Transcat, Inc. · NASDAQ:TRNS
Transcat — Q1 FY2018 Earnings Presentation
13 slides from Transcat's earnings presentation, Jul 26, 2017
Slide 1: Q1 Financial Results Fiscal 2018
Q1 Financial Results Fiscal 2018 Lee D. Rudow President and CEO Michael J. Tschiderer Chief Financial Officer 1
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not statements of historical fact and thus are subject to risks, uncertainties and assumptions. Forward-looking state
Slide 3: First Quarter Fiscal 2018 Execution
First Quarter Fiscal 2018 Execution Strong organic revenue: up 9.4% to $36.3 million Consolidated Operating income consistent given investments to enhance Results operating infrastructure and one-off non-cash stock-based comp Net income of $0.9 million, or $0.12 per diluted share High single-digit o
Slide 4: Revenue
Revenue ($ in millions) 7% Q1 Service Segment Consolidated – Annual CAGR* $18.5 $143.9 $147.0 $17.2 $118.5 $123.6 $122.2 $71.1 $72.4 $48.2 $51.8 $59.2 $70.3 $71.8 $63.0 $72.8 $74.6 Q1 FY 2017 Q1 FY 2018 FY 2014 FY 2015 FY 2016 FY 2017 Q1 FY 2018 TTM Service Distribution Q1 Distribution Segment • Sol
Slide 5: Operating Income and Margin
Operating Income and Margin ($ in millions) 5% Q1 Service Segment Consolidated – Annual CAGR* $1.0 $7.9 $7.9 $0.9 $6.7 $6.8 $6.3 $2.4 $4.8 $4.6 $3.7 $4.2 $4.3 $3.2 $3.3 6.1% 4.8% $3.1 $2.1 Q1 FY 2017 Q1 FY 2018 FY 2014 FY 2015 FY 2016 FY 2017 Q1 FY 2018 TTM Service Distribution Q1 Distribution Segme
Slide 6: Adjusted EBITDA and Margin
Adjusted EBITDA* and Margin ($ in millions) 13% Q1 Service Segment Consolidated – Annual CAGR** $2.3 $2.2 $14.5 $14.8 $10.0 $10.3 $10.6 $9.6 $9.5 $4.6 $6.1 $7.5 13.6% 12.0% $5.4 $4.1 $3.1 $4.9 $5.3 Q1 FY 2017 Q1 FY 2018 FY 2014 FY 2015 FY 2016 FY 2017 Q1 FY 2018 TTM Service Distribution Q1 Distribut
Slide 7: Net Income & Diluted EPS
Net Income & Diluted EPS ($ in millions, except EPS) Quarterly Annual $4.5 $4.5 $4.1 $0.91 $4.0 $4.0 $0.86 $0.54 $0.57 $0.58 $0.64 $0.63 Diluted EPS $0.13 $0.12 FY 2014 FY 2015 FY 2016 FY 2017 Q1 FY 2018 Q1 FY 2017 Q1 FY 2018 TTM • 4% CAGR for net income (FY 2014 – Q1 FY 2018 TTM) • Lower effective
Slide 8: Financial Flexibility Supports Growth Strategy
Financial Flexibility Supports Growth Strategy ($ in millions) Total Debt • $6.4 million available from credit facility $32.0 as of June 24, 2017 $27.3 $19.1 • Total debt to TTM Adjusted EBITDA* 2.2x $12.2 at quarter-end $7.6 • Q1 FY18 CapEx of $2.1M for rental assets FY 2014 FY 2015 FY 2016 FY 2017
Slide 9: FY 2018 Outlook -- Strong Momentum
FY 2018 Outlook* -- Strong Momentum • Continued emphasis on improving Operational Excellence − Improve customer experiences, expand organic growth potential, and strengthen our acquisition integration process • Fortifying structure with technology, people and processes • Expect solid organic growth
Slide 10: Upcoming Investor Relations Calendar
Upcoming Investor Relations Calendar Aug 30-31 IDEAS Midwest Conference (Chicago) Sept 13 Annual Meeting Oct 24 Q2 18 Earnings Release (Call on 10/25) Nov 15-16 IDEAS Southwest Conference (DAL) 10
Slide 11: Supplemental Information
Supplemental Information 11
Slide 12: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation ($ in thousands) FY 2014 FY 2015 FY 2016 FY 2017 Q1 FY18 TTM Net Income $ 3,984 $ 4,026 $ 4,124 $ 4,522 $ 4,472 + Interest Expense 130 234 247 719 818 + Other Expense / (Income) 129 111 48 51 56 + Tax Provision 2,462 2,397 1,883 2,642 2,561 Operating Income $ 6,705 $ 6
Slide 13: Segment Adjusted EBITDA Reconciliation
Segment Adjusted EBITDA Reconciliation ($ in thousands) FY 2014 FY 2015 FY 2016 FY 2017 Q1 FY18 TTM Service Operating Income $ 2,379 $ 3,693 $ 4,155 $ 4,769 $ 4,610 + Depreciation & Amortization 2,144 2,362 3,216 4,660 4,523 + Other (Expense) / Income (141) (138) (64) (55) (56) + Noncash Stock Compe