Slide 1: 1st Quarter 2018 Earnings Release Conference Call
1st Quarter 2018 Earnings Release Conference Call May 2, 2018 1 | ©2017 Belden Inc. belden.com @beldeninc
Slide 2: Safe Harbor Statement
Safe Harbor Statement Our commentary and responses to your questions may contain forward-looking statements, including our outlook for the 2018 second quarter and full year. Forward- looking statements include projections of sales, earnings, general economic conditions, market conditions, working ca
Slide 3: Q1 2018 Highlights
Q1 2018 Highlights • Revenues of $607.4M, increasing 10.2% year-over-year • EBITDA of $103.3M, increasing 11.1% year-over-year • EPS of $1.16, increasing 26.1% year-over-year • Deployed $94 million for the acquisition of SAM and $75 million for share repurchases • Increased full-year 2018 revenue gu
Slide 4: Q1 2018 Segment Overview
Q1 2018 Segment Overview Revenue $351.0 M Key Markets • Smart Buildings Enterprise Constant Currency Revenue +9.1% Growth % (Y/Y) Solutions • Final Mile Broadband EBITDA Margin 16.4% • Live Media Production Revenue $256.4M Key Markets • Discrete Manufacturing Industrial Constant Currency Revenue +4.
Slide 5: Q1 2018 Financial Summary
Q1 2018 Financial Summary Q1 2018 Q4 2017 Q1 2017 Revenue $607.4M $604.9M $551.4M Gross profit $242.6M $237.7M $228.6M Gross profit percentage 39.9% 39.3% 41.5% EBITDA $103.3M $110.2M $93.0M EBITDA percentage 17.0% 18.2% 16.9% Net Income(1) $57.5M $79.0M $47.8M Earnings Per Share(2) $1.16 $1.62 $0.9
Slide 6: Q1 2018 Segment Results
Q1 2018 Segment Results Enterprise Industrial Consolidated Solutions Solutions Q1 2018 Revenue $351.0M $256.4M $607.4M EBITDA(1) $57.5M $46.4M $103.3M EBITDA Margin 16.4% 18.1% 17.0% Q4 2017 Revenue $332.4M $272.5M $604.9M EBITDA(1) $48.5M $60.5M $110.2M EBITDA Margin 14.6% 22.2% 18.2% Q1 2017 Reven
Slide 7: Q1 2018 Balance Sheet Highlights
Q1 2018 Balance Sheet Highlights Q1 2018 Q4 2017 Q1 2017 Cash and cash equivalents $363M $561M $816M Working Capital Turns 5.7x 8.2x 8.1x PP&E turns 6.9x 7.2x 7.1x Total debt principal amount $1.69B $1.58B $1.66B Net Leverage(1) 2.9x 2.3x 1.9x (1) Net leverage is calculated as (A) total debt less ca
Slide 8: Q1 2018 Cash Flow Highlights
Q1 2018 Cash Flow Highlights Q1 2018 Q1 2017 Cash flows from operating activities $(83.9)M $(12.3)M Less: Net capital expenditures(1) $15.9M $10.4M Free cash flow(2) $(99.7)M $(22.7)M Cash used to acquire businesses(3)(4) $95.4M $0.0M Dividends / Share Repurchases $86.1M $10.8M (1) Capital expenditu
Slide 9: Outlook
Outlook Q2 2018 • Revenue of $650 - $670 million • Earnings Per Share(1)(2) of $1.41 - $1.51 2018 Full Year • Revenue of $2.633 - $2.683 billion • Earnings Per Share(1)(2) of $6.23 - $6.48 (1) Adjusted Outlook. See Appendix for reconciliation to comparable GAAP outlook. (2) All references to Earning
Slide 10: Questions?
Questions? 10 | ©2017 Belden Inc. belden.com @beldeninc
Slide 11: Appendix
Appendix 11 | ©2017 Belden Inc. belden.com @beldeninc
Slide 12: Statement of Operations
Statement of Operations Unaudited Three Months Ended April 1, 2018 April 2, 2017 (In thousands, except per share data) Revenues $ 605,565 $ 551,381 Cost of sales (374,971) (329,007 Gross profit 230,594 222,374 Selling, general and administrative expenses (124,872) (112,586 Research and development (
Slide 13: Operating Segment Information
Operating Segment Information Unaudited Enterprise Industrial Total Solutions Solutions Segments (In thousands, except percentages) For the three months ended April 1, 2018 Segment Revenues $ 350,990 $ 256,433 $ 607,423 Segment EBITDA 57,452 46,426 103,878 Segment EBITDA margin 16.4 % 18.1 % 17.1 %
Slide 14: Operating Segment Reconciliation to Consolidated Results
Operating Segment Reconciliation to Consolidated Results Unaudited Three Months Ended April 1, 2018 April 2, 2017 (In thousands) Total Segment Revenues $ 607,423 $ 551,381 Deferred revenue adjustments (1,858) — Consolidated Revenues $ 605,565 $ 551,381 Total Segment EBITDA $ 103,878 $ 93,370 Income
Slide 15: Balance Sheet
Balance Sheet April 1, 2018 December 31, 2017 (Unaudited) (In thousands) ASSETS Current assets: Cash and cash equivalents $ 362,863 $ 561,108 Receivables, net 439,846 473,570 Inventories, net 328,797 297,226 Other current assets 51,976 40,167 Total current assets 1,183,482 1,372,071 Property, plant
Slide 16: Cash Flow Statement
Cash Flow Statement Unaudited Three Months Ended April 1, 2018 April 2, 2017 (In thousands) Cash flows from operating activities: Net income $ 2,570 $ 25,581 Adjustments to reconcile net income to net cash used for operating activities: Depreciation and amortization 36,519 35,052 Loss on debt exting
Slide 17: GAAP to Non-GAAP Reconciliation
Q1 2018 GAAP to Non-GAAP Reconciliation Three Months Ended April 1, 2018 April 2, 2017 Unaudited (In thousands, except percentages and per share amounts) GAAP revenues $ 605,565 $ 551,381 Deferred revenue adjustments 1,858 — Adjusted revenues $ 607,423 $ 551,381 In addition to reporting financial re
Slide 18: Free Cash Flow GAAP to Non-GAAP Reconciliation
Free Cash Flow GAAP to Non-GAAP Reconciliation Unaudited We define free cash flow, which is a non-GAAP financial measure, as net cash from operating activities adjusted for capital expenditures net of the proceeds from the disposal of tangible assets. We believe free cash flow provides useful inform
Slide 19: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures Q2 and Full-Year 2018 Earnings Guidance Unaudited Our guidance for income per diluted share attributable to Belden common stockholders is based upon information currently available regarding events and conditions that will impact our future operating results. In p