Vishay Precision Group, Inc. · NYSE:VPG
Vishay Precision — Q4 2023 Earnings Presentation
19 slides from Vishay Precision's earnings presentation, Feb 14, 2024
Slide 1: 4Q23 Earnings Call
4Q23 Earnings Call February 14, 2024 VPG - focused on precision measurement and sensing technologies that make the world AND MORE PRODUCTIVE
Slide 2: Safe Harbor Statement
Safe Harbor Statement From time to time, information provided by us, including, but not limited to, statements in this presentation, or other statements made by or on our behalf, may contain or constitute "forward-looking" information within the meaning of the Private Securities Litigation Reform Ac
Slide 3: Fiscal 2023 Highlights
Fiscal 2023 Highlights Consolidated Financial Highlights (in $ millions) • Revenue of $355 million was 2.1% lower than the prior year, reflecting slower second-half demand. • Improved adjusted gross margin. • Achieved adjusted net earnings per diluted share of $2.17. ($ in millions, except per share
Slide 4: Fiscal Fourth Quarter 2023 Highlights
Fiscal Fourth Quarter 2023 Highlights Consolidated Financial Highlights (in $ millions) • 4Q23 revenue of $89.5 million was above the high-end of guidance and grew 4.3% sequentially. • Adj. Net Earnings per Diluted Share of $0.61 grew 29.8% sequentially. • Generated Adj. EBITDA of $16.5 million, or
Slide 5: Sensors: Fourth Quarter 2023 Highlights
Sensors: Fourth Quarter 2023 Highlights Consolidated Financial Highlights (in $ millions) • Sensors 4Q23 sales grew 5.3% sequentially but declined 5.7% from a year ago. The sequential increase primarily reflected higher sales in the Test and Measurement market. • 4Q23 gross profit margin of 40.2% in
Slide 6: Weighing Solutions: Fourth Quarter 2023 Highlights
Weighing Solutions: Fourth Quarter 2023 Highlights Consolidated Financial Highlights (in $ millions) • 4Q23 revenues grew 5.1% sequentially and declined 8.0% from the prior year. • The sequential increase was driven by higher OEM sales for precision agriculture and construction applications and high
Slide 7: Measurement Systems: Fourth Quarter 2023 Highlights
Measurement Systems: Fourth Quarter 2023 Highlights Consolidated Financial Highlights (in $ millions) • 4Q23 revenues grew 2.0% sequentially and declined 7.5% from the prior year. • The sequential increase reflected higher DTS sales to the AMS market, which offset lower steel-related sales of DSI an
Slide 8: Focused on Key Priorities
Focused on Key Priorities Growth Initiatives Cost Reduction and Profit Execute Capital Enhancement Initiatives Allocation Strategy • Execute on growth initiatives • Continue ongoing cost reduction • Continue to implement capital aimed at accelerating new and operational excellence allocation strateg
Slide 9: Financial Results
Financial Results Fiscal quarter ended ($ in millions, except margin data and per share amounts) December 31, December 31, September 30, 2023 2022 2023 Net revenues $ 89.5 $ 96.2 $ 85.9 Gross profit $ 38.5 $ 39.7 $ 35.9 Gross profit margin Organic43.0 % Growth 41.2 % Acquisitions 41.9 % Adjusted gro
Slide 10: Selected Balance Sheet Items
Selected Balance Sheet Items ($ in Millions) December 31, 2023 December 31, 2022 September 30, 2023 Cash & cash equivalents 84.0 88.6 94.6 Total assets 471.6 476.7 484.3 Total long-term debt 31.9 60.8 53.8 Total liabilities 141.6 170.2 160.1 10 PERFORMANCE THROUGH PRECISION
Slide 11: Thank You
Thank You PERFORMANCE THROUGH PRECISION 11 11
Slide 12: Appendix
Appendix PERFORMANCE THROUGH PRECISION 12 12
Slide 13: Fourth Quarter and Annual 2023 Market Trends
Fourth Quarter and Annual 2023 Market Trends Consolidated Revenue by Market $ in millions 4Q23 4Q22 3Q23 2023 2022 Test & Measurement 19.5 18.3 17.1 $ 74.0 $ 78.4 Avionics, Military, Space 10.0 9.8 8.3 38.3 31.4 Transportation 14.1 14.8 15.5 55.1 55.8 Industrial Weighing 10.3 13.5 10.5 43.9 52.1 Gen
Slide 14: Reconciliation of Adjusted Gross Profit, Operating Income, Net Earnings and Diluted EPS - Quarter
Reconciliation of Adjusted Gross Profit, Operating Income, Net Earnings and Diluted Earnings Per Share - Quarter Net Earnings Attributable to VPG In $ thousands, except margin and per share data Gross Profit Operating Income Stockholders Diluted Earnings Per share Fiscal Quarter Ended December 31, 2
Slide 15: Reconciliation of Adjusted Gross Profit, Operating Income, Net Earnings and Diluted EPS - YTD
Reconciliation of Adjusted Gross Profit, Operating Income, Net Earnings and Diluted Earnings Per Share - YTD Net Earnings Attributable to In $ thousands, except margin data Gross Profit Operating Income VPG Stockholders Diluted Earnings Per share Fiscal Year Ended December 31, 2023 2022 2023 2022 20
Slide 16: Non-GAAP Reconciliation – EBITDA and Adjusted EBITDA - QTR
Non-GAAP Reconciliation – EBITDA and Adjusted EBITDA - QTR Fiscal quarter ended December 31, December 31, September 30, In $ thousands, except margin data 2023 2022 2023 Net earnings attributable to VPG stockholders $ 4,227 $ 8,834 $ 6,280 Interest Expense 779 876 1,119 Income tax expense 4,403 1,88
Slide 17: Non-GAAP Reconciliation – EBITDA and Adjusted EBITDA – Fiscal Year
Non-GAAP Reconciliation – EBITDA and Adjusted EBITDA – Fiscal Year Year ended December 31, December 31, In $ thousands, except margin data 2023 2022 Net earnings attributable to VPG stockholders $ 25,707 $ 36,063 Interest Expense 3,974 2,269 Income tax expense 12,426 8,535 Depreciation 11,798 11,504
Slide 18: Reconciliation of Adjusted Gross Profit by Segment
Reconciliation of Adjusted Gross Profit by Segment Fiscal quarter ended December 31, 2023 December 31, 2022 September 30, 2023 Sensors As reported - GAAP $ 13,761 $ 13,645 $ 11,681 As reported - GAAP Margins 40.2 % 37.6 % 35.9 % Start-up costs — — — As Adjusted - Non GAAP $ 13,761 $ 13,645 $ 11,681
Slide 19: VPG Sustainability
VPG Sustainability Milestones in 2023 include: • Updated our sustainability performance highlights on the website. • Updated key performance indicators (KPI) for Environment, Labor, Safety and Health and Quality • Added further policies including Climate Risk and GHG, and Supplier Code of Conduct an
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