Lci Industries · NYSE:LCII
Lci Industries — Q3 2024 Earnings Presentation
14 slides from Lci Industries's earnings presentation, Nov 7, 2024
Slide 1: LCI Industries Q3 2024 Earnings Conference Call
LCI Industries Q3 2024 Earnings Conference Call November 7, 2024
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains certain “forward-looking statements” with respect to our financial condition, results of operations, profitability, margin growth, business strategies, operating efficiencies or synergies, competitive position, growth opportunities, acquisitions,
Slide 3: Third Quarter 2024 Highlights
Third Quarter 2024 Highlights Strong operating performance and cash flow generation in challenging environment Financial Performance Gaining Share through Innovation ■ Net sales of $915 million in the third quarter, down 5% year- ■ Grew sales to RV OEMs in our top 5 product over-year categories desp
Slide 4: North American RV OEM
North American RV OEM Performance and Trends • 68,500 wholesale towable units shipped in Q3 2024, up 11% YoY • 84,100 estimated retail towable units sold in Q3 2024, down 9% YoY ◦ Implied reduction of dealer inventories of 15,600 for the quarter • YTD wholesale units through September 30, 2024 of 25
Slide 5: Innovation Driving RV Content Growth, Share Gains
Innovation Driving RV Content Growth, Share Gains Key 2025 Model Year Product Wins New Window Designs Furrion® 18K Chill Cube Touring Coil and Integrated Shades Air Conditioner Suspension Sequential Towable Content Growth (LTM) YoY Towable Content Growth (LTM) * "Other" includes impact of RV unit sh
Slide 6: RV Open House - Innovation Highlights
RV Open House - Innovation Highlights Customers are adding new products showcased at Open House to latest RV models, supporting content growth New Patented Bi-Fold Sundeck Larger Window and Glass Applications New Porch Concepts Dealer/Customer Ride-Alongs: Helux Pin Box, TCS & ABS Experiences 6
Slide 7: Adjacent Industries OEM
Adjacent Industries OEM Performance and Trends • Q3 2024 Adjacent Industries sales down 12% YoY • Decrease primarily due to lower sales to North American marine and utility trailer OEMs ◦ Pressured by current dealer inventory levels, inflation, and elevated interest rates impacting retail consumers
Slide 8: Aftermarket Segment
Aftermarket Segment Performance and Trends • Q3 2024 sales in line with the prior year; resiliency driven by market share gains in the automotive aftermarket, offset by softness in RV and Marine aftermarkets • 100 bps YoY margin contraction primarily driven by increased labor costs due to product mi
Slide 9: International Business
International Business Performance and Trends • Q3 2024 international sales1 down 9% YoY, primarily driven by softening RV markets, partially offset by strength in the rail market • Leading global OEMs are utilizing Lippert's Technical Excellence Center for product design and innovation within rail
Slide 10: Growth Strategy
Growth Strategy Winning through our diversified portfolio, cutting-edge innovation, and best-in-class service Continue Execution of our Capital Allocation Strategy Diversification Strategy • Focusing on strategic acquisitions to expand presence in • Expanding market share beyond our RV OEM channel e
Slide 11: Q3 2024 Financial Performance
Q3 2024 Financial Performance -5% +110 bps +38% +8% * Additional information regarding EBITDA, as well as reconciliation of this non-GAAP financial measure to the most directly comparable GAAP financial measure, is provided in the Appendix. 11
Slide 12: Liquidity and Cash Flow
Liquidity and Cash Flow As of and for the nine months ended September 30 2024 2023 Cash and Cash Equivalents $161M $31M Remaining Availability under Revolving Credit $383M $179M Facility(1) Capital Expenditures $31M $50M Dividends $80M $80M Debt / Net Income (TTM) 6.3x 18.4x Net Debt/EBITDA (TTM)(2)
Slide 13: Appendix: Reconciliation of Non-GAAP Measures
Appendix Reconciliation of Non-GAAP Measures EBITDA Three Months Ended September 30, Nine months ended September 30, Twelve months ended September 30, ($ in thousands) 2024 2023 2024 2023 2024 2023 Net income $ 35,612 $ 25,887 $ 133,320 $ 66,572 $ 130,943 $ 49,443 Interest expense, net 6,516 10,325
Slide 14: Q&A
LCI INDUSTRIES Q&A 14