Donnelley Financial Solutions, Inc. · NYSE:DFIN
Donnelley Financial Solutions — DA Davidson 19th Annual Software & Internet Virtual Conference (September 2020)
10 slides from Donnelley Financial Solutions's conference presentation, Sep 9, 2020
Slide 1: Investor Presentation
Investor Presentation Investor DA Davidson Presentation 19th Annual Software & Internet Virtual Conference SEPTEMBER 9, 2020 AUGUST 2020 DFINsolutions.com © 2020 DFIN. All rights reserved. This presentation is the intellectual property of DFIN. The ideas expressed in it may not be adopted or reprodu
Slide 2: Forward Looking Statements and Use of Non-GAAP Financial Measures
FORWARD LOOKING STATEMENTS AND USE OF NON-GAAP FINANCIAL MEASURES This presentation includes certain "forward-looking statements" within the meaning of, and subject to the safe harbor created by, Section 21E of the Securities Exchange Act of 1934, as amended, with respect to the business, strategy a
Slide 3: DFIN at a Glance
DFIN AT A GLANCE What we do Segment overview • DFIN assists private/public companies and investment firms with the • Capital Markets services corporate clients by providing digital creation, submission and distribution of regulatory filings document creation and online content management tools to su
Slide 4: The DFIN Story
THE DFIN STORY Leader in SEC compliance & shareholder communications 75K #1 2019 SEC SEC Filing Filings Agent – Total Filings $189M 22% Comprehensive suite of growing software solutions 2019 Software % of Software Sales total 2019 sales Large base of recurring revenue with high customer retention $5
Slide 5: Strong Market Position with Opportunities for Growth
STRONG MARKET POSITION WITH OPPORTUNITIES FOR GROWTH Unparalleled Expertise #1 U.S. Transactional Filer Strong client 35 years in Financial relationships #1 U.S. Compliance Filer (Capital Markets) Services (Investment Markets) Public companies #1 U.S. Compliance Filer Experts located and available a
Slide 6: Business Mix Shift Will Drive Shareholder Value
BUSINESS MIX SHIFT WILL DRIVE SHAREHOLDER VALUE Improving the business mix Mix shift drives EBITDA growth $875M Software10%+ Software Sales CAGR – Software is 44% by 2024 ~$850M Software Business is transitioning toward higher- $189M margin software & tech-enabled services Software 30e-3/498a sales
Slide 7: Long-Term Objectives (2020 – 2024)
LONG-TERM OBJECTIVES (2020 – 2024) Metric Operating Objective Financial Target Post 30e-3 impact in 2021, mix shift should Return to low single digit growth following Revenue enable overall revenue growth 2021 30e-3 revenue impact Continue to grow Software Solutions Grow Software sales 10%+ annually
Slide 8: Cash Flow Characteristics and Capital Allocation
CASH FLOW CHARACTERISTICS AND CAPITAL ALLOCATION 2019 net leverage of 2.0x, down from 3.4x at year-end 2016 Leverage & Liquidity $340M debt1 paid off since spin-off in 2016. Consistent deleveraging will reduce interest expense Investments being made to reduce the amount of services required to suppo
Slide 9: Why Invest in DFIN?
WHY INVEST IN DFIN? Software Approaching $200mm of software sales expected to grow at a double-digit rate annually Business mix shift Growth of high-margin software is offsetting declining low-margin print services Free cash flow Healthy EBITDA margins, low CapEx, declining interest expense are driv
Slide 10: DFINsolutions.com
DFINsolutions.com © 2019 DFIN. All rights reserved. This presentation is the intellectual property of DFIN. The ideas expressed in it may not be adopted or reproduced without prior permission from and compensation to DFIN.