Brightview Holdings, Inc. · NYSE:BV
Brightview — CJS Securities Investor Conference 2024
21 slides from Brightview's conference presentation, Jul 10, 2024
Slide 1: BrightView Investor Presentation
NYSE: BV BrightView Investor Presentation July 2024
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation contains forward looking statements within the meaning of the safe harbor provision of the US. Private Securities Litigation Reform Act of 1995, Section 27A of the Secutities Act of 1933, a5, amended, and Section 21E of the Securities Exchange Act of 1934
Slide 3: BrightView – much more than just mowing
MAINTENANCE BrightView – much more than just mowing Water management Mowing Gardening Mulching Snow services Tree care & irrigation Sweeping & Golf course parking lot services Landscape installation Disaster recovery Sports fields maintenance Landscape design DEVELOPMENT Design + Landscape Masonry +
Slide 4: BrightView today
BrightView today MAINTENANCE DEVELOPMENT FY’23 ~75% ~25% Revenue $2.1 BILLION of revenues $0.7 BILLION of revenues $2.8B Essential commercial landscaping & snow services Landscape architecture & development services Business • Predictable recurring revenue model • New landscapes / large-scale redesi
Slide 5: Opportunity abounds in a large & fragmented market
Opportunity abounds in a large & fragmented market U.S. Commercial ~$113B Landscaping, Snow and Development ~$96B Recurring Revenue U.S. Commercial Landscaping and Snow + Scalable Business Model ~$74B U.S. Commercial + Landscaping Services Accretive M&A BrightView: ~$1.9B (Land only) = Market Share:
Slide 6: Challenges since 2018 IPO; strategic shifts to unlock significant value
Challenges since 2018 IPO; strategic shifts to unlock significant value IPO thru 2022 2023 & Beyond Inconsistent organic growth Focus on long-term profitable masked by M&A growth & emphasis on core Significant M&A with minimal Acquirer of choice focused on EBITDA conversion strategy, culture & retur
Slide 7: Strategic pivots position FY24 as Breakthrough year
Strategic pivots position FY24 as Breakthrough year Adj. EBITDA ($Ms) Net Debt ($Ms) Revenue ($Ms) & EBITDA % & Leverage Ratio 325 1,375 2,816 2,775 2,770 1,149 1,131 1,056 2,554 4.8 305 871 302 300 3.8 754 299 11.7% 3.7 2,405 3.5 2,354 2.9 12.8% 288 12.7% 2.4 10.6% 11.8% 10.4% 2018 2019 2021 2022 2
Slide 8: Key value unlock through operating as One BrightView
Key value unlock through operating as One BrightView Employer of Choice Customer First Accretive M&A Prioritize employees and Focused on being the partner Establish foundation and BrightView winning culture of choice deliver on integration Deliver efficient, collaborative, Investment in fleet and an
Slide 9: FY24 Strategic Changes
FY24 Strategic Changes 9
Slide 10: Key Investments to Drive Profitable Growth
Key Investments to Drive Profitable Growth Better Culture = Better Customer Service = Service Provider of Choice Trucks Mowers Boots 10
Slide 11: Streamlined Operating Structure
Streamlined Operating Structure Legacy Structure New Structure Elimination of Division 4 Divisions Layer 8 Regional Leaders covering same 16 Regional Leaders geography ~ 40 Market Leaders ~ 20 Market Leaders covering same geography Standalone Sales Organization Sales & Ops Integrated into Branch; Ne
Slide 12: Positioned to Drive Profitable Growth…
Positioned to Drive Profitable Growth… Going to market as One BrightView and leveraging our size and scale to unlock opportunities to drive profitable growth Cross-Selling Unwavering Focus on Maximizing Total Opportunity Customers Addressable Market Providing best-in-class service Strategic sales to
Slide 13: Questions & Answers
QUESTIONS & ANSWERS 13 13
Slide 14: Appendix
Appendix 14
Slide 15: FY24 Updated Guidance (as presented on May'24 call)
FY24 Updated Guidance (as presented on May’24 call) Reaffirming FY24 Midpoint EBITDA Guidance & Raising Free Cash Flow and Margin Metric Prior Guidance Updated Guidance Total Revenue $2.825B to $2.975B $2.740B to $2.800B Adjusted EBITDA $310M to $340M $315 to $335M Adj. EBITDA Margin +40bps to +80bp
Slide 16: Non-Core Aggregator Business Unwind (BES)
Non-Core Aggregator Business Unwind (BES) – from May.24 earnings call Actively unwinding non-core, unprofitable subcontractor business 120 Estimated Land Revenue 110 impact of unwinding ~ $(60) Delivering on: 85 • Improving customer service and brand reputation • Focus on higher quality relationship
Slide 17: Reduced Leverage & Increased Cash Generation
Reduced Leverage & Increased Cash Generation $ in millions 1 2 Free Cash Flow Capital Expenditures Leverage $43 $89 $39 Gross 5.0x Net $23 $20 2.4x $16 1H23 1H24 1H23 1H24 2Q'23 2Q'24 Free Cash Flow CapEx Spend Net Financial Debt Improved net working capital Levels reflect timing within the year 2Q2
Slide 18: Non-GAAP to GAAP Reconciliation
Non-GAAP to GAAP Reconciliation Three Months Ended Six Months Ended March 31, March 31, (in millions)* 2024 2023 2024 2023 Adjusted EBITDA Net income (loss) $ 33.7 $ (22.0) $ 17.3 $ (40.9) Plus: Interest expense, net 16.0 27.7 33.0 50.9 Income tax expense (benefit) 13.3 (7.7) 7.6 (13.2) Depreciation
Slide 19: Non-GAAP to GAAP Reconciliation (cont.)
Non-GAAP to GAAP Reconciliation (cont.) *Amounts may not total due to rounding 19
Slide 20: Non-GAAP to GAAP Reconciliation (cont.)
Non-GAAP to GAAP Reconciliation (cont.) *Amounts may not total due to rounding 20
Slide 21: Investor Relations and Media Contacts
INVESTOR RELATIONS CONTACT: MEDIA CONTACT: Chris Stoczko David Freireich VP of Finance & Investor Relations VP of Communications & Public Affairs IR@BrightView.com David.Freireich@BrightView.com investor.brightview.com 21
BrightView Holdings — CJS Securities Investor Conference 2024 on 6ix