Loar Holdings Inc. · NYSE:LOAR
Loar — Q1 2024 Earnings Presentation
12 slides from Loar's earnings presentation, 2024
Slide 1: Loar Holdings Inc. Q1 2024 Earnings Presentation
Loar Holdings Inc. Q1 2024 Earnings Presentation Proprietary and Confidential 1
Slide 2: Agenda
Agenda • Our Value Drivers, Our Portfolio, Today’s Speakers: and Our Products • Dirkson Charles – CEO and Executive Co-Chairman of the Board of Directors • Q1 Earnings Highlights • Brett Milgrim – Executive Co- Chairman of the Board of Directors • Capital Structure Update • Glenn D’Alessandro – CFO
Slide 3: Forward Looking Statements & Special Notice Regarding Pro Forma and Non-GAAP Information
Forward Looking Statements & Special Notice Regarding Pro Forma and Non-GAAP Information Forward-Looking Statements This presentation includes express or implied forward-looking statements. Forward-looking statements include all statements that are not historical facts including those that reflect o
Slide 4: Simple Approach to Driving Value…
Simple Approach to Driving Value… Value Drivers Net Sales $318 L CAGR 38 % $239 Launching New Products $183 $189 $165 $113 $94 $76 $39 $42 O $9 $23 Optimizing Productivity 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 2023 Adj. EBITDA $113 A % Achieving Price Above Inflation R 46 $83 CAG $6
Slide 5: Our Portfolio
Our Portfolio Loar Group specializes in the design, manufacture, and sale of niche aerospace and defense components that are essential for today’s aircraft and aerospace and defense systems, across 250+ total aircraft platforms. Our business focuses on mission-critical, highly engineered solutions w
Slide 6: Our Products
Our Products Diverse Portfolio Offering With Over 15,000+ Products Offered Mission critical nature of products with high monetary Angle of Attack Flight Control 2 & 3 Point Seat Water Purification Waste Mgmt. Cockpit Door and reputational cost of Sensors / Systems Computers Lap-belt Airbags Belts Sy
Slide 7: Q1 2024 Results by End Market – Pro Forma
Q1 2024 Results by End Market – Pro Forma(1) Q1 2024 End Market Drivers Q1 Pro Forma(1) Net Sales Total Commercial OEM: Q1 2024 vs Q1 – Increase demand for GA, business jets, and End Market 2023 commercial aircraft Total Commercial +29% Total Commercial Aftermarket OEM - Passenger traffic continues
Slide 8: Q1 2024 Financial Results
Q1 2024 Financial Results Q1 Q1 $thousands 2024 2023 ∆ • Net sales up 11% organically Net Sales 91,844 74,246 24% • Pricing and operating leverage offset by facility Gross Profit 44,433 36,035 23% integration costs Margin 48.4% 48.5% • Increase in operating income Net Income (loss) 2,249 (7,519) • D
Slide 9: Capital Structure
Capital Structure • Closed IPO on 4/29, raising $330 million – Used $285 million to pay down borrowings, remainder for expenses and general corporate purposes – Pro forma leverage for the IPO is 1.6x to LTM EBITDA (ended 3/31/24) • Amended and extended our existing credit agreement – Extended maturi
Slide 10: Full Year 2024 Outlook
Full Year 2024 Outlook Market Assumptions 2024 Outlook Low High • Commercial OEM – Up Low $millions except for share count & EPS Double Digits Net Sales $370 $374 • Commercial Aftermarket – Up Adjusted EBITDA $132 $134 Low Double Digits Adjusted EBITDA Margin ~36% • Defense – Up Low Double Digits Ne
Slide 11: Full Year 2024 Outlook - Assumptions
Full Year 2024 Outlook - Assumptions Full Year 2024 Outlook Capital Expenditures ~ $11 million Full Year Interest Expense ~ $42 million Full Year Effective Tax Rate ~ 30% Depreciation and Amortization ~ $40 million Non-Cash Stock-Based Compensation ~ $9 million Fully Diluted Share Count ~ 91 million
Slide 12: Appendix – Reconciliation of EBITDA and Adjusted EBITDA to Net Income (Loss)
Appendix – Reconciliation of EBITDA and Adjusted EBITDA to Net Income (Loss) (in thousands unless otherwise indicated) Proprietary and Confidential 12