Atmus Filtration Technologies Inc. · NYSE:ATMU
Atmus Filtration Technologies — Q2 2023 Earnings Presentation
16 slides from Atmus Filtration Technologies's earnings presentation, Aug 9, 2023
Slide 1: Second quarter 2023 Earnings call
Second quarter 2023 Earnings call August 9, 2023 Public
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation contains forward-looking statements within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995, including, without limitation, those that are based on current expectations, estimates and projecti
Slide 3: Steph Disher, CEO and Jack Kienzler, CFO
Steph Disher Chief Executive Officer Jack Kienzler Chief Financial Officer Public | 3
Slide 4: Thank you to our employees
Thank you to our employees Public | 4
Slide 5: Second quarter 2023 Financial highlights
Second quarter 2023 Financial highlights1 $414 million $35 million Sales Adj. FCF 19.3% $0.63 Adj. EBITDA Margin Adj. EPS 1. For the 3 months ended June 30, 2023 GAAP net income was $46 million, diluted earnings per share was $0.55 and cash provided by operating activities was $46 million Public | 5
Slide 6: Our growth strategy
Our growth strategy 1 3 Grow share in Transform our first-fit in core supply chain markets 2 4 Accelerate Expand into profitable growth industrial filtration in the aftermarket markets Public | 6
Slide 7: Company results
Company results Three months ended June 30 2023 2022 Sales $414 $393 Gross margin $114 $95 Gross margin % 27.7% 24.3% Selling, General & Research (SAR) $58 $42 SAR% 14.1% 10.7% Joint venture / other income $9 $8 Adj. EBITDA1 $80 $67 Adj. EBITDA margin % 19.3% 17.1% Net Income $46 $49 Diluted earning
Slide 8: Disciplined capital allocation
Disciplined capital allocation Focused on delivering long-term shareholder value Maintain strong 1 balance sheet ▪ ▪ Strong liquidity: $490 million ~30% Trailing Twelve Months Sales 2 Grow the business ▪ ▪ Growth opportunities as independent entity Organic and inorganic Return to 3 shareholders ▪ Ev
Slide 9: 2023 outlook
2023 outlook Measure FY 2023 outlook Sales $1,580 - $1,630 Adj. EBITDA margin%1 17.25% - 18.25% Additional Planning Assumptions Adj. earnings per $2.05 - $2.25 Joint venture income $25 - $30 share Effective tax rate 23% - 25% Interest expense $25 - $30 (in millions) Depreciation & amortization ~$25
Slide 10: Q&A
“@ Atmus QtA
Slide 11: Non-GAAP Financial Measures
Non-GAAP Financial Measures Public
Slide 12: Non-GAAP Financial Measures
Non-GAAP Financial Measures We use non-GAAP financial information and believe it is useful to investors as it provides additional information to facilitate comparisons of historical operating results, identify trends in our underlying operating results and provide additional insight and transparency
Slide 13: Non-GAAP Financial Measures
Non-GAAP Financial Measures | 13
Slide 14: Adjusted EPS Reconciliation
Non-GAAP Financial Measures Adjusted EPS Reconciliation ($ Earnings per Share) For the Three Months Ended June 30, 2023 2022 Diluted earnings per share $ 0.55 $ 0.59 Plus: One-Time separation costs (a) $ 0.11 $ 0.01 Less: Tax impact of one-time separation costs $ 0.03 $ 0.00 Adjusted earnings per sh
Slide 15: Free Cash Flow and Adjusted Free Cash Flow Reconciliations
Non-GAAP Financial Measures Free Cash Flow and Adjusted Free Cash Flow Reconciliations ($ millions) For the Three Months Ended June 30, 2023 2022 Cash provided by operating activities $46 $40 Less: Capital expenditures $13 $16 Free cash flow $34 $24 Plus: One-time separation capital expenditures $2
Slide 16: Public
Public
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