21 slides from Lgl Group, Inc. (the)'s earnings presentation, Mar 13, 2019
Slide 1: The LGL Group, Inc.: a foundation for profitable growth
The LGL Group, Inc. (NYSE MKT: LGL) a foundation for profitable growth March 13, 2019
Slide 2: MtronPTI Capabilities
2 MtronPTI Capabilities 3/13/2019
Slide 3: LGL Group: Conference Call Today's Agenda
LGL Group: Conference Call Today’s Agenda Marc Gabelli Introduction James Tivy Review of the Financials Michael Ferrantino Operations and Strategy Stakeholders Questions and Discussion 3
Slide 4: LGL Group: Corporate Snapshot
LGL Group: Corporate Snapshot LGL Group operates as a development platform for a diversified portfolio of businesses Formed in 1917 IPO in 1946 History of Supporting and Growing Diversified Operations $7.30 Stock price $35 million market capitalization $19.2 million cash and cash equival
Slide 5: Long Term Value Drivers
Long Term Value Drivers Organic Growth Margin Expansion Cash Conversion Increase share in Optimize Maintain strong the growing operations investment defense market returns and cash flow generation 5 MtronPTI Capabilities
Slide 6: LGL Group: Corporate Snapshot - 2018 Full-Year Financial Results
LGL Group: Corporate Snapshot We extend a special thank you on behalf of all stakeholders to Michael Ferrantino. 2018 Full-Year Financial Results Revenues of $24.9 million, up 11.0% compared to 2017 Net income of $0.30 per share compared to a net income of $0.04 per share in 2017 Order backlog
Slide 7: LGL Group: Overview
LGL Group: Overview 2018 in Review Aerospace and Defense (A&D) plans materialize further Operational improvements accelerate at the subsidiary MtronPTI Strengthened group balance sheet Expanded strategic optionality A Glimpse Forward Mtron further organic improvements and investments Aer
Slide 8: Aerospace and Defense
Segment Focus Aerospace and Defense MtronPTI is an engineering centric company providing customized, high reliability, spectrum and frequency control solutions for harsh environment applications. We operate globally from a department defense approved manufacturing platform headquartered in Orlando.
Slide 9: Aerospace and Defense Landscape
Aerospace and Defense Landscape 9 Please see full disclosures. Figures are estimates. Slide chart courtesy of Houlihan Lokey.
Slide 10: 50 Years Experience
Orient towards customized solutions serving Mtron’s strengths in High Reliability and Harsh Environment applications 50 Years Experience FY 2018 US Defense Budget – Top 10 Procurement Programs Source: US Congress HR2810 10 Please see full disclosures. Figures are estimates.
Slide 11: 50 Years Experience
Mtron’s High Reliability and Harsh Environment applications 50 Years Experience 11 Please see full disclosures. Figures are estimates. Slide chart courtesy of Houlihan Lokey.
Slide 12: We are at the Foundation of Defense Systems
We are at the Foundation of Defense Systems 50 Years Experience 12 Please see full disclosures. Figures are estimates. Slide chart courtesy of Houlihan Lokey.
Slide 13: Market Potential
Our niche in the Radio Frequency (RF) electronics market Market Potential Building our base in Customized Solutions Our Focus Applications are customizable, precision engineered RF Components The microwave electronics markets generate over $760b of annual spend and are expected to grow a 5%. We are
Slide 14: Strategy: In Focus
Strategy In Focus Our strategy is to separate ourselves from the competition by working hand in hand with our customers, providing custom engineered solutions/products in the frequency and spectrum control area with emphasis on the defense electronics market. 14 MtronPTI Capabilities 3/13/2019
Slide 15: Global Footprint
Global Footprint Orlando, FL Yankton, SD Noida, India Wakefield, MA Headquarters 85,000 square feet 55,000 square feet 14,000 square feet 3,800 square feet Corporate, sales, finance mgmt. Frequency & Time References Osc. and filter design Oscillator design Custom filter design Time Code Systems Proc
Slide 16: Timing Control Product Group
Timing Control Product Group Serving harsh environment defense, Internet/wireless and instrumentation client Low drift, low noise, harsh-environment frequency references: Quartz, quartz MEMS and advanced materials science Wide temperature range, shock and vibration resistant oscillators XTAL, clock
Slide 17: Spectrum Control Product Group
Spectrum Control Product Group Serving high reliability defense, aviation and commercial client High-rel, harsh-environment RF, µwave and millimeter wave filters and diplexers 1 MHz to 90 GHz Crystal, ceramic, LC, tubular, combline, cavity, interdigital and metal insert waveguide Precision CNC turni
Slide 18: Technology Roadmap: at a Glance
Technology Roadmap: at a Glance Spectrum Control Miniature LC filters High power handling cavity and LC filters Frequency Control Vibration compensated OCXO; 50 to 160 MHz Surface mount low current – low phase noise – sine output TCXO to 100 MHz Multi output OCXO The above builds upon and
Slide 19: In Conclusion
In Conclusion Growth through existing and new business opportunities, including: New product development, utilizing internal and partner resources to grow IP Market share gains within our blue chip client base Synergistic acquisitions of products and technical capabilities Develop alternativ
Slide 20: Your Questions
LGL Group: Thank You Your Questions Please see full disclosures. All points in discussions are estimates. 20
Slide 21: Contact Information
Contact Information Visit us: www.lglgroup.com www.mtronpti.com Contact us: James Tivy, CFO e-mail: jtivy@lglgroup.com Voice: (407) 298-2000 21