Slide 1: First Quarter 2015 Earnings Release Conference Call
First Quarter 2015 April 23, 2015 Earnings Release Conference Call
Slide 2: Forward-Looking Statements
design develop deliver advanced technology 2 Forward - Looking Statements This document contains forward - looking statements within the scope of the Securities Act of 1933 and the Securities Exchange Act of 1934 . The words “expect,” “estimate,” “anticipate,” “predict ” and similar expressions, and
Slide 3: First Quarter 2015 Highlights
design develop deliver advanced technology 3 ▪ Consistent Performance in Q1 2015 ▪ Operating margin at 3.8% - a 20 basis point year - over - year improvement ▪ Generated non - GAAP EPS of $0.34 ▪ Purchased 662,500 shares of our common stock for $15.8 million during the quarter First Quarter 2015 Hig
Slide 4: Portfolio Trends
design develop deliver advanced technology 4 Portfolio Trends Traditional Market Revenue ▪ Expected Q1 seasonal demand in traditional m arkets coupled with softness during product transitions ▪ Sales in higher growth markets >50% of Q1 sales Higher Growth Market Revenue (Computing & Telecom) 3 - Yea
Slide 5: New Business Wins Q1 2015
design develop deliver advanced technology 5 First Quarter 2015 New Business Wins Q1 2015 Number of New Business Wins by Segment ▪ Q1 2015: 33 new business bookings including 6 engineering projects ▪ E stimated annual revenue run rate between $105 - $125 million Quarterly Estimated Annual Revenue Ru
Slide 6: Financial Summary
design develop deliver advanced technology 6 First Quarter 2015 Financial Summary (In millions, except EPS) Mar 31, 2015 Dec 31, 2014 Mar 31, 2014 Net Sales $620.9 $709.5 $639.3 Net Income – GAAP $14.2 $24.0 $19.1 Net Income – non - GAAP $17.8 $23.2 $19.2 Diluted EPS – GAAP $0.27 $0.45 $0.35 Diluted
Slide 7: Trending Operating Income
design develop deliver advanced technology 7 Trending Operating Income ▪ Continued improvement in Q1 operating income percentage ▪ Results from operational excellence and revenues in higher growth markets
Slide 8: First Quarter Industry Sector Update
design develop deliver advanced technology 8 First Quarter Industry Sector Update Revenue by Industry Sector Sector (in millions) Mar 31, 2015 Dec 31, 2014 Mar 31 , 2014 Q1 YoY Industrial Control Equipment 32% $199 32% $230 29% $185 7% Telecommunication Equipment 27% $166 29% $202 27% $170 (2%) Comp
Slide 9: Financial Statement Highlights
design develop deliver advanced technology 9 Financial Statement Highlights Balance Sheet and Cash Flows (In millions) Mar 31, 2015 Dec 31, 2014 Mar 31, 2014 Cash $383.6* $427.4 $394.2 Cash Flows from Operating Activities ($10.9) $22.8 $60.7 Capital Expenditures $16.8 $8.8 $14.6 Depreciation & Amort
Slide 10: Second Quarter 2015 Guidance
design develop deliver advanced technology 10 Second Quarter 2015 Guidance Guidance Net Sales (in millions) $635 – $665 Operating Margin – non - GAAP 3.7% – 4.1% Effective Tax Rate 21% Diluted EPS – non - GAAP $0.37 – $0.41 ▪ Outlook is for the second quarter ending June 30, 2015.
Slide 11: Benchmark Market Overview
design develop deliver advanced technology 11 Benchmark Market Overview Higher Growth Markets Mar 31 , 2015 Q2 - 15 Outlook (%) 2015 Outlook Industrial Control Equipment 32% $199 Up Low - Single Digits Growth Medical Devices 13% $81 Mid - Teen Digit Increase Growth Testing and Instrumentation Produc
Slide 12: Summary
design develop deliver advanced technology 12 ▪ Q1 Results – Consistent ▪ Strategic Priorities: o Portfolio Management o Operational Excellence o Customer Focus ▪ Continued Focus on Operating Margin Expansion Summary First Quarter 2015
Slide 13: Appendix
design develop deliver advanced technology 13 Appendix
Slide 14: Reconciliation of GAAP to non-GAAP Financial Results
design develop deliver advanced technology 14 Reconciliation of GAAP to non - GAAP Financial Results (Amounts in Thousands, Except Per Share Data) – (UNAUDITED) March 31, December 31, March 31, 2015 2014 2014 18,708$ 28,653$ 22,432$ 4,869 955 2,109 - (1,547) - - - (1,571) 23,577$ 28,061$ 22,970$ 14,