Parker-hannifin Corporation · NYSE:PH
Parker-hannifin — Q1 FY2008 Earnings Presentation
11 slides from Parker-hannifin's earnings presentation, Oct 18, 2007
Slide 1: Financial Highlights – Diluted Earnings per Share
Financial Highlights Diluted Earnings per Share st Quarter $1.33 $1.17 $0.00 $0.20 $0.40 $0.60 $0.80 $1.00 $1.20 $1.40 $1.60 Q1 FY08 Q1 FY07
Slide 2: Financial Highlights – Sales, 1st Quarter
Financial Highlights Sales – st Quarter Dollars in millions FY2008 % Change FY2007 Sales As reported 2,787 $ 9.2 % 2,552 $ Acquisitions 2.4 % Currency 3.5 % Adjusted Sales 2,635 $ 3.3 % 1st Quarter
Slide 3: Segment Reporting: Industrial North America
Segment Reporting Industrial North America Dollars in millions FY2008 % Change FY2007 Sales As reported 1,006 $ 0.5 % 1,001 $ Acquisitions 2.7 % Currency 0.3 % Adjusted Sales $ (2.5)% Operating Margin As reported $ $ % of Sales 15.4 % 15.3 % 1st Quarter
Slide 4: Industrial International
Segment Reporting Industrial International Dollars in millions FY2008 % Change FY2007 Sales As reported 1,101 $ 25.4 % $ Acquisitions 4.0 % Currency 9.0 % Adjusted Sales $ 12.4 % Operating Margin As reported $ $ % of Sales 16.7 % 14.5 % 1st Quarter
Slide 5: Aerospace
Segment Reporting Aerospace Dollars in millions FY2008 % Change FY2007 Sales As reported $ 6.2 % $ Acquisitions Currency 0.5 % Adjusted Sales $ 5.7 % Operating Margin As reported $ $ % of Sales 13.4 % 17.1 % 1st Quarter
Slide 6: Climate & Industrial Controls
Segment Reporting Climate & Industrial Controls Dollars in millions FY2008 % Change FY2007 Sales As reported $ (6.5)% $ Acquisitions Currency 2.2 % Adjusted Sales $ (8.7)% Operating Margin As reported $ $ % of Sales 6.1 % 11.4 % 1st Quarter
Slide 7: Parker Order Rates
Parker Order Rates Excludes Acquisitions & Currency 3-month year-over-year comparisons, except Aerospace Aerospace is calculated using a 12-month moving average FY08 FY07 Total Parker 7 % + 9 % + Industrial North America 0 % + 5 % + Industrial International 19 % + 14 % + Aerospace 12 % + 18 % + Clim
Slide 8: Strong Cash Flow
Strong Cash Flow Cash from Operating Activities 1 Quarter $115 $269 $0 $60 $120 $180 $240 $300 $360 FY08 FY07 st
Slide 9: Financial Leverage
Financial Leverage Debt to Debt Equity 27.2% 16.0% 18.0% 20.0% 22.0% 24.0% 26.0% 28.0% 30.0% 32.0% 34.0% 36.0% 38.0% FY99 FY00 FY01 FY02 FY03 FY04 FY05 FY06 FY07 FY08 Not to exceed 37% over the cycle
Slide 10: FY 2008 Earnings Outlook Assumptions
FY 2008 Earnings Outlook Assumptions Segment Sales & Operating Income FY 2008 Sales change versus FY 2007 Industrial North America .8 % -- 1.2 % Industrial International 12.0 % -- 12.4 % Aerospace .7 % -- 1.1 % Climate & Industrial Controls (1.8)% -- (1.4)% FY 2008 Operating margin percentages Indus
Slide 11: Income Statement – 1st Quarter
Income Statement – st Quarter Dollars in millions % of Sales % of Sales Net Sales 2,787.3 $ 100.0 % 2,551.6 $ 100.0 % Cost of sales 2,122.3 76.1 % 1,947.4 76.3 % Gross profit 665.0 23.9 % 604.2 23.7 % S, G & A 325.0 11.7 % 292.0 11.4 % Interest expense 22.4 .8 % 17.2 .7 % Other (income) expense (.1)