Enviri Corporation · NYSE:NVRI
Enviri — Harsco — Q1 2022 Earnings Presentation
26 slides from Enviri's earnings presentation, May 3, 2022
Slide 1: Q1 2022 Quarterly Results and Outlook
Q1 2022 Quarterly Results and Outlook Conference Call May 3, 2022
Slide 2: Administrative Items
ADMINISTRATIVE ITEMS Conference Call and Access to Information More information on Harsco's quarterly earnings, including the Company’s earnings press release issued today and this presentation, is available on the Investor Relations portion of Harsco’s website. Company management will discuss the C
Slide 3: CEO Perspective
CEO PERSPECTIVE – First quarter results in-line with guidance; Continued strong execution at Environmental while Clean Earth was impacted by incremental cost inflation and ongoing labor and supply chain challenges – 2022 Adjusted EBITDA guidance narrowed; mid-point lowered due to Clean Earth – Clean
Slide 4: Progress on Enterprise GHG Goal
PROGRESS ON ENTERPRISE GHG GOAL 1 200 – Harsco’s carbon intensity has declined 13.5% since 2019 GHG Intensity (CO2e / $M revenue) 13.5% – Harsco-enterprise carbon reduction 180 goal is to reduce the Company's carbon intensity 15% by 2025 2025 TARGET 160 – The Company continues to pursue energy effic
Slide 5: Q1 2022 Financial Summary
Q1 2022 FINANCIAL SUMMARY KEY PERFORMANCE INDICATORS $ in millions except EPS; Continuing Q1 2022 Q1 2021 Change – Revenues up 1%: HE +2%; CE +1% Operations Revenues, as reported 453 447 1% – Q1 2022 Adjusted EBITDA in-line with guidance Operating Income - GAAP 8 19 (59)% – Environmental performance
Slide 6: Q1 2022 Environmental
Q1 2022 ENVIRONMENTAL 1 SUMMARY RESULTS ADJUSTED EBITDA BRIDGE $ in millions $ in millions 60 Q1 Q1 53.7 % 2022 2021 50 48.2 (2.1) (1.7) Revenues, as reported 262 258 2% (1.7) 40 Operating Income – Q1 2021 LST/Services Eco- SG&A, FX & Other Q1 2022 18 26 (30)% GAAP Products 1 Adjusted EBITDA 48 54 (
Slide 7: Q1 2022 Clean Earth
Q1 2022 CLEAN EARTH 1 SUMMARY RESULTS ADJUSTED EBITDA BRIDGE $ in millions $ in millions 30 Q1 Q1 2022 2021 % 20 14.6 0.3 10.2 Revenues, as reported 191 189 1% 10 (3.8) (0.9) 0 Operating Income – (1) 3 nmf Q1 2021 Hazardous Soil-Dredge SG&A / Q1 2022 GAAP Waste Materials Other 1 Adjusted EBITDA 10 1
Slide 8: Rail - Discontinued Operations
RAIL - DISCONTINUED OPERATIONS • Q1 GAAP Operating Loss of $36 million • Q1 included $35 million charge for estimated future costs to complete three European fixed-price contracts – Driven by penalties due to supply-chain challenges and production delays • Divestiture process on track; expect to com
Slide 9: 2022 Outlook - Consolidated
2022 OUTLOOK - CONSOLIDATED3 2022 Outlook Prior 2022 Outlook 2021 Actuals GAAP OPERATING INCOME $81 - 96M $85 - 105M $88M ADJUSTED EBITDA 1 $250 - 265M $255 - 275M $252M GAAP DILUTED EARNINGS PER SHARE $0.02 - $0.10 $0.15 - $0.32 $0.28 ADJUSTED DILUTED EARNINGS PER SHARE 1 $0.35 - $0.44 $0.50 - $0.6
Slide 10: Q2 2022 Outlook
Q2 2022 OUTLOOK2 YEAR-OVER-YEAR CONSIDERATIONS INCLUDE: 1 Adjusted EBITDA is expected to be between $ $ 59M - 64M Adjusted EBITDA modestly lower due to business mix and FX Adjusted diluted earnings per share is 1 translation expected to be between $ $ 0.07 - 0.11 Adjusted EBITDA modestly lower Corpo
Slide 11: Harsco
HARSCO © 2022 Harsco Corporation. All Rights Reserved. This document and the information set forth herein are the property of Harsco Corporation. 11
Slide 12: Appendix
Appendix HARSCO © 2022 Harsco Corporation. All Rights Reserved. This document and the information set forth herein are the property of Harsco Corporation. 12
Slide 13: Non-GAAP Measures
NON-GAAP MEASURES Measurements of financial performance not calculated in accordance with GAAP should be considered as supplements to, and not substitutes for, performance measurements calculated or derived in accordance with GAAP. Any such measures are not necessarily comparable to other similarly-
Slide 14: 2022 Segment Outlook
2022 SEGMENT OUTLOOK Excluding unusual items 2022 VERSUS 2021 REVENUES ▲ Low single-digit YoY growth, excluding FX translation impacts 1 ADJUSTED EBITDA ▲ Margins stable YoY + Services and ecoproduct demand growth, new contracts / sites TM - DRIVERS Exited contracts / sites, FX translation REVENUES
Slide 15: Reconciliation of Non-GAAP Measures
RECONCILIATION OF NON-GAAP MEASURES HARSCO CORPORATION RECONCILIATION OF ADJUSTED DILUTED EARNINGS PER SHARE TO DILUTED EARNINGS (LOSS) PER SHARE FROM CONTINUING OPERATIONS AS REPORTED (Unaudited) Three Months Ended March 31 2022 2021 Diluted earnings (loss) per share from continuing operations as r
Slide 16: Reconciliation of Non-GAAP Measures
RECONCILIATION OF NON-GAAP MEASURES HARSCO CORPORATION RECONCILIATION OF ADJUSTED DILUTED EARNINGS PER SHARE FROM CONTINUING OPERATIONS TO DILUTED LOSS PER SHARE FROM CONTINUING OPERATIONS AS REPORTED (Unaudited) Twelve Months Ended December 31 2021 Diluted earnings per share from continuing operati
Slide 17: Reconciliation of Non-GAAP Measures
RECONCILIATION OF NON-GAAP MEASURES HARSCO CORPORATION RECONCILIATION OF PROJECTED ADJUSTED DILUTED EARNINGS (LOSS) PER SHARE TO DILUTED EARNINGS PER SHARE FROM CONTINUING OPERATIONS (a) (Unaudited) Projected Projected Three Months Ending Twelve Months Ending June 30 December 31 2022 2022 Low High L
Slide 18: Reconciliation of Non-GAAP Measures
RECONCILIATION OF NON-GAAP MEASURES HARSCO CORPORATION RECONCILIATION OF ADJUSTED EBITDA BY SEGMENT TO OPERATING INCOME (LOSS) AS REPORTED BY SEGMENT (Unaudited) Harsco Harsco Consolidated (In thousands) Environmental Clean Earth Corporate Totals Three Months Ended March 31, 2022: Operating income (
Slide 19: Reconciliation of Non-GAAP Measures
RECONCILIATION OF NON-GAAP MEASURES HARSCO CORPORATION RECONCILIATION OF ADJUSTED EBITDA BY SEGMENT TO OPERATING INCOME (LOSS) AS REPORTED BY SEGMENT (Unaudited) Harsco Harsco Consolidated (In thousands) Environmental Clean Earth (a) Corporate Totals Three Months Ended March 31, 2021: Operating inco
Slide 20: Reconciliation of Non-GAAP Measures
RECONCILIATION OF NON-GAAP MEASURES HARSCO CORPORATION RECONCILIATION OF CONSOLIDATED ADJUSTED EBITDA TO CONSOLIDATED INCOME (LOSS) FROM CONTINUING OPERATIONS AS REPORTED (Unaudited) Three Months Ended March 31 (In thousands) 2022 2021 Consolidated income (loss) from continuing operations $ (6,174)
Slide 21: Reconciliation of Non-GAAP Measures
RECONCILIATION OF NON-GAAP MEASURES HARSCO CORPORATION RECONCILIATION OF ADJUSTED EBITDA TO CONSOLIDATED LOSS FROM CONTINUING OPERATIONS AS REPORTED (Unaudited) Twelve Months Ended December 31 (In thousands) 2021 Consolidated loss from continuing operations $ 28,115 Add back (deduct): Equity in inco
Slide 22: Reconciliation of Non-GAAP Measures
RECONCILIATION OF NON-GAAP MEASURES HARSCO CORPORATION RECONCILIATION OF PROJECTED CONSOLIDATED ADJUSTED EBITDA TO PROJECTED CONSOLIDATED INCOME FROM CONTINUING OPERATIONS (a) (Unaudited) Projected Projected Three Months Ending Twelve Months Ending June 30 December 31 2022 2022 (In millions) Low Hig
Slide 23: Reconciliation of Non-GAAP Measures
RECONCILIATION OF NON-GAAP MEASURES HARSCO CORPORATION RECONCILIATION OF FREE CASH FLOW TO NET CASH PROVIDED BY OPERATING ACTIVITIES (Unaudited) Three Months Ended March 31 (In thousands) 2022 2021 Net cash used by operating activities $ (34,315) $ (23,173) Less capital expenditures (32,958) (27,382
Slide 24: Reconciliation of Non-GAAP Measures
RECONCILIATION OF NON-GAAP MEASURES HARSCO CORPORATION RECONCILIATION OF FREE CASH FLOW TO NET CASH PROVIDED BY OPERATING ACTIVITIES (Unaudited) Twelve Months Ended December 31 (In thousands) 2021 Net cash provided by operating activities $ 72.197 Less capital expenditures (158.326) Less expenditure
Slide 25: Reconciliation of Non-GAAP Measures
RECONCILIATION OF NON-GAAP MEASURES HARSCO CORPORATION RECONCILIATION OF PROJECTED FREE CASH FLOW TO PROJECTED NET CASH PROVIDED BY OPERATING ACTIVITIES (Unaudited) (a) Projected Twelve Months Ending December 31 2022 (In millions) Low High Net cash provided by operating activities $ 150 $ 170 Less n
Slide 26: Harsco
HARSCO © 2022 Harsco Corporation. This document and its contents remain the property of Harsco Corporation. Any disclosure or copying of this document and its contents without the prior written approval of Harsco Corporation is prohibited. All Rights Reserved.