Slide 1: Fiscal 2022 Fourth Quarter & Full Year Financial Results
FISCAL 2022 FOURTH QUARTER & FULL YEAR FINANCIAL RESULTS June 23, 2022
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains certain forward-looking statements, which reflect management's expectations regarding future events and operating performance and speak only as of the date hereof. These forward- looking statements are subject to the safe harbor protection provid
Slide 3: Non-GAAP Financial Measures
Non-GAAP Financial Measures To supplement the company's financial statements presented in accordance with generally accepted accounting principles in the United States (“GAAP”), Methode uses certain non-GAAP financial measures, such as EBITDA, Net Debt, and Free Cash Flow. Reconciliation to the near
Slide 4: Q4 Highlights
FY22 Q4 Highlights Quarterly Performance Electric Vehicle Activity Sales of $289 Million, Including $7M in Cost Recovery 17% of Q4 Consolidated Sales North American and European Auto Headwinds Impacted by China COVID-19 Lockdowns COVID-19 Lockdowns in China Expecting 20% in FY23 Business Activity Ba
Slide 5: Q4 Select Business Awards
FY22 Q4 Select Business Awards Electric Vehicles • Battery Busbar Assembly for European Auto OEM • Battery Busbar Assembly for U.S Auto OEM • Stop Lamp Assembly for U.S Auto OEM • Battery Current Sensor for U.S Auto OEM • Puddle Lamp Assembly for U.S Auto OEM $90M * • Side Repeater Assembly for U.S.
Slide 6: FY22 Highlights
FY22 Highlights Full Year Performance Electric Vehicle Activity Record Sales of $1,164 Million Record EV Application Sales Included $22 Million in Cost Recovery 17% of FY22 Consolidated Sales Business Activity Balance Sheet & Cash Flow Supply Chain and Market Disruptions Lowest Debt Level Since Grak
Slide 7: Financial Results
QAETHODE ELECTRONICS Financial Results
Slide 8: Q4 Financial Highlights
FY22 Q4 Financial Highlights Net Sales Income from Diluted Earnings ($M) Operations per Share ($M) ($) $301.0 $288.7 $0.81 $33.7 $0.43 $14.6 FY21 Q4 FY22 Q4 FY21 Q4 FY22 Q4 FY21 Q4 FY22 Q4 8 Income Impacted by Market Disruptions and Supply Chain Constraints
Slide 9: Q4 Financial Results
FY22 Q4 Financial Results Gross Margin % Selling & Administrative % • Industrial segment significantly impacted by • Higher professional fees China lockdown and supply disruptions • Lower product sales volume Partially offset by: • Unfavorable product mix • Lower performance-based cash compensation
Slide 10: Q4 Financial Results
FY22 Q4 Financial Results Net Income EBITDA* ($M) ($M) • Lower gross profit • Lower income from operations • Lower other income Partially offset by: • Lower tax expense • Lower selling & administrative expense $50.8 $31.1 $30.8 $16.2 FY21 Q4 FY22 Q4 FY21 Q4 FY22 Q4 * See Appendix for reconciliation
Slide 11: Financial Highlights
FY22 Financial Highlights Net Sales Income from Diluted Earnings ($M) Operations per Share ($M) ($) $1,163.6 $1,088.0 $3.19 $127.9 $2.70 $111.7 FY21 FY22 FY21 FY22 FY21 FY22 11 Record Sales in Fiscal 2022
Slide 12: Year-end Balance Sheet
FY22 Year-end Balance Sheet Debt Cash and Cash Net Debt* ($M) Equivalents ($M) ($M) $240.1 $233.2 $210.5 $172.0 $38.5 $6.9 FY21 FY22 FY21 FY22 FY21 FY22 * See Appendix for reconciliation to GAAP 12 Continued Focus on Debt and Cash Management
Slide 13: Free Cash Flow
FY22 Free Cash Flow Net Cash Provided by Capital Free Cash Flow* Operating Activities Expenditure ($M) ($M) ($M) $179.8 $154.9 $98.8 $60.8 $36.0 $42.0 $38.0 $31.2 $33.6 $24.9 $4.8 $8.4 FY21 Q4 FY22 Q4 FY21 FY22 FY21 Q4 FY22 Q4 FY21 FY22 FY21 Q4 FY22 Q4 FY21 FY22 Q4 FY Q4 FY Q4 FY * See Appendix for
Slide 14: FY23 Guidance and 3-Year Sales Target
FY23 Guidance and 3-Year Sales Target Fiscal 2023 Full Year • Net sales of $1,160 - $1,210 million • Diluted earnings per share of $2.70 - $3.10 • Expecting soft earnings in first quarter with EPS improving as the fiscal year progresses This guidance is subject to change due to a variety of factors
Slide 15: Thank You
AETHODE ELECTRONICS Thank You
Slide 16: Appendix
Appendix METHODE ELECTRONICS, INC. AND SUBSIDIARIES RECONCILIATION OF NON-GAAP MEASURES (Unaudited) EBITDA: Net income Income tax expense Interest expense, net Amortization of intangibles Depreciation EBITDA Free Cash Flow: Net cash provided by operating activities Purchases of property, plant and e