Mattr Corp · TSX:MATR
Mattr — 2024 Southwest IDEAS Conference
24 slides from Mattr's conference presentation, Nov 19, 2024
Slide 1: Mattr Investor Presentation
Mattr Investor Presentation November 2024
Slide 2: Forward Looking Information
Forward Looking Information This presentation contains forward-looking information within the Additional information on the risks and uncertainties on the meaning of applicable securities laws. Words such as "may", "will", Company’s business can be found in the Company’s current Annual "should", "an
Slide 3: Mattr in Brief
Mattr in Brief Mattr Is A Materials Technology Company Enabling Renewal & Expansion of Critical Infrastructure • Mattr is a growth-oriented, global materials technology company $0.9B Q3 2024 TTM Revenue 1,500+ Employees Worldwide • Serves critical infrastructure markets, including electrification, t
Slide 4: A Materials Technology Company Enabling Renewal & Expansion of Critical Infrastructure
A Materials Technology Company Enabling Renewal & Expansion of Critical Infrastructure Leading Player in Every Target Market Our Brands are Trusted to Deliver: BUSINESSES ✓ Extreme capability & reliability in Composite Technologies Connection Technologies Manufacturer of flexible and environmentally
Slide 5: High-Value Materials Based Technology Offerings
Expertise in extrusion High-Value Materials technology and complex manufacturing Based Technology Offerings Composite Technologies Manufacturer of flexible and composite solutions for severe environments and applications – extending lifespan and lowering risk Premium Quality Heat/Cold Shrink Premium
Slide 6: Mattr – Levering Materials Technology to Grow Profit Faster than Revenue
Mattr – Levering Materials Technology to Grow Profit Faster than Revenue Adjusted EBITDA REVENUE Adjusted EBITDA Margin 82 15.7% 118 COMPOSITE 375 521 39% 51% 54 14.5% bps TECHNOLOGIES 2021 2024 Q3 TTM 2021 2024 Q3 TTM 2021 2024 Q3 TTM 348 17.5% 27 263 32% 61 35% CONNECTION 45 bps 17.2% TECHNOLOGIES
Slide 7: Organically Doubling Revenue by 2030…
Organically Doubling Revenue by 2030… >10% growth Revenue 2030 Organic Ambitions 20%+ Adjusted EBITDA Margin 70%+ Free Cash Flow Conversion 2023 $925M 17.8 % 2019 … with clear opportunity to $626M 15.8 % accelerate ambition achievement through targeted M&A November 2024 Investor Presentation 7
Slide 8: Proven Record of Capital Deployment
Proven Record of Capital Deployment Generated ~$500M from Portfolio Rationalization Activities Normal Course Net-debt-to Organic Adjusted EBITDA <2x Investment Deploying Nearly $1B of Capital Moving above normal course 2x Substantial committed Capital Allocation since the beginning of 20211 with acq
Slide 9: AmerCable - Significant Strategic and Financial Benefits
AmerCable - Significant Strategic and Financial Benefits Positions Mattr as one of the premier, custom engineered cable manufacturers in North America Adds medium voltage capabilities, which are essential to enabling electrification in key end markets Creates a highly strategic North American wire a
Slide 10: Highly Strategic Footprint
Highly Strategic Footprint Organic Investments have positioned Mattr well to benefit from North American demand. The pending AmerCable acquisition enhances wire and cable Vaughan, ON, Canada footprint: Wire & Cable Manufacturing 230k sq ft ▪ Industry-leading capabilities strategically located in clo
Slide 11: Multi-Year, High-Return, Low-Risk Capital Growth Plans
Supporting high return organic growth Multi-Year, High-Return, Low-Risk opportunities with appropriate Capital Growth Plans CAPEX and working capital CAPEX ($CAD MM) o Annual maintenance CAPEX need is $10-15M $160 $148 o Remaining spend is growth CAPEX o Hurdle Rate IRR > 20% after tax $140 o Invest
Slide 12: Debt Journey
Debt Journey Total Net Debt1 Net Debt Excluding Leases Net Debt/Adj. EBITDA $500 Net Debt Including Leases $400 2019 3.2x $300 2024 YTD 0.6x $200 $100 $0 Mattr targets Net-debt-to-Adjusted EBITDA ratio of below 2.0x -$100 Willing to stretch for M&A with -$200 reduction within 12-18 months -$300 Q1 Q
Slide 13: Returning Capital to Shareholders
Returning Capital to Shareholders o On June 26, 2024, the Company announced that the TSX had approved the Company’s notice of intention to renew Normal Course Issuer Bid (NCIB) The company exhausted the its NCIB for common shares of the Company. capacity of its initial NCIB in Q4 of 2023, and renewe
Slide 14: Strong Growth Momentum & Powerful Balance Sheet, Trading Significantly Below Peer Group Average
Strong Growth Momentum & Powerful Balance Sheet, Trading Significantly Below Peer Group Average Our Peers are Premium Industrial Net Debt/Adj. EBITDA Product Manufacturers 2021 – Q3 24 TTM Adj EBITDA CAGR Ticker Company EV/EBITDA 13% 20193.2x Multiple* Q3 2024 0.6x TTM AIN-USQ Albany International 9
Slide 15: Thank you.
@ = Thank you. Infrastructure Technologies
Slide 16: Mattr Investor Presentation Supplemental Slides
Mattr Investor Presentation Supplemental Slides November 2024
Slide 17: Positioned to Benefit from Long-Cycle Macro Themes
Positioned to Benefit from Long-Cycle Macro Themes Aging Population Resource Climate Infrastructure Movement Scarcity Change Replacements needed for New infrastructure needed Infrastructure needed for High quality products needed to infrastructure at end of life to support population growth & water
Slide 18: Fuel Stations are Modernizing and Expanding
Composite Technologies Fuel Stations are Modernizing and Expanding Manufacturer of flexible composite solutions for severe environments and applications – extending Liquid fueling networks continue to lifespan and lowering risk modernize and expand Roadside fuel stations shifting to larger footprint
Slide 19: Xerxes HydroChain – Enabling Long-Life Water Management Solutions
Composite Xerxes HydroChain – Enabling Long-Life Technologies Manufacturer of flexible Water Management Solutions composite solutions for severe environments and applications – extending Capture and Conveyance lifespan and lowering risk o Site-specific designs with highly engineered products that pr
Slide 20: Flexpipe Technology Advancement Dramatically Expands Addressable Market
Flexpipe Technology Advancement Dramatically Composite Technologies Expands Addressable Market EMEA Manufacturer of flexible composite solutions for severe environments and Canada applications – extending lifespan and lowering risk United States APAC o Larger diameter (up to 6”) products released si
Slide 21: Built to Operate in Extreme Environments with Uncompromising Reliability
Connection Technologies Built to Operate in Extreme Environments with Supporting global electrification by providing Uncompromising Reliability specialty wire, cable and integrated heat shrink solutions for severe environments and applications – extending lifespan and lowering risk COMMUNICATION AER
Slide 22: Shawflex US Geographic Expansion Opportunity
Connection Technologies Supporting global Shawflex US Geographic Expansion Opportunity electrification by providing specialty wire, cable and integrated heat shrink solutions for severe environments and >70% applications – extending of US Electrical Utility lifespan and lowering risk US addressable
Slide 23: DSG Growth in Industrial & Infrastructure Markets
Connection Technologies Supporting global DSG Growth in Industrial & Infrastructure Markets electrification by providing specialty wire, cable and integrated heat shrink solutions for severe 1998 environments and Automotive 2023 applications – extending lifespan and lowering risk Industrial & Infras
Slide 24: Investing Organically in Capacity and Efficiency While Optimizing Footprint
Investing Organically in Capacity and Efficiency While Optimizing Footprint $83M of capex deployed in 2023 with $80- Anaheim, CA, USA Fuel Tanks Manufacturing 90M additional deployment anticipated in Production stopped, full exit by Vaughan, ON, Canada 2024 Wire & Cable Manufacturing end 2024 Expect