Myers Industries, Inc. · NYSE:MYE
Myers Industries — Q3 2020 Earnings Presentation
18 slides from Myers Industries's earnings presentation, Oct 29, 2020
Slide 1: Earnings Presentation | Third Quarter 2020
Earnings Presentation | Third Quarter 2020 Exhibit 99.2
Slide 2: Safe Harbor Statement & Non-GAAP Measures
Safe Harbor Statement & Non-GAAP Measures Statements in this release include “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995. Any statement that is not of historical fact may be deemed “forward-looking”. Words such as “will”, “expect”, “believe
Slide 3: Q3 2020 Operating Summary
Q3 2020 Operating Summary Results reflect continuing operations. See appendix for non-GAAP reconciliations. Q3 2020 Highlights Sales increased 5% vs. prior year Active hurricane season drove higher fuel container sales in our consumer end market Incremental sales from Tuffy acquisition and higher do
Slide 4: Q3 2020 Financial Summary
Q3 2020 Financial Summary Operating Highlights Net sales up 5.4%, compared to Q3 2019 Material Handling up $2.7M (+3.2%) Distribution up $4.1M (+10.0%) Gross profit margin expanded 400 bps to 35.6% Higher sales volume and favorable price-cost margin PY Q3 included $3.5M charge for estimated product
Slide 5: Q3 2020 Segment Results
Material Handling Segment Net sales up 3.2% vs. Q3 2019 Food and Beverage end market down high single digits due primarily to lower seed box sales Consumer end market up double digits due primarily to higher fuel container sales driven by storm activity Industrial end market down mid single digits d
Slide 6: Balance Sheet and Cash Flow
Balance Sheet and Cash Flow Operating Cash Flow Free Cash Flow (FCF) 6.0% 8.5% 8.4% 9.9% 1.2x Q3 Highlights Free cash flow generation of $16.2M, compared to $22.1M last year Working capital as a percentage of sales up due to higher inventory and AR balances compared to last year Cash balance at end
Slide 7: FY 2020 Market Outlook
FY 2020 Market Outlook End Market 2019 % of Sales 2020 Previous Outlook 2020 Current Outlook Key Drivers to Full-Year Outlook Consumer 14% Incremental fuel container sales driven by increased end market demand due to storm activity, COVID-19, and share gains. Food & Beverage 13% Seed box sales expec
Slide 8: 2020 Fiscal Year Guidance
2020 Fiscal Year Guidance Net sales growth:~ Down low-to-mid single digits (vs. mid-to-high single digits previously) D&A: ~ $21M Net interest expense:~ $4M Effective tax rate (normalized):~ 26% Diluted share count:~ 36M Diluted EPS:Withdrawn Adjusted diluted EPS: Withdrawn Capital expenditures:~ $1
Slide 9: Our Long-Term Vision
Our Long-Term Vision Horizon 1 2020 - 2023 Horizon 2 2023 - 2026 Horizon 3 2026 - 2029 Focus Revenue Target Execute via three approaches: Self Help: Purchasing, Pricing, SG&A optimization Organic Growth: Sales & Commercial Excellence, Innovation, eComm Bolt-on M&A within existing plastics technologi
Slide 10: Strategy for Horizon 1
Strategy for Horizon 1 Strategic Objective: Transform Material Handling Segment into a high-growth, customer-centric innovator of engineered plastic solutions, while continuing to optimize and grow Distribution Segment Organic Growth Sales & Commercial excellence Innovation/NPD Sustainability eComme
Slide 11: Appendix
Appendix
Slide 12: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures MYERS INDUSTRIES, INC. RECONCILIATION OF NON-GAAP FINANCIAL MEASURES GROSS PROFIT, OPERATING INCOME AND EBITDA (UNAUDITED) (Dollars in thousands)
Slide 13: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures MYERS INDUSTRIES, INC. RECONCILIATION OF NON-GAAP FINANCIAL MEASURES GROSS PROFIT, OPERATING INCOME AND EBITDA (UNAUDITED) (Dollars in thousands)
Slide 14: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures MYERS INDUSTRIES, INC. RECONCILIATION OF NON-GAAP FINANCIAL MEASURES INCOME AND EARNINGS PER DILUTED SHARE (UNAUDITED) (Dollars in thousands, except per share data)
Slide 15: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures MYERS INDUSTRIES, INC. RECONCILIATION OF FREE CASH FLOW TO GAAP NET CASH PROVIDED BY (USED FOR) OPERATING ACTIVITIES – CONTINUING OPERATIONS (UNAUDITED) (Dollars in thousands)
Slide 16: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures MYERS INDUSTRIES, INC. RECONCILIATION OF NON-GAAP FINANCIAL MEASURES ADJUSTED EBITDA AND DEBT (UNAUDITED) (Dollars in thousands)
Slide 17: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures MYERS INDUSTRIES, INC. RECONCILIATION OF NON-GAAP FINANCIAL MEASURES WORKING CAPITAL (UNAUDITED) (Dollars in thousands)
Slide 18: Myers Industries, Inc.
MYERS: INDUSTRIES, INc.