Slide 1: Financial Results Third Quarter Fiscal Year 2020
Financial Results Third Quarter Fiscal Year 2020 Quarter Ended March 31, 2020 Supplementary Information to May 5, 2020 Earnings Conference Call
Slide 2: Safe Harbor Statement
KIMBALL ELECTRONICS (Nasdaq: KE) // Safe Harbor Statement Certain statements contained within this supplementary information and any statements made during our earnings conference call today may be considered forward-looking under the Private Securities Litigation Reform Act of 1995 and are subject
Slide 3: Net Sales
(Unaudited) KIMBALL ELECTRONICS (Nasdaq: KE) // Net Sales 6% from Q3'19 3
Slide 4: Net Sales Mix by Vertical Market
(Unaudited) KIMBALL ELECTRONICS (Nasdaq: KE) // Net Sales Mix by Vertical Market 4
Slide 5: Gross Margin %
(Unaudited) KIMBALL ELECTRONICS (Nasdaq: KE) // Gross Margin % 5
Slide 6: Selling & Administrative Expense (%)
(Unaudited) KIMBALL ELECTRONICS (Nasdaq: KE) // Selling & Administrative Expense (%) 6
Slide 7: Adjusted Operating Income
KIMBALL ELECTRONICS (Nasdaq: KE) // (Unaudited) Adjusted Operating Income (1)(2) (Excludes lawsuit proceeds) * (1) Adjusted Operating Income is a Non-GAAP measure – refer to Reconciliation of Non-GAAP Results on the final slide of this supplementary information. (2) Prior period amounts denoted by *
Slide 8: Adjusted Net Income
KIMBALL ELECTRONICS (Nasdaq: KE) // (Unaudited) Adjusted Net Income (1) (Excludes lawsuit proceeds and adjustments to provision for income taxes due to Tax Reform) (1) Adjusted Net Income is a Non-GAAP measure – refer to Reconciliation of Non-GAAP Results on the final slide of this supplementary inf
Slide 9: Adjusted EBITDA
KIMBALL ELECTRONICS (Nasdaq: KE) // (Unaudited) Adjusted EBITDA (1) (Excludes lawsuit proceeds) (1) Adjusted EBITDA is a Non-GAAP measure - refer to Reconciliation of Non-GAAP Results on the final slide of this supplementary information. 9
Slide 10: Return on Invested Capital
KIMBALL ELECTRONICS (Nasdaq: KE) // (Unaudited) Return on Invested Capital (1)(2)(3) (Excludes lawsuit proceeds) (1) We define ROIC as after-tax adjusted operating income for the trailing twelve months divided by average invested capital for the last five quarters. (2) Prior period amounts have been
Slide 11: Operating Cash Flow
(Unaudited) KIMBALL ELECTRONICS (Nasdaq: KE) // Operating Cash Flow 11
Slide 12: Capital Expenditures and Depreciation & Amortization
KIMBALL ELECTRONICS (Nasdaq: KE) // (Unaudited) Capital Expenditures and Depreciation & Amortization (1) (1) Capital Expenditures include purchases of capitalized software. 12
Slide 13: Reconciliation of Non-GAAP Results
KIMBALL ELECTRONICS (Nasdaq: KE) // Reconciliation of Non-GAAP Results (Unaudited, Amounts in Thousands) Q4'18 Q1'19 Q2'19 Q3'19 Q4'19 Q1'20 Q2'20 Q3'20 Operating Income, as reported (1) $ 11,266 $ 7,032 $ 10,212 $ 14,497 $ 10,319 $ 11,115 $ 8,684 $ 10,588 Less: Lawsuit Proceeds — 92 — — 215 — — — A