Tech Data — Q4 FY2016 Earnings Presentation
26 slides from Tech Data's earnings presentation, Mar 4, 2016
Slide 1: Q4 Fiscal Year 2016 Financial Highlights
Q4 Fiscal Year 2016 Financial Highlights For the quarter ended January 31, 2016 / March 3, 2016 D TechData/
Slide 2: Non-GAAP Financial Information
‘This document includes financial results prepared in accordance with generally accepted accounting principles GAAP"). In addition to GAAP results, Tech Data management believes thatthe presentation of non-GAAP financial measures is usefulto investors because it provides investors with @ more comple
Slide 3: Worldwide Net Sales
Worldwide Net Sales Sin tions | $7.3 S75 $66 $6. 4 $5.9 | 65% 50% fh cox PP ox " Gums aiAis a2Fns ashAs ass Europe | Reported YNVGrowh 8% AKASH Adjusted YY Growh” 1% KK. "Adjusted for the impact of changes in foreign currencies. Beginning in QL FY16, adjusted sales growth eacldes sales generated in
Slide 4: The Americas Net Sales
s y- The Americas Net Sales $26 $27 526 827 | QNFYIS GIFVIS Q2FMIS GRAVIS adFYI6 Reported YiV growth -Sk@ “OCHO f Adjusted yiygiowth 4% = 1K SKM " Adjusted for the impact of changesin foreign currencies: beginning in Ql FY16, adjusted sales growth eacldes sales generated in Chil, Peru and Uruguay du
Slide 5: Europe Net Sales
Sin Butions | reported yea flat coms aprox $48 as $3.9 25 mm a c ar and approximately 28% ‘08 P76 | ens ars Ms GMs fegonesYiVerowth 9k AMO wvcceomt = KKK * ceseonstantcureney DTechData i
Slide 6: Worldwide Gross Profit and Gross Margin
Ciger Worldwide ‘Sa has sous ! seus airs a2ris a3ris asFi6 $372.3 Gross Margin men Gross Profit PTechData
Slide 7: Worldwide SG&A Expenses (Non-GAAP)
Lge Worldwide “ SG&A Expenses (Non-GAAP)! ‘Sin Mitions <a | 2605 S217 $2444 $243.9 $2378 | non-GAAP § in, of 2% year-o Garis aiFris a2i6 asriis cars GMAPSGEACP $2669 $2875 $2500 $2496 $2440 GMPSGEAK «361% 4.20% 3.80% 2A 226% Non-GAAP SG&A excludes acqustion elated amertzaton of intangbies. See GAAP
Slide 8: Worldwide Operating Income (Non-GAAP)
Worldwide () S168 ta Si sat million, or =e Be er im
Slide 9: The Americas Operating Income (Non-GAAP)
s y- The Americas Operating Income (Non-GAAP) Sin Mitlons | Americas seis Gis GAs GaAs ats vor saan operating Non-GAAP Operating ‘Margin® ting margin over GAAP Operating income” $37.8 $624 $608 © $389 «$736 GaaPOperating Margin” 47K 267% 220K SIR 2.79% 1 Scot Gan tno ca recocistn the asenda
Slide 10: Europe Operating Income (Non-GAAP)
Europe “ ob. co | eeigiee Sin tions | dial 5 million grew 7° Qsrns aims amis asris admis | mm ion GAAP Operating Income! “No GAAP Operating arin GAAPOpersting ggg gras Sek S828 S75 GAAP Operating gg | oe 12% 060% 129% 085K 157% |
Slide 11: Worldwide Net Income and EPS (Non-GAAP)
(igen Worldwide KY Net Income and EPS (Non-GAAP)!!! $ nsiions, $749 BAG asr6 GIS GLANS G26 mon GAAP Net come = = Non-GAAP EPS ted ; se07 $513, S764 San 596 suse S209 Saas S272 38307 35,305 GAAP Het Income GAAP ES luted sant Weighted Average Shares set ‘urstanding-Diutes 38262 37.036 36615 00 he GAAP
Slide 12: Worldwide Cash Metrics
ee Worldwide Df Cash Metr 5 | ‘Cash Conversion Cycle ‘Cash Flow from Operations + Cash used by operations a a @ @ oF | $32 million FYis FYI6 FYI6FYI6 FYI6 | ET - sur sam reratec of Sales | 7 ne Odstanding = 2 1 8 $103 Doysotsuy 28 B | > Days of Purchases Cn a | unds aval Becca i incliice ete 4p at ‘
Slide 13: Worldwide Balance Sheet Highlights
Worldwide <p ff Balance Sheet ighlights Debt to Total Capital proximately $42 Owns cIME GAS GRE cHMe $65 sas8 3s? $1964 $1968 S200 = of anaes im
Slide 14: Worldwide Share Repurchase Activity FY16
Life Worldwide | W] Share Repurchase Activity FY16. 1 ‘Amount Number of — Repurchas ‘Shares vera ed Repurchased Price Per (6 millions) (millions) me | FY16 Share Repurchases 31470 2.497 $58.87 Cumulative Repurchases Since FYOS $1,000 30.059 $43.25
Slide 15: Worldwide Return on Invested Capital (non-GAAP)
( Worldwide | D ff Return on invested Capital” (non-aaar) | ‘Company's es Weighted Average Cost of ¢ % 13% 12% a 11% ! rv Fyia rus 6 o eso | (2 Seca Beonoor Petry 26 2016 |
Slide 16: Worldwide Product Mix
Worldwide Product Mix viewtaton DestopAplcatant Desktops ‘Operating stems Pier & Supper ‘tiie Steere Software omonens 18% estrone | MOblty eenotes | 129% Datacenter 2% Lerten ‘consumer Store Hectic. 5, 3% Dia opys ‘sumer AV eves Company estinotes forthe 12 months ended January 3, 2018 1g PTechData,
Slide 17: Forward-Looking Statements and Guidance
-d-Looking Statements ] _ertain statements made in this document + For the quarter ending April 30, 2016, the Company anticipates worldwide net | Corpora ‘Company sales to be in the range of $5.85 billion to $6.05 billion. + This guidance assumes year-over-year constant currency net sales growth of
Slide 18: Appendix: GAAP to Non-GAAP Reconciliations
APPENDIX GAAP to Non-GAAP Reconciliations
Slide 19: SG&A
SG&A “Three months ended “Three months ended neraland rsoRa” oer January3, 2075. —Apets0, 2015 July31 2075 “Oetober 34,3015. __January 31,2016 (dn thousands) Not Sates S__7ase401 s__ 5.887.229 $ 6.980393 $$ 6.4z8s40 Ss 7.483.621 GMP SCBA expenses S$ 266800 § ~—za7asi | 24oeie S| 2aaera Ss 244,026 ‘A
Slide 20: Operating Income Q4 FY16
Operating Income Q4 FY16 (G4 FYI6 - Three months ended January 31, 2016 teins Americas Europe Compensation Consolidated Net Sales $ 2,699,276 $ 4,784,345 _ $7,483,621 GAAP operating income © 7e000 “S750 "Ss @aoy “8 vas.202 Leo settlement, net (28.048) : (28,048) Lows on deposed of sublcaie . Value c
Slide 21: Operating Income Q3 FY16
Operating Income Q3 FY16 “Three months ended October 37, 2015 ‘Stock (inthousands) Americas’? Europe‘? Compensation consotidated Net Sales $2,572,751 $3,855,789 $6,428,540 GAAP operating income S 38057 S$ s2817 § (e2) S 68,053 Restatement and remediation related expenses 34 13 47 Loss on disposal of
Slide 22: Operating Income Q2 FY16
Operating Income Q2 FY16 “Three months ended July 34, 2015 (inthovsands) Americas? Europe? Compensation Consolidated Expense Net Sales $2,745,429 $3,834,064 36,580,303, GAAP operating income S076 “S$ 40403 S 960) “S_ 106,235 Restatement and remediation related expenses 146 18 164 LCD settlements, ne
Slide 23: Operating Income Q1 FY16
Operating Income Q1 FY16 “Three months ended Apa 30, 2075, (tn thousands) Americas? Europe“ Gompensation Consolidated Expense Net Sales $2,330,260 _$ 3,547,960 35,887,229 GAAP operating income S235 S$ 2ase7 Ss Gee “S _81,038 Restatement and remediation related expenses 38 580 618 LCD settlements, ne
Slide 24: Operating Income Q4 FY15
Operating Income Q4 FY15 “Three months ended January 31, 2015 ‘Stock {lo thousonds) Americas‘ Europe? Compensation Consolidated Expense Net Sates $2,563,662 $ 4,775,829 $7,399,491 GAAP operating income S$ 37,776 § 67,878 $ (3,970) $ 101,604 Restatement and remediation-related expenses 36 2.329 2,965
Slide 25: Net Income and EPS
Net Income and EPS easm assy @7]]aisen cosy 26]! omy toon was|] se) 200 oss) ey son ay P yer asp oar mee ern es|| oven aren esa | asa aon ool ee SY |
Slide 26: Return on Invested Capital (non-GAAP)
Return on Invested Capital (won-caar) TIM Net Operating Profit After Tox TEED RONG rocaili ‘Average Invested Copitol— Averoge Cash Sin thousands January 37, 2013_ January 31, 2014___January 31, 2013__January 31, 2076 Non-GAAP Net Operating Profit After Tax (Nopan) Non-GAAP Operating income $310,259,