Slide 1: First Quarter 2022 Earnings Review
First Quarter 2022 Earnings Review May 2, 2022
Slide 2: Forward-Looking Statements
Forward-Looking Statements Statements in this presentation that express a belief, expectation or intention, as well as those that are not historical fact, are forward-looking statements under the Private Securities Litigation Reform Act of 1995. They involve a number of risks and uncertainties that
Slide 3: Q1 2022 Update
Q1 2022 Update Eric Vaillancourt President & Chief Executive Officer
Slide 4: Q1 2022 Highlights
Q1 2022 Highlights Disciplined Execution Financial Highlights Strategic Focus 13.5% Agile execution throughout Remain focused on niche, high- the organization drove margin material science- strong results related businesses with strong Sales (organically) cash flow and robust aftermarket exposure Nx
Slide 5: Overview of Financial Results
Overview of Financial Results Milt Childress Executive Vice President & Chief Financial Officer
Slide 6: Q1 2022 Financial Performance
Q1 2022 Financial Performance $ in millions, except per share data Sales Gross Profit & Margin Adjusted EBITDA* & Margin* Adjusted Diluted EPS* +17.7% -430 bps +30.6% +33.6% • Positive momentum in semiconductor, • Gross margin contraction driven primarily • Adjusted EBITDA* of $67.9 million • Adjust
Slide 7: Sealing Technologies – Q1 2022 Performance
Sealing Technologies – Q1 2022 Performance $ in millions Sales Adjusted EBITDA & Margin +4.8% -1.2% • Sales increase driven by strong demand in heavy-duty truck, • Adjusted segment EBITDA of $33.5 million essentially flat compared to the food & pharma, aerospace and general industrial markets, prior
Slide 8: Advanced Surface Technologies – Q1 2022 Performance
Advanced Surface Technologies – Q1 2022 Performance $ in millions Sales Adjusted EBITDA & Margin +113.3% +101.7% • Sales increase driven primarily by the acquisition of NxEdge • Adjusted segment EBITDA increase driven primarily by the NxEdge completed in December 2021 and continued strong demand acq
Slide 9: Engineered Materials – Q1 2022 Performance
Engineered Materials – Q1 2022 Performance $ in millions Sales Adjusted EBITDA & Margin -26.6% -27.0% • Sales decline driven primarily by the CPI divestiture and • Adjusted segment EBITDA decreased 27% over prior-year industry-wide supply chain related constraints affecting period driven primarily b
Slide 10: Balance Sheet, Cash Flow & Capital Allocation
Balance Sheet, Cash Flow & Capital Allocation $ in millions Net Leverage Commentary Reported March 31, 2022 • Strong balance sheet; ample liquidity consisting of Credit Facility $ 130 $293.4M cash and $258.6M3 available under revolver Term Loans1,2 $ 601 • Free cash flow* for the three months ended
Slide 11: 2022 Guidance
2022 Guidance 2022 Guidance Commentary • Adjusted EBITDA expected to be Previous 2022 Guidance* Current 2022 Guidance* weighted fairly evenly between (as of 2/22/22) (as of 5/2/22) the first and second half of 2022 • Key Assumptions – Revenue Growth Low Double-Digits Low Double-Digits • Depreciation
Slide 12: ESG Update & Closing Comments
ESG Update & Closing Comments Eric Vaillancourt President & Chief Executive Officer
Slide 13: ESG Initiatives
ESG Initiatives • Collection of energy, water, and waste usage data underway Build the framework for 1 a comprehensive • Vetting partners to automate process across our manufacturing facilities Climate Action Plan • Our goal is to calculate our normalized GHG baseline in 2022 2 • Continue global gen
Slide 14: Closing Comments
Closing Comments Enpro is a leading industrial technology company with a focus on technology-enabled products and services that safeguard critical environments in secularly growing markets Results demonstrate the benefits of our clear and consistent strategy, agility, discipline and market leadershi
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Slide 16: Appendix
Appendix ©
Slide 17: Enpro (NYSE: NPO) | Attractive Portfolio of Businesses
Enpro (NYSE: NPO) | Attractive Portfolio of Businesses Company Overview 2021 Revenue Contribution Sales by Segment Sales by Channel Sales by Geography Pro Forma Sales by Market4 Headquarters Charlotte, NC Principal Manufacturing 19 Facilities Global Employees ~4,400 Financial Overview Market-Cap1 $1
Slide 18: Reconciliation of LTM Results
Reconciliation of LTM Results EnPro Industries, Inc. Adjusted Adjusted ($ in millions) Revenue EBITDA EBITDA Margin Three Months Ended March 31, 2022 $ 328.7 $ 67.9 20.7% Plus: Year Ended December 31, 2021 1,141.8 208.4 18.3% Less: Three Months Ended March 31, 2021 279.3 52.0 18.6% LTM Ended March 3
Slide 19: Consolidated Adjusted EBITDA (1/2)
Consolidated Adjusted EBITDA (1/2) For the Years Ended December 31, 2021 and 2020 (Stated in Millions of Dollars) 1Non-controlling interest compensation allocation represents compensation expense associated with a 2022 2021 portion of the rollover equity from the acquisitions of Income (loss) from c
Slide 20: Consolidated Adjusted EBITDA (2/2)
Consolidated Adjusted EBITDA (2/2) For the Three Months Ended March 31, 2022 and 2021 (Stated in Millions of Dollars) 2022 2021 Net income attributable to EnPro Industries, Inc. $ 16.2 $ 18.0 Net income attributable to redeemable non-controlling interests 0.3 0.1 Net income 16.5 18.1 Adjustments to
Slide 21: Segment Information (1/2)
Segment Information (1/2) For the Three Months Ended March 31, 2022 and 2021 Reconciliation of Adjusted Segment EBITDA to Net Income Attributable to EnPro Industries, Inc. (Stated in Millions of Dollars) 2022 2021 Adjusted Segment EBITDA $ 77.6 $ 63.8 Sales (0.2) (0.1) Acquisition and divestiture ex
Slide 22: Segment Information (2/2)
Segment Information (2/2) For the Three Months Ended March 31, 2022 and 2021 (Stated in Millions of Dollars) Three Months Ended March 31, 2022 Three Months Ended March 31, 2021 Advanced Advanced Sealing Surface Engineered Total Sealing Surface Engineered Total Technologies Technologies Materials Seg
Slide 23: Consolidated Adjusted Net Income
Consolidated Adjusted Net Income (Stated in Millions of Dollars, Except Per Share Data) Three Months Ended March 31, 2022 2021 Average Average common common shares shares outstanding, outstanding, diluted Per diluted Per $ (millions) Share $ (millions) Share Net income attributable to EnPro Industri
Slide 24: Free Cash Flow
Free Cash Flow (Stated in Millions of Dollars) Free Cash Flow - Three Months Ended March 31, 2022 Net cash provided by operating activities $ 30.7 Purchases of property, plant, and equipment (3.8) Free cash flow $ 26.9 Free Cash Flow -Three Months Ended March 31, 2021 Net cash provided by operating