Exco Technologies Limited · TSX:XTC
Exco Technologies — Q2 2021 Earnings Presentation
17 slides from Exco Technologies's earnings presentation, Apr 29, 2021
Slide 1: Q2 F2021 Earnings Call
Q2 F2021 Earnings Call April 29, 2021
Slide 2: Cautionary Statement
Cautionary Statement Information in this presentation relating to projected growth and financial performance of the Company’s business units, contribution of our greenfield business units, margin performance and operating efficiencies are forward-looking statements. Readers are cautioned not to plac
Slide 3: Darren Kirk, Chief Executive Officer
Darren Kirk Chief Executive Officer
Slide 4: Operations Overview: Automotive Solutions Highlights
Q2 F2021 Operations Overview Key Highlights in the Quarter – Automotive Solutions • Overall industry vehicle production down 5% in North America and 1% Europe compared to prior year quarter • Volumes were negatively impacted by the global microchip shortage, and the February 2021 Texas storm, and CO
Slide 5: Operations Overview: Automotive Solutions Highlights (continued)
Q2 F2021 Operations Overview Key Highlights in the Quarter – Automotive Solutions • Segment PTP of $9.4M in Q2 F21 compared to $9.4M in the prior year quarter due to: • Cost actions and general efficiency improvements; • Favorable product mix shift; • Partially offset by higher input costs, expedite
Slide 6: Operations Overview: Automotive Solutions Outlook
Q2 F2021 Operations Overview Key Highlights in the Quarter – Automotive Solutions • Combined North America and Europe industry vehicle production expected to be up in H2 from prior year levels: • Lapping weak volumes the prior year when automotive OEM shut downs occurred due to COVID response measur
Slide 7: Operations Overview: Casting & Extrusion Highlights
Q2 F2021 Operations Overview Key Highlights in the Quarter – Casting & Extrusion • Excluding the impact of foreign exchange fluctuations Casting & Extrusion segment sales increased 11% from prior year quarter due to: • Strong demand for extrusion dies across North and South America in virtually all
Slide 8: Operations Overview: Casting & Extrusion Segment PTP and Backlog
Q2 F2021 Operations Overview Key Highlights in the Quarter – Casting & Extrusion • Segment PTP improved to $7.4M and EBITDA margin was 22% in Q2F21 due to: • Various efficiency improvements across the segment; • Favorable mix, including increased demand for higher value-add products; • More balanced
Slide 9: Matthew Posno, Chief Financial Officer
Matthew Posno Chief Financial Officer
Slide 10: Financial Overview: Consolidated Results Versus Prior Year Period
Q2 F2021 Financial Overview Consolidated Results Versus Prior Year Period • Revenue of $118.4M; excluding foreign exchange fluctuations revenue up 4% compared to prior year quarter. • EBITDA of $20.3 up $2.7M or 15%: • Higher gross margin percentage year over year (25% vs 24%), due to improvement in
Slide 11: Consolidated Revenue Reconciliation
Q2 F2021 Financial Overview Consolidated Revenue Reconciliation C$ Millions 120 (4) 2 118 Q2 F20 Automotive Solutions Casting & Extrusion Q2 F21 EXCO TECHNOLOGIES LIMITED | 11
Slide 12: Consolidated PTP Reconciliation
Q2 F2021 Financial Overview Consolidated PTP Reconciliation (Before Interest and Other Expense) C$ Millions 2.9 (0.2) 15.1 12.3 0 Q2 F20 Automotive Solutions Casting & Extrusion Corporate Q2 F21 EXCO TECHNOLOGIES LIMITED | 12
Slide 13: Automotive Solutions Segment
Automotive Solutions Segment Segment EBITDA strength consistent with prior periods. C$ Millions C$ Millions Revenue Segment EBITDA Margin EBITDA 20% 80 (6%) 80 bp 15 15.1% 15.9% 60 15% 10 40 10% 5 20 5% 0 0% 0 Q2 F20 Q2 F21 Q2 F20 Q2 F21 Q2 F20 Q2 F21 EXCO TECHNOLOGIES LIMITED | 13
Slide 14: Casting & Extrusion Segment
Casting & Extrusion Segment Segment EBITDA up on margin enhancement C$ Millions C$ Millions Revenue Segment EBITDA Margin Segment EBITDA 60 25% 500 bp 22.3% 35% 5% 10 40 20% 17.3% 5 20 15% 0 10% 0 Q2 F20 Q2 F21 Q2 F20 Q2 F21 Q2 F20 Q2 F21 EXCO TECHNOLOGIES LIMITED | 14
Slide 15: Financial Leverage & Liquidity
Financial Leverage & Liquidity Balance Sheet in a $28M Net Cash Position Exco C$28.4M Net Cash 40 • LTM EBITDA of C$60M • C$50M committed revolver matures February 30 2023; $40.5M available Bank Indebtedness/ Other • Balance sheet cash of $37.9M 20 Revolver Borrowings C$ Millions 37.9 Cash • Signifi
Slide 16: Questions
Questions EXCO TECHNOLOGIES LIMITED | 16
Slide 17: Exco Technologies Limited: Shaping a Sustainable Future
Technologies Limited Shaping a Sustainable Future