Dycom Industries, Inc. · NYSE:DY
Dycom Industries — D.A. Davidson Engineering and Construction Products Conference 2009
26 slides from Dycom Industries's conference presentation, Sep 17, 2009
Slide 1: D.A. Davidson Engineering and Construction Products Conference
D.A. Davidson Engineering and Construction Products Conference September 17, 2009
Slide 2: Forward-Looking Statements and Non-GAAP Information
Forward-Looking Statements and Non-GAAP Information This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The words "believe," "expect," "continue," "anticipate," "estimate," "intend," "forecast," "may," "should," "could," "
Slide 3: Dycom Industries Introduction
Dycom Industries Introduction Leading provider of specialty contracting services principally to telephone and cable companies Telecommunications industry dynamics driving growth potential Major participant in a large, but fragmented industry, which offers acquisition opportunities Significant portio
Slide 4: Revenue Mix
Revenue Mix Quarter Ended July 25, 2009 - $269.7 million Telecommunications Underground Facility Locating Electric Utilities and Other Construction and Maintenance Q4 2009 Telecommunications 0.762 Underground Facility Locating 0.181 Electric Utilities and Other Customers 0.057
Slide 5: Providing End-To-End Services
Providing End-To-End Services Engineering Underground Facility Locating Outside Plant & Equipment Installation Premise Equipment Installation
Slide 6: Dycom Industries At a Glance
Headquartered in Palm Beach Gardens, Florida Fourth quarter fiscal 2009 revenues of $269.7 million Strong financial profile Cash and equivalents $104.7 million at July 25, 2009 Shareholders' equity $390.6 million at July 25, 2009 Operating cash flow of $126.6 million for fiscal year 2009 Committed B
Slide 7: Dycom Operating Overview
Strong subsidiaries, broad national footprint Subsidiaries Cable Connectors UtiliQuest Dycom's Nationwide Presence LAMBERTS Dycom Operating Overview
Slide 8: Industry Developments...
Industry Developments... Telephone/cable industry convergence - a reality Competition for customers drives growth Network bandwidth expansion - an imperative Telephone companies expanding network capacity Cable responding to match capabilities and facilitate new products such as VOIP, HDTV, and wide
Slide 9: ....And Opportunities
....And Opportunities Increased capital spending Telephone company deployments of Fiber (FTTx) Cable company bandwidth expansion to 860 mhz. and 1 ghz. Customer premise equipment deployments Renewed focus on network reliability and availability as subscribers demand better service levels Continued o
Slide 10: Telecom Capital Spending
Telecom Capital Spending Capex Commentary Continued capital spending in wireline reflects burgeoning demand for voice, data and video transmission RBOCs will continue to constitute the vast majority of U.S. fixed line investment Significant portion of RBOCs' capital budgets are expected to be from f
Slide 11: Cable Capital Spending
Cable Capital Spending Capex Commentary Continued capital expenditures on bandwidth reclamation, VOIP and HDTV product offerings Ongoing plant and network enhancements are critical as cable operators continue to offer services that require greater reliability Network capacity and reliability increas
Slide 12: Underground Facility Locating Services
"Dig Safe" laws in all 50 states require owners of underground utilities to identify and mark their facilities prior to excavation Regulate telephone, cable, power, gas, water & sewer utilities Seek to minimize network outages, protect job-site workers, and safeguard the general public Locates often
Slide 13: Dycom's Competitive Advantages
Dycom's Competitive Advantages Established customer relationships and reputation Broad geographic coverage Scale to satisfy customer time and service requirements Responsive, local decentralized business units Access to capital Senior management operating expertise
Slide 14: Growth Strategy
Dycom employs a deliberate and methodical growth strategy Growth Strategy As Opportunities Expand Build and maintain long-term customer relationships at the local level Position business to capture both recurring maintenance and new capital spending Empower subsidiary management Build relationships
Slide 15: Well Established Customers
AT&T 49940 Verizon 45907 Comcast 38195 CenturyLink 19399 Time Warner Cable 18422 Charter 13484 Windstream 10919 Qwest 7760 ETC canyons 6377 Cablevision 3889 All Other 55399 Blue-chip, predominantly investment grade clients comprise the vast majority of revenue Other Comcast Charter Cablevision Winds
Slide 16: Customer Rotation
Other Top 5 2000 264.7 496 2001 299.1 484.9 2002 213 365.6 2003 195.2 392.6 2004 268.9 572.3 2005 306.1 651.9 2006 357.1 637.9 2007 416.4 721.4 2008 439.4 790.5 2009 401.5 705.4 AT&T Comcast CenturyTel Verizon Qwest Adelphia Charter Comm Time Warner Cable 2000 153 183 44 22 52 2 26 2 2001 171 165 44
Slide 17: Revenue - Fiscal 2009
Revenue - Fiscal 2009 Dycom's revenue stream is primarily generated by long-term contractual agreements Master Service Agreements (MSA's) Multi-year, multi-million dollar arrangements covering thousands of individual work orders Generally exclusive requirement contracts Long-term contracts relate to
Slide 18: Senior Management Operating Overview
Senior Management Operating Overview Seasoned management team with several decades of combined industry experience
Slide 19: Financial Summary
YCOM’” TED EEENEema Financial Summary rw ay AE oe) a) Sycont Industries, Inc.
Slide 20: Financial Overview
Centralize activities which yield synergistic benefits Treasury Tax Risk management Capital asset procurement Information technology resources Decentralize financial operations to provide solid support and flexibility at operating unit level Maintain financial resources to support internal growth an
Slide 21: Fiscal Year Results - Revenue and Earnings
Fiscal Year Results - Revenue and Earnings (1) The amounts for EBITDA - Adjusted and Income from continuing operations -Non-GAAP are Non-GAAP financial measures adjusted to exclude certain adjusting items. See "Regulation G Disclosure" slides for a reconciliation of Non-GAAP financial measures to GA
Slide 22: Quarterly Results - Revenue and Earnings
Quarterly Results - Revenue and Earnings (1) The amounts for EBITDA - Adjusted and Income (loss) from continuing operations -Non-GAAP are Non-GAAP financial measures adjusted to exclude certain adjusting items. See "Regulation G Disclosure" slides for a reconciliation of Non-GAAP financial measures
Slide 23: Fiscal Year Results - Cash Flow and Liquidity
Fiscal Year Results - Cash Flow and Liquidity (1) Capital expenditures net of proceeds from the sale of assets (2) The amounts for EBITDA - Adjusted and Net Debt used in the calculations herein are Non-GAAP financial measures adjusted to exclude certain adjusting items. See "Regulation G Disclosure"
Slide 24: Quarterly Results - Cash Flow and Liquidity
Quarterly Results - Cash Flow and Liquidity (1) Capital expenditures net of proceeds from the sale of assets (2) The amounts for EBITDA - Adjusted and Net Debt used in the calculations herein are Non-GAAP financial measures adjusted to exclude certain adjusting items. See "Regulation G Disclosure" s
Slide 25: Regulation G Disclosure
Regulation G Disclosure Reconcation of GAAP to Non GAAP measures {Strmnor) anos may teste nan ‘austen; ree ctetreteaneg con 929 26-0 Semenoereaguanmen Seon mont cng aoe Sette os oaeaal : rr creer : boat fee rnemee a eamamcmter aE Keser 3 3 & See mt eet H © & Goce ne ae Kote re ne a (0 Ares ers ors e
Slide 26: D.A. Davidson Engineering and Construction Products Conference
D.A. Davidson Engineering and Construction Products Conference September 17, 2009
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