APi (APG) - 2022 Q3 - Earnings Call Presentation

Q3 2022 Performance Highlights - Record net revenues of $1.7 billion[15] - Net revenues increased on an organic basis by approximately 16.5%, driven by a double-digit increase in inspection, service and monitoring revenue[15] - Adjusted gross margin of 26.3%, representing a 208 basis point increase compared to prior year[15] - Record adjusted EBITDA of $186 million, representing a 10.7% margin[15] - Record adjusted diluted earnings per share of $0.37, representing a $0.02 increase from prior year period[15] - Adjusted free cash flow of $166 million, representing a 159% increase compared to the prior year period[15] 2022 Financial Results Overview - Net revenues increased by 16.4% on an organic basis for the three months ended September 30, 2022[17] - Adjusted gross margin was 26.3% for the three months ended September 30, 2022, a 208 basis point increase[17] - Adjusted EBITDA was $186 million with a 10.7% margin for the three months ended September 30, 2022[17] - Adjusted diluted EPS was $0.37 per share for the three months ended September 30, 2022, a $0.02 increase[17] - Net revenues increased by 14.7% on an organic basis for the nine months ended September 30, 2022[18] - Adjusted gross margin was 26.5% for the nine months ended September 30, 2022, a 280 basis point increase[18] - Adjusted EBITDA was $490 million with a 10.1% margin for the nine months ended September 30, 2022[18] - Adjusted diluted EPS was $0.96 per share for the nine months ended September 30, 2022, a $0.22 increase[18] 2022 Guidance - The company expects full year revenue outlook to range between $6.45 billion to $6.5 billion[31] - The company expects adjusted EBITDA will range between $660 million to $675 million[31] - The company now expects growth in net revenues on an organic basis at constant currencies of 10%+[31] - Q4 net revenues are expected to be $1.602 billion to $1.652 billion[33] - Q4 adjusted EBITDA is expected to be $170 million to $185 million[33] - Q4 adjusted Free Cash Flow is expected to be $190 million to $210 million[33] - Full year adjusted Free Cash Flow is expected to be $372 million to $392 million[33] - Full year adjusted Free Cash Flow Conversion is expected to be 55%+[33]