Slide 1: Third Quarter 2022 Earnings Presentation
Third Quarter 2022 Earnings Presentation Enabling Technology. Growing Sustainably.
Slide 2: Legal Notices
Legal Notices SAFE HARBOR Please note that in this presentation, we may discuss events or results that have not yet occurred or been realized, commonly referred to as forward-looking statements. The Private Securities Litigation Reform Act of 1995 provides a safe harbor for forward-looking statement
Slide 3: Third Quarter 2022 Financial Results
Third Quarter 2022 Financial Results Constant Currency* Organic* ($ in millions) Q3 2022 Q3 2021 YoY YoY YoY Net Sales $619 $616 0% 9% 5% Electronics 388 412 (6)% 1% 5% Industrial & Specialty 231 205 13% 26% 6% GAAP Diluted EPS $0.22 $0.15 Adj. EBITDA* $134 $131 2% 11% % margin 21.6% 21.2% 40 bps 40
Slide 4: Third Quarter 2022 Segment Details
Third Quarter 2022 Segment Details Electronics Net Sales Organic Key Drivers ($ in millions) Growth* Assembly $197 9% Growth in power electronics partially offset by softness in consumer electronics; global consumer electronics markets forecasted down 5% YoY in 2022 Circuitry $125 1% New wins and su
Slide 5: Balance Sheet and Cash Flow Considerations
Balance Sheet and Cash Flow Considerations Key Cash Flow Items Balance Sheet Management • Q3 2022 free cash flow* of $116 million • Net debt to adj. EBITDA ratio* of 3.1x on an LTM basis as of September 30, 2022 o $38 million release of working capital driven by • Including the estimated fair value
Slide 6: Full Year 2022 Financial Guidance
Full Year 2022 Financial Guidance Updated as of October 2022 FY Adj. EBITDA* $525 million to $530 million1 FY Adjusted $1.40 to $1.42 EPS* FY Free Cash Approximately $250 million Flow* • Sales expected to decline sequentially due to FX, metal price, typical seasonality and ongoing end-market softnes
Slide 7: Appendix
Appendix Enabling Technology. Growing Sustainably.
Slide 8: Impact of Foreign Exchange
Impact of Foreign Exchange % of Adj. 9/30/2022 6/30/2022 12/31/2021 FY21 Realized EBITDA* CNY / USD 35% 7.11 6.70 6.35 6.45 USD / EUR 20% 0.98 1.05 1.14 1.18 USD / GBP 5% 1.11 1.22 1.35 1.38 TWD / USD 5% 31.75 29.74 27.67 27.95 JPY / USD 3% 145 136 115 110 FY21 Adj. EBITDA* based on these rates $455
Slide 9: Reconciliation to Adjusted Share Counts
Reconciliation to Adjusted Share Counts (amounts in millions) Q3 2022 Q3 2021 Basic common shares outstanding 243 248 Number of shares issuable upon vesting of granted Equity Awards 1 2 5 Adjusted common shares outstanding 245 252 Note: Totals may not sum due to rounding 1. Equity awards with target
Slide 10: Net Income Attributable to Common Stockholders Reconciliation to Adj. EBITDA
Net Income Attributable to Common Stockholders Reconciliation to Adj. EBITDA ($ millions) Q3 2022 Q3 2021 Net income attributable to common stockholders $53 $36 Add (subtract): Net income (loss) attributable to non-controlling interests 0 (0) Income from discontinued operations, net of tax — — Incom
Slide 11: Net Debt to Adj. EBITDA Ratio Reconciliation on a Trailing Twelve Month Basis
Net Debt to Adj. EBITDA Ratio Reconciliation on a Trailing Twelve Month Basis ($ millions) LTM Q3 YTD 2022 Q4 2021 2022 Net income attributable to common stockholders $175 $4 $178 Add (subtract): Net income attributable to non-controlling interests 1 1 1 (Income) loss from discontinued operations, n
Slide 12: GAAP Net Income Reconciliation to Adjusted Diluted EPS
GAAP Net Income Reconciliation to Adjusted Diluted EPS ($ millions, except per share amounts) Q3 2022 Q3 2021 Net income from continuing operations attributable to common stockholders $53 $36 Reversal of amortization expense 29 32 Adjustment to reverse incremental depreciation expense from acquisiti
Slide 13: Organic Net Sales Growth Reconciliation
Organic Net Sales Growth Reconciliation Three Months Ended September 30, 2022 Change in Pass- Reported Net Constant Organic Net Sales Impact of Currency Through Metals Acquisitions Sales Growth Currency Growth Pricing Electronics (6)% 7% 1% 4% —% 5% Industrial & Specialty 13% 13% 26% —% (21)% 6% Tot
Slide 14: Free Cash Flow Reconciliation
Free Cash Flow Reconciliation ($ millions) Q3 2022 Q3 2021 Cash flows from operating activities $127 $92 Capital expenditures (11) (10) Free cash flows $116 $81 Note: Totals may not sum due to rounding 14
Slide 15: Non-GAAP Definitions
Non-GAAP Definitions Adjusted Earnings Per Share (EPS): Adjusted EPS is a key metric used by management to measure operating performance and trends as management believes the exclusion of certain expenses in calculating adjusted EPS facilitates operating performance comparisons on a period-to-period