Slide 1: Investor Presentation May 2009
Exhibit 99.1 Investor Presentation May 2009
Slide 2: Forward-Looking Statements
Forward-Looking Statements The following information contains forward-looking statements, including forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such forward-looking statements include, but are not limited to, statements concerning Colfax's p
Slide 3: Company Overview
Company Overview 2008 revenue of Products $605 million 2 & 3 Screw Centrifugal Progressive Fluid Handling Precision Gear Specialty ~2,100 associates Pumps Pumps Cavity Pumps Systems Pumps Valves worldwide 15 principal production facilities in 7 countries Over 300 direct sales and marketing associate
Slide 4: Background
Background Founded in 1995 John Young, President & CEO, was an original founder Equity capital provided by Mitch and Steve Rales, founders of Danaher (NYSE: DHR) Targeted global industrial companies with strong brands 12 acquisitions, 5 divestitures Exclusively focused on fluid handling industry Pro
Slide 5: Colfax Business System Drives Business Improvement
Colfax Business System Drives Business Improvement Derived from the proven Danaher Business System Utilize Voice of the Customer (“VOC”) to target POLICY DEPLOYMENT breakthrough growth Six Sigma Quality initiatives, new products and applications On Time Delivery - Products and Services Profitable Vo
Slide 6: Investment Highlights
Investment Highlights Global leader in specialty fluid handling products Proven application expertise in solving critical customer needs Serving fast growing global infrastructure driven end markets Leading brand names generating aftermarket sales and services Experienced management team in place to
Slide 7: Broad Product Portfolio Focused on Customer Applications
Broad Product Portfolio Focused on Customer Applications 2 and 3 Screw Pumps Centrifugal Pumps Progressive Cavity Pumps Fluid Handling Systems Precision Gear Pumps Specialty Valves Well recognized brands across served markets 6
Slide 8: Serving Critical Applications in Our Key End Markets
Serving Critical Applications in Our Key End Markets Commercial Power General Marine Oil & Gas Global Navy Generation Industrial Key Key Markets Markets Applications Applications Brands Brands Commercial Commercial Marine Marine Fuel Fuel oil oil transfer; transfer; oil oil transport; transport; wat
Slide 9: Strong Application Expertise
Strong Application Expertise Situation Analysis Situation Analysis Husky Energy moves heavy crude oil along pipelines Major Venezuelan oil company moves 180,000 BPD of from the oil fields in Northern Canada through sand laden crude oil through pipelines using a extremely harsh environment to a centr
Slide 10: Develop New Products, Applications and Technologies Driven by Voice of the Customer
Develop New Products, Applications and Technologies Driven by Voice of the Customer Step 1 - VOC Step 1a – VOC Summary All-Heat SMART Benefits 1. Senses wear & alerts 2. end-user Easy to upgrade EMTEC SMART All-Fuel SMART Step 2 – Prioritization Step 3 – Specification Benefits Benefits 1. 1. 50% ene
Slide 11: Large and Diverse Customer Base and End Markets
Large and Diverse Customer Base and End Markets 2008 Revenues By End Markets 2008 Revenues By Geography (2) 6% 15% 14% (1) 22% 5% 41% 14% 4% 3% 51% 25% Blue Chip Customers Blue chip customer base with no single customer representing more than 3% of sales in 2008 (1) ____________________ (2) Includes
Slide 12: Serving Fast Growing Infrastructure Driven End Markets
Serving Fast Growing Infrastructure Driven End Markets Estimated Market Expectations Market Size Expect international trade and demand for crude oil and other commodities as well as the age of the global merchant fleet to continue to create demand for new ship construction; however, expect new ~$2.0
Slide 13: Extensive Global Sales, Distribution and Manufacturing Footprint
Extensive Global Sales, Distribution and Manufacturing Footprint Imo AB Stockholm Houttuin Portland Valve Allweiler Bottrop Warren Allweiler Allweiler Radolfzell Fairmount Automation Tours Allweiler Imo Kentucky Corporate HQ Richmond Sanford Gottmandingen Imo Monroe LSC Colfax Wuxi Houston Tushaco D
Slide 14: Target Fast Growing Regions
Target Fast Growing Regions Capitalize on growth opportunities by offering regionally developed products and solutions Standard packages of Imo and Allweiler products produced at our Greenfield, Wuxi China facility for Commercial Marine Continue to invest in sales and marketing capabilities to more
Slide 15: Leading Brands Generating Aftermarket Sales and Services
Leading Brands Generating Aftermarket Sales and Services Product history dating back to 1860 provides large installed base Est. 1931 Est. 1897 Est. 1860 Acq. 1997 Acq. 1997 Acq. 1998 High quality, reliable products used in critical applications Tendency for customers to replace “like for like” produ
Slide 16: Continue to Pursue Strategic Acquisitions that Complement Our Platform
Continue to Pursue Strategic Acquisitions that Complement Our Platform Acquisition Initiatives Acquisition Criteria Continue to proactively engage with Acquire companies in the fluid handling highly strategic targets industry Product, market and geographically Strong brand name recognition focused s
Slide 17: Asbestos Update
Asbestos Update Claims arise from purchased components previously included in our products Significant solvent insurance coverage Bad faith lawsuit against insurance carriers increases costs in near term Estimated annual liability and related defense costs of $5 - $7 million before potential insuran
Slide 18: Financial Overview
Colfax Financial Overview 17
Slide 19: Revenue and Adjusted EBITDA
Revenue and Adjusted EBITDA Revenue Adjusted EBITDA (1) $720.0 $120.0 $600.0 $100.0 $480.0 $80.0 $360.0 $60.0 $604.9 $105.6 $506.3 $88.2 $240.0 $40.0 $393.6 $64.1 $345.5 $54.8 $120.0 $20.0 $130.7 $136.3 $22.0 $20.5 $0.0 $0.0 2005 2006 2007 2008 - Q1 Q1 2005 2006 2007 2008 Q1 Q1 2008 2009 2008 2009 E
Slide 20: Orders and Backlog
Orders and Backlog Orders Backlog $720.0 $400.0 $600.0 $320.0 $480.0 $240.0 $360.0 $669.2 $337.3 $353.6 $581.5 $160.0 $292.8 $305.6 $240.0 $442.3 $370.4 $179.3 $80.0 $120.0 $118.3 $180.3 $120.8 $0.0 $0.0 2005 2006 2007 2008 - Q1 2008 Q1 2009 2005 2006 2007 2008 - Q1 2008 Q1 2009 Existing -- 17.7% 17
Slide 21: Income Statement Summary
Income Statement Summary Long Term Goals: Annual sales of $1 billion, gross profit margin of 40% & EBITDA margin of 20% Refer to Appendix for Non-GAAP reconciliation. __________________ Note: Dollars in millions. 20
Slide 22: Statement of Cash Flows Summary
Statement of Cash Flows Summary ____________________ Note: Dollars in millions. 21
Slide 23: Strong Financial Condition
Strong Financial Condition Debt to adjusted EBITDA < 1 times Approximately $130 million available on revolver (expires in 2013) Approximately $30 million in cash Strong balance sheet and credit availability provide flexibility ____________________ Note: As of 4/3/09 22
Slide 24: 2009 Outlook Summary
2009 Outlook Summary Revenue Range (1) (2)% to (4)% 2009 Organic growth 2009 Total $525 million to $540 million EPS Range 2009 Net income per share $0.69 to $0.76 2009 Adjusted net income per share (2) $1.00 to $1.07 Assumptions Asbestos coverage litigation $12 million Asbestos liability and defense
Slide 25: Well Positioned for the Future
Well Positioned for the Future Proven Application Serving Global Leader in Specialty Expertise in Solving Growing Infrastructure Fluid Handling Products Critical Customer Needs Driven End Markets Experienced Management Leading Brand Names Team in Place to Grow CBS-Driven Culture Focused Generating A
Slide 26: Appendix
Colfax Appendix 25
Slide 27: Disclaimer
Disclaimer Adjusted net income, adjusted net income per share, adjusted operating income and adjusted EBITDA exclude asbestos liability and defense cost (income) and asbestos coverage litigation expense, certain legacy legal charges, certain due diligence costs, certain severance and asset impairmen
Slide 28: Non-GAAP Reconciliation
Non-GAAP Reconciliation ____________________ Note: Dollars in thousands. 27
Slide 29: Non-GAAP Reconciliation
Non-GAAP Reconciliation 2008 2007 2006 2005 EBITDA Net (loss) income $ (571) $ 64,882 $ 94 $ 12,247 Interest expense 11,822 19,246 14,186 9,026 Provision for income taxes 5,438 39,147 3,866 6,907 Depreciation and amortization 14,788 15,239 11,481 11,430 EBITDA $ 31,477 $ 138,514 $ 29,627 $ 39,610 EB
Slide 30: Non-GAAP Reconciliation
Non-GAAP Reconciliation ____________________ Note: Dollars in thousands, except per share amounts. 29
Slide 31: Non-GAAP Reconciliation
Non-GAAP Reconciliation ____________________ Note: Dollars in thousands. 30
Slide 32: Sales & Order Growth
Sales & Order Growth ____________________ Note: Dollars in millions. 31
Slide 33: Sales & Order Growth
Sales & Order Growth Sales Orders $ % $ % Year Ended December 31, 2005 $ 345.5 $ 370.4 Components of Growth: Organic Growth from Existing Businesses 40.7 11.8% 65.6 17.7% Acquisitions 4.8 1.4% 4.4 1.2% Foreign Currency Translation 2.6 0.8% 1.9 0.5% Total Growth 48.1 13.9% 71.9 19.4% Year Ended Decem
Slide 34: Non-GAAP Reconciliation
fax Non-GAAP Reconciliation Colfax Corporation Reconciliation of Projected 2009 Net Income Per Share to Adjusted Net Income Per Share Amounts in Dollars (Cunaudited) EPS Range Projected net inc come per share - fully dibited $ 069 $ 076 Severance and asset Impaimment costs * 0.01 0.01 Asbestos cover