Cooper-standard Holdings Inc. · NYSE:CPS
Cooper-standard — Q2 2011 Earnings Presentation
18 slides from Cooper-standard's earnings presentation, Aug 16, 2011
Slide 1: Cooper Standard 2Q 2011 Earnings Call
Cooper Standard 2Q 2011 Second Quarter 2011 Earnings Call August 16, 2011 Exhibit 99.1
Slide 2: Introduction & Agenda
Introduction & Agenda • Introduction: Glenn Dong, Treasurer • Executive Overview: Jim McElya, CEO • Business Highlights: Keith Stephenson, COO • Financial Review & Updated Guidance: Allen Campbell, CFO • Questions & Answers
Slide 3: Safe Harbor
Safe Harbor In addition to historical information, certain statements contained herein are forward-looking statements within the meaning of federal securities laws, and Cooper Standard Automotive (Cooper Standard) intends that such forward- looking statements be subject to the safe-harbor created th
Slide 4: Safe Harbor
Safe Harbor This presentation includes forward-looking statements, reflecting current analysis and expectations, based on what are believed to be reasonable assumptions. Forward-looking statements may involve known and unknown risks, uncertainties and other factors, which may cause actual results to
Slide 5: Executive Overview: Second Quarter 2011 Review
Executive Overview: Second Quarter 2011 Review • Continued revenue and earnings growth: – 2Q sales growth of 21%, up across all regions – 2Q adjusted EBITDA margin of 11.9% • Resulting from: – Contributions from strategic acquisitions – Business wins on global platforms – Leveraging footprint in Bra
Slide 6: Executive Overview: Second Quarter 2011 Review
Executive Overview: Second Quarter 2011 Review • Strategic progress: – French JV on track to deliver $150 million in incremental sales » Added AVS and hose capabilities in Europe » Expanded footprint in India – Strengthening global coverage » Acquired 20% share in Nishikawa Thailand, expanding globa
Slide 7: Executive Overview: Industry Trends
Executive Overview: Industry Trends • Increased M&A activity – Ongoing consolidation of supply base • Raw material concerns – Escalating costs – Availability challenges • Demand for new technology – Fuel economy and emission standards driving innovation • Impact of Japan production slowdown – Sales
Slide 8: Business Highlights Second Quarter
Business Highlights Second Quarter • Sales improvement due to recovering volumes and mix • French joint venture expanding business with European customers • Continued global footprint evolution • Strategically growing Fluid business
Slide 9: Footprint Evolution
Asia Pacific Americas Europe Footprint Evolution Asia Pacific Americas Europe Recent Footprint Expansion: • Craiova, Romania • Czestochowa, Poland • Mumbai, India • Nakhonratchasima, Thailand • Sao Paulo, Brazil
Slide 10: Strategic Growth and Expansion of Fluid Business
Strategic Growth and Expansion of Fluid Business • Benefitting from strategic focus on expanding thermal management and emissions products » Supplying exhaust gas recirculation (EGR) modules to Audi » Launched brushless water pumps to Renault, Nissan and PSA » Won wastegate actuator business with VW
Slide 11: Vehicle Launches Quarter 2011
Vehicle Launches 2 Quarter 2011 – Audi – W36 Platform Emissions – Fisker - Karma Thermal Management – GM - Meriva Sealing – Peugeot 508 Sealing – Porsche – 911 Coupe, 911 Convertible, Boxster Sealing, Fluid Handling – Land Rover - Range Rover Evoque Fuel, Brake and Emissions Land Rover Evoque Peugeo
Slide 12: Financial Overview
Financial Overview 2Q 2011 Allen Campbell Chief Financial Officer
Slide 13: 2Q and Year-to-Date 2011 Performance
2Q and Year-to-Date 2011 Performance $ Millions Q2 2010 Q2 2011 Net Sales $628.4 $760.5 Operating Profit $ 36.6 $ 17.2 Gross Profit $106.2 $ 123.7 YTD 2010 YTD 2011 $1,224.8 $1,449.2 $ 87.6 $ 68.6 $ 210.7 $ 244.5 Net Income $281.2 $ 19.0 $ 284.6 $ 64.0 Adjusted EBITDA (excluding qtr. one times) $ 90
Slide 14: EBITDA and Adjusted EBITDA Reconciliation
EBITDA and Adjusted EBITDA Reconciliation $ USD Millions Net Income $284.6 $ 64.0 Provision for income tax expense 40.9 EBITDA $418.0 $ 163.7 Restructuring* 6.3 23.9 Adjusted EBITDA $ 147.6 $ 182.2 18.8 Net interest expense 48.0 20.6 Depreciation and amortization 44.5 60.3 Inventory Fair Value * 1.1
Slide 15: Cash Flow 2Q 2011
Cash Flow 2Q 2011 Cash balance as of March 31 259.7 $ Cash generated 53.8 Cash balance as of June 30 313.5 $ ($ in Millions) Q2 - 2011 YTD - 2011 Cash from business 36.8 $ 103.1 $ Pension funding (2.9) (28.5) Changes in operating assets & liabilities 14.2 (48.1) Cash from operations 48.1 $ 26.5 $ Ca
Slide 16: Revised Guidance
Revised Guidance* • Sales: $2.8 billion - $2.9 billion • Capital expenditures: $105 million - $115 million • Cash restructuring: $50 million - $60 million • Cash taxes: $25 million - $30 million * Forecast is based on Cooper Standard North American production of 13.1 million, and Europe (including R
Slide 17: Non-GAAP Financial Measures
Non-GAAP Financial Measures EBITDA and adjusted EBITDA are measures not recognized under Generally Accepted Accounting Principles (GAAP) which exclude certain non-cash and non- recurring items. When analyzing the company’s operating performance, investors should use EBITDA and adjusted EBITDA in add
Slide 18: 2Q 2011 Summary
2Q 2011 Summary • Continued execution on our business plan • Investments filling strategic needs and complementing organic growth • Effectively managing impact of raw material increases • Further evolving organization to support global customers
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