Supreme Industries Limited · NSE:SUPREMEIND
Supreme Industries — Investor Presentation (April 2016)
22 slides from Supreme Industries's investor presentation, Apr 6, 2016
Slide 1: Safe Harbor Statement
Safe Harbor Statement Other than historical facts contained herein, the matters set forth in this presentation are “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, as amended, and reflect the vie
Slide 2: Corporate Overview
Corporate Overview Leading manufacturer of specialized commercial vehicles including truck bodies, trolleys, and specialty vehicles. – – – Headquartered in Goshen, Indiana with approximately 1,400 employees Publicly traded on NYSE: MKT (STS) Recognized nationwide as the most diversified truck indust
Slide 3: Executive Management
Executive Management Marketing at Nilfisk marketing area in challenging positions different companies such Signal 4 Mickey McKee VP of Sales • Before joining Supreme in February 2014, served as Vice President of Sales and Advance for three years • 30+ years in the sales and progressively more • Care
Slide 4: Restructuring Process
Restructuring Process • Hired new CFO • Initiated financial turnaround • Established margin discipline via Pricing Committee • Invested capital to establish lean manufacturing • Debt refinanced 2011 • Hired new CEO • Conducted strategic assessment of shuttle bus business • Consolidated facility foot
Slide 5: Investment Highlights
Investment Highlights • Significant brand recognition with over 40 year heritage • Over 20,000 truck bodies delivered annually • Extensive pool chassis program with leading light-duty OEMs Market-Leading Position • Nationwide footprint with eight production facilities • Application of computer aided
Slide 6: National Footprint
National Footprint Goshen, IN (Corporate Office) Ligonier, IN Truck Trolley Specialty Vehicles Structural Laminating Harrisville, RI Moreno Valley, CA Jonestown, PA Moreno Valley, California Griffin, GA Cleburne, TX 7
Slide 7: Favorable Market Dynamics
Favorable Market Dynamics NTEA forecast calls for continued growth in 2016 • Class 3-7, 5% growth projected Positive Secular Trends oLeasing oHome Delivery oFinal Mile – – Source: NTEA COMPETITOR LANDSCAPE Ownership Regional Footprint Ownership National Footprint Utilimaster (SPAR) Public Morgan Pri
Slide 8: Truck Bodies
Truck Bodies • • • Offers a complete line of multi-purpose truck bodies Shipments of more than 20,000 bodies annually Manufacture proprietary truck sidewalls made from Aluminum, FiberPanel™ PW, Signature Plate and FiberPanel® HC COMPETITOR LANDSCAPE Dry Freight - Van Bodies Spartan Service & Cargo V
Slide 9: Supreme Specialty Vehicles and Trolleys
Supreme Specialty Vehicles and Trolleys Specialty Vehicles • Manufactured with state-of-the-art technology and engineering • Products customized to application • Highly skilled workforce experienced in ballistic armoring • Holds Department of Defense security clearance SWAT Cash-In-Transit Armored E
Slide 10: North American Products & Markets Served
North American Products & Markets Served Vehicle Mix Customer Mix Trolleys 2.0% Other 1.4% Specialty Vehicles 2.6% Fleet 23.3% 2015 2015 Trolleys 3.6% Other 0.9% Other 10.4% Specialty Vehicles 5.8% Fleet 15.2% 2014 2014 11
Slide 11: Diversified Customer Mix
Diversified Customer Mix • Customers include: 2015 national rental fleets, national and regional Accounts Under $3M 47% leasing companies, truck chassis dealers and fleet operators Seasonal demand peaks typically in first half of year driven by rental fleet orders Reduced risk of financial impact wi
Slide 12: Growth Strategy
Growth Strategy Market Segment Penetration • • • Maintain mix of retail and fleet Leverage growth trend in leasing Refrigerated applications New Products • • • • FiberPanel® HC Signature Plate Adjacent product lines Innovative opportunities Leverage Distribution Channel • • • • Application solutions
Slide 13: Growth Strategy
Growth Strategy Market Segment Penetration * Maintain mix of retail and fleet + Leverage growth trend in leasing + Refrigerated applications £-a * FiberPanel® HC * Signature Plate * Adjacent product lines * Innovative opportunities Leverage Distribution Channel Application solutions Five regional sa
Slide 14: Consolidated – Continuing Ops Sales
Consolidated – Continuing Ops Sales $ in Millions Annual Sales Quarterly Sales $278.4 $253.4 $246.9 $239.1 $236.3 $82.6 $171.8 $71.6 $67.7 $64.8 $63.3 $58.0 $53.4 $53.3 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 2010 2011 2012 2013 2014 2015 2014 2015 15
Slide 15: Gross Profit – Continuing Ops / Gross Margin
GrossProfit – Continuing Ops / Gross Margin Gross Profit Gross Margin $ in Millions % of Sales $54.2 $48.4 19.6% 19.5% 18.5% $43.8 $41.3 17.3% $31.1 12.3% $11.6 6.7% 2010 2011 2012 2013 2014 2015 2010 2011 2012 2013 2014 2015 16
Slide 16: Income – Continuing Ops and EPS
Income – Continuing Ops / (Loss) and EPS Income / (Loss) Diluted Earnings Per Share $ in Millions, $4.3 $4.3 $3.8 $12.9 $12.4 $11.2 $2.8 $8.5 $2.5 $3.2 $1.9 $1.5 $0.26 $0.25 $0.22 $0.2 $0.15 $0.16 $0.11 $0.09 ($10.1) $0.01 Q1Q2 Q3 Q4 Q1 Q2 Q3 Q4 2014 2015 2010 2011 2012 2013 2014 2015 Income EPS 17
Slide 17: EBITDA / Capital Expenditure – Continuing Ops
EBITDA / Capital Expenditure – Continuing Ops $ in Millions $22.6 $21.0 $16.4 $16.2 $8.6 $7.1 * $6.2 $4.7 $3.9 $2.8 $1.9 ($6.4) 2010 2011 2012 2013 2014 2015 EBITDA Cap Ex 18 * Excludes $6.1M purchase of leased properties
Slide 18: Capital Structure
Capital $ in Millions Structure Total Debt to Capitalization 40.0% 30 34.1% 35.0% 25 30.0% 20 25.0% 22.5% 17.4% 20.0% 15 15.0% 11.5% 10.0% 9.0% 10 10.0% 5 5.0% 0.0% 0 2010 2011 2012 2013 2014 2015 Cash Debt Debt to Capitalization 19
Slide 19: Capital Structure
Capital Structure io Total Debt to Capitalization 34.1% 2010 2011 2012 2013 2014 2015 s=aCash —mmmDobt_ © Debt fo Capitalization
Slide 20: Reconciliation of EBITDA to Adjusted EBITDA
EBITDA Reconciliation of EBITDA to Adjusted EBITDA $ in Millions Full Year 2013 2014 2015 2010 2011 2012 2013 2014 2015 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 EBITDA - GAAP $ (6,257) $ 5,674 $ 15,415 $ 13,323 $ 14,147 $ 22,568 $ 4,359 $ 2,264 $ 3,240 $ 3,459 $ (978) $ 7,259 $ 4,643 $ 3,223 $ 3,929 $ 7,
Slide 21: Reconciliation of (Loss)/Income to Adjusted (Loss)/Income
Net Income Reconciliation of (Loss)/Income to Adjusted (Loss)/Income $ in Millions Full Year 2013 2014 2015 2010 2011 2012 2013 2014 2015 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 (Loss)/Income - GAAP $(11,698) $ 791 $ 11,833 $ 6,426 $ 6,903 $ 12,875 $ 2,304 $ 925 $ 1,531 $ 1,665 $ (1,343) $ 4,255 $ 2,469
Slide 22: Reconciliation of (Loss)/Income to Adjusted (Loss)/Income
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