Brightview Holdings, Inc. · NYSE:BV
Brightview — Q1 2021 Earnings Presentation
24 slides from Brightview's earnings presentation, Feb 4, 2021
Slide 1: First Quarter Fiscal 2021 Earnings Call
First Quarter Fiscal 2021 Earnings Call NYSE: BV February 4, 2021
Slide 2: Introductory Information
Introductory Information This presentation contains forward looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934 that involve substantial risks and uncertainties. All statements, other than statements o
Slide 3: Quarter Highlights and Business Update
Quarter Highlights and Business Update Andrew Masterman | President and Chief Executive Officer 1Q FY2021 Earnings Presentation | 3
Slide 4: Executive Overview
Executive Overview Revenue Adjusted EBITDA • Maintenance contract- • $52.4M in 1Q’21 with based revenue grew at 3% a margin increase of in 1Q’21, inclusive of 40 basis points, to acquisitions 9.5% Liquidity Position Bolt on M&A • Total liquidity as of • Pipeline has over 12/31/20 was $324.2M $400M i
Slide 5: 2Q FY2021 Financial Guidance
2Q FY2021 Financial Guidance1 Total Revenue Adjusted EBITDA $550M - $600M $44M - $54M Resilient Contract Business Managing Pandemic Headwinds 2Q 2021 Assumptions Revenue: expecting continued COVID driven Maintenance ancillary headwinds and Development compression; potential offset with rebound in
Slide 6: Local Level Service to Diversified Customer Base
Local Level Service to Diversified Customer Base Service Delivery Structure Diversified Customer Base1 (1) Reflects the fiscal year ended September 30, 2020. 1Q FY2021 Earnings Presentation | 6
Slide 7: "Strong-on-Strong" Acquisitions
“Strong-on-Strong” Acquisitions The Preferred Acquirer in the Commercial Landscaping Industry ~$80M San Jose, CA Annualized Revenue Plymouth, MN in 2021 Rock Hill, SC Napa, CA 1 2021 Austin, TX Fresno, CA San Diego, CA 2020 Austin, TX Las Vegs, NV Bay Area, CA Syracuse, NY Mesa, AZ 2019 Norcross, GA
Slide 8: Quarterly YoY Maint. Contract Growth
Quarterly YoY Maint. Contract Growth Quarterly Growth Rates 109% 105% 103% 103% 101% 100% 1 100% 98% 98% 98% Pandemic Starts---> 93% 2 Q1'20 Q2'20 Q3'20 Q4'20 Q1'21 Organic Contract Revenue Total Contract Revenue Stable and Resilient Contract Revenue Stream 1 Baseline is Fiscal 2019 Results 2 Adjust
Slide 9: BrightView's Top Snow Markets
BrightView’s Top Snow Markets NOAA Data WeatherWorks Data Snow Snow Year-to- Snow Snow BrightView BrightView Year-to-Year (Inches) (Inches) Year (Inches) (Inches) Market Market % Change 1Q’2020 1Q’2021 % Change 1Q’2020 1Q’2021 Denver 29.0 16.0 55% Denver 40.3 20.1 50% Chicago 10.0 3.5 35% Chicago 6.
Slide 10: ESG Leadership
ESG Leadership Trees, shrubs and grass planted by A BrightView crew member installs a green roof, one BrightView will consume millions of tons of the company's many environmentally responsible of carbon over their lifetimes practices BrightView has saved millions of gallons of water and reduced wate
Slide 11: ESG Leadership
ESG Leadership The BrightView Fund for Social Justice exists to support social justice, education, and family needs in the communities in which we work and live BrightView crews replaced thousands of square feet of damaged sod and plants at Independence National Historical Park in Philadelphia Growt
Slide 12: Financial Review and Outlook
Financial Review and Outlook John Feenan | EVP and Chief Financial Officer 1Q FY2021 Earnings Presentation | 12
Slide 13: 1Q FY2021 Revenue
1Q FY2021 Revenue (Numbers $M) 1Q21 1Q20 Commentary • (2.9)% Decrease Total Revenue $554.4 $570.7 • (+) Strong-on-Strong M&A • (-) COVID-19 Headwinds & Divestitures • (0.2)% Decrease Maintenance Services $418.0 $418.9 • (+) Strong-on-Strong M&A • (-) COVID-19 Headwinds (Ancillary Demand) • (10.1)% D
Slide 14: 1Q FY2021 Adjusted EBITDA
1Q FY2021 Adjusted EBITDA (Numbers $M) 1Q21 1Q20 Commentary • 1.4% Increase Total Adj. EBITDA $52.4 $51.7 • 9.5% Adjusted EBITDA margin • 40 basis point expansion • 4.0% Increase Maintenance Services $49.6 $47.7 • 11.9% Adjusted EBITDA margin • 50 basis point expansion • (10.5)% Decrease Development
Slide 15: Net CapEx, Net Debt and Liquidity
Net CapEx, Net Debt and Liquidity 1 2 3 Net Capital Net Debt Liquidity Expenditures $1,155.1 $324.2 $14.5 $1.0 $1,088.0 $254.3 $9.7 $0.6 $13.5 Net $9.1 Capex 1 Net Capex 1 Q120 Q121 Q120 Q121 Q120 Q121 Asset Disposals Net CapEx / Total Revenue Net Debt / LTM Adjusted EBITDA Liquidity 2.4% in Q120 vs
Slide 16: Liquidity Update
Liquidity Update $(M) As of As of 12/31/2019 12/31/2020 Revolving Credit Facility $184.0 $182.6 Receivables Financing Agreement 60.0 60.0 Total Credit Available 244.0 242.6 Cash and Cash Equivalents 10.3 81.6 Total Liquidity $254.3 $324.2 Debt Maturities: Receivables Financing Agreement Maturity
Slide 17: Closing Remarks
Closing Remarks Andrew Masterman | President and Chief Executive Officer 1Q FY2021 Earnings Presentation | 17
Slide 18: Key Takeaways
Key Takeaways Solid Start to Year in Contract Revenue and Adjusted EBITDA Growth Investments in Technology and Productivity Driving Improved Margins Beat Guidance Due to Solid Maintenance Segment Execution Continued Focus on Managing Working Capital and Capital Expenditures Fundamentals of Business
Slide 19: Questions & Answers
1Q FY2021 Earnings Call QUESTIONS & ANSWERS 1Q FY2021 Earnings Presentation | 19
Slide 20: Appendix
BrightView P Inspiring People. Nurturing Landscapes. Appendix
Slide 21: Non-GAAP to GAAP Reconciliation
Non-GAAP to GAAP Reconciliation Three Months Ended December 31, (in millions)* 2020 2019 Adjusted EBITDA Net (loss) income $ (12.0) $ (12.6) Plus: Interest expense, net 13.6 17.4 Income tax (benefit) (3.8) (4.9) Depreciation expense 21.6 20.2 Amortization expense 13.9 13.5 Establish public company f
Slide 22: Non-GAAP to GAAP Reconciliation (cont.)
Non-GAAP to GAAP Reconciliation (cont.) (a) Represents costs incurred to establish public company financial reporting compliance, including costs to comply with the requirements of Sarbanes-Oxley and the accelerated adoption of the revenue recognition standard (ASC 606 – Revenue from Contracts with
Slide 23: Non-GAAP to GAAP Reconciliation (cont.)
Non-GAAP to GAAP Reconciliation (cont.) Total Financial Debt and Total Financial Net Debt December 31, December 31, September 30, (in millions)* 2020 2019 2020 Long-term debt, net $ 1,125.8 $ 1,132.5 $ 1,127.5 Plus: Current portion of long-term debt 10.4 10.4 12.3 Financing costs, net 13.0 16.3 13.9
Slide 24: Thank You
Thank You Investor Relations Contact: Media Contact: John E. Shave Fred Jacobs VP of Investor Relations VP of Communications & Public Affairs 484.567.7148 484.567.7244 John.Shave@BrightView.com Fred.Jacobs@BrightView.com investor.brightview.com