Slide 1: Fiscal 2022 Second Quarter Financial Results
FISCAL 2022 SECOND QUARTER FINANCIAL RESULTS December 2, 2021
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains certain forward-looking statements, which reflect management's expectations regarding future events and operating performance and speak only as of the date hereof. These forward- looking statements are subject to the safe harbor protection provid
Slide 3: Non-GAAP Financial Measures
Non-GAAP Financial Measures To supplement the company's financial statements presented in accordance with generally accepted accounting principles in the United States (“GAAP”), Methode uses certain non-GAAP financial measures, such as EBITDA, Net Debt, and Free Cash Flow. Reconciliation to the near
Slide 4: FY22 Q2 Highlights
FY22 Q2 Highlights Quarterly Performance Electric Vehicle Activity Sales of $296 Million Record EV Sales Auto Demand Headwind, Strong Industrial Sales 16% of Q2 Consolidated Sales Continued Margin Impact from Supply Chain Disruptions Expecting Mid-Teens % in FY22 Business Activity Balance Sheet & Ca
Slide 5: Select Business Awards
FY22 Q2 Select Business Awards Non-EV Automotive • Interior Ambient Lighting for U.S. Auto OEM • HVAC Control Panel for European Auto OEM $9M* Cloud Computing • Busbar Assembly for a U.S. Data Center Supplier $6M* • Busbar Assembly for a U.S. Data Center Supplier Commercial Vehicles • LED Turn Indic
Slide 6: Financial Results
Q@AETHODE ELECTRONICS Financial Results
Slide 7: Financial Highlights
FY22 Q2 Financial Highlights Net Sales Income from Diluted Earnings ($M) Operations per Share ($M) ($) $300.8 $295.5 $45.0 $1.01 $33.2 $0.72 FY21 Q2 FY22 Q2 FY21 Q2 FY22 Q2 FY21 Q2 FY22 Q2 7 Higher Material and Other Costs Associated with Supply Chain Disruptions
Slide 8: Financial Results: Gross Margin and Selling & Administrative
FY22 Q2 Financial Results Gross Margin % Selling & Administrative % • Lower sales volume • Higher stock-based compensation expense and • Higher costs for material and logistics salary expense related to supply chain disruptions Partially offset by: Partially offset by: • Lower restructuring costs •
Slide 9: Financial Results: Net Income and EBITDA
FY22 Q2 Financial Results Net Income EBITDA* ($M) ($M) • Lower sales volume • Lower income from operations • Higher cost of products sold • Lower other income • Higher selling & administrative expense Partially offset by: • Lower other income • Favorable foreign currency translation Partially offset
Slide 10: Balance Sheet
FY22 Q2 Balance Sheet Debt Cash and Cash Net Debt* ($M) Equivalents ($M) ($M) FY22 Q1 $240.1 $223.1 Free Cash Flow* $233.2 ($6.2) $177.2 $45.9 $6.9 FY21 Q4 FY22 Q2 FY21 Q4 FY22 Q2 FY21 Q4 FY22 Q2 * See Appendix for reconciliation to GAAP 10 YTD Share Buyback of 965,029 Shares for $42.4M
Slide 11: Free Cash Flow
FY22 Q2 Free Cash Flow Net Cash Provided by Capital Free Cash Flow* Operating Activities Expenditure ($M) ($M) ($M) FY22 Q1 $40.3 Free Cash Flow* $36.7 $27.0 ($6.2) $21.6 $3.6 $5.4 FY21 Q2 FY22 Q2 FY21 Q2 FY22 Q2 FY21 Q2 FY22 Q2 * See Appendix for reconciliation to GAAP 11 Free Cash Flow Lowered by
Slide 12: Guidance
FY22 Guidance FY22 Full Year Revised • Net sales for FY22 of $1,140 - $1,160 million, prior guidance of $1,175 - $1,235 million • Diluted earnings per share for FY22 of $3.00 - $3.20, prior guidance of $3.35 - $3.75 The guidance is subject to disruption due to a variety of factors including the impa
Slide 13: Thank You
AETHODE ELECTRONICS Thank You
Slide 14: Appendix: Reconciliation of Non-GAAP Measures
Appendix AETHODE ELECTRONICS METHODE ELECTRONICS, INC. AND SUBSIDIARIES RECONCILIATION OF NON-GAAP MEASURES (Unaudited) (in millions) Three Months Ended ‘Six Months Ended October 30, October 31, October 30, October 31, 2021 2020 2021 2020 EBITDA: Net income $ 215 $ 386 $ 56.6 $ 593 Income tax expens