MasTec, Inc. · NYSE:MTZ
MasTec — Investor Presentation (March 2016)
25 slides from MasTec's investor presentation, Mar 5, 2016
Slide 1: Corporate Presentation
Corporate Presentation March 5, 2016 NYSE: MTZ
Slide 2: Safe Harbor Statement
Safe Harbor Statement This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act. When used in this presentation, statements which are not historical in nature, including the words “anticipate,” “forecast,” “estimate,” “could,” “should,”
Slide 3: Company Overview
Company Overview MasTec is a leading infrastructure construction company operating mainly throughout North America Activities include the engineering, building, installation, maintenance and upgrade of: • Petroleum and natural gas pipelines and facilities • Wireless, wireline/fiber and install-to-th
Slide 4: Transformation Into Higher Growth-Higher Margin Segments
Transformation Into Higher Growth-Higher Margin Segments 2007 Segments-$0.9 Billion Revenue 2015 Segments-$4.2 Billion Revenue(1) Other Oil & Gas Communications Communications Diversification and Organic Growth Electrical Transmission Power Gen Electrical & Industrial Transmission Largest Customer 4
Slide 5: Guidance (1): Double-Digit Revenue CAGR
Proven performance- Double-Digit Revenue CAGR $5.0 $4.6-4.8 ~20% CAGR for $4.2 2007-2016E $4.0 In Billions Guidance(1) $3.0 $2.0 $0.9 $1.0 $0.0 2007 2015 2016E Notes: 5 (1) Guidance as of February 25, 2016.
Slide 6: Guidance (2): Strong Adjusted EBITDA CAGR
Proven Performance- Strong Adjusted EBITDA CAGR(1)(3) $450 $415-430 ~24% CAGR for $400 2007-2016E $350 Guidance(2) $308 In Millions $300 $250 $200 $150 $100 $59 $50 $0 2007 2015 2016E Notes: (1) Continuing operations (2) Guidance as of February 25, 2016 6 (3) See Reg. G Reconciliation tables in Appe
Slide 7: Guidance (2): Adjusted EBITDA Margins
Proven performance - Adjusted EBITDA Margins(1)(3) 9.0% 9.0% 8.0% 7.3% 7.0% 6.3% Guidance(2) 6.0% 5.0% 4.0% 3.0% 2.0% 1.0% 0.0% 2007 2015 2016E Notes: (1) Continuing operations (2) Guidance as of February 25, 2016 7 (3) See Reg. G Reconciliation tables in Appendix for Adjusted EBITDA.
Slide 8: 2016: End Market Opportunities Rebound
2016: End Market Opportunities Rebound • Oil & Gas market opportunities • Record Q415 backlog in the O&G segment, at $2.0 billion • Expect US long haul pipeline project surge in 2016, 2017 and beyond • Continued development of Mexican infrastructure opportunity, constructing first 2 natural gas pipe
Slide 9: MasTec Oil & Gas Segment Overview
MasTec Oil & Gas Segment Overview The Company has a balanced portfolio of Revenue from Oil & Gas ($ in millions) gathering line, mid-stream, long-haul interstate pipeline and related facilities services for oil, gas and gas liquids ~55% CAGR for $1,495 2008-2015 Platform capable of providing service
Slide 10: Growth Opportunity: Expansion in Mexico
Growth Opportunity: Expansion in Mexico MasTec has a small presence in Mexico today, providing wireless and pipeline infrastructure services Due to energy regulation reforms in Mexico and the US shale gas boom, oil and gas infrastructure investment is forecasted to expand significantly, with both do
Slide 11: The Mexican Natural Gas Pipeline Opportunity is Developing
The Mexican Natural Gas Pipeline Opportunity is Developing Planned 2028 Electrical Power Expansion (2) Planned Combined Cycle Power Plants 2 Lines Currently Under Construction by MasTec Mexican Gas Pipelines (1) Existing First Phase Planned by CFE First Phase Planned by Pemex Sources: (1) Mexico Sha
Slide 12: Communications- Rebound in Wireless CAPEX spending
Communications- Rebound in Wireless CAPEX spending Global Mobile Data Traffic 2015 to 2020 (Exabytes per Month) 30.6 ~53% CAGR for 21.7 2015-2020E 14.9 9.9 6.2 3.7 2015 2016 2017 2018 2019 2020 Source: Cisco Visual Networking Index: Global Mobile Data Traffic Forecast Update, 2015-2020, February 3,
Slide 13: Communications…1-Gigabit Fiber is Growing
Communications…1-Gigabit Fiber is Growing 1-Gigabit Fiber Planned Deployments (1) New 1 Gigabit Fiber-to-the-home initiative moving forward in multiple cities.(2) Google announced up to 20 metro markets AT&T announced 56 metro markets CenturyLink announced 16 metro markets AT&T More carrie
Slide 14: Growth in Install-to-the-Home and Customer Fulfillment
Growth in Install-to-the-Home and Customer Fulfillment MasTec’s Install-to-the-Home and MasTec’s AT&T/DIRECTV & Sprint Offerings Customer Fulfillment Footprint Exclusive Master Service Agreement install-to-the-home provider for AT&T’s DIRECTV™ unit in all markets MasTec serves Over ~60% of DIRECTV t
Slide 15: Electrical Transmission
Electrical Transmission MasTec Revenue from Electrical Forecasted North American Awards Transmission For Transmission Spending ~62% CAGR for $472 2009-2015 $429 $27.7 $30.1 $22.2 $24.2 $25.2 $342 $ in billions $312 $ in millions $16.4 $198 $67 $19 2011E 2012E 2013E 2014E 2015E 2016E 2009 2010 2011 2
Slide 16: Power Generation & Industrial
Power Generation & Industrial Proven top tier contractor in wind farm construction services, including civil, electrical substation and transmission line integration Wind farm construction demand dependent on production tax credit (“PTC”). PTC was extended until 2020, which should prompt utilities/d
Slide 17: Liquidity and Capital Structure
Liquidity and Capital Structure MasTec, Inc. Principal Liquidity and capital Balance Rate Maturity Debt Summary - as of December 31, 2015 (In 000s) structure are adequate today Record cash flow for Revolving Credit Facility $ 208,469 2.95% October 2018 operating activities of $367 Term Loan 250,000
Slide 18: MasTec, Inc. Investor Relations Contact
MasTec, Inc. 800 S. Douglas Road, 12th Floor Coral Gables, FL 33134 J. Marc Lewis Vice President-Investor Relations (305) 406-1815 (305) 406-1886 fax marc.lewis@mastec.com www.mastec.com 18
Slide 19: Appendix
Appendix 19
Slide 20: Communications: End-to-End Services
Communications: End-to-End Services 20
Slide 21: Power Generation, Electrical, Renewables & Heavy Industrial: End-to-End Services
Power Generation, Electrical, Renewables & Heavy Industrial: End-to-End Services 21
Slide 22: Gas Pipelines: End-to-End Services
Gas Pipelines: End-to-End Services 22
Slide 23: North American Oil & Gas Production is Changing the Game
North American Oil & Gas Production is Changing the Game 23
Slide 24: Reg. G Adjusted EBITDA – Continuing Operations (2007-2011)
Reg. G Adjusted EBITDA – Continuing Operations(1)(2) % % % % % EBITDA and Adjusted EBITDA Reconciliation 2007 margin 2008 margin 2009 margin 2010 margin 2011 margin Revenue $ 932.4 $ 1,250.8 $ 1,482.1 $ 2,143.0 $ 2,831.3 Income (loss) from continuing operations before non- controlling interests (13.
Slide 25: Reg. G Adjusted EBITDA – Continuing Operations (2012-2016E)
Reg. G Adjusted EBITDA – Continuing Operations(1)(2) % % % % EBITDA and Adjusted EBITDA Reconciliation 2012 margin 2013 margin 2014 margin 2015 margin 2016E (3) % margin Revenue $ 3,726.8 $ 4,324.8 $ 4,611.8 $ 4,208.3 $4,600-4,800 Income (loss) from continuing operations before non- controlling inte