Slide 1: Safe Harbor and Basis of Presentation
Safe Harbor and Basis of Presentation Forward-Looking Statement Safe Harbor - This presentation includes "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. All of these forward-looking statements are based on estimates and assumptions made by our
Slide 2: Fiscal Q4 and Fiscal 2018 Highlights
Fiscal Q4 and Fiscal 2018 Highlights 3 We achieved solid fourth quarter results, capping off a successful fiscal 2018 Net sales increased 3.4% to a record $635.8 million, base business net sales up 2.0% Wallboard price increased 2.4% Net income of $9.9 million, or EPS of $0.24 per diluted share Adju
Slide 3: Titan Acquisition Creates Well-Balanced Platform Built for Growth in the United States and Canada
Titan Acquisition Creates Well-Balanced Platform Built for Growth in the United States and Canada Sales by Product (LTM) End Market Mix (LTM) Combined (2) Revenue (LTM) $2.5 billion $0.5 billion $3.0 billion Distribution Branches 214 30 244 Number of Employees 4,600 1,200 5,800 Based on financial in
Slide 4: Fiscal 2018 Pro Forma Summary
Fiscal 2018 Pro Forma Summary 5 ($ in millions, April FYE) Pro Forma Adjusted EBITDA (1) (3) Pro Forma Net Sales & Gross Margin (3) ($ in millions, April FYE) % Margin (1) 3.3% 5.0% 6.4% 6.7% 7.4% 8.1% 7.9% 10.1% +600bps, excl. $23mm lease impact FY2015, FY2016, FY2017 and FY2018 PF Adj. EBITDA incl
Slide 5: Fiscal Q4 2018 Performance
Fiscal Q4 2018 Performance Gross Profit ($ mm) Fiscal Q4 2018 Gross Profit & Margin Adj. EBITDA(2) ($ mm) Fiscal Q4 2018 Adjusted EBITDA (2) When calculating our “base business” results, we exclude any branches that were acquired in the current fiscal year, prior fiscal year and three months prior t
Slide 6: Fiscal 2018 Performance
Fiscal 2018 Performance Gross Profit ($ mm) Fiscal 2018 Gross Profit & Margin Adj. EBITDA(2) ($ mm) Fiscal 2018 Adjusted EBITDA (2) When calculating our “base business” results, we exclude any branches that were acquired in the current fiscal year, prior fiscal year and three months prior to the sta
Slide 7: Fiscal 2018 Results – Operating Expenses
Fiscal 2018 Results – Operating Expenses 8 Full Year SG&A & SG&A % of Sales FY2018 vs. FY2017 SG&A Bridge Organic Adjusted SG&A expenses increased ~3.6% in Q4 and ~4.7% in fiscal 2018, primarily the result of higher logistics costs Significant cost reductions implemented since May 2018 G&A headcount
Slide 8: Capital Structure Pre and Post Titan Transaction
Capital Structure Pre and Post Titan Transaction Pre Titan transaction capital structure as of 4/30/18: Leverage of 2.8x Net Debt / LTM Pro Forma Adj. EBITDA, down from 2.9x Net Debt / LTM Pro Forma Adj. EBITDA as of 4/30/17 Post Titan transaction capital structure as of 4/30/18: Pro Forma leverage
Slide 9: Leading Specialty Distributor Poised for Continued Growth
Leading Specialty Distributor Poised for Continued Growth 10 Market Leader with Significant Scale Advantages – #1 North American Distributor of Wallboard and Ceilings Differentiated Service Model Drives Market Leadership Multiple Levers to Drive Market Leading Growth – Market Share, Greenfields, M&A
Slide 10: Leading Specialty Distributor Poised for Continued Growth
Leading Specialty Distributor Poised for Continued Growth National Scale Combined With Local Expertise Market Leader with Scale Advantages Market Leader with Significant Scale Advantages — #1 North American Distributor of Wallboard and Ceilings Differentiated Service Model Drives Market Leadership M
Slide 11: Summary Quarterly Financials
Summary Quarterly Financials Note: Fiscal year end April 30. 12 (In millions, except per share data) 1Q17 2Q17 3Q17 4Q17 FY17 1Q18 2Q18 3Q18 4Q18 FY18 (Unaudited) Wallboard Volume (MSF) 818 891 842 906 3,457 914 929 826 878 3,548 Wallboard Price ($ / '000 Sq. Ft.) 307 $ 303 $ 303 $ 311 $ 306 $ 311 $
Slide 12: Quarterly Net Sales
Quarterly Net Sales Note: Fiscal year end April 30. When calculating our “base business” results, we exclude any branches that were acquired in the current fiscal year, prior fiscal year and three months prior to the start of the prior fiscal year. FY17 quarterly sales from acquisitions have been up
Slide 13: Quarterly Net Income to Adjusted EBITDA
Quarterly Net Income to Adjusted EBITDA Adjusted EBITDA Reconciliation Commentary Represents non-cash compensation expenses related to stock appreciation rights agreements Represents non-cash compensation expense related to changes in the fair values of noncontrolling interests Represents non-cash e
Slide 14: LTM Net Income to Pro Forma Adjusted EBITDA
LTM Net Income to Pro Forma Adjusted EBITDA Pro Forma Adjusted EBITDA Reconciliation Commentary 15 Represents non-cash compensation expenses related to stock appreciation rights agreements Represents non-cash compensation expense related to changes in the fair values of noncontrolling interests Repr
Slide 15: Net Income to Adjusted EBITDA
Net Income to Adjusted EBITDA Adjusted EBITDA Reconciliation Commentary Represents compensation paid to certain executives who were majority owners prior to the AEA acquisition of GMS. Following the acquisition, these executives’ compensation agreements were amended and, going forward, GMS does not
Slide 16: Quarterly Cash Flows
Quarterly Cash Flows 17 ($ in millions) (Unaudited) 1Q17 2Q17 3Q17 4Q17 FY17 1Q18 2Q18 3Q18 4Q18 FY18 Net income $ 9.2 $ 17.2 $ 8.2 $ 14.3 $ 48.9 15.3 $ 18.0 $ 19.7 $ 9.9 $ 63.0 Non-cash changes & other changes (5.0) 11.5 23.8 30.1 60.4 (2.8) 13.3 14.9 35.3 60.8 Changes in primary working capital co
Slide 17: Reconciliation of SG&A to Adjusted SG&A & Organic SG&A
Reconciliation of SG&A to Adjusted SG&A & Organic SG&A GAAP SG&A Reconciliation Commentary Represents non-cash compensation expenses related to stock appreciation rights agreements Represents non-cash compensation expense related to changes in the fair values of noncontrolling interests Represents n
Slide 18: LTM Net Income to Pro Forma Adjusted EBITDA Including WSB Titan
LTM Net Income to Pro Forma Adjusted EBITDA Including WSB Titan Pro Forma Adjusted EBITDA Reconciliation Commentary 19 Note: Titan figures converted at CAD/USD average monthly exchange rate of 0.7816. For illustrative purpose only. Not prepared in accordance with Regulation S-X pro forma requirement
Slide 19: Estimated impact of tax reform and Titan acquisition on Adjusted Net Income
20 Assuming the effects of tax reform and the acquisition of Titan were effective 5/1/2017, the table below reflects the estimated impact of both on Adjusted Net Income: Commentary As reported in GMS's June 28, 2018 earnings release statement and WSB Titan 12/31/17 audited results adjusted for Janua
Slide 20: FY 2018 Pro Forma Adjusted EPS Reconciliation
FY 2018 Pro Forma Adjusted EPS Reconciliation = Assuming the effects of tax reform and the acquisition of Titan were effective 5/1/2017, the table below reflects the estimated impact of both on Adjusted Net Income: FY 2018 (Sin millions, except share and per share data) Fy 2018 Titan Combined (Unaue
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