Azz Inc. · NYSE:AZZ
Azz — Q3 2022 Earnings Presentation
16 slides from Azz's earnings presentation, Jan 10, 2022
Slide 1: Q3 FY2022 Earnings Release Presentation
AZZ Inc. Q3 FY2022 Earnings Release Presentation January 10, 2022
Slide 2: Safe Harbor Statement
Q3 FY2022 EARNINGS PRESENTATION Safe Harbor Statement Certain statements herein about our expectations of future events or results constitute forward-looking statements for purposes of the safe harbor provisions of The Private Securities Litigation Reform Act of 1995. You can identify forward-lookin
Slide 3: Q3 FY2022 Segment Performance Update
Q3 FY2022 EARNINGS PRESENTATION Q3 FY2022 Segment Performance Update Total Q3 FY2022 Sales: $231.7 million Metal Coatings Infrastructure Segment Solutions Segment $133 $98 15.4% vs. Q3 FY2021 (11.4)% vs. Q3 FY2021 Segment Updates • Metal Coatings sales up $17.8M on strong demand for • Overall segmen
Slide 4: Q3 FY2022 Summary - Consolidated
Q3 FY2022 EARNINGS PRESENTATION Legend: Q3 FY2022 Summary - Consolidated (r) – Reported (a) – Adjusted In $ millions, except per share amounts Sales Net Income Diluted EPS +2.3% +7.0% +11.8% $226.6 $231.7 $0.85 $0.76 $0.80 $20.9 $21.1 $19.7 FY2021 (r) FY2021(a) FY2022 FY2021 FY2022 FY2021(r) FY2021(
Slide 5: Q3 FY2022 Segment Results – Metal Coatings
Q3 FY2022 EARNINGS PRESENTATION Legend: Q3 FY2022 Segment Results – Metal Coatings (r) – Reported (a) – Adjusted In $ millions except percentages Sales Operating Income Operating Margin +15.4% +14.1% -30 bps Key Statistics $133.4 $32.7 FY2021 QTR Sales $115.6 $115.6 24.8% 24.6% 24.5% $28.7 $28.4 Org
Slide 6: Q3 FY2022 Segment Results – Infrastructure Solutions
Q3 FY2022 EARNINGS PRESENTATION Legend: Q3 FY2022 Segment Results – Infrastructure Solutions (r) – Reported (a) – Adjusted In $ millions except percentages Sales Operating Income Operating Margin -11.4% +5.4% +140 bps Key Statistics FY 2021 Sales $111.0 $10.6 $111.0 $9.2 $98.4 $8.7 9.5% 9.3% FY2021
Slide 7: FY2022 – Updated Full Year Financial Guidance
Q3 FY2022 EARNINGS PRESENTATION FY2022 – Updated Full Year Financial Guidance In millions, except for EPS Range Key Drivers: Metal Coatings: • Volume/mix and severity of winter weather conditions • Ability to realize price as production costs increase • Successfully integrate acquisitions to achieve
Slide 8: Q3 FY2022 Consolidated Results
Q3 FY2022 EARNINGS PRESENTATION Legend: Q3 FY2022 Consolidated Results (r) – Reported (a) – Adjusted In $ millions, except for EPS and % Change, percentages Q3 FY Q3 FY 2021 Q3 FY 2021 vs. Prior 2022 Reported (r) Adjusted (a) Year (a) Sales $231.7 $226.6 $226.6 2.3% Gross Profit $57.0 $54.7 $54.7 4.
Slide 9: FY 2022 Year-to-date Cash Flow Highlights
Q3 FY2022 EARNINGS PRESENTATION FY 2022 Year-to-date Cash Flow Highlights In $ millions, except for percentages YTD YTD FY 2022 FY 2021 Cash flows used in operating activities $49.7 $59.4 Less: Capital Expenditures $(19.1) $(27.9) Free Cash Flow $30.6 $31.5 Net Income $62.4 $23.5 Free Cash Flow / Ne
Slide 10: Capital Allocation Focused on Growth
Q3 FY2022 EARNINGS PRESENTATION Capital Allocation Focused on Growth In $ millions Q3 2022 Capital Deployment • Safety, Health and Environmental Capital • Facility maintenance • Product/technology growth initiatives Expenditures • $6.0M in quarter; $19.1M YTD Growth • Full year estimate $32.0M $7.6
Slide 11: Key Indicators
Q3 FY2022 EARNINGS PRESENTATION Key Indicators Metal Coatings Segment Fabrication activity remains solid for Q4 of fiscal year 2022; Potential for seasonal delays due to inclement weather Zinc cost in our kettles continues to increase Infrastructure Solutions Segment Industrial platform • Craf
Slide 12: Strategic Direction
Q3 FY2022 EARNINGS PRESENTATION Strategic Direction • The previously announced board-led strategic review of our portfolio and capital allocation is complete • We continue to actively pursue initiatives to drive growth and enhance shareholder value. Previously, we have disclosed a desire for AZZ to
Slide 13: Q&A
Q&A
Slide 14: Appendix and Additional Information
Appendix and Additional Information
Slide 15: Non-GAAP Disclosure of EBITDA
Q3 FY2022 EARNINGS PRESENTATION Non-GAAP Disclosure of EBITDA • In addition to reporting financial results in accordance with Generally Accepted Accounting Principles in the United States ("GAAP"), AZZ has provided EBITDA, which are non-GAAP measures. Management believes that the presentation of the
Slide 16: Non-GAAP Disclosure of Consolidated EBITDA
Q3 FY2022 EARNINGS PRESENTATION Legend: Non-GAAP Disclosure of Consolidated EBITDA (r) – Reported (a) – Adjusted Current Year vs. Prior Year Fiscal 2021 (prior year) As Reported As Reported to As Adjusted In millions Consolidated Consolidated $(millions) except share information As Reported Adjustme