Myers Industries, Inc. · NYSE:MYE
Myers Industries — Q1 2018 Earnings Presentation
15 slides from Myers Industries's earnings presentation, May 7, 2018
Slide 1: First Quarter 2018 Earnings Presentation
MYERS INDUSTRIES, INC. First Quarter 2018 Earnings Presentation Exhibit 99.2
Slide 2: Safe Harbor Statement & Non-GAAP Measures
Safe Harbor Statement & Non-GAAP Measures Statements in this presentation concerning the Company’s goals, strategies and expectations for business and financial results may be "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995 and are based on cur
Slide 3: 2018 Q1 Overview
2018 Q1 Overview Challenges Achievements Distribution Segment challenges persist Decline partially due to exit from low margin product line at Patch Rubber Myers Tire Supply continues to focus on filling open territories and onboarding new reps Myers Tire Supply Q1 2018 gross profit margin expanded
Slide 4: Q1 Financial Summary
Q1 Financial Summary Operating Highlights Net sales up 11.7% Material Handling up $18.3M +19% Distribution down $2.8M (7%) Gross profit increased $5.4M (Adj. $4.5M) Increased volume and price, partially offset by unfavorable mix and higher raw material costs Price increases mitigating material cost
Slide 5: Q1 Segment Results
Q1 Segment Results Material Handling Segment Highlights Double-digit sales growth in Food and Beverage due to higher agriculture sales Sales to the Vehicle end market grew low single-digits driven by price and volume increases in RV Consumer down double-digits due to timing of orders Higher volume o
Slide 6: Balance Sheet and Cash Flow
Balance Sheet and Cash Flow Cash Flow and Cash Flow as % of Sales Net Debt ($M) and Net Debt to Adj. EBITDA Target <9% Working Capital as a % of TTM Sales Q1 Highlights Strong free cash flow generation of $11.6M Reduced debt by $6.7M Net debt-to-adjusted EBITDA declined for third consecutive quarter
Slide 7: 2018 Outlook
2018 Outlook 2016 2017 2018 Operating Framework Flat High single digits High single digits Flat Low single digits Expect increased demand from agriculture and food processing markets Anticipating growth in market share will be offset by 2017 unusual hurricane volume Strong RV market demand expected
Slide 8: Appendix
Appendix
Slide 9: 2018 Key Assumptions
2018 Key Assumptions Net Sales: Up low-to-mid single-digits Capital expenditures:$10 - $12 million Net interest expense: $7 - $8 million D&A: $26 - $28 million Effective tax rate (normalized):25%
Slide 10: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures MYERS INDUSTRIES, INC. RECONCILIATION OF NON-GAAP FINANCIAL MEASURES GROSS PROFIT, OPERATING INCOME AND EBITDA (UNAUDITED) (Dollars in thousands)
Slide 11: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures MYERS INDUSTRIES, INC. RECONCILIATION OF NON-GAAP FINANCIAL MEASURES GROSS PROFIT, OPERATING INCOME AND EBITDA (UNAUDITED) (Dollars in thousands)
Slide 12: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures MYERS INDUSTRIES, INC. RECONCILIATION OF NON-GAAP FINANCIAL MEASURES INCOME AND EARNINGS PER DILUTED SHARE (UNAUDITED) (Dollars in thousands, except per share data)
Slide 13: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures MYERS INDUSTRIES, INC. RECONCILIATION OF FREE CASH FLOW TO GAAP NET CASH PROVIDED BY (USED FOR) OPERATING ACTIVITIES – CONTINUING OPERATIONS (UNAUDITED) (Dollars in thousands)
Slide 14: Reconciliation of Non-GAAP Measures
Reconciliation of Non-GAAP Measures MYERS INDUSTRIES, INC. RECONCILIATION OF NON-GAAP FINANCIAL MEASURES ADJUSTED EBITDA (UNAUDITED) (Dollars in thousands) Q2 2016 Q3 2016 Q4 2016 Q1 2017 Q2 2017 Q3 2017 Q4 2017 Q1 2018 Income from continuing operations $ 5,921 $ 580 $ (899) $ 3,458 $ 2,482 $ 3,083
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