Myers Industries, Inc. · NYSE:MYE
Myers Industries — Q2 2019 Earnings Presentation
16 slides from Myers Industries's earnings presentation, Jul 30, 2019
Slide 1: Myers Industries, Inc. Second Quarter 2019 Earnings Presentation
MYERS INDUSTRIES, INC. Second Quarter 2019 Earnings Presentation 21 54 91 142 184 230 56 67 73 Font Color Exhibit 99.2
Slide 2: Safe Harbor Statement & Non-GAAP Measures
Safe Harbor Statement & Non-GAAP Measures Statements in this presentation include “forward-looking” statements within the meaning of the Private Securities Litigation Reform Act of 1995. Any statement that is not of historical fact may be deemed “forward-looking”. Words such as “expect”, “believe”,
Slide 3: 2019 Q2 Overview
2019 Q2 Overview Challenges Achievements Distribution Segment transformation plan on track Sales increased year-over-year for third consecutive quarter Adjusted EBITDA increased 16% High-single-digit sales growth in Food & Beverage end market New business wins with food processing customers during Q
Slide 4: Q2 Financial Summary
Q2 Financial Summary Operating Highlights Net sales down 4.5%, compared to Q2 2018 Material Handling down $7.2M (-7.0%) Distribution up $0.9M (+2.4%) Adj. gross profit margin expanded to 35.0% from 34.3% Favorable price-cost margin offset lower volume and unfavorable sales mix Adj. op income up 6.0%
Slide 5: Q2 Segment Results
Q2 Segment Results Material Handling Financial Highlights Distribution Financial Highlights Results reflect continuing operations. See appendix for non-GAAP reconciliations. Material Handling Segment Highlights Net sales down 7.0% vs. Q2 2018 Consumer end market down double-digits due to softer than
Slide 6: Balance Sheet and Cash Flow
Working Capital as a % of TTM Sales Balance Sheet and Cash Flow Cash Flow ($M) and Cash Flow as % of Sales Total Debt ($M) and Debt to Adj. EBITDA Operating Cash Flow Free Cash Flow (FCF) 4.3% 8.5% 5.9% 9.3% 1.2x Results reflect continuing operations. See appendix for non-GAAP reconciliations. Q2 Hi
Slide 7: 2019 Operating Framework
2018 2019 Operating Framework High-single digits Mid- teens High-single digits Low-single digits Low-to-mid- single digits Expecting decline from unusually high demand in prior year season as well as challenging growing conditions in the current season; anticipating increased sales to food processin
Slide 8: 2019 Guidance
2019 Guidance Net sales growth:~ Down low-to-mid-single digits D&A: ~ $25M Net interest expense:~ $5M Effective tax rate (normalized):~ 27% Diluted share count:~ 36M Diluted EPS:$0.62 - $0.72 Adjusted diluted EPS: $0.75 - $0.85 Capital expenditures: ~ $10M
Slide 9: Appendix
Appendix
Slide 10: Reconciliation of Non-GAAP Financial Measures: Gross Profit, Operating Income and EBITDA
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 Financial Measures: Gross Profit, Operating Income and EBITDA
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 Financial Measures: Income and Earnings Per Diluted Share
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 Free Cash Flow to GAAP Operating Activities
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 Financial Measures: Adjusted EBITDA and Debt
Reconciliation of Non-GAAP Measures MYERS INDUSTRIES, INC. RECONCILIATION OF NON-GAAP FINANCIAL MEASURES ADJUSTED EBITDA AND DEBT (UNAUDITED) (Dollars in thousands)
Slide 15: Reconciliation of Non-GAAP Financial Measures: Working Capital
Reconciliation of Non-GAAP Measures MYERS INDUSTRIES, INC. RECONCILIATION OF NON-GAAP FINANCIAL MEASURES WORKING CAPITAL (UNAUDITED) (Dollars in thousands)
Slide 16: Slide 16