Hyster-yale, Inc. · NYSE:HY
Hyster-yale — Hyster-Yale Materials Handling — Investor Presentation (October 2014)
21 slides from Hyster-yale's investor presentation, Oct 30, 2014
Slide 1: Background Information
Exhibit 99.2 Background Information October 30, 2014 1
Slide 2: Safe Harbor Statement
Safe Harbor Statement The following information includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Any and all statements regarding the Company’s expected future financia
Slide 3: Mission Statement
Mission Statement Be a leading globally integrated designer, manufacturer and marketer of a complete range of high quality, application-tailored lift trucks, offering the lowest cost of ownership, outstanding parts and service support and the best overall value 3
Slide 4: Hyster-Yale Overview
Hyster-Yale Overview Key Highlights Global Footprint Leadinggloballifttruckmanufacturer intermsof unitssold – #3globallyin2013 – Largeinstalledbasethatdrivespartssales – Over815,000unitsworldwide – Salesof morethan85,500unitsin2013 – Salesof >4,200unitsatSNJVinJapan& Asiain2013 Diversecustomerandapp
Slide 5: Hyster-Yale's Global Manufacturing Footprint
Hyster-Yale’s Global Manufacturing Footprint Strategically located fabrication and assembly footprint using lean processes Danville, Illinois Irvine, Scotland Frimley, Surrey UK Shanghai, China (JV) Fairview, Oregon Americas parts European administrative Divisional Assembly of lift trucks by Global
Slide 6: Comprehensive Updated Global Product Line
Comprehensive Updated Global Product Line Class Capacity Range Description / Illustrative Application Electric counterbalanced trucks used in warehousing and manufacturing operations where noise or fuel emissions are undesirable Class I 1 ton – 5.5 tons A distribution center customer uses a Class I
Slide 7: Distribution Channel Strength and Diverse Customer Base
Distribution Channel Strength and Diverse Customer Base National Accounts Profile Blue Chip Customer Base Focused on strategic customers with centralized purchasing and geographically dispersed operations across dealer territories Fleet Management Program provides customers with value-added services
Slide 8: Parts and Service Contribution to Hyster-Yale's and Dealers' Profitability
Parts and Service Contribution to Hyster-Yale’s and Dealers’ Profitability Growing unit field population of approximately 815,000 units globally at 12/31/13 Hyster-Yale realizes significant additional margin from service parts over the life of the truck Also critical to the success of our Independen
Slide 9: Economic Engine is Driven by Unit Volume
Economic Engine is Driven by Unit Volume Drivers of long term competitive advantage Worldwide Geographic Volume Distribution and Product Economies Strength to Drive Balance of Scale Market Share Basic Business Areas Design Component Commonality Supply Chain Manufacturing Quality Marketing Parts Infr
Slide 10: Operating Profit Trends
Operating Profit Trends Operating Profit $ and % of Sales ($ in millions) Prior Cycle Market Peak Mid-Cycle Market 5.4% $150 6.0% 5.0% $150.6(1) $125 4.5% 4.8% 4.0% $100 $134.3 $132.9(2) 2.1% $75 $111.7 2.0% $50 $57.3 $25 0.0% 2007 2012 2013 LTM 9/30/14 (1) Operating Profit as reported (2) Operating
Slide 11: Ongoing Transformation of Business
Ongoing Transformation of Business Comprehensive, updated global product line Product Development focus on delivering Low Cost of Ownership based on customer applications: – Deliver Tier 4 solutions Products – Electric product with “ICE Like” performance – Integrate advanced technology solutions: Li
Slide 12: Ongoing Transformation of Business
C:\Users\DRudow\AppData\Local\Microsoft\Windows\Temporary Internet Files\Content.Outlook\4X468KCN\Investor Presentation May 2014 042914.pptx 04/29/14 8:21 pm Ongoing Transformation of Business Warranty Costs (% of Sales) 50% decrease in standard warranty costs in North America since 2009 Initial qua
Slide 13: Five Key Strategic Initiatives to Drive Margins and Market Share Over the Next 3 - 5 Years
Five Key Strategic Initiatives to Drive Margins and Market Share Over the Next 3 - 5 Years Unit Margin Unit Share Masters of the World of Low Cost Ownership Significantly Improve Warehouse Business Position Enhance Independent Distribution Succeed in Asian Markets Enhanced Understanding of Customer
Slide 14: Key Strategic Initiatives and Supplemental Programs Drive Sustainable Long Term Growth
Key Strategic Initiatives and Supplemental Programs Drive Sustainable Long Term Growth Strategic Initiatives Leaders in Independent Distribution Crack the Code in Warehouse Low Cost of Ownership Strong Dealer and Customer Loyalty drive increasing share, a growing population andSucceed in Asia Unders
Slide 15: Historical Revenue
Historical Revenue Revenue ($ in millions) (1) _____________________ (1) As of September 30, 2014. 15
Slide 16: Strong Free Cash Generation and Conservative Capital Structure
Strong Free Cash Generation and Conservative Capital Structure Strongcashgeneration with$436millioncumulative cashflowbeforefinancing from2009to2013 Conservativecapitalstructure asof9/30/14withdebtof$38.3millionandcashof $97.9million (1) CashFlowbeforeFinancing Debt/ LTMEBITDA(2) ($ in millions) Net
Slide 17: Rationale for Investing in Hyster-Yale…
Rationale for Investing in Hyster-Yale… 1) Leading position in growing industry benefiting from globalization and worldwide economic recovery and development 2) Premier brands, comprehensive global product line andglobal exclusive, independent distribution network 3) Strong economic engine driven by
Slide 18: Key Investment Highlights
Key Investment Highlights Leading Market Share in Materials Comprehensive Handling Global Product Line High-Impact Large Installed Strategic Initiatives Base Worldwide Modest Leverage Established & Strong Brand Strength Cash Flow Global Experienced Independent Dealer Management Team Network Highly F
Slide 19: Appendix
Appendix |_| HYSTER-YALE MATERIALS HANDLING
Slide 20: Non-GAAP Reconciliation
Non-GAAP Reconciliation ($ in millions) Trailing 12 Year Ended December 31 Qtr. Months 2009 2010 2011 2012 2013 9/30/14 9/30/14(1) Reconciliation of EBITDA Net income (loss) attributable to stockholders ($43.1) $32.4 $82.6 $98.0 $110.0 $28.4 $109.1 Noncontrolling interest income (loss) (0.1) (0.1) –
Slide 21: Cash Flow before Financing Calculation
Cash Flow before Financing Calculation ($ in millions) Trailing 12 Year Ended December 31 Months 2009 2010 2011 2012 2013 9/30/14 Reconciliation of Cash Flow before Financing Net cash provided by operations $115.9 $47.5 $54.6 $128.7 $152.9 $105.3 Net cash provided by (used) for investing activities
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