Keysight Technologies Inc. · NYSE:KEYS
Keysight Technologies — Q4 2014 Earnings Presentation
13 slides from Keysight Technologies's earnings presentation, Nov 17, 2014
Slide 1: Keysight Technologies Q4 Fiscal Year 2014 Results
Keysight Technologies Q4 Fiscal Year 2014 Results November 17, 2014
Slide 2: Safe Harbor
Safe Harbor This presentation contains forward-looking statements (including, without limitation, information and future guidance on the company’s goals, priorities, the separation of our electronic measurement business, revenues, demand, growth opportunities, customer service and innovation plans,
Slide 3: Q4'14 Financial Highlights
Q4’14 Financial Highlights Orders 900 782 760 800 742 • Orders: $760M, +3% y/y (+3% core*) 699 722 700 600 $ millions • Revenues: $762M, $762M,+8%y/y 8% y/y(+9% (+9%core*) core*) 500 400 300 • Operating Margin**: 21.0% of revenue, 200 +200 basis points y/y 100 0 Q4'13 Q1'14 Q2'14 Q3'14 Q4'14 Revenue
Slide 4: Q4'14 Revenue Distribution
Q4’14 Revenue Distribution Q4’14 Revenue: $762M Q4'14 Revenue by Region Q4'14 Revenue by End Market Aerospace Asia & Defense Industrial, Americas 23% Comps & Pacific 40% 41% Semi 44% Comm- unications Europe 33% 19% Page 4
Slide 5: Q4'14 Revenue Distribution by Geography
Q4’14 Revenue Distribution by Geography Americas 350 304 Q4’14 Y/Y Revenue Growth 300 257 282 228 237 • Americas +18% (+19% core*) 250 $ millions 200 • Europe +5% (+6% core*) 150 • Japan +7% (+13% core*) 100 • Asia Pacific ex-Japan -1% (-2% core*) 50 0 Q4'13 Q1'14 Q2'14 Q3'14 Q4'14 Asia Pacific Euro
Slide 6: Keysight End Market Performance – Q4'14
Keysight End Market Performance – Q4’14 Led by Aerospace & Defense, all end markets grew in Q4 Keysight Results % of Keysight Market Size** End Markets Q4’14 vs. Q4’13 LTM Revenue* $12B 6% growth on continued strength in base Communications 34% $4B station and component test manufacturing. 10% growt
Slide 7: Q1'15 Guidance
Q1’15 Guidance Q1’15 Revenue $675M - $715M Revenue Growth 0.6% - 6.6% Operating Margin Percent* 14% - 17% * Presented on a non-GAAP basis Page 7
Slide 8: Recent Quarterly Financial Results & Forward-looking Considerations
Recent Quarterly Financial Results* (adjusted for stock-based compensation) & Forward-looking Considerations FY15 Financial Considerations $M Q4'13 Q1’14 Q2’14 Q3’14 Q4’14 Revenue 705 671 743 757 762 • Stock-based Compensation: To be treated as pro forma expense per YoY % -14% -7% -2% 8% 8% industry
Slide 9: GAAP to Non-GAAP Operating profit reconciliation - Q4'13
GAAP to NON GAAP Operating profit reconciliation - Q4’13 KEYSIGHT TECHNOLOGIES, INC. RECONCILIATION FROM GAAP TO NON-GAAP THREE MONTHS ENDED OCT 31, 2013 (Unaudited) PRELIMINARY NON-GAAP ADJUSTMENTS Restructuring Acquisition & Project Sapp and Other Intangible Integration Pre-Separation Others Non-
Slide 10: GAAP to Non-GAAP Operating profit reconciliation - Q1'14
GAAP to NON GAAP Operating profit reconciliation - Q1’14 KEYSIGHT TECHNOLOGIES, INC. RECONCILIATION FROM GAAP TO NON-GAAP THREE MONTHS ENDED JAN 31, 2014 (Unaudited) PRELIMINARY NON-GAAP ADJUSTMENTS Restructuring Acquisition & Project Sapp and Other Intangible Integration Transformational Pre-Separa
Slide 11: GAAP to Non-GAAP Operating profit reconciliation - Q2'14
GAAP to NON GAAP Operating profit reconciliation - Q2’14 KEYSIGHT TECHNOLOGIES, INC. RECONCILIATION FROM GAAP TO NON-GAAP THREE MONTHS ENDED APR 30, 2014 (Unaudited) PRELIMINARY NON-GAAP ADJUSTMENTS Project Sapp Intangible Pre-Separation Others (in millions) GAAP Amortization Costs Non-GAAP Net Reve
Slide 12: GAAP to Non-GAAP Operating profit reconciliation - Q3'14
GAAP to NON GAAP Operating profit reconciliation - Q3’14 KEYSIGHT TECHNOLOGIES, INC. RECONCILIATION FROM GAAP TO NON-GAAP THREE MONTHS ENDED JULY 31, 2014 (Unaudited) PRELIMINARY NON-GAAP ADJUSTMENTS Project Sapp Intangible Pre-Separation Others (in millions) GAAP Amortization Costs Non-GAAP Net Rev
Slide 13: GAAP to Non-GAAP Operating profit reconciliation - Q4'14
GAAP to NON GAAP Operating profit reconciliation – Q4’14 KEYSIGHT TECHNOLOGIES, INC. RECONCILIATION FROM GAAP TO NON-GAAP THREE MONTHS ENDED OCTOBER 31, 2014 (Unaudited) PRELIMINARY NON-GAAP ADJUSTMENTS Project Sapp Other Intangible Pre-Separation (in millions) GAAP Amortization Costs Non-GAAP Net R
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