Slide 1: Trimble Inc. Third Quarter 2024 Earnings Summary
Trimble Inc. Third Quarter 2024 Earnings Summary © 2024 Trimble, Inc - All Rights Reserved 1
Slide 2: Forward-Looking Statements
Forward-Looking Statements Certain statements made in this presentation and any subsequent Q&A period are forward-looking statements, within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended, and are made pursuant to the safe harbor provisions of the Securities Litigation
Slide 3: Q3 2024 Earnings Call Agenda
Q3 2024 Earnings Call Agenda “We’re always three steps ahead of everyone else because of the technology we use…With Trimble Today’s Agenda Connect, we can visualize the entire project before it starts. We track every piece of steel in real-time and stay ahead of any potential delays.” -Steel custome
Slide 4: Q3 2024 Highlights
Q3 2024 Highlights Connect & Scale Strategy is Working Record ARR and Disciplined Simplified Gross Profit Capital Business and Margins Allocation Focused Team Third Quarter Revenue and EPS Exceed Expectations Full Year Revenue and EPS Raise 4
Slide 5: Q3 2024 Financial Highlights
Q3 2024 Financial Highlights Revenue ARR Non-GAAP $876M $2,187M Above midpoint of guidance Gross Margin +14% organic as-reported(1) +3% organic as-reported(1) +14% organic as-adjusted(2) 68.5% +4% organic as-adjusted(2) Adjusted EBITDA Non-GAAP EPS YTD Free Cash Flow $237M $0.70 $389M 27.1% margin A
Slide 6: Q3 2024 Summary
Q3 2024 Summary Highlights / Drivers ● Revenue, ARR and EPS ahead of Third Quarter, As-Adjusted (1) expectations ● Q3 and YTD as-adjusted organic ($M) 2024 2023 YoY revenue growth +4% Revenue $876 $838 +4% organic(2) ● Non-GAAP gross margin and operating margin expansion driven ARR $2,187 $1,920 +14
Slide 7: Architects, Engineers, Construction, Owners (AECO)
Architects, Engineers, Construction, Owners (AECO) Third Quarter Highlights / Drivers ($M) 2024 2023 YoY ● Revenue, ARR, and operating margin were above expectations Revenue $306 $270 +13% organic ● Product innovation is delivering: strong ACV ARR $1,210 $1,022 +18% organic bookings growth continued
Slide 8: Field Systems
Field Systems (1) Third Quarter, As-Adjusted Highlights / Drivers ($M) 2024 2023 YoY ● Organic revenue growth down slightly as expected with strong operating margin Revenue $375 $376 -2% organic(2) performance ARR $328 $274 +19% organic ● ARR growth driven by Positioning Services, Trimble Catalyst p
Slide 9: Trimble and Caterpillar extend long-standing joint venture
Trimble and Caterpillar extend long-standing joint venture Vision: Accelerate innovation and customer adoption of grade control solutions and ecosystem technology For Caterpillar Customers For Trimble Customers ▪ Factory fit grade options ▪ Mixed fleet support from SITECH ▪ CAT Grade 3D Ready options
Slide 10: Transportation & Logistics
Transportation & Logistics Third Quarter Highlights / Drivers ($M) 2024 2023 YoY ● 3% revenue growth (+10% ex Revenue $195 $192 +3% organic Mobility) and operating margin ahead of expectations ARR $649 $624 +5% organic ● Organic ARR growth of 5% (+9% ex Operating Income Mobility) 21.0% 17.5% +350 ba
Slide 11: Trimble Mobility divestiture to Platform Science further simplifies and focuses Trimble
Trimble Mobility divestiture to Platform Science further simplifies and focuses Trimble Enhances Connect & Scale Strengthens Financial Profile Reduces Execution Risk While Strategy and Flexibility Retaining Upside ▪ Retains higher growth, higher ▪ Boosts Trimble organic ARR growth ▪ Brings together tw
Slide 12: Balance Sheet and Cash Flow
Balance Sheet and Cash Flow YTD Cash Flow Balance Sheet Q3’24 ($M) 2024 2023 YoY ($M) Actual Operating Cash Flow $416 $498 -16% Cash and Equivalents $1,037 Total Debt $1,790 Capital Expenditures $27 $32 -15% Net Debt $753 Free Cash Flow $389 $466 -17% TTM Pro Forma Adjusted EBITDA(1) $903 Net Debt /
Slide 13: Full Year 2024 Outlook
Full Year 2024 Outlook As-Reported (1) As-Adjusted (2) FY 2024 Outlook Notes Annualized Recurring +11% to +13% +11% to +13% Revenue (ARR) (Organic) (Organic) • Increasing midpoint of full year guidance for revenue and EPS Revenue YoY $3.625 to $3.665B $3.54 to $3.58B • Strong organic ARR growth expe
Slide 14: Q4 2024 Outlook
Q4 2024 Outlook Q4’24 Annualized Recurring Revenue Q4’24 Outlook Notes +11% to +13% organic (ARR) • Organic revenue growth includes impact Revenue YoY $925 to $965M of 53rd week (≈$85M revenue) in fourth Total Growth -1% to +3% as-reported(1) quarter +11% to +16% as-adjusted(2) • Q4 organic growth e
Slide 15: Appendix & Reconciliations
Appendix & Reconciliations 15
Slide 16: Historical segment financials (As-Reported)
Historical segment financials (As-Reported) Quarter Ended and Fiscal Year Ended, Revenue ($MMs) Q1-22 Q2-22 Q3-22 Q4-22 FY-22 Q1-23 Q2-23 Q3-23 Q4-23 FY-23 Q1-24 Q2-24 Q3-24 AECO $243 $222 $226 $251 $942 $288 $264 $270 $289 $1,111 $339 $300 $306 Field Systems 596 575 520 461 2,151 480 541 495 452 1,9
Slide 17: Historical revenue growth metrics (As-Reported)
Historical revenue growth metrics (As-Reported) Revenue Growth Q1-23 Q2-23 Q3-23 Q4-23 FY-23 Q1-24 Q2-24 Q3-24 AECO: Organic 17% 15% 15% 14% 15% 18% 14% 13% Acquisitions 5% 6% 4% 1% 4% 0% 0% 1% Divestitures 0% -1% -1% -1% -1% -1% -1% -1% Foreign Currency -3% -1% 1% 1% 0% +1% 0% 1% Total 19% 19% 19%
Slide 18: Historical ARR growth metrics
Historical ARR growth metrics (As-Reported) Quarter Ended, ARR ($MMs) Q1-23 Q2-23 Q3-23 Q4-23 Q1-24 Q2-24 Q3-24 AECO $924 $985 $1,022 $1,067 $1,094 $1,164 $1,210 Field Systems 273 283 290 289 304 308 328 Transportation & Logistics 451 614 624 626 631 641 649 Total $1,648 $1,883 $1,935 $1,982 $2,029
Slide 19: Historical segment financials (As-Adjusted)
Historical segment financials (As-Adjusted) Agriculture Business Q1-22 Q2-22 Q3-22 Q4-22 FY-22 Q1-23 Q2-23 Q3-23 Q4-23 FY-23 Q1-24 Q2-24 Q3-24 Agriculture ($MMs) Revenue $172 $151 $134 $122 $579 $146 $134 $119 $110 $508 $85 NA NA Operating Income 54 49 45 43 191 56 42 40 33 171 8 NA NA Operating Marg
Slide 20: Historical revenue growth metrics (As-Adjusted)
Historical revenue growth metrics (As-Adjusted) Revenue Growth Q1-23 Q2-23 Q3-23 Q4-23 FY-23 Q1-24 Q2-24 Q3-24 (As-Adjusted) Field Systems: Organic (as-adjusted) -10% 0% -3% 2% -3% 1% -8% -2% Acquisitions (as-adjusted) 0% 0% 0% 0% 0% 0% 2% 2% Divestitures (as-adjusted) -10% -4% 0% -2% -4% -1% -1% -1
Slide 21: As-Adjusted reconciliation
As-Adjusted reconciliation $ in MMs Q1’22 Q2’22 Q3’22 Q4’22 FY’22 Q1’23 Q2’23 Q3’23 Q4’23 FY’23 Q1’24 Q2’24 Q3’24 Revenue, As-Reported $994 $941 $885 $857 $3,676 $915 $994 $957 $932 $3,799 $953 $871 $876 Less: Agriculture (172) (151) (134) (122) (579) (146) (134) (119) (110) (508) (85) NA NA Revenue