Jeld-wen Holding, Inc. · NYSE:JELD
Jeld-wen — Q2 2022 Earnings Presentation
21 slides from Jeld-wen's earnings presentation, Aug 1, 2022
Slide 1: Second Quarter 2022 Results
Second Quarter 2022 Results August 01, 2022
Slide 2: Disclosures
Disclosures Forward-Looking Statements Certain statements in this presentation are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995, including statements by our CEO and CFO and statements regarding our business strategies and ability to execute on
Slide 3: Introduction
Introduction Gary S. Michel Chair and CEO
Slide 4: Q2 Highlights
Q2 Highlights • All segments contributing to 11% core revenue growth • Eighth consecutive quarter of core revenue growth • North America core revenue growth of 14% • Strong price realization • Repurchased $64.3 million of stock in the quarter 4
Slide 5: 2022 Outlook
2022 Outlook USD in millions REVENUE ADJUSTED CAPITAL Revised GROW TH EBITDA EXPENDITURES 4% to 6% $430 to $450 $90 to $110 REVENUE ADJUSTED CAPITAL Previous GROW TH EBITDA EXPENDITURES 7% to 10% $520 to $565 $130 to $150 Core Revenue growth remains at ~10% but FX impact is a headwind EBITDA reflect
Slide 6: Taking Actions to Drive Profitable Growth & Margin Expansion
Taking Actions to Drive Profitable Growth & Margin Expansion Improving Customer and Optimizing Operations Investing in Innovation Product Mix J E M C A PA C I T Y E X PA N S I O N A N D O P T I M I Z AT I O N 6 |
Slide 7: Industry Leadership
Industry Leadership TA K I N G C A R E O F O U R C U S T O M E R S A N D T H E E N V I R O N M E N T 7 |
Slide 8: Julie Albrecht, JELD-WEN EVP & CFO
Julie Albrecht, JELD-WEN EVP & CFO • Former CFO of Sonoco • Seasoned finance executive who has successfully led large global teams for public companies • Expertise in driving improvements in financial results and processes “JELD-WEN has an exciting future. I look forward to working with Gary and JEL
Slide 9: Financial Review
Financial Review David Guernsey Executive Vice President
Slide 10: Q2 2022 Financial Summary
Q2 2022 Financial Summary USD in millions Net Revenue Adjusted EBITDA Adjusted EBITDA Margin Core Core Core 11% (18%) (320 bps) Strong revenue growth from pricing; EBITDA margin compressed by inflation “Core revenue” and “core adjusted EBITDA” exclude the impact of FX and acquisitions completed in t
Slide 11: Q2 2022 Net Revenue Walks
Q2 2022 Net Revenue Walks JELD-WEN North America Europe Australasia Q2 2022 Pricing 12% 14% 11% 8% Volume/Mix (1%) 0% (2%) (4%) Core Revenue Growth 11% 14% 9% 4% Acquisitions 0% 0% 0% 0% FX (4%) 0% (12%) (7%) Total 6.8% 13.4% (2.8%) (2.6%) YTD 2022 Pricing 12% 14% 11% 7% Volume/Mix (1%) (1%) (2%) (4
Slide 12: Quarterly Price/Cost Progression
Quarterly Price/Cost Progression Q3 21 Q4 21 Q1 22 Q2 22 Price Material/Freight Inflation Inflation continues to increase, but price/cost expected to improve 12 |
Slide 13: Q2 2022 Segment Performance
Q2 2022 Segment Performance Adj. EBITDA Margin bps Net Revenue vs. PY Adj. EBITDA vs. PY vs. PY 13.4% As Reported (2.8%) (2.6%) (11.8%) (100) (18.9%) 14% (49.6%) (450) Core (ex. FX & MA) 9% (550) 4% (6)% (19%) (110) (450) (44%) (560) North Europe Australasia North Europe Australasia North Europe Aus
Slide 14: Balance Sheet and Cash Flow
Balance Sheet and Cash Flow USD in millions Balance Sheet June 25, 2022 December 31, 2021 Total Debt $1,898.7 $1,706.3 Cash $272.5 $395.6 Total Net Debt $1,626.2 $1,310.7 Net Debt / Adjusted EBITDA 3.8x 2.8x Cash Flow YTD 2022 YTD 2021 Cash Flow From Operations ($165.7) $40.7 Capital Expenditures (1
Slide 15: Market Outlook
Market Outlook
Slide 16: Market Outlook
Market Outlook North America Europe Australasia Affordability concerns and shifting Inflation and general economic Demand expected to remain strong consumer preferences driving lower uncertainty leading to slowing activity in throughout 2022: housing activity near-term: certain markets: • GDP foreca
Slide 17: Many US homeowners say their discretionary income is going toward home improvement
Many US homeowners say their discretionary income is going toward home improvement Top places where homeowners are Roughly half say they’re likely to install new spending discretionary income doors or windows within the next 6 months 47% Saving it for the future 39% Home improvement/renovation 34% R
Slide 18: JEM Video
JEM Video 18
Slide 19: NON-GAAP Reconciliation: Adjusted EBITDA
NON-GAAP Reconciliation Adjusted EBITDA USD in millions Three Months Ended Six Months Ended (amounts in millions) June 25, 2022 June 26, 2021 June 25, 2022 June 26, 2021 Net income $ 45.8 $ 60.7 $ 45.3 $ 86.2 Income tax expense 15.2 22.4 15.0 32.7 Depreciation and amortization 32.5 35.5 65.1 69.7 In
Slide 20: NON-GAAP Reconciliation: Adjusted Net Income
NON-GAAP Reconciliation Adjusted Net Income USD in millions Three Months Ended Six Months Ended June 25, June 26, June 25, June 26, (amounts in millions, except share and per share data) 2022 2021 2022 2021 Net income $ 45.8 $ 60.7 $ 45.3 $ 86.2 Legal costs and professional expenses 3.1 1.5 8.1 15.3
Slide 21: NON-GAAP Reconciliation: Free Cash Flow and Net Debt Leverage
NON-GAAP Reconciliation Free Cash Flow and Net Debt Leverage USD in millions Six Months Ended June 25, 2022 June 26, 2021 Net cash (used in) provided by operating activities $ (165.7) $ 40.7 Less capital expenditures 34.8 44.7 Free cash flow (1) $ (200.5) $ (4.0) (1) Free cash flow is a financial me