DOVER Corp - FORM 8-K - EX-99.2

Attached files

file	filename
8-K - FORM 8-K - DOVER Corp	y87252e8vk.htm
EX-99.3 - EX-99.3 - DOVER Corp	y87252exv99w3.htm
EX-99.1 - EX-99.1 - DOVER Corp	y87252exv99w1.htm

Exhibit 99.2

INVESTOR SUPPLEMENT — THIRD QUARTER 2010

DOVER CORPORATION
CONDENSED CONSOLIDATED STATEMENTS OF EARNINGS
(unaudited) (in thousands, except per share figures)


	Three Months Ended September 30,					Nine Months Ended September 30,
	2010		2009			2010			2009
Revenue	$	1,887,141	$	1,499,611		$	5,257,107		$	4,269,028
Cost of goods and services		1,175,456		941,345			3,244,567			2,735,308

Gross profit		711,685		558,266			2,012,540			1,533,720
Selling and administrative expenses		414,022		378,125			1,247,000			1,110,476

Operating earnings		297,663		180,141			765,540			423,244
Interest expense, net		26,335		26,299			80,446			73,537
Other expense (income), net		9,837		(903	)		3,888			(1,124	)

Earnings before provision for income taxes and discontinued operations		261,491		154,745			681,206			350,831
Provision for income taxes		38,732		47,261			165,069			81,378

Earnings from continuing operations		222,759		107,484			516,137			269,453
Gain (loss) from discontinued operations, net		1,000		(600	)		(14,381	)		(12,063	)

Net earnings	$	223,759	$	106,884		$	501,756		$	257,390


Basic earnings (loss) per common share:
Earnings from continuing operations	$	1.19	$	0.58		$	2.76		$	1.45
Gain (loss) from discontinued operations, net		0.01		—			(0.08	)		(0.06	)
Net earnings		1.20		0.57			2.68			1.38

Weighted average shares outstanding		186,721		186,148			186,917			186,077


Diluted earnings (loss) per common share:
Earnings from continuing operations	$	1.18	$	0.58		$	2.73		$	1.45
Gain (loss) from discontinued operations, net		0.01		—			(0.08	)		(0.06	)
Net earnings		1.19		0.57			2.66			1.38

Weighted average shares outstanding		188,565		186,358			188,898			186,321


Dividends paid per common share	$	0.28	$	0.26		$	0.80		$	0.76

The following table is a reconciliation of the share amounts used in computing earnings per share:


	Three Months Ended September 30,				Nine Months Ended September 30,
	2010		2009		2010		2009
Weighted average shares outstanding — Basic		186,721		186,148		186,917		186,077
Dilutive effect of assumed exercise of employee stock options, SAR’s and performance shares		1,844		210		1,981		244


Weighted average shares outstanding — Diluted		188,565		186,358		188,898		186,321


Anti-dilutive options, SAR’s, and performance shares excluded from diluted EPS computation		3,709		12,404		1,432		9,721

DOVER CORPORATION — INVESTOR SUPPLEMENT
THIRD QUARTER 2010

DOVER CORPORATION
QUARTERLY SEGMENT INFORMATION
(unaudited) (in thousands)


	2009																		2010
																												Q3
	Q1			Q2			Q3			Q3 YTD			Q4			FY 2009			Q1			Q2			Q3			YTD

REVENUE
Industrial Products
Material Handling	$	186,651		$	153,574		$	154,238		$	494,463		$	165,890		$	660,353		$	189,052		$	214,295			220,997		$	624,344
Mobile Equipment		248,292			229,521			242,011			719,824			242,353			962,177			240,139			248,523			250,664			739,326
Eliminations		(152	)		(147	)		(209	)		(508	)		(230	)		(738	)		(393	)		(432	)		(453	)		(1,278	)

		434,791			382,948			396,040			1,213,779			408,013			1,621,792			428,798			462,386			471,208			1,362,392

Engineered Systems
Product Identification		177,358			193,019			211,952			582,329			219,947			802,276			212,500			219,551			221,677			653,728
Engineered Products		223,426			274,398			308,741			806,565			253,095			1,059,660			271,773			357,570			398,685			1,028,028

		400,784			467,417			520,693			1,388,894			473,042			1,861,936			484,273			577,121			620,362			1,681,756

Fluid Management
Energy		176,334			138,415			144,664			459,413			164,798			624,211			205,327			216,020			220,001			641,348
Fluid Solutions		154,489			156,897			164,604			475,990			170,859			646,849			175,505			187,759			196,554			559,818
Eliminations		(51	)		(42	)		(21	)		(114	)		(36	)		(150	)		(32	)		(105	)		(127	)		(264	)

		330,772			295,270			309,247			935,289			335,621			1,270,910			380,800			403,674			416,428			1,200,902


Electronic Technologies		214,035			245,953			275,266			735,254			291,700			1,026,954			290,989			345,607			381,386			1,017,982


Intra-segment eliminations		(1,296	)		(1,257	)		(1,635	)		(4,188	)		(1,715	)		(5,903	)		(1,590	)		(2,092	)		(2,243	)		(5,925	)


Total consolidated revenue	$	1,379,086		$	1,390,331		$	1,499,611		$	4,269,028		$	1,506,661		$	5,775,689		$	1,583,270		$	1,786,696		$	1,887,141		$	5,257,107


NET EARNINGS
Segment Earnings:
Industrial Products	$	34,544		$	25,421		$	38,119		$	98,084		$	41,673		$	139,757		$	51,039		$	61,635		$	59,473		$	172,147
Engineered Systems		43,305			57,462			78,194			178,961			48,307			227,268			54,843			84,655			91,442			230,940
Fluid Management		75,442			55,573			60,677			191,692			67,577			259,269			86,767			96,168			101,847			284,782
Electronic Technologies		(12,110	)		17,993			38,160			44,043			39,651			83,694			44,905			59,582			69,617			174,104

Total Segments		141,181			156,449			215,150			512,780			197,208			709,988			237,554			302,040			322,379			861,973
Corporate expense / other		(24,692	)		(29,614	)		(34,106	)		(88,412	)		(29,583	)		(117,995	)		(33,325	)		(32,443	)		(34,553	)		(100,321	)
Net interest expense		(22,398	)		(24,840	)		(26,299	)		(73,537	)		(26,838	)		(100,375	)		(27,169	)		(26,942	)		(26,335	)		(80,446	)

Earnings from continuing operations before provision for income taxes		94,091			101,995			154,745			350,831			140,787			491,618			177,060			242,655			261,491			681,206
Provision for income taxes		32,996			1,121			47,261			81,378			38,346			119,724			55,575			70,762			38,732			165,069

Earnings from continuing operations		61,095			100,874			107,484			269,453			102,441			371,894			121,485			171,893			222,759			516,137
Earnings (loss) from discontinued operations, net		(7,669	)		(3,794	)		(600	)		(12,063	)		(3,393	)		(15,456	)		(13,358	)		(2,023	)		1,000			(14,381	)

Net earnings	$	53,426		$	97,080		$	106,884		$	257,390		$	99,048		$	356,438		$	108,127		$	169,870		$	223,759		$	501,756


SEGMENT OPERATING MARGIN
Industrial Products		7.9	%		6.6	%		9.6	%		8.1	%		10.2	%		8.6	%		11.9	%		13.3	%		12.6	%		12.6	%
Engineered Systems		10.8	%		12.3	%		15.0	%		12.9	%		10.2	%		12.2	%		11.3	%		14.7	%		14.7	%		13.7	%
Fluid Management		22.8	%		18.8	%		19.6	%		20.5	%		20.1	%		20.4	%		22.8	%		23.8	%		24.5	%		23.7	%
Electronic Technologies		-5.7	%		7.3	%		13.9	%		6.0	%		13.6	%		8.1	%		15.4	%		17.2	%		18.3	%		17.1	%
Total Segment		10.2	%		11.3	%		14.3	%		12.0	%		13.1	%		12.3	%		15.0	%		16.9	%		17.1	%		16.4	%

DOVER CORPORATION — INVESTOR SUPPLEMENT
THIRD QUARTER 2010

DOVER CORPORATION
QUARTERLY SEGMENT INFORMATION
(unaudited) (in thousands)


	2009																		2010
										Q3																		Q3
	Q1			Q2			Q3			YTD			Q4			FY 2009			Q1			Q2			Q3			YTD

BOOKINGS
Industrial Products
Material Handling	$	118,343		$	126,224		$	162,759		$	407,326		$	180,350		$	587,676		$	204,098		$	223,787		$	222,961		$	650,846
Mobile Equipment		210,558			245,937			191,539			648,034			253,130			901,164			231,128			288,887			233,731			753,746
Eliminations		(22	)		(202	)		(337	)		(561	)		(425	)		(986	)		(407	)		(303	)		(444	)		(1,154	)

		328,879			371,959			353,961			1,054,799			433,055			1,487,854			434,819			512,371			456,248			1,403,438

Engineered Systems
Product Identification		175,679			205,736			212,642			594,057			223,302			817,359			220,410			223,203			218,213			661,826
Engineered Products		236,353			259,868			258,634			754,855			263,212			1,018,067			368,134			379,048			329,119			1,076,301

		412,032			465,604			471,276			1,348,912			486,514			1,835,426			588,544			602,251			547,332			1,738,127

Fluid Management
Energy		142,721			132,855			157,763			433,339			176,706			610,045			208,669			226,301			213,247			648,217
Fluid Solutions		150,375			159,483			165,601			475,459			169,639			645,098			179,037			192,035			195,865			566,937
Eliminations		(42	)		(39	)		(41	)		(122	)		(18	)		(140	)		(85	)		(51	)		(144	)		(280	)

		293,054			292,299			323,323			908,676			346,327			1,255,003			387,621			418,285			408,968			1,214,874


Electronic Technologies		223,707			243,274			283,035			750,016			305,266			1,055,282			358,477			394,441			402,332			1,155,250


Intra-segment eliminations		(1,290	)		(1,435	)		(1,790	)		(4,515	)		(1,601	)		(6,116	)		(1,616	)		(2,244	)		(2,278	)		(6,138	)


Total consolidated bookings	$	1,256,382		$	1,371,701		$	1,429,805		$	4,057,888		$	1,569,561		$	5,627,449		$	1,767,845		$	1,925,104		$	1,812,602		$	5,505,551


BACKLOG
Industrial Products
Material Handling	$	120,066		$	93,247		$	102,146					$	116,658					$	131,521		$	140,452		$	142,959
Mobile Equipment		349,358			368,315			318,496						329,774						319,801			359,727			344,160
Eliminations		(48	)		(143	)		(170	)					(371	)					(386	)		(257	)		(248	)

		469,376			461,419			420,472						446,061						450,936			499,922			486,871

Engineered Systems
Product Identification		57,801			66,288			72,523						74,700						78,976			80,550			80,986
Engineered Products		196,394			245,165			199,888						218,520						314,465			334,971			267,545

		254,195			311,453			272,411						293,220						393,441			415,521			348,531

Fluid Management
Energy		58,771			54,734			66,043						77,173						76,844			84,800			84,659
Fluid Solutions		60,781			63,788			65,081						60,540						63,535			65,639			69,130
Eliminations		(5	)		(1	)		(21	)					(2	)					(55	)		(1	)		(17	)

		119,547			118,521			131,103						137,711						140,324			150,438			153,772


Electronic Technologies		186,850			185,512			194,414						206,893						271,340			318,450			357,800


Intra-segment eliminations		(42	)		(242	)		(426	)					(337	)					(362	)		(570	)		(490	)


Total consolidated backlog	$	1,029,926		$	1,076,663		$	1,017,974					$	1,083,548					$	1,255,679		$	1,383,761		$	1,346,484


ACQUISITION RELATED DEPRECIATION AND AMORTIZATION EXPENSE *

Industrial Products	$	8,387		$	7,709		$	7,770		$	23,866		$	8,182		$	32,048		$	7,575		$	7,620		$	7,774		$	22,969
Engineered Systems		6,070			6,437			6,580			19,087			7,579			26,666			7,915			7,057			6,838			21,810
Fluid Management		4,828			4,592			4,432			13,852			4,537			18,389			5,429			5,591			5,222			16,242
Electronic Technologies		8,286			8,217			8,268			24,771			8,432			33,203			8,370			8,540			8,480			25,390

	$	27,571		$	26,955		$	27,050		$	81,576		$	28,730		$	110,306		$	29,289		$	28,808		$	28,314		$	86,411


*		Represents the pre-tax impact on earnings from the depreciation and amortization of acquisition accounting write-ups to reflect the fair value of inventory, property, plant and equipment and intangible assets.

DOVER CORPORATION — INVESTOR SUPPLEMENT
THIRD QUARTER 2010

DOVER CORPORATION
QUARTERLY EARNINGS PER SHARE
(unaudited)


	2009																	2010
	Q1			Q2			Q3		Q3 YTD			Q4			FY 2009			Q1			Q2			Q3		Q3 YTD

Basic earnings (loss) per common share:
Continuing operations	$	0.33		$	0.54		$	0.58	$	1.45		$	0.55		$	2.00		$	0.65		$	0.92		$	1.19	$	2.76
Discontinued operations		(0.04	)		(0.02	)		—		(0.06	)		(0.02	)		(0.08	)		(0.07	)		(0.01	)		0.01		(0.08	)
Net earnings		0.29			0.52			0.57		1.38			0.53			1.91			0.58			0.91			1.20		2.68

Diluted earnings (loss) per common share:
Continuing operations	$	0.33		$	0.54		$	0.58	$	1.45		$	0.55		$	1.99		$	0.65		$	0.91		$	1.18	$	2.73
Discontinued operations		(0.04	)		(0.02	)		—		(0.06	)		(0.02	)		(0.08	)		(0.07	)		(0.01	)		0.01		(0.08	)
Net earnings		0.29			0.52			0.57		1.38			0.53			1.91			0.58			0.90			1.19		2.66

NOTE:

Diluted earnings per share in the third quarter of 2010 and the second quarter of 2009 were favorably impacted by discrete tax events. The third quarter of 2010 was additionally impacted by the favorable resolution of a tax position in a foreign jurisdiction. As a result, the Company’s effective tax rates in the third quarter of 2010 and second quarter 2009 were 14.8% and 1.1%, respectively, which were lower than the Company’s previously estimated tax rates of 29% for each of the respective periods. These lower effective tax rates contributed incremental diluted earnings per share of $0.20 in the third quarter of 2010 and $0.15 in the second quarter of 2009.

DOVER CORPORATION — INVESTOR SUPPLEMENT
THIRD QUARTER 2010

DOVER CORPORATION
QUARTERLY FREE CASH FLOW INFORMATION
(unaudited)(in thousands)


	2009															2010
																									Q3
	Q1			Q2			Q3			Q4			FY 2009			Q1			Q2			Q3			YTD


Cash From Operations	$	114,866		$	192,436		$	246,811		$	247,947		$	802,060		$	87,066		$	231,199		$	200,847		$	519,112

CAPEX		(31,475	)		(26,976	)		(24,799	)		(36,759	)		(120,009	)		(39,336	)		(46,945	)		(43,556	)		(129,837	)


Free Cash Flow	$	83,391		$	165,460		$	222,012		$	211,188		$	682,051		$	47,730		$	184,254		$	157,291		$	389,275


Free Cash Flow to Earnings From Continuing Operations		136.5	%		164.0	%		206.6	%		206.2	%		183.4	%		39.3	%		107.2	%		70.6	%		75.4	%

DOVER Corp - FORM 8-K - EX-99.2 - October 22, 2010

Attached files

DOVER Corp Reports