Standex International Corporation · NYSE:SXI

Standex International — Q1 2023 Earnings Presentation

15 slides from Standex International's earnings presentation, Nov 4, 2022

  1. Slide 1: First Quarter Fiscal 2023 Earnings Call Presentation

    First Quarter Fiscal 2023 Earnings Call Presentation November 4, 2022

  2. Slide 2: Safe Harbor Statement

    SAFE HARBOR STATEMENT Statements contained in this presentation that are not based on historical facts are “forward-looking statements” within the meaning of the Private Secu- rities Litigation Reform Act of 1995. Forward-looking statements may be identified by the use of forward-looking terminology

  3. Slide 3: Key Q1 FY23 Messages

    KEY Q1 FY23 MESSAGES Q1 FY23 RESULTS • Sixth consecutive quarter of record adjusted operating margin; 110 bps higher than the previous record; Four of five segments reported adjusted operating margin of at least 16% &TRENDS • Solid execution on price realization and productivity actions withstand hi

  4. Slide 4: Electronics

    ELECTRONICS YOY Comparison Q1 FY23 Summary $ in 000’s Q1 FY23 Q1 FY22 % Change • YOY organic revenue growth of 4.3% and 1.5% contribution from acquisitions, offset by a 6.6% Revenue impact from foreign exchange $75,199 $75,836 (0.8%) • Positive trends in industrial applications, medical, Operating I

  5. Slide 5: Engraving

    ENGRAVING YOY Comparison Q1 FY23 Summary $ in 000’s Q1FY23 Q1FY22 % Change • YOY organic revenue growth of 7.9% more than offset by 8.3% impact from currency Revenue $35,024 $35,170 (0.4%) • Operating income increased due to read out of Operating Income previously announced productivity actions in $

  6. Slide 6: Scientific

    SCIENTIFIC YOY Comparison Q1 FY23 Summary $ in 000’s Q1 FY23 Q1 FY22 % Change • As expected, revenue decreased due to lower demand associated with COVID-19 vaccine Revenue $18,456 $21,529 (14.3%) storage Operating Income • Operating income decreased due to lower $3,723 $4,508 (17.4%) volume, partial

  7. Slide 7: Engineering Technologies

    ENGINEERING TECHNOLOGIES YOY Comparison Q1 FY23 Summary • As expected, revenue decreased reflecting $ in 000’s Q1 FY23 Q1 FY22 % Change timing of projects and the impact of foreign currency Revenue $16,999 $17,573 (3.3%) • Operating income increased due to Operating Income $1,865 $899 107.5% product

  8. Slide 8: Specialty Solutions

    SPECIALTY SOLUTIONS YOY Comparison Q1 FY23 Summary • Revenue increased $9.4M or 36.9% YOY due $ in 000’s Q1 FY23 Q1 FY22 % Change to strong market demand in Hydraulics Revenue business unit, price realization, and a favorable $34,922 $25,502 36.9% year-over-year comparison due to a labor work Operat

  9. Slide 9: Q1 FY23 Summary

    Q1 FY23 SUMMARY Standex International Corporation First Quarter Ended September 30 (In millions) 2022 2021 Y/Y ∆% Comments Net Sales $180.6 $175.6 2.8% Organic growth in Specialty and Engraving partially offset by decline in Scientific Organic growth: 7.3% Acquisitions: 0.6% F/X: -5.1% Adjusted Oper

  10. Slide 10: Q1 FY23 Segment Snapshot

    Q1 FY23 SEGMENT SNAPSHOT Segment Breakdown (in millions) Q1/23 Q1/22 Y/Y ∆% Comments Net Sales by Segment Electronics $75.2 $75.8 -0.8% Organic growth: 4.3%; Acquisitions: 1.5%; F/X: -6.6% Engraving 35.0 35.2 -0.4% Organic growth: 7.9%; F/X: -8.3% Scientific 18.5 21.5 -14.3% Lower demand for COVID v

  11. Slide 11: Q1 FY23 Capitalization

    Q1 FY23 CAPITALIZATION FAVORABLE LIQUIDITY PROFILE Standex International Corporation ▪ Net debt to adj. EBITDA of 0.7x (In millions) 9/30/2022 6/30/2022 ▪ Net debt to total capital of 16.3% Debt including issuance costs $198.9 $174.8 Cash 103.4 104.8 ▪ ~$294M of available liquidity Net Debt $95.5 $7

  12. Slide 12: Key Takeaways

    KEY TAKEAWAYS ▪ Record adjusted operating margin in Q1 FY23 driven by continued business execution ▪ Organic growth of 7.3% ▪ Adjusted operating margin of 15.0% increased 110 bps over previous Q4 FY22 record ▪ Adjusted EPS growth of 19.4% ▪ Expect continued improvement in financial metrics in FY23 ▪

  13. Slide 13: Appendix

    APPENDIX 13

  14. Slide 14: Q1 FY23 Revenue Drivers

    Q1 FY23 REVENUE DRIVERS Q1 FY23 Electronics Engraving Scientific Engineering Specialty Total YOY Change % Technologies Solutions Organic 4.3% 7.9% (14.3%) (0.9%) 39.3% 7.3% Divestiture 0.0% 0.0% 0.0% 0.0% 0.0% 0.0% Acquisitions 1.5% 0.0% 0.0% 0.0% 0.0% 0.6% Currency (6.6%) (8.3%) 0.0% (2.4%) (2.4%)

  15. Slide 15: Q1 FY23 GAAP to Non-GAAP Income Bridge

    Q1 FY23 GAAP TO NON-GAAP INCOME BRIDGE Q1 FY23 Q1 FY22 % Change Pre-tax Net Pre-tax Net Pre-tax Net Income Tax Income EPS Income Tax Income EPS Income Income EPS Reported - GAAP $ 24.1 $ (5.8) $ 18.3 $ 1.53 $ 21.1 $ (5.3) $ 15.8 $ 1.30 14.2% 15.8% 17.7% Add: Restructuring charges 0.6 (0.1) 0.4 0.04

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