Crane Company · NYSE:CR
Crane — Q1 2022 Earnings Presentation
17 slides from Crane's earnings presentation, Apr 26, 2022
Slide 1: Crane Co. Q1 2022 Earnings Release Call
CRANE CO. Q1 2022 Earnings Release Call
Slide 2: Forward-Looking Statements – Disclaimer
FORWARD-LOOKING STATEMENTS – DISCLAIMER This presentation contains forward-looking statements within the meaning of the federal securities laws. Forward-looking statements include all statements that are not historical statements of fact and those regarding our intent, belief, or expectations, inclu
Slide 3: Forward-Looking Statements – Disclaimer
FORWARD-LOOKING STATEMENTS – DISCLAIMER Readers should carefully review Crane’s financial statements and the notes thereto, as well as the section entitled “Risk Factors” in Item 1A of Crane’s Annual Report on Form 10-K for the year ended December 31, 2021 and the section entitled “Risk Factors Rela
Slide 4: Q1 2022 Earnings Summary and Highlights
Q1 2022 EARNINGS SUMMARY AND HIGHLIGHTS $ Millions except per-share amounts Q1 2022 Q1 2021 Change Sales $801 $780 +3% Operating Profit* $141 $128 +10% Operating Margin* 17.6% 16.5% +110 bps Earnings per Share from Continuing Operations* $1.81 $1.57 +15% Free Cash Flow from Continuing Operations** (
Slide 5: Aerospace & Electronics
AEROSPACE & ELECTRONICS $ Millions except per-share amounts Q1 2022 Q1 2021 Change Sales $157 $154 +2% Operating Profit $28 $26 +8% Operating Margin 17.9% 16.9% +100 bps Backlog $508 $482 +6% Additional Details Q1 2022 Q1 2022 OE Sales (1%) Core Growth +2.2% Aftermarket Sales 12% FX Translation (0.2
Slide 6: Process Flow Technologies
PROCESS FLOW TECHNOLOGIES $ Millions except per-share amounts Q1 2022 Q1 2021 Change Sales $311 $288 +8% Operating Profit* $51 $39 +31% Operating Margin* 16.3% 13.4% +290 bps Backlog $372 $325 +14% Additional Details ▪ Compared to Q4 2021, sequential FX neutral backlog up Q1 2022 +5% and FX neutral
Slide 7: Payment & Merchandising Technologies
PAYMENT & MERCHANDISING TECHNOLOGIES $ Millions except per-share amounts Q1 2022 Q1 2021 Change Sales $333 $338 (1%) Operating Profit* $84 $85 (1%) Operating Margin* 25.3% 25.3% -- Q1 2022 Core Growth +1.2% FX Translation (2.6%) Total Sales Change (1.5%) 7 * Excludes Special Items. Please see non-GA
Slide 8: Cash Flow, Balance Sheet and Tax
CASH FLOW, BALANCE SHEET AND TAX $ Millions except per-share amounts Q1 2022 Q1 2021 Better / (Worse) Cash Provided from Operating Activities ($49) $48 ($97) Capital Expenditures ($13) ($5) ($8) Free Cash Flow from Continuing Operations* ($62) $43 ($105) Effective (GAAP) Tax Rate 25.0% 20.9% (410 bp
Slide 9: 2022 Guidance Summary (Continuing Operations)
2022 GUIDANCE SUMMARY (CONTINUING OPERATIONS) $ Millions except per share amounts 2022G 2021 Change*** Earnings per Share from Continuing Operations* $7.00-$7.40 $6.55 +10% Free Cash Flow from Continuing Operations** $350-$390 $415 (11%) 2022G Other 2022 Guidance Details Core Growth +4% to +6% ▪ Adj
Slide 10: Proposed Separation: Next Steps and Timing
PROPOSED SEPARATION: NEXT STEPS AND TIMING ▪ Will provide additional information in Form 10 Registration Statement ▪ Search process for Crane NXT CEO is underway, including evaluation of internal and external candidates ▪ Board composition and extended leadership teams of both companies will be anno
Slide 11: Non-GAAP Information
NON-GAAP INFORMATION APRIL 26, 2022
Slide 12: Non-GAAP Explanation (1/2)
NON-GAAP EXPLANATION (1/2) Crane Co. reports its financial results in accordance with U.S. generally accepted accounting principles (“GAAP”). This presentation includes certain non-GAAP financial measures, including adjusted operating profit, adjusted operating margin, adjusted EPS, and Free Cash Fl
Slide 13: Non-GAAP Explanation (2/2)
NON-GAAP EXPLANATION (2/2) We believe that each of the following non-GAAP measures provides useful information to investors regarding the Company’s financial conditions and operations: ▪ Operating Profit before Special Items (“Adjusted Operating Profit”) and Operating Margin before Special Items (“A
Slide 14: Non-GAAP Financial Measures (Income Items)
NON-GAAP FINANCIAL MEASURES (INCOME ITEMS) Three Months Ended March 31, 2022 2021 % Change $ Per Share $ Per Share (on $) Net sales (GAAP) $ 801.1 $ 779.6 2.8 % Operating profit (GAAP) $ 133.6 $ 140.0 (4.6)% Operating profit margin (GAAP) 16.7 % 18.0 % Special items impacting operating profit: Trans
Slide 15: Non-GAAP Financial Measures (Segment Data)
NON-GAAP FINANCIAL MEASURES (SEGMENT DATA) Payment & Aerospace & Process Flow Merchandising Total Three Months Ended March 31, 2022 Electronics Technologies Technologies Corporate Company Net sales (GAAP) $ 157.2 $ 311.3 $ 332.6 $ - $ 801.1 Operating profit (GAAP) $ 28.1 $ 49.0 $ 84.2 $ (27.7) $ 133
Slide 16: Non-GAAP Financial Measures (Guidance/Cash Flow)
NON-GAAP FINANCIAL MEASURES (GUIDANCE/CASH FLOW) 2022 Earnings from Continuing Operations per Share Guidance Low High Earnings from continuing operations per diluted share (GAAP) $ 6.35 $ 6.75 Special items impacting earnings per share 0.65 0.65 Earnings from continuing operations per diluted share
Slide 17: Jason D. Feldman, Vice President, Investor Relations
Jason D. Feldman Vice President, Investor Relations 203-363-7329