Turning Point Brands, Inc. · NYSE:TPB
Turning Point Brands — Q2 2022 Earnings Presentation
12 slides from Turning Point Brands's earnings presentation, Jul 27, 2022
Slide 1: Turning Point Brands Q2 2022 Results
Turning Point Brands (NYSE: TPB) Q2 2022 Results July 27, 2022 | NYSE: TPB | 5201 INTERCHANGE WAY, LOUISVILLE KY | TURNINGPOINTBRANDS.COM |
Slide 2: Disclaimer
Disclaimer Turning Point Brands (NYSE: TPB) FORWARD LOOKING STATEMENTS This presentation contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements may generally be identified by the use of words such as "anticipate," "believe," "expect," "inten
Slide 3: TPB Business Segments
Turning Point Brands (NYSE: TPB) TPB Business Segments Zig-Zag Products Stoker’s Products NewGen Products Rolling papers and Make-Your-Own Loose leaf chewing tobacco and moist Innovative vapor products (“MYO”) cigar wraps snuff tobacco LTM Sales1 $180mm $127mm $112mm Key Brands Continue strong gro
Slide 4: Consolidated Results Q2 2022 Commentary
Turning Point Brands (NYSE: TPB) Consolidated Results Q2 2022 Commentary NewGen Products 2% ($ in millions) Q2 21 Q2 22 YoY YTD 21 YTD 22 YoY NewGen Q2 2022 Sales $122.6 $102.9 -16% $230.3 $203.8 -11% Products Operating Stoker's Q2 2022 Zig-Zag 22% Zig-Zag Products Gross Profit $60.0 $51.5 -14% $113
Slide 5: Zig-Zag Products Q2 2022 Commentary
Turning Point Brands (NYSE: TPB) Zig-Zag Products Q2 2022 Commentary ($ in millions) Q2 21 Q2 22 YoY YTD 21 YTD 22 YoY Wraps $23.3 $18.1 -22% $41.5 $35.8 -14% US Papers & E-Commerce 17.8 19.7 10% 32.0 39.6 24% Canada 4.7 6.4 38% 11.6 12.4 7% Cigars and Other 1.4 2.1 48% 3.1 4.1 31% Total Sales $47.2
Slide 6: Stoker's Products Q2 2022 Commentary
Turning Point Brands (NYSE: TPB) Stoker’s Products Q2 2022 Commentary ($ in millions) Q2 21 Q2 22 YoY YTD 21 YTD 22 YoY MST $20.6 $22.0 6% $39.0 $42.4 9% Looseleaf 12.7 11.5 -10% 23.6 22.0 -7% FRE 0.2 0.9 Total Sales $33.4 $33.6 1% $62.6 $65.3 4% Gross Profit $18.1 $18.1 0% $34.0 $35.8 5% Margin 54.
Slide 7: NewGen Products Q2 2022 Commentary
Turning Point Brands (NYSE: TPB) NewGen Products Q2 2022 Commentary ($ in millions) Q2 21 Q2 22 YoY YTD 21 YTD 22 YoY Sales $42.1 $23.1 -45% $79.5 $46.6 -41% Gross Profit $14.1 $7.0 -51% $26.6 $14.7 -45% Margin 33.5% 30.1% 33.4% 31.6% Operating Income $1.7 $0.6 -67% $3.7 $1.2 -66% Margin 3.9% 2.4% 4
Slide 8: Balance Sheet and Liquidity
Turning Point Brands (NYSE: TPB) Balance Sheet and Liquidity ($ in millions) FY 2021 Q2 22 5.625% Senior Secured Due 2/26 250.0 250.0 2.5% Convertible Note Due 7/24 172.5 172.5 Gross Debt $422.5 $422.5 Cash 128.3 107.4 Net Debt $294.2 $315.1 LTM Adj EBITDA $108.1 $100.1 Net Leverage 2.7x 3.1x ▪ Ende
Slide 9: FY 2022 Outlook
Turning Point Brands (NYSE: TPB) FY 2022 Outlook ▪ Due to the uncertain macro environment and slower than expected improvement in our NewGen Products segment, the Company now expects the following full-year 2022 results: ▪ Zig-Zag Products sales of $193 to 200 million (compared to previous outlook o
Slide 10: Thank You
Turning Point Brands (NYSE: TPB) THANK YOU | NYSE: TPB | 5201 INTERCHANGE WAY, LOUISVILLE KY | TURNINGPOINTBRANDS.COM |
Slide 11: Appendix
Turning Point Brands (NYSE: TPB) Appendix | NYSE: TPB | 5201 INTERCHANGE WAY, LOUISVILLE KY | TURNINGPOINTBRANDS.COM |
Slide 12: EBITDA Adjustment Detail
Turning Point Brands (NYSE: TPB) EBITDA Adjustment Detail Turning Point Brands, Inc. Reconciliation of GAAP Net Income to Adjusted EBITDA (dollars in thousands) (unaudited) Three Months Ended June 30, 2022 2021 Net income attributable to Turning Point Brands, Inc. $ 5,424 $ 15,355 Add: Interest expe