Trimas Corporation · NASDAQ:TRS

Trimas — Q2 2021 Earnings Presentation

25 slides from Trimas's earnings presentation, Jul 29, 2021

  1. Slide 1: Second Quarter 2021 Earnings Presentation

    Second Quarter 2021 Earnings Presentation July 29, 2021

  2. Slide 2: Disclaimer

    Disclaimer Forward-Looking Statement Any "forward-looking" statements, within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934, contained herein, including those relating to TriMas’ business, financial condition or future results, involv

  3. Slide 3: Q2 2021 Overview

    Q2 2021 Overview TriMas’ Diversified End Market Positioning Contributes to Strong Second Quarter Results • Strong Q2 sales with better than expected earnings performance – Our TriMas Packaging segment continues to outperform expectations as the pull-back from the record 2020 pandemic-related sales r

  4. Slide 4: Investing in Our Future

    Investing in Our Future New Product Innovation • TriMas’ Packaging group commercializes a single-polymer dispensing pump - Currently in-market and used in customer applications - Use of a single-polymer for dispensing promotes ease of recyclability • In process of introducing a full range of single

  5. Slide 5: Q2 2021 Results

    Q2 2021 Results Adjusted for Special Items Q2 2021 Q2 2020 YOY Growth % Organic Acquisitions Fx Total Net Sales $219.0 $199.6 Consolidated TriMas 2.4% 5.0% 2.3% 9.7% Operating Profit $30.0 $27.5 TriMas Packaging -2.9% 7.7% 3.6% 8.4% TriMas Aerospace 4.6% - - 4.6% Operating Profit Margin 13.7% 13.8%

  6. Slide 6: YTD Q2 2021 Results

    YTD Q2 2021 Results Adjusted for Special Items Q2 2021 YTD Q2 2020 YTD YOY Growth % Organic Acquisitions Fx Total Net Sales $425.7 $382.3 Consolidated TriMas 2.2% 7.2% 1.9% 11.3% Operating Profit $56.6 $49.5 Packaging 5.3% 10.2% 3.2% 18.7% Aerospace -7.3% 4.7% - -2.6% Operating Profit Margin 13.3% 1

  7. Slide 7: Strong Balance Sheet and Cash Flow

    Strong Balance Sheet and Cash Flow June 30, June 30, December 31, Key Credit Statistics 2021 2020 2020 Total Debt $393.4 $295.3 $346.3 Less: Cash $117.4 $65.3 $74.0 Net Debt $276.0 $230.0 $272.3 LTM Adjusted EBITDA(1) $164.1 $149.7 $156.8 Net Leverage(2) 1.7x 1.5x 1.7x (3) Q2 Free Cash Flow $20.6 $2

  8. Slide 8: Segment Results

    >’ TriMias Segment Results

  9. Slide 9: TriMas Packaging Segment

    TriMas Packaging Segment Adjusted for Special Items Q2 2021 Q2 2020 Net Sales $139.6 $128.8 Operating Profit $28.2 $27.2 Operating Margin 20.2% 21.1% (1) Adjusted EBITDA $36.2 $35.3 Adjusted EBITDA Margin 26.0% 27.4% Note: Q2 Sales Growth – Organic -2.9%, Acquisitions 7.7% and Fx 3.6% Quarterly Take

  10. Slide 10: TriMas Aerospace Segment

    TriMas Aerospace Segment Adjusted for Special Items Q2 2021 Q2 2020 Net Sales $44.6 $42.6 Operating Profit $2.7 $4.3 Operating Margin 6.1% 10.1% Adjusted EBITDA(1) $7.4 $8.9 Adjusted EBITDA Margin 16.5% 20.8% Note: Q2 Sales Growth – Organic 4.6%, Acquisitions 0.0% Quarterly Takeaways • Sales positiv

  11. Slide 11: TriMas Specialty Products Segment

    TriMas Specialty Products Segment Adjusted for Special Items Q2 2021 Q2 2020 Net Sales $34.8 $28.1 Operating Profit $6.0 $3.8 Operating Margin 17.3% 13.4% Adjusted EBITDA(1) $7.2 $4.7 Adjusted EBITDA Margin 20.7% 16.9% Quarterly Takeaways • Sales increased as a result of higher demand for cylinders,

  12. Slide 12: Outlook & Summary

    >’ TriMias Outlook & Summary

  13. Slide 13: FY 2021 Outlook

    FY 2021 Outlook As of 7/29/21 TriMas FY 2021 Outlook Additional 2021 Thoughts Outlook Range Consolidated TriMas Consolidated TriMas Sales $840M - $875M Sales % change as compared to FY 2020 9% to 14% • Overall sales growth driven by acquisitions, general industrial rebound and a benefit of diversifi

  14. Slide 14: TriMas' Value Drivers

    TriMas’ Value Drivers Value Drivers ▪ Products that help fight the spread of germs Packaging at Our Core ▪ Innovation pipeline to drive long-term growth ▪ Well positioned as industrial and aerospace markets rebound Market Recoveries ▪ Expect margin leverage due to realignment actions ▪ Targeting to

  15. Slide 15: >’ TriMias

    >’ TriMias

  16. Slide 16: Appendix

    >’ TriMias Appendix

  17. Slide 17: Additional FY 2021 Assumptions

    Additional FY 2021 Assumptions Enterprise-wide Effective Tax Rate: 20% to 21% Capital Expenditures as a % of Sales: 5% to 6% Interest Expense: $14M to $15M Corporate Expenses(1) as a % of Sales: ~2.5% Non-cash Stock Compensation: ~$7M (1) Includes Legacy costs. Legacy costs are expenses associated w

  18. Slide 18: Condensed Consolidated Balance Sheet

    Condensed Consolidated Balance Sheet June 30, December 31, 2021 2020 (unaudited) Assets Current assets: Cash and cash equivalents $ 117,410 $ 73,950 Receivables, net 135,220 113,410 Inventories 149,920 149,380 Prepaid expenses and other current assets 19,910 15,090 Total current assets 422,460 351,8

  19. Slide 19: Consolidated Statement of Income

    Consolidated Statement of Income Three months ended Six months ended June 30, June 30, 2021 2020 2021 2020 (unaudited) Net sales $ 218,990 $ 199,550 $ 425,720 $ 382,340 Cost of sales (160,960) (162,320) (316,360) (298,740) Gross profit 58,030 37,230 109,360 83,600 Selling, general and administrative

  20. Slide 20: Consolidated Statement of Cash Flows

    Consolidated Statement of Cash Flows Six months ended June 30, 2021 2020 Cash Flows from Operating Activities: Net income (loss) $ 24,900 $ (2,580) Adjustments to reconcile net income to net cash provided by operating activities, net of acquisition impact: Loss on dispositions of assets 130 1,010 De

  21. Slide 21: Company and Segment Financial Information

    Company and Segment Financial Information Three months ended Six months ended June 30, June 30, 2021 2020 2021 2020 Packaging Net sales $ 139,630 $ 128,830 $ 271,720 $ 228,880 Operating profit $ 27,850 $ 24,040 $ 49,150 $ 42,320 Special Items to consider in evaluating operating profit: Purchase acco

  22. Slide 22: Additional Information on Non-GAAP Measures

    Additional Information on Non-GAAP Measures Three months ended Six months ended June 30, June 30, 2021 2020 2021 2020 Net income (loss), as reported $ 11,840 $ (15,700) $ 24,900 $ (2,580) Special Items to consider in evaluating quality of net income (loss): Change in accounting policy for asbestos-r

  23. Slide 23: Additional Information on Non-GAAP Measures

    Additional Information on Non-GAAP Measures Three months ended June 30, 2021 2020 As reported Special Items As adjusted As reported Special Items As adjusted Net cash provided by operating activities $ 26,930 2,670 $ 29,600 $ 27,440 $ 3,070 $ 30,510 Less: Capital expenditures (8,960) - (8,960) (5,32

  24. Slide 24: Additional Information on Non-GAAP Measures

    Additional Information on Non-GAAP Measures Three months ended Twelve months ended Six months ended June 30, June 30, June 30, 2021 2020 2021 2020 2021 2020 Net income (loss), as reported $ 11,840 $ (15,700) $ (52,280) $ 26,090 $ 24,900 $ (2,580) Depreciation expense 7,980 8,110 30,080 27,650 15,830

  25. Slide 25: Additional Information on Non-GAAP Measures

    Additional Information on Non-GAAP Measures As of 7/29/21 Full Year 2021 GAAP to Non-GAAP EPS Outlook Reconciliation Twelve months ended December 31, 2021 Low High Diluted earnings per share (GAAP) $ 1.43 $ 1.58 Pre-tax amortization of acquisition-related intangible assets (1) 0.49 0.49 Income tax b

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