Slide 1: F'12 - Q2 Financial Results
F'12 - Q2 Financial Results February 16, 2012 February 16, 2012 Brady - Fiscal 2012 q2 Financial Results
Slide 2: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS BRADY - FISCAL 2012 Q2 FINANCIAL RESULTS 2 Brady believes that certain statements in this presentation are "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. All statements related to future, not past, events included i
Slide 3: Q2 F'12 One-Time Items
Q2 F'12 ONE-TIME ITEMS During the 2nd quarter, a non-cash goodwill impairment charge was taken in the Asia- Pacific segment. This diluted EPS impact of the non-cash impairment charge, and other items are as follows: BRADY - FISCAL 2012 Q2 FINANCIAL RESULTS Q2 F'12: 3 Q2 F'12 Q2 F'12 Comparability It
Slide 4: Q2 F'12 Financial Summary
Q2 F'12 FINANCIAL SUMMARY Sales down 2.6% to $320.6M vs. $329.0M in Q2 of F'11. Organic Sales decline of 1.8%. Gross Profit Margin of 47.8% vs. 48.3% in Q2 of F'11. Decline due to the Asia-Pacific region. SG&A Expense down 10 bps to 32.7% of sales vs. 32.8% in Q2 of F'11. Reported net income (loss)
Slide 5: F'12 Guidance
F'12 GUIDANCE BRADY - FISCAL 2012 Q2 FINANCIAL RESULTS 5 Diluted EPS $2.20 - $2.40 (Excluding after-tax impairment and restructuring charges) Guidance Assumptions: Full-year income tax rate in the mid-20% range.* Guidance based on current foreign currency exchange rates. Full-year capital expenditur
Slide 6: Sales Overview
SALES OVERVIEW (CHART) Organic 2% 10% 1% (0.6%) 3.5% (1.8%) BRADY - FISCAL 2012 Q2 FINANCIAL RESULTS 6 Q2 F'12 Sales Decline of 2.6%. (1.8%) Organic Sales Decline: Americas - 2.9% organic sales growth. EMEA - (5.7%) organic sales decline. Asia-Pacific - (4.4%) organic sales decline. Americas - Drive
Slide 7: Gross Profit Margin and SG&A
GROSS PROFIT MARGIN AND SG&A (CHART) BRADY - FISCAL 2012 Q2 FINANCIAL RESULTS 7 (CHART) GROSS PROFIT & GPM% (Millions of USD) SG&A & SG&A as % of SALES (Millions of USD) GPM down 50 bps to 47.8% in Q2 of F'12 versus 48.3% in Q2 of F'11. Asia GPM weakness driving down the total company GPM. GROSS PRO
Slide 8: Net Income and Diluted EPS
NET INCOME AND DILUTED EPS Q2 GAAP net loss of $90M due to non-cash impairment. Q2 F'12 net income, excluding impairment and restructuring charges, was flat at $25.7M. Q2 F'12 diluted EPS, excluding impairment and restructuring charges was up 2.1% to $0.49. Strong comparables in Q2 of F'11: Strong w
Slide 9: Cash Generation
CASH GENERATION BRADY - FISCAL 2012 Q2 FINANCIAL RESULTS 9 Cash Flow from Operating Activities = 109% of net income*. Cash position remains strong at $380 million. CASH BALANCE WALK (Millions of USD) CASH GENERATION - F'12 Q2: * Excludes $115.7M of non-cash impairment charges in Q2 of F'12.
Slide 10: Decreasing Debt & Increasing EBITDA
DECREASING DEBT & INCREASING EBITDA (CHART) BRADY - FISCAL 2012 Q2 FINANCIAL RESULTS NET DEBT / EBITDA* January 31, 2012 Debt = $384M January 31, 2012 Cash = $380M STRONG BALANCE SHEET: 10 (CHART) DEBT & TTM EBITDA* (Millions of USD) * Excludes $115.7M of non-cash impairment charges in Q2 of F'12.
Slide 11: Q2 F'12 - New Product Launches
Q2 F'12 - NEW PRODUCT LAUNCHES Continuous Tubing Printer: BMP-91TM Printing System - The BMP(r)91 is a tubing, wiremarking, label and heatshrink printer for the Asia-Pacific electrical market with best in class features for ease of use and productivity. Durable Full Color Media: ToughJetTM Durable I
Slide 12: Americas - Q2 F'12 Summary
AMERICAS - Q2 F'12 SUMMARY (CHART) Q2 F'11 Q2 F'12 Change Sales $ 136.0 $ 138.4 + 1.8% Segment Profit 31.0 35.8 + 15.4% Segment Profit % 22.8% 25.9% + 3.1 pts BRADY - FISCAL 2012 Q2 FINANCIAL RESULTS 12 SALES & SEGMENT PROFIT % (Millions of USD) Q2 F'12 vs. Q2 F'11 PERFORMANCE Revenues up 1.8%: Orga
Slide 13: EMEA - Q2 F'12 Summary
EMEA - Q2 F'12 SUMMARY (CHART) Q2 F'11 Q2 F'12 Change Sales $104.0 $ 95.6 - 8.1% Segment Profit 29.2 26.6 - 8.9% Segment Profit % 28.0% 27.8% - 0.2 pts BRADY - FISCAL 2012 Q2 FINANCIAL RESULTS 13 SALES & SEGMENT PROFIT % (Millions of USD) Q2 F'12 vs. Q2 F'11 PERFORMANCE Revenues down 8.1%: Organic R
Slide 14: Asia-Pacific - Q2 F'12 Summary
ASIA-PACIFIC - Q2 F'12 SUMMARY (CHART) Q2 F'11 Q2 F'12 Change Sales $ 89.0 $ 86.6 - 2.7% Segment Profit 11.5 7.7 - 32.9% Segment Profit % 13.0% 8.9% - 4.1 pts Revenues down 2.7%: Organic Sales Decline = (4.4%) Fx = 1.7% Segment profit down $3.8 million. Q2 F'12 results influenced by Thailand flood a
Slide 15: Investor Relations
INVESTOR RELATIONS Brady Contact: Aaron Pearce Investor Relations 414-438-6895 Aaron_Pearce@Bradycorp.com See our web site at www.investor.bradycorp.com BRADY - FISCAL 2012 Q2 FINANCIAL RESULTS 15
Slide 16: Income Statements
INCOME STATEMENTS BRADY - FISCAL 2012 Q2 FINANCIAL RESULTS 16 COMPARABLE INCOME STATEMENT (Millions of USD)
Slide 17: EBITDA Reconciliation
EBITDA RECONCILIATION BRADY - FISCAL 2012 Q2 FINANCIAL RESULTS 17 EBITDA* (Millions of USD)