Lgl Group, Inc. (the) · AMEX:LGL
Lgl Group, Inc. (the) — The LGL Group — Q1 2012 Earnings Presentation
12 slides from Lgl Group, Inc. (the)'s earnings presentation, May 15, 2012
Slide 1: The LGL Group, Inc. Q1 2012 Earnings Report
The LGL Group, Inc. (AMEX: LGL) Q1 2012 Earnings Report May 15, 2012 – 10:00 a.m. ET
Slide 2: Safe Harbor Statement
Safe Harbor Statement This document includes certain “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These statements are based on management’s current expectations and are subject to uncertainty and changes in circumstances. Actual results ma
Slide 3: Corporate Snapshot
Corporate Snapshot Publicly traded global corporation Formed in 1917 IPO in 1946 MtronPTI subsidiary 1965 $34 million TTM annual revenue March 31, 2012 Global revenue 50% overseas $7.50 Stock price 5/14/2012 $13.35 52-week high $19.5 million market capitalization $13.4 million available cash March 3
Slide 4: Q1 2012 Results
Q1 2012 Results $7.2M revenues (20%) down compared to Q1 2011 22.3% gross margin (10) percentage point change compared to Q1 2011 ($0.23) loss per share New orders soft for both the Telecom and MISA segments $8.9M backlog at end of Q1 2012, compared to $8.6M end of Q4 2011 Held all major clients… In
Slide 5: Business Cycle Factors
Business Cycle Factors Overall weak macroeconomic climate major clients and prospects sit on the sidelines delay microelectronics expense Newer technologies (ex. 4G) taking longer to coalesce further delaying orders Key competitors impacted as well believe we’ve held share; gained in some Analysts s
Slide 6: For example: 4G / LTE
For example: 4G / LTE Worldwide Cellular $1,600 M What will drive 4G / LTE growth? Infrastructure Spend $1,400 M Leap Wireless $1,200 M Carrier competition MetroPCS $1,000 M Continued shift to smart phones US Cellular $800 M Tablets wireless ready Clearwire $600 M Sprint Primary internet connectio
Slide 7: Quarterly Income Trend
Quarterly Income Trend Quarterly Income Statement Trends $14.0 50.0% $12.5 $12.4 $12.0 $11.0 40.0% $10.7 $9.2 37.6% $9.7 $9.6 $10.0 36.3% 34.1% $9.0 30.0% 31.6% 31.7% 31.8% 32.6% $8.0 $7.2 $7.3 20.6% 28.0% $7.4 $7.2 18.9% 27.9% 22.3% 20.0% $6.0 19.8% 19.5% 13.0% 11.3% 8.0% 10.0% 6.4% 6.6% $4.0 3.5%
Slide 8: Modest increase in backlog
Modest increase in backlog Order Backlog $16.0 $14.0 $12.0 $10.0 +3% $8.0 $8.6 $8.9 $6.0 $4.0 $2.0 $0.0 Q2 2009 Q3 2009 Q4 2009 Q1 2010 Q2 2010 Q3 2010 Q4 2010 Q1 2011 Q2 2011 Q3 2011 Q4 2011 Q1 2012 Positive book to bill ratio for Q1 2012 led to modest 3% increase in backlog compared to Q4 2011 8
Slide 9: Solid Capital Position
Solid Capital Position Capital Position as of March 31, 2012 Total Assets $ 32.1M Net Working Capital 17.2M Cash Adjusted Working Capital 7.3M Cash and Cash Equivalents 13.4M Total Debt 3.3M Shareholder’s Equity 25.1M Available Lines of Credit $ 2.0M Balance sheet remains strong, well-positioned to
Slide 10: GAAP to Non-GAAP Reconciliation
GAAP to Non-GAAP Reconciliation Computation of Adjusted Working Capital: As of (000's) 3/31/2012 Accounts receivable, net $ 3,807 Inventory, net 5,840 Less: accounts payable (2,392) Adjusted working capital $ 7,255 The Company uses non-GAAP additional measures of operating results, net earnings and
Slide 11: Working through cycle toward growth
Working through cycle toward growth Major clients reporting market softness Repeat orders from existing contracts sluggish Semiconductor industry predicting growth in H2 Solid working capital position Strong design backlog for engineering Starting to see modest improvement in backlog 11
Slide 12: Question and Answer
Question and Answer Visit us: www.lglgroup.com www.mtronpti.com Contact us: Greg Anderson, President and CEO (e-mail: ganderson@lglgroup.com) LaDuane Clifton, Chief Accounting Officer (e-mail: lclifton@lglgroup.com) Voice: (407) 298-2000 12