Jeld-wen Holding, Inc. · NYSE:JELD
Jeld-wen — Q4 2022 Earnings Presentation
25 slides from Jeld-wen's earnings presentation, Feb 21, 2023
Slide 1: Fourth Quarter 2022 Results
Fourth Quarter 2022 Results February 21, 2023
Slide 2: Today's Speakers
Today’s Speakers Bill Christensen CEO Julie Albrecht CFO
Slide 3: Disclosures
Disclosures Certain statements in this presentation, including our guidance and business strategies, are forward- looking statements that involve risk, uncertainty and assumptions, and are based on information as of February 21, 2023. Actual results may differ materially from those set forth in such
Slide 4: Fourth Quarter and Full Year 2022 Highlights
Fourth Quarter and Full Year 2022 Highlights Fourth Quarter ▪ Sales of $1,331 million ▪ Adjusted EBITDA of $100 million Full Year 2022 ▪ Sales of $5,129 million (+7.5%) ▪ Adjusted EBITDA of $422 million ▪ Invested in new, innovative product lines ▪ Committed to 2050 sustainability goals Mixed Perfor
Slide 5: Two-Pronged Approach
Two-Pronged Approach Short Term Long Term Strengthen Profitable Foundation Growth People, Performance & Strategy 5
Slide 6: Near-Term Performance Improvement Actions
Near-Term Performance Improvement Actions Focus on improving JELD-WEN’s competitive position Addressing our Cost Base Streamlining the Business ▪ Recently announced closure of Atlanta ▪ Create more accountability lower in doors facility the organization - Completed 5 site closures in 2022 - Addition
Slide 7: Reposition Priorities, Improve Transparency, Address Capital Allocation
JELD-WEN Going Forward Resetting the Bar Address Reposition Improve Capital Priorities Transparency Allocation Significant Opportunities in the Quarters and Years to Come 7
Slide 8: Q4 2022 Financials
Q4 2022 Financials
Slide 9: Q4 2022 Financial Summary
Q4 2022 Financial Summary USD in Millions Net Revenue Adjusted EBITDA Adjusted EBITDA Margin +3.5% -17.1% -180 bps $1,287 $1,331 $120.1 9.3% $99.6 7.5% Q4 2021 Q4 2022 Q4 2021 Q4 2022 Q4 2021 Q4 2022 Revenue increase driven by 9% Core Favorable price/cost more than offset by higher SG&A expenses Rev
Slide 10: JELD-WEN Q4 2022 Revenue Bridge
JELD-WEN Q4 2022 Revenue Bridge USD in Millions +$151 -$38 $1,331 -$68 $1,287 Q4 2021 Price Volume / Mix Foreign Exchange Q4 2022 Price Increases Mostly Driven by Cost Inflation 10
Slide 11: JELD-WEN Q4 2022 Segment Results
JELD-WEN Q4 2022 Segment Results USD in Millions Year-Over-Year Highlights North America Q4 2022 Q4 2021 Q3 2022 Net Revenue $863 $773 $835 ▪ Flat volume/mix in North America Adjusted EBITDA $87 $81 $105 and Australasia; Lower volume/mix Adjusted EBITDA margin 10.1% 10.5% 12.6% in Europe (Revenue -1
Slide 12: Market Outlook and Guidance
Market Outlook and Guidance
Slide 13: Market Outlook
Market Outlook Expect Global Demand Slowing in 2023 North America Europe Australasia Low-Double High-Single Mid-Single Digit Digit Digit Volume Decline Volume Decline Volume Decline R&R holding up better Residential declines Solid backlog heading than new construction with slight growth in into 2023
Slide 14: 2023 Outlook
2023 Outlook 2023 2023 Net Revenue Adjusted EBITDA $4.5B to $4.9B $360M to $400M Core Revenue lower by 4%-8% Lower volume is main driver to earnings driven by double-digit decline; Focus on productivity and volume/mix decline cost reductions Focus on Driving Performance in Any Macroeconomic Environm
Slide 15: Appendix
Appendix
Slide 16: JELD-WEN FY 2022 Segment Results
JELD-WEN FY 2022 Segment Results USD in Millions Year-Over-Year Highlights North America 2022 2021 Net Revenue $3,259 $2,829 ▪ Higher volume/mix in North America Adjusted EBITDA $353 $353 (Revenue +1%) offset by lower Adjusted EBITDA margin 10.8% 12.5% volume/mix in Europe (Revenue - 4%) and Austral
Slide 17: Balance Sheet and Cash Flow
Balance Sheet and Cash Flow USD in Millions Cash Flow Full Year 2022 Full Year 2021 Net cash provided by operating activities $30 $176 Capital Expenditures(1) ($92) ($100) Free Cash Flow(2) ($62) $76 Balance Sheet December 31, 2022 December 31, 2021 Total Debt $1,748 $1,706 Cash $219 $396 Net Debt(3
Slide 18: JELD-WEN Net Revenue Walk
JELD-WEN Net Revenue Walk USD in Millions Q4 2022 JELD-WEN North America Europe Australasia Pricing 12% 13% 11% 10% Volume / Mix (3%) 0% (10%) 0% Core Revenue Growth 9% 13% 1% 10% FX (5%) (1%) (13%) (11%) Total 3.5% 11.7% (12.1%) (1.4%) Full Year 2022 JELD-WEN North America Europe Australasia Pricin
Slide 19: JELD-WEN Full Year 2022 Revenue Bridge
JELD-WEN Full Year 2022 Revenue Bridge USD in Millions +$609 -$34 $5,129 -$217 $4,772 2021 Price Volume / Mix Foreign Exchange 2022 Price Realization Mostly Related to Significant Cost Inflation 19
Slide 20: Revised 2021 Adjusted Net Income Reconciliation
Revised 2021 Adjusted Net Income Reconciliation Three Months Ended Year Ended March 27, June 26, September 25, December 31, December (amounts in millions) 2021 2021 2021 2021 31, 2021 Reported Millions Net income $ 25.5 $ 60.7 $ 40.5 $ 42.1 168.8 Net legal and professional expenses and settlements 1
Slide 21: Revised 2021 Adjusted EPS Reconciliation
Revised 2021 Adjusted EPS Reconciliation Three Months Ended Year Ended March 27, June 26, September 25, December 31, December 2021 2021 2021 2021 31, 2021 Reported Diluted net income per share $ 0.25 $ 0.60 $ 0.41 $ 0.45 $ 1.72 Net legal and professional expenses and settlements 0.13 0.02 - 0.04 0.2
Slide 22: Revised Q1, Q2 and Q3 2022 Adjusted Net Income Reconciliation
Revised Q1, Q2 and Q3 2022 Adjusted Net Income Reconciliation Three Months Ended March 26, June 25, September 24, (amounts in millions) 2022 2022 2022 Reported Net (loss) income $ (0.5) $ 45.8 $ (33.2) Net legal and professional expenses and settlements 5.0 3.1 6.5 Goodwill impairment - - 54.9 Restr
Slide 23: Revised Q1, Q2 and Q3 2022 Adjusted EPS Reconciliation
Revised Q1, Q2 and Q3 2022 Adjusted EPS Reconciliation Three Months Ended March 26, June 25, September 24, 2022 2022 2022 Reported Diluted net (loss) income per share $ (0.01) $ 0.52 $ (0.39) Net legal and professional expenses and settlements 0.06 0.04 0.08 Goodwill impairment - - 0.64 Restructurin
Slide 24: 2022 Adjusted Net Income Reconciliation
2022 Adjusted Net Income Reconciliation Three Months Ended Year Ended March 26, June 25, September 24, December 31, December 31, (amounts in millions) 2022 2022 2022 2022 2022 $ (0.5) $ 45.8 $ (33.2) $ 33.6 $ 45.7 Net (loss) income Net legal and professional expenses and 5.0 3.1 6.5 (3.7) 10.8 settl
Slide 25: 2022 Adjusted EPS Reconciliation
2022 Adjusted EPS Reconciliation Three Months Ended Year Ended March 26, June 25, September 24, December 31, December 31, (amounts in millions, except share and per share data) 2022 2022 2022 2022 2022 Diluted net (loss) income per share $ (0.01) $ 0.52 $ (0.39) $ 0.40 $ 0.53 Net legal and professio