Commercial Vehicle Group, Inc. · NASDAQ:CVGI
Commercial Vehicle — Non-Deal Roadshow (April 2018)
22 slides from Commercial Vehicle's roadshow presentation, Apr 4, 2018
Slide 1: Commercial Vehicle Group, Inc. April 2018
Patrick Miller President and CEO Tim Trenary Chief Financial Officer Terry Hammett Treasurer and VP Investor Relations Commercial Vehicle Group, Inc. April 2018
Slide 2: Forward Looking Statements
Forward Looking Statements pg | 1 This presentation contains forward-looking statements that are subject to risks and uncertainties. These statements often include words such as "believe", "expect", "anticipate", "intend", "plan", "estimate", or similar expressions. In particular, this presentation
Slide 3: Company Overview
Company Overview pg | 2 Leading supplier of a full range of cab related products and systems for the global commercial vehicle market • Global sales, engineering, manufacturing and assembly capabilities • Supplier to many of the leading medium and heavy duty truck, construction equipment and special
Slide 4: Products
pg | 3 Products Seats & Seating Systems Cabs and Sleeper BoxesWiper Systems, Mirrors & Controls Wire Harnesses & Controls Interior Trim
Slide 5: 2017 Sales - $755 Million
2017 Sales - $755 Million pg | 4 End Market ProductRegion Customer
Slide 6: End Market Outlook
pg | 5 North American Truck Market Global Construction Market Heavy-Duty Truck (Class 8) Source: Company website and filings, ACT Research. . • Forecasting services recently increased Class 8 builds for 2018 and 2019 • January 2018 Class 8 order levels highest since March 2006 • Freight tonnage and
Slide 7: Focus
Focus pg | 6 18% Fewer Sales 18% Fewer Sales 18% Fewer Sales • Improving employee engagement – Work environment – Career paths and development opportunities • Investment in products and capabilities – Core product line updates and new derivatives for target regions / segments – CVG Digital • Margin
Slide 8: Actions to Improve the Core
Actions to Improve the Core pg | 7 18% Fewer Sales 18% Fewer Sales 18% Fewer Sales CVG Digital Digitalize process control, production reporting, and error proofing Cloud-based manufacturing and design systems New product capabilities Expect efficiency and quality improvements; reduction of
Slide 9: CVG Digital Actions
CVG Digital Actions pg | 8 18% Fewer Sales 18% Fewer Sales 18% Fewer Sales Virtual Wiring Boards for rapid changeover Built-in Quality – Digital error proofing and smart processes Real time process monitoring and data tracking Digital design and validation speeds product development
Slide 10: Targets for Growth
Targets for Growth pg | 9 Global Truck and Bus Next Gen NA truck seat in production and quoting additional OEM platforms; new low cost region specific seat products; and launched trim for new Volvo, Daimler and Mack Trucks Wire harnesses – Europe, North America and Asia Expanding capacity in Wire Ha
Slide 11: Why CVGI?
Why CVGI? pg | 10 • Global capabilities • Strong customer relationships; customer-driven focus • Product innovation and design excellence • Major product brands • Improved process discipline – Lean Six Sigma • CVG Digital • 2018 and 2019 market outlook
Slide 12: Finance Update
Finance Update /OMMERCIAL VEHICLE GROUP, INC
Slide 13: Financial Results Q4 2017
pg | 12 See appendix for reconciliation of GAAP to non-GAAP financial measures Financial Results (Dollars in millions) Q4 2016 Q4 2017 Sales $ 150.0 $ 188.3 Up 26% Gross Profit $ 18.3 $ 23.2 Build volumes, commodity prices and Margin 12.2 % 12.3 % labor markets SG&A $ 14.0 $ 14.2 Cost discipline in
Slide 14: Business Segments - GTB
pg | 13 Business Segments - GTB See appendix for reconciliation of GAAP to non-GAAP financial measures (Dollars in millions) Q4 2016 Q4 2017 Sales $ 91.6 $ 113.7 Up 24% Gross Profit $ 11.6 $ 14.4 Build volumes and commodity prices Margin 12.7 % 12.6 % SG&A $ 5.1 $ 4.8 Cost discipline in rising sales
Slide 15: Business Segments - GCA
pg | 14 Business Segments - GCA See appendix for reconciliation of GAAP to non-GAAP financial measures (Dollars in millions) Q4 2016 Q4 2017 Sales $ 60.4 $ 78.5 Up 30% Gross Profit $ 7.0 $ 9.2 Commodity prices and labor markets Margin 11.5 % 11.7 % SG&A $ 4.4 $ 4.2 Cost discipline in rising sales en
Slide 16: Capital Structure
See appendix for reconciliation of GAAP to non-GAAP financial measures pg | 15 Capital Structure Capital Allocation: 1.) liquidity 2.) growth 3.) de-leverage 4.) return capital to shareholders (Dollars in millions) 2017 Principal Balance $ 173 Debt $ 173 Interest Rate LIBOR + 600 Less: Cash 52 Matur
Slide 17: Patrick Miller President and CEO Tim Trenary Chief Financial Officer Terry Hammett Treasurer and
Patrick Miller President and CEO Tim Trenary Chief Financial Officer Terry Hammett Treasurer and VP Investor Relations Commercial Vehicle Group, Inc. April 2018
Slide 18: Appendix GAAP to Non-GAAP Reconciliation
Appendix GAAP to Non-GAAP Reconciliation
Slide 19: Adjusted Operating Income Reconciliation Q4
pg | 18 GAAP to Non-GAAP Reconciliation Adjusted Operating Income Reconciliation (Dollars in millions) Q4 2016 Q4 2017 Operating Income $ 3.9 $ 8.6 Marg 2.6 % 4.6 % Special Items: Restructuring & Related 1.2 (0.4) Adjusted Operating Income $ 5.1 $ 8.2 Margin 3.4 % 4.4 %
Slide 20: Adjusted Operating Income Reconciliation LTM
pg | 19 GAAP to Non-GAAP Reconciliation Adjusted Operating Income Reconciliation LTM (Dollars in millions) Q4 2017 Operating Income $ 31.4 Special Items: Restructuring & Related 1.9 Litigation Settlement 2.4 Adjusted Operating Income $ 35.7
Slide 21: EBITDA & Adjusted EBITDA Reconciliation
EBITDA & Adjusted EBITDA Reconciliation pg | 20 GAAP to Non-GAAP Reconciliation LTM (Dollars in millions) Q4 2017 Net Income $ (1.7) Interest Expense 19.1 Tax Provision 15.4 Depreciation 14.0 Amortization 1.3 EBITDA $ 48.1 Restructuring & Related 1.9 Litigation Settlement 2.4 Adjusted EBITDA $ 52.4
Slide 22: Business Segment Adjusted Operating Income Reconciliation
pg | 21 GAAP to Non-GAAP Reconciliation Business Segment Adjusted Operating Income Reconciliation (Dollars in millions) Q4 2016 Q4 2017 Q4 2016 Q4 2017 Operating Income $ 6.3 $ 9.3 $ 2.5 $ 4.9 Margin 6.8 % 8.1 % 4.2 % 6.3 % Special Items: Restructuring & Related 1.0 (0.6) 0.3 0.2 Adjusted Operating
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