Dover Corporation · NYSE:DOV
Dover — Q1 2019 Earnings Presentation
21 slides from Dover's earnings presentation, Apr 18, 2019
Slide 1: Earnings Conference Call First Quarter 2019
Earnings Conference Call First Quarter 2019 April 18, 2019 – 9:00am CT Exhibit 99.1
Slide 2: Forward-Looking Statements and Non-GAAP Measures
Forward-Looking Statements and Non-GAAP Measures We want to remind everyone that our comments may contain forward-looking statements that are inherently subject to uncertainties and risks. We caution everyone to be guided in their analysis of Dover Corporation by referring to the documents we file f
Slide 3: Q1 2019 - Highlights
Q1 2019 - Highlights Bookings down 2% to $1.8B Organic bookings were flat Adjusted diluted EPS from continuing operations(2) at $1.24, up 38% $0.06 benefit related to discrete tax items(3) Diluted EPS from continuing operations on a GAAP basis at $0.72, up 3% Other Activities Belanger acquisition cl
Slide 4: Q1 2019 – Financial Summary
Q1 2019 – Financial Summary US GAAP from continuing operations Q1 2019 Q1 2018 ∆ Revenue ($M) 1,725 1,638 5% Earnings ($M) 106 109 (3%) Diluted EPS ($) 0.72 0.70 3% Non-GAAP(1) from continuing operations Adjusted EBIT – Segment ($M) 251 202 24% margin percent 14.6% 12.3% 230 bps Adjusted EBITDA – Se
Slide 5: Q1 2019 - Revenue & Bookings
Q1 2019 - Revenue & Bookings Revenue Change in Organic Revenue: +$136M, or 8.3% By Region By Segment DRFE ASIA US OTHER OTHER AMER. Revenue Split ($M) 1,638 39 95 2 6 -55 1,725 1,827 -33 29 6 -54 1,785 9 Note: Numbers may not add due to rounding Bookings Change in Organic Bookings: +$2M, or 0.1% (1)
Slide 6: Q1 2019 – Adj. Segment EBIT & EBITDA Walk, and Earnings & Adj. Earnings Walk
Q1 2019 – Adj. Segment EBIT & EBITDA Walk, and Earnings & Adj. Earnings Walk – (Continuing Operations basis) 16.4% 12.3% 14.6% 18.4% Change in Adjusted Segment EBIT (3) +$49M +24% Q1 2018 Q1 2019 202 -66 269 317 -3 32 19 67 251 (1) Depreciation: $31M, Amortization: $36M (2) Depreciation: $31M, Amort
Slide 7: Q1 2019 – Free Cash Flow
Q1 2019 – Free Cash Flow 12.3% (1) Includes stock-based compensation and changes in other current and non-current assets and liabilities $M Q1 2019 Q1 2018 ∆ Net earnings $106 $131 ($26) Earnings from disc. ops. 0 (22) 22 Loss on assets held for sale 47 0 47 D&A 68 69 (1) Chg. in working capital (13
Slide 8: Segment Information
Segment Information
Slide 9: Engineered Systems – Financial Results
Engineered Systems – Financial Results 18.3% 18.0% 20.6% 15.4% Adjusted EBIT up 19% Adjusted EBIT margin up 260 bps Favorable volume and productivity ($M) Bookings Revenue Q1 2018 Q1 2019 Organic growth: 5.8% Adjusted EBIT, EBITDA & Margin(1) Printing & Identification Industrial 39 0 -24 687 672 103
Slide 10: Fluids – Financial Results
Fluids – Financial Results 11.0% 19.3% 14.3% Adjusted EBIT up 45% Adjusted EBIT margin up 330 bps Favorable volume and conversion on strong organic growth ($M) Q1 2018 Q1 2019 Organic growth: 4.2% Organic growth: 15.1% 16.5% Fueling & Transport Pumps Process Solutions 628 95 6 -26 703 703 29 9 -29 7
Slide 11: Refrigeration & Food Equipment – Financial Results
Refrigeration & Food Equipment – Financial Results 12.6% 8.1% 12.0% Adjusted EBIT down 7% Favorable volume growth offset by mix 338 Q1 2018 Q1 2019 Organic growth: 0.7% 8.6% Refrigeration Food Equipment ($M) 2 0 -6 335 29 0 -1 14 43 -2 0 0 40 -13 27 Bookings Revenue 373 6 -2 0 377 Organic growth: 1.
Slide 12: Q1 Adjusted EPS grew by 38%
Q1 Adjusted EPS grew by 38% Q1 ‘18 impact from discrete tax items Adjusted EPS(1) ($/share) Q1 ’19 impact from discrete tax items (1) Adjusted diluted EPS excludes acquisition-related amortization, rightsizing and other costs, and a 2019 loss on assets held for sale (reconciliation in appendix) Note
Slide 13: 2019 FY Guidance
2019 FY Guidance
Slide 14: Updated FY 2019F Guidance
Updated FY 2019F Guidance 2019 Engineered Systems Fluids Refrigeration & Food Equip Total Organic revenue 4% - 5% 4% - 5% 1% - 3% 3% - 5% Acquisitions - 2% - 1% Dispositions - (1%) - (0%) Currency (1%) - (2%) (1%) - (2%) (1%) (1%) - (2%) Total revenue 3% - 4% 4% - 5% 0% - 2% 3% - 4% (1) Adjusted EPS
Slide 15: Appendix
Appendix
Slide 16: Reconciliation of Q1 2019 Earnings to Adj. EBIT and Adj. EBITDA
Reconciliation of Q1 2019 Earnings from Continuing Operations to Adj. EBIT and Adj. EBITDA and calculation of Adj. EBIT margin and Adj. EBITDA margin by Segment (U.S. GAAP) Note: Numbers may not add due to rounding (1) Adjusted depreciation and amortization expense excludes depreciation and amortiza
Slide 17: Reconciliation of Q1 2018 Earnings to Adj. EBIT and Adj. EBITDA
Reconciliation of Q1 2018 Earnings from Continuing Operations to Adj. EBIT and Adj. EBITDA and calculation of Adj. EBIT margin and Adj. EBITDA margin by Segment (U.S. GAAP) Note: Numbers may not add due to rounding
Slide 18: Reconciliation of Adjusted Earnings and Adjusted Diluted EPS
Reconciliation of Adjusted Earnings from Continuing Operations to Earnings from Continuing Operations and calculation of Adjusted diluted EPS under U.S. GAAP Note: Numbers may not add due to rounding
Slide 19: Reconciliation of Free Cash Flow and Adjusted EPS
Reconciliation of Free Cash Flow; and EPS from Continuing Operations to Adjusted EPS from Continuing Operations Reconciliation Free Cash Flow Reconciliation Adjusted EPS from Continuing Operations Reconciliation Range 2019 Guidance for Earnings per Share from Continuing Operations (GAAP) $4.53 $4.73
Slide 20: Non-GAAP Definitions
Non-GAAP Definitions Definitions of Non-GAAP Measures: Adjusted Earnings from Continuing Operations: is defined as earnings from continuing operations adjusted for the effect of acquisition-related amortization, rightsizing and other costs, and a 2019 loss on assets held for sale. Adjusted Diluted E
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