Sensata Technologies Holding Plc · NYSE:ST
Sensata Technologies — Q4 2024 Earnings Presentation
26 slides from Sensata Technologies's earnings presentation, Feb 11, 2025
Slide 1: Sensata Fourth Quarter and Full Year 2024 Earnings Presentation
Sensata Fourth Quarter and Full Year 2024 Earnings Presentation February 11, 2025
Slide 2: Forward-Looking Statements and Non-GAAP Measures
Forward-Looking Statements and Non-GAAP Measures Safe Harbor Statement This presentation includes "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements may be identified by terminology such as "may," "will," "could,"
Slide 3: Q4 and FY 2024 Highlights
Q4 and FY 2024 Highlights ✓ Exceeded top end of Q4 Revenue guidance on higher than expected auto production in “I believe that there is a significant opportunity North America and China to create shareholder value by returning Sensata, over time, to growth, driving operational excellence, and effici
Slide 4: FY 2024 outgrowth helped to offset protracted softness in end markets
FY 2024 outgrowth helped to offset protracted softness in end markets Performance Sensing Sensing Solutions FY 2024 market outgrowth ~350bp Revenue stabilized YoY in fourth quarter Automotive Industrial • Auto production higher than expected in NA and • Stabilizing business with revenue down less th
Slide 5: Q4 and Full Year 2024 Financials and Q1 2025 Financial Guide
Q4 AND FULL YEAR 2024 FINANCIALS AND Q1 2025 FINANCIAL GUIDE
Slide 6: Q4 and FY 2024 Financial Highlights
Q4 and FY 2024 Financial Highlights • Q4 Revenue of $908 million above high end of guidance due to auto production in China and North America exceeding expectations • FY 2024 Revenue of $3,933 million represents 3% decrease from 2023; adjusting for sale of Insights and Strong finish to 2024 divested
Slide 7: FY 2024 Segment Performance
FY 2024 Segment Performance Revenue Segment $ in millions FY 2024 FY 2023 YoY B/(W) Growth • Performance Sensing Net Revenue consistent YoY as Net Revenue $2,743.6 $2,749.9 $(6.3) (0.2) % Performance outgrowth offset end market Adj. Operating Income $676.1 $697.6 $(21.6) Sensing(1) contractions and
Slide 8: Free Cash Flow of $393 million represents 44% increase over 2023
Free Cash Flow of $393 million represents 44% increase over 2023; conversion at historical pre-Covid levels YoY Free Cash Flow Historical Free Cash Flow Conversion 130% $393 +44% Pandemic Year $272 79% 80% 76% 75% 75% 74% 72% 59% 49% FY-23 FY-24 2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 Free
Slide 9: Higher Free Cash Flow supports capital deployment strategy and debt repayments
Higher Free Cash Flow supports capital deployment strategy and debt repayments, improving Return on Invested Capital $0.48/share <3.0x FY 2024 dividend payments Net leverage ratio $72 million of cash returned to shareholders as of Dec. 31, 2024; down from 3.2x at Dec. 31, 2023 and lowest since Mar.
Slide 10: Q1 2025 Financial Guidance
Q1 2025 Financial Guidance $ in millions, except EPS Q1 2025 GUIDANCE Q4 2024 B/(W) • Sequential Revenue decrease primarily due to seasonality and Revenue $870 - $890 $908 (4%) - (2%) foreign currency headwinds • Adjusted Operating Margin is Adj. Op Income $158 - $164 $175 (10%) - (6%) Adj. Operatin
Slide 11: FY 2024 Financial Summary
FY 2024 Financial Summary $ and shares outstanding in millions, except EPS FY 2024 FY 2023 YoY B/(W) • Revenue decreased YoY primarily due to product lifecycle management Revenue $3,932.8 $4,054.1 (3.0%) related exits and Sep 30 '24 Insights Adj. Gross Profit $1,240.0 $1,299.0 divestiture (4.5%) % R
Slide 12: Q4 2024 Financial Summary
Q4 2024 Financial Summary $ and shares outstanding in millions, except EPS Q4 2024 Q4 2023 YoY B/(W) • Revenue decreased YoY primarily due to product lifecycle management Revenue $907.7 $992.5 (8.5%) related exits and Sep 30 '24 Insights Adj. Gross Profit $283.4 $312.4 divestiture (9.3%) % Revenue 3
Slide 13: Appendix A: Other Financial Information
APPENDIX A: OTHER FINANCIAL INFORMATION
Slide 14: Q4 2024 GAAP Results
Q4 2024 GAAP Results 14 SENSATA Q4 AND FY24 EARNINGS PRESENTATION
Slide 15: FY 2024 GAAP Results
FY 2024 GAAP Results 15 SENSATA Q4 AND FY24 EARNINGS PRESENTATION
Slide 16: Q4 2024 Select Cash Flow Information
Q4 2024 Select Cash Flow Information Changes recalculated based on unrounded numbers. Certain amounts may not appear to sum due to rounding. 16 SENSATA Q4 AND FY24 EARNINGS PRESENTATION
Slide 17: Select Balance Sheet Information
Select Balance Sheet Information 17 SENSATA Q4 AND FY24 EARNINGS PRESENTATION
Slide 18: Appendix B: GAAP to Non-GAAP Reconciliations
APPENDIX B: GAAP TO NON- GAAP RECONCILIATIONS
Slide 19: Non-GAAP Measures
Non-GAAP Measures We supplement the reporting of our financial information determined in accordance with U.S. generally accepted accounting principles (“GAAP”) with certain non-GAAP financial measures. We use these non-GAAP financial measures internally to make operating and strategic decisions, inc
Slide 20: Non-GAAP Measures – continued
Non-GAAP Measures – continued Free Cash Flow – is defined as net cash provided by operating activities less additions to property, plant and equipment and capitalized software. We believe free cash flow is useful to management and investors as a measure of cash generated by business operations that
Slide 21: Adjusted EBITDA
Adjusted EBITDA 21 SENSATA Q4 AND FY24 EARNINGS PRESENTATION
Slide 22: Free Cash Flow
Free Cash Flow 22 SENSATA Q4 AND FY24 EARNINGS PRESENTATION
Slide 23: Debt and Leverage Ratio (Gross and Net)
Debt and Leverage Ratio (Gross and Net) 23 SENSATA Q4 AND FY24 EARNINGS PRESENTATION
Slide 24: Adjusted Taxes and Adjusted Tax Rate
Adjusted Taxes and Adjusted Tax Rate 24 SENSATA Q4 AND FY24 EARNINGS PRESENTATION
Slide 25: Adjusted Corporate and Other Expenses
Adjusted Corporate and Other Expenses 25 SENSATA Q4 AND FY24 EARNINGS PRESENTATION
Slide 26: Other GAAP to non-GAAP Reconciliations
Other GAAP to non-GAAP Reconciliations 26 SENSATA Q4 AND FY24 EARNINGS PRESENTATION