V2x, Inc. · NYSE:VVX
V2x — Vectrus — Q3 2017 Earnings Presentation
9 slides from V2x's earnings presentation, Nov 7, 2017
Slide 1: Vectrus Third Quarter 2017 Results
VECTRUS THIRD QUARTER 2017 RESULTS CHUCK PROW PRESIDENT AND CHIEF EXECUTIVE OFFICER MATT KLEIN SENIOR VICE PRESIDENT AND CHIEF FINANCIAL OFFICER NOVEMBER 7, 2017
Slide 2: Safe Harbor Statement
SAFE HARBOR STATEMENT Page 2 SAFE HARBOR STATEMENT UNDER THE PRIVATE SECURITIES LITIGATION REFORM ACT OF 1995 (THE "ACT"): CERTAIN MATERIAL PRESENTED HEREIN INCLUDES FORWARD-LOOKING STATEMENTS INTENDED TO QUALIFY FOR THE SAFE HARBOR FROM LIABILITY ESTABLISHED BY THE ACT. THESE FORWARD-LOOKING STATEM
Slide 3: Q3 2017 Highlights
Q3 2017 HIGHLIGHTS Page 3 • Q3 2017 financial results o Revenue of $269.6 million o Operating Income $10.1 million o Operating margin of 3.7% o Diluted EPS of $0.51 o Year-to-date net cash provided by operating activities of $22.4 million • Awarded the Range Support Services (RSS) II subcontract add
Slide 4: Business Update
BUSINESS UPDATE Page 4 • Updating 2017 guidance • New business and contract update o Over $6 billion in potential new business opportunities identified over the next 12 months o Approx. $400 million of proposals submitted and pending potential award • K-BOSSS and LOGCAP V update • Negotiated commitm
Slide 5: 2017 Financial Results
2017 FINANCIAL RESULTS Page 5 (in millions except Operating Margin and Diluted Earnings Per Share) Q3 2017 Q3 2016 vs 2016 Q3 2017 Q3 2016 vs 2016 Revenue 269.6$ 283.8$ (14.2)$ 819.0$ 902.4$ (83.4)$ Operating Income 10.1$ 11.2$ (1.1)$ 30.9$ 34.3$ (3.3)$ Operating Margin 3.7 % 3.9 % (0.2)% 3.8 % 3.8
Slide 6: Debt Profile
$140.0 $137.4 $114.0 $85.0 $74.5 12.0 15.0 2.6 11.4 14.0 3.5 3.5 3.5 $50 $60 $70 $80 $90 $100 $110 $120 $130 $140 $150 9/30/14 Debt Balance 2014 12/31/14 Debt Balance 2015 2015 12/31/15 Debt Balance 2016 2016 12/31/16 Debt Balance 1Q17 2Q17 3Q17 9/29/2017 Debt Balance Voluntary Payments Mandatory Pa
Slide 7: Backlog
BACKLOG(1) Page 7 (2) (1) Total backlog represents firm orders and potential options on multi-year contracts, excluding potential orders under IDIQ contracts. Backlog also excludes contracts awarded to Vectrus but currently in protest with the GAO or the Federal Court of Claims. • Total backlog $3,0
Slide 8: 2017 Guidance Summary
2017 GUIDANCE SUMMARY Page 8 2017 guidance assumptions: • Capital expenditures approximately $2.0 million • Depreciation and amortization approximately $2.3 million • 2017 mandatory debt payments $11.5 million • Interest expense approximately $5.1 million • Estimated tax rate of 35.5% • Diluted EPS
Slide 9: Vectrus Third Quarter 2017 Results
CHUCK PROW PRESIDENT AND CHIEF EXECUTIVE OFFICER MATT KLEIN SENIOR VICE PRESIDENT AND CHIEF FINANCIAL OFFICER VECTRUS THIRD QUARTER 2017 RESULTS