Willis Towers Watson Public Limited Company · NASDAQ:WTW
Willis Towers Watson Public — Willis Towers Watson — Q1 2016 Earnings Presentation
14 slides from Willis Towers Watson Public's earnings presentation, May 6, 2016
Slide 1: Supplemental Earnings Call Slides May 6, 2016
Willis Towers Watson Supplemental Earnings Call Slides May 6, 2016 EE EFS Slain WillisTowers Watson IhlI*Il
Slide 2: Forward Looking Statements
Willis Towers Watson Forward Looking Statements ‘This document contains “forward-looking statements" within the meaning ofthe Private Secures tigation Reform Actof 1996. You can identify these statements and other {orward:ooking statements inthis document by words such as “may”, wi“ woul’, “expect ‘
Slide 3: Non-GAAP Measures
Willis Towers Watson Non-GAAP Measures In order to assistreaders of ourfinancial statementsin understanding the core operating results that Willis Towers Watson's managementusesto evaluate the ‘business andor financial planning, Willis Towers Watson presents the following non-GAAP measures: (1) Adju
Slide 4: Non-GAAP Measures (continued)
Willis Towers Watson Non-GAAP Measures (continued) Adjusted Income before taxes — Income from Operations before income taxes andinterestin eamings of associates adjustedfor amortization, integration expenses, the fair value adjustment of deferred revenue, restructuring costs and other non-recurring
Slide 5: Slide 5
Slide 6: Pro Forma Condensed Consolidated Statements of Operations
Pro Forma Condensed Consolidated Statements of Operations (Millions of U.S. dollars, except per share data) ‘Taree Month Ended March 3, Ho oi Wit Towers Hira! towers ProForm arene anon Ma Woe Afar wee mie end ‘Total Revenues $2,234 100% $ 1,087 $922 $ Zab $ 2,012 100% Costs of providing services Sal
Slide 7: Pro Forma Adjustments
Pro Forma Adjustments ‘The unaudited pro forma financial information reflects the following adjustments: a intercompany trading. Adjustments to eliminate trading between Willis and Towers Watson of $1 milion for the three months ended March 31 2016. b.Conforming reclassifications and adjustments. Ce
Slide 8: Pro Forma Adjustments (continued)
Pro Forma Adjustments (continued) k Eamings per share. The pro forma consolidated basic and diluted earings per share for the three months ended March 31, 2015 is calculated as follows: ‘Willis historic average basic shares in issue Shares iued for Towers Watson ‘Willis historic average basic shares
Slide 9: Reconciliation of Non-GAAP measure
Willis Towers Watson Reconciliation of Non-GAAP measure Free Cash Flow Three Months Three Months Ended Ended March 31, 20 March 31,2015 Cash Flows from (usedin) Operating Activities $118 ($64) Less: Additionsto fixed ts and software for internal ess: ions to fixed assets and software for i is (48) (
Slide 10: Debt Schedule
Willis Towers Watson Debt Schedule Short-term debt and current portion of long-term debt March 31, 2016 | December 31, 2015 4-year term loan facility matures 2016 $617 4.125% senior notes due 2016 = 6.200% senior notes due 2017 394 ‘Current portion of 7-year term loan facility expires 2018 2 ‘Curren
Slide 11: Calendar Year 2016 Guidance
Willis Towers Watson Calendar Year 2016 Guidance (020% ve Towers aon Atngresrecone. Peper te Corel Ferns Teves Vauon Guba eon WillisTowersWatson hlI'II
Slide 12: Guidance
Willis Towers Watson Guidance Calendar Year 2016 = Constant Currency Revenue growth in the low double digits = Organic Revenue growth in the mid-single digits = Adjusted diluted EPS expected to be within the range of $7.70 to $ 7.95 = Adjusted EBITDA margin expected to be around 23% = Adjusted Opera
Slide 13: Legacy Segment Guidance
Willis Towers Watson Legacy Segment Guidance 1. Calendar Year 2016 Constant Currency Organic Net Operati Legacy Segme! Revenue Growth Revenue Growth Income Margi TW Benefits low-single digit low-single digit mid-30% TW Exchange Solutions? high-20% mid-20% high-teens TW Risk and Financial eae low-sin
Slide 14: Non-GAAP Reconciliations
Willis Towers Watson Non-GAAP Reconciliations CY16 Revenue Guidance CY16 As Reported Revenue to Constant Currency and Organic expected growth rates As Reported Change low-double digits Currency Impact low-single-digit decline Constant Currency Change low-double digits Acquisitions/Divestitures mid-t