Slide 1: 1Q Fiscal 2024 Webcast
1Q Fiscal 2024 Webcast February 22, 2024 NBS NEXT OWNER MINDSET WINNING TEAMS
Slide 2: Safe Harbor Statement
Safe Harbor Statement Click to edit title Under the Private Securities Litigation Reform Act of 1995 Certain statements contained in this release are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements may be identified by
Slide 3: Agenda
Agenda 1Q 2024 Webcast – February 22, 2024 ▪ 1st Quarter Highlights ▪ Enterprise Performance ▪ Sales Performance and Earnings Review ▪ FY 2024 and 2Q 2024 Guidance ▪ Balance Sheet and Cash Flow ▪ Q&A Sundaram Nagarajan Stephen Shamrock Lara Mahoney President and Vice President, Interim Vice Presiden
Slide 4: 1Q24 Highlights
▪ NBS Next is a competitive advantage 1Q24 Highlights ▪ Strong sales performance in medical NBS Next driving results, ARAG interventional, industrial coatings and acquisition performing well polymer processing product lines ▪ Profitability exceeded expectations ▪ Strategic deployment of record free
Slide 5: Total Company – 1Q 2024
Total Company – 1Q 2024 Sales 1Q 2024 Sales Bridge ▪ Reported sales of $633M, an increase of 4% ▪ 5% growth from ARAG acquisition; 0.5% favorable currency impact ▪ 2% organic decrease driven by electronics product lines, partially offset by industrial and medical product lines EBITDA* 1Q 2023 1Q 202
Slide 6: Industrial Precision Solutions – 1Q 2024
Industrial Precision Solutions – 1Q 2024 1Q 2024 IPS Sales Bridge Sales ▪ Sales of $355 million, increased 14% ▪ Organic growth of 2% driven by industrial coatings, polymer processing and nonwovens EBITDA and Margin EBITDA* $126 ▪ EBITDA was $126 million, or 36% of sales 33% $111 $109 36% ▪ EBITDA g
Slide 7: Medical and Fluid Solutions – 1Q 2024
Medical and Fluid Solutions – 1Q 2024 Sales 1Q 2024 MFS Sales Bridge** ▪ Sales of $160 million, increased 3% ▪ Organic sales increase of 3% driven by double-digit growth in medical interventional solutions product lines ▪ Weakness from prior year biopharma destocking anniversaried during the quarter
Slide 8: Advanced Technology Solutions – 1Q 2024
Advanced Technology Solutions – 1Q 2024 Sales 1Q 2024 ATS Sales Bridge ▪ Sales were $119 million, an 18% decrease ▪ Ongoing sales decline driven by softness in products serving the semiconductor end market EBITDA* EBITDA and Margin ▪ EBITDA was $22 million, or 19% of sales $31 $29 ▪ Reduction in EBI
Slide 9: Balance Sheet and Cash Flow
Balance Sheet and Cash Flow Strong Cash Flow with Sufficient Liquidity to Invest in Strategic Initiatives Net Debt Free Cash Flow ▪ Cash totaled $136 million ▪ Cash flow of $165 million, which is a conversion rate of 150% of net income ▪ 1.8 net debt leverage ratio based on trailing 12-month EBITDA
Slide 10: Enterprise Highlights
NBS Next is a competitive advantage Enterprise Highlights ▪ Data-driven growth framework driving entrepreneurial owner mindset ▪ Focus on top products and customers improving lead times and responsiveness driving growth ▪ Strategic cost actions benefitting profitability and focus Diverse End Markets
Slide 11: Full-Year Fiscal 2024 Guidance
Full-Year Fiscal 2024 Guidance Full-Year Sales Guidance $2,735 - $2,800 Narrowing guidance $2,590 $2,629 ▪ Backlog continues to normalize at $750 million ▪ Fiscal 2024 sales growth of 4% - 7% ▪ Adjusted earnings in the range of 2% to 7% growth 2022 2023 2024 Full-Year Adjusted EPS Guidance* $10.00 –
Slide 12: 2Q Fiscal 2024 Guidance
2Q Fiscal 2024 Guidance 2Q 2024 Sales Guidance Steady performance moving into $645-670 2Q $635 $650 ▪ 2Q 24 sales of $645 - $670 million ▪ 2Q 24 adjusted earnings per share in the range of $2.20 - $2.35 2Q 22 2Q 23 2Q 24 ▪ 2Q adjusted EPS guidance includes increased interest expense headwind of $0.1
Slide 13: New Board Members
New Board Members Chris Mapes Annette Clayton Executive Chairman and Chair and former president recently retired president and and CEO of Schneider CEO of Lincoln Electric, Electric NA, effective April 1 effective January 15 ▪ Director at A.O. Smith and The Timken Company ▪ Director at Duke Energy C
Slide 14: Questions?
Questions? Giordson
Slide 15: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures Net Income to Adjusted EBITDA (Dollars in thousands) 15
Slide 16: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures Adjusted Operating Profit and EBITDA (Dollars in thousands) 16
Slide 17: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures Profitability (Dollars in thousands) 17