Wajax Corporation · TSX:WJX
Wajax — Q4 2021 Earnings Presentation
20 slides from Wajax's earnings presentation, Mar 8, 2022
Slide 1: Wajax Financial Results – Q4 2021
Wajax Financial Results – Q4 2021 March 8, 2022
Slide 2: Cautionary Statement Regarding Forward-Looking Information
Cautionary Statement Regarding \\ Forward-Looking Information This presentation contains certain forward-looking statements and forward-looking information, as defined in applicable securities laws (collectively, “forward-looking statements”). These forward-looking statements relate to future events
Slide 3: Cautionary Statement Regarding Forward-Looking Information
Cautionary Statement Regarding \\ Forward-Looking Information levels of customer confidence and spending; market acceptance of the products we offer; termination of distribution or original equipment manufacturer agreements; unanticipated operational difficulties (including failure of plant, equipme
Slide 4: Non-GAAP and Additional GAAP Measures
\\ Non-GAAP and Additional GAAP Measures This presentation contains certain non-GAAP and additional GAAP measures that do not have a standardized meaning prescribed by GAAP. Therefore, these financial measures may not be comparable to similar measures presented by other issuers. Investors are cautio
Slide 5: Highlights – Fourth Quarter
\\ Highlights – Fourth Quarter • Revenue increased due to higher industrial parts and ERS sales in western and eastern Canada, with increases in western Canada due mainly to the acquisition of Tundra Revenue $402.8 Process Solutions Ltd. (“Tundra”) 6% • million Partially offset by equipment revenue
Slide 6: Revenue by Region
\\ Revenue by Region Q4 2021 YTD 2021 • Revenue increased $21.8 million, or 5.7%, to $402.8 • For the twelve months ended December 31, 2021, million in Q4 2021 versus $381.0 million for the revenue increased 15.1%, or $214.6 million, to same period in 2020 $1,637.3 million versus $1,422.6 million in
Slide 7: Equipment and Product Support Revenue
\\ Equipment and Product Support Revenue Equipment YoY Change (7.3)% 41.8% 3.3% (1.4)% (17.5)% • Increase from Q3 2021 was due mainly to higher construction and forestry sales in all regions • Decrease from Q4 2020 was due mainly to lower mining sales in western Canada and lower construction and for
Slide 8: IP & ERS Revenue
\\ IP & ERS Revenue Industrial Parts YoY Change (3.4)% 13.5% 40.1% 32.6% 27.0% • Decrease from Q3 2021 was due to lower sales in western and central Canada partially offset by higher sales in eastern Canada • Increase from Q4 2020 was due primarily to the acquisition of Tundra in western Canada effe
Slide 9: Revenue by Category
\\ Revenue by Category YTD* Category4 Q4 2021 Q4 2020 Change YTD 2021 YTD 2020 Change E W C Heavy Equipment $ 232.2 $ 255.0 $ (22.9) $ 957.4 $ 915.8 $ 41.6 ↑ ↑ - Construction & Forestry 108.1 119.4 (11.3) 435.7 386.1 49.6 ↑ ↑ ↑ Mining 26.8 45.0 (18.2) 153.2 176.0 (22.8) ↓ ↓ ↑ Material Handling 38.7
Slide 10: Backlog
\\ Backlog 1 1 Backlog increased by $47.5 million (12.8%) from Q3 2021 to $419.1 million ◦ Increase due primarily to higher construction and forestry orders and higher industrial parts orders 2 Backlog increased by $237.4 million (130.7%) compared to Q4 2020 ◦ Increase due primarily to higher orders
Slide 11: Inventory
\\ Inventory 1• Total owned and consignment inventory declined $9.5 million compared to Q3 20215 ◦ Owned inventory of $388.7 million at Q4 2021 increased $17.4 million from Q3 2021 due largely to the Corporation's previously announced acquisition of all construction-class excavator consignment inven
Slide 12: Cash Flow and Leverage
\\ Cash Flow and Leverage Cash Flow from Operating Activities 2020 2021 Leverage1 Total committed credit facilities Note 1 2.28x 2.04x 1.73x 1.39x 1.29x 2020 2021 Note 1: Credit facility utilization includes $73.4 million in cash paid as part of the consideration to acquire Tundra offset by a debt r
Slide 13: Balance Sheet
\\ Balance Sheet Adjusted Return On Net Assets (RONA)1 • RONA decreased from Q3 2021 due primarily to lower trailing 12-month adjusted EBIT(1) • RONA increased from Q4 2020 due primarily to higher trailing 12-month adjusted EBIT(1) offset partially by higher trailing 12-month average net assets Work
Slide 14: 2022 Outlook
\\ 2022 Outlook • In 2021, Wajax delivered record revenue and strong earnings, rebounding from the challenges it faced in 2020 and exceeding its pre-COVID performance in 2019. Combine that with the Corporation’s strengthened balance sheet and expanded product and service offerings, and Wajax is idea
Slide 15: Appendix 1
Appendix 1 -\\ Together We Get More Done:
Slide 16: Endnotes
\\ Endnotes 1. This measure does not have a standardized meaning prescribed by GAAP. Please see Wajax’s Management’s Discussion and Analysis for the twelve months ended December 31, 2021 under the heading “Non-GAAP and Additional GAAP Measures”, which is available on SEDAR at www.sedar.com, for defi
Slide 17: Appendix 2
Appendix 2 -\\ Together We Get More Done:
Slide 18: Non-GAAP and Additional GAAP Measures
\\ Non-GAAP1 and Additional GAAP Measures Except where noted, all figures are in millions of Canadian dollars, except per share data and ratio calculations. This presentation contains the following non-GAAP and additional GAAP measures that do not have a standardized meaning prescribed by GAAP and a
Slide 19: Non-GAAP and Additional GAAP Measures
\\ Non-GAAP1 and Additional GAAP Measures Reconciliation of the Corporation’s net earnings to EBT, EBIT and Adjusted EBIT and the calculation of the Corporation’s RONA is as follows: For the twelve For the twelve For the twelve months ended months ended months ended December 31 September 30 December
Slide 20: wajax.com
b viata \\ Together We Get More Done. Wajax.com