Slide 1: Third Quarter 2022 Earnings Review
Third Quarter 2022 Earnings Review November 1, 2022
Slide 2: Forward-Looking Statements
Forward-Looking Statements Statements in this presentation that express a belief, expectation or intention, as well as those that are not historical fact, are forward-looking statements under the Private Securities Litigation Reform Act of 1995. They involve a number of risks and uncertainties that
Slide 3: Third Quarter 2022 Review
Third Quarter 2022 Review Eric Vaillancourt President & Chief Executive Officer
Slide 4: Third Quarter 2022 Highlights
Third Quarter 2022 Highlights Outstanding Execution Exceptional Quarterly Results Strategic Focus 16.2% Strong organic revenue Remain focused on leading- growth in both segments edge critical products and solutions, with high-margins, Sales (organically) strong cash flow and Strategic pricing initia
Slide 5: Strong Third Quarter Results
Strong Third Quarter Results Milt Childress Executive Vice President & Chief Financial Officer
Slide 6: Q3 2022 Financial Performance
Q3 2022 Financial Performance $ in millions, except per share data Sales Gross Profit & Margin Adjusted EBITDA* & Margin* Adjusted Diluted EPS* +33.6% Flat +70.2% +64.7% • Top line growth driven by organic • Effective pricing offset inflationary raw • Adjusted EBITDA* of $71.3 million • Adjusted dil
Slide 7: Sealing Technologies – Q3 2022 Performance
Sealing Technologies – Q3 2022 Performance $ in millions Sales Adjusted EBITDA & Margin +7.5% +15.1% • Sales increase driven by strong demand in aerospace, food & • Adjusted segment EBITDA of $39.7 million increased 15.1% pharma and heavy-duty truck markets partially offset by foreign • Adjusted seg
Slide 8: Advanced Surface Technologies – Q3 2022 Performance
Advanced Surface Technologies – Q3 2022 Performance $ in millions Sales Adjusted EBITDA & Margin +90.5% +105.7% • Sales increase driven primarily by the acquisition of NxEdge • Adjusted segment EBITDA increase driven primarily by the completed in December 2021 and continued strong demand NxEdge acqu
Slide 9: Balance Sheet, Cash Flow & Capital Allocation
Balance Sheet, Cash Flow & Capital Allocation Net Leverage Commentary Reported September 30, 2022 $ in millions • Strong balance sheet; ample liquidity consisting of Credit Facility $ 90 $166.2 million in cash and $299.2 million4 available under revolver Term Loans1,2 $ 447 • Free cash flow* for the
Slide 10: Disciplined, Value-Enhancing Capital Allocation Strategy
Disciplined, Value-Enhancing Capital Allocation Strategy Investing in Long-Term Organic Return Excess Capital Debt Reduction Growth while Pursuing Strategic to Shareholders Acquisitions ✓ $240 million in net debt reduction ✓ Investing in organic growth opportunities ✓ Paid $17.6 million in year-to-d
Slide 11: Increased 2022 Guidance of Continuing Operations
Increased 2022 Guidance of Continuing Operations Sales Adjusted EBITDA** Adj. Diluted EPS** (Dollars in millions, except per share amounts) Low High Low High Low High Previous Guidance at 2Q:2022 Low-to-Mid Double Digits $270 $280 $6.80 $7.30 Engineered Materials to Discontinued Operations $215 $225
Slide 12: Closing Comments
Closing Comments Eric Vaillancourt President & Chief Executive Officer
Slide 13: Closing Comments
Closing Comments Enpro is a leading industrial technology company with a focus on leading-edge products and solutions in a variety of secular growth markets Results demonstrate the benefits of our clear and consistent strategy, agility, discipline and market leadership With the sustained benefits of
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Slide 15: Appendix
Appendix ©
Slide 16: Enpro (NYSE: NPO) | Attractive Portfolio of Businesses
Enpro (NYSE: NPO) | Attractive Portfolio of Businesses Company Overview September 2022 YTD Revenue Contribution of Continuing Operations Sales by Segment Sales by Channel Sales by Geography Sales by Market Headquarters Charlotte, NC Principal Manufacturing 12 Facilities Global Employees ~3,500 Finan
Slide 17: Reconciliation of LTM Results
Reconciliation of LTM Results EnPro Industries, Inc. Adjusted Adjusted ($ in millions) Revenue EBITDA EBITDA Margin Nine Months Ended September 30, 2022 $ 827.3 $ 203.9 24.6% Plus: Year Ended December 31, 2021 840.4 162.4 19.3% Less: Nine Months Ended September 30, 2021 627.7 124.1 19.8% LTM Ended S
Slide 18: Consolidated Adjusted EBITDA (1/2)
Consolidated Adjusted EBITDA (1/2) For the Year Ended December 31, 2021 (In Millions) 1Non-controlling interest compensation allocation represents compensation expense associated with a 2021 portion of the rollover equity from the acquisitions of Income from continuing operations attributable to EnP
Slide 19: Consolidated Adjusted EBITDA (2/2)
Consolidated Adjusted EBITDA (2/2) For the Quarters and Nine Months Ended September 30, 2022 and 2021 (In Millions) Quarters Ended Nine Months Ended September 30, September 30, 2022 2021 2022 2021 Net income from continuing operations attributable to EnPro Industries, Inc., net of tax $ 26.2 $ 24.0
Slide 20: Segment Information (1/2)
Segment Information (1/2) For the Quarters and Nine Months Ended September 30, 2022 and 2021 Reconciliation of Adjusted Segment EBITDA to Income From Continuing Operations Attributable to EnPro Industries, Inc., net of tax (In Millions) Quarters Ended Nine Months Ended September 30, September 30, Sa
Slide 21: Segment Information (2/2)
Segment Information (2/2) For the Quarters and Nine Months Ended September 30, 2022 and 2021 (In Millions) Quarter Ended September 30, 2022 Quarter Ended September 30, 2021 Advanced Sealing Surface Total Advanced Technologies Technologies Segments Sealing Surface Total Technologies Technologies Segm
Slide 22: Consolidated Adjusted Net Income
Consolidated Adjusted Net Income (In Millions, Except Per Share Data) Quarters Ended September 30, Nine Months Ended September 30, 2022 2021 2022 2021 Average Average Average Average common common common common shares shared shares shares outstanding, Per outstanding, Per outstanding, Per outstandin
Slide 23: Free Cash Flow
Free Cash Flow (In Millions) Free Cash Flow - Nine Months Ended September 30, 2022 Net cash provided by operating activities $ 111.6 Purchases of property, plant, and equipment (10.2) Free cash flow $ 101.4 Free Cash Flow -Nine Months Ended September 30, 2021 Net cash provided by operating activitie