Lgl Group, Inc. (the) · AMEX:LGL
Lgl Group, Inc. (the) — Q4 2009 Earnings Presentation
19 slides from Lgl Group, Inc. (the)'s earnings presentation, Mar 30, 2010
Slide 1: The LGL Group, Inc.
The LGL Group, Inc. (AMEX: LGL)
Slide 2: Safe Harbor Statement
Q4 2009 Earnings Report LGL March 30, 2010 10:00 a.m. EDT (eztv) Safe Harbor Statement This document includes certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. In addition, non-GAAP financial measures may be presented. These statements a
Slide 3: Agenda
Q4 2009 Earnings Report March 30, 2010 10:00 a.m. EDT Agenda Introduction Business Highlights Financial Highlights Key Investment Considerations Question and Answer
Slide 4: Business Highlights
Business Highlights
Slide 5: Q4 2009 Business Highlights
Q4 2009 Business Highlights + Q4 2009 finished strong as demonstrated by solid financial performance + Clear signs that the business fundamentals have improved, including a positive recovery for revenues + Efforts in 2009 to right-size and re-align the business were successful, as evidenced by a $2.
Slide 6: Q4 2009 Business Highlights: Sales/Revenues
Q4 2009 Business Highlights Sales/Revenues + Another strong quarter for new orders in both the Telecomm and MISA (military-instrum entation-space- avionics) market segments + Backlog as of the end of Q4 2009 increased 5.5% to $13.9MM as compared to Q3 2009 backlog of $13.2MM - Revenues for Q4 2009 w
Slide 7: Q4 2009 Business Highlights: Margins, Costs, Income, EPS
Q4 2009 Business Highlights Gross Margins - Costs - Income - Earnings Per Share + Operating efficiencies resulted in gross margins of 31.6% for Q4 2009, which was an increase of 12.1% Q3 2009, and an increase of 6.4% compared to the same period in 2008 gross margin of 25.2% + Structural costs in Q4
Slide 8: Q4 2009 Business Highlights: H1 2010 Outlook
Q4 2009 Business Highlights H1 2010 Outlook + Major customers report improving cash flows, increases in new orders, rising backlogs, and positive earnings + Leading indicators for the Telecom market segment: semi- conductor industry is reporting extended lead times «+ NewMlSA contracts won in H2 200
Slide 9: Financial Highlights
Financial Highlights
Slide 10: Financial Summary: Revenue Trend
Financial Summary Revenue Trend LGL Consolidated Revenue ($MM) $50 $45 $40 $35 $30 $25 $20 $15 $10 $5 $0 FY 2005 FY 2006 FY 2007 FY 2008 FY 2009 Note: Revenues for 2005, 2006 and a portion of 2007 includes Lynch Systems, whose operating assets were soldin 2007 -10-
Slide 11: Financial Summary: Income Statement Trends
Financial Summary Income Statement Trends (Gin millions, except EPS) Revenue Gross Profit % Margin EBITDA % Margin Net Income % Margin Earnings per Share FY 2006 FY 2007 FY2008 FY 2009 $41.5 $39.5 $40.2 $34.3 12.2 10.2 10.4 74 29.5% 25.8% 25.9% 23.7% 0.6 0.3 0.2 (1.2) 4.5% 0.8% 0.4% (3.9%) 1.0 (0.6)
Slide 12: Financial Summary: Capital Position
Financial Summary Capital Position as of 31.Dec.2009 Total Assets: $ 18.6 million Net Working Capital: $ 5.7 million Cash and ST Investments: $ 3.8 million Long Term Debt: $ 3.3 million Shareholders’ Equity: $ 9.0 million Available Line of Credit: $ 2.3 million The Company’s banking relationships re
Slide 13: Financial Summary: Order Backlog
Financial Summary Order Backlog (8000's at quarter end) 16,000 $13,221 $13,958 14,000 412,000 10,000 1. $8,182 $8,293 8,000 6,000 4,000 2,000 G4 2008 Q1 2009 Q2 2009 Q3 2009 Q4 2009 + The backlog continues to grow, with an increase of 5.5% over Q3 2009 and an increase of more than 70.5% compared to
Slide 14: Financial Summary: Gross Margin Analysis
Financial Summary Y Gross Margin Analysis (s[alolulr} 35.0% 30.0% 25.0% 20.0% 15.0% 10.0% 5.0% 0.0% Q4 2008 Volume Effect Materials Labor & Benefits Fixed Q4 2009 + Gross margin improved in Q4 2009 as compared to the same quarter in 2008 primarily due to improvements in matierals and fixed costs whi
Slide 15: Key Investment Considerations
Key Investment Considerations
Slide 16: Key Investment Considerations: Compelling Investment Opportunity
| Key Investment Considerations Compelling Investment Opportunity The Company’s attributes include: — Established reputation for high quality and innovation + Custom engineering capabilities and advanced technological designs + Platform for growth into existing customer base — Global manufacturing a
Slide 17: Key Investment Considerations: Blue-Chip Customer Base
Key Investment Considerations Blue-Chip Customer Base The Company has a long history of providing custom-engineered, high-value products to a roster of blue chip global OEM customers... af | ivi | hi Agilent Technologies . % % cisco. Raytheon’ b a _ _ ERIcsson 2 Honeywell -17-
Slide 18: Key Investment Considerations: Summary
Key Investment Considerations Summary Path to Organic Growth BlueChip ustomer Base
Slide 19: Question and Answer
Question and Answer Visit us: www.lgigroup.com www mtronpti.com. Contact us: Greg Anderson, President and CEO (E-mail: ganderson@lglgroup.com) R. LaDuane Clifton, Chief Accounting Officer (E-mail: Iclifton@lqlgroup.com) Voice: (407) 298-2000 -19-