Bluelinx Holdings Inc. · NYSE:BXC
Bluelinx — Q2 2021 Earnings Presentation
19 slides from Bluelinx's earnings presentation, Aug 4, 2021
Slide 1: Second Quarter Results Conference Call
Second Quarter Results Divider slide Conference Call 29 September, 2020 August 4, 2021
Slide 2: Safe Harbor Statement
Safe Harbor Statement Note to Our Investors This presentation contains forward-looking statements. Forward-looking statements include, without limitation, any statement that predicts, forecasts, indicates or implies future results, performance, liquidity levels or achievements, and may contain the w
Slide 3: Executive Summary
Executive Summary Market Update and Second Quarter 2021 Performance Market Conditions Company Performance • Single-family residential housing remains strong. Q2 single-family housing starts • Record second quarter results. Record net income and Adjusted EBITDA, driven consistent with 1Q21 estimates;
Slide 4: Single-Family Housing Demand
Single-Family Housing Demand Our business is correlated to single-family housing starts (SFHS) Total U.S. Single Family Housing Starts Total U.S. Monthly Single-Family Residential Home Supply Housing starts in thousands(1) Months of inventory(2) 2,000 • 2021 SFHS forecasted at 1.2 million 1,800 14 S
Slide 5: Residential Repair & Remodel Activity Remains Healthy
Residential Repair & Remodel Activity Remains Healthy Elevated Repair & Remodel activity continues Total Installed Base of U.S. Homes, Including Renter and U.S. Private Residential Construction Put-In-Place (CPP) Owner-Occupied Homes Dollars in millions(2) • Annual U.S. Homes installed base Homes in
Slide 6: Commodity Price Environment a Key Growth Driver
Commodity Price Environment a Key Growth Driver Wood-based commodity markets volatile in 2Q21 due to supply-demand imbalances Framing Lumber Composite Index • Significant price volatility; As of July 2021(1) deflation commenced at the end 1,600 Index Price TTM Avg. Index Price of 2Q21 and has contin
Slide 7: Key Areas of Management Focus
Key Areas of Management Focus Continuing to execute on strategic imperatives 1 2 3 4 Organic Margin Organizational Disciplined Sales Growth Expansion Efficiencies Capital Allocation • National account growth, • Focus on specialized, higher- • Local sales execution • Generate cash flow to utilizing e
Slide 8: 2Q21 & TTM Performance Indicators
2Q21 & TTM Performance Indicators Net Sales, Gross Profit, Net Income and Adjusted EBITDA all increased significantly compared to prior year Total Net Sales Total Gross Profit Dollars in millions Dollars in millions +53% $4,070 $715 +93% +149% $2,653 $371 +87% $251 $1,308 $101 $699 2Q20 2Q21 2Q20 TT
Slide 9: 2Q21 & TTM Performance Indicators
2Q21 & TTM Performance Indicators Strong market trends throughout the quarter contributed to year over year margin expansion Gross Margin SG&A Percentage of Net Sales Gross Profit / Net Sales SG&A / Net Sales +360 bps (340) bps (300) bps +480 bps 11.1% 19.2% 10.1% 17.6% 8.1% 14.4% 14.0% 6.7% 2Q20 2Q
Slide 10: Specialty Products and Structural Products Performance
Specialty Products and Structural Products Performance Record margin expansion in specialty; continued strong net sales in both product categories in 2Q21 Specialty Products Sales and Gross Margin Structural Products Sales and Gross Margin Dollars in Millions Dollars in Millions Q2 2020 Q2 2021 Q2 2
Slide 11: Effective Operating Working Capital Management
Effective Operating Working Capital Management Improvement in operating working capital metrics year over year and sequentially Disciplined Operating Working Days Sales of Inventory (DSI) • Significant return on working Capital Management Number of Days capital, 62% for 2Q21 TTM Dollars in millions(
Slide 12: Significant Reduction In Bank Debt Outstanding
Significant Reduction In Bank Debt Outstanding Reduced bank debt outstanding by $71 million year over year, supported by strong free cash flow generation Excess Availability and Net Leverage Ratio (includes finance leases) Bank Debt Reduction • ABL amended and extended for Dollars in millions(1); Ne
Slide 13: Appendix
Divider slide Appendix 29 September, 2020
Slide 14: Non-GAAP Measures
Non-GAAP Measures BlueLinx reports its financial results in accordance with GAAP, but we also believe that presentation of certain non-GAAP measures may be useful to investors and may provide a more complete understanding of the factors and trends affecting the business than using reported GAAP resu
Slide 15: Supplementary Information
Supplementary Information 2Q20 to 2Q21 SG&A Expense Bridge Dollars in Millions YTD 2020 to YTD 2021 SG&A Expense Bridge Dollars in Millions 14 -14-
Slide 16: Non-GAAP Reconciliation
Non-GAAP Reconciliation Quarter Ended June 2021 June 2020 Net income (loss) $ 113,458 $ 6,695 Adjustments: Depreciation and amortization 7,080 7,063 Interest expense, net 9,143 11,535 Provision for income taxes 34,908 3,438 Share-based compensation expense 1,992 854 Amortization of deferred gain on
Slide 17: Non-GAAP Reconciliation
Non-GAAP Reconciliation Trailing Twelve Months for the Quarter Ended June 2021 March 2021 December 2020 September 2020 June 2020 March 2020 December 2019 September 2019 June 2019 March 2019 (In thousands) Net income (loss) $ 250,292 $ 143,529 $ 80,882 $ 50,829 $ (11,330) $ (11,724) $ (17,656) $ (23,
Slide 18: Non-GAAP Reconciliation
Non-GAAP Reconciliation Free Cash Flow for the Quarter Ended June 2021 March 2021 December 2020 September 2020 June 2020 March 2020 December 2019 September 2019 June 2019 (In thousands) Net cash provided (used) by Operations(1) $ 47,166 $ (24,565) $ (19,377) $ 61,495 $ 72,088 $ (59,187) $ 27,319 $ 1
Slide 19: Non-GAAP Reconciliation
Non-GAAP Reconciliation Net Debt and Net Leverage Ratio for the Trailing Twelve Months for the Quarter Ended June 2021 March 2021 December 2020 September June 2020 March 2020 December 2019 September June 2019 March 2019 (In thousands) Current maturities of long-term debt, $ - $ - $ 1,245 $ 1,609 $ 2