Supplemental Slides Supplemental Slides Second Quarter Fiscal 2010 - PowerPoint PPT Presentation

Supplemental Slides Supplemental Slides Second Quarter Fiscal 2010 Earnings Call

Revenue Review: Q2 Fiscal 2010 Sales by Market Chemical Processing Sales 33% ($ in millions) Oil Refining 44% Power 1% $24.7 $24.8 $ $23.9 Oth Other Industrial Applications I d t i l A li ti 22% $20.1 U.S. / International Sales $16.1 U.S. 50% Q2 FY09 Q3 FY09 Q4 FY09 Q1 FY10 Q2 FY10 International 50% 2

Revenue Review: Fiscal 2010 1H Sales by Market Chemical Processing Sales 28% ($ in millions) Oil Refining 45% $51.6 Power N/A Other Industrial Applications Oth I d t i l A li ti $36.2 27% U.S. / International Sales U.S. 51% FY2009 1H FY2010 1H International 49% 3

Orders and Backlog Review Orders & Backlog Review: Quarterly Trend Q2 Fiscal 2010 ($ in millions) ($ in millions) Q2 FY10 backlog Orders & Backlog • Includes $7.0 million in o de s o orders on hold o d $69 7 $69.7 • Excludes $0.5 million in cancelled orders $52.5 $50.5 $48.3 $37.0 $29.6 $20.5 $20 5 $17.5 $17 5 $8.1 $8.8 Q2 FY09 Q3 FY09 Q4 FY09 Q1 FY10 Q2 FY10 Orders Backlog 4

Orders and Backlog Review Orders & Backlog Review: 12-Month Trend Q2 Fiscal 2010 Fiscal Year Comparison Order Trend Backlog Trend ($ in millions) $75.7 $107 1 $107.1 $86.5 $54.2 $50.5 $73.9 $48.3 $66.2 $67.0 $37 0 $37.0 $33.1 FY 06 FY 07 FY 08 FY 09 Q2 FY10 FY 06 FY 07 FY 08 FY 09 Q1 Q2 TTM FY10 FY10 5

O Operational Review: Quarter ti l R i Q t Operational Review: Q2 Fiscal 2010 SG&A Gross Profit & Net Income ($ in millions) $3.8 Restructuring $ $10.5 activities i i i $3.5 Q4 FY09 and 43.9% Q2 FY10 $3.2 $3.0 $5.9 14.8% 14.8% $4.4 36.3% $1.9* Q2 FY09 Q2 FY10 Q1 FY09 Q4 FY09 Q1 FY10 Q2 FY10 Gross profit Net income * Excludes a $467 thousand tax and interest Excludes a $467 thousand tax and interest * FY 2010 tax rate (est.): 30% - 31% adjustment related to R&D tax credits 6

Operational Review: Quarter O ti l R i Q t Operational Review: Fiscal 2010 1H Gross Profit & Net Income SG&A ($ in millions) $14.8 $22 7 $22.7 $14.3 44.1% $14.1 $13.4 14.8% 14.8% 39.0% $10.1 $13.1 $5.5* FY08 FY09 Q1 FY10 Q2 FY10 Q2 FY09 YTD Q2 FY10 YTD TTM TTM Gross profit Net income * FY 2010 tax rate (est.): 30% - 31% * Excludes a $467 thousand tax and interest adjustment related to R&D tax credits 7

O Operational Review ti l R i Financial Review: Managing Cash in the Downturn Inventory Turnover (times) Cash Conversion 120 120 120 120 12.6 11.0 10.9 100 100 10.0 cle (Days) 80 80 7.9 7.9 14.8% 14.8% s) Sales ($ millions Cash Conversion Cyc 60 60 5.7 40 40 20 20 0 0 FY2005 FY2006 FY2007 FY2008 FY2009 Q2 FY10 FY2005 FY2006 FY2007 FY2008 FY2009 Q2FY10 TTM TTM Sales Cash Conversion Cycle Note: cash conversion cycle equals days sales outstanding plus days inventory on hand minus days payables outstanding 8

O Operational Review ti l R i Financial Review: Balance Sheet Strong Cash Position Strong Cash Position ($ in millions) 60 $54.7 50 $46.2 40 $36.8 30 20 $ 5 $15.1 $11.0 10 $2.7 0 3/31/05 3/31/06 3/31/07 3/31/08 3/31/09 9/30/09 9