Bruker Corporation · NASDAQ:BRKR
Bruker — Q2 2021 Earnings Presentation
30 slides from Bruker's earnings presentation, Aug 2, 2021
Slide 1: Q2 2021 Earnings Presentation
BRUKER CORPORATION (NASDAQ: BRKR) Q2 2021 Earnings Presentation August 2, 2021 Frank H. Laukien, President & CEO Gerald Herman, Executive Vice President & Chief Financial Officer Miroslava Minkova, Senior Director of Investor Relations & Corporate Development
Slide 2: Safe Harbor Statement
BRUKER CORP ORATI ON Safe Harbor Statement Any statements contained in this presentation which do not describe historical facts may constitute forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 193
Slide 3: Q2 2021 Business Update
Q2 2021 Business Update 3
Slide 4: Q2 2021: Broad-Based Growth Across BSI and BEST, With Strong Margin and EPS Improvement
Q2 2021 BUSINESS UPDATE Q2 2021: Broad-Based Growth Across BSI and BEST, With Strong Margin and EPS Improvement Q2 2021 Performance Year-over-Year Q2 Financials Revenues [$M] ❖ Revenue increased $146.2M, or +34.4% ▪ Organic growth of +27.2%, with BSI up +27.8% and BEST up +21.8% 570.8 +34.4% 424.6 ▪
Slide 5: H1 2021: Robust Demand for Bruker Products and Strong Recovery Drive Higher Revenues, Margins and EPS
H1 2021 BUSINESS UPDATE H1 2021: Robust Demand for Bruker Products and Strong Recovery Drive Higher Revenues, Margins and EPS H1 2021 Performance Year-over-Year H1 Financials Revenues [$M] ❖ Revenue increased $276.9M, or +32.6% ▪ Organic growth of +25.5%, with BSI up +26.7% and BEST up +14.3% 1125.5
Slide 6: H1 2021 Revenue Performance Year-over-Year
GROUP OVERVIEW H1 2021 Revenue Performance Year-over-Year(1) Bruker BIOSPIN Group ▪ BIOSPIN up ~20%, with recovery in customer demand and installations ▪ BIOSPIN systems up strongly, including two GHz-class systems in Q1 2021 ▪ Aftermarket and software higher Bruker CALID Group ▪ CALID up >30%, with
Slide 7: H1 2021 Revenue Performance Year-over-Year
GROUP OVERVIEW H1 2021 Revenue Performance Year-over-Year(1) Bruker NANO Group ▪ NANO up in the high 20s %, with strong rebound in industrial and academic businesses ▪ X-Ray, Nano Surfaces and Nano Analysis tools up significantly ▪ Microelectronics and semiconductor metrology up on strong demand ▪ F
Slide 8: Novel timsTOF Pro 2 for Transformative 4D-Metabolomics and 4D-Lipidomics Workflows
PROJECT ACCELERATE 2.0 UPDATES Novel timsTOF Pro 2 for Transformative 4D-Metabolomics and 4D-Lipidomics Workflows ❖ New VIP-HESI Ultra-High Sensitivity Ion Source ▪ Sensitivity gains up to 16x for new applications in small molecule research timsTOF Pro 2 with ❖ METLIN-4D large 4D-Metabolomics CCS li
Slide 9: Investing for a Sustainable Future: BioSpin Group Highlights
SUSTAINABILITY INVESTMENTS EXAMPLES Investing for a Sustainable Future: BioSpin Group Highlights BioSpin Campus, BioSpin Campus, New BioSpin Campus, Germany Switzerland France ▪ New facilities designed for ▪ New photovoltaic system ▪ New photovoltaic system ▪ New Helium reliquification greatly reduc
Slide 10: Q2 2021 Financial Update
Q2 2021 Financial Update 10
Slide 11: Q2 2021 Non-GAAP Financial Performance
Q2 2021 YEAR-OVER-YEAR COMPARISON Q2 2021 Non-GAAP Financial Performance [$ m, except EPS] Q2 2021 Q2 2020 Δ Comments Revenues $570.8 $424.6 +34.4% Operating Income $98.8 $49.0 +101.6% ▪ Reported revenue up +34.4%, organic revenue up +27.2% Operating Margin (%) 17.3% 11.5% +580 bps ▪ Operating incom
Slide 12: Q2 2021 Revenue Bridge
NON-GAAP FINANCIAL PERFORMANCE Q2 2021 Revenue Bridge Q2 2021 Revenue Performance Year-over-Year Q2 2021 DRIVERS Organic Currency Portfolio Total ▪ Reported revenue up +34.4% +27.2% +6.8% +0.4% +34.4% ▪ Organic revenue up +27.2% Q2 2021 Revenue Bridge [$M] ✓ BSI up +27.8% organic, led by CALID and N
Slide 13: Q2 2021 Non-GAAP Results Year-over-Year
NON-GAAP FINANCIAL PERFORMANCE Q2 2021 Non-GAAP Results Year-over-Year [$ m, except EPS] Q2 2021 Q2 2020 Δ Comments Total Revenues 570.8 424.6 +34.4% ▪ Gross margin up +490 bps, driven by higher Gross Profit 285.6 191.7 +49.0% Margin (% of revenues) 50.0% 45.1% +490 bps revenue and volume leverage S
Slide 14: H1 2021 Revenue Bridge
NON-GAAP FINANCIAL PERFORMANCE H1 2021 Revenue Bridge H1 2021 Revenue Performance Year-over-Year H1 2021 DRIVERS Organic Currency Portfolio Total ▪ Reported revenue up +32.6% +25.5% +6.5% +0.6% +32.6% ▪ Organic revenue up +25.5% H1 2021 Revenue Bridge [$M] ✓ BSI up +26.7% organic, with strong +$55.5
Slide 15: H1 2021 Non-GAAP Results Year-over-Year
NON-GAAP FINANCIAL PERFORMANCE H1 2021 Non-GAAP Results Year-over-Year [$ m, except EPS] H1 2021 H1 2020 Δ Comments Total Revenues 1,125.5 848.6 +32.6% ▪ Gross margin up +470 bps on higher Gross Profit 569.9 389.8 +46.2% Margin (% of revenues) 50.6% 45.9% +470 bps revenue, volume leverage and mix SG
Slide 16: H1 2021 Cash Flow Year-over-Year
NON-GAAP FINANCIAL PERFORMANCE H1 2021 Cash Flow Year-over-Year [$ m] H1 2021 H1 2020 Δ Comments GAAP Net Income 116.5 34.8 +81.7 H1-21 free cash flow of $72.6M, compared to Depreciation & amortization 43.9 38.2 +5.7 a cash outflow of ($4.0M) in H1-20: Changes in working capital* (65.4) (61.8) -3.6
Slide 17: Raising FY 2021 Outlook
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Slide 18: FY 2021 revenue growth, non-GAAP operating margin and non-GAAP EPS outlook higher
FY 2021 GUIDANCE FY 2021 revenue growth, non-GAAP operating margin and non-GAAP EPS outlook higher FY 2021 Assumptions New FY 2021 Non-GAAP (Comparison to previous Year-over-Year Guidance guidance in parentheses) ▪ Organic revenue growth: +14% to +16% Revenue Growth +17% to +19% (up from +13% to +15
Slide 19: Appendix
Q2 2021 Appendix 19
Slide 20: Q2 2021 Reconciliation of GAAP Reported Revenue Growth to Organic Revenue Growth
APPENDIX Q2 2021 Reconciliation of GAAP Reported Revenue Growth to Organic Revenue Growth [$M] Q2 2021 Q2 2020 Revenue as of the prior comparable period 424.6 490.2 Non-GAAP components: Acquisitions and divestures 1.8 1.7 Organic 115.7 (62.2) Currency 28.7 (5.1) Revenue as of the current period 570.
Slide 21: Q2 2021 GAAP Results Year-over-Year
APPENDIX Q2 2021 GAAP Results Year-over-Year [$M, except EPS] Q2 2021 Q2 2020 Δ Total Revenues 570.8 424.6 +34.4% Gross Profit 280.6 186.2 +50.7% Margin (% of revenue) 49.2% 43.9% SG&A (134.8) (102.4) +31.6% (% of revenues) 23.6% 24.1% R&D (55.8) (44.1) +26.5% (% of revenues) 9.8% 10.4% Operating In
Slide 22: Q2 2021 Reconciliation of GAAP and Non-GAAP Results Year-over-Year
APPENDIX Q2 2021 Reconciliation of GAAP and Non-GAAP Results Year-over-Year [$M, except EPS] Q2 2021 Q2 2020 GAAP Operating Income 85.6 37.9 Restructuring Costs 1.7 1.5 Acquisition-Related Costs 2.3 (0.8) Purchased Intangible Amortization 9.0 9.0 Other Costs 0.2 1.4 TOTAL 13.2 11.1 Non-GAAP Operatin
Slide 23: H1 2021 Reconciliation of GAAP Reported Revenue Growth to Organic Revenue Growth
APPENDIX H1 2021 Reconciliation of GAAP Reported Revenue Growth to Organic Revenue Growth [$M] H1 2021 H1 2020 Revenue as of the prior comparable period 848.6 951.6 Non-GAAP components: Acquisitions and divestures 5.0 6.0 Organic 216.4 (98.4) Currency 55.5 (10.6) Revenue as of the current period 1,1
Slide 24: H1 2021 GAAP Results Year-over-Year
APPENDIX H1 2021 GAAP Results Year-over-Year [$M, except EPS] H1 2021 H1 2020 Δ Total Revenues 1,125.5 848.6 +32.6% Gross Profit 559.3 378.5 +47.8% Margin (% of revenue) 49.7% 44.6% SG&A (266.6) (223.6) +19.2% (% of revenues) 23.7% 26.3% R&D (110.6) (92.6) +19.4% (% of revenues) 9.8% 10.9% Operating
Slide 25: H1 2021 Reconciliation of GAAP and Non-GAAP Results Year-over-Year
APPENDIX H1 2021 Reconciliation of GAAP and Non-GAAP Results Year-over-Year [$M, except EPS] H1 2021 H1 2020 GAAP Operating Income 174.7 54.3 Restructuring Costs 4.1 3.8 Acquisition-Related Costs 3.2 (1.9) Purchased Intangible Amortization 18.0 17.7 Other Costs 1.0 7.3 TOTAL 26.3 26.9 Non-GAAP Opera
Slide 26: Q2 2021 Cash Flow Year-over-Year
APPENDIX Q2 2021 Cash Flow Year-over-Year [$M] Q2 2021 Q2 2020 Δ Comments GAAP Net Income 58.7 24.2 +34.5 Q2 2021 cash outflow of ($0.7M), compared to Depreciation & amortization 21.6 19.2 +2.4 a cash outflow of ($8.5M) in Q2-20: Changes in working capital* (46.9) (40.6) -6.3 ▪ Higher net income Oth
Slide 27: Balance Sheet
APPENDIX Balance Sheet [$M, except EPS] Jun 30, 2021 Dec 31, 2020 Total Assets 3,087.0 3,049.0 Working Capital* 924.6 893.0 Goodwill, Intangibles, Net & Other Long-Term Assets 720.8 728.5 [$M, except EPS] Jun 30, 2021 Dec 31, 2020 Cash, Cash Equivalents & Short-term Investments 706.0 731.8 Financial
Slide 28: Q2 2021 BSI and BEST GAAP Performance Year-over-Year
APPENDIX Q2 2021 BSI and BEST GAAP Performance Year-over-Year [$M] Q2 2021 Q2 2020 Δ REVENUE Scientific Instruments (BSI) 517.1 383.3 +35% Organic Revenue Growth (%) +27.8% -12.7% Energy & Supercon Technologies (BEST) 56.6 44.8 +26% Corporate Eliminations (2.9) (3.5) Energy & Supercon Technologies (
Slide 29: H1 2021 BSI and BEST GAAP Performance Year-over-Year
APPENDIX H1 2021 BSI and BEST GAAP Performance Year-over-Year [$M] H1 2021 H1 2020 Δ REVENUE Scientific Instruments (BSI) 1,023.3 764.8 +34% Organic Revenue Growth (%) +26.7% -10.5% Energy & Supercon Technologies (BEST) 109.0 91.0 +20% Corporate Eliminations (6.8) (7.2) Energy & Supercon Technologie
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