Pentair : Q4 2022 Pentair plc Earnings Conference Call

Q4 2022 Earnings

Release

January 31, 2023

Caution Concerning Forward-Looking Statements

This presentation contains statements that we believe to be "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. All statements, other than statements of historical fact are forward-looking statements. Without limitation, any statements preceded or followed by or that include the words "targets," "plans," "believes," "expects," "intends," "will," "likely," "may," "anticipates," "estimates," "projects," "should," "would," "could," "positioned," "strategy," "future" or words, phrases or terms of similar substance or the negative thereof, are forward-looking statements. These forward-looking statements are not guarantees of future performance and are subject to risks, uncertainties, assumptions and other factors, some of which are beyond our control, which could cause actual results to differ materially from those expressed or implied by such forward-looking statements. These factors include the overall global economic and business conditions impacting our business, including the strength of housing and related markets and conditions relating to the conflict between Russia and Ukraine related sanctions; supply, demand, logistics, competition and pricing pressures related to and in the markets we serve; the ability to achieve the benefits of our restructuring plans, cost reduction initiatives and transformation program; the impact of raw material, logistics and labor costs and other inflation; volatility in currency exchange rates; failure of markets to accept new product introductions and enhancements; the ability to successfully identify, finance, complete and integrate acquisitions; risks associated with operating foreign businesses; the impact of seasonality of sales and weather conditions; our ability to comply with laws and regulations; the impact of changes in laws, regulations and administrative policy, including those that limit U.S. tax benefits or impact trade agreements and tariffs; the outcome of litigation and governmental proceedings; and the ability to achieve our long-term strategic operating and ESG goals. Additional information concerning these and other factors is contained in our filings with the U.S. Securities and Exchange Commission (the "SEC"), including our Annual Report on Form 10-K for the year ended December 31, 2021 and our quarterly reports on Form 10-Q. All forward-looking statements, including all financial forecasts, speak only as of the date of this presentation. Pentair assumes no obligation, and disclaims any obligation, to update the information contained in this presentation.

2	Q4 2022 Earnings Release. ©2023 Pentair. All Rights Reserved.

Key Definitions

• Except as otherwise noted, our results represent continuing operations for the period indicated, presented on an adjusted basis
• "Core sales" refers to GAAP revenue from continuing operations excluding: (1) the impact of currency translation and (2) the impact of revenue from acquired businesses recorded prior to the first anniversary of the acquisition less the amount of sales attributable to divested product lines not considered discontinued operations
• Segment income represents equity income of unconsolidated subsidiaries and operating income from continuing operations exclusive of non-cash intangible amortization, certain acquisition related expenses, costs of transformation and restructuring activities, impairments, and other unusual non-operating items
• Return on sales ("ROS") equals segment income divided by sales
• See appendix for GAAP to non-GAAP reconciliations

3	Q4 2022 Earnings Release. ©2023 Pentair. All Rights Reserved.

Executive Summary

✓ Strong financial results for FY'22
	FY'21 Results		FY'22 Results
─ Sales growth of 9%
	$3.76B		$4.12B
Sales
─ Segment income up 12%
	$686M		$768M
─ ROS expanded 40 basis points	Segment Income
─ Adjusted EPS increased 8%
	$3.40	$3.68
Adjusted EPS

• Delivered impressive sales, segment income, and adjusted EPS in 2022
• Continued progress on our transformation and ESG journeys
• Further enhanced and diversified our portfolio with the acquisition of Manitowoc Ice and the launch of new innovation
• Introducing Q1 and full year 2023 guidance

4	Q4 2022 Earnings Release. ©2023 Pentair. All Rights Reserved.

5 Year Pentair Performance

Driving Strong Performance

Revenue

Segment Income

ROS

Adjusted EPS

Full Year

*As initially reported on July 25, 2018

$4.12B

$2.85B

$497M $768M

172017.5% 182022.6%

$1.94		$3.68

2017* 2022

8%

CAGR

14%

CAGR

• Revenue Growth CAGR of 8%
• Adjusted EPS CAGR of 14%
• Cumulative Free Cash Flow of >$2B
• ROIC at 12/31/2022 of ~16%

5	Q4 2022 Earnings Release. ©2023 Pentair. All Rights Reserved.