Franklin Electric Co., Inc. · NASDAQ:FELE
Franklin Electric — Baird 2018 Global Industrial Conference
13 slides from Franklin Electric's conference presentation, Nov 6, 2018
Slide 1: Baird 2018 Global Industrial Conference
Baird 2018 Global Industrial Conference Franklin Electric Co. Inc. (FELE) Gregg Sengstack, Chairman and CEO November 6, 2018
Slide 2: Safe Harbor Statement
SAFE HARBOR STATEMENT: “Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995. Any forward‐looking statements contained herein, including those relating to market conditions or the Company’s financial results, costs, expenses or expense reductions, profit margins, invento
Slide 3: Strategic Focus
STRATEGIC FOCUS: To grow as a global provider of water and fuel systems, through geographic expansion and product line extensions, leveraging our global platform and competency in system design. 3
Slide 4: Strategic Focus
Strategic Focus Residential, Agricultural, Commercial Water Systems Complete Fueling Systems $6.0 B Global Market Potential(1) $1.2 B Global Market Potential(1) Strong Brand Franchise Mission Critical Products and Systems #1 or #2 in Addressable Markets Applications with High Cost of Downtime Growin
Slide 5: Franklin Electric – Revenue Sources
Franklin Electric – Revenue Sources WATER SYSTEMS FUELING SYSTEMS DISTRIBUTION $750M (60%) $290M (20%) $275M (20%) 15% 60% 5% 15% 5% 5
Slide 6: FE – Organic Sales Growth
FE – Organic Sales Growth (a) 20.0% Water Fueling FE ‐ Manufacturing 16.7% 15.0% 11.7% 10.0% 9.5% 8.6% 8.2% 7.8% 5.2% 7.2% 6.8% 6.6% 5.9% 5.1% 5.1% 5.0% 3.8% 2.5% 2.1% 0.0% ‐5.0% ‐5.2% ‐7.2% ‐10.0% 2013 2014 2015 2016 2017 YTD 2018 (a) Organic sales growth for FE Water and Fueling Systems segments o
Slide 7: Global Footprint
Global Footprint Locations with 50+ employees New sites, last 5 years 7
Slide 8: Sales in Developing Regions
Sales in Developing Regions CONSTANT CURRENCY $500 $500 $481 $450 $459 $400 $413 $350 $356 $335 $300 $286 $250 ($ in millions) $246 $200 $226 $218 $150 $149 $100 $50 $0 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 8
Slide 9: Product Line Extensions
Product Line Extensions Water Systems Fueling Systems 9
Slide 10: Third Quarter Year to Date 2018 Results
Third Quarter Year to Date 2018 Results Amounts in millions except per share data 3Q YTD 2018 3Q YTD 2017 % + Prior Year Sales $981.5 $836.7 17% Operating Income (a) $104.3 $86.4 21% EPS (a) $1.74 $1.50 16% (a) Before Restructuring Expenses 10
Slide 11: Cash Flow
Cash Flow Net Income Free Cash Flow Net Income Free Cash Flow $100 $100 $82.3 $79.3 $78.6 $81.2 $73.7 $73.6 $75 $75 $70.7 $50 $50 $45.7 $33.5 $25 $25 $18.1 $0 $0 2015 2016 2017 3Q YTD 2017 3Q YTD 2018 On track for significantly better FCF results in 2018 Free Cash Flow = Operating Cash Flow minus Ne
Slide 12: Consecutive Annual Dividend Payment Increases
25 Consecutive Annual Dividend Payment Increases $0.50 $0.45 $0.40 $0.35 $0.30 $0.25 $0.20 $0.15 $0.10 $0.05 $‐ 1993 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 12
Slide 13: Baird 2018 Global Industrial Conference
Baird 2018 Global Industrial Conference November 6, 2018
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