Prestige Consumer Healthcare Inc. · NYSE:PBH

Prestige Consumer Healthcare — Q2 FY2021 Earnings Presentation

23 slides from Prestige Consumer Healthcare's earnings presentation, Nov 5, 2020

  1. Slide 1: Second Quarter FY 2021 Results

    Exhibit 99.2 Second Quarter FY 2021 Results November 5th, 2020

  2. Slide 2: Safe Harbor Disclosure

    Safe Harbor Disclosure This presentation contains certain “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995, such as statements regarding the Company’s expected financial performance, including revenues, EPS, and free cash flow; the Company’s abi

  3. Slide 3: Agenda for Today's Discussion

    Agenda for Today’s Discussion I. Strategic Priorities II. Financial Overview III. Performance Highlights IV.FY 21 Outlook SECOND QUARTER FY 21 RESULTS 3

  4. Slide 4: I. Strategic Priorities

    I. Strategic Priorities SECOND QUARTER FY 21 RESULTS

  5. Slide 5: Strategy in Place for Value Creation

    Strategy in Place for Value Creation  Brand-Building designed to grow categories and connect with consumers Long-Term Strategy  Strategy and tactics performing well in disrupted environment  Continuity plans continue to protect service levels Business Continuity  Investing in inventory has paid

  6. Slide 6: II. Financial Overview

    II. Financial Overview SECOND QUARTER FY 21 RESULTS

  7. Slide 7: Key Financial Results for Second Quarter and 1H FY Performance

    Key Financial Results for Second Quarter and 1H FY 21 Performance FY 21 FY 20 Revenue of $237.4 million, down slightly vs. PY (0.3%) (1) on an organic basis 4.6% $237.4 $238.1 14.7% Q2 $80.7 $77.1 $0.78 $0.68 (3) (3) Revenue Adjusted EBITDA Adjusted EPS Adjusted EBITDA(3) of $80.7 up 5% versus PY (0

  8. Slide 8: FY Second Quarter and 1H Consolidated Financial Summary

    FY 21 Second Quarter and 1H Consolidated Financial Summary 3 Months Ended 6 Months Ended 1H Comments  Organic Revenue(1) down slightly vs. PY – Broad & diverse portfolio offset consumption headwinds in COVID-19 disrupted categories – Triple-digit eCommerce consumption growth as consumers continue t

  9. Slide 9: Industry Leading Free Cash Flow Trends

    Industry Leading Free Cash Flow Trends Free Cash Flow(3) Comments Q2 FY 21 Q2 FY 20 1H FY 21 1H FY 20  Total 1H FY 21 Free Cash Flow of $115.7 million up 18.0% vs. PY 18.0% – Q2 Free Cash Flow down slightly vs. PY due to CapEx timing, as expected $115.7  (3) $98.0 Net Debt at September 30 of $1.5

  10. Slide 10: III. Performance Highlights

    III. Performance Highlights SECOND QUARTER FY 21 RESULTS

  11. Slide 11: Pandemic Efforts Enabling Strong Performance

    Pandemic Efforts Enabling Strong Performance Workforce Supply Base Service Prioritize health & Working closely with Continued focus safety while staffing suppliers in dynamic on service to appropriately environment retailers SECOND QUARTER FY 21 RESULTS 11

  12. Slide 12: Diverse Portfolio Positioned To Benefit From Changing Environment

    Diverse Portfolio Positioned To Benefit From Changing Environment Total Sales by Category Consumers Seeking Trusted Brands Oral Care Women’s Dermatologicals 10% Health 10% Increased consumer focus on self-care and hygiene 26% Cough / Cold 11% Accelerated trend towards shopping online 12% Eye & Ear C

  13. Slide 13: Winning in Consumer Shift to Online

    Winning in Consumer Shift to Online eCommerce as a % Retail Sales Online Tools Increase Consumer +122% Conversion  Growing eCommerce trend continued into Q2 Consumers Continue to – Robust growth across all eCommerce partners Seek Treat at  Long-term focus and heavy investment on Home eCommerce cha

  14. Slide 14: Prestige Adapting to Win in Real-Time

    Prestige Adapting to Win in Real-Time Active Wash Date Night An “Amazon’s Choice” Simply Sensitive  Engaging customers through campaigns both in-store and online  Consumer brand promise: Brighter, whiter, and more comfortable  Investment in current initiatives leading to strong momentum  New cam

  15. Slide 15: IV. FY Outlook

    IV. FY 21 Outlook SECOND QUARTER FY 21 RESULTS

  16. Slide 16: Outlook: Staying the Strategic Course to Create Value

    Outlook: Staying the Strategic Course to Create Value  Business and strategy remain well-positioned in changing environment  Market share solid and growing during pandemic environment Top Line Trends  Anticipate FY 21 Reported Revenue of ~$925 million — Expect similar dollar performance to 1H; co

  17. Slide 17: Q&A

    Q&A SECOND QUARTER FY 21 RESULTS

  18. Slide 18: Appendix

    Appendix (1) Organic Revenue is a Non-GAAP financial measure and is reconciled to the most closely related GAAP financial measure in the attached Reconciliation Schedules and / or our earnings release dated November 5, 2020 in the “About Non-GAAP Financial Measures” section. (2) Total company consum

  19. Slide 19: Reconciliation Schedules

    Reconciliation Schedules Organic Revenue Change Three Months Ended September 30, Six Months Ended September 30, 2020 2019 2020 2019 (In Thousands) GAAP Total Revenues $ 237,422 $ 238,069 $ 466,816 $ 470,223 Revenue Change (0.3%) (0.7%) Adjustments: Impact of foreign currency exchange rates - 624 - (

  20. Slide 20: Reconciliation Schedules (Continued)

    Reconciliation Schedules (Continued) Adjusted EBITDA Margin Three Months Ended September 30, Six Months Ended September 30, 2020 2019 2020 2019 (In Thousands) GAAP Net Income $ 44,589 $ 33,252 $ 88,295 $ 67,177 Interest expense, net 21,266 24,477 43,207 49,497 Provision for income taxes 7,307 10,760

  21. Slide 21: Reconciliation Schedules (Continued)

    Reconciliation Schedules (Continued) Adjusted Net Income & Adjusted EPS Three Months Ended September 30, Six Months Ended September 30, 2020 2019 2020 2019 Net Net Net Net Income EPS Income EPS Income EPS Income EPS (In Thousands, except per share data) GAAP Net Income $ 44,589 $ 0.88 $ 33,252 $ 0.6

  22. Slide 22: Reconciliation Schedules (Continued)

    Reconciliation Schedules (Continued) Adjusted Free Cash Flow Three Months Ended September 30, Six Months Ended September 30, 2020 2019 2020 2019 (In Thousands) GAAP Net Income $ 44,589 $ 33,252 $ 88,295 $ 67,177 Adjustments: Adjustments to reconcile net income to net cash provided by operating activ

  23. Slide 23: Reconciliation Schedules (Continued)

    Reconciliation Schedules (Continued) Projected EPS Projected FY'21 GAAP EPS $ 3.28 Adjustments: Normalized tax rate adjustment for discrete income tax items (a) (0.10) Total Adjustments (0.10) Projected Non-GAAP Adjusted EPS $ 3.18 a) Income tax adjustment to adjust for discrete income tax items. Pr

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