Whirlpool Corporation · NYSE:WHR
Whirlpool — Raymond James Conference 2019
17 slides from Whirlpool's conference presentation, Mar 4, 2019
Slide 1: First-Quarter 2019 Investor Meetings
First-Quarter 2019 Investor Meetings
Slide 2: Why Invest? A Unique Structural Position
WHY INVEST? A UNIQUE STRUCTURAL POSITION Global Leading Best Brand Legacy of Best Cost Manufacturer Portfolio Innovation Position Launched ~100 Strong Track Record #1 in 7 of Top 10 Countries 6 Brands with >$1B in Sales Products in 2018 of Cost Productivity 2
Slide 3: Why Invest? Our Winning Global Strategy
WHY INVEST? OUR WINNING GLOBAL STRATEGY Deliver Product Redefine What Win the Digital Reinvent Our Leadership Product Is Consumer Journey Value Chain Innovative, Leading-Edge >2M Connected >$1B Direct Consumer Sustained Net Designed Products Products by 2020 Sales by 2020 Productivity of 4% 3
Slide 4: Why Invest? Driving Value Creation
WHY INVEST? DRIVING VALUE CREATION Profitable Growth Margin Expansion Cash Conversion Long-Term Goals 3-5% 10% 5-6% Revenue Growth and Cash Conversion In-Line with Long-Term Goals; Margin Expansion Annual Organic Net Sales Growth EBIT Margin FCF as % of Net Sales Behind Actions in Place to Improve Y
Slide 5: Why Invest? Balanced Capital Deployment & Consistent Returns to Shareholders
WHY INVEST? BALANCED CAPITAL DEPLOYMENT & CONSISTENT RETURNS TO SHAREHOLDERS Cash Conversion Progressing Towards Long-Term Goals **As of 12/31/2018 5
Slide 6: 2019 Ongoing EBIT Margin Guidance Progression
2019 ONGOING EBIT MARGIN GUIDANCE PROGRESSION Expect to Deliver Margin Expansion Through Price/Mix and Cost Takeout 6
Slide 7: 2019 Free Cash Flow Drivers
2019 FREE CASH FLOW DRIVERS Cash Conversion Progressing Towards Long-Term Goals 7
Slide 8: Cautionary Statement
CAUTIONARY STATEMENT This presentation contains forward-looking statements about Whirlpool Corporation and its consolidated subsidiaries ("Whirlpool") that speak only as of this date. Whirlpool disclaims any obligation to update these statements. Forward-looking statements in this presentation may i
Slide 9: Use of Non-GAAP Financial Measures
USE OF NON-GAAP FINANCIAL MEASURES This presentation includes certain non-GAAP financial measures, which we refer to as “ongoing” measures: Ongoing net sales, ongoing earnings per diluted share, earnings before interest and taxes (EBIT), EBIT margin, ongoing EBIT, ongoing EBIT margin, ongoing segmen
Slide 10: Index of Supporting Information
INDEX OF SUPPORTING INFORMATION Slide # Slide Title & Description Source / Notes 2 WHY INVEST? A UNIQUE STRUCTURAL POSITION • “#1 Worlds Leading Manufacturer of Major Home Appliances” claim is based on the most recently available publicly reported revenues among leading appliance manufacturers •Whir
Slide 11: Reconciliation of GAAP to Non-GAAP Financial Measures
RECONCILIATION OF GAAP TO NON-GAAP FINANCIAL MEASURES: We supplement the reporting of our financial information determined under U.S. generally accepted accounting principles (GAAP) with certain non-GAAP financial measures, some of which we refer to as "ongoing" measures, including earnings before i
Slide 12: Ongoing Earnings Before Interest and Taxes (EBIT)
ONGOING EARNINGS BEFORE INTEREST AND TAXES (EBIT) The reconciliation provided below reconciles the non-GAAP financial measures ongoing earnings before interest and taxes and ongoing earnings per diluted share, with the most directly comparable GAAP financial measures, net earnings available to Whirl
Slide 13: Outlook for Ongoing Earnings Before Interest and Taxes
OUTLOOK FOR ONGOING EARNINGS BEFORE INTEREST AND TAXES The reconciliation provided below reconciles the non-GAAP financial measures ongoing earnings before interest and taxes and ongoing earnings per diluted share, with the most directly comparable GAAP financial measures, net earnings available to
Slide 14: Free Cash Flow
FREE CASH FLOW As defined by the Company, free cash flow is cash provided by (used in) operating activities after capital expenditures, proceeds from the sale of assets and businesses and changes in restricted cash. The reconciliation provided below reconciles twelve months ended December 31, 2018 a
Slide 15: Free Cash Flow One-Time Items
FREE CASH FLOW ONE-TIME ITEMS No Free Cash Flow(2) Impact from One-Time Items in 2019 15
Slide 16: Revenue Reconciliation
REVENUE RECONCILIATION (Approximate impact in billions) 2018 2019F Change Comments Net Sales $21.0B $20.3B ~(3)% Less: Embraco Net Sales $(1.2) $(0.3) • 2019 guidance includes ~1 quarter of net sales • Exit of Turkish domestic sales operations, Hotpoint branded Less: EMEA Business Exits $(0.2) $(0.1
Slide 17: Footnotes
FOOTNOTES: a) RESTRUCTURING EXPENSE – In 2014, we completed the acquisition of Indesit S.p.A., which, due to its size, materially changed our European footprint. In 2018, these costs are primarily related to Indesit restructuring, an Embraco plant closure in Italy, and certain other unique restructu