Harvard Bioscience, Inc. · NASDAQ:HBIO

Harvard Bioscience — Q2 2022 Earnings Presentation

21 slides from Harvard Bioscience's earnings presentation, Aug 4, 2022

  1. Slide 1: Q2'22 Earnings Presentation

    NASDAQ: HBIO Q2’22 Earnings Presentation Jim Green, Chairman, President & CEO Mike Rossi, CFO August 4, 2022

  2. Slide 2: Forward-Looking Statements and Non-GAAP Financial Information

    Forward-Looking Statements and Non-GAAP Financial Information Forward-Looking Statements Information in this presentation or in oral statements of the management of the Company may include forward-looking statements within the meaning of the federal securities laws, including the Private Securities

  3. Slide 3: Table of Contents

    Table of Contents  Summary  Q2 Performance  Customer/Product Family Update  Financial Update  2022 Outlook 3

  4. Slide 4: Q2'22 Summary

    Q2’22 Summary  Revenue flat @ $29M with Cellular & Molecular (CMT) up 17%, Pre-Clinical down 9% o CMT transition to higher margin direct sales is driving growth, with a continued rotation out of low margin products sold mostly through distributors o Pre-Clinical revenue had a tough comparable to a

  5. Slide 5: Q2'22 Performance versus Q2'21

    Q2’22 Performance versus Q2’21 Revenue ($M)  Revenue $29.2M, Flat  Gross Margin (GAAP) 57.0%, up 100 bps 29.2 29.2  Operating Income / Margin (GAAP) 4.0 / 13.7%  Adj. Operating Income / Margin* $3.1M / 10.5%  Income/(Loss) Per Diluted Share (GAAP) $0.06 up from ($0.01) Q2'22 Q2'21  Adjusted Di

  6. Slide 6: 2022 Q2 Revenue by Product Family

    2022 Q2 Revenue by Product Family Highly Confidential (in $M) Q2 Q2 Comments 2022 2021 Vs. Q2’21 Cellular & 16.0 13.6 17% Revenue up on 17% on increasing direct sales performance Molecular o Cellular & Molecular direct sales continue to improve in US and EMEA o As expected, we continue to reduce low

  7. Slide 7: Financial Section

    (HY Harvard Bioscience Financial Section

  8. Slide 8: 2022 Q2 Non-GAAP Results Year-over-Year

    2022 Q2 Non-GAAP Results Year-over-Year (in M, except EPS) Q2’22 Q2’21  Adj. Gross Margin: pricing drives 100 bps improvement. COGS: Revenue 29.2 29.2 flat to PY, cost increases started in April 2021. Adj. Gross Profit 16.8 16.5 Adj. Gross Margin % 57.5% 56.5%  Adj. Operating Expense: increased R&

  9. Slide 9: 2022 Outlook

    (HY Harvard Bioscience 2022 Outlook

  10. Slide 10: 2022 Outlook: Q2 Earnings Call

    Highly Confidential 2022 Outlook: Q2 Earnings Call A more conservative view due to heavy currency headwinds and continued volatility  Reported Revenue: expect 1% to 5% growth for the year with volatility in Q3 o Strength in North America, EMEA is slow, periodic impacts of China (Covid related) shut

  11. Slide 11: Appendix

    Appendix: • Revenue by Product Family • GAAP Financials • GAAP to Non-GAAP Reconciliations 11

  12. Slide 12: Revenue By Product Family: As Reported

    Revenue By Product Family: As Reported (in $M) Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Q4 FY Q1 Q2 20 20 20 20 20 21 21 21 21 21 22 22 Cellular & 12.4 10.9 11.6 13.9 48.7 13.6 13.5 13.7 14.6 55.5 14.2 15.3 Molecular Product Lines Pre-Clinical 11.4 12.4 12.4 17.1 53.4 13.3 15.7 15.9 18.4 63.4 14.6 13.9 Product Lines

  13. Slide 13: Revenue By Product Family: Constant Currency

    Revenue By Product Family: Constant Currency (in $M) Q1 Q2 Q3 Q4 FY Q1 Q2 Q3 Q4 FY Q1 Q2 20 20 20 20 20 21 21 21 21 21 22 22 * * Cellular & 12.4 10.9 11.6 13.9 48.7 13.6 13.5 13.7 14.6 55.5 14.5 16.0 Molecular Product Lines Pre-Clinical 11.4 12.4 12.4 17.1 53.4 13.3 15.7 15.9 18.4 63.4 14.7 14.1 Pro

  14. Slide 14: GAAP Income Statements

    GAAP Income Statements (in $ M, except EPS) Q2’22 Q2’21 Q2’22 Q2’21 QTD QTD YTD YTD Revenue 29.2 29.2 58.0 56.2 Gross Profit 16.6 16.4 32.8 31.8 Gross Margin % 57.0% 56.0% 56.6% 56.6% Operating Expenses 12.6 16.3 35.5 32.0 % of revenue 43.3% 55.8% 61.3% 56.9% Operating Income / (Loss) 4.0 0.1 (2.7)

  15. Slide 15: Balance Sheets

    Balance Sheets (in $ M) Q2’22 Q4’21 Assets Cash & Cash Equivalents 4.3 7.8 Accounts Receivable 17.8 21.8 Inventories 29.3 27.6 Other Current Assets 5.1 4.3 Total Current Assets 56.5 61.6 Property, Plant, Equipment 3.4 3.4 Goodwill & Other Intangibles 80.5 85.1 Other Assets 14.9 12.3 Total Assets 155

  16. Slide 16: Cash Flow Statements: Six Months Ended

    Cash Flow Statements: Six Months Ended (in $ M) 2022 2021 Net Cash (Used in) Provided by Operating Activities (2.2) 1.8 Additions to PP&E (0.9) (0.4) Other Investing Activities - (0.2) Net Cash Used in Investing Activities (0.9) (0.5) Net Debt Activity - (5.0) Other Financing Activities (0.5) 1.7 Ne

  17. Slide 17: GAAP to Non-GAAP Reconciliation: Three Months Ended June 30, 2022

    GAAP to Non-GAAP Reconciliation: Three Months Ended June 30, 2022 Exhibit 4 HARVARD BIOSCIENCE, INC. Reconciliation of GAAP to Non-GAAP Financial Measures (unaudited) Three Months Ended June 30, 2022 (in thousands, except per share data) Settlement, Stock-Based Acquired Assets Restructuring, Income

  18. Slide 18: GAAP to Non-GAAP Reconciliation: Three Months Ended June 30, 2021

    GAAP to Non-GAAP Reconciliation: Three Months Ended June 30, 2021 Exhibit 4.1 HARVARD BIOSCIENCE, INC. Reconciliation of GAAP to Non-GAAP Financial Measures (unaudited) Three Months Ended June 30, 2021 (in thousands, except per share data) Stock-Based Acquired Assets Restructuring, Income Statement

  19. Slide 19: GAAP to Non-GAAP Reconciliation: Six Months Ended June 30, 2022

    GAAP to Non-GAAP Reconciliation: Six Months Ended June 30, 2022 Exhibit 4.2 HARVARD BIOSCIENCE, INC. Reconciliation of GAAP to Non-GAAP Financial Measures (unaudited) Six Months Ended June 30, 2022 (in thousands, except per share data) Settlement, Stock-Based Acquired Assets Restructuring, Income St

  20. Slide 20: GAAP to Non-GAAP Reconciliation: Six Months Ended June 30, 2021

    GAAP to Non-GAAP Reconciliation: Six Months Ended June 30, 2021 Exhibit 4.3 HARVARD BIOSCIENCE, INC. Reconciliation of GAAP to Non-GAAP Financial Measures (unaudited) Six Months Ended June 30, 2021 (in thousands, except per share data) Stock-Based Acquired Assets Restructuring, Income Statement of O

  21. Slide 21: GAAP to Non-GAAP Reconciliation: Adjusted EBITDA

    GAAP to Non-GAAP Reconciliation: Adjusted EBITDA Exhibit 5 HARVARD BIOSCIENCE, INC. Reconciliation of GAAP to Non-GAAP Financial Measures (unaudited) (in thousands) Three Months Ended Six Months Ended June 30, 2022 June 30, 2021 June 30, 2022 June 30, 2021 Operating income $ 3,998 $ 58 $ (2,714) $ (

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