Lci Industries · NYSE:LCII
Lci Industries — Q1 2024 Earnings Presentation
13 slides from Lci Industries's earnings presentation, May 8, 2024
Slide 1: LCI Industries Q1 2024 Earnings Conference Call
LCI Industries Q1 2024 Earnings Conference Call May 8, 2024 1
Slide 2: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS This presentation contains certain “forward-looking statements” with respect to our financial condition, results of operations, profitability, margin growth, business strategies, operating efficiencies or synergies, competitive position, growth opportunities, acquisitions,
Slide 3: First Quarter 2024 Highlights
First Quarter 2024 Highlights Diversification and operational execution supporting enhanced profitability Financial Performance Executing on Diversification ■ Net sales of $968 million in the first ■ Resilience in Aftermarket, international, and quarter, down 1% year-over-year other adjacencies are
Slide 4: RV OEM - Net Sales
RV OEM - NET SALES Performance and Trends • 73,500 wholesale towable units shipped in Q1 2024, up 17% YOY • Q1 2024 RV OEM sales up 15% YoY • Current 2024 North American forecast of 325 - 350k wholesale units • April 2024 net sales up 12% over April 2023, reflecting gradual industry recovery Content
Slide 5: Adjacent Industries OEM - Net Sales
ADJACENT INDUSTRIES OEM - NET SALES Performance and Trends • Q1 2024 Adjacent Industries sales down 17% YoY • Decrease primarily driven by declines in the Marine market due to inflation and elevated interest rates impacting retail consumers ◦ Anticipating that pressure on marine sales will start dec
Slide 6: Aftermarket Segment
AFTERMARKET SEGMENT Performance and Trends • Q1 2024 sales down 3% year over year, driven by softness in the marine market, partially offset by growth in the automotive aftermarket • 220bps YOY margin expansion driven by decreased commodity costs and pricing changes to targeted products • Innovation
Slide 7: International Business - Net Sales
INTERNATIONAL BUSINESS - NET SALES Performance and Trends • Q1 2024 sales up 5% YoY • Maintaining focus on introducing popular European products in North American markets, including window blinds, pop top, and B-vans • International results include RV OEM, Adjacent Industries OEM, and Aftermarket ne
Slide 8: Innovation as a Culture
INNOVATION AS A CULTURE Constant innovation continues to drive long-term content expansion DoubleCOOL Acrylic ABS (Anti-Lock Braking CURT® Enhanced Pin OneControl® Auto Independent Cooling Solutions System) Box Solutions featuring True Course Suspension Furrion® 18K Chill Cube Solera® 3000 Off-Grid
Slide 9: Growth Strategy
GROWTH STRATEGY Prioritizing ample liquidity and investments back into the company Balanced Capital Allocation Strategy Continue Execution of our • Reduce leverage Diversification Strategy • Investment in the business, with focus on automation • Expanding market share in our Non-RV OEM projects chan
Slide 10: Q1 2024 Financial Performance
Q1 2024 FINANCIAL PERFORMANCE * Additional information regarding EBITDA, as well as reconciliation of this non-GAAP financial measure to the most directly comparable GAAP financial measure, is provided in the Appendix. 10
Slide 11: Liquidity and Cash Flow
LIQUIDITY AND CASH FLOW As of and for the three months ended March 31 2024 2023 Cash and Cash Equivalents $23M $23M Remaining Availability under Revolving Credit $154M $318M Facility(1) Capital Expenditures $9M $17M Dividends $27M $27M Debt / Net Income (TTM) 9.2x 5.2x Net Debt/EBITDA (TTM)(2)(3) 2.
Slide 12: Appendix: Reconciliation of Non-GAAP Measures
APPENDIX Reconciliation of Non-GAAP Measures EBITDA Three Months Ended March 31, ($ in thousands) 2024 2023 Net income $ 36,545 $ 7,259 Interest expense, net 9,321 10,394 Provision for income taxes 11,745 2,390 Depreciation and amortization 32,689 32,499 EBITDA $ 90,300 $ 52,542 FREE CASH FLOW Three
Slide 13: Q&A
LCI INDUSTRIES Q&A 13