Leggett & Platt, Incorporated · NYSE:LEG
Leggett & Platt — Q2 2023 Earnings Presentation
12 slides from Leggett & Platt's earnings presentation, Aug 1, 2023
Slide 1: Second Quarter Summary Financial Information
Second Quarter Summary Financial Information July 31, 2023 Forward-Looking Statements Statements in this presentation that are not historical in nature are “forward-looking.” These statements include future EPS, adjusted EPS, sales, volume for the Company and per segment, raw material-related price
Slide 2: Overview and Q2 2023 Financial Highlights
Overview Q2 sales of $1.22 billion, an 8% decrease vs. Q2-22 Volume was down 6% Raw material-related price decreases reduced sales 5% Currency impact was flat Acquisitions, net of divestitures, added 3% to sales Q2 adjusted EBIT of $92 million, down $51 million vs. Q2-22 EBIT Adjusted1
Slide 3: Q2 2023 Sales & EBIT Bridge and Earnings
Q2 2023 Sales & EBIT Bridge Sales: mln $’s % change 2nd Qtr 2022 $1,334 Approx volume decrease (84) (6%) Approx raw material-related pricing and currency impact (69) (5%) Organic Sales (153) (11%) Acquisitions 40 3% 2nd Qtr 2023 $1,221 (8%) EBIT: margin 2nd Qtr 2022 $143 10.7% Primarily lower volume
Slide 4: Adjusted Working Capital and Net Debt to Adjusted EBITDA
Adjusted Working Capital 6/30 3/31 6/30 $’s in millions 2023 2023 2022 Cash & equivalents $272 $345 $270 Accounts receivable, net 703 718 723 Inventories, net 858 893 1,027 Other current assets 73 59 72 Total current assets 1,906 2,015 2,092 Current debt maturities (8) (9) (301) Current operating le
Slide 5: Cash Flow and YTD 2023 Financial Summary
Cash Flow 2nd Qtr YTD $’s in millions 2023 2022 2023 2022 Net earnings $54 $95 $108 $186 D&A 45 45 90 90 Impairment, write-offs & other 1 4 3 8 Other non-cash — 2 14 15 Changes in working capital: Accounts receivable 11 (35) (27) (93) Inventory 36 2 50 (56) Other current assets (7) (9) (7) (10) Acco
Slide 6: YTD 2023 Sales & EBIT Bridge and Earnings
YTD 2023 Sales & EBIT Bridge Sales: mln $’s % change YTD 2022 $2,657 Approx volume decrease (175) (6%) Approx raw material-related pricing and currency impact (128) (5%) Organic Sales (303) (11%) Acquisitions, net of divestitures 81 3% YTD 2023 $2,435 (8%) EBIT: margin YTD 2022 $281 10.6% Primarily
Slide 7: 2023 Sales and EPS Guidance Lowered
2023 Sales and EPS Guidance Lowered Sales: $4.75–$4.95 billion (vs. prior range of $4.8–$5.2 billion); down 4% to down 8% versus 2022 Decrease reflects lower expected volume in residential end markets Volume at the midpoint expected to be down mid-single digits: • Down mid to high single digit
Slide 8: Q2 2023 Segment Summary
Segments Q2 2023 Segment Summary Q2-23 Q2-23 ∆ vs Q2-22 Q2-23 ∆ vs Q2-22 Organic Sales Adj. EBIT 2 EBIT Adj. EBITDA 2 EBITDA 2 Growth 1, 2 Margin Margin Margin Margin Bedding Products (18%) 4.4% -690 bps 9.5% -610 bps Specialized Products 12% 10.3% +210 bps 13.5% +150 bps Furniture, Flooring & Texti
Slide 9: Bedding Products
Bedding Products Trade Sales: mln $’s % change 2nd Qtr 2022 $613 Organic Sales 1 (108) (18%) 2nd Qtr 2023 $504 (18%) 1 Lower volume (9%) and raw material-related selling price decreases (9%) EBIT EBITDA mln $’s EBIT margin D&A EBITDA margin 2nd Qtr 2022 $69 11.3% $26 $95 15.6% Change (47) — (47) Adj
Slide 10: Specialized Products
Specialized Products Trade Sales: mln $’s % change 2nd Qtr 2022 $260 Organic Sales 1 31 12% Acquisitions 30 11% 2nd Qtr 2023 $321 23% 1 Higher volume 13% and raw material-related selling price increases 1%, partially offset by currency (2%) EBIT EBITDA mln $’s EBIT margin D&A EBITDA margin 2nd Qtr 2
Slide 11: Furniture, Flooring & Textile Products
Furniture, Flooring & Textile Products Trade Sales: mln $’s % change 2nd Qtr 2022 $462 Organic Sales 1 (77) (16%) Acquisitions 11 2% 2nd Qtr 2023 $396 (14%) 1 Lower volume (14%) and raw material-related price decreases (2%) EBIT EBITDA mln $’s EBIT margin D&A EBITDA margin 2nd Qtr 2022 $51 11.1% $6
Slide 12: For Additional Information and Non-GAAP Adjustments
Webcast replay is available at www.leggett.com FOR ADDITIONAL INFORMATION Ticker: LEG (NYSE) Website: www.leggett.com Email: invest@leggett.com Phone: (417) 358-8131 Find our Fact Book at www.leggett.com Susan McCoy Senior Vice President, Investor Relations Cassie Branscum Senior Director, Investor