Sensient Technologies Corporation · NYSE:SXT
Sensient Technologies — 2023 Baird Global Industrial Conference
16 slides from Sensient Technologies's conference presentation, Nov 8, 2023
Slide 1: Sensient Technologies Corporation
Sensient Technologies Corporation Paul Manning Chairman of the Board, President and Chief Executive Officer Steve Rolfs Senior Vice President and Chief Financial Officer 2023 Baird Industrial Conference Sensient Technologies: Level 1 Company Confidential
Slide 2: Forward Looking Statements
Forward Looking Statements This document contains statements that may constitute “forward-looking statements” within the meaning of Federal securities laws including under “2023 Financial Outlook” in this presentation. Such forward-looking statements are not guarantees of future performance and invo
Slide 3: Non-GAAP Financial Measures
Non-GAAP Financial Measures Within this document, the Company reports certain non-GAAP financial measures, including: (1) percentage changes in revenue, operating income, diluted earnings per share, and adjusted EBITDA on a local currency basis (which eliminate the effects that result from translati
Slide 4: A leading provider of customized solutions for food and beverage, pharmaceutical, and personal care
A leading provider of customized solutions for food and beverage, pharmaceutical, and personal care customers Color Group 2022 Revenue: $604M Core Areas of Focus: Food and Pharmaceutical Colors and Personal Care Flavors & Extracts Group 2022 Revenue: $738M Core Areas of Focus: Natural Flavors, Extra
Slide 5: Global market leader delivering innovative natural solutions
Global market leader delivering innovative natural solutions Provider of natural solutions to support health & wellness and clean label consumer trends Exceptional innovation and application expertise Unique ability to service global, regional, and local customers Robust agronomy and quality program
Slide 6: Solid long-term growth driven by strong consumer trends and end market demand
Solid long-term growth driven by strong consumer trends and end market demand 2019-2022 CAGR 2019-2022 CAGR Local Currency Local Currency Adjusted Revenue* Adjusted Operating Income* Color Group +8.2% +5.8% Flavors & Extracts Group +8.5% +14.4% Asia Pacific Group +9.6% +21.6% Consolidated +8.2% +7.1
Slide 7: 2023 Industry Trends
2023 Industry Trends Destocking Inflation Pricing New Wins & Product Launches Expect volume declines Energy, growing costs, and Adjustments to cover New win rate remains related to destocking to certain commodity costs inflation-driven costs have strong and there continue to moderate as remain eleva
Slide 8: Growth and profitability temporarily impacted due to current industry trends
Growth and profitability temporarily impacted due to current industry trends 2023 Q3 YTD 2023 Q3 YTD Local Currency Local Currency Revenue* Operating Income* Color Group +1.1% (7.8%) Flavors & Extracts Group (1.1%) (17.5%) Asia Pacific Group +6.1% +11.6% Consolidated +1.0% (6.1%) Local Currency Adju
Slide 9: Investment Thesis
Investment Thesis Strong Competitive Defensible Global Scale & Stable & Growing Profitability & Position Business Presence Categories Growth • Global leader in several • Sensient’s products • Operations across the • Food and beverages are • We invest in areas that food and beverage constitute a smal
Slide 10: Appendix
Appendix* *Amounts in thousands, except percentages and per share amounts Sensient Technologies: Level 1 Company Confidential
Slide 11: Non-GAAP Financial Measures
Non-GAAP Financial Measures Year Ended Year Ended December 31, 2022 December 31, 2019 Revenue (GAAP) $ 1,437,039 $ 1,322,934 Revenue of the divested product lines - (143,172) Adjusted revenue $ 1,437,039 $ 1,179,762 Operating income (GAAP) $ 196,751 $ 121,110 Divestiture & other related costs – Cost
Slide 12: Non-GAAP Financial Measures
Non-GAAP Financial Measures Results by Segment Year Ended December 31, Adjusted Adjusted Revenue 2022 Adjustments* 2022 2019 Adjustments* 2019 Flavors & Extracts $ 738,003 $ - $ 738,003 $ 700,356 $ (107,363) $ 592,993 Color 604,017 - 604,017 535,159 (36,002) 499,157 Asia Pacific 143,581 - 143,581 11
Slide 13: Non-GAAP Financial Measures
Non-GAAP Financial Measures Year Ended December 31, 2022 2019 3 Year CAGR Operating income (GAAP) $ 196,751 $ 121,110 20.8% Depreciation and amortization 52,467 55,015 Depreciation and amortization, divested product lines - (5,065) Share-based compensation expense (income) 16,138 (739) Divestiture &
Slide 14: Non-GAAP Financial Measures
Non-GAAP Financial Measures Year Ended December 31, 2022 3 Year CAGR Foreign Adjusted Total 3 Year Exchange Local Revenue CAGR Rates Adjustments* Currency Flavors & Extracts 1.8% (0.6%) (6.1%) 8.5% Color 4.3% (1.2%) (2.7%) 8.2% Asia Pacific 7.1% (2.2%) (0.3%) 9.6% Total Revenue 2.9% (1.0%) (4.3%) 8.
Slide 15: Non-GAAP Financial Measures
Non-GAAP Financial Measures 15
Slide 16: Non-GAAP Financial Measures
Non-GAAP Financial Measures 16
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