Slide 1: Earnings Presentation Fourth Quarter Fiscal 2025
Methode Electronics, Inc. Earnings Presentation Fourth Quarter Fiscal 2025 July 10, 2025
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation includes forward-looking statements within the meaning of the Private • Our lengthy sales cycle; Securities Litigation Reform Act of 1995 that reflect, when made, our current views with respect to • Potential work stoppages; current events and financial p
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 Adjusted Net Income (Loss), Adjusted Diluted Earnings (Loss) Per Share, Adjusted Pre-Tax Income (Loss), Adjus
Slide 4: Agenda
Agenda Introduction – Rob Cherry, VP Investor Relations Q4 Business Update – Jon DeGaynor, President and CEO Q4 Financial Update – Laura Kowalchik, CFO Q&A Session – All 4
Slide 5: Key Messages
Key Messages Transformation focused on improving execution then growth – “Earning the Right” Reset of EV sales in FY26 due to market slowdown mainly driven by Stellantis; Expected return to growth in FY27 Q4 Free cash flow of $26M, highest level since FY23; FY25 Tooling recovery increased $12M and A
Slide 6: FY25 Q4 and Full Year Overview
FY25 Q4 and Full Year Overview Sales Lower from FY24 Q4 but Higher from FY25 Q3 Sales higher $17M Q/Q primarily driven strong data center demand for power products Key Financial Metrics Sales lower $20M Y/Y primarily driven by previously disclosed auto program roll-offs Adjusted loss from oper
Slide 7: Reflection on First Year and the Road Ahead in FY26
Reflection on First Year and the Road Ahead in FY26 0-6 Months 6-12 Months 12-18 Months Stabilize the Base Install New Team - Drive Launch Execution Remediate Practices - Revamp Mexico and - Diagnose Operations and Egypt Plants Supply Chain Leverage Synergies - Address Inventory - Build Executive Te
Slide 8: Transformation Roadmap and Accomplishments
Transformation Roadmap and Accomplishments Reset Build & Grow Shift Our Develop & Execute Performance Capabilities Culture New Strategy Improved Focus on Fundamental New Executive Leadership at Working and Collaborating Deploying Proactive Portfolio Operational Metrics & Levers CEO, CFO, CPO, CSO, C
Slide 9: How We Continue to "Earn the Right"
How We Continue to “Earn the Right” Fiscal 2026 Improvement Priorities Continue Foundational Actions Execute Program Launches Drive Operational Execution Accelerate Lower-Level Team Rebuilding Refine Organization to Harmonize with Market Opportunities Plant and SG&A Rightsizing Footpri
Slide 10: Financial Results
QAETHODE ELECTRONICS Financial Results
Slide 11: U.S. Tariff Overview
U.S. Tariff Overview* > Cross-functional team managing response daily from Day 1 ~% of Annual Global Sales % USMCA Compliance Exposed to Potential U.S. Tariffs on Applicable U.S. Imports > ~$265M in annual sales exposed to potential U.S. tariffs <5% ~25% > Main countries of import to U.S.: Mexico
Slide 12: FY25 Q4 Net Sales & Income from Operations
FY25 Q4 Net Sales & Income from Operations FY24 Q4 v. FY25 Q4 FY25 Q3 v. FY25 Q4 FY25 Q4 Performance Net Sales ($M) Record power product sales in data centers (7%) 7% Residual effect from two major auto program roll-offs $277.3 $257.1 $257.1 Continued market weakness in commercial vehicle $239
Slide 13: FY25 Q4 EBITDA
FY25 Q4 EBITDA FY24 Q4 v. FY25 Q4 FY25 Q3 v. FY25 Q4 FY25 Q4 Performance Adjusted EBITDA ($M)* Inventory adjustments drove Y/Y and Q/Q decline ($12.4) ($19.4) Lower net sales also drove Y/Y decline Inventory and sales Y/Y impacts partially offset by $12.3 lower S&A and other operational improv
Slide 14: FY25 Q4 Adjusted Pre-Tax Income & Earnings Per Share
FY25 Q4 Adjusted Pre-Tax Income & Earnings Per Share FY24 Q4 v. FY25 Q4 FY25 Q3 v. FY25 Q4 FY25 Q4 Performance Adj. Pre-Tax Income/(Loss) ($M)* Excess & Obsolete (E&O) inventory expense and discrete ($14.8) ($21.3) inventory adjustment totaled $15.2M Warranty and quality expenses of $4.5M for ex
Slide 15: FY25 Q4 Free Cash Flow
FY25 Q4 Free Cash Flow Net Cash Provided by Capital Free Cash Flow* Operating Activities Expenditure ($M) ($M) ($M) $10.5 $0.0 $10.5 $35.4 $24.9 $26.3 $15.8 $9.1 $9.1 FY24 Q4 FY25 Q4 FY24 Q4 FY25 Q4 FY24 Q4 FY25 Q4 15 Strong Free Cash Flow for 2nd Quarter in a Row * See Appendix for reconciliation t
Slide 16: FY25 Q4 Balance Sheet
FY25 Q4 Balance Sheet Total Debt Cash and Cash Net Debt* ($M) Equivalents ($M) ($M) ($10.3) ($0.2) ($10.1) $327.9 $317.6 $224.1 $214.0 $103.8 $103.6 FY25 Q3 FY25 Q4 FY25 Q3 FY25 Q4 FY25 Q3 FY25 Q4 16 Debt and Net Debt Down $10M since Q3 * See Appendix for reconciliation to GAAP
Slide 17: FY25 Net Sales & EBITDA
FY25 Net Sales & EBITDA Net Sales ($M) Adj. EBITDA* ($M) FY25 Performance 6% ($12.8) Net sales decline driven by two major auto program roll-offs totaling $111M Y/Y $12.2 ** Net sales decline partially offset by record year of $80M+ in power product sales in data centers $1,115 $1,048 $55.3 Ex
Slide 18: FY24 – FY26 Sales Bridge
FY24 – FY26 Sales Bridge “Positive Organic ($ in millions) $107 $1,272 Growth” “Flat” to FY24 $125 $0 $1,115 $84 $29 $1,115 As of FY25 Q1 ($59) ($38) ($37) ($54) Stellantis 2-Year Total Dropped from $209M to $6M $1,115 As of $46 $1,048 FY25 Q4 ($54) ($2) $48 $950 ($57) ($49) ($21) ($40) ($36) Net Ot
Slide 19: Guidance
Guidance Sales Fiscal 2026 Full Year Guidance • Net sales range of $900 million to $1,000 million $1,115 $1,048 ($ in millions) • FY25 was a 53-week fiscal year, and FY26 is a 52-week fiscal year $950 • EBITDA range of $70 million to $80 million • Second half of fiscal year expected to be higher tha
Slide 20: Thank You
AETHODE ELECTRONICS Thank You
Slide 21: Appendix
(AETHODE ELECTRONICS Appendix METHODE ELECTRONICS, INC. AND SUBSIDIARIES, RECONCILIATION OF NON-GAAP MEASURES (unaudited) (in mittions) Three Months Ended Fiscal Year Ended ‘May 3.2025 April2,2024 May 3.2025 April27,2024 (U3. Weeks) _(3 Weeks) _(G3 Weeks) (52 Weeks) EBITDA: Net loss S (283) $ (573)
Slide 22: Appendix
Appendix ‘METHODE ELECTRONICS, INC. AND SUBSIDIARIES RECONCILIATION OF NON-GAAP MEASURES (unaudited) (ia millions) ‘Three Months Ended ‘Nine Months Ended February 1, January 77, February 1, January 27. 2025 2024 2028 2024 GsWesks) 3 Weeks) _ 0 Weeks) _@0 Weeks) EBITDA: Net loss S44) S$ (116) $43) $
Slide 23: Appendix
Appendix METHODE METHODE ELECTRONICS, INC. AND SUBSIDIARIES RECONCILIATION OF NON-GAAP MEASURES (unaudited) (Go milions) ‘Three Months Ended Fiscal Year Ended ‘May 3.2028 April27.2024 “Nay3,2025 April 27,2024 (3 Weeks) "G3 Weeks) 3 Weeks) _ 62 Weeks) Free Cash Flow: Net cash provided by operating ac
Slide 24: Appendix
(AETHODE A en d ix METHODE ELECTRONICS, INC. AND SUBSIDIARIES ELECTRONICS RECONCILIATION OF NON.GAAP MEASURES (unaudited (a milion, except per share dats) “ee Man Fae Mis EAN “pay, 2 — a Loss from Pretax (10s) Less from Pretax oss) Netloss income ‘Netloss income ‘operations loss septs Ts c US. GAAP
Slide 25: Appendix
(AETHODE -METHODE ELECTRONICS, INC. AND SUBSIDIARIES. ELECTRONICS Appendix eon nnovorsonsiuuransatisesae (in millions, except per share data) ‘Theo Months Endod Febraary 12035 Fenvary 7200 ‘Died Low frem Preax x, EP Loss trom Prewax ‘operations less StU FEO Gperations less Nt TO GD FED SH SOA) TBH F