Zebra Technologies Corporation · NASDAQ:ZBRA
Zebra Technologies — Nasdaq Investor Conference 2022
30 slides from Zebra Technologies's conference presentation, Jun 14, 2022
Slide 1: Investor Presentation
Investor Presentation June 14, 2022
Slide 2: Safe Harbor Statement
Safe Harbor Statement Statements made in this presentation which are not statements of historical fact are forward-looking statements and are subject to the safe harbor provisions created by the Private Securities Litigation Reform Act of 1995. Actual results may differ from those expressed or impli
Slide 3: Zebra Technologies: Compelling Investment Opportunity
Zebra Technologies: Compelling Investment Opportunity • Secular Trends to Digitize & Automate Operations • Market Leader in Core Categories with Track Record of Innovation • Enhancing Profitable Growth Profile Via Expansion Markets • Global Reach and Scale Through Extensive Partner Ecosystem • Diver
Slide 4: >50 Year Commitment to Innovation
>50 Year Commitment to Innovation Evolving Zebra's Solutions Offering to Elevate Our Customer Value Proposition 1969 1979 1991 2004 2014 2015–2016 2017–2018 2019 2020 2021 2022 First Android-powered Acquisition Launched Acquisition of enterprise wearable machine of Cortexica, Motorola computer First
Slide 5: Industry Leader With Global Diversified Customer Base
Industry Leader With Global Diversified Customer Base Sales by Geography Sales by Vertical Market Sales by Segment Other (Incl. Gov’t Latin America Asset Education, Hospitality) Intelligence Asia and Pacific North Retail & Healthcare Ecommerce Tracking America Enterprise Manufacturing Visibility and
Slide 6: Market Leadership
Market Leadership Asset Intelligence & Tracking (AIT) Enterprise Visibility & Mobility (EVM) #1 Market Share in Enterprise Mobile Computing and Data #1 Market Share in Barcode Printing Capture Solutions Segment Sales: $1.66B (FY21) Segment Sales: $3.98B (FY21) Printing Enterprise Mobile Computing Da
Slide 7: Zebra Digitizes & Automates the Front Line of Business
Zebra Digitizes & Automates the Front Line of Business Transforming Workflows: Purpose-Built Hardware + Software + Cloud Analytics Real-Time Actionable Insights ZEBRATECHNOLOGIES ZEBRA TECHNOLOGIES 7
Slide 8: Zebra Optimizes Workflows for the On-Demand Economy
Zebra Optimizes Workflows for the On-Demand Economy Trusted Strategic Partner to Industry Leaders Retail & Transportation Other Markets Manufacturing Healthcare Includes Government, Ecommerce & Logistics Education, Hospitality This is a sample text. Insert your desired text here. This is a sample te
Slide 9: Zebra Well Positioned for 5-7% L-T Organic Sales Growth in $30B Served Market
Zebra Well Positioned for 5-7% L-T Organic Sales Growth in $30B Served Market Attractive Adjacent & Expansion Opportunities Augment Our Vibrant Core Expansion Fixed Industrial Megatrends Scanning / Machine Vision Smart Cameras On-Demand Economy IoT & Asset Visibility Mobility & Cloud Computing Smart
Slide 10: Matrox Imaging Acquisition Significantly Expands Machine Vision Portfolio
Matrox Imaging Acquisition Significantly Expands Machine Vision Portfolio Enhanced Capabilities Accelerate Our Growth Opportunity INDUSTRIAL SCANNING ADVANCED MACHINE VISION FOUNDATIONAL MACHINE VISION PRODUCT PLATFORMS Smart Cameras Vision Controllers 3D Sensors Smart Cameras Matrox Smart Cameras,
Slide 11: Historical Growth and Profitability Profile
Historical Growth and Profitability Profile (1) FY19 FY20 FY21 1Q22 (2) Organic Net Sales Growth +5.5% (-0.9)% +23.2% +5.4% Adjusted EBITDA Margin 21.6% 20.5% 23.0% 19.9% Non-GAAP Diluted EPS Growth +18% (1)% +44% (16)% Free Cash Flow $624M $895M $1,010M (3) Free Cash Flow Conversion 88% 129% 102% 1
Slide 12: Zebra's Long-Term Strategy Supported By Sustainable Business Model
Zebra’s Long-Term Strategy Supported By Sustainable Business Model Advance Enterprise Asset Intelligence Vision Extend Leadership In Drive Growth in Strategic Focus Core Markets Attractive Expansion Markets Enhance Financial Strength & Flexibility ESG Foundation Human Capital Resource Conservation C
Slide 13: Our ESG Priorities
Our ESG Priorities Human Capital Management Resource Conservation • Be the employer of choice in the communities where we work and live • Focus on sustainable product Edit text • Driving a high-performance, inclusive and diverse culture ESG here design, eco-packaging and waste reduction • Employee-l
Slide 14: Zebra Solutions – ESG Customer Benefits
Zebra Solutions – ESG Customer Benefits Productivity Quality & Waste Eco Offerings Safety & Security Empower Workers • Efficient operations • A.I. demand • Circular economy • Administer medicine • Real-time actionable sensing innovation for data for servicing • Address labor • Data security Machine
Slide 15: Q&A
Q&A ZEBRA TECHNOLOGIES
Slide 16: About Zebra
About Zebra Zebra (NASDAQ: ZBRA) empowers the front line of business in retail, manufacturing, transportation and logistics, healthcare, and other industries to achieve a performance edge. We deliver industry-tailored, end-to-end solutions that intelligently connect people, assets and data to help o
Slide 17: Appendix
Appendix ZEBRA TECHNOLOGIES 17
Slide 18: Use of Non-GAAP Financial Information
Use of Non-GAAP Financial Information This earnings release contains certain Non-GAAP financial measures, consisting of “adjusted net sales,” “adjusted gross profit,” “EBITDA,” “Adjusted EBITDA,” “Non-GAAP net income,” “Non-GAAP earnings per share,” “free cash flow,” “organic net sales growth,” and
Slide 19: GAAP to Non-GAAP Organic Net Sales Growth Reconciliation
GAAP to Non-GAAP Organic Net Sales Growth Reconciliation (Unaudited) 19 ZEBRA TECHNOLOGIES
Slide 20: GAAP to Non-GAAP Net Income Reconciliation
(In millions, except GAAP to Non-GAAP Net Income Reconciliation share data) (Unaudited) 20 ZEBRA TECHNOLOGIES
Slide 21: GAAP to Non-GAAP EBITDA Reconciliation
(In millions) GAAP to Non-GAAP EBITDA Reconciliation (Unaudited) 21 ZEBRA TECHNOLOGIES
Slide 22: GAAP to Non-GAAP Organic Net Sales Growth Reconciliation
GAAP to Non-GAAP Organic Net Sales Growth Reconciliation (Unaudited) Three Months Ended December 31, 2021 AIT EVM Consolidated Reported GAAP Consolidated Net sales growth 4.5 % 15.2 % 12.2 % Adjustments: Impact of foreign currency translations (1) (1.4)% (0.8)% (1.4)% Impact of acquisitions (2) —% (
Slide 23: GAAP to Non-GAAP Organic Net Sales Growth Reconciliation
GAAP to Non-GAAP Organic Net Sales Growth Reconciliation (Unaudited) Three Months Ended December 31, 2020 AIT EVM Consolidated Reported GAAP Consolidated Net sales growth 14.5 % 8.1 % 9.7 % Adjustments: Impact of foreign currency translations (1) (0.5)% (0.1)% (0.2)% Impact of acquisitions (2) — % (
Slide 24: GAAP to Non-GAAP Net Income Reconciliation
GAAP to Non-GAAP Net Income Reconciliation Three Months Ended Twelve Months Ended December 31, December 31, December 31, December 31, 2021 2020 2021 2020 Net income $ 191 $ 199 $ 837 $ 504 Adjustments to Net sales(1) Purchase accounting adjustments — 5 6 7 (In millions, except Total adjustments to N
Slide 25: GAAP to Non-GAAP EBITDA Reconciliation
(In millions) GAAP to Non-GAAP EBITDA Reconciliation (Unaudited) Three Months Ended Twelve Months Ended December 31, December 31, December 31, December 31, 2021 2020 2021 2020 Net income $ 191 $ 199 $ 837 $ 504 Add back: Depreciation (excluding exit and restructuring costs) 18 16 72 67 Amortization
Slide 26: GAAP to Non-GAAP Free Cash Flow Reconciliation
(In millions) GAAP to Non-GAAP Free Cash Flow Reconciliation (Unaudited) Twelve Months Ended December 31, December 31, 2021 2020 Net cash provided by operating activities $ 1,069 $ 962 Less: Purchases of property, plant and equipment (59) (67) Free cash flow (Non-GAAP)(1) $ 1,010 $ 895 1. Free cash
Slide 27: GAAP to Non-GAAP Organic Net Sales Growth Reconciliation
GAAP to Non-GAAP Organic Net Sales Growth Reconciliation (Unaudited) Three Months Ended December 31, 2019 AIT EVM Consolidated Reported GAAP Consolidated Net sales growth 3.3% 5.6% 4.8% Adjustments: Impact of foreign currency translation(1) 1.0% 1.1% 1.1% Impact of acquisitions(2) (3.1)% (0.4)% (1.3
Slide 28: GAAP to Non-GAAP Net Income Reconciliation
GAAP to Non-GAAP Net Income Reconciliation (In millions, except share data) (Unaudited) Three Months Ended Twelve Months Ended December 31, December 31, December 31, December 31, 2019 2018 2019 2018 Net income $ 169 $ 115 $ 544 $ 421 Adjustments to Cost of sales(1) Purchase accounting adjustments —
Slide 29: GAAP to Non-GAAP EBITDA Reconciliation
GAAP to Non-GAAP EBITDA Reconciliation (In millions) (Unaudited) Three Months Ended Twelve Months Ended December 31, December 31, December 31, December 31, 2019 2018 2019 2018 Net income $ 169 $ 115 $ 544 $ 421 Add back: Depreciation 17 18 72 78 Amortization of intangible assets 19 26 103 97 Total O
Slide 30: GAAP to Non-GAAP Free Cash Flow Reconciliation
GAAP to Non-GAAP Free Cash Flow Reconciliation (In millions) (Unaudited) Twelve Months Ended December 31, December 31, 2019 2018 Net cash provided by operating activities $ 685 $ 785 Less: Purchases of property, plant and equipment (61) (64) Free cash flow (Non-GAAP)(1) $ 624 $ 721 (1) Free cash flo