Exhibit 99.2
INVESTOR SUPPLEMENT — THIRD QUARTER 2009
DOVER CORPORATION
CONSOLIDATED STATEMENTS OF EARNINGS
(unaudited) (in thousands, except per share data)
CONSOLIDATED STATEMENTS OF EARNINGS
(unaudited) (in thousands, except per share data)
Three Months Ended September 30 | Nine Months Ended September 30 | |||||||||||||||
2009 | 2008 | 2009 | 2008 | |||||||||||||
Revenue | $ | 1,499,611 | $ | 1,965,776 | $ | 4,269,028 | $ | 5,842,240 | ||||||||
Cost of goods and services | 941,345 | 1,261,433 | 2,735,308 | 3,718,732 | ||||||||||||
Gross profit | 558,266 | 704,343 | 1,533,720 | 2,123,508 | ||||||||||||
Selling and administrative expenses | 378,125 | 434,992 | 1,110,476 | 1,325,299 | ||||||||||||
Operating earnings | 180,141 | 269,351 | 423,244 | 798,209 | ||||||||||||
Interest expense, net | 26,299 | 25,924 | 73,537 | 76,743 | ||||||||||||
Other income, net | (903 | ) | (12,644 | ) | (1,124 | ) | (8,926 | ) | ||||||||
Total interest expense/other income, net | 25,396 | 13,280 | 72,413 | 67,817 | ||||||||||||
Earnings before provision for income taxes and discontinued operations | 154,745 | 256,071 | 350,831 | 730,392 | ||||||||||||
Provision for income taxes | 47,261 | 65,736 | 81,378 | 205,216 | ||||||||||||
Earnings from continuing operations | 107,484 | 190,335 | 269,453 | 525,176 | ||||||||||||
Loss from discontinued operations, net | (600 | ) | (2,685 | ) | (12,063 | ) | (55,072 | ) | ||||||||
Net earnings | $ | 106,884 | $ | 187,650 | $ | 257,390 | $ | 470,104 | ||||||||
Basic earnings (loss) per common share: | ||||||||||||||||
Earnings from continuing operations | $ | 0.58 | $ | 1.02 | $ | 1.45 | $ | 2.77 | ||||||||
Loss from discontinued operations, net | — | (0.01 | ) | (0.06 | ) | (0.29 | ) | |||||||||
Net earnings | 0.57 | 1.01 | 1.38 | 2.48 | ||||||||||||
Weighted average shares outstanding | 186,148 | 186,488 | 186,077 | 189,326 | ||||||||||||
Diluted earnings (loss) per common share: | ||||||||||||||||
Earnings from continuing operations | $ | 0.58 | $ | 1.01 | $ | 1.45 | $ | 2.76 | ||||||||
Loss from discontinued operations, net | — | (0.01 | ) | (0.06 | ) | (0.29 | ) | |||||||||
Net earnings | 0.57 | 1.00 | 1.38 | 2.47 | ||||||||||||
Weighted average shares outstanding | 186,358 | 187,706 | 186,321 | 190,531 | ||||||||||||
Dividends paid per common share | $ | 0.26 | $ | 0.25 | $ | 0.76 | $ | 0.65 | ||||||||
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 | |||||||||||||||
2009 | 2008 | 2009 | 2008 | |||||||||||||
Weighted average shares outstanding — Basic | 186,148 | 186,488 | 186,077 | 189,326 | ||||||||||||
Dilutive effect of Stock Options SARs and Performance Shares | 210 | 1,218 | 244 | 1,205 | ||||||||||||
Weighted average shares outstanding — Diluted | 186,358 | 187,706 | 186,321 | 190,531 | ||||||||||||
Anti-dilutive equity securities excluded from diluted EPS computation | 12,404 | 3,735 | 9,721 | 3,735 |
DOVER CORPORATION — INVESTOR SUPPLEMENT
THIRD QUATER 2009
THIRD QUATER 2009
DOVER CORPORATION
QUARTERLY SEGMENT INFORMATION
(unaudited) (in thousands)
QUARTERLY SEGMENT INFORMATION
(unaudited) (in thousands)
2008 | 2009 | |||||||||||||||||||||||||||||||||||
Q3 | ||||||||||||||||||||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | FY 2008 | Q1 | Q2 | Q3 | YTD | ||||||||||||||||||||||||||||
REVENUE | ||||||||||||||||||||||||||||||||||||
Industrial Products | ||||||||||||||||||||||||||||||||||||
Material Handling | $ | 287,208 | $ | 306,988 | $ | 286,568 | $ | 256,105 | $ | 1,136,869 | $ | 186,651 | $ | 153,574 | $ | 154,238 | $ | 494,463 | ||||||||||||||||||
Mobile Equipment | 329,723 | 342,228 | 343,261 | 308,210 | 1,323,422 | 248,292 | 229,521 | 242,011 | 719,824 | |||||||||||||||||||||||||||
Eliminations | (157 | ) | (210 | ) | (218 | ) | (201 | ) | (786 | ) | (152 | ) | (147 | ) | (209 | ) | (508 | ) | ||||||||||||||||||
616,774 | 649,006 | 629,611 | 564,114 | 2,459,505 | 434,791 | 382,948 | 396,040 | 1,213,779 | ||||||||||||||||||||||||||||
Engineered Systems | ||||||||||||||||||||||||||||||||||||
Product Identification | 231,526 | 249,250 | 234,868 | 208,825 | 924,469 | 177,358 | 193,019 | 211,952 | 582,329 | |||||||||||||||||||||||||||
Engineered Products | 267,696 | 289,479 | 289,778 | 238,928 | 1,085,881 | 223,426 | 274,398 | 308,741 | 806,565 | |||||||||||||||||||||||||||
499,222 | 538,729 | 524,646 | 447,753 | 2,010,350 | 400,784 | 467,417 | 520,693 | 1,388,894 | ||||||||||||||||||||||||||||
Fluid Management | ||||||||||||||||||||||||||||||||||||
Energy | 213,003 | 236,461 | 249,656 | 236,294 | 935,414 | 176,334 | 138,415 | 144,664 | 459,413 | |||||||||||||||||||||||||||
Fluid Solutions | 188,328 | 210,207 | 202,054 | 178,223 | 778,812 | 154,489 | 156,897 | 164,604 | 475,990 | |||||||||||||||||||||||||||
Eliminations | (32 | ) | (38 | ) | (28 | ) | (82 | ) | (180 | ) | (51 | ) | (42 | ) | (21 | ) | (114 | ) | ||||||||||||||||||
401,299 | 446,630 | 451,682 | 414,435 | 1,714,046 | 330,772 | 295,270 | 309,247 | 935,289 | ||||||||||||||||||||||||||||
Electronic Technologies | 351,757 | 379,958 | 362,446 | 301,970 | 1,396,131 | 214,035 | 245,953 | 275,266 | 735,254 | |||||||||||||||||||||||||||
Intra-segment eliminations | (3,566 | ) | (3,345 | ) | (2,609 | ) | (1,624 | ) | (11,144 | ) | (1,296 | ) | (1,257 | ) | (1,635 | ) | (4,188 | ) | ||||||||||||||||||
Total consolidated revenue | $ | 1,865,486 | $ | 2,010,978 | $ | 1,965,776 | $ | 1,726,648 | $ | 7,568,888 | $ | 1,379,086 | $ | 1,390,331 | $ | 1,499,611 | $ | 4,269,028 | ||||||||||||||||||
NET EARNINGS | ||||||||||||||||||||||||||||||||||||
Segment Earnings: | ||||||||||||||||||||||||||||||||||||
Industrial Products | $ | 78,838 | $ | 87,925 | $ | 74,690 | $ | 58,287 | $ | 299,740 | $ | 34,544 | $ | 25,421 | $ | 38,119 | $ | 98,084 | ||||||||||||||||||
Engineered Systems | 62,996 | 80,045 | 82,032 | 53,480 | 278,553 | 43,305 | 57,462 | 78,194 | 178,961 | |||||||||||||||||||||||||||
Fluid Management | 85,139 | 97,878 | 102,232 | 100,068 | 385,317 | 75,442 | 55,573 | 60,677 | 191,692 | |||||||||||||||||||||||||||
Electronic Technologies | 36,234 | 51,029 | 53,826 | 52,552 | 193,641 | (12,110 | ) | 17,993 | 38,160 | 44,043 | ||||||||||||||||||||||||||
Total Segments | 263,207 | 316,877 | 312,780 | 264,387 | 1,157,251 | 141,181 | 156,449 | 215,150 | 512,780 | |||||||||||||||||||||||||||
Corporate expense / other | (29,969 | ) | (24,975 | ) | (30,785 | ) | (29,466 | ) | (115,195 | ) | (24,692 | ) | (29,614 | ) | (34,106 | ) | (88,412 | ) | ||||||||||||||||||
Net interest expense | (23,431 | ) | (27,388 | ) | (25,924 | ) | (19,294 | ) | (96,037 | ) | (22,398 | ) | (24,840 | ) | (26,299 | ) | (73,537 | ) | ||||||||||||||||||
Earnings from continuing operations before provision for income taxes | 209,807 | 264,514 | 256,071 | 215,627 | 946,019 | 94,091 | 101,995 | 154,745 | 350,831 | |||||||||||||||||||||||||||
Provision for income taxes | 61,876 | 77,604 | 65,736 | 46,045 | 251,261 | 32,996 | 1,121 | 47,261 | 81,378 | |||||||||||||||||||||||||||
Earnings from continuing operations | 147,931 | 186,910 | 190,335 | 169,582 | 694,758 | 61,095 | 100,874 | 107,484 | 269,453 | |||||||||||||||||||||||||||
Earnings (loss) from discontinued operations, net | (753 | ) | (51,634 | ) | (2,685 | ) | (48,855 | ) | (103,927 | ) | (7,669 | ) | (3,794 | ) | (600 | ) | (12,063 | ) | ||||||||||||||||||
Net earnings | $ | 147,178 | $ | 135,276 | $ | 187,650 | $ | 120,727 | $ | 590,831 | $ | 53,426 | $ | 97,080 | $ | 106,884 | $ | 257,390 | ||||||||||||||||||
SEGMENT OPERATING MARGIN | ||||||||||||||||||||||||||||||||||||
Industrial Products | 12.8 | % | 13.5 | % | 11.9 | % | 10.3 | % | 12.2 | % | 7.9 | % | 6.6 | % | 9.6 | % | 8.1 | % | ||||||||||||||||||
Engineered Systems | 12.6 | % | 14.9 | % | 15.6 | % | 11.9 | % | 13.9 | % | 10.8 | % | 12.3 | % | 15.0 | % | 12.9 | % | ||||||||||||||||||
Fluid Management | 21.2 | % | 21.9 | % | 22.6 | % | 24.1 | % | 22.5 | % | 22.8 | % | 18.8 | % | 19.6 | % | 20.5 | % | ||||||||||||||||||
Electronic Technologies | 10.3 | % | 13.4 | % | 14.9 | % | 17.4 | % | 13.9 | % | -5.7 | % | 7.3 | % | 13.9 | % | 6.0 | % | ||||||||||||||||||
Total Segment | 14.1 | % | 15.8 | % | 15.9 | % | 15.3 | % | 15.3 | % | 10.2 | % | 11.3 | % | 14.3 | % | 12.0 | % |
2008 | 2009 | |||||||||||||||||||||||||||||||||||
Q3 | ||||||||||||||||||||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | FY 2008 | Q1 | Q2 | Q3 | YTD | ||||||||||||||||||||||||||||
BOOKINGS | ||||||||||||||||||||||||||||||||||||
Industrial Products | ||||||||||||||||||||||||||||||||||||
Material Handling | $ | 296,278 | $ | 313,199 | $ | 292,436 | $ | 207,115 | $ | 1,109,028 | $ | 118,343 | $ | 126,224 | $ | 162,759 | $ | 407,326 | ||||||||||||||||||
Mobile Equipment | 360,324 | 318,059 | 295,240 | 204,257 | 1,177,880 | 210,558 | 245,937 | 191,539 | 648,034 | |||||||||||||||||||||||||||
Eliminations | (296 | ) | (385 | ) | (193 | ) | (260 | ) | (1,134 | ) | (22 | ) | (202 | ) | (337 | ) | (561 | ) | ||||||||||||||||||
656,306 | 630,873 | 587,483 | 411,112 | 2,285,774 | 328,879 | 371,959 | 353,961 | 1,054,799 | ||||||||||||||||||||||||||||
Engineered Systems | ||||||||||||||||||||||||||||||||||||
Product Identification | 239,547 | 250,538 | 233,196 | 197,431 | 920,712 | 175,679 | 205,736 | 212,642 | 594,057 | |||||||||||||||||||||||||||
Engineered Products | 284,257 | 279,673 | 260,227 | 219,716 | 1,043,873 | 236,353 | 259,868 | 258,634 | 754,855 | |||||||||||||||||||||||||||
523,804 | 530,211 | 493,423 | 417,147 | 1,964,585 | 412,032 | 465,604 | 471,276 | 1,348,912 | ||||||||||||||||||||||||||||
Fluid Management | ||||||||||||||||||||||||||||||||||||
Energy | 233,662 | 252,535 | 268,390 | 209,930 | 964,517 | 142,721 | 132,855 | 157,763 | 433,339 | |||||||||||||||||||||||||||
Fluid Solutions | 197,289 | 217,466 | 195,253 | 161,351 | 771,359 | 150,375 | 159,483 | 165,601 | 475,459 | |||||||||||||||||||||||||||
Eliminations | (24 | ) | (32 | ) | (31 | ) | (91 | ) | (178 | ) | (42 | ) | (39 | ) | (41 | ) | (122 | ) | ||||||||||||||||||
430,927 | 469,969 | 463,612 | 371,190 | 1,735,698 | 293,054 | 292,299 | 323,323 | 908,676 | ||||||||||||||||||||||||||||
Electronic Technologies | 360,337 | 384,790 | 363,535 | 233,720 | 1,342,382 | 223,707 | 243,274 | 283,035 | 750,016 | |||||||||||||||||||||||||||
Intra-segment eliminations | (2,992 | ) | (3,490 | ) | (1,755 | ) | (1,182 | ) | (9,419 | ) | (1,288 | ) | (1,436 | ) | (1,790 | ) | (4,515 | ) | ||||||||||||||||||
Total consolidated bookings | $ | 1,968,382 | $ | 2,012,353 | $ | 1,906,298 | $ | 1,431,987 | $ | 7,319,020 | $ | 1,256,383 | $ | 1,371,700 | $ | 1,429,805 | $ | 4,057,888 | ||||||||||||||||||
DOVER CORPORATION — INVESTOR SUPPLEMENT
THIRD QUATER 2009
THIRD QUATER 2009
2008 | 2009 | |||||||||||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | Q1 | Q2 | Q3 | ||||||||||||||||||||||
BACKLOG | ||||||||||||||||||||||||||||
Industrial Products | ||||||||||||||||||||||||||||
Material Handling | $ | 228,082 | $ | 235,284 | $ | 240,009 | $ | 188,591 | $ | 120,066 | $ | 93,247 | $ | 102,146 | ||||||||||||||
Mobile Equipment | 575,070 | 549,430 | 498,908 | 387,329 | 349,358 | 368,315 | 318,496 | |||||||||||||||||||||
Eliminations | (171 | ) | (186 | ) | (161 | ) | (220 | ) | (48 | ) | (143 | ) | (170 | ) | ||||||||||||||
802,981 | 784,528 | 738,756 | 575,700 | 469,376 | 461,419 | 420,472 | ||||||||||||||||||||||
Engineered Systems | ||||||||||||||||||||||||||||
Product Identification | 79,956 | 82,196 | 76,247 | 61,195 | 57,801 | 66,288 | 72,523 | |||||||||||||||||||||
Engineered Products | 244,981 | 235,513 | 205,127 | 183,821 | 196,394 | 245,165 | 199,888 | |||||||||||||||||||||
324,937 | 317,709 | 281,374 | 245,016 | 254,195 | 311,453 | 272,411 | ||||||||||||||||||||||
Fluid Management | ||||||||||||||||||||||||||||
Energy | 106,540 | 119,033 | 133,713 | 95,532 | 58,771 | 54,734 | 66,043 | |||||||||||||||||||||
Fluid Solutions | 85,130 | 91,870 | 82,998 | 64,471 | 60,781 | 63,788 | 65,081 | |||||||||||||||||||||
Eliminations | (6 | ) | (3 | ) | (12 | ) | (5 | ) | (1 | ) | (21 | ) | ||||||||||||||||
191,664 | 210,903 | 216,708 | 159,991 | 119,547 | 118,521 | 131,103 | ||||||||||||||||||||||
Electronic Technologies | 246,711 | 251,403 | 248,725 | 175,317 | 186,850 | 185,512 | 194,414 | |||||||||||||||||||||
Intra-segment eliminations | (2,038 | ) | (1,424 | ) | (540 | ) | (61 | ) | (42 | ) | (242 | ) | (426 | ) | ||||||||||||||
Total consolidated backlog | $ | 1,564,255 | $ | 1,563,119 | $ | 1,485,023 | $ | 1,155,963 | $ | 1,029,926 | $ | 1,076,663 | $ | 1,017,974 | ||||||||||||||
ACQUISITION RELATED DEPRECIATION AND AMORTIZATION EXPENSE *
2008 | 2009 | |||||||||||||||||||||||||||||||||||
Q3 | ||||||||||||||||||||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | FY 2008 | Q1 | Q2 | Q3 | YTD | ||||||||||||||||||||||||||||
Industrial Products | $ | 9,215 | $ | 8,070 | $ | 7,805 | $ | 7,193 | $ | 32,283 | $ | 8,387 | $ | 7,709 | $ | 7,770 | $ | 23,866 | ||||||||||||||||||
Engineered Systems | 6,109 | 6,116 | 6,103 | 6,066 | 24,394 | 6,070 | 6,437 | 6,580 | 19,087 | |||||||||||||||||||||||||||
Fluid Management | 3,914 | 5,607 | 5,422 | 4,607 | 19,550 | 4,828 | 4,592 | 4,432 | 13,852 | |||||||||||||||||||||||||||
Electronic Technologies | 8,902 | 9,416 | 9,304 | 8,859 | 36,481 | 8,286 | 8,217 | 8,268 | 24,771 | |||||||||||||||||||||||||||
$ | 28,140 | $ | 29,209 | $ | 28,634 | $ | 26,725 | $ | 112,708 | $ | 27,571 | $ | 26,955 | $ | 27,050 | $ | 81,576 | |||||||||||||||||||
* | 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. |
FREE CASH FLOW
2008 | 2009 | |||||||||||||||||||||||||||||||||||
Q3 | ||||||||||||||||||||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | FY 2008 | Q1 | Q2 | Q3 | YTD | ||||||||||||||||||||||||||||
Operations | $ | 153,904 | $ | 232,074 | $ | 354,085 | $ | 270,353 | $ | 1,010,416 | $ | 114,866 | $ | 192,436 | $ | 246,811 | $ | 554,113 | ||||||||||||||||||
CAPEX | (42,535 | ) | (42,580 | ) | (48,204 | ) | (42,476 | ) | (175,795 | ) | (31,475 | ) | (26,976 | ) | (24,799 | ) | (83,250 | ) | ||||||||||||||||||
Free Cash Flow | $ | 111,369 | $ | 189,494 | $ | 305,881 | $ | 227,877 | $ | 834,621 | $ | 83,391 | $ | 165,460 | $ | 222,012 | $ | 470,863 | ||||||||||||||||||
Free Cash Flow to Earnings From Continuing Operations | 75.3 | % | 101.4 | % | 160.7 | % | 134.4 | % | 120.1 | % | 136.5 | % | 164.0 | % | 206.6 | % | 174.7 | % |
DOVER CORPORATION — INVESTOR
SUPPLEMENT THIRD QUARTER 2009
SUPPLEMENT THIRD QUARTER 2009
DOVER CORPORATION
QUARTERLY EARNINGS PER SHARE
(unaudited) (in thousands)
QUARTERLY EARNINGS PER SHARE
(unaudited) (in thousands)
2008 | 2009 | |||||||||||||||||||||||||||||||||||
Q1 | Q2 | Q3 | Q4 | FY 2008 | Q1 | Q2 | Q3 | Q3 YTD | ||||||||||||||||||||||||||||
Basic earnings (loss) per common share: | ||||||||||||||||||||||||||||||||||||
Continuing operations | $ | 0.77 | $ | 0.99 | $ | 1.02 | $ | 0.91 | $ | 3.69 | $ | 0.33 | $ | 0.54 | $ | 0.58 | $ | 1.45 | ||||||||||||||||||
Discontinued operations | (0.00 | ) | (0.27 | ) | (0.01 | ) | (0.26 | ) | (0.55 | ) | (0.04 | ) | (0.02 | ) | (0.00 | ) | (0.06 | ) | ||||||||||||||||||
Net earnings | 0.76 | 0.72 | 1.01 | 0.65 | 3.13 | 0.29 | 0.52 | 0.57 | 1.38 | |||||||||||||||||||||||||||
Diluted earnings (loss) per common share: | ||||||||||||||||||||||||||||||||||||
Continuing operations | $ | 0.77 | $ | 0.98 | $ | 1.01 | $ | 0.91 | $ | 3.67 | $ | 0.33 | $ | 0.54 | $ | 0.58 | $ | 1.45 | ||||||||||||||||||
Discontinued operations | (0.00 | ) | (0.27 | ) | (0.01 | ) | (0.26 | ) | (0.55 | ) | (0.04 | ) | (0.02 | ) | (0.00 | ) | (0.06 | ) | ||||||||||||||||||
Net earnings | 0.76 | 0.71 | 1.00 | 0.65 | 3.12 | 0.29 | 0.52 | 0.57 | 1.38 |