EX-99.3 4 brhc10048528_ex99-3.htm EXHIBIT 99.3

Exhibit 99.3
Standard Motor Products, Inc. Q4 Investor Presentation February 22, 2023 1

Standard Motor Products, Inc. Q4 Investor Presentation February 22, 2023 1
Safe Harbor – Forward Looking Statements 2 You should be aware that except for historical information, the matters discussed herein are forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward looking statements, including projections and anticipated levels of future performance, are based on current information and assumptions and involve risks and uncertainties which may cause actual results to differ materially from those discussed herein. In addition, we use metrics such as Adjusted EBITDA and Income from Operations without Special Items throughout this presentation, which are non-GAAP measures. You are urged to review all of our filings with the SEC and our press releases from time to time for details of risks and uncertainties that could cause future performance to vary from the expectations expressed or implied by the forward-looking statements herein and for certain reconciliations of GAAP to non-GAAP results.

Consistent Dividend Growth Consistent Revenue Growth 2022 Sales Mix by Segment SMP Corporate Snapshot 3 Founded:1919 HQ: Long Island City, NY Locations: 32 Globally Employees: 6,100* 2022 Financial Highlights Revenue: $1.37B Aftermarket: $1.1B Vehicle Control $751M Temperature Control: $351M Engineered Solutions: $270M EBITDA**: 10.7% Dividend Yield: 2.8% 2022 EBITDA** Mix by Segment *includes JVs CAGR: 11% * Dividend paid out for two quarters only due to COVID-19 pandemic **reflects adjusted EBITDA which is a non-GAAP financial measure; see reconciliation in appendix

Global Footprint with Customer Adjacency 4

Strategy Overview 5

Automotive Aftermarket Engineered Solutions Sustainability & Continuous Improvement Capital Allocation Continued leadership in North American Aftermarket Best-in-class, full-line, full-service supplier of premium products within our categories Innovative product solutions for multiple On-Highway and Off-Highway vehicle markets Leveraging our diverse customer relationships, engineering capabilities, operational skills, and global footprint Commitment to ongoing ESG and DEI initiatives Operational excellence in manufacturing, product development, and supply chain Capital investment supports future growth Take advantage of opportunistic M&A Effectively balance our use of debt and equity Dividends and stock repurchases Strategic Objectives 6

Aftermarket Snapshot 7 Aftermarket Net Sales 2022 Aftermarket Sales Mix Nationally Recognized Brands Supplier to All Major Distributors Aftermarket EBITDA* & Margin% *reflects adjusted EBITDA which is a non-GAAP financial measure; see reconciliation in appendix

8 To be the best full-line, full-service supplier of premium vehicle control and temperature control products Value Proposition Aftermarket Strategy Our suite of products and services is designed to provide all the needed support for our customer and the technicians who install our parts

Source: 2023 Auto Care Factbook, 2022 S&P Global Mobility (formerly IHS Markit) Favorable Aftermarket Industry Trends 9 Car Parc Continues to Age U.S. Light Vehicle Parc Number of Repairable Vehicles Continue to Climb DIFM Revenue Continues to Grow Source: Auto Care Association / Modern Tire Dealer Source: Auto Care Association / IHS Markit Source: Auto Care Association / IHS Markit +3% increase “Sweet Spot” a foundation for growth over next 5-10 years Millions Years

Committed to Growing Technologies 10 DEGREE OF COMPLEXITY TECHNOLOGY EVOLUTION SMP evolves to meet the advanced automotive technology of today and tomorrow ADVANCED INTERNAL COMBUSTION ENGINE COMPONENTS ADVANCED HEV, EV, AND POWERTRAIN-NEUTRAL COMPONENTS POWER MANAGEMENT COMMUNICATIONS ADAS ALTERNATIVE ENERGY SENSORS SWITCHES IGNITION SYSTEM EMISSION CONTROLS, VVT & EVAP SYSTEMS DIESEL FUEL SYSTEM AIRFLOW MANAGEMENT OIL TEMP CONTROL VEHICLE ACTUATORS & MOTORS A/C COMPONENTS AUXILIARY COOLING ELECTRIC & HYBRID COMPRESSORS DOOR & WINDOW COMPONENTS ADVANCED A/C COMPONENTS HVAC ACTUATORS & MOTORS ENGINE COOLING

Vehicle Control Segment 11 Ignition, Emission & Fuel Electrical & Safety Wire Sets & Other Powertrain Neutral, Hybrid & EV Specific Traditional and Advanced ICE Categories Variable Valve Timing Components Ignition Coils Turbochargers Electronic Throttle Bodies Gasoline and Diesel Injection Emission Controls Air & Fuel Sensors & Switches Many other categories Growing categories used on all vehicles regardless if they are gas, diesel, hybrid or electric 165+ Powertrain Neutral Categories ADAS (Advance Driver Assist Systems) TPMS Sensors Electrical Connectors Fluid Level & Temperature Sensors Electrical Switches & Relays Door, Trunk and Hood Lock Actuators Hundreds of other categories Conventional Wire & Cable categories for ICE vehicles Ignition Wire Sets Coil-on-Plug Boots Wire Leads Wire Terminals $231M ‘22 Net Sales 31% of Segment ICE-Related1 ICE-Related $455M ‘22 Net Sales 60% of Segment $66M ‘22 Net Sales 9% of Segment 1 ICE: Internal Combustion Engine

Temperature Control Segment Favorably impacted by electrification Most product categories are powertrain-neutral or electrification-specific A/C Compressors transition to year-round operation (battery cooling) 12 Most interior heating and cooling components remain the same for ICE and Hybrid / EV vehicles Fan Clutches Electric Thermal Pumps Battery Cooling Fan Motors Liquid Cooled Heat Exchangers Other Thermal Components Provide engine, transmission, electric drive, and battery temperature management A/C Compressors Accumulators Evaporators Blend Door Actuators Expansion Devices A/C System Components $245M Net Sales (70% in 2022) $106M Net Sales (30% in 2022)

Engineered Solutions Snapshot 13 Commercial Vehicle - $80M Light Vehicle - $92M All Other - $56M Construction / Agriculture - $42M Engineered Solutions Net Sales Engineered Solutions EBITDA & Margin% *reflects adjusted EBITDA which is a non-GAAP financial measure; see reconciliation in appendix

Engineered Solutions Opportunities 14 Increasing Demand Market Expansion Growth Collaboration Broadens the Company’s target opportunities across multiple industries with new end markets Sales driver as new segment has potential for expanded long-term growth rates Supports and expands SMP’s Aftermarket position through sharing technologies and engineering expertise 2022 Global Sales Diverse Customer Mix *excludes non-controlled JV sales to third parties Diversification Diverse end markets, geographies, and customers

New Product Development Diversification Market Expansion M&A Opportunities Sales Support Customer Service Engineering Technical Resources Adaptable development and manufacturing for unique and specific requirements Advanced quality systems Committed to continuous improvement Focused Growth Global Reach with Local Support Customizable Designs World Class Manufacturing An extensive portfolio of adaptable products and a global network of resources positioned to serve a diverse customer base Engineered Solutions Strategy 15

16 Construction & Agriculture Engineered Solutions Markets Commercial Vehicle Hydraulics & Industrial Powersports Light Vehicle Outdoor Power Equipment

Engineered Solutions Products 17 Electronics SMPEngineeredSolutions.com Thermal Management Sensors Switches Power Distribution Ignition & Emission Injection & Fuel Delivery Clamping

Optimized Supply Chain Commitment to Manufacturing Basic manufacturer with 12 manufacturing facilities 13 design and development centers Diverse low-cost footprint Global sourcing and supplier development Expansive distribution network Operational Excellence Manufacturing by Geography 18

2013 2013 2014 2014 2014 2016 2017 2019 2019 2021 2021 2021 2022 Aftermarket Engineered Solutions New Products / Technology Vertical Integration Geographic Expansion Strategic Acquisitions 19 Target technologies, products, and processes: Align with our core competencies Diversification plays in adjacent markets or technologies Servicing common customers and markets Consolidating competitors or suppliers Synergistic product line carve-outs that enhance our capabilities Vertical integration of key technologies

Sustainability 20 SMP is committed to ongoing ESG and DE&I initiatives We believe in being a good corporate citizen We are committed to our company, our employees, our shareholders, our business partners, and our communities Environmental Ambition to achieve net-zero by 2050 Established Scope 1 + Scope 2 GHG emission reduction targets Expanded product offering to reduce emissions and improve fuel economy Transitioning sales fleet to hybrid vehicles Social Increased diversity in hiring and promotion of our workforce Safety protocols leading to low incidence of injuries Financial support of community organizations, scholarship providers and Ukranian refugees Employee development programs Governance Board of Directors oversight of ESG strategy Increased diversity of our Board of Directors Code of Ethics enforces a culture of compliance Independently run whistle-blower hotline Stock ownership guidelines align with shareholder interests

Return to Shareholders 21 Share Repurchase Program * Dividend paid out for two quarters only due to COVID-19 pandemic 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 2021 2022 Period Total Spend ($000's) $4,136 $4,999 $6,864 $10,000 $19,623 $377 $24,376 $14,886 $10,738 $13,482 $26,862 $29,656 $166,000 Shares ($000's) 322 381 210 284 552 10 531 323 222 324 622 692 4,473 Avg. Price $12.85 $13.13 $32.69 $35.18 $35.56 $37.24 $45.92 $46.12 $48.43 $41.63 $43.17 $42.86 $37.11 Quarterly Dividends

SMP Cash Utilization 22 Total Utilization This is an image Cash Allocation % Capex & M&A 79% 59% 70% 35% 85% 43% 47% 66% 42% 76% 34% Dividends & Repurchases 21% 41% 30% 65% 15% 57% 53% 34% 58% 24% 66%

Engineered Solutions provides diversified and fast growth potential across new opportunities Strong financial results with healthy cash flow generation Leader in Aftermarket with significant share; generating consistent annual growth Longstanding business led by experienced management team Commitment to corporate and social responsibility Disciplined capital allocation strategy driving organic and inorganic growth with improving ROIC Why Invest in SMP 23

Full Year 2022 Financial Results 24

Year-Over-Year Performance Measures 25 Consolidated Net Sales ($M) Operating Profit EBITDA ($M & % Net Sales) ‡ Operating Profit, EBITDA and Diluted EPS shown without Special Items UP 5.6% $1,128.6 $1,298.8 Diluted EPS

Income Statement Non-GAAP 26

Condensed Balance Sheet 27

Condensed Statement of Cash Flows 28

Appendix 29

Reconciliation of GAAP and Non-GAAP Measures 30

Reconciliation of GAAP and Non-GAAP Measures (cont’d) 31

Thank you For more information, contact: Anthony (Tony) Cristello Standard Motor Products, Inc. (972) 316-8107 tony.cristello@smpcorp.com