Attached files
| file | filename |
|---|---|
| EX-99.1 - EXHIBIT 99.1 - ENTEGRIS INC | entg2017ex991.htm |
| 8-K - 8-K - ENTEGRIS INC | entg2017q4.htm |
FEBRUARY 6, 2018
Earnings Summary
Fourth Quarter and Fiscal Year 2017
EXHIBIT 99.2
2
SAFE HARBOR
This document contains, and management may make, forward-looking statements within the meaning of the Private Securities Litigation Reform Act of
1995. The words “believe,” “expect,” “anticipate,” “intends,” “estimate,” “forecast,” “project,” “should,” “may,” “will,” “would” or the negative thereof
and similar expressions are intended to identify such forward-looking statements. These forward-looking statements include statements related to
future period guidance; future sales, net income, net income per diluted share, non-GAAP EPS, non-GAAP net income, expenses and other financial
metrics; our performance relative to our markets; market and technology trends, including the duration and drivers of any growth trends; the
development of new products and the success of their introductions; Company's capital allocation strategy, which may be modified at any time for any
reason, including share repurchases, dividends, debt repayments and potential acquisitions; the effect of the Tax Cuts and Jobs Act on our capital
allocation strategy; the impact of the acquisitions we have made and commercial partnerships we have established; our ability to execute on our
strategies; and other matters. These statements involve risks and uncertainties, and actual results may differ. These risks and uncertainties include, but
are not limited to, weakening of global and/or regional economic conditions, generally or specifically in the semiconductor industry, which could
decrease the demand for our products and solutions; our ability to meet rapid demand shifts; our ability to continue technological innovation and
introduce new products to meet our customers' rapidly changing requirements; our concentrated customer base; our ability to identify, effect and
integrate acquisitions, joint ventures or other transactions; our ability to protect and enforce intellectual property rights; operational, political and legal
risks of our international operations; our dependence on sole source and limited source suppliers; the increasing complexity of certain manufacturing
processes; raw material shortages and price increases; changes in government regulations of the countries in which we operate; fluctuation of currency
exchange rates; fluctuations in the market price of Entegris’ stock; the level of, and obligations associated with, our indebtedness; and other risk factors
and additional information described in our filings with the Securities and Exchange Commission, including under the heading “Risks Factors" in Item 1A
of our Annual Report on Form 10-K for the fiscal year ended December 31, 2016, filed on February 17, 2017, and in our other periodic filings. The
Company assumes no obligation to update any forward-looking statements or information, which speak as of their respective dates.
This presentation contains references to “Adjusted EBITDA,” “Adjusted EBITDA Margin,” “Adjusted Operating Income,” “Adjusted Operating Income
Margin” and “Non-GAAP Earnings per Share” that are not presented in accordance GAAP. The non-GAAP financial measures should not be considered in
isolation or as a substitute for GAAP financial measures but should instead be read in conjunction with the GAAP financial measures. Further information
with respect to and reconciliations of such measures to the most directly comparable GAAP financial measure can be found attached to this
presentation.
3
4Q17 HIGHLIGHTS
◦ 4Q17 sales grew 14% from a year ago and 1% sequentially, reflecting growth across the portfolio and the fifth
consecutive record quarter:
◦ Specialty Chemicals and Engineered Materials sales grew 13% from a year ago, achieving it 4th consecutive
quarter of record sales and reflecting strength in advanced deposition, specialty materials, and specialty gases
◦ Microcontamination Control sales grew 17% from a year ago, reflecting strength in liquid filtration and
purification, as well gas filtration solutions
◦ Advanced Materials Handling sales grew 11% from a year ago, reflecting growth in fluid handling and wafer
shipper solutions
◦ 4Q17 GAAP Loss Per Share was $0.20 reflecting the one-time effects of tax reform; non-GAAP EPS of $0.42 grew 75%
from the prior year;
◦ Generated record quarterly adjusted EBITDA of $97 million, or approx. 28% of revenue, and free cash flow of $60
million;
◦ In November, the Company raised $550 million of senior notes at 4.625% interest; the Company used the proceeds
to retire its existing $360 million/6% senior notes;
◦ Subsequent to the quarter, in January the Company acquired Particle Sizing Systems, LLC, a provider of particle sizing
instrumentation for liquid applications in both semiconductor and life science industries, for $37 million in cash; The
acquisition is expected to be accretive to 2018 earnings.
4
FY2017 HIGHLIGHTS
◦ Fiscal 2017 sales grew 14% from a year ago, reflecting record performances for all three divisions:
◦ Specialty Chemicals and Engineered Materials sales grew 13%
◦ Microcontamination Control sales grew 20%
◦ Advanced Materials Handling sales grew 10%
◦ Exceeded our financial commitment for 2017 to grow our bottom-line at twice the rate of our top line on a Non-
GAAP basis;
◦ Achieved GAAP net income of $85.1 million, or GAAP EPS of $0.59, which included amortization of $44.0 million,
asset impairment charges of $13.2 million, $2.7 million of severance expenses, $20.7 million related to the
refinancing of senior notes, and $66.7 million related to the effects of the Tax Cuts and Jobs Act;
◦ Non-GAAP net income of $206.3 million, or $1.44 per share, grew 53% from the prior year;
◦ Increased EBITDA by 35% to $357.1 million, or 27% of revenue, and recorded free cash flow of $200.0 million;
◦ Expanded our capital allocation strategy to include a quarterly dividend and ongoing share repurchases; Paid down
$100 million of our term loan and ended the year with a net leverage ratio of .1x.
$ in millions, except per share data 4Q17 4Q17 Guidance 3Q17 4Q16
4Q17 over
4Q16
4Q17 over
3Q17
Net Revenue $350.6 $335 to $345 $345.6 $308.5 13.6% 1.4%
Gross Margin 46.7% 45.0% 42.7%
Operating Expenses $92.5 $90 to $92 $94.8 $86.9 6.4% (2.4%)
Operating Income $71.2 $60.7 $44.9 58.6% 17.3%
Operating Margin 20.3% 17.6% 14.6%
Tax Rate 167.6% 18.4% 24.6%
Net (Loss) Income ($28.3) $43 to $50 $40.9 $26.1 (208.4%) (169.2%)
(Loss) earnings per diluted share ($0.20) $0.30 to $0.35 $0.28 $0.18 (211.1%) (171.4%)
5
SUMMARY – CONSOLIDATED STATEMENT OF OPERATIONS (GAAP)
$ in millions, except per share data Q417 4Q17 Guidance 3Q17 4Q16
4Q17 over
4Q16
4Q17 over
3Q17
Net Revenue $350.6 $335 to $345 $345.6 $308.5 13.6% 1.4%
Adjusted Gross Margin2 46.7% 46.2% 42.7%
Non-GAAP Operating Expenses3 $81.5 $79 to $81 $78.4 $76.0 3.2% 0%
Adjusted Operating Income $82.2 $81.1 $55.8 46.1% 0.5%
Adjusted Operating Margin 23.4% 23.5% 18.1%
Non-GAAP Tax Rate4 18.9% 22.3% 24.7%
Non-GAAP Net Income5 $59.7 $50 to $57 $57.0 $34.3 74.1% 4.7%
Non-GAAP EPS $0.42 $0.35 to $0.40 $0.40 $0.24 75.0% 5.0%
6
1. See GAAP to Non-GAAP reconciliation tables in the appendix of this presentation.
2. Adjusted gross margin excludes certain impairment of equipment and severance charges.
3. Non-GAAP Operating Expenses exclude amortization expense, severance charges and impairment of equipment and intangibles.
4. Non-GAAP Tax Rate reflects the tax effect of non-GAAP adjustments and discrete tax items to GAAP taxes.
5. Non-GAAP Net Income excludes amortization expense, severance charges, loss on debt extinguishment and impairment of assets.
SUMMARY – CONSOLIDATED STATEMENT OF OPERATIONS (NON-GAAP)1
$ in millions, except per share data
Fiscal Year
Ended
December 31,
2017
Fiscal Year
Ended
December 31,
2016 Year-over-Year
Net Revenue $1,342.5 $1,175.3 14.2%
Gross Margin 45.4% 43.3%
Operating Expenses $367.2 $353.2 4.0%
Operating Income $241.8 $155.5 55.5%
Operating Margin 18.0% 13.2 %
Tax Rate 54.0% 19.0%
Net Income $85.1 $97.1 (12.4%)
EPS $0.59 $0.68 (13.2%)
7
SUMMARY – CONSOLIDATED STATEMENT OF OPERATIONS (GAAP)
$ in millions, except per share data
Fiscal Year Ended
December 31, 2017
Fiscal Year Ended
December 31, 2016 Year-over-Year
Net Revenue $1,342.5 $1,175.3 14.2%
Adjusted Gross Margin2 45.8% 43.8%
Non-GAAP Operating Expenses3 $316.1 $306.9 3.0%
Adjusted Operating Income $298.9 $208.0 43.7%
Adjusted Operating Margin 22.3% 17.7%
Non-GAAP Tax Rate4 22.2% 22.9%
Non-GAAP Net Income5 $206.3 $132.8 55.3%
Non-GAAP EPS $1.44 $0.94 53.2%
8
SUMMARY – CONSOLIDATED STATEMENT OF OPERATIONS (NON-GAAP)1 – YEAR TO DATE
1. See GAAP to Non-GAAP reconciliation tables in the appendix of this presentation.
2. Adjusted gross margin excludes certain impairment of equipment and severance charges.
3. Non-GAAP Operating Expenses exclude amortization expense, severance charges and impairment of equipment and intangibles.
4. Non-GAAP Tax Rate reflects the tax effect of non-GAAP adjustments and discrete tax items to GAAP taxes.
5. Non-GAAP Net Income excludes amortization expense, severance charges, loss on debt extinguishment and impairment of assets.
9
1. Represents diluted earnings (loss) per share. See Reconciliation of GAAP Net Income to Non-GAAP Earnings per Share in the appendix of this presentation.
EARNINGS (LOSS) PER SHARE1
$0.18
($0.20)
$0.24
$0.42
-$0.30
-$0.20
-$0.10
$0.00
$0.10
$0.20
$0.30
$0.40
$0.50
4Q16 4Q17
EPS: 4Q17 vs. 4Q16
GAAP Non-GAAP
$0.68
$0.59
$0.94
$1.44
$0.00
$0.20
$0.40
$0.60
$0.80
$1.00
$1.20
$1.40
$1.60
FY16 FY17
FY2017 vs. FY2016
GAAP Non-GAAP
RESULTS BY SEGMENT1
10
1. Adjusted segment operating margin excludes amortization of intangibles and unallocated expenses.
2. Segment profit for SCEM for 3Q17 includes a charge for severance of $14K.
3. Segment profit for MC for Q317 includes a charge for severance of $196K. Segment profit for MC for 2Q17 includes charges for impairment of equipment and severance of $884K and $559K,
respectively.
4. Segment profit for AMH for 2Q17 includes charges for impairment of equipment of $2,286K. Segment profit for AMH for 3Q17 includes charges for impairment of equipment and severance totaling
$5,221K.
0%
10%
20%
30%
40%
$0
$20
$40
$60
$80
$100
$120
4Q16 1Q17 2Q17 3Q17 4Q17
Specialty Chemicals and
Engineered Materials
Segment2
Sales Adj. Op. margin
0%
10%
20%
30%
40%
$0
$20
$40
$60
$80
$100
$120
4Q16 1Q17 2Q17 3Q17 4Q17
Microcontamination
Control Segment3
Sales Adj. Op. margin
0%
10%
20%
30%
40%
$0
$20
$40
$60
$80
$100
$120
4Q16 1Q17 2Q17 3Q17 4Q17
Advanced Materials
Handling Segment4
Sales Adj. Op. margin
$ in millions
REVENUE BY GEOGRAPHY: STRONG GROWTH IN SOUTH KOREA AND CHINA
11
N. America
Southeast
Asia
Taiwan
FY2017 Revenue by Geography
Revenue = $1,342.5 million
$169.5M
$120.5M Europe
Japan
China
South Korea
6%
14%
26%
9%
49%
13%
-1%
Southeast Asia
Europe
China
Japan
South Korea
N. America
Taiwan
-5% 5% 15% 25% 35% 45% 55%
FY2017 vs. FY2016 Growth Rate
$110.8M
$148.9M
$286.3M $289.6M
$216.9M
$ in millions 4Q17 3Q17 4Q16
$ Amount % Total $ Amount % Total $ Amount % Total
Cash & Cash Equivalents $625.4 31.6% $435.2 24.8% $406.4 23.9%
Accounts Receivable, net $183.4 9.3% $183.4 10.4% $165.7 9.7%
Inventories $198.1 10.0% $193.3 11.0% $183.5 10.8%
Net PP&E $359.5 18.2% $346.7 19.7% $321.6 18.9%
Total Assets $1,976.2 $1,757.7 $1,699.5
Current Liabilities1 $291.0 14.7% $269.9 15.4% $261.6 15.4%
Long-term debt, excluding
current maturities
$574.4 29.1% $411.5 23.4% $484.7 28.5%
Total Liabilities $983.2 49.8% $739.4 42.1% $800.3 47.1%
Total Shareholders’ Equity $993.0 50.2% $1,018.4 57.9% $899.2 52.9%
AR – DSOs 47.7 48.4 49.0
Inventory Turns 3.8 3.9 3.8
12
1. Current Liabilities in 4Q17, 3Q17 and 4Q16 includes $100 million of current maturities of long term debt, respectively.
SUMMARY – BALANCE SHEET ITEMS
13
1. See Reconciliation of GAAP Income to Adjusted Operating Income and Adjusted EBITDA in the appendix of this presentation.
ADJUSTED EBITDA MARGIN1
$264
$357
22.4%
26.6%
0
50
100
150
200
250
300
350
2016 2017
Adjusted Annual EBITDA
Adj. EBITDA in $M Adj. EBITDA as % of Sales
$70
$76
$97
22.7%
23.9%
26.8%
27.7% 27.7%
0
40
80
4Q16 1Q17 2Q17 3Q17 4Q17
Adjusted EBITDA and EBITDA Margin
Adj. EBITDA in $M Adj. EBITDA as % of Sales
$88
$96
$ in millions 4Q17 3Q17 4Q16
Beginning Cash Balance $435.2 $405.6 $411.8
Cash from operating activities $85.7 $89.0 $57.1
Capital expenditures ($25.7) ($25.4) ($20.0)
Proceeds from long-term debt 550.0 - -
Payments on long-term debt ($385.0) ($25.0) ($25.0)
Payments for debt extinguishment costs ($16.2) - -
Repurchase and retirement of common stock ($10.0) ($10.0) ($4.0)
Dividend payments ($9.9) - -
Other investing activities $0.1 $0.9 $0.1
Other financing activities ($5.5) $0.5 $0.8
Effect of exchange rates $6.7 ($0.4) ($14.3)
Ending Cash Balance $625.4 $435.2 $406.4
Free Cash Flow1 $60.1 $63.6 $37.1
Adjusted EBITDA $97.2 $95.9 $70.1
CASH FLOWS
14
1. Free cash flow equals cash from operations less capital expenditures.
OUTLOOK
15
1. Non-GAAP operating expenses exclude amortization. In 1Q18, amortization is estimated to be approximately $11 million, or $0.05 per share.
$ in millions, except per share data 1Q18 Guidance 4Q17 Actual 1Q17 Actual
Net Revenue $355 to $365 $350.6 $317.4
Operating Expenses $94 to $96 $92.5 $88.7
Net Income (Loss) $49 to $56 ($28.3) $32.5
Earnings (Loss) Per Diluted Share $0.34 to $0.39 ($0.20) $0.23
$ in millions, except per share data 1Q18 Guidance 4Q17 Actual 1Q17 Actual
Net Revenue $355 to $365 $350.6 $317.4
Non-GAAP Operating Expenses1 $83 to $85 $81.5 $77.7
Non-GAAP Net Income $56 to $63 $59.7 $40.8
Non-GAAP EPS $0.39 to $0.44 $0.42 $0.28
Non-GAAP
GAAP
Entegris®, the Entegris Rings Design™ and Pure Advantage™ are trademarks of Entegris, Inc. ©2016 Entegris, Inc. All rights reserved.
16
NON-GAAP RECONCILIATION TABLE
RECONCILIATION OF GAAP GROSS PROFIT TO ADJUSTED GROSS PROFIT
17
Three months ended Twelve months ended
December 31,
2017
December 31,
2016
September 30,
2017
December 31,
2017
December 31,
2016
Net Sales $350,562 $308,502 $345,591 $1,342,532 $1,175,270
Gross profit-GAAP $163,679 $131,800 $155,407 $608,985 $508,691
Adjustments to gross profit:
Severance related to organizational realignment - - 740 740 431
Impairment of equipment - - 3,364 5,330 5,826
Adjusted gross profit $163,679 $131,800 $159,511 $615,055 $514,948
Gross margin - as a % of net sales 46.7% 42.7% 45.0% 45.4% 43.3%
Adjusted gross margin - as a % of net sales 46.7% 42.7% 46.2% 45.8% 43.8%
$ in thousands
NON-GAAP RECONCILIATION TABLE
RECONCILIATION OF GAAP SEGMENT PROFIT TO ADJUSTED OPERATING INCOME
18
Three months ended Twelve months ended
Segment profit-GAAP December 31, 2017 December 31, 2016 September 30, 2017 December 31, 2017 December 31, 2016
Specialty Chemicals and Engineered Materials $35,898 $25,919 $34,647 $132,859 $96,060
Microcontamination Control 44,666 31,719 43,984 160,715 110,042
Advanced Materials Handling 23,240 16,644 16,882 77,971 73,452
Total segment profit 103,804 74,282 95,513 371,545 279,554
Amortization of intangible assets 11,020 10,938 11,051 44,023 44,263
Unallocated expenses 21,632 18,439 23,807 85,705 79,755
Total operating income $71,152 $44,905 $60,655 $241,817 $155,536
$ in thousands
Three months ended Twelve months ended
Adjusted segment profit December 31, 2017 December 31, 2016 September 30, 2017 December 31, 2017 December 31, 2016
Specialty Chemicals and Engineered Materials1 $35,898 $25,919 $34,661 $132,873 $96,759
Microcontamination Control2 44,666 31,719 44,180 162,354 110,779
Advanced Materials Handling3 23,240 16,644 22,103 85,478 80,247
Total segment profit 103,804 74,282 100,944 380,705 287,785
Amortization of intangible assets4 - - - - -
Unallocated expenses5 21,632 18,439 19,867 81,765 79,755
Total adjusted operating income $82,172 $55,843 $81,077 $298,940 $208,030
1. Adjusted segment profit for SCEM for the three months ended September 30, 2017 and the twelve months ended December 31, 2017 excludes charges for severance related to organizational realignment of $14K. Adjusted segment profit for Specialty
Chemicals and Engineered Materials for the twelve months ended December 31, 2016 excludes charges for severance related to organizational realignment of $699K.
2. Adjusted segment profit for MC excludes charges for impairment of equipment and severance related to organizational realignment of $196K for the three months ended September 30, 2017. Adjusted segment profit for MC excludes impairment of
equipment and charges for severance related to organizational realignment of $1,639K and $737K for the twelve months ended December 31, 2017 and 2016, respectively.
3. Adjusted segment profit for AMH excludes charges for impairment of equipment and severance related to organizational realignment of $5,221K for the three months ended September 30, 2017. Adjusted segment profit for AMH excludes charges for
impairment of equipment and severance related to organizational realignment of $7,507 and $6,795 for the twelve months ended December 31, 2017 and 2016, respectively.
4. Adjusted amortization of intangible assets excludes amortization expense of $11,020K, $10,938K, and $11,051K for the three months ended December 31, 2017, December 31, 2016 and September 30, 2017, respectively, and $44,023K and $44,263K for
the twelve months ended December 31, 2017 and 2016, respectively.
5. Adjusted unallocated expenses excludes charges for impairment of intangibles and severance related to organizational realignment of $3,940K for the three months ended September 30, 2017 and the twelve months ended December 31, 2017.
NON-GAAP RECONCILIATION TABLE
RECONCILIATION OF GAAP TO ADJUSTED OPERATING INCOME AND ADJUSTED EBITDA
19
Three months ended Twelve months ended
December 31, 2017 December 31, 2016 September 30, 2017 December 31, 2017 December 31, 2016
Net sales $350,562 $308,502 $345,591 $1,342,532 $1,175,270
Net (loss) income ($28,341) $26,098 $40,902 $85,066 $97,147
Adjustments to net (loss) income:
Income tax expense 70,264 8,521 9,248 99,665 22,852
Interest expense, net 7,533 8,983 7,599 31,628 36,528
Other expense (income), net 21,696 1,303 2,906 25,458 (991)
GAAP - Operating income 71,152 44,905 60,655 241,817 155,536
Severance - - 2,141 2,700 2,405
Impairment of equipment and
intangibles1 - - 7,230 10,400 5,826
Amortization of intangible assets 11,020 10,938 11,051 44,023 44,263
Adjusted operating income 82,172 55,843 81,077 298,940 208,030
Depreciation 15,035 14,303 14,785 58,208 55,623
Adjusted EBITDA $97,207 $70,146 $95,862 $357,148 $263,653
Adjusted operating margin 23.4% 18.1% 23.5% 22.3% 17.7%
Adjusted EBITDA - as a % of net sales 27.7% 22.7% 27.7% 26.6% 22.4%
$ in thousands
1. Includes product line impairment charges of $3,364K classified as cost of sales for the three months ended September 30, 2017. Includes product line impairment charges of $5,330K and $5,826K classified as cost of sales
for the twelve months ended December 31, 2017 and 2016, respectively.
Includes intangible impairment charge of $3,866K classified as selling general and administrative expense for both the three months ended September 30, 2017 and twelve months ended December 31, 2017.
Includes product line impairment charge of $320K classified as selling general and administrative expense for the twelve months ended December 31, 2017.
Includes product line impairment charge of $884K classified as engineering, research and development expense for the twelve months ended December 31, 2017.
NON-GAAP RECONCILIATION TABLE
RECONCILIATION OF GAAP TO NON-GAAP (LOSS) EARNINGS PER SHARE
20
Three months ended Twelve months ended
December 31,
2017
December 31,
2016
September 30,
2017
December 31,
2017
December 31,
2016
GAAP net (loss) income ($28,341) $26,098 $40,902 $85,066 $97,147
Adjustments to net (loss) income:
Severance - - 2,141 2,700 2,405
Impairment of equipment and intangibles1 - - 10,030 13,200 5,826
Loss on debt extinguishment 20,687 - - 20,687 -
Gain on sale of equity investment - - - - (156)
Amortization of intangible assets 11,020 10,938 11,051 44,023 44,263
Tax effect of adjustments to net income and discrete items (10,385) (2,742) (7,135) (26,046) (16,637)
Tax effect of Tax Cuts and Jobs Act 66,713 - - 66,713 -
Non-GAAP net income $59,694 $34,294 $56,989 $206,343 $132,848
Diluted (loss) earnings per common share ($0.20) $0.18 $0.28 $0.59 $0.68
Effect of adjustments to net (loss) income $0.61 $0.06 $0.11 $0.85 $0.25
Diluted non-GAAP earnings per common share $0.42 $0.24 $0.40 $1.44 $0.94
$ in thousands, except per share data
1. Includes product line impairment charges of $3,364K classified as cost of sales for the three months ended September 30, 2017. Includes product line impairment charges of $5,330K and $5,826K classified as cost of
sales for the twelve months ended December 31, 2017 and 2016, respectively.
Includes intangible impairment charge of $3,866K classified as selling general and administrative expense for both the three months ended September 30, 2017 and the twelve months ended December 31, 2017.
Includes product line impairment charge of $320K classified as selling general and administrative expense for the twelve months ended December 31, 2017.
Includes product line impairment charge of $884K classified as engineering, research and development expense for the twelve months ended December 31, 2017.
Includes product line impairment charge of $2,800K classified as other expense for both the three months ended September 30, 2017 and the twelve months ended December 31, 2017.
21
GAAP SEGMENT TREND DATA
Q115 Q215 Q315 Q415 Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q417
Sales
SCEM 99,897$ 110,569$ 105,285$ 103,127$ 101,107$ 111,782$ 104,494$ 110,945$ 114,435$ 121,174$ 124,522$ 125,339$
MC 75,947 79,293 78,485 82,092 77,619 91,584 94,738 98,717 100,055 104,407 116,113 115,650
AMH 87,529 90,847 86,483 81,567 88,298 99,686 97,460 98,840 102,887 103,421 104,956 109,573
Total Sa les 263,373$ 280,709$ 270,253$ 266,786$ 267,024$ 303,052$ 296,692$ 308,502$ 317,377$ 329,002$ 345,591$ 350,562$
Segment Profit
SCEM 22,010$ 30,826$ 23,316$ 24,218$ 22,416$ 28,914$ 18,811$ 25,919$ 28,140$ 34,174$ 34,647$ 35,898$
MC 19,874 20,605 21,926 20,671 18,140 28,566 31,617 31,719 35,581 36,484 43,984 44,666
AMH 19,679 20,860 15,786 10,094 18,911 22,519 15,378 16,644 18,276 19,573 16,882 23,240
Total Segment Profi t 61,563$ 72,291$ 61,028$ 54,983$ 59,467$ 79,999$ 65,806$ 74,282$ 81,997$ 90,231$ 95,513$ 103,804$
Segment Profit Margin
SCEM 22.0% 27.9% 22.1% 23.5% 22.2% 25.9% 18.0% 23.4% 24.6% 28.2% 27.8% 28.6%
MC 26.2% 26.0% 27.9% 25.2% 23.4% 31.2% 33.4% 32.1% 35.6% 34.9% 37.9% 38.6%
AMH 22.5% 23.0% 18.3% 12.4% 21.4% 22.6% 15.8% 16.8% 17.8% 18.9% 16.1% 21.2%
$ in thousands
NON-GAAP SEGMENT TREND DATA
22
1. Adjusted segment profit for SCEM for Q316 excludes charges for severance of $699K. Adjusted segment profit for SCEM for Q317 excludes charges for severance of $14K.
2. Adjusted segment profit for MC for Q316 excludes charges for severance of $737K. Adjusted segment profit for MC for 2Q17 excludes charges for impairment of equipment and severance of $884K and $559K,
respectively. Adjusted segment profit for MC for Q317 excludes charges for severance of $196K.
3. Adjusted segment profit for AMH for Q316 excludes charges for impairment of equipment and severance related to organizational realignment of $5,826K and $969K, respectively. Adjusted segment profit for AMH for
2Q17 excludes charges for impairment of equipment of $2,286K. Adjusted segment profit for AMH for Q317 excludes charges for impairment of equipment and severance related to organizational realignment of $3,364K
and $1,857K, respectively.
Q115 Q215 Q315 Q415 Q116 Q216 Q316 Q416 Q117 Q217 Q317 Q417
Sales
SCEM 99,897$ 110,569$ 105,285$ 103,127$ 101,107$ 111,782$ 104,494$ 110,945$ 114,435$ 121,174$ 124,522$ 125,339$
MC 75,947 79,293 78,485 82,092 77,619 91,584 94,738 98,717 100,055 104,407 116,113 115,650
AMH 87,529 90,847 86,483 81,567 88,298 99,686 97,460 98,840 102,887 103,421 104,956 109,573
Total Sa les 263,373$ 280,709$ 270,253$ 266,786$ 267,024$ 303,052$ 296,692$ 308,502$ 317,377$ 329,002$ 345,591$ 350,562$
Adjusted Segment Profit
SCEM
1
22,010$ 30,826$ 23,316$ 24,218$ 22,416$ 28,914$ 19,510$ 25,919$ 28,140$ 34,174$ 34,661$ 35,898$
MC2 19,874 20,605 21,926 20,671 18,140 28,566 32,354 31,719 35,581 37,927 44,180 44,666
AMH3 19,679 20,860 15,786 10,094 18,911 22,519 22,173 16,644 18,276 21,859 22,103 23,240
Total Adj. Segment Profi t 61,563$ 72,291$ 61,028$ 54,983$ 59,467$ 79,999$ 74,037$ 74,282$ 81,997$ 93,960$ 100,944$ 103,804$
Adjusted Segment Profit Margin
SCEM 22.0% 27.9% 22.1% 23.5% 22.2% 25.9% 18.7% 23.4% 24.6% 28.2% 27.8% 28.6%
MC 26.2% 26.0% 27.9% 25.2% 23.4% 31.2% 34.2% 32.1% 35.6% 36.3% 38.0% 38.6%
AMH 22.5% 23.0% 18.3% 12.4% 21.4% 22.6% 22.8% 16.8% 17.8% 21.1% 21.1% 21.2%
$ in thousands