World Kinect Corporation · NYSE:WKC
World Kinect — World Fuel Services — Q2 2021 Earnings Presentation
16 slides from World Kinect's earnings presentation, Jul 29, 2021
Slide 1: Second Quarter 2021 Earnings Call
Second Quarter 2021 Earnings Call Thursday, July 29, 2021 Copyright 2018 World Fuel Services Corporation. All Rights Reserved.
Slide 2: Caution Concerning Forward Looking Statements
Caution Concerning Forward Looking Statements Certain statements made today, including comments about World Fuel's expectations regarding future plans, performance and acquisitions are forward-looking statements that are subject to a range of uncertainties and risks that could cause World Fuel's act
Slide 3: Business Overview
Business Overview Michael Kasbar Chairman and Chief Executive Officer Copyright 2019 World Fuel Services Corporation. All Rights Reserved.
Slide 4: Financial Overview
Financial Overview Ira Birns Executive Vice President and Chief Financial Officer Copyright 2019 World Fuel Services Corporation. All Rights Reserved.
Slide 5: Financial Overview
Financial Overview ❑ Adjusted second quarter net income and earnings per share were $25 million or $0.39 per share ❑ Adjusted first quarter EBITDA was $60 million ❑ Second quarter consolidated volume up 9% sequentially and 33% year-over-year ❑ We generated $37 million of operating cash flow in the s
Slide 6: Volume by Segment
Volume by Segment 4.6 1,303 1,288 1,374 4.2 1,168 4.0 1,143 688 Q2 2020 Q1 2021 Q2 2021 Q2 2020 Q1 2021 Q2 2021 Q2 2020 Q1 2021 Q2 2021 Aviation Marine Land (Gallons in millions) (Metric tons in millions) (Gallons in millions) * * Includes gallon and gallon equivalents Copyright 2019 World Fuel Serv
Slide 7: Consolidated Gross Profit
Consolidated Gross Profit ($ in millions) $196 $192 $185 Q2 2020 Q1 2021 Q2 2021 Reflects proforma results excluding the operating results of the MultiService payment solutions business that was sold on September 30, 2020 Copyright 2019 World Fuel Services Corporation. All Rights Reserved.
Slide 8: Gross Profit by Segment
Gross Profit by Segment ($ in millions) $90 $88 $77 $89 $74 $69 $37 $25 $23 Q2 2020 Q1 2021 Q2 2021 Q2 2020 Q1 2021 Q2 2021 Q2 2020 Q1 2021 Q2 2021 Aviation Marine Land Reflects proforma results excluding the operating results of the MultiService payment solutions business that was sold on September
Slide 9: Consolidated Operating Expenses (excluding bad debt provision)
Consolidated Operating Expenses (excluding bad debt provision) ($ in millions) Q3’21 Estimate: $146 - $150 $147 $138 Q2 2020 Q2 2021 Q3 2021E Reflects proforma results excluding the operating results of the MultiService payment solutions business that was sold on September 30, 2020 Copyright 2019 Wo
Slide 10: Consolidated Income From Operations
Consolidated Income From Operations ($ in millions) $42 $39 $34 Q2 2020 Q1 2021 Q2 2021 Reflects proforma results excluding the operating results of the MultiService payment solutions business that was sold on September 30, 2020 Copyright 2019 World Fuel Services Corporation. All Rights Reserved.
Slide 11: Consolidated Adjusted EBITDA
Consolidated Adjusted EBITDA ($ in millions) $62 $60 $54 Q2 2020 Q1 2021 Q2 2021 Reflects proforma results excluding the operating results of the MultiService payment solutions business that was sold on September 30, 2020 Copyright 2019 World Fuel Services Corporation. All Rights Reserved.
Slide 12: Interest Expense
Interest Expense ($ in millions) Q3’21 Estimate: $9M - $11M $10.0 $10.0 Q2 2020 Q2 2021 Q3 2021E Copyright 2019 World Fuel Services Corporation. All Rights Reserved. 5
Slide 13: Financial Overview
Financial Overview • Total Accounts Receivable balance was $1.8 billion • We generated $37 million of cash flow from operations • Strong balance sheet includes $743 million of cash at quarter end Copyright 2019 World Fuel Services Corporation. All Rights Reserved.
Slide 14: Questions + Answers
Questions + Answers Copyright 2019 World Fuel Services Corporation. All Rights Reserved.
Slide 15: Earnings Reconciliation
Earnings Reconciliation ($ in millions except per share data) Q2 2020 Q2 2021 1 As Reported Adjustments As Adjusted As Reported Adjustments1 As Adjusted Aviation Gross Profit $91.9 $0.0 $91.9 $87.4 $0.8 $88.2 Operating Expenses 82.9 (7.6) 75.3 53.3 (0.0) 53.3 Income from Operations 9.0 7.6 16.6 34.0
Slide 16: Earnings Reconciliation
Earnings Reconciliation ($ in millions except per share data) For the 6 Months Ended June 30, 2020 For the 6 Months Ended June 30, 2021 1 As Reported Adjustments As Adjusted As Reported Adjustments1 As Adjusted Aviation Gross Profit $185.0 $0.0 $185.0 $164.1 $0.8 $164.9 Operating Expenses 147.0 (8.0