Slide 1: Fiscal Q2 2020 Earnings Call FieldReport
FieldReport / Fiscal Q2 2020 Earnings Call / April 23, 2020 NASDAQ:CLFD The Industry Leader in Craft Friendly Fiber Optic Management and Connectivity Solutions Fiscal Q2 2020 Earnings Call FieldReport Good afternoon. Welcome to Clearfield’s fiscal second quarter 2020 earnings conference call. My nam
Slide 2: Important Cautions Regarding Forward-Looking Statements
FieldReport / Fiscal Q2 2020 Earnings Call / April 23, 2020 Important Cautions Regarding Forward-Looking NASDAQ:CLFD Statements Forward-looking statements contained herein and in any related presentation or in the related FieldReport are made pursuant to the safe harbor provisions of the Private Lit
Slide 3: Welcome
FieldReport / Fiscal Q2 2020 Earnings Call / April 23, 2020 NASDAQ:CLFD Welcome Cheri Beranek PRESIDENT & CEO NASDAQ:CLFD 3 Good afternoon, and thank you everyone for joining us today. Due to the critical role Clearfield’s solutions play in supporting the communications infrastructure, Clearfield op
Slide 4: FQ2 2020 Highlights
FieldReport / Fiscal Q2 2020 Earnings Call / April 23, 2020 Quarterly Revenue NASDAQ:CLFD FQ2 2020 Highlights $24.0M $21.9M • Revenue of $20.4M, up 7% over the prior $19.1M $19.4M $20.4M year quarter • 66% growth in Tier 1 revenue over the prior year quarter, driven by strong market adoption of Fiel
Slide 5: FQ2 & TTM Revenue Comparison by Market
FieldReport / Fiscal Q2 2020 Earnings Call / April 23, 2020 TTM Revenue Composition Ended 3/31/201NASDAQ:CLFD FQ2 & TTM Revenue Comparison by Market 6% 5% Quarterly Revenue 12% FQ2 19 FQ2 20 $12.1 $12.2 61% 17% $3.9 $2.3 $2.6 $2.0 $1.0 $1.5 $1.2 $0.8 Community National Carrier MSO International Buil
Slide 6: Financial Update
FieldReport / Fiscal Q2 2020 Earnings Call / April 23, 2020 NASDAQ:CLFD Financial Update Dan Herzog CHIEF FINANCIAL OFFICER NASDAQ:CLFD 6 Thank you, Cheri, and good afternoon, everyone. Now, looking at our second quarter financial results in more detail…
Slide 7: Quarterly Financial Performance
FieldReport / Fiscal Q2 2020 Earnings Call / April 23, 2020 NASDAQ:CLFD Quarterly Financial Performance Revenue $24.0 $21.9 $19.1 $19.4 $20.4 Q2-19 Q3-19 Q4-19 Q1-20 Q2-20 +13% +2% +7% -4% +7% Year-over-Year Growth Rate Note: Dollar figures in millions NASDAQ:CLFD 7 Our revenue in the second quarter
Slide 8: Quarterly Financial Performance
FieldReport / Fiscal Q2 2020 Earnings Call / April 23, 2020 NASDAQ:CLFD Quarterly Financial Performance Revenue Gross Profit $24.0 $21.9 $9.3 $19.1 $19.4 $20.4 $8.4 $7.7 $8.2 $7.0 Q2-19 Q3-19 Q4-19 Q1-20 Q2-20 Q2-19 Q3-19 Q4-19 Q1-20 Q2-20 +13% +2% +7% -4% +7% 36.8% 38.4% 38.8% 39.9% 39.9% Year-over
Slide 9: Quarterly Financial Performance
FieldReport / Fiscal Q2 2020 Earnings Call / April 23, 2020 NASDAQ:CLFD Quarterly Financial Performance Revenue Gross Profit Operating Expenses $24.0 $21.9 $9.3 $19.1 $19.4 $20.4 $8.4 $7.7 $8.2 $7.4 $6.9 $7.1 $7.3 $7.0 $6.7 Q2-19 Q3-19 Q4-19 Q1-20 Q2-20 Q2-19 Q3-19 Q4-19 Q1-20 Q2-20 Q2-19 Q3-19 Q4-1
Slide 10: Quarterly Financial Performance
FieldReport / Fiscal Q2 2020 Earnings Call / April 23, 2020 NASDAQ:CLFD Quarterly Financial Performance Revenue Gross Profit Operating Expenses Net Income $24.0 $21.9 $9.3 $19.1 $19.4 $20.4 $8.4 $7.7 $8.2 $7.3 $7.4 $6.7 $6.9 $7.1 $1.9 $7.0 $1.3 $0.7 $0.4 $0.5 Q2-19 Q3-19 Q4-19 Q1-20 Q2-20 Q2-19 Q3-1
Slide 11: Strong Balance Sheet Supports Profitable Growth
FieldReport / Fiscal Q2 2020 Earnings Call / April 23, 2020 Strong Balance Sheet Supports Profitable Growth NASDAQ:CLFD Cash and Investment Balances • $48.4 million in $47.5 $48.4 cash and cash $44.2 $44.3 investment $34.3 $35.5 balances 2015 2016 2017 2018 2019 Q2-20 $ in Millions NASDAQ:CLFD 11 Du
Slide 12: Clearfield's 'Coming of Age' Plan
FieldReport / Fiscal Q2 2020 Earnings Call / April 23, 2020 NASDAQ:CLFD Clearfield’s ‘Coming of Age’ Plan Expanding Core Community Broadband Business Attracting utilities, co-ops and CLECs as they enter underserved communities, maintaining a steady growth rate NASDAQ:CLFD 12 Thanks, Dan. Over the la
Slide 13: Clearfield's 'Coming of Age' Plan
FieldReport / Fiscal Q2 2020 Earnings Call / April 23, 2020 NASDAQ:CLFD Clearfield’s ‘Coming of Age’ Plan Expanding Core Community Broadband Business Attracting utilities, co-ops and CLECs as they enter underserved communities, maintaining a steady growth rate Enhancing Competitive Position and Oper
Slide 14: Clearfield's 'Coming of Age' Plan
FieldReport / Fiscal Q2 2020 Earnings Call / April 23, 2020 NASDAQ:CLFD Clearfield’s ‘Coming of Age’ Plan Expanding Core Community Broadband Business Attracting utilities, co-ops and CLECs as they enter underserved communities, maintaining a steady growth rate Enhancing Competitive Position and Oper
Slide 15: Operational Response to COVID-19
FieldReport / Fiscal Q2 2020 Earnings Call / April 23, 2020 NASDAQ:CLFD Operational Response to COVID-19 Assigned Critical Manufacturer Status Will remain open per the “Guidance on the Essential Critical Infrastructure Workforce” published by the U.S. Department of Homeland Security Majority of Supp
Slide 16: Key Takeaways
16 FieldReport / Fiscal Q2 2020 Earnings Call / April 23, 2020 NASDAQ:CLFD Key Takeaways Proven business model Enhanced management and management team and expansion of execution Strong competitive position total addressable market in a rapidly growing multi-billion-dollar fiber 12 optics industry, e
Slide 17: Q&A
FieldReport / Fiscal Q2 2020 Earnings Call / April 23, 2020 NASDAQ:CLFD Q&A Cheri Beranek Dan Herzog PRESIDENT & CEO CHIEF FINANCIAL OFFICER NASDAQ:CLFD 17 Thank you. We will now be taking questions from the company’s publishing sell-side analysts.
Slide 18: Thank You
FieldReport / Fiscal Q2 2020 Earnings Call / April 23, 2020 NASDAQ:CLFD Thank You Cheri Beranek PRESIDENT & CEO NASDAQ:CLFD 18 Thank you again for joining us today. We look forward to updating you again on our progress soon.
Slide 19: Contact Us
FieldReport / Fiscal Q2 2020 Earnings Call / April 23, 2020 NASDAQ:CLFD COMPANY CONTACT: INVESTOR RELATIONS: Cheri Beranek Matt Glover and Tom Colton Contact Us President & CEO Clearfield, Inc. Gateway Investor Relations (949) 574-3860 IR@clfd.net CLFD@gatewayir.com NASDAQ:CLFD 19 Thank you for join