Wabash National Corporation · NYSE:WNC
Wabash National — Shareholder Meeting (May 2017)
24 slides from Wabash National's shareholder meeting presentation, May 18, 2017
Slide 1: Annual Shareholders Meeting May 18, 2017
ANNUAL SHAREHOLDERS MEETING May 18, 2017 Dick Giromini, Chief Executive Officer Wabash National Corporation
Slide 2: Safe Harbor Statement
2 This presentation contains certain forward - looking statements, as defined by the Private Securities Litigation Reform Act of 1995. All statements other than historical facts are forward - looking statements, including without limit, those regarding shipment outlook, Operating EBITDA, backlog, de
Slide 3: Our Vision, Mission and Values Drive Everything We Do
3 W ABASH N ATIONAL C ORPORATION Our Vision, Mission and Values Drive Everything We Do Mission To provide ever - increasing value to all of our stakeholders, including customers, shareholders, associates, suppliers, and our community. Based on core values of integrity, trust and mutual respect, we w
Slide 4: Growth Initiatives Driving Record Results
4 G ROWTH I NITIATIVES D RIVING R ECORD R ESULTS 2005 2016 Revenue Manufacturing Retail & Distribution 19% Commercial Trailer Products (CTP) Diversified Products Group (DPG) Operating Income Manufacturing Gross Profit/ Margin 16.8% 21.5% 17.6% 0% 5% 10% 15% 20% 25% CTP Consol. DPG 11.7% 8.1% 11.1% 0
Slide 5: Growth Initiatives Driving Record Results: Consolidated Revenue
5 G ROWTH I NITIATIVES D RIVING R ECORD R ESULTS 2005 2016 Consolidated Revenue 2005 vs. 2016 Dry Vans All Other Products $1.8B $ 1.2B Dry Vans $1.0B (77% of Total Revenue) Dry Vans $1.2B (64% of Total Revenue) 50% Revenue Improvement with Less Dependency on Dry Vans 2013: Beall Acquisition 2006: Tr
Slide 6: Most Trustworthy Companies in America 2016
6 100 Most Trustworthy Companies in America 2016 C OMPANY H IGHLIGHTS New Markets. New Innovation. New Growth. Top 5 Indiana Public Company Top 25 of IW 50 Best
Slide 7: Over $1 Million to Support Our Communities
7 Over $1 Million to Support Our Communities 2016 C OMPANY H IGHLIGHTS Annual Supplier Conference and Charity Golf Outing September 22 – 23, 2016 New Markets. New Innovation. New Growth.
Slide 8: Earned ISO 14001:2004 Registrations at Two More Locations
8 Earned ISO 14001:2004 Registrations at Two More Locations 2016 C OMPANY H IGHLIGHTS Frankfort Operation October 7, 2016 New! Frankfort, IN New! Harrison, AR New Markets. New Innovation. New Growth.
Slide 9: Golden Handshake Award for Supporting Diverse Businesses
9 Golden Handshake Award for Supporting Diverse Businesses 2016 C OMPANY H IGHLIGHTS Supplier Diversity Development Coalition of Greater Lafayette event November 18, 2016 New Markets. New Innovation. New Growth.
Slide 10: Innovative Technology
10 I NNOVATIVE T ECHNOLOGY ▪ Over 200 patents and patent applications in the U.S. and globally ▪ Customer - focused engineered solutions in all of our industries & markets Our Technology Sets Us Apart from Other OEMs Conventional vs Bonded DuraPlate Sidewall Bonding Technology Molded Structural Comp
Slide 11: Momentum Continues in 2017: Little Falls Operation
11 M OMENTUM C ONTINUES IN 2017 ▪ New operation in Little Falls, MN: 53 acres, 600,000 sq. ft. ▪ Located on the Mississippi River, approx. 100 miles from Minneapolis ▪ State - of - the - art compression molding equipment for MSC technology, bulk resin system , bulk foam s ystem Next Step in Our MSC
Slide 12: Safety Remains Our Number One Value and Priority
12 M OMENTUM C ONTINUES IN 2017 Safety Remains Our Number One Value and Priority TTMA Plant Safety Awards given to New Lisbon, WI, and San José Iturbide, Mexico Cadiz, KY, earned Governor’s Safety and Health Award New Markets. New Innovation. New Growth.
Slide 13: Demonstrating World-Class Standards
13 M OMENTUM C ONTINUES IN 2017 5th Consecutive! Lafayette, IN 2nd Consecutive! Cadiz, KY New! Portland, OR Demonstrating World - Class Standards New Markets. New Innovation. New Growth.
Slide 14: Swedish Steel Prize Finalist and People's Choice Award Winner
14 M OMENTUM C ONTINUES IN 2017 Swedish Steel Prize Finalist and People’s Choice Award Winner New Markets. New Innovation. New Growth.
Slide 15: Now a Diversified Industrial Manufacturer
15 Now a Diversified Industrial Manufacturer O UR I DENTITY I S S HIFTING F ROM P RIMARILY A D RY V AN M ANUFACTURER 2005 $1.2B Reefers 77% 15% 8% Parts & Service Dry Vans Dry Van Trailers Other Trailer Products Non - Trailer Products 2020 $3.0B Dry Vans Non - Trailer Other Trailer Types 2015 $2.0B
Slide 16: Operational Excellence
16 O PERATIONAL E XCELLENCE ▪ Continuous improvement philosophy emphasizing manufacturing velocity and business process optimization ▪ Lean Six Sigma manufacturing approach for 14+ years Operational Excellence Enables Continuous Improvement Continuous improvement in all aspects of our business must
Slide 17: Long-Term Growth Drivers
17 L ONG - T ERM G ROWTH D RIVERS Margin Expansion • Pricing discipline • Operational efficiency / lean manufacturing • Supply chain optimization Organic Growth • New end markets and geographies • Product innovations / portfolio expansion • Aftermarket parts and service capabilities Mergers & Acquis
Slide 18: Capital Allocation Strategy
18 C APITAL A LLOCATION S TRATEGY • Maintain liquidity to support the core business and fund growth opportunities across business cycle Liquidity • Manage net debt to maintain credit rating (BB) throughout economic cycle and position for next credit rating upgrade • Target net debt to < 3x EBITDA at
Slide 19: Thank You, Mr. Kelly
19 T HANK Y OU , M R . K ELLY James D. Kelly Retired Vice President, Cummins Inc. Retired President, Engine Business Over 11 Years Serving on Wabash National’s Board of Directors New Markets. New Innovation. New Growth.
Slide 20: 20 New Markets. New Innovation. New Growth.
20 New Markets. New Innovation. New Growth.
Slide 21: Appendix
ANNUAL SHAREHOLDERS MEETING Appendix
Slide 22: Reconciliation of Non-GAAP Measures
22 2005 2006 2011 2012 2013 2014 2015 2016 Q1 2017 TTM Net income 111.1$ 9.4$ 15.0$ 105.6$ 46.5$ 60.9$ 104.3$ 119.4$ 112.1$ Income tax (benefit) expense (37.0) 6.9 0.2 (57.1) 31.1 37.5 59.0 66.0 58.2 Interest expense 6.4 6.9 4.1 21.7 26.3 22.2 19.5 15.7 14.6 Depreciation and amortization 15.5 20.6 1
Slide 23: Reconciliation of Non-GAAP Measures
23 R ECONCILIATION OF N ON - GAAP M EASURES a/ Branch transactions in 2016 relate to gains (losses) incurred for sale and closing of our branch locations in Phoenix, Den ver and Miami. Branch transactions for 2014 and 2015 are comprised of the sale of assets for three West Coast branches and the rea
Slide 24: Potential Dilutive Impact of Senior Convertible Notes
24 P OTENTIAL D ILUTIVE I MPACT OF S ENIOR C ONVERTIBLE N OTES (UNAUDITED) Table below illustrates the potential dilutive shares that would be included in the calculation of the Company’s reported ear nin gs per share in a future period assuming various hypothetical quarterly average market prices f