Trueblue, Inc. · NYSE:TBI
Trueblue — Investor Presentation (February 2016)
22 slides from Trueblue's investor presentation, Feb 3, 2016
Slide 1: Investor Presentation
INVESTOR PRESENTATION
Slide 2: Forward-looking statements
2 Certain statements made by us in this presentation that are not historical facts or that relate to future plans, events or performances are forward-looking statements that reflect management’s current outlook for future periods, including statements regarding future financial performance. These fo
Slide 3: TrueBlue at a Glance
2012 2013 2014 2015 ) $2.7B 2015 Revenue 3 130,000 840,000 * See “Financial Information” in the Investors section of our website at www.trueblue.com for a definition and full reconciliation of non-GAAP financial measures to GAAP financial results. 2012 2013 2014 Revenue Adjusted EBITDA * February 20
Slide 4: TrueBlue's Growth Story
Demand-driven organic growth >$650M invested in 20 acquisitions 4 1989 Build-out • • • 2004 Growth • • • Expansion into recruitment process outsourcing and workforce • • recruiting (RPO) 2014 Longer term staffing assignments Stilled Trades Aviation mechanics Truck drivers (formerly Seaton) On-premis
Slide 5: Investment Highlights
1 Staffing Industry Analysts, Growth Assessment: Industrial Staffing (2015). February 2016 Investor Presentation 5 INVESTMENT HIGHLIGHTS
Slide 6: Specialized Service Offerings to Meet Client Needs
6 WORKFORCE MANAGEMENT RECRUITIMENT PROCESS OUTSOURCING (RPO) TrueBlue helps clients improve performance and increase growth by providing specialized staffing, workforce management and recruiting solutions. February 2016 Investor Presentation SPECIALIZED SERVICE OFFERINGS TO MEET CLIENT NEEDS Staffi
Slide 7: Solving Talent Challenges
7 February 2016 Investor Presentation SOLVING TALENT CHALLENGES The ‘talent’ space is a good place to be, as businesses will increasingly turn to human capital experts to help solve global talent challenges. Workforce Complexity Workforces are becoming increasingly complex and global. Companies are
Slide 8: Compelling Market Trends Driving Growth
8% • • • • • • • • 8 Staffing Services Managed Services Industry Highlights CAGR 15% 2011 – 2015 Industry Highlights February 2016 Investor Presentation COMPELLING MARKET TRENDS DRIVING GROWTH
Slide 9: Industry Dynamics
Construction Manufacturing Transportation & Wholesale Retail In d u s tr y D y n a m ic s • • • • • • • • • • • 21% 24% 22% 18% Construction Upside Potential Industrial Production in a Growth Cycle Wholesale Trade At New Peak Retail Trade Continued Growth Source: U.S. Census Bureau Source: U.S. Boar
Slide 10: Strategic Priorities
10 February 2016 Investor Presentation STRATEGIC PRIORITIES
Slide 11: Acquisitions
Acquisitions
Slide 12: SIMOS Productivity Model Enhances TBI On-premise Capabilities
SIMOS Productivity Model Enhances TBI On-premise Capabilities 12 Q4 2015 Earnings Results | Feb. 3, 2016 • • • About SIMOS SIMOS Illustrative Workflow Client Solutions - Warehouse / Distribution Productivity / Pricing Model • • • • • • W h at d o es SI M O S d o ? Ho w d o es SI M O S d o it ?
Slide 13: SIMOS Acquisition Overview
SIMOS Acquisition Overview 13 Q4 2015 Earnings Results | Feb. 3, 2016 Deal Info Acquisition date 12/1/15 Purchase price1 $67.5m • $67.5m cash up-front plus additional cash “earn-out” of up to $22.5m2 Valuation Multiple 4.2x • Forward 12 months Adj. EBITDA multiple based on $67.5m purchase price, net
Slide 14: Strategic Rationale
Strategic Rationale 14 Q4 2015 Earnings Results | Feb. 3, 2016 Excellent fit with our existing Staff Management business Productivity- based business model provides unique client value proposition Embedded business process service provides high client retention New capabilities help Staff Management
Slide 15: Aon Hewitt RPO Acquisition Advances PeopleScout's Global Strategy
Aon Hewitt RPO Acquisition Advances PeopleScout’s Global Strategy 15 Q4 2015 Earnings Results | Feb. 3, 2016 • business is a leading provider of recruitment process outsourcing (RPO) services • • • • About Aon Hewitt RPO Domestic v. International One Global PeopleScout Aon Hewitt Partnership • • • •
Slide 16: Aon Hewitt RPO Acquisition Overview
Deal Info Acquisition date 1/4/16 • Purchase agreement signed December 2015, but closed January 4, 2016. Purchase price1 $72m • All cash Valuation Multiple 4.8x • Forward 12 months Adj. EBITDA multiple, net of acquired tax asset2 Financing Existing Facility • Amended existing $300m asset-backed faci
Slide 17: Strategic Rationale
Strategic Rationale 17 Q4 2015 Earnings Results | Feb. 3, 2016 Leading provider of recruitment process outsourcing (RPO) Builds market leadership positon in North America RPO under PeopleScout brand Ongoing strategic partnership with Aon Hewitt Low-cost locations provide opportunity for cost savings
Slide 18: 2016 Outlook
2016 Outlook
Slide 19: FY 2016 Highlights and Priorities
FY 2016 Highlights 19 Q4 2015 Earnings Results | Feb. 3, 2016 Investing for Growth 2016 Priorities 2016 Outlook • Sales and recruiting headcount added in the back half of 2015. Year-over-year SG&A growth rates expected to moderate throughout 2016. • New SG&A investments added in mobile technology fo
Slide 20: FY 2016 Outlook
Consolidated1 Commentary Revenue Growth $3,124M 16% • SIMOS non-organic revenue of $160M2 • Aon Hewitt RPO revenue of $65M • Excludes 53rd week incremental revenue of $45M Adjusted EBITDA $190M 29% • SIMOS non-organic Adjusted EBITDA of $12M2 • Aon Hewitt RPO Adjusted EBITDA of $13M • Excludes 53rd
Slide 21: Appendix
Appendix
Slide 22: Non-GAAP financial measures
EBITDA and Adjusted EBITDA are non-GAAP financial measures. EBITDA excludes interest, taxes, depreciation and amortization from net income. Adjusted EBITDA further excludes from EBITDA non-recurring costs related to acquisition and integration costs, as well as, Work Opportunity Tax Credit third par