Npk International Inc. · NYSE:NPKI
Npk International — Newpark Resources — Investor Presentation (June 2016)
19 slides from Npk International's investor presentation, Jun 3, 2016
Slide 1: Newpark Resources Presentation June 2016
Newpark Resources Presentation June 2016 NYSE: NR
Slide 2: Forward-looking statements
This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act that are based on management's current expectations, estimates and projections. All statements that address expectations or projections about the future, including Newpark's strat
Slide 3: First Quarter 2016 - Revenue by Segment
$1,042 $2118 2011 2012 «2018S 2014S 2015-2016 First Quarter 2016 - Revenue by Segment ~ Wi Fluids Systems [_] Mats and Integrated Services > Operating Segments: > Fluids Systems > Mats and Integrated Services > Customer markets: > Oiland Gas exploration > Mats expandinginto utilities and other non-e
Slide 4: First Quarter 2016 Revenue by Region
First Quarter 2016 Revenue by Region gUS. mEMEA = @ Latin America MAPAC (Canada
Slide 5: Fluids Systems Total Segment Revenues
Revenues($ millions) Total Segment Revenues $1,200 my it Year $1,000 MH Fist ater 555g DUS. DCanada MEMEA $965 latin America DAPAC > Largest independent drilling fluids provider > 34 largest drilling fluids company worldwide” > Seek to capitalize on competitive diversions to drive market share gains
Slide 6: North American Revenues
North American Revenues Wl cut Year g 2011-2012, 2013S 2014S 20152018 NAM U.S Rig Count & Market Share() mmm NAM Rig Count Market share 2,500 2,283 2,114 2012 2013 2014 2015 First Quarter 2016 '§1Source: BHland company data 16% 15% 14% 13% 12% 11% 10% > Revenues impacted by sharp decline in drilling
Slide 7: Expansion into Deepwater GOM
NEWPARK EXPANSION INTO DEEPWATER GOM Deepwater foundation established in Brazil > Expanded into Black Sea in 2014 > Uruguay ultra-deepwater project in 2016 Deepwater market penetration aligns with efforts to expand IOC/NOC relationships > Newpark recognized as “best in class” fluids alternative to i
Slide 8: Fluids Systems - International
NEWPARK —= FLUID SYSTEMS - INTERNATIONAL International Revenues Full Year (0) First quarter $272 > More stable than NAM, as demonstrated in ae 2015 > Longer term contracts > Largely |OC’s/NOC’s > Few competitors > International expansion is key to our strategy > Key contract awards have driven growt
Slide 9: Mats & Integrated Services Overview
NEWPARK MATS & INTEGRATED SERVICES OVERVIEW Leading provider of engineered worksite solutions Patented technology and size of composite mat rental fleet provide competitive advantage Revenues include rentals and sale of DURA-BASE composite mats > Matsales targeted to international E&P and non-oil an
Slide 10: Mats & Integrated Services Strategy
NEWPARK — MATS & INTEGRATED SERVICES STRATEGY > Key investments made to support future growth > Manufacturing capacity expanded > R&D center completed > Transform wellsite offering to system solution, driving lowest cost to operators > Defender Spill Containment System > Mobile Cleaning System > Oth
Slide 11: Navigating Through the Cycle: Capital Structure
NAVIGATING THROUGH Capital Structure WMmETotal Debt EENLNet Debt. —=Debt to Book Capital Ratio 2012 2013 2014 2015 ‘First Quarter 2016 > Protecting the Balance Sheet > Seeking to maximize near-term liquidity while preparing for Q4 2017 debt maturity > New $90m credit facility provides additional ava
Slide 12: Appendix
APPENDIX
Slide 13: Statements of Operations (Unaudited)
(Unaudited) Three Months Ended ‘March 31, — December31, March 31, (in thousands, except per share data) 2016 2015 2015, Revenues S 114544 $ 150587 $ 208,464 Cost of revenues 111,573 141941 176,634 Selling, general and administrative expenses 23,492 25232 25.978 Other operating income, net 1.86) 49)
Slide 14: Segment Revenues and Operating Income (Unaudited)
(Unaudited) Three Months Ended March 31, December 31, | March 31, (in thousands) 2016 2015 2015 Revenues Fluids systems 98.651 $ — 130,125 171,902 Mats and integrated services 15,893 20,462 36,562 Total revenues 114,544 $ __ 150,587 208,464 Operating income (loss) Fluids systems (15207) $ (83,599) (
Slide 15: Balance Sheet (Unaudited)
Waandited) shovsands, eeept shar data ASSETS Cashand cash equivalents LIABILITIES AND STOCKHOLDERS’ EQUTY Shos-tarmdabt Accouats payable ‘Acewad labilties Total eumentliabiities Long-temndebt, ess coment portion Deferred tanlabilties Other noneucrent fabiltie Total liabilities ‘Common stocks $0.01 g
Slide 16: Cash Flow Statement, Three Months Ended March
Wosvezes) ‘Three Months Ended March 31 ‘Ga thosands) 2016 2015 ‘Cash flows fom operating activities: Netincome Goss) Cac ‘Adjustments fo mconcile net income to net cash proviteé by opemtions: Depreciation ané amortization 953 10307 Stocisbased compensation pense 2978 2964 Provision for defer income
Slide 17: Management team
Paul Howes Gregg Piontek Mark Airola Bruce Smith Matthew Lanigan President & CEO VP & CFO SVP, GC & Admin Officer President Fluids Systems President Mats & Integrated Services v
Slide 18: Management biographies: Paul Howes, Gregg Piontek
Paul L. Howes, President & CEO: Paul joined Newpark’s Board of Directors and was appointed its Chief Executive Officer in March 2006. In June 2006, Mr. Howes also was appointed as Newpark’s President. Mr. Howes’ career has included experience in the defense industry, chemicals and plastics manufactu
Slide 19: Management biographies: Bruce Smith, Matthew Lanigan
Bruce C. Smith, Executive VP and President Fluids Systems: Bruce joined Newpark in April 1998 as Vice President, International. Since October 2000, he has served as President of its subsidiary Newpark Drilling Fluids, L.P. Prior to joining Newpark, Mr. Smith was the Managing Director of the U.K. ope
Newpark Resources — Investor Presentation (June 2016) on 6ix