Standex International Corporation · NYSE:SXI
Standex International — Q1 2021 Earnings Presentation
15 slides from Standex International's earnings presentation, Oct 30, 2020
Slide 1: Fiscal First Quarter 2021 Conference Call Presentation
Fiscal First Quarter 2021 Conference Call Presentation October 30, 2020
Slide 2: Safe Harbor Statement
Safe Harbor Statement Statements contained in this Presentation that are not based on historical facts are “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of forward-looking terminology s
Slide 3: Key Q1 FY21 Messages
Key Q1 FY21 Messages • Sequential revenue growth of 8.5%; strength in Electronics, Engraving, and Scientific Q1 FY21 RESULTS • Electronics increased revenue 18.6% YOY on strength in magnetics and contribution from Renco acquisition &TRENDS • Engraving increased operating margin 800 basis points sequ
Slide 4: Electronics
Electronics Electronics Q1 FY21 Summary $ in 000’s Q1 FY21 Q1 FY20 % Change • Revenue increase reflected 3.9% of organic growth on Revenue $55,271 $46,617 18.6% strength in magnetics, 12.6% from the recent Renco acquisition, and the balance from foreign exchange Adj. Operating $9,127 $8,099 12.7% In
Slide 5: Engraving
Engraving Engraving Q1 FY21 Summary $ in 000’s Q1 FY21 Q1 FY20 % Change • Revenue and operating margin decrease reflected the impact Revenue $36,401 $38,431 -5.3% of COVID-19 on our end markets, partially mitigated by productivity and cost actions Operating Income $5,873 $6,537 -10.2% OI Margin 16.1
Slide 6: Scientific
Scientific Scientific Q1 FY21 Summary $ in 000s Q1 FY21 Q1 FY20 % Change • Revenue growth reflected strength in retail pharmaceutical Revenue $16,663 $14,750 13.0% chains, delivering highest quarterly revenue ever Operating Income $4,076 $3,705 10.0% • Increased demand to support flu vaccine storage
Slide 7: Engineering Technologies
Engineering Technologies Engineering Technologies $ in 000s Q1 FY21 Q1 FY20 % Q1 FY21 Summary Change • Revenue and operating income decrease primarily due to Revenue $17,633 $24,644 -28.4% economic impact of COVID-19 on the commercial aviation Operating Income $469 $3,359 -86.0% market, especially e
Slide 8: Specialty Solutions
Specialty Solutions Specialty Solutions Q1 FY21 Summary $ in 000s Q1 FY21 Q1 FY20 % Change • As expected, revenue decreased due to the economic Revenue $25,318 $31,536 -19.7% impact of COVID-19 on several end-markets including Operating Income $3,906 $5,648 -30.8% beverage, food service, and OEM equ
Slide 9: Q1 FY21 Income Statement Summary
Q1 FY21 Income Statement Summary ($ in M's) Q1 FY21 Q1 FY20 YOY Comments Revenue $151.3 $156.0 -3.0% Decrease reflects economic impact of COVID-19 Organic revenue: -8.2% YOY Acquisition-related impact :+3.8% F/X impact : +1.4% Gross Margin 36.6% 37.3% -70 bps Adj. EBIT $16.6 $17.7 -6.2% Impact of CO
Slide 10: Q1 FY21 Free Cash Flow
Q1 FY21 Free Cash Flow Q1 Q1 AS REPORTED ($M) FY 21 FY 20 Net cash provided by operating activities, as reported $ 9.2 $ 9.4 Less: Capital Expenditures (4.8) (6.7) Free operating cash flow $ 4.4 $ 2.8 • Year-over-year FCF primarily a result of lower cash outlays for capital expenditures • Investment
Slide 11: Q1 FY21 Capitalization
Q1 FY21 Capitalization Favorable Liquidity Profile • Net debt to adj. EBITDA of 1.1x Q1 FY21 Q4 FY20 • Net debt to total capital of 18.2% (in $M) 9/30/2020 6/30/2020 • ~9.9x interest coverage ratio Debt (with-issuance costs) 199.9 199.1 Cash 93.7 118.8 • ~$206M of available liquidity Net Debt 106.2
Slide 12: Key Takeaways
Key Takeaways In Q2 FY21 expect consolidated revenue to be flat to slightly above Q1 FY21 and a slight 1 to moderate increase in operating margin; expect continued growth and margin improvement as we move through FY21 Attractive growth opportunities across the businesses, including COVID-19 vaccine
Slide 13: Q&A
Q&A HT Standex
Slide 14: Appendix
APPENDIX = 5 Standex
Slide 15: Q1 FY21 GAAP to Non-GAAP Income Bridge
Q1 FY21 GAAP to Non-GAAP Income Bridge Q1 FY21 Q1 FY20 Pre-tax Net Pre-tax Net Income Tax Income EPS Income Tax Income EPS Reported - GAAP $ 13.0 $ (2.7) $ 10.3 $ 0.84 $ 14.7 $ (4.1) $ 10.6 $ 0.85 Add: Restructuring Charges 1.5 (0.3) 1.2 0.10 1.5 (0.2) 1.3 0.11 Purchase Accounting 0.6 (0.1) 0.5 0.04
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