Manitowoc Company, Inc. (the) · NYSE:MTW
Manitowoc Company, Inc. (the) — The Manitowoc Company — Investor Day (December 2021)
92 slides from Manitowoc Company, Inc. (the)'s investor day presentation, Dec 13, 2021
Slide 1: Investor Day
Investor Day December 13, 2021
Slide 2: Forward-Looking Statements
Forward-Looking Statements Safe Harbor Statement Any statements contained in this presentation that are not historical facts are “forward-looking statements.” These statements are based on the current expectations of the management of the Company, only speak as of the date on which they are made, an
Slide 3: Agenda & Presenters
Agenda & Presenters 9:00 AM Welcome & Introduction Ion Warner 9:05 AM Business Overview Aaron Ravenscroft The Manitowoc Way James Cook Safety, Lean, & ESG AARON RAVENSCROFT JAMES COOK CHRISTOPHE SIMONCELLI Breakthrough Initiatives President & CEO SVP, EHS&S The SVP, Towers EU EU Towers and Aftermark
Slide 4: Business Overview
Business Overview Aaron Ravenscroft President & CEO 4
Slide 5: Our Journey
Our Journey 2021: Acquired Aspen Equipment & H&E crane business 2008: Sold Shipbuilding 2001: Acquired Potain 2016: Spun-off tower cranes Foodservice 2002: Acquired Grove mobile cranes 1952: Renamed The Manitowoc Company 1995: First “modern” large crawler crane launched 1925: Production of Moore Spe
Slide 6: Transitioning to Customer-Focused Strategy
Transitioning to Customer-Focused Strategy • Revenue: ~$120 million • >60% non-new machine sales • EBITDA: ~$30 million • ~$180m total purchase price (or ~6x) • Funded by cash-on-hand and $100m ABL draw • ~$1 million in interest • Accretive to cash & EBITDA in first 12 months GROWING OUR NON-NEW MAC
Slide 7: Manitowoc's Future
Manitowoc’s Future ➢ Strong culture built on The Manitowoc Way • Lean, Innovation, and Growth ➢ Solutions provider with a growing aftermarket exposure • Fleet Support Services (Field Service, Used Cranes, Rentals) ➢ Active acquisition pipeline • Aspen Equipment & H&E Crane Business ➢ More resilient
Slide 8: Our Culture: The Manitowoc Way
Our Culture: The Manitowoc Way A CULTURE BUILT ON CONTINUOUS IMPROVEMENT 8
Slide 9: Our Culture: The Manitowoc Way
Our Culture: The Manitowoc Way Engaging employees on multiple levels ✓ Kaizen, kaizen, kaizen ✓ Safety & Environmental initiatives ✓ Employee development A CULTURE BUILT ON CONTINUOUS IMPROVEMENT 9
Slide 10: Our Culture: The Manitowoc Way
Our Culture: The Manitowoc Way Innovate how we engage customers ✓ Launched 60 new models in the last 5 years ✓ Increasing sales options – rentals, used, & trades ✓ Increasing customer connectivity through IoT A CULTURE BUILT ON CONTINUOUS IMPROVEMENT 10
Slide 11: Our Culture: The Manitowoc Way
Our Culture: The Manitowoc Way Grow market share & market presence ✓ Quality, reliability, and performance ✓ Closed two acquisitions in 2021 ✓ Investing in fleet support services A CULTURE BUILT ON CONTINUOUS IMPROVEMENT 11
Slide 12: Our Culture: The Manitowoc Way
Our Culture: The Manitowoc Way Engaging employees on multiple levels ✓ Kaizen, kaizen, kaizen ✓ Safety & Environmental initiatives ✓ Employee development Innovate how we engage customers ✓ Launched 60 new models in the last 5 years ✓ Increasing sales options – rentals, used, & trades ✓ Increasing cu
Slide 13: Our Strategy: Breakthrough Initiatives
Our Strategy: Breakthrough Initiatives 1. Grow Tower Crane Rental & Aftermarket business in Europe 2. Accelerate New Product Development in All-Terrain Cranes 3. Build out China and Belt & Road Tower Crane Business 4. Expand Aftermarket activities in North America TRANSITIONING TO CUSTOMER-FOCUSED S
Slide 14: Crane Cycle and Macro-Trends
Crane Cycle and Macro-Trends Total Revenue ($M) $4,000 2004 - 2008 Avg Revenue: ~$2,400 2010 - 2013 Avg Revenue: ~$2,200 $3,000 2017 - 2019 Avg Revenue: ~$1,700 $2,000 $1,000 $0 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 2019 2020 Infrastructure Renewal Investment in
Slide 15: Safety and The Manitowoc Way
Safety and The Manitowoc Way James Cook SVP, EHS&S and The Manitowoc Way 15
Slide 16: Safety is our #1 priority
Safety is our #1 priority 5S is essential for maintaining a safe workplace Every injury is preventable Safety requires continuous improvement Safety is everyone's responsibility SLAM is to be used by every employee ona daily basis Everyone has the authority and responsibility to STOP unsafe work Our
Slide 17: Safety: SLAM and RIR Data
Safety: SLAM and RIR Data (Rolling 36 Months) 55,000 SLAMS IN 2021 17
Slide 18: Safety: WorkSafe App
Safety: WorkSafe App • Accessible globally to all employees via mobile app & computer • Allows field technicians to digitally report hazard observations • Supervisors can review and comment on submissions • High-risk observations generate an automatic email to the supervisor and site leader • Correc
Slide 19: The Manitowoc Way: Lessons Learned Program
The Manitowoc Way: Lessons Learned Program • Global program to identify and share process improvements • Focus on safety, productivity, and problem solving • Over 800 entries in 2021 2020 Global Award Winner 2020 Global Runner-up 2020 Global Runner-up Wilhelmshaven, Germany Zhangjiagang, China Charl
Slide 20: The Manitowoc Way: Robotic Boom Greasing Process
The Manitowoc Way: Robotic Boom Greasing Process Previous Process: Employee required to climb into boom shell to manually apply grease 2020 The Manitowoc Way CEO Award Winner Saliem Hammad New Process: Robotic greasing device developed and manufactured in-house 20
Slide 21: VIDEO
VIDEO 21
Slide 22: The Manitowoc Way: Robotic Boom Greasing Process
The Manitowoc Way: Robotic Boom Greasing Process Previous Process: Employee required to climb into boom shell to manually apply grease 2020 The Manitowoc Way CEO Award Winner Saliem Hammad New Process: Robotic greasing device developed and manufactured in-house 22
Slide 23: The Manitowoc Way: Tackling ESG
The Manitowoc Way: Tackling ESG Available on Manitowoc’s Sustainability Reports webpage STRONG FOCUS ON ESG 23
Slide 24: ESG Third Party Rating History
ESG Third Party Rating History December 2018 December 2021 2 3 9 2 9 3 24
Slide 25: Europe Towers Aftermarket
Europe Towers Aftermarket Christophe Simoncelli SVP, Towers EU 25
Slide 26: EU Towers Overview
EU Towers Overview Self-Erecting Cranes (“GMA”) Top-Slewing Cranes (“GME”) Moulins, France Charlieu, France Niella Tanaro, Italy Baltar, Portugal WORLD-CLASS FACILITIES PRODUCING GMA AND GME CRANES 26
Slide 27: EU Towers: New Product Development
EU Towers: New Product Development HUP M 28-22 MRH175 MDT809 MDT489 IGOT 99 >50% OF SALES FROM MODELS INTRODUCED IN LAST 5 YEARS 27
Slide 28: Transformation of Baltar, Portugal Facility
Transformation of Baltar, Portugal Facility INCREASED CAPACITY, MORE MODELS, LOWER COSTS 28
Slide 29: The Manitowoc Way: Moulins Tube Cutting Line
The Manitowoc Way: Moulins Tube Cutting Line • New automated process to prepare kits of tubes for jib fabrication • Previous process was labor intensive, energy inefficient, with limited capabilities PRODUCTIVITY AND QUALITY IMPROVEMENT 29
Slide 30: VIDEO
VIDEO 30
Slide 31: The Manitowoc Way: Moulins Tube Cutting Line
The Manitowoc Way: Moulins Tube Cutting Line • New automated process to prepare kits of tubes for jib fabrication • Previous process was labor intensive, energy inefficient, with limited capabilities PRODUCTIVITY AND QUALITY IMPROVEMENT 31
Slide 32: Electrification: Power Boost System
Electrification: Power Boost System 1 2 3 4 INNOVATIVE SYSTEM REDUCES RELIANCE ON THE GRID 32
Slide 33: Electrification: Self-Erecting Tower Cranes
Electrification: Self-Erecting Tower Cranes ~28,0001 Telehandlers sold in N. America per year A Single Telehandler Produces 4.4 Metric Tons of CO2 per year… To offset this impact, you need 6 acres of trees. ECO-FRIENDLY ALTERNATIVE TO TELEHANDLERS 1 Source: “The expanding world of telehandlers,” KHL
Slide 34: Manitowoc's Breakthrough Initiatives
Manitowoc’s Breakthrough Initiatives 1. Grow Tower Crane Rental & Aftermarket business in Europe 2. Accelerate New Product Development in All-Terrain Cranes 3. Build out China and Belt & Road Tower Crane Business 4. Expand Aftermarket activities in North America TRANSITIONING TO CUSTOMER-FOCUSED STR
Slide 35: EU Towers Market Opportunity
EU Towers Market Opportunity Parts Benefits of Rental Fleet Service • New sales bundles New Cranes • Recurring rental revenue • Less cyclical Used Cranes Rental • Used crane growth • Service sales expansion • Attractive returns Source: MTW estimates $3 BILLION MARKET | ~75% NON-NEW MACHINE SALES 35
Slide 36: EU Towers Aftermarket Footprint
EU Towers Aftermarket Footprint EU Towers Market Parts Number of MTW Country Locations Headcount Service New Cranes France 12 200 Used Cranes Italy 2 12 Rental Germany 1 13 Portugal 1 6 The Netherlands 1 1 United Kingdom 1 12 Towers Aftermarket Location GROW AFTERMARKET PRESENCE IN GERMANY AND UK 36
Slide 37: EU Towers Aftermarket Summary
EU Towers Aftermarket Summary • Grow recurring rental revenue stream • Support key accounts with strategic rental fleet • Expand parts and service business • Use rental fleet to drive used crane sales • Investing $15m in 2021 to grow our rental fleet HELPING OUR CUSTOMERS MANAGE THEIR FLEETS 37
Slide 38: All-Terrain New Product Development
All-Terrain New Product Development Les Middleton EVP, Americas & Mobiles Europe 38
Slide 39: All-Terrain Overview
All-Terrain Overview Wilhelmshaven, Germany GLOBAL BUSINESS WITH SIGNIFICANT GROWTH OPPORTUNITY 39
Slide 40: Wilhelmshaven Shop Floor Evolution
Wilhelmshaven Shop Floor Evolution Machining Centers Small Boom Assembly LEAN TRANSFORMATION OF 75-YEAR-OLD FACILITY 40
Slide 41: The Manitowoc Way: All-Terrain Boom Fabrication
The Manitowoc Way: All-Terrain Boom Fabrication Previous Process: • Trial & error shimming approach to meet tolerances • Repeated full extensions of boom New Process: • Robot measures boom segments with a laser • Drawing generated with exact 2020 Global Winner shimming requirements Lessons Learned P
Slide 42: VIDEO
VIDEO 42
Slide 43: The Manitowoc Way: All-Terrain Boom Fabrication
The Manitowoc Way: All-Terrain Boom Fabrication Previous Process: • Trial & error shimming approach to meet tolerances • Repeated full extensions of boom New Process: • Robot measures boom segments with a laser • Drawing generated with exact 2020 Global Winner shimming requirements Lessons Learned P
Slide 44: Manitowoc's Breakthrough Initiatives
Manitowoc’s Breakthrough Initiatives 1. Grow Tower Crane Rental & Aftermarket business in Europe 2. Accelerate New Product Development in All-Terrain Cranes 3. Build out China and Belt & Road Tower Crane Business 4. Expand Aftermarket activities in North America TRANSITIONING TO CUSTOMER-FOCUSED STR
Slide 45: New Product Development: Strategic Rationale
New Product Development: Strategic Rationale Filling gaps in our All-Terrain product range allows us to capture rising global demand Customers prefer to bundle a wide range of purchases from one OEM Focus on key technology architectures which can be scaled to various product lines Capture used All-T
Slide 46: All-Terrain New Product Development Timeline
All-Terrain New Product Development Timeline 0.8 New Models per Year 1.4 New Models per Year GMK5150-L GMK3060L GMK5120L 1 New Model 1 New Model GMK5150XL 2017 2018 2019 2020 2021 2022 2023 2024 2025 2026 GMK4090 GMK5250XL-1 1 New Model 2 New Models STRENGTHENING OUR ALL-TERRAIN PRODUCT PORTFOLIO No
Slide 47: Grove Connect: Architecture Overview
Grove Connect: Architecture Overview Dealer Portal Crane Control System Architecture Features Cloud Data Storage Cloud Diagnostic Storage Capability ▪ Shared knowledge ▪ Service acceleration ▪ Accelerated communication ▪ Lower cost of ownership ▪ Improved quality ▪ Higher utilization Custom GPS ▪ Re
Slide 48: All-Terrain NPD Summary
All-Terrain NPD Summary • Filling key product gaps & growing global market share • Developing core architecture elements • Significant on-going investment in technology resources • Introducing 7 new models through 2026 INVESTING IN FUTURE GROWTH 48
Slide 49: Belt and Road Towers
Belt and Road Towers Christophe Simoncelli1 SVP, Towers EU 1 Christophe is presenting this section on behalf of Brian Wang, SVP of Emerging Markets 49
Slide 50: Belt & Road Market Overview
Belt & Road Market Overview Zhangjiagang, China Pune, India Anchoring cranes to Value-based product Large market for mobiles structures specifications Manitowoc Towers factory FOCUSED ON TOWER CRANE GROWTH IN BELT & ROAD MARKET 50
Slide 51: The Manitowoc Way: C Mast Production
The Manitowoc Way: C Mast Production C Mast Line Bracing Robot Welding Station • April 2018: Zhangjiagang facility began production of mast sections – the “C Mast” • August 2021: The C Mast line was upgraded with a welding robot for bracing welding SINGLE PIECE FLOW, CONTINUOUS INNOVATION, REDUCED C
Slide 52: VIDEO
VIDEO 52
Slide 53: The Manitowoc Way: C Mast Production
The Manitowoc Way: C Mast Production C Mast Line Bracing Robot Welding Station • April 2018: Zhangjiagang facility began production of mast sections – the “C Mast” • August 2021: The C Mast line was upgraded with a welding robot for bracing welding SINGLE PIECE FLOW, CONTINUOUS INNOVATION, REDUCED C
Slide 54: Manitowoc's Breakthrough Initiatives
Manitowoc’s Breakthrough Initiatives 1. Grow Tower Crane Rental & Aftermarket business in Europe 2. Accelerate New Product Development in All-Terrain Cranes 3. Build out China and Belt & Road Tower Crane Business 4. Expand Aftermarket activities in North America TRANSITIONING TO CUSTOMER-FOCUSED STR
Slide 55: Belt & Road Towers Market Summary
Belt & Road Towers Market Summary China Market Size: 50,000 units Average Price: $90k per unit Belt & Road Market excl. China Market Size: 1,400 units Average Price: $225k per unit Seoul Zhangjiagang Dubai Shanghai Pune Manila MTW Production Facility Singapore MTW Sales Entity DEMAND DRIVEN BY CHINA
Slide 56: Localized Product for Belt & Road Markets
Localized Product for Belt & Road Markets MCT278 MCT138 MCT805 12 & 16 ton 10 & 12 ton 8 & 10 ton 6 & 8 ton 16 & 20 ton 32 & 40 ton MCT328 MCT278 MCT188 MCT138 MCT390 MCT805 Dec 2019 Jul 2020 Dec 2020 Apr 2021 Sep 2021 Nov 2021 MCT328 MCT188 MCT390 ADDITIONAL 6 NEW MODELS PLANNED OVER NEXT 3 YEARS 5
Slide 57: Evolution of Belt & Road Towers Sales Mix
Evolution of Belt & Road Towers Sales Mix Units Shipped to Belt and Road Markets 2019 YTD September 2021 96% 43% 57% 4% European-engineered Range Chinese-engineered Range INCREASED SALES; MIX SHIFTED TO LOCALIZED RANGE 57
Slide 58: Belt & Road Towers Summary
Belt & Road Towers Summary • Transitioned our China factory into a regional business unit • Developing cranes for Belt & Road specifications and cost targets • Introduced six locally engineered crane models since 2019 • Sales of these models continues to grow GROWING OUR PRESENCE IN DEVELOPING ECONO
Slide 59: Americas Aftermarket
Americas Aftermarket Les Middleton EVP, Americas & Mobiles Europe 59
Slide 60: Americas Overview
Americas Overview Small Crawler Shady Grove, PA Rough Terrain Boom Truck Truck Mounted Large Crawler INDUSTRY-LEADING PRODUCT LINE BREADTH & AFTERMARKET SERVICES 60
Slide 61: The Manitowoc Way: 3 Axis Frame Mill
The Manitowoc Way: 3 Axis Frame Mill Old Machine New Machine • Approx. 50 years old ✓ Operated at ground level • Prone to breakdowns ✓ Cycle time reduction • Operated at height ✓ Finish quality improvement ✓ Automated operation PURPOSE-BUILT MACHINE IMPROVES SAFETY & PRODUCTIVITY 61
Slide 62: VIDEO
VIDEO 62
Slide 63: The Manitowoc Way: 3 Axis Frame Mill
The Manitowoc Way: 3 Axis Frame Mill Old Machine New Machine • Approx. 50 years old ✓ Operated at ground level • Prone to breakdowns ✓ Cycle time reduction • Operated at height ✓ Finish quality improvement ✓ Automated operation PURPOSE-BUILT MACHINE IMPROVES SAFETY & PRODUCTIVITY 63
Slide 64: Americas New Product Development
Americas New Product Development New Model (since 2017) Large Crawlers 300t – 2,535t Two new 717t - 772t models Small Crawlers 80t – 299t Two new 330t models Truck Mounted 40t – 115t Rough Terrain 30t – 165t Two new 55t models Boom Truck 10t – 60t Two new 60t models Two new 55t models Industrials 9t
Slide 65: Electrification Innovation: Mobiles
Electrification Innovation: Mobiles Exploring alternative fuel options for roadable and off-road products Shore Power Hybrid Systems Full Electrification ALTERNATIVE FUEL PRODUCT LAUNCH ANTICIPATED IN 2023 65
Slide 66: Manitowoc's Breakthrough Initiatives
Manitowoc’s Breakthrough Initiatives 1. Grow Tower Crane Rental & Aftermarket business in Europe 2. Accelerate New Product Development in All-Terrain Cranes 3. Build out China and Belt & Road Tower Crane Business 4. Expand Aftermarket activities in North America TRANSITIONING TO CUSTOMER-FOCUSED STR
Slide 67: Expanding our Aftermarket Presence in N. America
Expanding our Aftermarket Presence in N. America • Comprehensive aftermarket business • World’s largest population of Grove / Manitowoc service technicians • Less cyclical, high margin revenue streams • Upfitting capability with synergies for boom trucks • Greater ability to service key accounts Asp
Slide 68: North America Acquisitions: Key Account Synergy
North America Acquisitions: Key Account Synergy Major Accounts and Current Penetration • Compete more effectively with other OEMs Account Mobile Fleet Size1 Penetration Account A 3,300+ • Branch locations support greater penetration Account B 2,000+ Account C 1,500+ • Flexible rental and financing o
Slide 69: North America Acquisitions: Aftermarket Synergy
North America Acquisitions: Aftermarket Synergy Fleet Support Rentals offer flexible options for rental houses and key accounts to supplement Services their fleets Technician Grow technician population to support Talent Pool revenue from service and upfitting activity Improve representation of Manit
Slide 70: Americas Aftermarket Summary
Americas Aftermarket Summary • Recent acquisitions contribute to aftermarket growth • Aftermarket revenue is higher margin, less cyclical • Significantly improving our presence with key accounts • Continuing to grow organically and inorganically GETTING CLOSER TO OUR CUSTOMERS 70
Slide 71: Acquisitions Summary
Acquisitions Summary Brian Regan1 VP & Corporate Controller 1 Brian is presenting this section on behalf of Chase Seely, VP of Business Development & Strategy 71
Slide 72: Investment Criteria for Acquisitions
Investment Criteria for Acquisitions Acquisition Focus: Mobile & tower crane targets Strategic Criteria: Financial Criteria: ✓ Significant revenue from non-new machine sales ✓ Accretive to operating cash flow and EBITDA in Year 1 ✓ Complements one or more Breakthrough Initiatives ✓ ROIC > WACC ✓ Opp
Slide 73: Review of 2021 Acquisitions
Review of 2021 Acquisitions Criteria Aspen & H&E Crane Business Significant non-new machine sales ✓ Strategic Criteria >60% non-new machine sales Complements Breakthrough Initiatives ✓ Supports N. America aftermarket growth Opportunity to leverage The Manitowoc Way ✓ Engage customers & grow market s
Slide 74: The Manitowoc Way: Acquisition Process
The Manitowoc Way: Acquisition Process Close & Integration Sourcing Focus on critical closing & integration tasks Build relationship with owners Lean: Manitowoc Integration System Lean: Prioritize targets by fit and actionability Contract Negotiation Pre-Diligence POC collects inputs and relays posi
Slide 75: The Manitowoc Way: "8 Keys" for Due Diligence
The Manitowoc Way: “8 Keys” for Due Diligence Action & Stakeholders Discussion Items 8 Keys Reporting Last Review This Review Draft Project Name: Planned Completion: Percentage( % ) Project Pre-Integration Completion: Business Unit: Project Phase: Percentage( % ) Post Integration Completion: 8 KEYS
Slide 76: The Manitowoc Way: Integration System
The Manitowoc Way: Integration System Integration Matrix Project Champion: Aaron Ravenscroft Go-Live: Project Leader: Troy Henson Last Review: Action Items Status # Action # Actions # Actions # Action Items <10 Days to Plan & Dates SECTIONS Leader (R-Y-G) Items Complete On-Track Behind Completion %
Slide 77: Acquisition Funnel
Acquisition Funnel >$1B EV in Funnel Sourcing & Pre-Diligence Governance Review & Due Diligence Tower Cranes Contract Mobile Cranes Negotiations 10+ Targets Close & 10+ Targets Integrate LARGE PIPELINE OF ACTIONABLE TARGETS 77
Slide 78: Financial Summary
Financial Summary Dave Antoniuk EVP & Chief Financial Officer 78
Slide 79: Financial Accomplishments Since Spin-off
Financial Accomplishments Since Spin-off Increased capacity of ABL by $50m Reduced cost structure by $100m (on similar asset base) Sustainable Completed two acquisitions stand-alone Lowered effective interest rate crane company on bonds from 14.25% to 9.00% Overcame cybersecurity incident Utilized ~
Slide 80: Financial Metrics ($ Millions)
Financial Metrics ($ Millions) Revenue & Adjusted EBITDA Margin1 Adjusted Free Cash Flow3 6.3% 8.5% 1.8% 4.7% 5.8% $113 $37 $1,847 $1,834 $1,613 $1,581 $1,443 ($35) ($61) ($124) 2016 2017 2018 2019 2020 Revenue Adj EBITDA Margin 2016 2017 2018 2019 2020 Net Operating Working Capital & % Sales2 Order
Slide 81: Breakthrough Initiatives: Financial Impact
Breakthrough Initiatives: Financial Impact +$250m Revenue High-Teens EBITDA Rate Grow Tower Expand Accelerate Build out Crane Aftermarket New Product China and Rental & activities in Development Belt & Road Aftermarket North in All-Terrain Tower Crane business in America Cranes Business Europe THE M
Slide 82: Capital Structure and Liquidity
Capital Structure and Liquidity Capital Summary Liquidity Summary ($ in Millions) ($ in Millions) Reported Reported Pro Forma2 as of as of as of 9/30/21 9/30/21 10/1/21 Short-Term Debt $8 Cash & Cash Equivalents $222 $87 Long-Term Debt 400 ABL Revolver3 127 127 Total Debt 408 Net Other Availability
Slide 83: Capital Restructuring
Capital Restructuring 2022 2019 Bond Issuance: $300m+ 2016 Effective Rate: TBD Bond Issuance: $300m Maintain or Improve Bond Issuance: $260m Effective Rate: 9.00% Covenant Flexibility Effective Rate: 14.25% Less Restrictive Covenants Prohibitively Restrictive Covenants ✓ Bonds currently trading at ~
Slide 84: Capital Allocation
Capital Allocation Rental Fleet Growth Acquisitions ~$15M invested in 2021 ~$180M invested in 2021 <3x Target Net Leverage 2.2x Pro Forma Net Leverage1 Dividend Program Share Repurchase2 None currently approved $10.6M remaining authorization USING IMPROVED BALANCE SHEET TO DRIVE GROWTH 1 Based on TT
Slide 85: Capex
Capex Capital Expenditures ($ in Millions) Illustrative Capex Projections1 $70 • Base capex (PP&E) $20M – $30M $60 $60 $55 $50 $46 • Replacement rental fleet capex $40 $40 $15M – $25M $35 $32 $29 $30 $26 ‒ Replacement rental fleet capex $20 offset by used equipment sale $10 • Growth rental fleet cap
Slide 86: Long-Term Goals
Long-Term Goals Financial Metric Aspirational Target Revenue $2.5B Adj. EBITDA >$275M Key Assumptions for Aspirational Targets: ✓ ~$250M revenue from Breakthrough Initiatives (incl. acquisitions) ✓ ~$250M revenue from market growth ✓ Normalized market growth through the cycle ✓ Normalized pricing co
Slide 87: Full-Year 2021 Guidance
Full-Year 2021 Guidance Revenue Approximately $1.725 to $1.775 billion Adjusted EBITDA Approximately $100 to $110 million Depreciation Approximately $40 to $45 million Interest expense Approximately $28 to $30 million Income tax expense Approximately $10 to $14 million, excluding discrete items Capi
Slide 88: Wrap-Up
Wrap-Up Aaron Ravenscroft President & CEO 88
Slide 89: Manitowoc's Future
Manitowoc’s Future ➢ Strong culture built on The Manitowoc Way • Lean, Innovation, and Growth ➢ Solutions provider with a growing aftermarket exposure • Fleet Support Services (Field Service, Used Cranes, Rentals) ➢ Active acquisition pipeline • Aspen Equipment & H&E Crane Business ➢ More resilient
Slide 90: Manitowoc's Future
Manitowoc’s Future For over 100 years, Manitowoc has played an integral role in building the world of tomorrow through superior lifting technology and customer engagement 90
Slide 91: Questions & Answers
Questions & Answers WorkZsafe G@anitowoc . 91
Slide 92: www.manitowoc.com
www.manitowoc.com 92