Carlisle Companies Incorporated · NYSE:CSL
Carlisle Companies — Q1 2022 Earnings Presentation
24 slides from Carlisle Companies's earnings presentation, Apr 28, 2022
Slide 1: 1st Quarter 2022 Earnings Call
1st Quarter 2022 Earnings Call April 28, 2022
Slide 2: Forward Looking Statements & Non-GAAP Financial Measures
Forward Looking Statements & Non-GAAP Financial Measures This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements regarding the potential or expected impacts of the global COVID-19 pandemic. Forward-looking
Slide 3: Vision 2025 Highlights
Vision 2025 Highlights Drive above-market organic growth Utilize COS to drive savings of 1-2% of sales annually Build scale with synergistic acquisitions Continue to invest in and develop exceptional talent Deploy over $3 billion into capital expenditures, share repurchases, and dividends 3
Slide 4: 1Q22 Highlights
1Q22 Highlights » Strong demand for non-discretionary re-roofing, new construction and energy-efficient building products » Earning price through delivering on the Carlisle Experience » New Building Products segment structure – Construction Materials (CCM) and Weatherproofing Technologies (CWT) » Re
Slide 5: Continued Commitment to ESG
Continued Commitment to ESG » $2.5B LEED qualified and manufactured products sold in 2021 » 150Mn MwH of energy will be saved based on Carlisle products sold in 2021 (1) » 31mt of greenhouse gases will be avoided based on Carlisle products sold in 2021 (1) » 54% of Carlisle’s Board of Directors iden
Slide 6: 1Q22 Results
1Q22 Results 1Q Revenue increased 59% y/y Financial Summary » Organic revenue up 44.8% driven by volume (in millions, except per share amounts) 1Q22 1Q21 Δ growth and positive pricing Revenues $1,496.3 $940.9 +59.0% » Strong demand across all CCM/CWT Operating income $277.3 $84.7 +227.4% products »
Slide 7: Carlisle Construction Materials
Carlisle Construction Materials Three Months Ended March 31, Price / Acquisition Exchange Volume Effect Rate Effect (in millions) 2022 2021 Change $ Change % Effect Revenues $ 881.1 $ 556.4 $ 324.7 58.4 % 58.9 % —% (0.5)% Operating income $ 261.1 $ 110.7 $ 150.4 135.9 % Operating margin 29.6 % 19.9
Slide 8: Carlisle Weatherproofing Technologies
Carlisle Weatherproofing Technologies Three Months Ended March 31, Price / Acquisition Exchange Volume Effect Rate Effect (in millions) 2022 2021 Change $ Change % Effect Revenues $ 359.1 $ 162.9 $ 196.2 120.4 % 36.0 % 84.7 % (0.3)% Operating income $ 37.5 $ 10.6 $ 26.9 253.8 % Operating margin 10.4
Slide 9: Carlisle Interconnect Technologies
Carlisle Interconnect Technologies Three Months Ended March 31, Price / Acquisition Exchange Volume Effect Rate Effect (in millions) 2022 2021 Change $ Change % Effect Revenues $ 185.0 $ 155.8 $ 29.2 18.7 % 18.7 % —% —% Operating loss $ (2.5) $ (10.7) $ 8.2 NM Operating margin (1.4)% (6.9)% NM Depre
Slide 10: Carlisle Fluid Technologies
Carlisle Fluid Technologies Three Months Ended March 31, Price / Acquisition Exchange Volume Effect Rate Effect (in millions) 2022 2021 Change $ Change % Effect Revenues $ 71.1 $ 65.8 $ 5.3 8.1 % 9.9 % —% (1.8)% Operating income $ 4.8 $ 4.3 $ 0.5 11.6 % Operating margin 6.8 % 6.5 % +30 bps Depreciat
Slide 11: 1Q22 Revenue Bridge
1Q22 Revenue Bridge +14.7% -0.5% +44.8% Revenue Change by Segment Segment Organic Acquisitions FX Total CCM 58.9% —% (0.5)% 58.4% CWT 36.0% 84.7% (0.3)% 120.4% CIT 18.7% —% —% 18.7% CFT 9.9% —% (1.8)% 8.1% *Refer to the appendix for a reconciliation of non-GAAP financial measures to the related GAAP
Slide 12: 1Q22 Adjusted EPS Bridge
1Q22 Adjusted EPS* Bridge *Refer to the appendix for a reconciliation of non-GAAP financial measures to the related GAAP financial measures. 12
Slide 13: Focused on Capital Structure Optimization
Focused on Capital Structure Optimization » Cash on hand of $291.7M as of 3/31/22 » $1B available under revolver Senior Note » $28.7M capital returned to shareholders in $750M dividends 2.75% Senior » Utilized $125M of cash to repurchase shares Note Senior $600M Note » 4.5M shares remaining under au
Slide 14: 1Q Cash Flow Performance
1Q Cash Flow Performance (1) (1) *Refer to the appendix for a reconciliation of non-GAAP financial measures to the related GAAP financial measures. 14 (1) The Company defines operating cash flow from continuing operations as operating cash flow less operating cash flow from discontinued operations.
Slide 15: FY 2022 Outlook
FY 2022 Outlook Business Segment 2022 Revenue Growth Primary Drivers • Proactive pricing measures gaining traction Carlisle Construction Materials ~30% • Strong re-roofing and new construction activity, and increasing demand for energy- efficient building products 55-60% (includes high-teens • Henry
Slide 16: Appendix
Le f FEL ISL E 2025 THE NEXT 100 YEARS Appendix
Slide 17: Non-GAAP Financial Measures
Non-GAAP Financial Measures This presentation includes the following financial measures that are not presented in accordance with generally accepted accounting principles in the United States of America (“GAAP”): 1. Adjusted EBITDA, which the Company defines as net income excluding income/loss from
Slide 18: Reconciliation to Adjusted EBITDA
Reconciliation to Adjusted EBITDA Three Months Ended March 31, (in millions) 2022 2021 Net income (GAAP) $ 193.6 $ 52.2 Less: loss from discontinued operations (GAAP) (0.7) 3.1 Income from continuing operations (GAAP) 194.3 49.1 Provision for income taxes 60.5 13.3 Interest expense, net 22.6 19.2 In
Slide 19: Reconciliation to Adjusted EBITDA (2022)
Reconciliation to Adjusted EBITDA Three Months Ended March 31, 2022 Corporate and (in millions) CCM CWT CIT CFT unallocated Operating income (loss) (GAAP) $ 261.1 $ 37.5 $ (2.5) $ 4.8 $ (23.6) Non-operating expense (income)(1) — 0.1 (0.5) 0.1 0.4 EBIT 261.1 37.4 (2.0) 4.7 (24.0) Exit and disposal, a
Slide 20: Reconciliation to Adjusted EBITDA (2021)
Reconciliation to Adjusted EBITDA Three Months Ended March 31, 2021 Corporate and (in millions) CCM CWT CIT CFT unallocated Operating income (loss) (GAAP) $ 110.7 $ 10.6 $ (10.7) $ 4.3 $ (30.2) Non-operating expense (income)(1) 2.3 (0.1) — 0.4 1.0 EBIT 108.4 10.7 (10.7) 3.9 (31.2) Exit and disposal,
Slide 21: Reconciliation to Adjusted Diluted EPS
Reconciliation to Adjusted Diluted EPS Three Months Ended March 31, 2022 Three Months Ended March 31, 2021 Pre-tax Post-tax Impact to Pre-tax Post-tax Impact to (in millions, except per share amounts) Impact Impact(1) Diluted EPS(2) Impact Impact(1) Diluted EPS(2) Net income (GAAP) $ 193.6 $ 3.66 $
Slide 22: Reconciliation to Organic Revenue
Reconciliation to Organic Revenue Three Months Ended March 31, (in millions) CSL CCM CWT CIT CFT 2021 Revenue (GAAP) $ 940.9 $ 556.4 $ 162.9 $ 155.8 $ 65.8 Volume/Price 421.7 44.8 % 327.5 58.9 % 58.6 36.0 % 29.1 18.7 % 6.5 9.9 % Organic revenue 421.7 44.8 % 327.5 58.9 % 58.6 36.0 % 29.1 18.7 % 6.5 9
Slide 23: Reconciliation to Free Cash Flow
Reconciliation to Free Cash Flow Three Months Ended March 31, (in millions) 2022 2021 Operating cash flow (GAAP) $ 44.3 $ 67.6 Less: operating cash flow from discontinued operations (0.7) 3.5 Operating cash flow from continuing operations $ 45.0 $ 64.1 Capital expenditures (GAAP) $ (31.1) $ (20.0) L
Slide 24: Reconciliation of Unaudited Leverage Ratios and Net Debt to Capital Ratios
Reconciliation of Unaudited Leverage Ratios and Net Debt to Capital Ratios Unaudited Leverage Ratios Net Debt to Capital Ratio (in millions except for ratios) LTM 3/31/2022 (in millions except for ratios) 3/31/2022 Income from continuing operations (GAAP) $ 532.2 Long-term debt, including current po