Knight-swift Transportation Holdings Inc. · NYSE:KNX
Knight-swift Transportation — Swift Transportation — Baird's 2015 Industrial Conference
21 slides from Knight-swift Transportation's conference presentation, Nov 11, 2015
Slide 1: Swift Transportation
Click to edit Master title style Swift Transportation November 2015
Slide 2: Swift Transportation Overview
Click to edit Master title style SWIFT TRANSPORTATION OVERVIEW Swift Confidential and Proprietary 2
Slide 3: Swift Transportation at a Glance
Click Transportation Swift to edit Master title at a style Glance • Multi-faceted $4.3 billion transportation solution provider in a fragmented industry prime for consolidation • Broad and unique suite of service and equipment offerings when combined with our expertise can simplify our customers com
Slide 4: Total Revenue and Operating Income
Click Revenue Total to edit Master title styleIncome and Operating Total Revenue (1) Adjusted Operating Income (5) Note: Acquisitions recorded with pooling of interests or similar accounting treatment reflected for full year in year of acquisition; MS Carriers - 2001, IEL – 2007, and Central Refrige
Slide 5: Providing Solutions our Customers Need
Click to edit Providing Masterour Solutions titleCustomers style Need Demonstrated ability to provide total transportation solutions with a comprehensive suite of services and equipment offerings • 100% of Swift’s Top 20 customers and 75% of top 50 utilize multiple service offerings Transportation S
Slide 6: Revenue by Service Offering and Industry
Click to edit Revenue MasterOffering by Service title style and Industry Revenue by Service Offering Revenue by Industry (Van =12.6%, Temp Controlled = 10.7%) FY 2014 Revenue, net of fuel surcharge: $3.5 Billion Diverse revenue base across service offerings & industries Swift Confidential and Propri
Slide 7: Creating Partnerships with our Blue-Chip Customer Base
Click to edit Creating Master title Partnerships withstyle our Blue-Chip Customer Base Aligning with Best in Class Customers for Long-Term Relationships Swift’s customer base requires complex Swift Confidential and Proprietary transportation services 7
Slide 8: Swift's unique footprint puts us closer to customers and drivers
Click to edit Master title style Swift’s unique footprint puts us closer to our customers and the homes of our drivers Swift Confidential and Proprietary 8
Slide 9: Strong Operating Leverage Built into the Trucking Model
Click Strongto edit Master Operating title Leverage style Built into the Trucking Model Loaded Miles Per Tractor Per Week (1) Note: 1. Operating sensitivities calculated on 2014 operating results and variable/ fixed cost structure for Swift Consolidated (Truckload, Dedicated, Swift Refrigerated) seg
Slide 10: Financial Overview
Click to edit Master title style FINANCIAL OVERVIEW Swift Confidential and Proprietary 10
Slide 11: Debt and Net Leverage Ratio
ClickDebt Net to edit andMaster title Leverage style Ratio CRS Acquisition *2008 – 2012 data does not include Central Refrigerated acquisition Significant deleveraging since 2008; Swift Confidential and Proprietary approaching optimal capital structure 11
Slide 12: Capital Allocation Strategy
Click to edit Master title style Capital Allocation Strategy • Swift’s share price has been trading ~40% below its 52 week high ─ Much of that sell off is in line with the broader TL sector • Swift’s current share price provides a window of opportunity to buy back shares at attractive prices • From
Slide 13: Optimal Capital Structure Curve
Click to edit Optimal Master Capital title style Structure Curve* *Source Morgan Stanley; as of Nov 2, 2015 Nearing optimal leverage level and capital Swift Confidential and Proprietary structure based on projected WACC 13
Slide 14: Capital Allocation Strategy
Click to edit Master title style Capital Allocation Strategy • Swift’s share price has been trading ~40% below its 52 week high ─ Much of that sell off is in line with the broader TL sector • Swift’s current share price provides a window of opportunity to buy back shares at attractive prices • From
Slide 15: Free Cash Flow
Click to edit Free Cash Master title style Flow 2011/2012 recast from Swift Transportation acquisition of Central Refrigerated 2015 Free Cash Flow use will include debt Swift Confidential and Proprietary reduction and share repurchase 15
Slide 16: Questions
Click to edit Master title style QUESTIONS Swift Confidential and Proprietary 16
Slide 17: Appendix
Click to edit Master title style APPENDIX Swift Confidential and Proprietary 17
Slide 18: Strong Operating Leverage Built into the Truckload Model
Click Strongto edit Master Operating title Leverage style Built into the Truckload Model Loaded Miles Per Tractor Per Week (1) Note: 1. Operating sensitivities calculated on 2014 operating results and variable/ fixed cost structure for the Truckload Segment With our scale, small improvements Swift C
Slide 19: Strong Operating Leverage Built into the Swift Refrigerated Model
Click Strongto edit Master Operating title Leverage style Built into the Swift Refrigerated Model Loaded Miles Per Tractor Per Week (1) Note: 1. Operating sensitivities calculated on 2014 operating results and variable/ fixed cost structure for the Swift Refrigerated Segment With our scale, small im
Slide 20: Strong Operating Leverage Built into the Dedicated Model
Click Strongto edit Master Operating title Leverage style Built into the Dedicated Model Loaded Miles Per Tractor Per Week (1) Note: 1. Operating sensitivities calculated on 2014 operating results and variable/ fixed cost structure for the Dedicated segment With our scale, small improvements Swift C
Slide 21: Swift's Integrated Flywheel
Click to edit Master title style Swift’s Integrated Flywheel Swift Confidential and Proprietary 21
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