Trueblue, Inc. · NYSE:TBI
Trueblue — Q1 2018 Earnings Presentation
15 slides from Trueblue's earnings presentation, Apr 30, 2018
Slide 1: TrueBlue April 30, 2018
www.TrueBlue.com April 30, 2018
Slide 2: Forward-Looking Statements
Forward-Looking Statements
Slide 3: Q1 2018 summary
Q1 2018 summary Strong earnings per share growth EPS +100%, adjusted EPS1 +48% o Favorable income tax, gross margin, and depreciation results o Gain on sale of PlaneTechs (excluded from adjusted EPS) Modest revenue decline but gross profit up 3% Total revenue -2% PeopleReady -5%, solar industr
Slide 4: Financial summary
Financial summary Amounts in millions, except per share data Q1 2018 Y/Y Change Revenue $554 -2% Net Income $8.8 +87% Net Income Per Diluted Share $0.22 +100% Adjusted Net Income1 $12.7 +43% Adj. Net Income Per Diluted Share1 $0.31 +48% Adjusted EBITDA1 $19.4 +9% Adjusted EBITDA Margin 3.5% 40 bps 1
Slide 5: Gross margin and SG&A bridges
24.5% 25.8% 0.6% 0.7% Q1 2017 PeopleScout PeopleReady & PeopleManagement Q1 2018 Gross margin and SG&A bridges SG&A Amounts in millions $122 $126 $2 $2 Q1 2017 EBITDA add-backs* Core business Q1 2018 Gross Margin * Implementation costs for cloud-based systems.
Slide 6: Results by segment
Results by segment Amounts in millions PeopleReady PeopleManagement PeopleScout Revenue $317 $184 $54 % Growth -5% -4% (-2% ex-PlaneTechs) +22% Segment Profit1 $9.5 $5.6 $11.9 % Growth -5% +2% +37% % Margin Y/Y Change 3.0% Flat 3.1% +20 bps 22.2% +250 bps Notes: 1 We evaluate performance based on se
Slide 7: Segment strategy highlights
Segment strategy highlights Worker component of JobStackTM mobile app fully deployed 4,300 unique clients on JobStack as of Q1-18 Expect 10,000 clients to be actively using JobStack by the end of 2018 Attractive on-premise solution o Perfect fit for larger clients with longer- duration / str
Slide 8: Successful divestiture of PlaneTechs business
Successful divestiture of PlaneTechs business Formerly part of PeopleManagment, PlaneTechs specializes in providing temporary skilled mechanics and technicians to aircraft maintenance, repair, overhaul and manufacturing companies in the commercial, government services and business aviation sectors.
Slide 9: Lower debt and ample liquidity
31% 21% 18% 11% 2015 2016 2017 Q1-18 $216 $103 $90 $45 $30 $35 $29 $27 $246 $138 $119 $72 2015 2016 2017 Q1-18 Net Debt Cash $77 $136 $117 $132 $30 $35 $29 $27 $107 $171 $146 $159 2015 2016 2017 Q1-18 Borrowing Availability Cash Lower debt and ample liquidity Total Debt Liquidity Debt to Total Capit
Slide 10: Outlook
Outlook
Slide 11: Q2 2018 Outlook
Q2 2018 Outlook Revenue Outlook % Growth % Growth Excluding PlaneTechs Total $585 to $600 -4% to -2% -2% to Flat PeopleReady $349 to $356 -6% to -4% -6% to -4% PeopleManagement $181 to $185 -6% to -4% Flat to 2% PeopleScout $55 to $58 17% to 25% 17% to 25% Profitability & Capital Expenditures Outloo
Slide 12: Appendix
A ppendix
Slide 13: Non-GAAP Financial Measures and Non-GAAP Reconciliations
NON-GAAP FINANCIAL MEASURES AND NON-GAAP RECONCILIATIONS 13 Non-GAAP Measure Definition Purpose of Adjusted Measures EBITDA and Adjusted EBITDA EBITDA excludes from net income: - interest and other income (expense), net, - income taxes, and - depreciation and amortization. Adjusted EBITDA, further e
Slide 14: Reconciliation of U.S. GAAP Net Income to Adjusted Net Income and EBITDA
1. RECONCILIATION OF U.S. GAAP NET INCOME TO ADJUSTED NET INCOME AND ADJUSTED NET INCOME, PER DILUTED SHARE (Unaudited) 14 See the last slide of the appendix for footnotes. 2. RECONCILIATION OF U.S. GAAP NET INCOME TO EBITDA AND ADJUSTED EBITDA (Unaudited) Q1 2018 Q1 2017 Q2 2018 Outlook* 13 Weeks E
Slide 15: Footnotes
15 Footnotes: 1. In mid-March 2018, we entered into an asset purchase agreement with a private, strategic buyer for the sale of our PlaneTechs service line, which resulted in a pre-tax gain of $1.4 million. 2. Amortization of intangible assets of acquired businesses as well as accretion expense rela