Comfort Systems Usa, Inc. · NYSE:FIX
Comfort Systems Usa — Investor Presentation (August 2015)
22 slides from Comfort Systems Usa's investor presentation, Aug 20, 2015
Slide 1: Comfort Systems USA Quality People. Building Solutions.
Comfort Systems USA Quality People. Building Solutions. August 20, 2015
Slide 2: Safe Harbor
Safe Harbor Certain statements and information in this presentation may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The words “believe,” “expect,” “anticipate,” “plan,” “intend,” “foresee,” “should,” “would,” “could,” or other sim
Slide 3: Comfort Systems USA
Comfort Systems USA 2 Leading mid-market HVAC and mechanical systems installation and service provider $1.4B Yearly revenues 7,000+ Employees 36 Operating companies Balanced construction & service portfolio
Slide 4: Broad Nationwide Footprint
Broad Nationwide Footprint 3 36 companies 90 locations in 85 cities 7,000+ employees
Slide 5: Revenue/Stock Price History
Revenue/Stock Price History 4 Revenue ($ in millions) Acquisition Phase and Industry Growth Sale of Assets New Acquisitions Stock Price at 12/31 $- $5.00 $10.00 $15.00 $20.00 $25.00 $0 $200 $400 $600 $800 $1,000 $1,200 $1,400 $1,600 $1,800 $2,000 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 200
Slide 6: Lifecycle Product Portfolio
Lifecycle Product Portfolio 5 5+ million nonresidential buildings Building solutions a necessity Diverse revenue streams throughout lifecycle 10 - 20 year replacement cycle Recurring service Increasing technical content Essential to energy efficiency
Slide 7: Why We Win
Why We Win 7 Be Here When I Need You Advantaged Value Position Make It Really Easy To Do Business With You Always Handle My Problems The First Time Leverage our scale and national footprint Technology investments Customer loyalty program Investment in service technology Real time GPS National traini
Slide 8: Targeted Portfolio Strategy
Targeted Portfolio Strategy 8 Light commercial to heavy commercial Continue to grow construction Leverage existing construction capabilities into retrofit market Access to new customers through service Data and manufacturing Revenue by Activity
Slide 9: Market Sectors
Market Sectors 9 June 2015 YTD Revenue Institutional Industrial
Slide 10: Book of Business
Book of Business 10 ($ in millions) $63 $72 $76 $75 $83 $89 $98 $0 $100 $200 $300 $400 $500 2009 2010 2011 2012 2013 2014 Q2 2015 Service Maintenance Base $508 $598 $630 $618 $604 $758 $712 $0 $200 $400 $600 $800 $1,000 2009 2010 2011 2012 2013 2014 Q2 2015 Construction Backlog
Slide 11: Diverse Project Mix
Diverse Project Mix 11 Average Project Size: $0.5M Average Project Length: 6–9 months (Information as of June 30, 2015) Aggregate Contract Value Jobs <$1M (Value: $423M) Jobs $1M–$5M (Value: $699M) Jobs >$5M (Value: $967M) 3,798 312 98 0 500 1,000 1,500 2,000 2,500 3,000 3,500 4,000 <$1M $1 – $5M >$
Slide 12: Historical Financial Summary
Historical Financial Summary ($ in millions, except per share information) 12 (1) Adjusted EPS is a non-GAAP financial measure. Adjusted EPS excludes goodwill impairments, changes in the fair value of contingent earn-out obligations and tax valuation allowances. See Appendix IV for a GAAP reconcilia
Slide 13: Historical Financial Summary
Historical Financial Summary 13 (1) Operating income for 2011 excludes goodwill impairment of $57.4M. (2) Adjusted EBITDA is a non-GAAP financial measure. See Appendix III for a GAAP reconciliation to Adjusted EBITDA. 0.0% 1.0% 2.0% 3.0% 4.0% 5.0% 6.0% 7.0% 8.0% 2007 2008 2009 2010 2011 2012 2013 20
Slide 14: Balance Sheet Strength
Balance Sheet Strength $40.7M cash at June 30, 2015 Positive free cash flow for 16 consecutive years Debt capacity $18M debt at 6/30/2015 $250M revolving credit facility 2019 maturity 14
Slide 15: Profile for Growth
Profile for Growth 15 Time Earnings Grow Service Innovate Acquire Service Commercial HVAC Grow Construction
Slide 16: Our Strengths
Our Strengths 16 Long-term local relationships Collaboration Safety excellence Purchasing economics National service capability Bonding and insurance Balance sheet strength
Slide 17: Thank You
Thank You 17 $1.4 Billion $1.4 billion in yearly revenues 90 Locations Operating 36 companies across America at 90 locations in 85 cities Over 7,000 of the most qualified HVAC and Mechanical systems personnel in the USA 7,000+ Employees
Slide 18: Appendix I – QTD & YTD Financial Performance
Appendix I – QTD & YTD Financial Performance 19 Three Months Ended Six Months Ended ($ in millions, except per share information) 6/30/15 6/30/14 6/30/15 6/30/14 Revenue $416.6 $362.8 $786.1 $684.2 Net Income from Continuing Operations Attributable to Comfort Systems USA, Inc. $13.4 $4.4 $18.5 $4.8
Slide 19: Appendix II – GAAP Reconciliation to Adjusted EBITDA
Appendix II – GAAP Reconciliation to Adjusted EBITDA 20 Note: The Company defines adjusted earnings before interest, taxes, depreciation and amortization (“Adjusted EBITDA”) as net income (loss) including non-controlling interests, excluding discontinued operations, income taxes, other (income) expe
Slide 20: Appendix III – GAAP Reconciliation to Adjusted EBITDA (Historical)
Appendix III – GAAP Reconciliation to Adjusted EBITDA (Historical) 21 Note: The Company defines adjusted earnings before interest, taxes, depreciation and amortization (“Adjusted EBITDA”) as net income (loss) including non-controlling interests, excluding discontinued operations, income taxes, other
Slide 21: Appendix IV – Supplemental Non-GAAP Information (Historical)
Appendix IV – Supplemental Non-GAAP Information (Historical) 22 Note 1: Operating results from continuing operations attributable to Comfort Systems USA, Inc., excluding goodwill impairment, changes in the fair value of contingent earn-out obligations, tax valuation allowances and out of period adju
Slide 22: Contact
Contact Bill George Executive Vice President and CFO 1-800-723-8431 bill.george@comfortsystemsusa.com www.comfortsystemsusa.com 23
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