt to Debt Equity (30.5% net Debt)
Slide 11: FY 2010 Earnings Outlook Assumptions
FY 2010 Earnings Outlook Assumptions Segment Sales & Operating Margins FY 2010 Sales change versus FY 2009 Industrial North America (7.8)% -- (11.8)% Industrial International (8.1)% -- (13.1)% Aerospace (7.8)% -- (8.6)% Climate & Industrial Controls (10.5)% -- (12.9)% FY 2010 Operating margin percen
Slide 12: FY 2010 Earnings Outlook Assumptions
FY 2010 Earnings Outlook Assumptions below Operating Margin (+/- 7.0%) Corporate Admin $ 147 M Interest Expense $ 108 M Other Expense (Inc.) $ 100 M Total $ 355 M Tax Rate %
Slide 13: Questions & Answers...
Questions & Answers...
Slide 14: Appendix
Appendix Income Statement st Quarter FY2010
Slide 15: Income Statement – 1st Quarter
Income Statement – st Quarter Dollars in millions % of Sales % of Sales Net Sales 2,237.2 $ 100.0 % 3,064.7 $ 100.0 % Cost of sales 1,801.0 80.5 % 2,337.2 76.3 % Gross profit 436.2 19.5 % 727.5 23.7 % S, G & A 301.8 13.4 % 332.7 10.9 % Interest expense 25.7 1.2 % 28.1 .9 % Other expense (income), ne