Slide 1: Twin Disc, Inc Investor Presentation
TWIN DISC, INC Investor Presentation
Slide 2: Disclosures
DISCLOSURES Safe Harbor Statement This presentation contains statements that are forward-looking within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended. The words “anticipates,” “believes,” “intends,” “estimates,” and “expects,” or similar anticipatory expressions, usua
Slide 3: Investment Highlights
INVESTMENT HIGHLIGHTS 01. 02. 03. 04. 05. Robust backlog Innovative Strategic playbook Accelerating growth Niche capabilities and supported by healthy technologies in focused on margin across end markets specific product group demand growth Marine and Industrial expansion and cash through Industrial
Slide 4: Overview
OVERVIEW 4
Slide 5: Twin Disc Snapshot
TWIN DISC SNAPSHOT FY24 Revenue by Product Group FY24 Revenue by Geography Founding Year 1918 6% Headquarters Milwaukee, WI 11% 9% 28% Employees ~800 28% Manufacturing 27% 58% Reporting Segments Distribution Revenue $295.1M 33% EBITDA Margin 9.0% Marine & Propulsion Systems Land-Based Systems North
Slide 6: Twin Disc Evolution
TWIN DISC EVOLUTION 1918 1950s 1999 2006 2021 Today Twin Disc was Hydraulic marine Acquisition of Acquisition of BCS Sale of Swiss facility Acquisition of Katsa Oy founded transmission Rockford and Strategic focus on hybrid Revolutionized tractor Technodrive electric technology, clutches that became
Slide 7: Product Group Overview
PRODUCT GROUP OVERVIEW Marine & Propulsion Land-Based Industrial Systems Tr a n s m i s s i o n Diesel powered planing & Diesel powered off-highway and all- Heavy duty industrial disconnect displacement vessels terrain specialty vehicles applications • Positioned to capitalize on paradigm • Increasi
Slide 8: Strategy
STRATEGY 8
Slide 9: Long-Term Strategy
LONG-TERM STRATEGY Leading Hybrid/Electric Continued expansion of Veth Rationalize global footprint solution provider for niche product to reach new for efficiency and customer marine and land-based markets and geographies response applications Increased focus on controls M&A priorities: Industrial
Slide 10: Updating Medium-Term Targets
UPDATING MEDIUM-TERM TARGETS 2030 TARGETS AND DRIVERS Revenue Gross Margin FCF Conversion $500M 30% 28% $295M 9% Maintain at least 60% CAGR FY 2024 FY 2030 FY 2024 FY 2030 ▪ Hybrid / Electric leadership ▪ European cost structure ▪ Supply chain processes ▪ Veth global expansion ▪ Operational efficien