Boise Cascade, L.l.c. · NYSE:BCC
Boise Cascade, L.l.c — Q3 2020 Earnings Presentation
15 slides from Boise Cascade, L.l.c's earnings presentation, Nov 2, 2020
Slide 1: Third Quarter 2020 Earnings Webcast
Boise Cascade Company Third Quarter 2020 Earnings Webcast November 2, 2020
Slide 2: Forward-Looking Statements
Forward-Looking Statements u This presentation includes statements about our expectations of future operational and financial performance that are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The accuracy of such statements is subject to a nu
Slide 3: Executive Summary
Executive Summary u 3Q20 sales were $1.6 billion, up 25% from 3Q19. u 3Q20 net income was $103.2 million, or $2.61 per share, compared to net income of $27.2 million, or $0.69 per share, in 3Q19. Ø Current year results include $10.5 million of net after-tax losses, or $0.27 per share, on the extingu
Slide 4: 3Q 2020 Financial Highlights
3Q 2020 Financial Highlights Sales Adjusted EBITDA $1,589.3 $178.6 179% 25% $1,269.5 113.6 1,437.7 $ Millions $ Millions 1,145.6 $64.1 43.9 80.0 363.7 325.1 30.8 (212.0) (201.2) (15.0) (10.7) 3Q 2020 3Q 2019 3Q 2020 3Q 2019 n BMD n Wood n Eliminations n BMD n Wood Corporate November 2, 2020 4
Slide 5: Wood Products EWP
Wood Products EWP LVL I-joists (mmcf) (mmelf) 6.0 70 63 59 60 60 5.0 4.7 4.6 4.6 4.6 60 4.3 4.3 54 52 4.0 3.8 50 50 3.0 40 2.0 1Q 2Q 3Q 4Q 30 1Q 2Q 3Q 4Q ($/cf) ($/melf) $1,300 1,266 1,276 1,279 1,268 1,266 1,260 $20 1,237 18.87 18.7018.36 18.59 18.50 18.51 18.14 $1,200 $18 $1,100 $16 $14 $1,000 $12
Slide 6: Wood Products Plywood
Wood Products Plywood Sales Volume Net Sales Price (mmsf 3/8" basis) ($/msf 3/8" basis) 400 $450 428 343 343 $400 350 336 318 314 316 315 $350 300 $300 287 287 267 272 250 254 251 $250 200 $200 150 $150 100 $100 1Q 2Q 3Q 4Q 1Q 2Q 3Q 4Q 2019 2020 November 2, 2020 6
Slide 7: Building Materials Distribution Sales
Building Materials Distribution Sales ($ Millions) (% of Sales) $1,600 100 1,438 17 16 20 20 19 21 20 $1,400 80 $1,200 1,134 1,146 1,097 1,050 987 34 $1,000 36 40 908 60 39 40 38 38 $800 40 $600 $400 50 44 41 41 41 42 43 20 $200 $0 0 1Q 2Q 3Q 4Q 1Q19 2Q19 3Q19 4Q19 1Q20 2Q20 3Q20 2019 2020 Commodity
Slide 8: Lumber Composite Price
Lumber Composite Price First Quarter Second Quarter Third Quarter Fourth Quarter $1,000 $950 $900 $850 $800 $750 $700 $650 $600 610 $550 $500 $450 $400 $350 $300 $250 1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 41 43 45 47 49 51 2017 2018 2019 2020 Source: Random Lengths November 2, 2020
Slide 9: Panel Composite Price
Panel Composite Price First Quarter Second Quarter Third Quarter Fourth Quarter $800 $750 $700 705 $650 $600 $550 $500 $450 $400 $350 $300 $250 1 3 5 7 9 11 13 15 17 19 21 23 25 27 29 31 33 35 37 39 41 43 45 47 49 51 Week 2017 2018 2019 2020 Source: Random Lengths November 2, 2020 9
Slide 10: Working Capital
Working Capital ($ Millions) 9/30/2020 6/30/2020 Change Receivables $ 437.9 $ 360.9 $ 77.0 Inventory 454.3 456.1 (1.8) Other current assets (a) 17.4 14.7 2.7 909.6 831.7 77.9 Accounts payable 382.7 322.7 60.0 Accrued liabilities (b) 210.8 148.5 62.2 593.5 471.2 122.3 Net working capital $ 316.1 $ 36
Slide 11: Debt and Liquidity Highlights
Debt and Liquidity Highlights ($ Millions) 9/30/2020 6/30/2020 Net Debt Total debt $ 443.6 $ 440.2 Cash & cash equivalents (503.9) (361.4) Net debt (cash) $ (60.4) $ 78.7 Liquidity Position Bank line excess availability $ 345.4 $ 345.4 Cash & cash equivalents 503.9 361.4 Total liquidity $ 849.3 $ 70
Slide 12: Outlook
Outlook u Current consensus estimate for 2020 U.S. housing starts is 1.32, up 2% from 2019 levels. Longer-term impact of COVID-19 on residential housing preferences and new construction is uncertain, but near term demand remains favorable. u Operational focus in Wood Products: Ø Order files at manuf
Slide 13: Appendix
joise Cascade @~=— 4 ae = L—=£r¢ — a Appendix November 2, 2020
Slide 14: Appendix
Appendix EBITDA represents income before interest (interest expense and interest income), income taxes, and depreciation and amortization. Additionally, we disclose Adjusted EBITDA, which further adjusts EBITDA to exclude the change in fair value of interest rate swaps and loss on extinguishment of
Slide 15: Appendix
Appendix The following table reconciles segment income to EBITDA for the three months ended September 30, 2020 and 2019, and June 30, 2020: Three Months Ended ($ Millions) 3Q20 3Q19 2Q20 Wood Products Segment income $ 66.0 $ 15.6 $ 17.1 Depreciation and amortization 13.9 15.3 13.9 Segment EBITDA $ 8