Exco Technologies Limited · TSX:XTC
Exco Technologies — Q3 2022 Earnings Presentation
16 slides from Exco Technologies's earnings presentation, Jul 29, 2022
Slide 1: Q3 F2022 Earnings Call
Q3 F2022 Earnings Call July 29, 2022
Slide 2: Cautionary Statement
Cautionary Statement This presentation contains forward-looking information and forward-looking statements within the meaning of applicable securities laws. We use words such as "anticipate", "may", "will", "should", "expect", "believe", "estimate", “5-year target” and similar expressions to identif
Slide 3: Operations Review
Darren Kirk Chief Executive Officer Operations Review
Slide 4: Q3 F2022 Operations Overview – Market Conditions
Q3 F2022 Operations Overview Key Highlights in the Quarter – Market Conditions/ Overview • Overall industry vehicle production up 12% in N.A and down 5% in Europe vs prior year quarter • Production constrained by chip shortage and general supply chain issues • Shortage has been easing and is expecte
Slide 5: Operations Overview – Automotive Solutions
Q3 F2022 Operations Overview Key Highlights in the Quarter – Automotive Solutions • Overall industry vehicle production up 12% in N.A and down 5% in Europe vs prior year quarter • Production remains constrained by chip shortage and general supply chain issues • Overall production in NA tracked sligh
Slide 6: Operations Overview – Casting and Extrusion
Q3 F2022 Operations Overview Key Highlights in the Quarter – Casting and Extrusion • Segment revenues were up C$10.8M/ 20% year over year including Halex (added C$9.0M of revenue) • Higher legacy Extrusion revenue offset by slight reduction at Large Mould and stable results at Castool • Decreases at
Slide 7: Financial Review
Matthew Posno Chief Financial Officer Financial Review
Slide 8: Q3 F2022 Financial Overview
Q3 F2022 Financial Overview Consolidated Results Versus Prior Year Period • Revenue of $129.3M; up $14.3M or 12% compared to $115.0M last year • FX movements increased revenue by $2.5M, therefore FX adjusted revenue was up by 10% year over year • Halex acquisition added $9.0M of revenue • Revenue wa
Slide 9: Financial Overview – Consolidated Results Versus Prior Year
Q3 F2022 Financial Overview Consolidated Results Versus Prior Year Period • Casting and Extrusion segment revenues up 20% and EBITDA down 15% (Margin fell to 15% from 21%) • Automotive Solutions segment revenues up 6% and EBITDA down 4% (Margin fell to 10% from 11%) • EPS of $0.14 versus $0.22, reco
Slide 10: Consolidated Revenue Reconciliation
Q3 F2022 Financial Overview Consolidated Revenue Reconciliation C$ Millions 11 129 115 4 Q3 F21 Automotive Solutions Casting & Extrusion Q3 F22 EXCO TECHNOLOGIES LIMITED | 10
Slide 11: Consolidated Pre-tax Profit Reconciliation
Q3 F2022 Financial Overview Consolidated Pre-tax Profit reconciliation (Before Interest and Other Expense) C$ Millions 10.0 (0.3) (3.0) 1.3 8.1 Q3 F21 Automotive Solutions Casting & Extrusion Corporate Q3 F22 EXCO TECHNOLOGIES LIMITED | 11
Slide 12: Automotive Solutions Segment
Automotive Solutions Segment Segment profitability down on inflationary pressures and sales mix C$ Millions C$ Millions Revenue Segment EBITDA Margin Segment EBITDA 80 12% (11%) 7 (4%) 6% 10% 6 60 5 8% 4 40 6% 3 4% 20 2 2% 1 0 0% 0 Q3 F21 Q3 F22 Q3 F21 Q3 F22 Q3 F21 Q3 F22 EXCO TECHNOLOGIES LIMITED
Slide 13: Casting & Extrusion Segment
Casting & Extrusion Segment Segment EBITDA declined due to mix and constrained automotive production volumes C$ Millions C$ Millions Revenue Segment EBITDA Margin Segment EBITDA 25% 70 (6%) 12 (15%) 20% 60 20% 10 50 15% 8 40 6 30 10% 4 20 5% 2 10 0 0% 0 Q3 F21 Q3 F22 Q3 F21 Q3 F22 Q3 F21 Q3 F22 EXCO
Slide 14: Financial Leverage & Liquidity
Financial Leverage & Liquidity Net Debt to LTM Q3F22 EBITDA of 1.25x C$65M Net Debt 40 • LTM Q3 F22 EBITDA of C$52M 20 • Balance sheet cash of $27M 27 0 • C$125M committed revolver matures February 2025 C$ Millions -20 Bank Indebtedness/ Other -40 80 Revolver Borrowings -60 Cash -80 12 -100 EXCO TEC
Slide 15: Questions
Questions EXCO TECHNOLOGIES LIMITED | 15
Slide 16: Powering the EV
POWERING THE EV i aa Omri AA ic ecion