Harvard Bioscience, Inc. · NASDAQ:HBIO
Harvard Bioscience — Q4 2021 Earnings Presentation
21 slides from Harvard Bioscience's earnings presentation, Mar 8, 2022
Slide 1: Q4'21 Earnings Presentation
NASDAQ: HBIO Q4’21 Earnings Presentation Jim Green, Chairman, President & CEO Mike Rossi, CFO March 8, 2022
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
Slide 3: Table of Contents
Table of Contents ▪ Summary ▪ Q4 Performance ▪ Customer/Product Family Update ▪ Business Update ▪ Financial Update ▪ 2022 Outlook 3
Slide 4: Q4'21 Summary
Q4’21 Summary ▪ Revenue up 7% over strong Q4’20 and up 7% over pre-Covid (Q4’19) ▪ Global supply chain continues to delay shipments, backlog up versus pre-Covid levels ▪ Pre-Clinical revenue up 6% over record Q4’20 ▪ CMT revenue up 9%, in spite of headwinds in Europe ▪ Adj. Operating Margin was 16%:
Slide 5: Q4'21 Performance versus Q4'20
Q4’21 Performance versus Q4’20 Revenue ($M) ▪ Revenue $33.1M, up 7% 33.1 31.0 31.0 ▪ Gross Margin (GAAP) 59.2%, up 200 bps ▪ Operating Income / Margin (GAAP) $1.7M / 5.1% ▪ Adj. Operating Income / Margin* $5.3M / 16.0% ▪ Earnings (Loss) Per Diluted Share (GAAP) $0.02, up from ($0.02) Q4'21 Q4'20 Q4'
Slide 6: Q4'21 Revenue by Product Family
Q4’21 Revenue by Product Family (in $M) Q4 Q4 Q4 Comments 2021 2020 2019 Vs. Vs. Q4’20 Q4’19 Cellular & 18.4 16.9 19.4 9% -5% Improving as Academic patterns normalizing post-Covid as anticipated Molecular Product Direct sales in Europe impacted by academic lab closures from Omicron Lines Backlog up
Slide 7: Q4'21 Business Update
Q4’21 Business Update Operations o Productivity stabilized after ’21 external supply chain and labor impacts o COO retirement announced in January, moving to flatter organization structure with focused leadership in R&D and in global manufacturing operations and supply chain Product Line Management
Slide 8: Financial Section
(HY Harvard Bioscience Financial Section
Slide 9: 2021 Q4 Non-GAAP Results Year-over-Year
2021 Q4 Non-GAAP Results Year-over-Year (in M, except EPS) Q4’21 Q4’20 ▪ Adj. Gross Margin: product mix improvement continue offset by Revenue 33.1 31.0 supply chain/cost inflation Adj. Gross Profit 19.7 17.8 Adj. Gross Margin % 59.6% 57.5% ▪ Adj. Operating Expense: increased R&D expenses for next g
Slide 10: 2022 Outlook
(HY Harvard Bioscience 2022 Outlook
Slide 11: 2022 Outlook
2022 Outlook Sales effectiveness, new products deliver strong organic growth, profit improvement with investments in sales coverage and R&D for long-term value creation ▪ Revenue growth: expect 10-to-13% versus 2021 on a reported basis o Order growth, solid backlog support sustained double digit gro
Slide 12: Appendix
Appendix: • Revenue by Product Family • GAAP Financials • GAAP to Non-GAAP Reconciliations 12
Slide 13: 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 Q3 Q4 FY 19 19 19 19 19 20 20 20 20 20 21 21 21 21 21 Cellular & 18.4 19.0 17.0 19.4 73.8 15.4 12.6 13.7 16.9 58.6 16.5 16.1 16.4 18.2 67.2 Molecular Product Lines Preclinical 9.8 10.6 10.4 11.6 42.4 8.4 10.7 10.3 14.
Slide 14: 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 Q3 Q4 FY 19 19 19 19 19 20 20 20 20 20 21 21 21 21 21 * * * * * Cellular & 18.4 19.0 17.0 19.4 73.8 15.4 12.6 13.7 16.9 58.6 15.8 15.4 16.3 18.4 65.9 Molecular Product Lines Preclinical 9.8 10.6 10.4 11.6 42.4 8
Slide 15: GAAP Income Statements
GAAP Income Statements (in $ M, except EPS) Q4’21 Q4’20 Q4’19 2021 2020 2019 QTD QTD QTD Revenue 33.1 31.0 31.0 118.9 102.1 116.2 Gross Profit 19.6 17.7 17.2 67.7 58.0 64.3 Gross Margin % 59.2% 57.2% 55.6% 56.9% 56.8% 55.4% Operating Expenses 17.9 15.0 15.6 65.6 57.8 63.9 % of revenue 54.0% 48.3% 50
Slide 16: Balance Sheets
Balance Sheets (in $ M) Q4’21 Q4’20 Assets Cash & Cash Equivalents 7.8 8.3 Accounts Receivable 21.8 17.8 Inventories 27.6 22.3 Other Current Assets 4.3 3.4 Total Current Assets 61.6 51.7 Property, Plant, Equipment 3.4 4.0 Goodwill & Other Intangibles 85.1 91.7 Other Assets 12.3 8.9 Total Assets 162.
Slide 17: Cash Flow Statements: Twelve Months Ended
Cash Flow Statements: Twelve Months Ended (in $ M) 2021 2020 Net Cash Provided by Operating Activities 1.3 9.3 Additions to PP&E (1.2) (1.2) Other Investing Activities (0.2) (0.2) Net Cash Used in Investing Activities (1.3) (1.4) Net Debt Activity 0.1 (5.6) Other Financing Activities (0.3) (2.4) Net
Slide 18: GAAP to Non-GAAP Reconciliation: Three Months Ended December 31, 2021
GAAP to Non-GAAP Reconciliation: Three Months Ended December 31, 2021 HARVARD BIOSCIENCE, INC. Reconciliation of GAAP to Non-GAAP Financial Measures (unaudited) Three Months Ended December 31, 2021 (in thousands, except per share data) Stock-Based Acquired Assets Restructuring, Income Statement of O
Slide 19: GAAP to Non-GAAP Reconciliation: Three Months Ended December 31, 2020
GAAP to Non-GAAP Reconciliation: Three Months Ended December 31, 2020 HARVARD BIOSCIENCE, INC. Reconciliation of GAAP to Non-GAAP Financial Measures (unaudited) Three Months Ended December 31, 2020 (in thousands, except per share data) Stock-Based Acquired Assets Restructuring, Income Statement of O
Slide 20: GAAP to Non-GAAP Reconciliation: Three Months Ended December 31, 2019
GAAP to Non-GAAP Reconciliation: Three Months Ended December 31, 2019 HARVARD BIOSCIENCE, INC. Reconciliation of GAAP to Non-GAAP Financial Measures (unaudited) Three Months Ended December 31, 2019 (in thousands, except per share data) Stock-Based Acquired Assets Restructuring, Income Statement of O
Slide 21: GAAP to Non-GAAP Reconciliation: Adjusted EBITDA
GAAP to Non-GAAP Reconciliation: Adjusted EBITDA HARVARD BIOSCIENCE, INC. Reconciliation of GAAP to Non-GAAP Financial Measures (unaudited) (in thousands) Three Months Ended Year Ended December 31, 2021 December 31, 2020 December 31, 2021 December 31, 2020 Operating income $ 1,699 $ 2,756 $ 2,066 $