Parker-Hannifin Corporation (PH) Q1 2023 Earnings Call Transcript

For the period ending September 30, 2022

November 3, 2022 11:00 a.m. ET

Prepared Remarks

Questions and Answers

Call Participants

Prepared Remarks:

Operator

Thank you for standing by, and welcome to the Parker-Hannifin Fiscal 2023 First Quarter Earnings Conference Call and Webcast. As a reminder, today's program is being recorded. I would now like to introduce your host for today's program, Mr. Todd Leombruno, Chief Financial Officer. Please go ahead, sir.

Todd Leombruno - EVP & CFO

Thank you, Jonathan. Good morning, everyone, and thank you for joining Parker's fiscal year 2023 Q1 earnings release webcast. As Jonathan said, this is Todd Leombruno, Chief Financial Officer speaking. And joining me today is our Chairman and Chief Executive Officer, Tom Williams; our Vice Chairman and President, Lee Banks; and our current Chief Operating Officer and Chief Executive Officer elect, Jenny Parmentier.

We will be addressing forward projections and non-GAAP financial measures today. Slide 2 provides details to our disclosure statement in these areas. Actual results could vary from our projections for the items listed in these forward-looking statements and also detailed in our SEC filings.

The presentation today will address non-GAAP measures, and reconciliations for those non-GAAP measures are available in this presentation and all of this is available on the Investors section at parker.com and will remain available for 1 year.

Tom is going to begin the call today with a couple of highlights on the quarter and also provide an update to the Meggitt integration. I'll follow with a brief summary on the financials and review the increase to our guidance that we issued this morning. And then we'll touch on the leadership transition that we announced last week, and we'll finish the call with Q&A.

So if I could ask you to reference Slide 3, and I'll hand it over to Tom to begin.

Thomas Williams - Chairman & CEO

Thank you, Todd, and good morning, everybody. Thanks for joining the call today. We had an impressive first quarter -- first quarter record sales, net income, EPS and several margin records. And we closed the Meggitt acquisition, which was a big accomplishment. So if you look at this slide, the first bullet, safety is our top priority. We leverage the high-performance teams, Lean and Kaizen.

We had a 17% reduction in incidents versus the prior year. If you look at that on a safety incident rates, there would be a number of incidents per 100 team members, that will put us in the top quartile versus our proxy peer group, which is fantastic results.