Bluelinx Holdings Inc. · NYSE:BXC
Bluelinx — Q2 2018 Earnings Presentation
18 slides from Bluelinx's earnings presentation, Aug 9, 2018
Slide 1: BlueLinx Second Quarter 2018 Earnings Webcast
BlueLinx Second Quarter 2018 Earnings Webcast
Slide 2: Notes To Investors: Forward-Looking Statements
Notes To Investors Forward-Looking Statements. This presentation includes “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995. These forward-looking statements include, without limitation, any statement that may predict, forecast, indicate or imply
Slide 3: Second Quarter 2018 - Key Highlights
Second Quarter 2018 - Key Highlights Second Quarter 2018 • Successfully completed the Cedar Creek acquisition in April, creating a leading building products wholesale distributor with combined Q2 2018 trailing twelve months net sales of $3.4 billion • Began integration of the two companies making qu
Slide 4: BlueLinx Provides A Compelling Opportunity
BlueLinx Provides A Compelling Opportunity Industry leader with opportunity to continue transformative profitable growth STRONG FOUNDATION FOR SUCCESS • A leading building products distributor with a strong geographic presence east of the Rockies and over 700 sales associates • Comprehensive product
Slide 5: Integration Highlights
Integration Highlights ACCOMPLISHMENTS • Created dedicated integration team coordinating with third party consultants to drive synergy opportunities • Quickly established organizational structure consistent with local market strategy while taking advantage of economies of scale • Decided on future E
Slide 6: Acquisition Of Cedar Creek Expected To Yield Significant Cost Savings Opportunity
Acquisition Of Cedar Creek Expected To Yield Significant Cost Savings Opportunity Description ESTIMATED $50M COST SAVINGS BY OPPORTUNITY • Supplier rationalization Procurement • Cost disparity Supply Chain & Network Supply Chain • Overlap markets ~35% Efficiencies • Route optimization General & • Ef
Slide 7: Market Update
Market Update MARKET OUTLOOK . Housing starts forecasted to be ~1.3 million in 2018 . U.S. unemployment rate as of Q2’18 is the lowest since 2000 at 4.0% . U.S. Single Family Housing Starts in June were down to seasonally adjusted 858k annual rate with positive full year trend providing growth oppor
Slide 8: Strategic Initiatives
Strategic Initiatives 1 2 3 Successful Integration Emphasize Sales Enhance Margins of Two Companies Growth Over $3 billion of Emphasize local Emphasis on products addressable spend for customer interaction and markets with high cost savings to grow market share margin profiles opportunities
Slide 9: Financial Overview
BlueLinx’AS America’s Building Products Distributor Financial Overview
Slide 10: Financial Summary – Second Quarter 2018
Financial Summary – Second Quarter 2018 • Net Sales of $893M, up $419M or 88% • Pro Forma Net Sales of $949M, up $100M or 12% • Gross Profit of $104M¹, up $43M • Pro Forma Gross Profit of $121M, up $8M • Gross Margin of 11.6%¹ • Pro Forma Gross Margin of 12.8% • Net Loss of $9M includes the followin
Slide 11: Financial Summary – First Half 2018
Financial Summary – First Half 2018 • Net Sales of $1,330M, up $428M or 47% • Pro Forma Net Sales of $1,733M, up $114M or 7% • Gross Profit of $159M¹, up $44M • Pro Forma Gross Profit of $221M, up $17M • Gross Margin of 11.9%¹ • Pro Forma Gross Margin of 12.7% • Net Loss of $22M includes the followi
Slide 12: Pro Forma Net Sales and Gross Margin
Pro Forma Net Sales and Gross Margin $ in millions Pro Forma Net Sales Pro Forma Gross Margin Specialty 15.7% 15.4% 14.1% 13.7% $949 Structural $849 9.3% 9.5% 8.9% 7.9% Q2'17 Q2'18 Q2 '15 Q2 '16 Q2 '17 Q2 '18 • Pro Forma Gross Margin of 12.8% • Pro forma Net Sales increased by $100M or 12% from the
Slide 13: Real Estate and NOLs Overview
Real Estate and NOLs¹ Overview $ in millions Real Estate NOLs $280 - $290 $158 $66 $92 $150 - $160 4X Book Value Pre SLB Strategy Current Est. Real Remaining NOLs NOLs used Q2 Remaining NOLs Real Estate Value Estate Value FY 20172 YTD 2018 Q2 20182 • Utilized sale leaseback (“SLB”) proceeds to pay o
Slide 14: Appendix
BlueLinx/AS America's Building Products Distributor Appendix
Slide 15: Non-GAAP And Supplementary Financial Measures
Non-GAAP And Supplementary Financial Measures BlueLinx reports its financial results in accordance with GAAP, but we also believe that presentation of certain non-GAAP measures, as well as GAAP-based and non-GAAP supplemental financial measures, may be useful to investors and may provide a more comp
Slide 16: Adjusted EBITDA
Adjusted EBITDA (In thousands) (Unaudited) 2018 2017 2018 2017 Q2 Q2 Q2 YTD Q2 YTD Net (loss) income $ (8,558) $ 3,238 $ (21,985) $ 3,822 Adjustments: Depreciation and amortization 7,444 2,253 10,109 4,616 Interest expense 12,194 5,367 20,674 10,609 Provision for (Benefit from) income taxes 942 676
Slide 17: Pro Forma Adjusted EBITDA
Pro Forma Adjusted EBITDA (In thousands) (Unaudited) 2018 2017 2018 2017 Q2 Q2 Q2 YTD Q2 YTD Net (loss) income $ 9,180 $ 5,963 $ (1,439) $ (30,290) Adjustments: Depreciation and amortization 8,670 7,847 17,644 17,640 Interest expense 12,604 10,850 26,611 21,487 Provision for (Benefit from) income ta
Slide 18: Please reference our Earnings Release and 10-Q on our website
Please reference our Earnings Release and 10-Q available on our website www.BlueLinxCo.com