Investor Presentation February 2012

Transcription

1 Investor Presentation February

2 Safe Harbor Safe Harbor Statement under the Private Securities Litigation Reform Act of Comments made during this presentation include forward-looking statements. These statements are subject to various risks and uncertainties, and as a result, actual results may differ materially from those expressed in the forward-looking statements. A discussion of these risk factors may be found in Littelfuse s quarterly and annual reports filed with the SEC. 2

3 Another record year for Littelfuse with sales of $665 million 9.4% CAGR 3

4 The #1 Brand in Circuit Protection The Largest Portfolio of Solutions Automotive Electrical Electronics Littelfuse has the broadest and deepest portfolio of circuit protection products serving three major market segments. 4

5 Littelfuse Protects Against Common Threats to Electrical Circuits and Components Overcurrent Protection Overvoltage Protection Power Monitoring and Protective Switching Power Distribution and Control Power Cross ESD Protection Ground-Fault Protection Power Distribution Centers Overloads & Short Circuits Lightning Protection Equipment Protection Mining Control Consoles Every product that uses electrical energy needs circuit protection to ensure safety, reliability and performance. 5

6 Our Customers Are Global Market Leaders LEADING OEMs EMS/ODM TIER 1 AUTO Global Distribution Partners 6

7 The Only Company to Offer a Complete Range of Circuit Protection Technologies 7

8 Strong Automotive Sales Growth Due to steady recovery in the U.S. and Europe, continued strength in Asia and the addition of Cole Hersee. 8

9 Automotive Growth Drivers Asia High Current Fuses 26% CAGR!! Leader in high-growth Asian markets!! Increasing investment in local resources!! More high current loads!! Electrical architecture change!! More hybrid and electric vehicles 9

10 Cole Hersee Expands Commercial Vehicle Offering and Brings Deeper OEM Relationships CORE PRODUCTS Electrical Protection NEW PRODUCTS Electrical Switching Commercial Vehicle Off Road Truck & Bus Market 10

11 Electrical Growth Driven by Protection Relays and Custom Products As well as from stronger industrial market and new business in the emerging solar and LED lighting markets. 11

12 Electrical: Solar (Photovoltaic) Circuit Protection 40% CAGR Growth Drivers!! Improving economics: increasing power output per dollar invested!! Higher efficiency requires higher voltage more advanced circuit protection!! Littelfuse new products are hitting the mark 12

13 Electrical: Protection Relays and Custom Products 40% CAGR Protection Relays Custom Products Growth Drivers!! Continued growth in Canadian potash mining!! Adding sales resources in new geographies!! Penetration into oil and gas and other high-growth verticals!! Leveraging Selco products into new markets!! Increasing production capacity for custom products 13

14 Electronics End Demand has Moderated Resulting in Channel Inventory Correction 14

15 Electronics: Investing in the Fastest Growth Opportunities TVS Diode Arrays (SPA Family of Products) Battery Protection Brazil India!! Increasing data rates and signal reliability concerns drive demand for SPAs!! New battery protection products enable entry to high volume market!! Investing in sales resources in emerging markets 15

16 Our New Manufacturing Footprint Electrical 70,000 sq. ft. Electronics 600,000 sq. ft. Automotive and Electrical 375,000 sq. ft.!! 6 world class manufacturing sites!! $90 million invested over 3 years!! > 1 million sq. ft.!! Capacity for growth 16

17 Revenue by Market 2011 Revenue by Market ($665 million) 2015 (Projection) Revenue by Market ($1.0 billion) Electronics 53% Passives Semis Passenger Commercial Relays/ Custom Fuses Automotive 30% Electronics 40% Europe 20% Passives Asia 38% Semis Fuses Passenger Americas 42% Commercial Relays/ Custom Automotive 33% Electrical 17% Electrical 27% 17

18 Earnings Leverage With New Cost Structure 18

19 Operating Margin! Versus Peer Group Peer group: APH, AVX, CBE, DIOD, FCS, MOLX, ONNN, SMTC, SRI, TEL, TNB, VSH 19

20 Sales Have Bounced Back to Record Levels and We are Growing Faster Than Our Peers Peer group: APH, AVX, CBE, DIOD, FCS, MOLX, ONNN, SMTC, SRI, TEL, TNB, VSH 20

21 Strong Cash Flow Enables Acquisitions, Stock Repurchase, Dividend Increase 2012 Cash Projection 1 assumes no change in debt outstanding 21

22 Littelfuse Strategic Priorities Organic Growth > 5% > 5% Acquisition Growth Organic Acquisition Protect the Core Business Lean Enterprise 22

23 Investment Thesis!! Littelfuse is the most recognized circuit protection brand in the world!! Circuit protection content is increasing due to! Higher data rates! Increasing functionality resulting in more ports to protect! Increasing electronics and higher current in autos!! Additional growth drivers will be! Continued strength in the mining sector! Developing global channels for protection relays! Developing custom products for the Alberta oil sands! Accessing international markets for Cole Hersee products! Strong automotive and electrical demand in China, India and Brazil! New products for the solar and LED lighting markets! Ongoing acquisitions!! Lean cost structure coupled with growth momentum and leading market shares should enable superior financial returns through the cycle 23