Commercial Vehicle Group, Inc. · NASDAQ:CVGI
Commercial Vehicle — Q1 2019 Earnings Presentation
16 slides from Commercial Vehicle's earnings presentation, May 7, 2019
Slide 1: Commercial Vehicle Group, Inc.
Exhibit 99.1 Page | 1 COMMERCIAL VEHICLE GROUP, INC.
Slide 2: Q1 2019 Earnings Conference Call
Patrick Miller President & CEO Tim Trenary Chief Financial Officer & Treasurer Kirk Feiler COMMERCIAL VEHICLE GROUP, INC. VP Corporate Development & Investor Q1 2019 Earnings Conference Call Relations May 7, 2019
Slide 3: Forward Looking Statements
Forward Looking Statements This presentation contains forward-looking statements that are subject to risks and uncertainties. These statements often include words such as “believe”, “anticipate”, “plan”, “expect”, “intend”, “will”, “should”, “could”, “would”, “project”, “continue”, “likely”, and sim
Slide 4: Q1 2019 Highlights
Q1 2019 Highlights • Revenue of $243M, up 13% vs. Q1 2018 – record quarterly revenue • Operating income increased 24% despite wage and other inflationary pressures • Electrical Systems segment revenue up 17% and operating income up 18% driven by continued strong end market demand • Global Seating se
Slide 5: End Market Outlook - North America Truck Build
End Market Outlook - North America Heavy-Duty Truck (Class 8) Build (000’s) Medium-Duty Truck (Class 5-7) Build (000’s) 337 322 272 268 271 249 256 246 2017 2018 2019E 2020E 2017 2018 2019E 2020E Source: April 2019 ACT Research Report • Class 8 builds expected to be robust in 2019 • Class 5-7 builds
Slide 6: Long-term Strategy
Long-term Strategy Enhance Market Position Organic and Inorganic Growth • Optimizing our competitive position • Investment in the business to accelerate growth • Reorganized to leverage secular trends • Strategic acquisitions that expand the portfolio, add capabilities and • Reinvesting in next gene
Slide 7: Investments to Support Growth
Investments to Support Growth • Meeting the needs of current and future customer Expanding wire harness demand facility in Ukraine • Operational in 2H 2019 New wire harness facility in • Latest technology and digitalization Morelos, Mexico • Ramping in 2H 2019 Enhancing injection • Purpose-built fac
Slide 8: Lean Six Sigma Update
Lean Six Sigma Update • 30% of employees globally have been certified, including 70%+ supervisor and above • President’s Award 2019 • Best Performing Value Stream • Most Improved Value Stream • Administrative, Non-Manufacturing Process Page | 8 COMMERCIAL VEHICLE GROUP, INC.
Slide 9: Finance Update
Finance Update COMMERCIAL VEHICLE GROUP, INC.
Slide 10: Q1 2019 Financial Update
Q1 2019 Financial Update $M except per share data Q1 2019 Q1 2018 Qtr Change Revenue $ 243.2 $ 215.7 12.7% Gross Profit 34.6 30.8 12.1% Gross Margin 14.2% 14.3% SGA 15.2 15.2 - Operating Income 19.0 15.3 24.6% Operating Margin 7.8% 7.1% Diluted Earnings per Share 0.36 0.32 12.5% • Revenue up 12.7% d
Slide 11: Electrical Systems Segment Results
Electrical Systems Segment Results Qtr Electrical Systems 1Q 2019 Sales ($M) Q1 2019 Q1 2018 Change Revenue $ 143.6 $ 122.9 16.8% Gross Profit 20.8 18.0 16.1% 21% Truck OEMs Construction OEMs Gross Margin 14.5% 14.6% 10% 52% Aftermarket / OE Service SG&A 4.1 3.8 9.9% 17% Other Operating Income 16.5
Slide 12: Global Seating Segment Sales
Global Seating Segment Sales Qtr Global Seating 1Q 2019 Sales ($M) Q1 2019 Q1 2018 Change Revenue $ 104.1 $ 95.1 9.4% 11% Truck OEMs Gross Profit 13.8 13.1 5.0% 19% Construction OEMs Gross Margin 13.2% 13.8% 47% Aftermarket / OE Service SG&A 5.3 5.7 (5.5%) 23% Other Operating Income 8.3 7.3 13.4% Op
Slide 13: Capital Structure
Capital Structure ($M) 3/31/2019 3/31/2018 Cash $54.3 $37.9 ABL Availability 63.4 55.8 Total Liquidity 117.7 93.7 Debt 163.2 179.2 TTM EBITDA 86.6 59.2 Gross Leverage 1.9x 3.0x Net Leverage 1.3x 2.4x • No borrowings on asset-based line of credit at March 2019 • Repaid $5 million of debt in Q1 19 • N
Slide 14: Appendix
Appendix COMMERCIAL VEHICLE GROUP, INC.
Slide 15: Use of Non-GAAP Measures
Use of Non-GAAP Measures This presentation contains financial measures that are not calculated in accordance with U.S. generally accepted accounting principles (“GAAP”). In general, the non-GAAP measures exclude items that (i) management believes reflect the Company’s multi-year corporate activities
Slide 16: Reconciliation of GAAP to Non-GAAP Financial Measures
Reconciliation of GAAP to Non-GAAP Financial Measures Trailing Twelve Months $M Ended March 31, 2019 2018 Net Income $ 45.8 $ 7.5 Interest 16.7 16.8 Provision for Income Taxes 8.8 19.7 Depreciation 14.0 13.9 Amortization 1.3 1.3 EBITDA $ 86.6 $ 59.2 As of March 31, 2019 2018 Debt per Balance Sheet $
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