Cooper-standard Holdings Inc. · NYSE:CPS
Cooper-standard — Q2 2011 Earnings Presentation
21 slides from Cooper-standard's earnings presentation, Aug 16, 2011
Slide 1: Cooper Standard 2Q 2011 Earnings Call
Cooper Standard 2Q 2011 Second Quarter 2011 Earnings Call August 16 16, 2011
Slide 2: Introduction & Agenda
Introduction & Agenda g • Introduction: Glenn Dong, g, Treasurer • Executive Overview: Jim McElya, CEO • B i Business Hi Highlights: hli h K ihS Keith Stephenson, h COO • Financial Review & Updated Guidance: Allen Campbell, CFO • Questions & Answers cooperstandard 2
Slide 3: Safe Harbor
Safe Harbor In addition to historical information, certain statements contained herein are forward-looking statements within the meaning of federal securities laws, and Cooper Standard Automotive (Cooper Standard) intends that such forward- lookingg statements be subjectj to the safe-harbor created
Slide 4: Safe Harbor
Safe Harbor This presentation includes forward-looking statements, reflecting current analysis and expectations, based on what are believed to be reasonable assumptions. Forward-looking statements may involve known and unknown risks, uncertainties and other factors, which may cause actual results to
Slide 5: Executive Overview 2Q 2011
Executive Overview 2Q 2011 Jim McElya Chairman & CEO
Slide 6: Executive Overview: Second Quarter 2011 Review
Executive Overview: Second Quarter 2011 Review • Continued revenue and earnings growth: – 2Q sales growth of 21%, up across all regions – 2Q adjusted j EBITDA marging of 11.9% • Resulting from: – Contributions from strategic acquisitions – Business wins on global platforms – Leveraging footprint in
Slide 7: Executive Overview: Second Quarter 2011 Review
Executive Overview: Second Quarter 2011 Review • Strategic g p progress: g – French JV on track to deliver $150 million in incremental sales » Added AVS and hose capabilities in Europe » Expanded footprint in India – Strengthening St th i global l b l coverage » Acquired 20% share in Nishikawa Thail
Slide 8: Executive Overview: Industry Trends
Executive Overview: Industry y Trends • Increased M&A activity – Ongoing consolidation of supply base • Raw material concerns – Escalating costs – Availability challenges • Demand for new technology – Fuel economy and emission standards driving innovation • Impact p of Japan p p production slowdown
Slide 9: Business Highlights 2Q 2011
Business Highlights 2Q 2011 Keith Stephenson Chief Operating Officer
Slide 10: Business Highlights Second Quarter
Business Highlights g g Second Quarter • Sales improvement due to recovering volumes and mix • French joint venture expanding business with European customers • Continued C ti d global l b l ffootprint t i t evolution l ti g yg • Strategically growing g Fluid business cooperstandard 10
Slide 11: Footprint Evolution
Recent Footprint Expansion: • Craiova, Romania • Czestochowa, Poland Footprint p Evolution • Mumbai, India • Nakhonratchasima, Thailand • Sao Paulo, Brazil Americas Europe Asia Pacific cooperstandard 11
Slide 12: Strategic Growth and Expansion of Fluid Business
Strategic Growth and Expansion of Fluid Business • Benefitting from strategic focus on expanding thermal management and emissions products » Supplying exhaust gas recirculation (EGR) modules to Audi » Launched brushless water pumps to Renault, Renault Nissan and PSA » Won wastegate actuator business
Slide 13: Vehicle Launches 2nd Quarter 2011
Vehicle Launches 2nd Quarter 2011 – Audi – W36 Platform Emissions – Fisker - Karma Thermal Management Audi Fisker Karma – GM - Meriva Sealing – Peugeot 508 Sealing Peugeot 508 – Porsche – 911 Coupe, 911 C Convertible, ibl Boxster B Land Rover Evoque Sealing, Fluid Handling – Land Rover - Range Rover
Slide 14: Financial Overview 2Q 2011
Financial Overview 2Q 2011 Allen Campbell Chief Financial Officer
Slide 15: 2Q and Year-to-Date 2011 Performance
2Q and Year-to-Date 2011 Performance $ Millions Q2 2010 Q2 2011 YTD 2010 YTD 2011 $628.4 $760.5 Net Sales $1,224.8 $1,449.2 $106 2 $106.2 $ 123 123.7 7 Gross Profit $ 210 210.7 7 $ 244 244.5 5 $ 62.1 $ 65.6 SGA $ 115.2 $ 126.5 $ 36.6 $ 17.2 Operating Profit $ 87.6 $ 68.6 $281.2 $ 19.0 Net Income $ 2
Slide 16: EBITDA and Adjusted EBITDA Reconciliation
EBITDA and Adjusted j EBITDA Reconciliation 6 Months Ended June 30th $ USD Millions 2010 2011 Net Income $284.6 $ 64.0 Provision for income tax expense 40.9 18.8 Net interest expense 48.0 20.6 Depreciation p and amortization 44.5 60.3 EBITDA $418.0 $ 163.7 Reorganization / Fresh Start (303.4) -- v R
Slide 17: Cash Flow 2Q 2011
Cash Flow 2Q 2011 ($ in Millions) Q2 - 2011 YTD - 2011 Cash from business $ 36.8 $ 103.1 Pension funding (2 9) (2.9) (28 5) (28.5) Changes in operating assets & liabilities 14.2 (48.1) Cash from operations $ 48.1 $ 26.5 Capital expenditures (29.3) (29 3) (45.5) (45 5) Cash from operations less CAPEX
Slide 18: Revised Guidance
Revised Guidance* • Sales: S l $2 $2.8 8 billi billion - $2.9 $2 9 billi billion • Capital expenditures: $105 million - $115 million • Cash restructuring: $50 million - $60 million • Cash taxes: $25 million - $30 million * Forecast is based on Cooper Standard North American production of 13.1 millio
Slide 19: Non-GAAP Financial Measures
Non-GAAP Financial Measures EBITDA and adjusted EBITDA are measures not recognized under Generally Accepted Accounting Principles (GAAP) which exclude certain non non-cash cash and non non- recurring items. When analyzing the company’s operating performance, investors should use EBITDA and adjusted
Slide 20: Questions & Answers
Questions & Answers G CooperStandard
Slide 21: 2Q 2011 Summary
2Q 2011 Summary y • Continued execution on our business plan • Investments filling strategic needs and complementing l ti organic i growth th • Effectivelyy managing g g impact p of raw material increases • Further evolving organization to support global customers cooperstandard 21
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