Tecnoglass Inc. · NYSE:TGLS
Tecnoglass — Q4 2021 Earnings Presentation
19 slides from Tecnoglass's earnings presentation, Mar 3, 2022
Slide 1: Fourth Quarter & Full Year 2021 Earnings Conference Call
FOURTH QUARTER & FULL YEAR 2021 EARNINGS CONFERENCE CALL March 3, 2022 – TECNOGLASS INC. (NASDAQ: TGLS)
Slide 2: Safe Harbor
Safe Harbor FORWARD LOOKING STATEMENTS This presentation includes certain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding future financial performance, future growth and future acquisitions. These statements are ba
Slide 3: Summary & Highlights
165 Main Street Massachusetts, United States SUMMARY & HIGHLIGHTS
Slide 4: Q4 & FY 2021 Key Takeaways
Q4 & FY 2021 Key Takeaways ✓ All around record results in full year revenues, gross profit, operating Sales By Geography FY’21 income, net income, Adj. EBITDA, Adj. net income, cash flow from operations and free cash flow 8% ✓ Record Q4 revenues increased 28.0% to a record $131.8 mm. Growth continue
Slide 5: U.S. Growth Driving Resilient Backlog
U.S. Growth Driving Resilient Backlog Backlog Overview Backlog as of Q4’21 by End Market ✓ Our track record of successfully delivering high Commercial profile projects has earned us an increasing Multi Family / number of opportunities across the U.S., Residential Related demonstrated by expanding ba
Slide 6: Continued Expansion In Single-Family Residential
Continued Expansion In Single-Family Residential U.S. Revenue Mix ✓ Q4 and FYE 2021 single family residential sales up 142% FY 2017 FY 2021 and 151% YoY respectively 2% ✓ Single family sales segment accounts for 36% of FY 2021 Total Total 36% revenues respectively, compared to 2% in 2017 Revenue Rev
Slide 7: Vertically-Integrated & Well-Situated Operations Driving Step-Change in Results
Vertically-Integrated & Well-Situated Operations Driving Step-Change in Results Suppliers JV & Long Term Sales, Raw Production Final Suppliers Supply Distribution Materials Process Product Relationships & Installation Tecnoglass integration across the architectural glass and window value chain provi
Slide 8: Financial Update
Paramount Miami Worlcenter Florida, United States FINANCIAL UPDATE 8
Slide 9: Revenue Bridge 2021 vs 2020
Revenue Bridge 2021 vs 2020 Q4 2021 Revenue Bridge (US$M) FYE 2021 Revenue Bridge (US$M) TGLS LTM revenue mix from U.S. +90%, higher than average of 78% for U.S.-based building product peers(1) Notes: 1. Peer average includes AFI, APOG, AWI, DOOR, FBHS, FRTA, JELD, MAS, MHK, OC, PGTI, ROCK, SSD, TIL
Slide 10: Adjusted EBITDA Bridge 2021 vs 2020
(1) Adjusted EBITDA Bridge 2021 vs 2020 Adjusted EBITDA margin Q4 2021 Adjusted EBITDA Bridge (US$M) 24.7% 32.0% FYE 2021 Adjusted EBITDA Bridge (US$M) 30.2% 25.9% Notes: 1. Adjusted EBITDA excludes non-recurring and non-cash expenses mainly associated with our bond issuance and respective extinguis
Slide 11: Improved Balance Sheet & Leverage Profile
Improved Balance Sheet & Leverage Profile Improved Leverage ✓Solid cash conversion of adj. EBITDA(1) driving $117.3 ($ in Millions) mm of cash flow from operations in 2021 $259.8 $242.3 $224.3 $224.5 ✓Continued deleveraging, with lowest net debt / LTM $199.1 3.0x adj. EBITDA(1) in the Company’s hist
Slide 12: Structurally Improved Cash Flow Generation
Structurally Improved Cash Flow Generation Improved Cash Flow Generation Operating Cash Flow Bridge (2018 – 2021) $ 117.3 130 110 US$ millions 90 $ 71.4 70 50 30 $ 26.7 10 -$ 5.0 -10 2018 2019 2020 2021 Operating Cash Flow ✓ Tecnoglass has established a strong record of cash flow ✓ Days of inventory
Slide 13: Outlook Update
Residential Project, Florida, United States OUTLOOK UPDATE 13
Slide 14: 2022 Double-Digit Growth Outlook
2022 Double-Digit Growth Outlook ▪ Continued revenue growth led by continued expansion Revenue in single family residential end market and backlog of $575-$600 MM commercial projects +16-21% YoY ▪ Adjusted EBITDA outlook incorporates full year gross margin in the ∼40% range, mainly attributable to s
Slide 15: Appendix
APPENDIX Hub50House Massachusetts, United States 15
Slide 16: ESG Strategy
ESG Strategy Outstanding Achievements Environmental Social Governance Enhancing Our Environment Promoting Continuous, Ethical and Leading Eco-Efficiency and Innovation Responsible Growth National Carbon Employee Training and Ethics and Compliance Neutrality Program Education Programs Program +15,000
Slide 17: ESG Strategy
ESG Strategy Our Sustainability Strategy contains the Company’s guidelines and value propositions to meet the expectations of our stakeholders Environmental Social Governance Enhancing Our Environment Promoting Continuous, Ethical and Leading Eco-Efficiency and Innovation Responsible Growth Encourag
Slide 18: Non-GAAP Reconciliation
(1) Non-GAAP Reconciliation Adjusted EBITDA and adjusted net (loss) income attributable to parent reconciliation Figures in U.S. $k Three months ended Twelve months ended Dec 31, Dec 31, 2021 2020 2021 2020 Net (loss) income 19.788 18.267 68.428 23.836 Less: Income (loss) attributable to non-control
Slide 19: Non-GAAP Reconciliation
(1) Non-GAAP Reconciliation Net Debt, Leverage and Total Investment Reconciliations Figures in U.S. $k As of December 31, 2020 2021 Short Term Debt and Current Portion of Long Term Debt 1.764 10.700 Long Term Debt 15.055 188.418 Corporate Bond 207.667 - Gross Debt 224.486 199.118 Cash at the end of