Slide 1: 1st Quarter 2023 Earnings Release Supplemental Information
st 1 Quarter 2023 Earnings Release Supplemental Information April 27, 2023
Slide 2: Safe Harbor: Forward Looking Statements
Safe Harbor Forward Looking Statements This presentation contains forward-looking statements within the meaning of the safe harbor provisions of the United States Private Securities Litigation Reform Act of 1995, such as statements about our future plans, objectives, expectations, financial performa
Slide 3: Solid Q1 performance, in line with expectations
Q1 2023 Year-over-Year Solid Q1 performance, in line with expectations • Revenue down YoY primarily due to weak consumer REVENUE Non-GAAP ADJUSTED EBIT Non-GAAP DILUTED electronic demand and ($M) GROSS PROFIT MARGIN* MARGIN* EPS* excess customer and (%) (%) ($) channel inventory 0.35 201.4 41.6 19.6
Slide 4: Q1 2023 Segment Performance: Precision Devices
Q1 2023 Segment Performance Precision Devices REVENUE Non-GAAP • Electric Vehicle, MedTech, GROSS PROFIT MARGIN* and Defense markets up ($M) (%) versus the prior year 55.7 53.7 46.9 • Industrial market down year- 45.6 over-year due to excess inventory in the channel • Gross Profit Margin expansion d
Slide 5: Q1 2023 Segment Performance: MedTech & Specialty Audio
Q1 2023 Segment Performance MedTech & Specialty Audio REVENUE Non-GAAP • Revenue better than GROSS PROFIT MARGIN* expected as inventory ($M) (%) cleared faster than anticipated 50.3 59.5 43.5 • Revenue down versus prior year due to excess customer 45.5 and channel inventory • Gross margin declined y
Slide 6: Q1 2023 Segment Performance: Consumer MEMS Microphones
Q1 2023 Segment Performance Consumer MEMS Microphones REVENUE Non-GAAP GROSS PROFIT MARGIN* ($M) (%) • Revenue declined YoY due to excess customer and 86.2 33.4 channel inventory and weak demand across all consumer electronic end markets 21.7 • Gross margin declined year- 45.1 over-year on lower fac
Slide 7: Outlook: Q2 2023 Guidance
Outlook Q2 2023 Guidance GAAP ADJUSTMENTS NON-GAAP Revenue $165.0 to $180.0 million — $165.0 to $180.0 million Gross Profit Margin 38.7% to 40.7% 0.30 % 39.0% to 41.0% Diluted EPS $0.11 to $0.15 $0.09 $0.20 to $0.24 Q2 2023 GAAP results are expected to include approximately $0.06 per share in stock-
Slide 8: Appendix
« knowles Appendix
Slide 9: Reconciliation of GAAP Financial Measures to Non-GAAP Financial Measures
Reconciliation of GAAP Financial Measures to Non-GAAP Financial Measures Quarter Ended March 31, (in millions, except per share amounts) 2023 2022 Revenues $ 144.3 $ 201.4 Notes: Gross profit $ 53.8 $ 83.3 Gross profit margin 37.3 % 41.4 % (1) Other expenses represent the ongoing net lease cost rela
Slide 10: Reconciliation of GAAP Financial Measures to Non-GAAP Financial Measures
Reconciliation of GAAP Financial Measures to Non-GAAP Financial Measures Quarter Ended March 31, (in millions, except per share amounts) 2023 2022 Notes: Net (loss) earnings $ (5.2) $ 18.1 (2) The non-GAAP reconciling adjustments are those adjustments made to Interest expense, net 0.8 0.8 reconcile
Slide 11: Historical Segment Data
Historical Segment Data Precision Devices MedTech & Specialty Audio Consumer MEMS Microphones Quarter Ended Quarter Ended Quarter Ended March 31, December 31, September 30, June 30, March 31, March 31, December 31, September 30, June 30, March 31, March 31, December 31, September 30, June 30, March
Slide 12: Historical Segment Data
Historical Segment Data Precision Devices MedTech & Specialty Audio Consumer MEMS Microphones Quarter Ended Quarter Ended Quarter Ended March 31, December 31, September 30, June 30, March 31, March 31, December 31, September 30, June 30, March 31, March 31, December 31, September 30, June 30, March
Slide 13: Reconciliation of Segment EBIT to Consolidated Net Earnings
Reconciliation of Segment EBIT to Consolidated Net Earnings Quarter Ended March 31, December 31, September 30, June 30, March 31, (in millions) 2023 2022 2022 2022 2022 (Loss) earnings before interest and income taxes Precision Devices $ 10.7 $ 16.6 $ 16.2 $ 11.0 $ 12.3 MedTech & Specialty Audio 11.
Slide 14: Reconciliation of Net Debt
Reconciliation of Net Debt March 31, 2023 (in millions) Current maturities of long-term debt $ — Long-term debt 45.0 Total debt 45.0 Less: Cash and cash equivalents (52.0) Net debt (cash) $ (7.0) 14