Slide 1: Fiscal fourth quarter 2022 financial results
Fiscal fourth quarter 2022 financial results October 27, 2022
Slide 2: Safe harbor and fair disclosure statement
PLEXUS CORP. Safe harbor and fair disclosure statement Some of the statements made and information provided during our call as well as information included in the supporting materials will be forward looking statements, including, without limitation, those regarding revenue, gross margin, selling &
Slide 3: Our people create our best Plexus
Our people create our best Plexus Congratulations on Plexus' first $1B revenue quarter!
Slide 4: Fiscal fourth quarter results
PLEXUS CORP. Fiscal fourth quarter results Q4F22 Results Q4F22 Guidance Q3F22 Results Revenue ($ millions) $1,124 $980 to $1,020 $981 GAAP Diluted EPS $1.78(1) $1.19 to $1.35(2) $1.33(3) • Revenue, GAAP operating margin and GAAP EPS exceeded guidance range • Revenue growth of 33% year-over-year • Al
Slide 5: F22 results
PLEXUS CORP. F22 results | 13% revenue growth Revenue ($M) Operating Margin PLXS $1,200 6% GAAP $1,000 5% Revenue ROIC Op Margin $800 4% Q1F22 $817M 3.7% 10.0% Q2F22 $889M 4.0% 10.2% $600 3% Q3F22 $981M 5.1% 11.5% $400 2% Q4F22 $1,124M 5.5% 13.0% $200 1% F22 $3,811M 4.7% 13.0% $- 0% Q1F22 Q2F22 Q3F2
Slide 6: Long-term performance
PLEXUS CORP. Long-term performance Revenue ($M) ROIC $4,500 18% PLXS $4,000 15% $3,500 $3,811 $3,000 $3,390 $3,369 12% Revenue Non-GAAP $3,164 ROIC CAGR Op Margin * $2,500 $2,874 $2,528 9% $2,000 Enduring Goal 9-12% 5.5% 15.0% $1,500 6% 1 Year 13% 4.7% 13.0% $1,000 3% $500 5 Year 9% 4.8% 14.3% $- 0%
Slide 7: A Leader in ESG
A LEADER IN ESG Building a better world by the way we innovate and operate. Innovator Responsible Employer Community Partner Global Citizen Corporate Governance • Enhancing Design for • Expanded ERG charters & • Volunteer Time Off policy • Cut relative manufacturing • Enhanced cyber incident Environ
Slide 8: Sustaining Services
SUSTAINING SERVICES Proactive. Prepared. On Purpose. AFTERMARKET SERVICES: REPAIR PRODUCT DISTRIBUTION AND RETURNS LIFECYCLE EXTENSION MANAGEMENT • Diagnostics & failure analysis • Extended life services • Forward logistics • Repair: level 1 to level 4 • Service parts planning • Inventory management
Slide 9: Fiscal 2023 first quarter guidance
PLEXUS CORP. Fiscal 2023 first quarter guidance REVENUE GUIDE Q1F23 Guidance • Continuation of new program ramps • Significant unfilled backlog Revenue $1.08 billion to $1.13 billion • Participating in several secular growth markets GAAP Diluted EPS $1.40 to $1.58* EPS GUIDE • GAAP operating margin
Slide 10: Performance by market sector
PLEXUS CORP. Performance by market sector Q4F22 Q3F22 Q1F23 Expectations Q4F22 vs. Q3F22 F22 vs. F21 Oct 1, 2022 Jul 2, 2022 (percentage points) Industrial $520 46% $454 46% + 14% + 13% Down mid single Healthcare and Life Sciences $467 42% $401 41% + 17% + 18% Up mid single Aerospace and Defense $13
Slide 11: Manufacturing wins
PLEXUS CORP. Manufacturing wins Q4F22 wins: $214M New programs: 32 TFQ $998M Trailing Four Quarters (TFQ) Manufacturing Wins $1,300 50% 45% $1,200 40% $1,100 35% % of TFQ Sales New Wins $M 30% $1,000 Goal 25% 25% $900 20% $800 15% 10% $700 5% $600 0% Q1F21 Q2F21 Q3F21 Q4F21 Q1F22 Q2F22 Q3F22 Q4F22 T
Slide 12: Manufacturing wins by region and sector
PLEXUS CORP. Manufacturing wins by region and sector A/D $23M EMEA $73M HC/LS Q4F22 AMER Q4F22 $101M $121M IND $90M APAC $20M Regional and Sector Highlights • New logos in Industrial and Healthcare/Life Sciences • Expect new logos to generate revenue in fiscal 2023 • Meaningful new programs to benef
Slide 13: Fiscal fourth quarter wins highlights
PLEXUS CORP. Fiscal fourth quarter wins highlights HIGH RELIABILITY/HIGH POWER INVERTER (IND) THROMBECTOMY SYSTEM (HC/LS) • Vehicle charging system • Blood clot removal • New logo • FDA Class III • Production location: Oradea, Romania • Production location: Guadalajara, Mexico ADVANCED MOTION CONTRO
Slide 14: Manufacturing funnel
PLEXUS CORP. Manufacturing funnel Funnel of Qualified Manufacturing Opportunities 4,000 A/D $577M 3,500 3,371 3,361 3,389 3,325 Revenue ($ millions) 3,289 3,316 3,109 3,037 3,000 IND Q4F22 $724M HC/LS $2,088M 2,500 2,000 Q1F21 Q2F21 Q3F21 Q4F21 Q1F22 Q2F22 Q3F22 Q4F22 Qualified manufacturing funnel
Slide 15: Operating performance
PLEXUS CORP. Operating performance Q4F22 GAAP Operating Margin: 5.5% 6.0% 5.0% 4.0% 3.0% 2.0% 1.0% 0.0% Q4F21 Q1F22 Q2F22 Q3F22 Q4F22 Q1F23* Record revenue yields GAAP operating margin of 5.5% *Represents midpoint of guidance 15
Slide 16: Income statement
PLEXUS CORP. Income statement Q4F22 Comments Revenue $1,124 million Above guidance range of $980 to $1,020 million Gross margin 9.5% Above guidance range of 9.0% to 9.4% Selling & administrative expenses $44.8 million Above guidance range of $42.5 to $43.5 million GAAP operating margin 5.5% Above gu
Slide 17: Cash flow and balance sheet
PLEXUS CORP. Cash flow and balance sheet Q4F22 Comments Cash used in operations: ($0.4) million Free cash flow ($17.1) million Capital expenditures: ($16.7) million Share repurchases $3.5 million Approx. 38,000 shares at an average price of $90.63 per share Cash balance $275 million Sequentially low
Slide 18: Working capital trends
PLEXUS CORP. Working capital trends 180 160 140 120 100 Days 80 60 40 20 - Q1F21 Q2F21 Q3F21 Q4F21 Q1F22 Q2F22 Q3F22 Q4F22 Net Cash Cycle Days Inventory Days Contract Asset Days A/R Days A/P Days Customer Deposit Days Q1F21 Q2F21 Q3F21 Q4F21 Q1F22 Q2F22 Q3F22 Q4F22 Inventory Days 93 89 108 116 145 1
Slide 19: Fiscal first quarter 2023 guidance
PLEXUS CORP. Fiscal first quarter 2023 guidance Guidance Revenue $1.08 to $1.13 billion GAAP diluted EPS $1.40 to $1.58 Gross margin 9.1% to 9.5% Selling & administrative expenses $45.0 to $46.0 million GAAP operating margin 5.0% to 5.5% Depreciation and amortization Approximately $17 million Non-op
Slide 20: Q&A Thank you.
Q&A Thank you. PLEXUS | ———_— a