Teledyne Technologies Incorporated · NYSE:TDY
Teledyne Technologies — Investor Presentation (January 2021)
24 slides from Teledyne Technologies's investor presentation, January 2021
Slide 1: Teledyne Technologies Investor Presentation January 2021
January 2021 a) TELEDYNE TECHNOLOGIES Everywhereyoulook’
Slide 2: Cautionary Statement Regarding Forward Looking Statements
Cautionary Statement Regarding Forward Looking Statements This report contains forward-looking statements, as defined in the Private Securities Litigation Reform Act of 1995, with respect to management’s beliefs about the financial condition, results of operations and businesses of Teledyne in the f
Slide 3: Enabling Technologies to Sense, Transmit and Analyze Information
Enabling Technologies to Sense, Transmit and Analyze Information NN 3
Slide 4: Teledyne
Teledyne High technology industrial company Broad, balanced portfolio of highly engineered products Proven track record; hands-on management; consistent, predictable performance Further opportunities for margin improvement Compound growth in earnings and cash flow Prudent capital deploym
Slide 5: Teledyne Markets; Global Presence
Teledyne Markets; Global Presence Sales of ~$3.08 Billion(a) Markets(b) Sales by Geography(b) Offshore Energy Other Marine Europe Instrumentation(c) 5% 8% 19% U.S. U.S. Gov’t Analytical and Gov’t Electronic Test & 22% Measurement(d) 26% 26% Asia 19% Pac NN 4% Other 6% Americas Other 3% Industrials(e
Slide 6: Teledyne's Transformation
Teledyne’s Transformation Ongoing portfolio transformation 2000(a) 2010(b) 2020(c) Sales of ~$827M Sales of ~$1.78B Sales of ~$3.08 37% 7% 36% 32% 3% Printed 6% Circuits 32% Aerospace 4% 7% NN Castings 34% 13% Aerospace 17% 33% Engines Aerospace 19% Engines 19% 1% Printed Circuits Instrumentation Di
Slide 7: Continuous Improvement
Continuous Improvement(a) Gross Margin(b) EBITDA Margin 44% 20% 40% 18% 16% 36% 14% 32% 12% 28% 10% 8% 24% 6% 20% 4% 9Mo. '20 2016 2017 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2018 2019 9Mo. '20 2006 2001 2002 2003 2004 2005 2007 2008 2009 2010 2011 2012 2013 2014
Slide 8: Total Shareholder Return
Total Shareholder Return 5,000 4,700 Teledyne Relative shareholder return 4,400 4,100 since publicly listed 3,800 3,500 3,200 2,900 2,600 2,300 2,000 1,700 1,400 1,100 800 Russell 2000 500 200 (100) January 12, 2021 Jan-02 Jul-08 Aug-09 Jan-15 May-06 Oct-11 May-19 Nov-99 Nov-12 Dec-00 Sep-10 Dec-13
Slide 9: Teledyne Improved Preliminary 2020 Results
Teledyne Improved Preliminary 2020 Results Fourth quarter sales of approximately $800 million All-time record quarterly GAAP diluted earnings per share estimated to be $3.16 to $3.19, compared with the prior outlook of $2.56 to $2.86 All-time record quarterly GAAP operating margin of approxima
Slide 10: Consistent EPS Growth
Consistent EPS Growth(a) ($ per share) $ 11.00 $10.73 ~$10.32(d) … 10.00 $9.01 9.00 8.00 $6.93 (c) 7.00 (b) $5.75 $5.53 $6.26 6.00 $5.44 $4.87 5.00 $5.37 $4.33 $3.81 4.00 $3.17 $3.25 $3.05 $2.72 3.00 $2.26 $1.85 2.00 $1.24 $0.77 $0.91 1.00 $0.21 0.00 (a) Represents total GAAP EPS for 2002 through 20
Slide 11: Revenue History
Revenue History(a) ($ in millions) $ 3,250 $3,164 ~$3,080(b) Digital Imaging Instrumentation $2,902 3,000 Aerospace & Defense $2,604 2,750 Electronics $2,394 2,500 Engineered Systems $2,339 $2,298 2,250 $2,127 $2,150 $1,942 2,000 $1,722 $1,652 1,750 $1,644 $1,442 1,500 $1,252 1,250 $1,055 1,000 $875
Slide 12: Consistent Cash Flow
Consistent Cash Flow ($ in millions) ~$500 $ 500 450 $402 $394 400 ~$390 $360 350 $334 $316 300 $244 $249 250 $222 $227 $218 $196 $190 $185 $191 200 $184 $182 $142 $162 $163 150 $130 $116 $124 $120 $99 $111$114 100 50 0 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020E (a) Net I
Slide 13: Teledyne Acquisition History
Teledyne Acquisition History (a) Electronic Instrumentation Digital Imaging Aerospace & Defense Electronics Engineered Systems 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Microwave Digital Imaging Marine Instrumentation Environmental Electronic
Slide 14: Capital Allocation
Capital Allocation(a) Capital Allocation of $5.2 Billion Source of Funds Acquisitions (d) Borrowings, Net (a) Use of Funds Instrumentation (b) Cash Flow $115M 44% Stock Repurchase $160M Engineered $4,715M Pension $425M NN Systems 1% Contribution (after-tax) $295M 8% 47% $3,555M A&D (d) Non-core $960
Slide 15: Everywhere you look - FLIR
“ww Everywhereyoulook SFLIR The World’s Sixth Sense”
Slide 16: Teledyne to Acquire FLIR
Teledyne to Acquire FLIR Transaction value of approximately $8.0 billion Consideration of 50% cash and 50% Teledyne stock Financed from cash on hand and new debt Fully committed $4.5 billion loan facility to fund transaction and refinance debt; to be replaced with permanent financing Estim
Slide 17: Uniquely Complementary Combination
Uniquely Complementary Combination Perfectly complementary technologies and markets with minimal overlap Sensors based on different semiconductor technologies for different wavelengths Products serving different customers and applications Unique unmanned and autonomous systems serving differ
Slide 18: Infrared Imaging Ecosystem
Infrared Imaging Ecosystem Teledyne Space Airborne FLIR Imaging Land, Maritime and NN Systems Soldier Commercial Thermography Automotive, Consumer and Security 18
Slide 19: Complementary Spectrum of Sensor Capabilities
Complementary Spectrum of Sensor Capabilities Teledyne Primarily MCT Teledyne High performance, niche segment Teledyne FLIR Primarily InSb, mB Also InGaAs, QWIP Good performance, NNLLarge market Infrared Detector Technologies Teledyne MCT Mercury Cadmium Telluride FLIR InSb Indium Antimonide mB Micr
Slide 20: 2020 Pro Forma Revenue by Segment
2020 Pro Forma Revenue by Segment Pro Forma Teledyne FLIR Sales of ~$5.0B Sales of ~$3.1B Sales of ~$1.9B 36% 21% 100% 32% 13% 59% NN 8% 19% 12% Instrumentation Digital Imaging Aerospace & Defense Electronics Engineered Systems 20
Slide 21: Additional Information and Where to Find It
Additional Information and Where to Find It In connection with the proposed transaction between Teledyne Technologies Incorporated (“Teledyne”) and FLIR Systems, Inc. (“FLIR”), Teledyne will file with the Securities and Exchange Commission (the “SEC”) a Registration Statement on Form S-4 that will i
Slide 22: Reconciliation of Non-GAAP Financial Measures
Teledyne Technologies Incorporated Reconciliation of Non-GAAP Financial Measures Teledyne reports its financial results in accordance with U.S. GAAP. However, management believes that, in order to more fully understand our short-term and long-term financial and operational trends, investors may wish
Slide 23: Reconciliation of Non-GAAP Financial Measures
Teledyne Technologies Incorporated Reconciliation of Non-GAAP Financial Measures The following tables set forth a reconciliation of net income and operating margin provided in acordance with GAAP to comparable results that are non-GAAP. Reconciliation of GAAP to Non-GAAP financial measures (in milli
Slide 24: Reconciliation of Non-GAAP Financial Measures (cont.)
Teledyne Technologies Incorporated Reconciliation of Non-GAAP Financial Measures (cont…) Reconciliation of GAAP to Non-GAAP financial measures (in millions): Fiscal Year (Incl. Discont Ops) Fiscal Year 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 Net cash provided by operating ac
Teledyne Technologies — Investor Presentation (January 2021) on 6ix