Slide 1: Integrated Electrical Services, Inc. 3rd Quarter Results
Integrated Electrical Services, Inc. 3rd Quarter Results August 11, 2009 Michael J. Caliel, President & CEO Randy Guba, EVP, CFO Karen Roan, DRG&E
Slide 2: Safe Harbor
Safe Harbor Certain statements in this release, including statements regarding the restructuring plan and total estimated charges and cost reductions associated with this plan, are "forward-looking statements" within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Sec
Slide 3: Q3 Headlines
Q3 Headlines Q3 gross margin increased to 18.8% from 16.0% SG&A (excluding one-time charges) down 10% Commercial Group - operating income up on lower revenue Residential Group - gross margin increased to 25.4% from 19.0% Industrial Group - revenue and margin pressure from challenging economy Expandi
Slide 4: Revenue & Gross Profit
Q3 '09 Q3 '08 GP 32 34 Revenue 172 214 YTD '09 YTD '08 GP 92 98 Revenue 513 607 Revenue & Gross Profit (dollars in millions) Quarterly Highlights Commercial revenue down from project delays and cancellations Industrial revenue down from lower demand and reduced construction activity Residential reve
Slide 5: Sales, General & Administrative Expenses
Q3 '09 Q3 '08 SG&A 26 29 YTD '09 YTD '08 SG&A 82 89 Sales, General & Administrative Expenses (dollars in millions) Quarterly Highlights SG&A % increase from lower revenue SG&A $ decrease from reductions in operating expenses, restructuring and facility consolidation Rev% 15.2% 13.6% Quarter Comparis
Slide 6: Profitability
Adjusted Net Income & EPS (Diluted - Continuing) YTD '09 YTD '08 GM 3.4 5.1 Profitability Q3 '09 Q3 '08 GM 6.7 6.5 Q3 '09 Q3 '08 GM 6.4 8.3 YTD '09 YTD '08 GM 9.1 12.3 (dollars in millions) * Adjusted: Excluding restructuring and one-time charges Adjusted Operating Income* Net Income & EPS Adjusted
Slide 7: Commercial Segment
Q3 '09 Q3 '08 GP 19 17 Revenue 115 126 YTD '09 YTD '08 GP 54 50 Revenue 332 347 GM% 16.9% 13.8% Commercial Segment (dollars in millions) Quarter Comparison Revenue GP YTD Comparison Revenue GP GM% 16.4% 14.3% Quarterly Highlights Revenue driven by: Delayed project starts and project cancellations Re
Slide 8: Industrial Segment
YTD '09 YTD '08 GP 10 17 Revenue 64 99 Q3 '09 Q3 '08 GP 3 6 Revenue 20 33 Industrial Segment (dollars in millions) Quarter Comparison Revenue GP GM% 17.2% 19.2% YTD Comparison Revenue GP GM% 15.4% 17.2% Quarterly Highlights Revenue impacted by project delays and reduced construction activity Gross m
Slide 9: Residential Segment
YTD '09 YTD '08 GP 28 32 Revenue 117 161 Residential Segment (dollars in millions) Quarter Comparison Q3 '09 Q3 '08 GP 10 11 Revenue 38 55 Revenue GP GM% 25.4% 19.0% YTD Comparison Revenue GP GM% 23.6% 19.6% Quarterly Highlights Revenue impacted by: Ongoing project delays Lower prices Gross margin i
Slide 10: Backlog
Backlog Q3 '09 Q2 '09 Q4 '08 Q3 '08 Backlog 289 297 337 367 Highlights Improvement in Industrial segment Commercial and Residential segments decline due to: Market pressures Project deferrals Project selectivity (dollars in millions)
Slide 11: Cash & Liquidity
Cash & Liquidity Q3 '09 Q2 '09 Q3 '08 Cash 61 52 57 Highlights Increase in cash due to strong collections in the quarter $72 million total liquidity at Q3 '09 (dollars in millions) Cash
Slide 12: Summary
Summary Expansion of FY '09 restructuring program Cost reductions in corporate center Consolidation of Commercial and Industrial business segments Continued focus on driving down cost, improving backlog and growing top line Well positioned to navigate challenging market conditions and capitalize on