Slide 1: Annual Meeting of Shareholders
OCC Strong. Innovative. Communications Solutions.” Annual Meeting of Shareholders March 29, 2016 occfiber.com Neil Wilkin, President & CEO
Slide 2: Forward Looking Information
Forward Looking Information. This presentation may contain “forward looking statements” that involve risks and uncertainties. These statements reflect management’s current expectations about possible future events and performance. Actual future results may differ materially due to a number of factor
Slide 3: Agenda
Agenda Q Navigating Through a Difficult Environment. Q Overview Fiscal 2015 Financials. O Ability to Adjust. Actions Taken. Q Looking Forward. Q OCC’s Habit of Innovation—Next Up, Category 8. QO Q&A.
Slide 4: Navigating Through a Difficult Environment
Navigating Through a Difficult Environment.
Slide 5: Navigating Through a Difficult Environment
Navigating Through a Difficult Environment. Q Strong performance in the enterprise market in fiscal year 2015 -- net sales increased by more than 9% to $38.0 million. O Development of new and updated product families for enterprise market contributed to strength in enterprise market.
Slide 6: Navigating Through a Difficult Environment
Navigating Through a Difficult Environment. QO Weakness in certain harsh environment and specialty markets, in fiscal year 2015, including the mining, oil & gas, and military markets, as well as by volatility in the wireless carrier market. Q Strong U.S. dollar negatively impacted sales outside of t
Slide 7: Navigating Through a Difficult Environment
Navigating Through a Difficult Environment. QO) OCC team is nimble and able to adjust to market challenges. O Focus on using operating leverage. Q Steps being taken to improve sales activity and leverage broad and growing suite of top-tier copper and fiber optic connectivity and cabling solutions. O
Slide 8: Key to Success
A0CC Strong. Innovative. Communications Solutions. occfiber.com Key to Success. O Recognize forces outside OCC’s control. Q Focus on actions within OCC’s control.
Slide 9: Overview Fiscal 2015 Financials
Overview Fiscal 2015 Financials.
Slide 10: Overview Fiscal 2015 Financials
Overview Fiscal 2015 Financials. O Consolidated net sales of $73.6 million compared to net sales of $83.0 million for fiscal year 2014. O Single customer in the wireless carrier market accounted for $6.0 million of the $9.4 million total decrease.
Slide 11: Overview Fiscal 2015 Financials
Overview Fiscal 2015 Financials. Q Gross profit of $21.8 million, compared to $28.5 million for fiscal year 2014. Q Impacted by lower net sales in certain specialty markets with higher gross profit margins—including the military, oil & gas, and mining markets. QO Wireless carrier market also impacte
Slide 12: Overview Fiscal 2015 Financials
Overview Fiscal 2015 Financials. Q OCC reduced selling, general and administrative expenses by 10.9%. O Net loss attributable to OCC was $0.69 per share. QO Non-cash charge of $2.4 million, or $0.39 per share, in connection with a valuation allowance offsetting OCC’s net deferred tax assets.
Slide 13: Overview Fiscal 2015 Financials
A0CC Strong. Innovative. Communications Solutions. occfiber.com Overview Fiscal 2015 Financials. Q Annual positive cash flow from operating activities was $1.2 million. Q OCC returned nearly a million dollars to shareholders during the year.
Slide 14: Total Dividends Declared FY 2010 - FY 2015
A0CC Strong. Innovative. Communications Solutions. coccfiber.com seameao Total Dividends Declared FY 2010 - FY 2015 $500,000 $400,000 + 300,000} $200,000 s100000 + ° 2010 2011 2018, 2018 2015
Slide 15: Shares Repurchased FY 2009-FY 2015
A0CC Strong. Innovative. Communications Solutions. Shares Repurchased FY 2009-FY 2015 e000 2.400000 1200000 F asqeo0 i 3 | sromooo $ £ 200.000 | a 2 2 & saon00 3 3 EB mcuantry 8 somo é g $e rettcos 2 seon00 E © s00000 & é | seapo00 g 50,000 z saco00 & zo 200020 2012 203208 15
Slide 16: Ability to Adjust. Actions Taken.
Ability to Adjust. Actions Taken.
Slide 17: Ability to Adjust. Actions Taken.
Ability to Adjust. Actions Taken. QO OCC team consistently demonstrates ability to adjust course in challenging environments. Q OCC has taken and is taking actions to best position OCC.
Slide 18: Ability to Adjust. Actions Taken.
Ability to Adjust. Actions Taken. Q Sales and marketing initiatives to increase sales in markets with greatest growth opportunities and maintain sales in weaker markets. O Cost reductions implemented end of fiscal 2015 and Q1 2016, including: Q Workforce reductions expected to save $1.0 million per
Slide 19: Looking Forward
Looking Forward.
Slide 20: Looking Forward
Looking Forward. Q Global macroeconomic environment remains challenging— impacting U.S. manufacturers. Q OCC has strong market position despite headwinds. Q OCC has broad and growing suite of top-tier fiber optic and copper cabling and connectivity solutions.
Slide 21: Looking Forward
A0CC Strong. Innovative. Communications Solutions. occfiber.com Looking Forward. Q OCC team taking necessary actions. Q Actions take time to be reflected in results. O Confident in OCC’s strategy and positioning for future success.
Slide 22: OCC's Habit of Innovation—Next Up, Category 8
OCC’s Habit of Innovation— Next Up, Category 8.
Slide 23: OCC's Habit of Innovation—Next Up, Category 8
OCC’s Habit of Innovation—Next Up, Category 8. QO OCC’s Category 8 Patent — scheduled to issue today. Q Innovative Technology a Key to Unlocking the Next Generation of High-Speed Copper Connectivity. O Covers Printed Circuit Board and Related Technologies Enabling Achievement of Pending Category 8 P
Slide 24: OCC's Habit of Innovation—Next Up, Category 8
OCC’s Habit of Innovation—Next Up, Category 8. O Just another example of OCC’s long history of expertise and innovation in copper and fiber optic cabling and connectivity.
Slide 25: Questions and Answers
OCC’s Habit of Innovation—Next Up, Category 8.
Slide 26: OCC. Strong. Innovative. Communication Solutions.
Ce lut sci com OCC. Strong. Innovative. ys Communication Solutions.™