Park Aerospace Corp. · NYSE:PKE
Park Aerospace — Q1 FY2021 Earnings Presentation
17 slides from Park Aerospace's earnings presentation, Jul 9, 2020
Slide 1: FY2021 Q1 Investor Conference Call
FY2021 Q1 Investor Conference Call July 9, 2020
Slide 2: Forward Looking Disclaimer
Forward Looking Disclaimer This presentation contains forward-looking statements made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. Forward-looking statements give current expectations or forecasts of future events or our future financial or operatin
Slide 3: Quarterly Results for FY2019, FY2020 and FY2021 Q1
Quarterly Results for FY2019, FY2020 and FY2021 Q1 (In Thousands)* FY19 Q1 FY19 Q2 FY19 Q3 FY19 Q4** FY20 Q1 FY20 Q2 FY20 Q3 FY20 Q4 FY21 Q1 Sales $10,393 $11,211 $12,853 $16,659 $14,950 $13,723 $15,847 $15,494 $12,213 Gross Profit $2,852 $3,145 $4,284 $5,903 $4,804 $3,813 $5,022 $5,034 $3,674 Gross
Slide 4: FY2021 Q1 Top Five Customers
FY2021 Q1 Top Five Customers (in Alphabetical Order) AAE Aerospace AAR Corp. Kratos Defense and Security Solutions Middle River Aerostructure Systems (MRAS)* and its subcontractors Nordam Group Lockheed Martin PAC-3 Missile System COMAC C919 Kratos XQ-58 Valkyrie *MRAS is a subsidiary of ST Engineer
Slide 5: Estimated FY2020 and FY2021 Q1 Revenues by Aerospace Market Segment
Park’s Estimated FY2020 Revenues by Aerospace Market Segment FY2020 Revenues: $60.0 Million Park’s Estimated FY2021 Q1 Revenues by Aerospace Market Segment FY2021 Q1 Revenues: $12.2 Million 07/08/2020 Slide 5
Slide 6: Impact of COVID-19 on Global Aerospace Industry: Recovery Considerations
Impact of COVID-19 Pandemic and Resulting Global Economic Crisis on Global Aerospace Industry… Recovery Considerations Revisited Military Aerospace Industry Supply Chain disruptions Park programs seem fairly strong and steady so far Commercial Aircraft Industry Jet Fuel Prices Reopening
Slide 7: Recovery Considerations Revisited (Continued)
Impact of COVID-19 Pandemic and Resulting Global Economic Crisis on Global Aerospace Industry… Recovery Considerations Revisited (Continued) Business Aircraft Industry Recovery Considerations Jet Fuel Prices? Reopening of Economy Economic Recovery Corporate Profits Stock Market performan
Slide 8: Update on GE Aviation Jet Engine Programs
Update on GE Aviation Jet Engine Programs A320neo/A321neo/A321LR/A321XLR (A320neo Family of Aircraft) with LEAP-1A Engines… Bombardier Global 7500 with Passport 20 Engines… Boeing 747-8: No change to program rates; how long will Boeing produce the Queen of the Skies? Comac 919 with LEAP-1C E
Slide 9: Update on GE Aviation Jet Engine Programs (Continued)
Update on GE Aviation Jet Engine Programs (Continued) Boeing 777X with GE9X Engines: All POs for CY2020 cancelled; production schedule pushed further out; Boeing recently announced rate reduction for this program; Park was recently advised by GE that they currently do not have funding to continue
Slide 10: Park's Perspective on Commercial Aircraft Industry
Park’s Perspective on Commercial Aircraft Industry Single-Aisle Aircraft vs. Wide-Body Aircraft Trend already in place favoring Single-Aisle Aircraft Industry experts and analysts believe market for Single-Aisle Aircraft will recover before Wide-Body Aircraft market Major Single-Aisle Aircra
Slide 11: Park's Strategy (What We Plan to do!)
Park’s “Strategy” (What We Plan to do!) Double down (or triple down) on Commercial Aerospace We believe the Commercial Aircraft Industry will be one of the World’s Great Industries for many years to come Park believes Single-Aisle Aircraft is place to be in the Commercial Aircraft Industry W
Slide 12: Park's Financial Forecasts
Park’s Financial Forecasts Park’s Long-Term Forecast was withdrawn during our FY2020 Q4 May 14, 2020 Investor Call Presentation Our current thoughts about our Long-Term Forecast Park’s Estimated FY2020 Revenues by Aerospace Market Segment Our thoughts about FY2021 by quarter: Sales EBITDA Q1 (
Slide 13: Updates on Park...How Are We Doing?
Updates on Park…How Are We Doing? Park continues to be fully operational throughout the Pandemic and Economic Crisis NY Office is Open! Kansas Manufacturing Facility continues to be fully operational Customer Flexibility Program has been instrumental in helping Park effectively and quickly a
Slide 14: Updates on Park...How Are We Doing? (Continued)
Updates on Park…How Are We Doing? (Continued) Potential Significant Opportunities for Park: B-52 Re-engine Comac 929 Twin-Aisle JV in Asia But we love the “small” opportunities as well Nothing is too “small” for us If you are being made to feel like you do not matter and you are not “e
Slide 15: 07/08/2020 Slide 15
07/08/2020 Slide 15
Slide 16: Appendix I: Supplementary Financial Information
APPENDIX I Park Aerospace Corp. July 9, 2020 Investor Conference Call – Supplementary Financial Information The financial and other data contained herein (the “Supplementary Data”) is being provided pursuant to the requirements of Regulation G promulgated by the U.S. Securities and Exchange Commissi
Slide 17: Appendix I: Before Special Items Earnings and EBITDA
APPENDIX I Before special items, net earnings for the 2021 fiscal year first quarter were $2.0 million, or 16.1% of sales, compared to $2.9 million, or 19.1% of sales, for the 2020 fiscal year first quarter and $2.8 million, or 18.0% of sales, for the 2020 fiscal year fourth quarter. Depreciation an