Slide 1: Second Quarter 2024 Financial Results
SECOND QUARTER 2024 FINANCIAL RESULTS August 8, 2024
Slide 2: Forward-Looking Statements – Disclaimer
FORWARD-LOOKING STATEMENTS – DISCLAIMER This presentation contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements include all statements that are not historical statements of fact and those regarding the Company's intent, belief, or expectati
Slide 3: Executing Our Strategy as Expected
EXECUTING OUR STRATEGY AS EXPECTED • 5% revenue growth in Q2, OpSec performance and integration progressing as planned o Continued new wins leading to record high international Currency backlog, increasing full year Currency core sales growth guidance to 3% to 5% o CPI returned to growth in Q2 as ga
Slide 4: How We Go To Market
HOW WE GO TO MARKET Providing trusted technology solutions to secure, detect and authenticate what matters most Security & Authentication Technologies Crane Payment Innovations Reportable Segments 2024 Sales* 2024 Sales* ~$610M ~$880M Businesses Operating Discipline Crane Business System (CBS) Well
Slide 5: Q2 2024 Results Summary
Q2 2024 RESULTS SUMMARY Q2 2024 Q2 2023 $ Millions, except per- GAAP Adjusted* GAAP Adjusted* • Opsec driving revenue growth in Q2, share amounts with core sales increase ~1%, in line Sales $371 $371 $352 $352 with expectations Segment Operating Profit 85 101 99 108 • Adjusted segment operating marg
Slide 6: Crane Payment Innovations – Q2 Results
CRANE PAYMENT INNOVATIONS – Q2 RESULTS GAAP Non-GAAP* $ Millions Q2 2024 Q2 2023 Change Q2 2024 Q2 2023 Change Sales $ 224 $ 226 (1%) $ 224 $ 226 (1%) Segment Operating Profit 61 65 (5%) 67 70 (4%) Segment Operating Margin 27.4% 28.7% (130bps) 30.0% 31.1% (110bps) Backlog 166 301 (45%) 166 301 (45%)
Slide 7: Security & Authentication Technologies – Q2 Results
SECURITY & AUTHENTICATION TECHNOLOGIES – Q2 RESULTS GAAP Non-GAAP* $ Millions Q2 2024 Q2 2023 Change Q2 2024 Q2 2023 Change Sales $ 146 $ 126 +16% $ 146 $ 126 +16% Segment Operating Profit 24 35 (31%) 34 38 (11%) Segment Operating Margin 16.4% 27.4% (NM) 23.3% 30.2% (NM) Backlog 335 184 +82% 335 184
Slide 8: Strong Balance Sheet and Capital Structure
STRONG BALANCE SHEET AND CAPITAL STRUCTURE Net leverage ratio* of ~1.8x $ Millions Q2 2024 Cash Provided from Operating Activities 56.8 $868M Capital Expenditures (8.9) $215M Free Cash Flow* 47.9 Revolver $25 Revolver Adjusted Free Cash Flow* 53.9 $103M Term Loan Effective (GAAP) Tax Rate 25.0% Non-
Slide 9: Narrowing 2024 Guidance
NARROWING 2024 GUIDANCE Guidance Guidance Updated Feb 14, 2024 May 9, 2024 Guidance Crane NXT Sales Growth* -1% to +3% 5% to 8% 5% to 8% • Raising low end of guidance and CPI Core Sales Growth -3% to 2% -3% to 2% -3% to 2% narrowing range based on year-to- date performance Currency Core Sales Growth
Slide 10: On Track to Execute 5-Year Targets
ON TRACK TO EXECUTE 5-YEAR TARGETS 2023 CONTINUE TO DRIVE DISCIPLINED 5-YEAR TARGET INVEST AND OPERATIONAL M&A ~$1.4B GROW CORE EXCELLENCE TO EXPAND ~$3B Sales BUSINESS THROUGH CBS PORTFOLIO Sales ~4% International currency Productivity to Focus on technologies MSD+ Core Growth* growth driven by inc
Slide 11: Q&A
Q&A CRANE
Slide 12: Appendix
APPENDIX
Slide 13: Non-GAAP Explanations
NON-GAAP EXPLANATIONS Crane NXT reports its financial results in accordance with U.S. generally accepted accounting principles (“GAAP”). This press release includes certain non-GAAP financial measures, including Adjusted operating profit, Adjusted operating margin, Adjusted EPS, free cash flow, and
Slide 14: Non-GAAP Explanations
NON-GAAP EXPLANATIONS The Company's management believes that each of the following non-GAAP measures provides useful information to investors regarding the Company’s financial conditions and operations: • "Adjusted operating profit" and "Adjusted operating margin" add back to operating profit items
Slide 15: Non-GAAP Explanations
NON-GAAP EXPLANATIONS The Company's management believes that each of the following non-GAAP measures provides useful information to investors regarding the Company’s financial conditions and operations: • “Free cash flow,” “Adjusted free cash flow” and "Adjusted free cash flow conversion” provide su
Slide 16: Non-GAAP Financial Measures for Crane NXT, Co.
NON-GAAP FINANCIAL MEASURES FOR CRANE NXT, CO. Non-GAAP Financial Measures (unaudited, in millions except per share data) 16
Slide 17: Non-GAAP Financial Measures by Segment, Second Quarter
NON-GAAP FINANCIAL MEASURES FOR CRANE NXT, CO. Non-GAAP Financial Measures by Segment, Second Quarter (unaudited, in millions) 17
Slide 18: Free Cash Flow, Net Leverage Ratio
NON-GAAP FINANCIAL MEASURES FOR CRANE NXT, CO. Free Cash Flow, Net Leverage Ratio (unaudited, in millions) 18
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