Enerpac Tool Group Corp. · NYSE:EPAC
Enerpac Tool — Seaport Research Partners Annual Summer Investor Conference 2022
19 slides from Enerpac Tool's conference presentation, Aug 23, 2022
Slide 1: Enerpac Tool Group August 2022
ENERPAC |e) TOOL GROUP August 2022
Slide 2: Forward-Looking Statements
Forward-Looking Statements Statements in this presentation that are not historical are considered “forward-looking statements” and are subject to change based on various factors and uncertainties that may cause actual results to differ significantly from expectations. Those factors are contained in
Slide 3: A Global Leader in Industrial Tools and Services
A Global Leader in Industrial Tools and Services Global leader in high 110 Menomonee Falls, WI ~2,100 100+ 100+ precision tools, controlled YEARS OF HEADQUARTERS EMPLOYEES YEARS OF LEADERSHIP # OF COUNTRIES force products and solutions for precise heavy HISTORY TEAM EXPERIENCE SOLD INTO lifting. Pro
Slide 4: Wide Array of Durable and Reliable Products
Wide Array of Durable and Reliable Products Heavy Lift Bolting Cylinders Presses Pumps Work Holding Pullers Spreaders Cutters 4
Slide 5: Global Breadth of Business
Global Breadth of Business Enerpac Tools and Services benefit from having a diverse geographic customer base 36% Geographic diversification of sales United States Australia reduces overall 5% exposure to regional Mexico/Canada economic downturns 5% Sales of Opportunities for South America 3% $529m i
Slide 6: Extensive Global Distribution
Extensive Global Distribution Global distribution network is a competitive advantage • One of the most robust 1,500+ 3,500+ 100+ distribution networks in the competitive space distributors points of sale countries • Application experts with hands-on product demonstrations • Local access to world- cl
Slide 7: Growth Opportunities in Broad Vertical Markets
Growth Opportunities in Broad Vertical Markets 13 VERTICAL END MARKETS Large, fragmented vertical Power Gen/ Civil Construction Wind markets provide growth opportunities, both organic Oil & Gas Off-Highway and inorganic Vehicle Repair Industrial MRO On-Highway Vehicle Repair Manufacturing and Machin
Slide 8: Select Vertical Market Opportunities - Infrastructure
Select Vertical Market Opportunities - Infrastructure Where We Participate ▪ Roads and Bridges ▪ Rail ▪ Commercial Construction ▪ Electrical Distribution ▪ Water ▪ Airports ▪ Port Facilities Premium Product Offering ▪ Known for precision, durability, and safety ▪ Strong brand recognition within lift
Slide 9: Select Vertical Market Opportunities – Power Gen/Wind
Select Vertical Market Opportunities – Power Gen/Wind Where We Participate ▪ Manufacturing ▪ Transport ▪ Installation ▪ Maintenance ▪ Decommissioning Premium Product Offering ▪ Known for precision, durability, and safety ▪ Strong brand recognition within lifting, positioning and torque and tension ▪
Slide 10: Driving Organic Growth: New Product Development
Driving Organic Growth: New Product Development NEW PRODUCT DEVELOPMENT KEY OBJECTIVES OF ENERPAC NPD ▪ Enerpac Connect and our connected product ▪ Create value for end users by simplifying the “job strategy integral to all new products to be done,” leveraging deep VOC insight ▪ Develop and launch h
Slide 11: Enabling Technology
Enabling Technology Enerpac ConnectTM • SmartID tags and Connect app are foundations for the future of Smart Tools, IoT data, and closer ‘connection’ with our customers • Ultimately, opportunities to drive growth in digital future • Initial foundation built, with additional features over time such a
Slide 12: Strategy Update – Announced ASCEND
Strategy Update – Announced ASCEND ASCEND Transformation Program ▪ Completed a deep-dive review of the business and markets, where we looked at all aspects of our business ▪ Spent the last several months evaluating commercial opportunities, operations and footprint, support functions and organizatio
Slide 13: ASCEND Initiatives
ASCEND Initiatives ASCEND has three key broad initiatives: 1 Accelerating organic growth go- 2 Improving operational excellence 3 Driving greater efficiency and to-market strategies and production efficiency by productivity in SG&A by better utilizing a Lean approach leveraging resources to create a
Slide 14: Long-Term Sustainable Returns
Return on Invested Capital – Deploying Capital to Create Long-Term Sustainable Returns Goal of enhancing Enerpac’s position as a premier industrial tools and services company and its commitment to sustainable shareholder value Invest in Ourselves to Disciplined M&A within creation Drive Organic Grow
Slide 15: Strategy Update – Announced Share Repurchase
Strategy Update – Announced Share Repurchase Share Repurchase Program ▪ Board of Directors has approved a new share repurchase program of up to 10 million shares, which replaces the previous program that was paused during COVID-19 ▪ Reauthorization and intent to repurchase shares remains an importan
Slide 16: Selective, Disciplined M&A
Selective, Disciplined M&A Investing in strategic acquisitions through a disciplined process to capture new growth opportunities DISCIPLINED DRIVING GROWTH STRONG STRATEGY THROUGH M&A BALANCE SHEET ▪ Commitment to pure-play ▪ Goal is to become larger, ▪ Will maintain strong industrial tools and serv
Slide 17: Significant Opportunities for Value Creation
Significant Opportunities for Value Creation Strong Business Model built on well recognized brands, robust global distribution, and broad reach of end markets Pure-Play Industrial Tools Strategy to drive core growth above market and expand BEST IN margins CLASS RETURNS Disciplined Capital Deployment
Slide 18: Third Quarter 2022 Comparable Results
Third Quarter 2022 Comparable Results (US$ in millions except EPS) NET SALES • Core sales growth of 10% $152 • IT&S product sales 12% $143 $137 17.1% • Other product 18% • Service 1% 12.0% 12.0% • Unfavorable impact of FX ~$5M, reducing core sales by 4% ADJUSTED EBITDA* • Incremental margins of ~40%
Slide 19: Enerpac Tool Group
ENERPAC (7) TOOL GROUP
Enerpac Tool Group — Seaport Research Partners Annual Summer Investor Conference 2022 on 6ix