Mattr Corp · TSX:MATR
Mattr — Investor Presentation (May 2024)
23 slides from Mattr's investor presentation, May 2024
Slide 1: Mattr Investor Presentation
Mattr Investor Presentation May 2024
Slide 2: Forward Looking Information
Forward Looking Information This presentation contains forward-looking information within the Additional information on the risks and uncertainties on the meaning of applicable securities laws. Words such as "may", "will", Company’s business can be found in the Company’s current Annual "should", "an
Slide 3: Mattr in Brief
Mattr in Brief Mattr Is A Materials Technology Company Enabling Renewal & Expansion of Critical Infrastructure • Mattr is a growth-oriented, technology company global materials $0.9B Q1-24 TTM Revenue 1,500+ Employees Worldwide • Serves critical infrastructure markets, including electrification, tra
Slide 4: A Materials Technology Company Enabling Renewal & Expansion of Critical Infrastructure
A Materials Technology Company Enabling Renewal & Expansion of Critical Infrastructure Leading Player in Every Target Market Our Brands are Trusted to Deliver: BUSINESSES ✓ Extreme capability & reliability in Composite Technologies Connection Technologies Manufacturer of flexible and environmentally
Slide 5: Positioned to Benefit from Long-Cycle Macro Themes
Positioned to Benefit from Long-Cycle Macro Themes Aging Population Resource Climate Infrastructure Movement Scarcity Change Replacements needed for New infrastructure needed Infrastructure needed for High quality, lower CO2 footprint infrastructure at end of life to support population growth & wate
Slide 6: High-Value Materials Based Technology Offerings
Expertise in extrusion High-Value Materials technology and complex manufacturing Based Technology Offerings Composite Technologies Manufacturer of flexible and environmentally-friendly composite solutions for severe environments and applications – extending lifespan and lowering risk Premium Quality
Slide 7: Fuel Stations are Modernizing and Expanding
Composite Technologies Manufacturer of flexible and Fuel Stations are Modernizing and Expanding environmentally-friendly composite solutions for severe environments and ➢ typically applications – extending require 3-5 lifespan and lowering risk mid-to-large volume tanks per location Xerxes uniquely
Slide 8: Xerxes HydroChain – Enabling Long-Life Clean Water Solutions
Composite Xerxes HydroChain – Enabling Long-Life Technologies Manufacturer of flexible and environmentally-friendly Clean Water Solutions composite solutions for severe environments and applications – extending Capture and Conveyance lifespan and lowering risk o Site-specific designs with highly eng
Slide 9: Flexpipe Technology Advancement Dramatically Expands Addressable Market
Composite Flexpipe Technology Advancement Dramatically Technologies Manufacturer of flexible and Expands Addressable Market EMEA environmentally-friendly composite solutions for severe environments and Canada applications – extending United States lifespan and lowering risk APAC o Larger diameter (u
Slide 10: Built to Operate in Extreme Environments with Uncompromising Reliability
Connection Technologies Built to Operate in Extreme Environments with Supporting global electrification by providing Uncompromising Reliability specialty wire, cable and integrated heat shrink solutions for severe environments and applications – extending lifespan and lowering risk COMMUNICATION AER
Slide 11: Shawflex US Geographic Expansion Opportunity
Connection Technologies Supporting global Shawflex US Geographic Expansion Opportunity electrification by providing specialty wire, cable and integrated heat shrink solutions for severe environments and >70% applications – extending of US Electrical Utility lifespan and lowering risk US addressable
Slide 12: DSG Growth in Industrial & Infrastructure Markets
Connection Technologies Supporting global DSG Growth in Industrial & Infrastructure Markets electrification by providing specialty wire, cable and integrated heat shrink solutions for severe 1998 environments and Automotive 2023 applications – extending lifespan and lowering risk Industrial & Infras
Slide 13: Proceeds from Strategic Actions Being Deployed for Growth
Proceeds from Strategic Actions Maintaining disciplined Being Deployed for Growth capital allocation approach with “all of the above” strategy Net-debt-to adjusted EBITDA <2x Organic Investment $442M Total gross proceeds from sales Given reduced operational volatility, expecting to generally Substan
Slide 14: Multi-Year, High-Return, Low-Risk Capital Growth Plans
Supporting high return organic growth Multi-Year, High-Return, Low-Risk opportunities with appropriate Capital Growth Plans CAPEX and working capital 120 o Annual maintenance CAPEX need is $10-15M $90-100 100 $90 o Remaining spend is growth CAPEX o Hurdle Rate IRR > 20% after tax 80 o Investments in
Slide 15: Investing Organically in Capacity and Efficiency While Optimizing Footprint
Investing Organically in Capacity and Efficiency While Optimizing Footprint Anaheim, CA, USA $83M of growth capex deployed in 2023 Fuel Tanks Manufacturing with $80-90M additional deployment Vaughan, ON, Canada Production stopped, full exit by Wire & Cable Manufacturing anticipated in 2024 end 2024
Slide 16: Current Organic Investments Create Optionality for High Return Incremental Future Growth
Current Organic Investments Create Optionality for High Return Incremental Future Growth Post initial commissioning, each new site has space to add multiple incremental production lines 2023/2024 investments will populate between 40% - Additional capex cost for a 60% of available floor $2-15M new li
Slide 17: Debt Journey
Debt Journey $500 $400 1 Net Debt/Adj. EBITDA Net Debt Debt $300 $200 $348 $331 $327 $239 $219 Leases 2019 3.2x $100 $219 $207 $168 $193 $163 $105 $89 $90 $83 $72 $68 $62 $59 $54 $53 $44 $58 $59 $62 $62 $76 $88 $89 $24 $57 $76 Q1-2024 TTM -0.2x $0 -$51 -$100 -$190 -$171 Mattr targets Net-debt-to- -$
Slide 18: Returning Capital to Shareholders
Returning Capital to Shareholders Normal Course Issuer Bid (NCIB) NCIB Share Repurchases Mattr viewed Q4-23 share price 45,000,000 $20 decline as an opportunity and 40,000,000 $18 accelerated repurchase activity, 35,000,000 $16 30,000,000 $14 exhausting NCIB capacity. $12 25,000,000 $10 20,000,000 $
Slide 19: Contemplating Strategic M&A
Contemplating Strategic M&A Water Technologies US Wire and Cable Footprint ▪ Enhance stormwater ▪ Expand reach into US management offering market, particularly where by in-housing additional “Buy America” precludes technologies participation today ▪ Likely tuck-in in size ▪ Potential for larger deal
Slide 20: Mattr – Levering Materials Technology to Grow Profit Faster than Revenue
Mattr – Levering Materials Technology to Grow Profit Faster than Revenue Adjusted EBITDA REVENUE Adjusted EBITDA Margin $522 485 COMPOSITE $375 39% $101 85.6% 19.4% 14.5% bps $54 TECHNOLOGIES 2021 Q1-24 TTM 2021 Q1-24 TTM 2021 Q1-24 TTM $341 $66 17.2% 19.4% 221 $263 29% $45 46% CONNECTION bps TECHNO
Slide 21: Strong Growth Momentum & Powerful Balance Sheet, Trading Significantly Below Peer Group Average
Strong Growth Momentum & Powerful Balance Sheet, Trading Significantly Below Peer Group Average Our Peers are Premium Industrial Net Debt/Adj. EBITDA Product Manufacturers 2021 to Q1-24 TTM Adj EBITDA CAGR Ticker Company EV/EBITDA 36% 2019 3.2x Multiple* Q1-24 -0.2x TTM AIN-USQ Albany International
Slide 22: Organically Doubling Revenue by 2030
Organically Doubling Revenue by 2030… >10% growth Revenue 2030 Organic Ambitions 20%+ Adjusted EBITDA Margin 70%+ Free Cash Flow Conversion Q1-24 TTM $911M 17.0 % 2019 … with clear opportunity to $626M 15.8 % accelerate ambition achievement through targeted M&A May 2024 Investor Presentation 22
Slide 23: Thank you.
@ = Thank you. Infrastructure Technologies