Myr Group, Inc. · NASDAQ:MYRG
Myr — Investor Presentation (November 2017)
24 slides from Myr's investor presentation, Nov 14, 2017
Slide 1: 2017 Investor Presentation Third Quarter
2017 INVESTOR PRESENTATION Third Quarter | NASDAQ: MYRG
Slide 2: Forward-Looking Statements Safe Harbor Statement
Forward - Looking Statements Various statements in this communication, including those that express a belief, expectation, or intention, as well as those tha t are not statements of historical fact, are forward - looking statements. The forward - looking statements may include projections and estima
Slide 3: Table of Contents
Company Overview Strategy Market Overview Financial Performance Investment Outlook Appendix │ Page 3 Investor Presentation │ November │ © 2017MYRGROUPINC . TABLE OF CONTENTS Company Overview │ Strategy │ Market Overview │ Financial Performance │ Investment Outlook │ Appendix
Slide 4: MYR: A Market Leader Positioned for Growth
│ Page 4 Investor Presentation │ November │ © 2017MYRGROUPINC . MYR: A MARKET LEADER POSITIONED FOR GROWTH Strong Market Position x A leader in Transmission & Distribution (T&D) – national x Growing presence in Commercial and Industrial (C&I) – regional x Broad geographic footprint with a strong pre
Slide 5: Comprehensive North American Service Offerings
Transmission & Distribution T&D Commercial & Industrial C&I │ Page 5 • Transmission up to 765kV • Overhead Distribution • Underground Distribution • Foundations & Caissons • Directional Boring • Substation & Collector Systems • EPC Services • PCS / Cellular Towers • Emergency Storm Response • Fiber
Slide 6: Future Growth and Value Creation Opportunities
│ Page 6 Investor Presentation │ November │ © 2017MYRGROUPINC . FUTURE GROWTH AND VALUE CREATION OPPORTUNITIES Organic Growth Strategic Acquisitions Prudent Capital Return Expand in new and existing markets that align with MYR’s core capabilities Continue to evaluate targeted, strategic acquisitions
Slide 7: MYR North American Coverage
MYR Group’s Strong Competitive Advantage x A dded 17 new locations during 2015 - 2016, including 8 locations added through three acquisitions x Modern fleet reduces downtime and protects our competitive edge x Centrally managed fleet allows for greater leverage of resources to effectively service na
Slide 8: 2015-2016 Acquisitions
│ Page 8 Investor Presentation │ November │ © 2017MYRGROUPINC . Geographic Expansion Enhance End Market Exposure Service Offering Expansion Grow Skilled Workforce 2015 - 2016 ACQUISITIONS Company Overview │ Strategy │ Market Overview │ Financial Performance │ Investment Outlook │ Appendix • Expanded
Slide 9: T&D Market Conditions Remain Favorable
│ Page 9 Source: U.S. Department of Energy | October 2016 Transmission Data Review Miles of Planned Transmission Lines Expected to be completed by 2020 “Planned […] refers to projects where: (a ) Permits have been approved (b ) A design is complete, or (c ) The project is necessary to meet a regulat
Slide 10: T&D Market Conditions Remain Favorable
│ Page 10 Source: The C Three Group, 2017 North American Electric Distribution Market Forecast 2008 - 2020, September 2017 Historical and Projected Transmission Investment (Nominal Dollars) Source: EEI Transmission Projects: At A Glance, December 2016 “In 2015, EEI members’ total transmission invest
Slide 11: C&I Market Is Growing
C&I’s Strong $388.1MM Backlog as of 09/30/2017 is Driven by: Hospitals Data Centers Airport Projects Transportation Work Aerospace Water / Waste Water Upgrades │ Page 11 Investor Presentation │ November │ © 2017MYRGROUPINC . C&I MARKET IS GROWING… Company Overview │ Strategy │ Market Overview │ Fina
Slide 12: Strong Long-Term Financial Performance
│ Page 12 Investor Presentation │ November │ © 2017MYRGROUPINC . STRONG LONG - TERM FINANCIAL PERFORMANCE Company Overview │ Strategy │ Market Overview │ Financial Performance │ Investment Outlook │ Appendix $597 $780 $999 $903 $944 $1,062 $1,142 $1,373 $- $200 $400 $600 $800 $1,000 $1,200 $1,400 20
Slide 13: Investment in CAPEX Supported Growth Initiatives
Source : S&P Capital IQ │ Page 13 Investor Presentation │ November │ © 2017MYRGROUPINC . Three - pronged approach to capital allocation – investing in organic growth, strategic acquisitions and capital returns – has driven strong financial performance Successful Execution of Strategy Investment in s
Slide 14: Balance Sheet Strength to Support Additional Growth
• Little off - balance - sheet leverage • Limited goodwill • Modest Debt Leverage • Strong liquidity position • Substantial bonding capacity │ Page 14 Investor Presentation │ November │ © 2017MYRGROUPINC . BALANCE SHEET STRENGTH TO SUPPORT ADDITIONAL GROWTH Company Overview │ Strategy │ Market Overv
Slide 15: Strong Financial Metrics
Source : S&P Capital IQ - NM (Not Meaningful) reflects negative returns and is ignored for comparison purposes. 3 year average is from Sept. 2015 – Sept. 2017. * 3 year Average ROIC calculation for WG and PWR are for the period June 2015 – June 2017. │ Page 15 Good, consistent steward of capital MYR
Slide 16: Delivering Strong Returns
│ Page 16 Investor Presentation │ November │ © 2017MYRGROUPINC . DELIVERING STRONG RETURNS Company Overview │ Strategy │ Market Overview │ Financial Performance │ Investment Outlook │ Appendix • MYR closed on its 144A private placement in December 2007; approximately 17.8 million shares of stock wer
Slide 17: Investment Outlook
• Solid execution of corporate strategy has solidified MYR Group’s position as a market leader in large transmission line construction Proven Strategy Execution • Executive Management average 32 years of industry experience Experienced Management • Regulatory environment supports growth and market a
Slide 18: Appendix
Appendix │ Page 18 Investor Presentation │ November │ © 2017MYRGROUPINC . Company Overview │ Strategy │ Market Overview │ Financial Performance │ Investment Outlook │ Appendix
Slide 19: Corporate Governance Overview
│ Page 19 Investor Presentation │ November │ © 2017MYRGROUPINC . CORPORATE GOVERNANCE OVERVIEW EXPERIENCED BOARD WITH INDEPENDENT OVERSIGHT STRONG CORPORATE GOVERNANCE PRACTICES ▪ 9 of 10 directors are independent ▪ 6 of 10 directors have significant energy / utility experience ▪ Separate Chairman o
Slide 20: Experienced Management Team
EXPERIENCED MANAGEMENT TEAM Experienced management team that averages more than 23 years with MYR Group and approximately 32 years in our industry Strong corporate culture focused on customer service and safety Invested in management team for the successful execution of large, multi - year projects
Slide 21: MYR Group Services
MYR GROUP SERVICES Transmission Renewables Distribution Traffic Signalization Telecommunications Substation Foundations Industrial Storm Restoration EPC Commercial Smart Grid │ Page 21 Investor Presentation │ November │ © 2017MYRGROUPINC . Company Overview │ Strategy │ Market Overview │ Financial Pe
Slide 22: MYR Group Customer Sample
MYR GROUP CUSTOMER SAMPLE │ Page 22 Investor Presentation │ November │ © 2017MYRGROUPINC . Company Overview │ Strategy │ Market Overview │ Financial Performance │ Investment Outlook │ Appendix
Slide 23: EBITDA Reconciliation
EBITDA RECONCILIATION │ Page 23 Investor Presentation │ November │ © 2017MYRGROUPINC . Company Overview │ Strategy │ Market Overview │ Financial Performance │ Investment Outlook │ Appendix Note: LTM diluted weighted average shares outstanding were determined by adding the average shares reported for
Slide 24: Financial Ratio Definitions
FINANCIAL RATIO DEFINITIONS │ Page 24 S&P Capital IQ Disclaimer of Liability Notice . This may contain information obtained from third parties, including ratings from credit ratings agencies such as Standard & Poor’s. Reproduction and distribution of third party content in any form is prohibited exc