Reliance Worldwide Corp. Ltd. · ASX:RWC
Reliance Worldwide — Investor Day (March 2023)
42 slides from Reliance Worldwide's investor day presentation, Mar 28, 2023
Slide 1: ASX Announcement: Investor day presentation slides
ASX Announcement 28 March 2023 Investor day presentation slides Reliance Worldwide Corporation Limited (ASX: RWC) today announced the release of two new product ranges in the Americas along with changes to manufacturing operations in Australia and the USA. Attached is a presentation to be given to m
Slide 2: Product launches and Manufacturing update
Product launches and Manufacturing update 28 March 2023
Slide 3: Important notice
Important notice This presentation contains general information about Reliance Worldwide Corporation Limited’s activities at the date of prese ntation (28 March 2023). It is information given in summary form and does not purport to be complete. The presentation is not an offer or invitation for subs
Slide 4: Today's session
Today’s session ▪ Two game-changing product launches in Americas ▪ Manufacturing and supply chain enhancements in Americas and APAC ▪ Financial impacts 3
Slide 5: Creating value through product leadership
Creating value through product leadership Solutions for Value for the Industry leading the job site distributor execution Smart product solutions that improve Increasing value for the distributor Premium quality products and contractor productivity, enable the DIYer, while providing broadest access
Slide 6: New product announcement #1
New product announcement #1 Will Kilpatrick, President – Americas Clayton Boardman, SVP Sales – Americas Dixon Thuston, Group VP Capital Projects 5
Slide 7: Launch of SharkBite Max in the Americas region
Today we are announcing the launch of SharkBite Max in the Americas region
Slide 8: SharkBite Max creates increased value for stakeholders
SharkBite Max creates increased value for stakeholders Solutions for Value for the Industry leading the job site distributor execution Stronger, faster, easier to use More value on the shelf Increased manufacturing scale and efficiency through Increasing penetration of automation high-value PTC Diff
Slide 9: SharkBite Max: Solutions for the job site
SharkBite Max: Solutions for the job site SharkBite Max is stronger, easier to use, and faster Stronger ▪ Same full body brass fitting, but now with a reinforcing stainless-steel retaining collar for added strength ▪ Double the burst pressure Easier to use ▪ Easier to push onto the pipe – 50% less i
Slide 10: SharkBite Max extensively trialed with positive feedback
SharkBite Max: Solutions for the job site SharkBite Max has been extensively trialed with overwhelmingly positive feedback 2,000+ 6,500+ Rigorous Plumbers surveyed Field installations Internal testing 9
Slide 11: SharkBite Max trial feedback: stainless-steel reinforcement
SharkBite Max: Solutions for the job site SharkBite Max has been extensively trialed with overwhelmingly positive feedback The new stainless-steel reinforcement stands out. Gives more peace of mind. Easier to push on, no longer fighting the stiffener. 10
Slide 12: SharkBite Max trial feedback: lighter, less force
SharkBite Max: Solutions for the job jobsite site SharkBite Max has been extensively trialed with overwhelmingly positive feedback Feels lighter, much less force required, and I like not having the PEX stiffener. Lining up the PEX into the tee would’ve been much more difficult with first generation
Slide 13: SharkBite Max trial feedback: faster jobs
SharkBite Max: Solutions for the job site SharkBite Max has been extensively trialed with overwhelmingly positive feedback This week has been insanely busy and those products have really helped me to pack more calls into my day by getting each job done faster. 12
Slide 14: SharkBite Max: Value for the distributor
SharkBite Max: Value for the distributor SharkBite Max delivers significant new value for channel partners More value on the shelf Increasing penetration of Differentiated, IP-protected product high-value PTC 13
Slide 15: SharkBite Max: rollout plan for distributors
SharkBite Max: Value for the distributor Positive response from channel partners on SharkBite Max and roll-out plan ▪ Multi-phase rollout with certain Phase Q3 FY23 Q4 FY23 Q1 FY24 Q2 FY24 Q3 FY24 Q4 FY24 SKUs transitioning in a rolling change with customers Phase 1 ▪ Rollout to all channels simulta
Slide 16: SharkBite Max: industry leading execution
SharkBite Max: industry leading execution Unrivalled scale and sophistication of manufacturing operations SharkBite Max design has enabled Installation of new manufacturing capacity increased manufacturing efficiencies has been completed ▪ SharkBite Max manufacturing process is more repeatable and d
Slide 17: SharkBite Max creates increased value for stakeholders
SharkBite Max creates increased value for stakeholders Solutions for Value for the Industry leading the job site distributor execution Increased manufacturing scale Stronger, faster, easier to use More value on the shelf and efficiency through automation Increasing penetration of high-value PTC Diff
Slide 18: Americas: Manufacturing update
Americas: Manufacturing update Heath Sharp, Chief Executive Officer Dixon Thuston, Group VP Capital Projects 17
Slide 19: Increase in US manufacturing capability
SharkBite Max creates increased value for stakeholders Increase in US manufacturing capability enabled by new SharkBite Max design Solutions for Value for the Industry leading the job site distributor execution Increased manufacturing scale, Stronger, faster, easier to use More value on the shelf wi
Slide 20: Enlarged US manufacturing footprint
SharkBite Max: industry leading execution Enlarged US manufacturing footprint will enable a more robust and responsive supply chain ▪ New production processes are more ▪ Cartridge assembly equipment has also resilient and allow for greater flexibility been installed in Cullman and is fully of produc
Slide 21: Stainless-steel collar enables greater US manufacturing
SharkBite Max: industry leading execution Stainless-steel collar enables greater product manufacturing in the US Our new patented SharkBite Max technology gives you double the burst ▪ SharkBite Max pressure with half the insertion effort. design enables the bodies to be manufactured in Australia, wi
Slide 22: Asia Pacific: Manufacturing update
Asia Pacific: Manufacturing update Nicole Sumich, President – Asia Pacific 21
Slide 23: APAC: brass manufacturing operations
APAC: brass manufacturing operations RWC has a fully integrated value chain in Australia Redundant Casting of brass rods telecommunication Forging of brass Machining of brass Assembly of valves using recycled copper, Assembly of fittings cables fully recycled products products and other products zin
Slide 24: APAC manufacturing operations impact
APAC manufacturing operations impact After many years of supporting impressive growth in the Americas, the reshaping of the manufacturing footprint in Australia is almost complete APAC – Previous APAC – Future Moorabbin, Melbourne Moorabbin, Melbourne ▪ Continuous casting of duplex brass ▪ Continuou
Slide 25: APAC: brass manufacturing and forging operations
APAC: brass manufacturing and forging operations The assembly of fittings for the Americas is moving offshore but APAC will remain RWC’s centre of excellence for all brass manufacturing activities and valve development ▪ RWC is only brass manufacturer of scale in Australia ▪ Expertise redeployed wit
Slide 26: Creating value through product leadership
Creating value through product leadership Solutions for Value for the Industry leading the job site distributor execution Smart product solutions that improve Increasing value for the distributor Premium quality products and contractor productivity, enable the DIYer, while providing broadest access
Slide 27: Australia and New Zealand transition to lead free brass
Australia and New Zealand - transition to lead free1 brass As Australia’s only brass manufacturer of scale, RWC is best positioned to lead the upcoming change to lead free brass fittings in Australia and New Zealand ▪ From September 2025, Australia and New Zealand will limit Value for the the allowa
Slide 28: APAC turns focus to local growth
APAC turns focus to local growth With the operational reconfiguration well advanced, APAC’s focus is turning to realising growth within the Australian market and APAC region. ANZ Residential Commercial Export and Where Utilities other APAC Wholesale OEM and regions councils Retail How Solutions for
Slide 29: New product announcement #2
New product announcement #2 Will Kilpatrick, President – Americas Clayton Boardman, SVP Sales – Americas Dixon Thuston, Group VP Capital Projects 28
Slide 30: Launching PEX-a and Expansion Fittings
We are launching PEX-a and Expansion Fittings PEX-a and Expansion Fittings are being launched in the Americas region 29 29
Slide 31: PEX-a creates increased value for stakeholders
PEX-a creates increased value for stakeholders PEX-a and Expansion Fittings progress RWC’s journey to everything on a plumber’s truck Solutions for Value for the Industry leading the job site distributor execution Key play to drive greater share of Substantial scale with Everything on a plumbers tru
Slide 32: PEX-a: Solutions for the job site
PEX-a and Expansion Fittings: Solutions for the job site PEX-a is the fastest growing pipe and fittings system and key to addressing residential construction and major remodel markets Pipe Value of PEX-a % share of new pipe sold PEX-c 2% ▪ Strong growth projections in R&R and 83% New Construction ma
Slide 33: PEX-a demonstration
Plumbing Matters. We Mal
Slide 34: PEX-a and Expansion Fittings: Value for the distributor
PEX-a and Expansion Fittings: Value for the distributor Key play for retail channel partners to drive greater share of wallet from pro plumbers Commercialisation: ▪ We are launching with Retail ▪ Wholesale will follow next We are targeting the following end-segments: ▪ Repair & Remodel ▪ Re-pipe of
Slide 35: PEX-a and Expansion Fittings launched in retail
PEX-a and Expansion Fittings: Value for the distributor RWC’s PEX-a and Expansion Fittings are being launched in retail In-store demonstration mock-up used at a recent Retailer manager’s meeting. Due for launch in 2023. 34
Slide 36: PEX-a: Industry leading execution
PEX-a and Expansion Fittings: Industry leading execution Substantial scale and sophistication with investment in US manufacturing capacity ▪ To enable RWC to address the PEX-a market opportunity we have invested in a new plant within RWC’s Cullman footprint ▪ 6 PEX-a manufacturing lines have been bu
Slide 37: PEX-a creates increased value for stakeholders
PEX-a creates increased value for stakeholders PEX-a and Expansion Fittings progress RWC’s journey to everything on a plumber’s truck Solutions for Value for the Industry leading the job site distributor execution Key play to drive greater share of Substantial scale with Everything on a plumber’s tr
Slide 38: Financial impact
Financial impact Andrew Johnson, Chief Financial Officer 37
Slide 39: SharkBite Max: Financial impacts
SharkBite Max: Financial impacts ▪ Volume neutral in first 12 months – SharkBite Max will substitute for 1st generation SharkBite sales Sales impact ▪ Expect higher conversion of plumbers to SharkBite Max over time that will drive higher sales growth ▪ SharkBite Max will sell for a premium Margin im
Slide 40: PEX-a and Expansion Fittings: Financial impacts
PEX-a and Expansion Fittings: Financial impacts ▪ We expect above-market growth as PEX-a provides additional solutions for existing R&R channel partners and delivers new customers in commercial new construction, new residential construction, and re-pipe Sales impact ▪ Expect PEX-a to be additive to
Slide 41: Wrap Up and Q&A
Wrap Up and Q&A Heath Sharp, Chief Executive Officer 40
Slide 42: RWC announces two new product ranges in the Americas
RWC announces two new product ranges in the Americas PEX-a and Expansion Fittings SharkBite Max TM 41