Leggett & Platt, Incorporated · NYSE:LEG
Leggett & Platt — Q1 2023 Earnings Presentation
10 slides from Leggett & Platt's earnings presentation, May 2, 2023
Slide 1: First Quarter Summary Financial Information
First Quarter Summary Financial Information May 1, 2023 Forward-Looking Statements Statements in this presentation that are not historical in nature are “forward-looking.” These statements include future EPS, sales, volume for the Company and per segment, raw material-related price decreases, curren
Slide 2: Overview and Q1 2023 Financial Highlights
Overview Q1 sales of $1.21 billion, an 8% decrease vs. Q1-22 Volume was down 7% Raw material-related price decreases reduced sales 3% Currency impact decreased sales 1% Acquisitions, net of divestitures, added 3% to sales Q1 EBIT of $89 million, down $48 million vs. Q1-22 EBIT EBIT mar
Slide 3: Q1 2023 Sales & EBIT Bridge and Earnings
Q1 2023 Sales & EBIT Bridge Sales: mln $’s % change 1st Qtr 2022 $1,322 Approx volume decrease (92) (7%) Approx raw material-related pricing and currency impact (57) (4%) Organic Sales (149) (11%) Acquisitions, net of divestitures 41 3% 1st Qtr 2023 $1,214 (8%) EBIT: margin 1st Qtr 2022 $138 10.4% P
Slide 4: Adjusted Working Capital and Net Debt to Adjusted EBITDA
Adjusted Working Capital 3/31 12/31 3/31 $’s in millions 2023 2022 2022 Cash & equivalents $345 $317 $327 Accounts receivable, net 718 675 705 Inventories, net 893 908 1,046 Other current assets 59 59 60 Total current assets 2,015 1,958 2,138 Current debt maturities (9) (9) (301) Current operating l
Slide 5: Cash Flow and 2023 Guidance Unchanged
Cash Flow 1st Qtr $’s in millions 2023 2022 Net earnings $54 $90 D&A 45 46 Impairment, write-offs & other 2 4 Other non-cash 14 13 Changes in working capital: Accounts receivable (38) (58) Inventory 14 (58) Other current assets — (1) Accounts payable 31 11 Other current liabilities (25) (8) Cash fro
Slide 6: 2023 Guidance (continued)
2023 Guidance (continued) Depreciation and amortization ~$200 million Net interest expense ~$85 million Tax rate ~24% Operating cash $450–$500 million Cap-ex $100–$130 million (vs. ~$100 million) Dividends ~$240 million Diluted shares ~137 million Minimal acquisitions and share repur
Slide 7: Q1 2023 Segment Summary and Bedding Products
Q1 2023 Segment Summary Q1-23 Q1-23 ∆ vs Q1-22 Q1-23 ∆ vs Q1-22 Organic Sales EBIT EBIT EBITDA EBITDA Growth 1, 2 Margin Margin Margin Margin Bedding Products (17%) 6.3% -560 bps 11.1% -490 bps Specialized Products 8% 8.9% +120 bps 12.3% +50 bps Furniture, Flooring & Textile Products (15%) 7.8% -240
Slide 8: Bedding Key Points and Specialized Products
Bedding – Key Points Q1 organic sales were down 17%: Volume decreased 9%, primarily due to continued demand softness in U.S. bedding markets and lower trade demand in Steel Rod and Drawn Wire Raw material-related selling price decreases reduced sales 7% Currency impact decreased sales 1% S
Slide 9: Specialized Key Points and Furniture, Flooring & Textile Products
Specialized – Key Points Q1 organic sales were up 8%: Volume was up 11% from sales growth across the segment Raw material-related selling price increases added 2% Currency impact decreased sales 5% Hydraulic Cylinders acquisition, completed in August 2022, added 13% to sales Sales trends
Slide 10: Furniture, Flooring & Textile Key Points; For Additional Information
Furniture, Flooring & Textile – Key Points Q1 organic sales were down 15%: Volume was down 15%, with declines across the segment Raw material-related selling price increases added 1% Currency impact decreased sales 1% Textiles acquisitions added 2% to sales Sales trends: Q1 Q1 Organic Sa