Transcat, Inc. · NASDAQ:TRNS

Transcat — Q1 FY2017 Earnings Presentation

12 slides from Transcat's earnings presentation, Jul 27, 2016

  1. Slide 1: Q1 Financial Results Fiscal 2017

    Q1 Financial Results Fiscal 2017 Lee D. Rudow President and CEO Michael J. Tschiderer Chief Financial Officer TRANSGT Trust in every measure

  2. Slide 2: Safe Harbor Statement

    TRANSCAT rt oe ase Safe Harbor Statement This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not statements of historical fact and thus are subject to risks, uncertainties and assumptions. Fo

  3. Slide 3: First Quarter Execution

    First Quarter Execution * Total revenue up 12% to $33.1 million * Service segment revenue of $17.2 million + 29" consecutive quarter of YOY revenue growth in Service segment * Distribution stabilization: macro challenges nearly offset by organic growth initiatives and acquisition of Excalibur Engine

  4. Slide 4: Revenue

    Revenue (Sinmilions) Q1 Service Segment $17.2 $13.5 Qu FY 2016 Qu FY 2017 Q1 Distribution Segment $16.1 $16.0 qi FY 2016 qa FY 2017 TRANSCAT rusts every measure Consolidated — Annual $112.3 $118.5 $123.6 = $122.2 $125.6 Fy2013 © FY2014 «= FY2015—FY2016 «QI FY 2017 i Service lt Distribution * Total r

  5. Slide 5: Operating Income and Margin

    Operating Income and Margin (Sin millions) Q1 Service Segment Consolidated — Annual $1.0 - aad al Te Qi FY 2016 Qi FY 2017 FY 2013 FY 2014 FY 2015 FY2016 = Q1.2017TTM i Service laf Distribution Q1 Distribution Segment * Operating leverage driving Service operating margin expansion $0.4 $0.4 * Distri

  6. Slide 6: Adjusted EBITDA and Margin

    Adjusted EBITDA* and Margin (Sinmilions) Q1 Service Segment Consolidated — Annual $2.3 $1.7 $10.6 en $8.9 $10.0 $10.3 aa Fy 2016 a Fy 2017 Fv2013 © FY2014. «= FY2015«—FY2016 «QU FY2017 lu Service al Distribution OO ribU ton Skene + Total Adjusted EBITDA* up 56% $08 — Service up 71% $0.6 — Distributi

  7. Slide 7: Net Income

    TRANSCAT rusts every measure Net Income (Sin millions) Annual Net Income Quarterly Net Income $08 $0.6 % of Revenue FY 2013 FY 2014 FY 2015 FY 2016 Cad Qu FY 2016 qu FY 2017 {$049 $054 $057 $0.58 $0.62_| Diluted {__ $0.08 gorz_ | + First quarter net income up 39% on sales growth and disciplined cost

  8. Slide 8: Balance Sheet Supports Growth Strategy

    TRANSCAT nt oun ase Balance Sheet Supports Growth Strategy (Simons) Total Debt: + Financial flexibility G5 Strong cash generation and new $19.1 expanded credit facility $12.2 — Funded Q1 FY17 Excalibur $8.0 $7.6 acquisition with term note = $11.4 million available from credit FY 2013 -FY2014-FY2015F

  9. Slide 9: FY 2017 Outlook

    TRANSCAT nsw mens FY 2017 Outlook* ¢ Reaffirm Double-digit Service segment revenue growth - Incremental sales from recent acquisitions - Expect strong organic growth - Achieve sales and cost synergies to drive operating leverage and margin expansion - Remain selective and disciplined in acquisition

  10. Slide 10: Upcoming Investor Relations Calendar

    TRANSCAT sti ee measure Upcoming Investor Relations Calendar Mid August August 30 September 7 Late October November 1 Filing of Q1 FY 2017 Form 10-Q IDEAS Midwest Investor Conference (Chicago) Annual Meeting of Shareholders (Rochester) Q2 FY 2017 Financial Results Sidoti Emerging Growth Conference (

  11. Slide 11: Supplemental Information

    Supplemental Information TRANSGT Trust in every measure

  12. Slide 12: Adjusted EBITDA Reconciliation

    Adjusted EBITDA Reconciliation ($n thousands) Service Operating Income (loss) +Depreciation & Amortization +Other (Expense) / Income ++Noncash Stock Comp Service Adjusted EBITDA Distribution Operating Income +Depreciation & Amortization +Other (Expense) / Income ++Noncash Stock Comp Distribution Adj

Transcat — Q1 FY2017 Earnings Presentation on 6ix