EnerSys · NYSE:ENS

EnerSys — CL King Best Ideas Conference 2023

33 slides from EnerSys's conference presentation, Sep 18, 2023

Slide 2: Forward Looking Statements
Forward Looking Statements As a reminder, we will be presenting certain forward-looking statements on this call that are based on Management’s current expectations and views regarding future events and operating performance and are subject to uncertainties and changes in circumstances. Our actual re
Slide 3: EnerSys at a Glance
EnerSys at a Glance F Y 2 0 2 3 K E Y S TAT I S T I C S 1 $4.3B $322M $388M $5.34 10K+ Market Cap2 Adj. Operating Earnings3 Adj. EBITDA3 Adj. Diluted EPS3 Customers G L O B AL FAC I L I T Y B AS E 4 F Y 2 0 2 3 N E T S AL E S $3.7B Business Geography Segments 6% 14% 21% 39% 47% 73% Energy Systems Am
Slide 4: Well-Positioned for Long-Term Profitable Growth
Well-Positioned for Long- Term Profitable Growth Provider of highly differentiated energy solutions with 1 full suite of technologies for diverse end markets Strategically aligned with megatrends in 2 large and growing markets Resilient business model positioned for strong cash 3 flow generation, pr
Slide 5: Executing Our Strategic Vision | Significantly Transformed Portfolio
Executing Our Strategic Vision | Significantly Transformed Portfolio • Improved new product TO D AY • Established vision- • Integrated Alpha and development time driven culture NorthStar acquisitions • Expanded product Innovating, Optimizing, • Built teams to execute • Deepened capabilities lines an
Slide 6: Business Segments
Business Segments ENERGY SYSTEMS NEW VENTURES Power conversion, power distribution, Energy storage and management and energy storage solutions systems for demand charge • Communication Networks reduction, utility back-up power, • Data Centers and dynamic fast charging • Industrial Power, Utilities,
Slide 7: Foundational Core Modular Platforms
Foundational Core Modular Platforms E N E R G Y S TO R AG E POWER ELECTRONICS Lithium-ion • Advanced, high-efficiency power conversion • Maintenance-free • High voltage power transfer with power • Longer cycle life line communication for 5G small cells • Fastest charge rate • Wireless power transfer
Slide 8: Our Sustainability Journey
Our Sustainability Journey Established full- Announced time Sustainability Scope 1 and Team; joined Launched Published Scope 2 carbon Target date for external inaugural diversity supplemental neutrality goals; 2021 diversity sustainability engagement environmental submitted CDP Published first Scope
Slide 9: FY'20 to FY'23 Financial Performance
FY’20 to FY’23 Financial Performance N E T S AL E S AD J . O P E AR N I N G S 1 AD J . D I L U T E D E P S 1 ($B) ($M) Includes $17M IRA Includes $0.42 IRA 6.3% $3.7 3.9% $3.1 CAGR $287 $322 4.5% CAGR $4.68 $5.34 CAGR FY'20 FY'23 FY'20 FY'23 FY'20 FY'23 K EY D R IVER S • Robust demand from growing m
Slide 10: Disciplined Capital Allocation Strategy
Disciplined Capital Allocation Strategy F U T U R E PR IO R ITIES PRIORITIES FY’20 – FY’23 ($M, cumulative) • Continue TPPL capacity investments & end-to-end solutions 1 Invest in Organic Growth (CapEx) ~$330 • Optimize EOS to drive additional operational efficiencies • Accelerate domestic-sourced l
Slide 11: Clear Path to Achieving FY'27 Targets
Clear Path to Achieving FY’27 Targets NET AD J . O P E R AT I N G AD J . AD J . S AL E S M AR G I N 1 E B I T D A1 EPS1 FY’23 6.3% 8.7% $388M $5.34 Baseline FY’20-23 CAGR FY’27 8% - 10% 14% - 16% $850M - $950M $11.00 - $13.00 Targets FY’23-27E CAGR + reinvestment of capital for additional shareholde
Slide 12: Strong Q1'24 Performance
Strong Q1’24 Performance $909M $107M $122M $1.89 $59M Net Sales Adj. Op. Adj. Adj. EPS1 Free Cash Earnings1 EBITDA1 Flow1 +1% Y/Y +65% Y/Y +43% Y/Y +64% Y/Y +$154M Y/Y Adj. Op. Earnings1 Adj. EBITDA1 Margin of 11.8% Margin of 13.4% Delivered Solid Operational Results September 2023 1) Non-GAAP measu
Slide 13: Balance Sheet, Cash Flow and Leverage
Balance Sheet, Cash Flow and Leverage SELECTED S E L E C T E D Q U AR T E R LY B AL AN C E S H E E T M E T R I C S 1 C AS H F L O W M E T R I C S 2 ($M) FY’23 Q1’24 ($M) Q1’23 Q1’24 Cash and Cash $347 $258 Equivalents Cash Flow from ($72) $75 Net Debt3 $736 $690 Operations Net Leverage Ratio3 1.8x 1
Slide 14: Strategic Priorities Driving Long Term Growth
Strategic Priorities Driving Long Term Growth Increasing Higher Value Solutions • Customer-centric NPIs (volume and mix) Innovate • State-of-the-art technology Compounding Value Creation • Organic hardware and software • Fast Charge and Storage (FC&S) • Scalable projects across Energy Systems, Motiv
Slide 15: Compelling Investment Thesis
Compelling Investment Thesis 1 2 3 Strategically positioned in Transformed company expanding markets driven Invigorated leadership delivering innovative by global megatrends team executing a clear solutions and defining the strategy for accelerated future of energy transition earnings growth Playing
Slide 18: Reconciliations of GAAP to Non-GAAP Financial Measures
Reconciliations of GAAP to Non-GAAP Financial Measures This presentation contains financial information determined by methods other than in accordance with U.S. Generally Accepted Accounting Principles, ("GAAP"). EnerSys' management uses the non-GAAP financial measures “adjusted Net earnings”, “adju
Slide 19: Q1'24 & Q1'23 Adjusted Operating Earnings
Non-GAAP Reconciliation Q 1 ’ 2 4 & Q 1 ’ 2 3 A D J U S T E D O P E R AT I N G E A R N I N G S September 2023 © 2023 EnerSys. All Rights Reserved. 19
Slide 23: Leverage Ratio by Year
Non-GAAP Reconciliation L E V E R A G E R AT I O B Y Y E A R Fiscal year ended March 31, (in millions, except ratios) 2023 2022 2021 2020 2019 2018 Net earnings as reported $175.8 $143.9 $143.3 $137.1 $160.5 $119.8 Add back: Depreciation and amortization 91.2 95.9 94.1 87.3 63.3 54.3 Interest expens
Slide 24: Leverage Ratio by Quarter
Non-GAAP Reconciliation L E V E R A G E R AT I O B Y Q U A R T E R Last twelve months ($ millions) (in millions, except ratios) July 2, 2023 March 31, 2023 January 1, 2023 October 2, 2022 July 3, 2022 Net earnings as reported $211.6 $175.8 $137.9 $129.8 $131.0 Add back: Depreciation and amortization
Slide 27: FY'23 & FY'22 Adjusted Operating Earnings
Non-GAAP Reconciliation F Y ’ 2 3 & F Y ’ 2 2 A D J U S T E D O P E R AT I N G E A R N I N G S September 2023 © 2023 EnerSys. All Rights Reserved. 27
Slide 33: Thank you.
Thank you. For more information visit us at www.enersys.com EnerSys Global Headquarters EnerSys EMEA EnerSys Asia 2366 Bernville Road EH Europe GmbH 152 Beach Road Reading, PA 19605 | USA Baarerstrasse 18 Gateway East Building #11- 08 Tel. +1-610-208-1991 6300 Zug Singapore +1-800-538-3627 Switzerla

EnerSys — CL King Best Ideas Conference 2023 on 6ix

EnerSys — CL King Best Ideas Conference 2023

Slide 1: Investor Presentation

Slide 2: Forward Looking Statements

Slide 3: EnerSys at a Glance

Slide 4: Well-Positioned for Long-Term Profitable Growth

Slide 5: Executing Our Strategic Vision | Significantly Transformed Portfolio

Slide 6: Business Segments

Slide 7: Foundational Core Modular Platforms

Slide 8: Our Sustainability Journey

Slide 9: FY'20 to FY'23 Financial Performance

Slide 10: Disciplined Capital Allocation Strategy

Slide 11: Clear Path to Achieving FY'27 Targets

Slide 12: Strong Q1'24 Performance

Slide 13: Balance Sheet, Cash Flow and Leverage

Slide 14: Strategic Priorities Driving Long Term Growth

Slide 15: Compelling Investment Thesis

Slide 16: Q&A

Slide 17: Non-GAAP Reconciliations

Slide 18: Reconciliations of GAAP to Non-GAAP Financial Measures

Slide 19: Q1'24 & Q1'23 Adjusted Operating Earnings

Slide 20: Q1'24 & Q1'23 Adjusted EBITDA

Slide 21: Q1'24 & Q1'23 Adjusted Diluted EPS

Slide 22: Q1'24 & Q1'23 Adjusted Diluted EPS (Continued)

Slide 23: Leverage Ratio by Year

Slide 24: Leverage Ratio by Quarter

Slide 25: Free Cash Flow

Slide 26: Primary Operating Capital

Slide 27: FY'23 & FY'22 Adjusted Operating Earnings

Slide 28: FY Adjusted Operating Earnings

Slide 29: FY'23 & FY'22 Adjusted EBITDA

Slide 30: FY'23 & FY'22 Adjusted Diluted EPS

Slide 31: FY'23 & FY'22 Adjusted Diluted EPS (Continued)

Slide 32: FY'20 Adj. Diluted EPS

Slide 33: Thank you.