Attached files
| file | filename |
|---|---|
| 8-K - 8-K - IDEX CORP /DE/ | a20150423-8k.htm |
| EX-99.2 - EX 99.2 - IDEX CORP /DE/ | iex-20150423xex992.htm |
First Quarter Earnings APRIL 21, 2015
• IDEX’s Outlook • Q1 2015 Financial Performance • Q1 2015 Segment Performance • Fluid & Metering • Health & Science • Fire & Safety / Diversified Products • Guidance Update • Q&A 1 AGENDA
• Dial toll–free: 877.660.6853 • International: 201.612.7415 • Conference ID: #13598710 • Log on to: www.idexcorp.com 2 Replay Information
Cautionary Statement Under the Private Securities Litigation Reform Act This presentation and discussion will include forward-looking statements. Our actual performance may differ materially from that indicated or suggested by any such statements. There are a number of factors that could cause those differences, including those presented in our most recent annual report and other company filings with the SEC. 3
4 IDEX Q1 Financial Performance Sales EPS Operating Margin Free Cash Flow $0 $200 $400 $600 Q1 $544 $502 2014 2015 $0.00 $0.50 $1.00 Q1 $0.91 $0.84 2014 2015 15.0% 17.0% 19.0% 21.0% Q1 20.9% 20.3% 2014 2015 $0 $50 $100 Q1 $66 $43 2014 2015 Organic: 4% decrease 60 bps decrease 8% decrease 36% decrease Orders up 2 percent organically, with a $22 million increase in backlog ($M, excl. EPS)
5 Fluid & Metering Orders Sales Q1 Sales Mix: Organic 1% Acquisition 1% Fx -4% Reported Sales -2% Q1 Summary: Chemical remains strong in North America from growth in distribution and key petrochemical and chemical markets Water Services growth driven by success of new products and municipal spending uptick in the US and UK Energy’s large project business continues to push-out due to depressed oil prices Agriculture OEM market remains soft, with aftermarket/distribution deteriorating more than originally anticipated Operating Margin $0 $100 $200 $300 Q1 $225 $222 2014 2015 20.0% 22.0% 24.0% 26.0% Q1 25.3% 25.6% 2014 2015 Organic: 1% increase $0 $100 $200 $300 Q1 $223 $218 2014 2015 Organic: 1% increase 30 bps increase Orders & Sales increase 1 percent organically, Operating Margins expand 30 bps ($M)
6 Health & Science Orders Sales Operating Margin $0 $50 $100 $150 $200 Q1 $195 $194 2014 2015 18.0% 19.0% 20.0% 21.0% Q1 19.4% 20.9% 2014 2015 Organic: 2% increase $0 $50 $100 $150 $200 Q1 $186 $179 2014 2015 Organic: Flat 150 bps increase Orders up 2 percent organically, with a 150 bps increase in Operating Margin Q1 Sales Mix: Organic 0% Acquisition 0% Fx -4% Reported Sales -4% Q1 Summary: Scientific Fluidics saw strong growth in the core Analytical Instrumentation market, and solid results from the In-Vitro Diagnostic and Bio markets Industrial business sales and order growth driven by continued strength of North American distribution markets IOP continues to deliver profitability improvements MPT project capex orders declined which signals second half 2015 softness, while aftermarket and daily business remained solid ($M)
7 Fire & Safety / Diversified Orders Sales Operating Margin $0 $50 $100 $150 Q1 $116 $110 2014 2015 22.0% 24.0% 26.0% 28.0% 30.0% Q1 28.9% 25.5% 2014 2015 Organic: 2% increase $0 $50 $100 $150 Q1 $137 $107 2014 2015 Organic: 16% decrease 340 bps decrease First quarter comparisons significantly impacted by large 2014 Dispensing project Q1 Sales Mix: Organic -16% Acquisition 0% Fx -6% Reported Sales -22% Q1 Summary: Dispensing core markets remain strong with positive momentum in Europe and continued success of X-Smart Rescue Asian markets beginning to open up, while US markets continue to adopt new products Fire Suppression markets in North America & UK forecasted to remain solid Band-It has risk from exposure to downhole oil & gas projects, partially offset by growth in North American transportation market ($M)
8 Full Year 2015 EPS Guidance Bridge 2015 guidance lowered by 15 cents, a result of specific market conditions EPS Prior FY 2015 Guidance $3.65 -- $3.75 FX (0.06) Agriculture Market (0.04) L rge Capital Spending: (0.05) MPT Platform Oil & Gas Projects Revised FY 2015 Guidance $3.50 -- $3.60
Q2 2015 EPS estimate range: $0.88 – $0.90 Operating margin: ~ 21% Tax rate: ~ 29.5% Fx impact: ~6% topline headwind, or 6 cents of EPS based on current Fx rates FY 2015 EPS estimate range: $3.50 – $3.60 Organic revenue growth: ~ Flat – 1% Operating margin: ~ 21% Fx impact: ~5% topline headwind, or 21 cents of EPS based on current Fx rates Other modeling items • Tax rate: ~ 29.5% • Cap Ex: ~ $45M • Free Cash Flow will be ~120% of net income • Continued share repurchases: ~ net 2% reduction • EPS estimate excludes all future acquisitions and associated costs and charges, including Novotema 9 Outlook: 2015 Guidance Summary