Myers Industries, Inc. · NYSE:MYE
Myers Industries — Q1 2017 Earnings Presentation
16 slides from Myers Industries's earnings presentation, May 8, 2017
Slide 1: First Quarter Earnings Presentation
May 8, 2017 – First Quarter Earnings Presentation MYERS INDUSTRIES, INC. Exhibit 99.2
Slide 2: Safe Harbor Statement
Safe Harbor Statement 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 current indicators and
Slide 3: 2017 Q1 Overview
2017 Q1 Overview Challenges Achievements Weak demand environment continues in key end-markets Anticipated decline in agricultural sales in Material Handling Weakness in auto aftermarket end market in Q1 Lower sales of equipment and retread products continued in Distribution - Managing increases in r
Slide 4: Q1 Financial Summary – GAAP
Q1 Financial Summary – GAAP % Sales 24.4% 25.5% % Sales 29.6% 31.9% % Sales 5.2% 0.7% Operating income increased $6.3M Lower Gross Profit $6.2M Favorable SG&A $3.9M Brazil 2016 impairment charge of $8.5M Net sales declined 6.3%; or 7.2% at constant currency Material Handling down $6M (5.4%) Distribu
Slide 5: Q1 Financial Summary – Adjusted (Non-GAAP)
Q1 Financial Summary – Adjusted (Non-GAAP) % Sales 24.7% 24.1% % Sales 30.4% 31.9% % Sales 5.7% 7.7% Adj. operating income declined $3.6M Lower gross profit $5.1M Favorable SG&A $1.5M Material Handling down 5.4% due to lower agricultural sales offset by 9% growth at Scepter and growth in Brazil Dist
Slide 6: Q1 Segment Results
Q1 Segment Results Material Handling Distribution Adjusted $12.8 $16.0 $1.5 $2.5 GAAP Adjusted GAAP Net sales declined 8.6% Sales down due to soft demand environment and share loss related to 2016 sales force restructuring Lower capital spending on equipment continued Positive supply vs. equipment m
Slide 7: Balance Sheet & Cash Flow
Balance Sheet Balance Sheet & Cash Flow See appendix for reconciliations from GAAP to adjusted results Q1 2017 Q4 2016 Cash 7.3 $ 7.9 $ Debt 179.6 189.5 Net Debt 172.3 $ 181.6 $ LTM Adjusted EBITDA 60.0 $ 63.6 $ Net Debt-to-Adj. EBITDA 2.9x 2.9x In $millions 9% Target 5.0% 4.2% 7.6% 3.8% 9.5% Q1 201
Slide 8: 2017 Outlook and Strategic Update
2017 Outlook and Strategic Update Low single digits % of Net Sales 2016 2017 Growth Outlook Low single digits High single digits Up low single digits Flat Forecasting flat sales in 2017 on a constant currency basis Consumer 12% Vehicle 16% Food & Beverage 13% Auto Aftermarket 30% Industrial 29% Hold
Slide 9: Appendix
Appendix
Slide 10: 2017 Key Assumptions
Net Sales:Flat (ex-currency) Capital expenditures:$10 - $12 million Net interest expense: $8 - $9 million D&A: $32 - $34 million Effective tax rate (normalized):36% 2017 Key Assumptions
Slide 11: Reconciliation of Non-GAAP Measures: Gross Profit
Reconciliation of Non-GAAP Measures MYERS INDUSTRIES, INC. RECONCILIATION OF NON-GAAP FINANCIAL MEASURES CONSOLIDATED GROSS PROFIT (UNAUDITED) (Dollars in thousands) Note on Reconciliation of Income and Earnings Data: Gross profit excluding the items above in the text of this presentation and in thi
Slide 12: Reconciliation of Non-GAAP Measures: SG&A
Reconciliation of Non-GAAP Measures MYERS INDUSTRIES, INC. RECONCILIATION OF NON-GAAP FINANCIAL MEASURES CONSOLIDATED SELLING, GENERAL AND ADMINISTRATIVE EXPENSES (UNAUDITED) (Dollars in thousands) Note on Reconciliation of Income and Earnings Data: Selling, general and administrative expenses exclu
Slide 13: Reconciliation of Non-GAAP Measures: Income Before Taxes by Segment
Reconciliation of Non-GAAP Measures MYERS INDUSTRIES, INC. RECONCILIATION OF NON-GAAP FINANCIAL MEASURES INCOME (LOSS) BEFORE TAXES BY SEGMENT (UNAUDITED) (Dollars in thousands, except per share data) Note on Reconciliation of Income and Earnings Data: Income (loss) excluding the items above in the
Slide 14: Reconciliation of Non-GAAP Measures: EBITDA
Reconciliation of Non-GAAP Measures MYERS INDUSTRIES, INC. RECONCILIATION OF NON-GAAP FINANCIAL MEASURES COMBINED STATEMENTS OF INCOME (UNAUDITED) (Dollars in thousands) Note on Reconciliation of Income and Earnings Data: EBITDA as adjusted is a financial measure that Myers Industries, Inc. calculat
Slide 15: Reconciliation of Free Cash Flow
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) Note on Reconciliation of Cash Flow Data: Free cash flow is a non-GAAP financial measure
Slide 16: Slide 16