Slide 1: 2020 Q4 & Year-End Financial Results
inTEST Corporation ial a Innovative Test & Process Solutions 2020 Q4 & Year-End Financial Results Conference Call Presentation March 5, 2021 Nick Grant Hugh Regan President and CEO Treasurer and CFO. inTEST
Slide 2: Forward-Looking Statements
inTEST Corporation (NYSE American: INTT) FonvardLooking Statements ‘The pasetaton chides fowardokng statements win th meaning othe Pate Sacre Ligation Rela Act of 185 8 amanda. Tess satmits do ot comey Natori ‘noeaton ba ete to peice of pte! te ets and tancal esis, suchas statements ou pas, satepes
Slide 3: CEO Discussion
CEO Discussion President & CEO, Richard N. “Nick” Grant, Jr. ‘ABB SVP Americas Region Industrial Automation Measurement & Analytics Division ‘“AMETEK VP & GM Materials Analysis Division (Test & Measurement) ' Emerson Electric ‘MBA (Xavier University) / BS Physics (Northern Kentucky University) inTES
Slide 4: Q4 2020 Bookings and Backlog
Q4 2020 Bookings and Backlog (Sin mitions) Bookings ae $17.6 sizg $13.9 $14.4 me YoY : Bq a120 220 2320 0420 Backlog om YoY Po.
Slide 5: Q4 2020 Revenue
Q4 2020 Revenue $14.9M ERY Yo om a 2 Q4’20 Revenue P 3% | Q0Q | | 10 ; wo 6 = High-end of guidance 4 = Driven by Semi and Industrial markets = As % of overall revenue: Semi 51% / Multimarket 49% 2 = Q4 Semi revenues increased 3% QoQ. Q4 Multimarket revenues increased 3% QoQ
Slide 6: Fiscal Year 2020 Financial Results
Fiscal Year 2020 Financial Results $59.7M Sq | $53.8M Byes Bookings $(0.09) By) $0.03 Bye GAAP. Non-GAAP Net Loss per diluted share Adj. Net Earnings per diluted share inTEST
Slide 7: EMS Products Segment
EMS Products Segment ST EMS Products EMS serves 100% Semiconductor markets (specifically, production test for analog and mixed signal semiconductor applications) inTEST
Slide 8: EMS Highlights
EMS Highlights ‘Semi industry experiencing significant demand spike after a couple of years of headwinds due to trade wars, automotive contraction and COVID-19 ‘Semi shortages have industry scrambling to increase capacity EMS benefiting from broad-based recovery "experiencing strong increases across
Slide 9: EMS Segment: Organic Growth through Innovation
EMS Segment: Organic Growth through Innovation Automated Manipulators + Docking Intelligent Test Cell + 4* fully automated, Reduces Downtime fully featured ATE Yi Prevents operator from damaging the system Manipulator ‘de to ero oF poor setup ~ Aiko postions the Improves Quality lest hea + Better ma
Slide 10: Thermal Segment
Thermal Segment ==» inTEST D ixtsT Hema soutes <—|Ambrelt EASYHEAT Thermal accounts for all Multimarket revenue and some revenue from Semiconductor front-end manufacturing and back-end test
Slide 11: Thermal Highlights
Thermal Highlights Q4 Thermal bookings up slightly QoQ vIn line with expectations + Resurgence of COVID19 restrictions and traditional holiday slowdown ¥ Continue to make inroads across multiple industries and verticals Nominal QoQ decline in Q4 Thermal revenue due to timing of larger deliveries Q3
Slide 12: Thermal Segment: Growth Applications in Emerging Markets
Thermal Segment: Growth Applications in Emerging Markets Electric Vehicles ‘Wide-ranging induction heating solutions for heating metal and Plastic parts in the manufacturing processesof electric vehicles Shan tig in ect Motor as a vvamehing ‘ater Producton & Cooing Crcut Cannabis Extraction Broad ch
Slide 13: New Year Strategic Plan
inTEST Corporation New 5 Year Strategic Plan
Slide 14: Forward Strategy Development
Forward Strategy Development In early October, the Executive Management Team met to kickoff the development of a Corporate Strategy that would define what the Corporation would collectively strive to become + We defined who we are, identified our underlying values and culture, recognized what's impo
Slide 15: Vision — What do we want to be?
Vision — What do we want to be? “To be the Supplier of Choice for Innovative Test and Process Technology Solutions” Yr r Market Leader/Easy Targeted Applications to do Business with Differentiated/Creative Products/Services/Support/etc Also identifies who we do not want to become —> “Off the shelf”
Slide 16: Mission — How do we get there?
Mission — How do we get there? Building off our core strength “Bestin class” Engineering, Manufacturing and Quality Systems L “Leverage our Deep Industry Knowledge & Expertise to Develop and Deliver High Quality, Innovative Customer Solutions and Superior Support for Complex Global Challenges" Best
Slide 17: Core Growth Strategies
Core Growth Strategies + Aggressively pursue bolt-on Drive further penetration in J _ technology/eeography opportunities existing markets (deeper & wider) Global & Strategic + Buildout Divisions with a portfolio of Increase global footprint/coverage Market Aoaiitton a companies to better serve custo
Slide 18: Key Investments
Key Investments Investments already made or currently underway: + Business Development Manager at Ambrell hired to focus on rapidly growing EV market + Additional sales and service investments to improve coverage and support + Increased Marketing initiatives to drive awareness and lead generation +
Slide 19: Key Takeaways
Key Takeaways NEW VISION, LEADERSHIP & FOCUS Standardization & Scalability inTEST
Slide 20: Building a Foundation for Positive Change
~ Building a Foundation for Positive Change Business and industry conditions continuing to improve Market tailwinds and investments driving growth Worldwide chip shortage expected to last into next year Utilization rates projected to stay historically high > Normally correlates to strong Semi busine
Slide 21: Financial Overview — Hugh Regan, CFO
Financial Overview — Hugh Regan, CFO Treasurer & CFO, Hugh T. Regan, Jr. + CFO 8 Treasurer since 1996, Elected Secretary 1999 VP Finance & CFO for Value Property Trust, publicly traded REIT *BS Accounting & Finance (Rider University). CPA
Slide 22: Operating Performance
2 Operating Performance 2015 2016 2017 2018 2019 2020 Gross Margin 48% 51% 52% 50% 48% 45% SG&A 31%* 31%" 30% 29%» 36%" 38% Eng. & Prod. s m Development 10% 9% 6% 6% 8% 9% Operating Margin 7% 11% 16%2> 15% 5% (2)% EBITDA 9%* 12%* 8% 9% 8% 1% CSR ce Sean seine nog soe So atin intEST
Slide 23: Recent Financial Results
a Recent Financial Results ($m except EPS) oe Orders ame 6 gu $138 $13.9 S144 i” | | so a2 0220 320 420 Adjusted Net EPS ae $0.05 $0.07 sow |-$0.08 st80 s160 suo siz0 s100 s s Net Revenues 144 $14.9 $13.3 a1 azz ta EBITDA $0.91 $0.67 -$0.93
Slide 24: Balance Sheet Highlights
Balance Sheet Highlights As of 12/31/2020 Cash and Cash Equivalents $10.3M Working Capital $18.1M Total Assets $62.0M Long-Term Debt $0 Shareholder Equity $44.8M inTEST
Slide 25: Q1 2021 Guidance
Q1 2021 Guidance Net Revenue $18.5M to $19.5M GAAP Net Earnings per diluted share $0.18 to $0.22 diluted EPS Non-GAAP Adjusted Net Earnings per diluted share _$0.21 to $0.25 diluted EPS | Gross Margin 49% to 51% This outlook is based on the Company's current views with respect to operating and marke
Slide 26: Q&A
inTEST Corporation Q&A
Slide 27: Thank You
inTEST Corporation Thank You
Slide 28: Reconciliations for Non-GAAP Measures
inTEST Corporation Reconciliations for Non-GAAP Measures
Slide 29: Reconciliations for Non-GAAP Measures
a Reconciliations for Non-GAAP Measures (Dollars in thousands, except per share) [Reconciliation of Net Earnings (Loss) |(GAAP) to EBITDA (Non-GAAP) Neat cataract 2015 | 2016 | 2017 | 2018 | 2019 | 2020 [Net earnings (loss) (GAAP) 1961 | 2658 975 | 3037 | 2,922 | (695) Net interest(income) expense 7
Slide 30: Reconciliations for Non-GAAP Measures
x» Reconciliations for Non-GAAP Measures (Dollars in thousands, except per share) {Reconciliation of Net Earnings (Loss) (GAAP) to EBITDA (Non-GAAP) ‘Quarters Ended I 3/31/20 6/30/20 9/30/20 12131120 | | Net earnings (loss) (GAAP) (1,143) 170 458 (380) | Net interest income) expense ° 25 4 4 Income
Slide 31: Reconciliations for Non-GAAP Measures
* Reconciliations for Non-GAAP Measures (Dollars in thousands, except per share) [Reconciliation of Net Earnings (Loss) (GAAP) to Adjusted Net Earnings (Non-GAAP) and Ned Earnings (Loss) Per Diluted Share (GAAP) to Adjusted NetEamings Per Diluted Share (Non-| Years Ended — 2018 2020 [Net earnings (l
Slide 32: Reconciliations for Non-GAAP Measures
Reconciliations for Non-GAAP Measures (Dollars in thousands, except per share) "Reconclaton of Net Earnings (Loss) (GAAP) to Adjusted Net Eamings (Less) {Noncone) and net Earngs (os) er Diata Share OM) to baht Carers Ended tesnings ton Per bes She on OA) same —|— saan —[— a Neteaing (on) (OA) (88) 0
Slide 33: Reconciliations for Non-GAAP Measures
2 Reconciliations for Non-GAAP Measures (Dollars in thousands, except per share) Reconciliation of Net Earnings (Loss) (GAAP) to Net Earnings Excluding Restructuring and Other Non Recurring Charges (Non-GAAP) and Net Earnings (Loss) per diluted share (GAAP) to Net Years Ended = Exclu er dlsted share
Slide 34: Reconciliations for Non-GAAP Measures
Reconciliations for Non-GAAP Measures (Dollars in thousands, except per share) Reconciision of Net Earnings (Loss) (GAAP) to Net Earnings (Loss) [Excluding Restructuring and Other Non-Recurring Charges (Non-GAAP) and Net Earnings (Loss) per dluted share (GAAP) to NetEarings (Loss) ‘Quarters Ended [E