Aecom · NYSE:ACM
Aecom — Q2 2020 Earnings Presentation
18 slides from Aecom's earnings presentation, May 26, 2020
Slide 1: AECOM
May 26, 2020 AECOM May 26, 2020 LOUIS ARMSTRONG NEW ORLEANS INTERNATIONAL AIRPORT United States Served as construction manager for the new 35 - gate North Terminal, a nearly $1 billion project that added just under 1 million square feet and three concourses.
Slide 2: Disclosures Safe Harbor
May 26, 2020 Disclosures Safe Harbor All statements in this presentation other than statements of historical fact are “forward - looking statements” for purposes of fe deral and state securities laws, including any statements of the plans, strategies and objectives for future operations, profitabili
Slide 3: Strong Second Quarter Results Provide Significant Confidence
May 26, 2020 Strong Second Quarter Results Provide Significant Confidence All numbers presented reflect Continuing Operations. $182 M $158 M Q2’19 Q2’20 $356 M $295 M H1’19 H1’20 11.7% 9.7% Q2’19 Q2’20 $41.6 B $36.8 B Q2’19 Q2’20 Double - Digit Adjusted EBITDA 1 Growth Strong First Half Adjusted EBI
Slide 4: Business Update and Reaffirmed Financial Guidance
May 26, 2020 Business Update and Reaffirmed Financial Guidance • Our strong fiscal third quarter - to - date performance strengthens our confidence in delivering on our full year financial guidance – Pace of award activity remains healthy, with greater than 1 book - to - burn ratios across the desig
Slide 5: Our Professional Services Business Profile Positions Us Well
May 26, 2020 Our Professional Services Business Profile Positions Us Well Record Backlog Position Diverse Funding Sources Highly Variable Cost Model Agility to Service Clients Remotely Public Sector Client Base (% of TTM NSR 7 ) Professionals Working Remotely at Peak Variable Cost Structure x With a
Slide 6: Creating a Resilient Platform to Perform in Varied Economic Environments
May 26, 2020 Creating a Resilient Platform to Perform in Varied Economic Environments AECOM O RGANIC 8 NSR 7 G ROWTH (2006 – 2011) • Our diversification by client, service and end market results in resiliency during periods of economic weakness – Delivered double - digit organic 8 NSR 7 growth durin
Slide 7: Substantial Global Stimulus Efforts Provide Additional Opportunities
May 26, 2020 Substantial Global Stimulus Efforts Provide Additional Opportunities • Nations across the world have acted quickly to implement robust economic stimulus packages and fortify investments in infrastructure: – The U.S. CARES Act provides critical relief for state/local clients, aviation cl
Slide 8: Projects Across Key States Continuing to Progress
May 26, 2020 Projects Across Key States Continuing to Progress • Most of our projects have been deemed critical and essential; work is continuing to progress – No material project cancellations to date – Work on more than 90% of our Construction Management projects is progressing and general conditi
Slide 9: Capital Allocation and Balance Sheet Transformation Update
May 26, 2020 Capital Allocation and Balance Sheet Transformation Update Repaid All Secured Debt in Q2’20 with MS Proceeds Remaining Stock Repurchase Authorization • Completed the sale of the Management Services business in January, which has enabled a transformation of our balance sheet and capital
Slide 10: Q2'20 Segment Results – Americas
May 26, 2020 Q2’20 Segment Results – Americas • Organic 8 NSR 7 effectively unchanged from the prior year – NSR increased by 2% in the design business, excluding elevated levels of storm activity work in the prior year – Continued underlying strength in our core transportation and water markets, as
Slide 11: Q2'20 Segment Results – International
May 26, 2020 26% 19% 17% 15% 7% 16% 40% 35% 20% 5% Q2’20 Segment Results – International • Organic 8 NSR 7 declined by 2%, reflecting COVID - related headwinds in Asia offset by growth in Australia and stable performance in the U.K. • 240 basis point increase in the adjusted operating margin 1 , dri
Slide 12: Appendix
May 26, 2020 Appendix
Slide 13: Footnotes
May 26, 2020 Footnotes 1 Excludes the impact of non - operating items, such as non - core operating losses and transaction - related expenses, restructuring co sts and other items, and reflects Continuing Operations. See Regulation G Information for a complete reconciliation of Non - GAAP measures.
Slide 14: AECOM: The World's Premier Infrastructure Firm
May 26, 2020 AECOM: The World’s Premier Infrastructure Firm professionals We deliver professional services across the project lifecycle – from planning, design and engineering to consulting and construction management. Across the globe, we partner with our clients in the public and private sectors t
Slide 15: As a Professional Services Business, AECOM Is Poised to Thrive
May 26, 2020 As a Professional Services Business, AECOM Is Poised to Thrive Focused on our core higher - returning and lower - risk businesses Lead in key engineering and construction management markets Strengthened financial profile with a higher expected earnings growth and transformed balance she
Slide 16: Reconciliation of Revenue to Revenue, Net of Subcontractor and Other Direct Costs (NSR)
May 26, 2020 Reconciliation of Revenue to Revenue, Net of Subcontractor and Other Direct Costs (NSR) Three Months Ended Six Months Ended Mar 31, 2019 Mar 31, 2020 Mar 31, 2019 Mar 31, 2020 Americas Revenue $ 2,576.5 $ 2,475.7 $ 5,136.9 $ 4,927.7 Less: Subcontractor and other direct costs 1,636.0 1,5
Slide 17: Regulation G Information
May 26, 2020 Regulation G Information Three Months Ended Six Months Ended Mar 31, 2019 Dec 31, 2019 Mar 31, 2020 Mar 31, 2019 Mar 31, 2020 Reconciliation of Net Income Attributable to AECOM to EBITDA to Adjusted EBITDA and to Adjusted Income from Operations Net income attributable to AECOM $ 51.4 $
Slide 18: May 26, 2020
May 26, 2020