Dover Corporation · NYSE:DOV

Dover — Q1 2024 Earnings Presentation

23 slides from Dover's earnings presentation, Apr 25, 2024

  1. Slide 1: Earnings Conference Call First Quarter 2024

    April 25, 2024 – 8:30am CT Earnings Conference Call First Quarter 2024

  2. Slide 2: Forward-Looking Statements and Non-GAAP Measures

    Forward-Looking Statements and Non-GAAP Measures We want to remind everyone that our comments may contain forward-looking statements that are inherently subject to uncertainties and risks, including general economic conditions and conditions in the particular markets in which we operate, changes in

  3. Slide 3: Q1 2024 Key Messages

    Q1 2024 Key Messages ▪ Year-to-date performance in line with expectations with solid order momentum – Strong performance in several markets and improving trends in biopharma components offset normal seasonality and known headwinds in heat exchangers and beverage can making – Both Dover and channel i

  4. Slide 4: Q1 2024 Performance Highlights

    Q1 2024 Performance Highlights Organic Revenue(1) -1% Y-o-Y Organic Bookings(2) +3% Y-o-Y All-in revenue grew 1% Quarterly Y-o-Y Organic Bookings Growth 61% 25% 22% 27% -4% -12% -4% 2% 3% Total Segment -30 bps Y-o-Y to 19.7% Earnings Margin(1) -5% -8% -9% -18% Expect return to positive Y-o-Y accreti

  5. Slide 5: Summary Corporate Q1 Results

    Summary Corporate Q1 Results Q1 2024 Highlights Revenue change All-in +1% ▪ Acquisition impact: +2%; FX was negligible (Y-o-Y) Organic(1) -1% Bookings change All-in(2) +5% ▪ Book-to-bill(2): 1.06 (Y-o-Y) Organic(2) +3% Margin % 20% Segment Earnings(1) ▪ Segment Earnings(1) approximately flat Y-o-Y Y

  6. Slide 6: Segment Results

    Segment Results Q1 2024 Revenue ($M) / Segment Earnings Segment Y-o-Y Organic(1) ∆ % % / bps ∆ Y-o-Y Performance Commentary ▪ Strong volumes in waste handling and aerospace & defense. Improving shipments and bookings (2) $543 19% growth in vehicle service DEP +9% +220 bps ▪ Margin up on strong volum

  7. Slide 7: Revenue & Bookings

    Revenue & Bookings Q1 2024 Revenue Change in Organic Revenue(1): -$26M, or -1% Q1 ’24 Organic Rev Growth(1) ($M) 2,079 46 6 -5 19 -93 -1 43 2,094 US 58% +1% Q1 2023 DEP DCEF DII DPPS DCST FX ACQUISITIONS Q1 2024 Organic Q1 2024 Bookings(2) Change in Organic Bookings(2): +$65M, or +3% EUROPE 21% -1%

  8. Slide 8: Q1 2024 Free Cash Flow

    Q1 2024 Free Cash Flow $M Q1 ’24 Q1 ’23 ∆ Net earnings 632 229 403 Gain on disposition (530) -- (530) D&A 85 78 7 Change in working capital (100) 5 (105) Change in accrued and deferred taxes 134 24 110 Change in other (1) (54) (95) 41 Cash flow from operations 167 241 (74) Capex (44) (48) 4 Free cas

  9. Slide 9: Bookings Momentum in Several Key Markets Upgrading Portfolio Growth and Margin

    Bookings Momentum in Several Key Markets Upgrading Portfolio Growth and Margin US CO2 Systems US Heat Exchangers Thermal Connectors Biopharma Components ▪ Regulatory tailwinds driving ▪ BPHE(1) gaining share from other ▪ Critical component in liquid ▪ Biopharma recovering as transition toward natura

  10. Slide 10: Strong Value-Creation Driven by Growth and Margin Improvement

    Strong Value-Creation Driven by Growth and Margin Improvement; Equipped With the Portfolio, Strategy and Levers to Drive Future Value Revenue and Segment Margin(1) ($B) Through-Cycle Adj. EPS(1) Segment Margin Revenue $8.6-$8.8 +10-11% CAGR $8.5 $8.4 $7.9 $8.45 $8.80 $9.00-$9.15 $7.63 $7.0 $7.1 $5.9

  11. Slide 11: Appendix

    Appendix 11

  12. Slide 12: CPC Participation in Liquid Cooling

    CPC Participation in Liquid Cooling Chip / processor manufacturers ▪ Chip design / provide recommended cooling specifications to downstream partners GPU chip Server hardware OEMs ▪ Server architecture / integration of subassemblies ▪ Integrates software and hardware for infrastructure solutions Serv

  13. Slide 13: Q1 2024 Total Segment Earnings and Adjusted Net Earnings

    Q1 2024 Total Segment Earnings and Adjusted Net Earnings Change in Total Segment Earnings(2) -$2M 21.5% 21.7% 20.0% -30 bps 19.7% ($M) 415 35 450 19 -3 2 5 -22 451 37 413 TOTAL SEG. NON-ACQ. ADJ. DEP DCEF DII DPPS DCST ADJ. NON-ACQ. TOTAL SEG. EARNINGS D&A (1) EBITDA (2) EBITDA (2) D&A (1) EARNINGS

  14. Slide 14: Organic Revenue Bridges

    Organic Revenue Bridges Segment Growth Factors Qt 2024 FY 2023 FY 2022 FY 2021 FY 2020 FY 2019 FY 2018 Organic Engineered Products 9.2% (1.9)% 16.8 % 14.1 % (10.3) % 54% 66 % Clean Energy & Fueling 14% (4.0)% (0.3)% 5.8 % (8.8)% 10.5 % 9.9 % Imaging & Identification (1.6)% 02% 29% 8.0 % (7.2)% 12% 4

  15. Slide 15: Organic Bookings Bridges

    Organic Bookings Bridges (1) Refer to Performance Measures Definitions section. 15

  16. Slide 16: Q1 2023 to Q1 2024 Revenue and Bookings Bridges

    Q1 2023 to Q1 2024 Revenue and Bookings Bridges Note: Numbers may not add due to rounding (1) Refer to Performance Measures Definitions section. 16

  17. Slide 17: Reconciliation of Net Earnings to Total Segment Earnings and Total Adjusted Segment EBITDA

    Reconciliation of Net Earnings to Total Segment Earnings and Total Adjusted Segment EBITDA Note: Numbers may not add due to rounding (1) Other depreciation and amortization relates to property, plant, and equipment and intangibles, and excludes amounts related to purchase accounting expenses and res

  18. Slide 18: Reconciliation of Net Earnings to Total Segment Earnings

    Reconciliation of Net Earnings to Total Segment Earnings Note: Numbers may not add due to rounding 18

  19. Slide 19: Reconciliation of Net Earnings to Adjusted Net Earnings and Diluted EPS to Adjusted Diluted EPS

    Reconciliation of Net Earnings to Adjusted Net Earnings and Diluted EPS to Adjusted Diluted EPS Note: Numbers may not add due to rounding 19

  20. Slide 20: Reconciliation of Free Cash Flow and EPS to Adjusted EPS

    Reconciliation of Free Cash Flow and EPS to Adjusted EPS Note: Numbers may not add due to rounding 20

  21. Slide 21: Non-GAAP Definitions

    Non-GAAP Definitions Definitions of Non-GAAP Measures: Adjusted Net Earnings: is defined as net earnings adjusted for the effect of purchase accounting expenses, restructuring and other costs, disposition costs, Tax Cuts and Jobs Act, loss on assets held for sale and gain/loss on disposition. Adjust

  22. Slide 22: Performance Measure Definitions

    Performance Measure Definitions Definitions of Performance Measures: Bookings represent total orders received from customers in the current reporting period and exclude de-bookings related to orders received in prior periods, if any. This metric is an important measure of performance and an indicato

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