Carparts.com, Inc. · NASDAQ:PRTS
Carparts.com — U.S. Auto Parts Network — Investor Presentation (May 2013)
18 slides from Carparts.com's investor presentation, May 20, 2013
Slide 1: U.S. Auto Parts Network, Inc. Investor Presentation
Exhibit 99.1 U.S. Auto Parts Network, Inc. Leading online source for automotive aftermarket parts and repair information Investor Presentation May 20, 2013 1
Slide 2: Safe Harbor
Safe Harbor AUTOPARTS' This presentation may contain certain forward-looking statements and management may make additional forward-looking statements in response to your questions. These statements do not guarantee future performance and speak only as of the date hereof, and qualify for the safe har
Slide 3: Company History
Company History Uniquely positioned to capitalize on market growth. 2013 Company begins significantly expanding its private label engine line 2012 Raised $16.5M in capital Acquires PartsBin 2011 Adds Engine Line Initiated Site Consolidation 2010 JC Whitney completely integrated 2008 10/2007 2/2007 U
Slide 4: Competitive Advantages
Competitive Advantages Efficient Supply Chain Low Customer Acquisition Cost Robust supply chain Nearly 12 million unique consisting of both branded monthly visitors to USAP’s and private label products websites Over 29,000 private Less than a $7 customer label collision SKUs acquisition cost (“CAC”)
Slide 5: Online Market is Vibrant and Growing
Online Market is Vibrant and Growing Aftermarket e-Commerce Overview Online sales of automotive parts and accessories continue to grow – Google has experienced a 6 year compound annual growth rate (“CAGR”) of 28% in queries for automotive parts before conversion increases which are between 5%-10% an
Slide 6: Size and Penetration of Online Automotive Parts
Size and Penetration of Online Automotive Parts Aftermarket e-Commerce Overview Online penetration for auto parts has trailed penetration rates of other consumer product categories for two reasons: 1) Auto parts are traditionally bought by demographics that have lower internet penetration at home an
Slide 7: Broad Product Offering Across the Auto Parts Spectrum
Broad Product Offering Across the Auto Parts Spectrum Engine Parts Performance & Accessories Body Parts Brake Discs Catalytic Radiators Seat Covers Car Covers Floor Mats / Lamps Mirrors Bumpers Converters Carpeting Headers Oxygen Alternators Cold Air Vent Visors Tonneau Hoods Tailgates Doors Sensors
Slide 8: USAP's Supply Chain Creates Pricing Advantage
USAP’s Supply Chain Creates Pricing Advantage USAP’s ability to competitively price products while maintaining healthy margins is a function of the Company’s ability to leverage its robust supply chain The Company is working to increase margins by shifting its product mix toward increased private la
Slide 9: US Auto Parts Dominant Reach- Largest Pure Play Internet Retailer
US Auto Parts Dominant Reach- Largest Pure Play Internet Retailer (some overlap of monthly visitors across websites) 9
Slide 10: USAP's Current Operating Environment
USAP’s Current Operating Environment After eight consecutive quarters of 20% revenue and EBITDA growth, USAP’s financial performance has been impacted by decreased visitors driven by two main factors: 1. Reduced SEO Traffic: Changes made by search engines have impacted traffic Addressing the loss in
Slide 11: Sales & Adjusted EBITDA
Sales & Adjusted EBITDA Consolidated Sales¹ Consolidated Adjusted EBITDA² ($ In Millions) ($ In Millions) $327.1 $19.5 $304.0 $262.3 $16.3 $13.5 $176.3 $153.4 $9.4 $5.2 $65.4 $1.5 2008 2009 2010 2011 2012 Q1-13 2008 2009 2010 2011 2012 Q1-13 3% 8% 7% 5% 3% 2% Adj. EBITDA Margin 1. JC Whitney was acq
Slide 12: 2013 Growth and Profitability
2013 Growth and Profitability Revenue Growth Incremental Flow Thru 1) Improve Customer Experience Revenue 100% Continue to improve all customer touch points Focus on two flagship sites, Autopartswarehouse and JCWhitney Gross Margins 29% - 31% Ensure rich and unique content for our customers 2) Incre
Slide 13: AutoMD- Largest DIY Site Repositioned to Target $140B DIFM Market
AutoMD- Largest DIY Site Repositioned to Target $140B DIFM Market 13
Slide 14: AutoMD - Results page
AutoMD - Results page AUTOPARTS' ‘VID Select Vehicle ¥ | Signin | Register @ Shifting the Power to You Diagnose How-To-Guides Auto Answers Estimate Cost Find a Shop How do I get Cash Back? I Create a ~ ce 7 FREE a After Your Service CASH & : — & R 1. Become an AutoMD Uerber AutoMD t APY Rate Your Sh
Slide 15: Adjusted EBITDA
Adjusted EBITDA Thirteen Weeks Ended March 30 March 31 (unaudited, amounts shown in thousands) 2013 2012 Net loss $ (3,343) $ (788) Interest expense, net 185 199 Income tax provision 21 124 Amortization of intangible assets 106 340 Depreciation and amortization expense 3,638 3,747 EBITDA 607 3,622 S
Slide 16: Income Statement
Income Statement Thirteen Weeks Ended March 30 March 31 (unaudited, amounts shown in thousands except per share data) 2013 2012 Net sales $ 65,405 $ 87,436 (1) Cost of sales 45,667 60,808 Gross profit 19,738 26,628 Operating expenses: Marketing 11,191 13,450 General and administrative 4,687 5,870 Fu
Slide 17: Balance Sheet
Balance Sheet (amounts in thousands, except par and liquidation value) March 30 December 29 2013 2012 ASSETS (Unaudited) Current assets: Cash and cash equivalents $ 1,297 $ 1,030 Short-term investments 111 110 Accounts receivable, net of allowances of $242 and $221 at March 30, 2013 and December 29,
Slide 18: Thank You
* * * * * * * * Thank You 18
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