Finning International Inc. · TSX:FTT
Finning International — RBC Fireside Chat (March 2021)
11 slides from Finning International's conference presentation, Mar 22, 2021
Slide 1: Investor Presentation: Digital Capabilities To Drive Product Support Growth
INVESTOR PRESENTATION Greg Palaschuk, EVP and CFO, Finning International Dave Cummings, EVP and Chief Digital Officer, Finning International Kevin Parkes, President, Finning Canada Digital Capabilities To Drive Product Support Growth RBC Fireside Chat - March 22, 2021 See slides 10 & 11 for importan
Slide 2: Finning Overview
Finning Overview Largest Caterpillar dealer Market Statistics(1) - FTT (TSX) Share price 32.58 Unrivalled service since 1933 Market Cap 5.3B Diversified by geography, customer base, product and sector S&P/DBRS rating BBB(+*-/high) Annual dividend / share 0.82 ~12,000 employees Dividend yield
Slide 3: Digital Journey Strengthens Customer Value Proposition
Digital Journey Strengthens Customer Value Proposition Invested Early In Digital Positioned for Recovery Driving Growth Recognized shifting customer Extensive machine connectivity Digital performance solutions need, made strategic investments Accelerated adoption of Fuels product support g
Slide 4: Digital Capabilities Amplify Our Growth Path
Digital Capabilities Amplify Our Growth Path Integrated Knowledge Centre (IKC) Customer Customer Value Agreements (CVAs) Loyalty Prioritized Service Events Autonomy Market Share Digital performance solutions Data-driven insights Optimized facilities network – RRR model Cost Structure
Slide 5: Finning Autonomy
Finning Autonomy 20%+ Productivity Improvement vs Imperial Oil Conventional Fleet Kearl (oil sands) SCALABLE ~100 trucks and 250+ auxiliary vs limited scalability of competitors’ offering 797F INTEROPERABLE Fleet Size 25 trucks with conventional and As at Dec 2020 competitors’ fleets Teck RETROFITTA
Slide 6: Canada – Optimized Facilities Network
Canada – Optimized Facilities Network Benefits British Columbia R Whitehorse R Yellowknife Leverages remote monitoring and dispatch Alberta Fort McMurray / Fort McKay Integrated procurement and direct shipment fulfillment Fort St. John Peace River RRR Terrace Houston R R Saskatchewan Data-driv
Slide 7: Improved Earnings Capacity in a Recovery
Improved Earnings Capacity in a Recovery 2021 Considerations 2021 outlook remains positive, led by strong recovery in Chile and UK, and improvements in order intake(1) and backlog (1) Expect revenue growth in 2021, however remaining below 2019 levels On track to deliver more than $100 million
Slide 8: Free Cash Flow, Balance Sheet, Capital Allocation
Free Cash Flow, Balance Sheet, Capital Allocation Net Debt to Adjusted EBITDA (Ratio) 2020 Highlights 3.5 Improved working capital management 3.0 2.8 2.6 Inventory turns(1) up 10% vs 2019 2.5 2.5 2020 net capex and rental fleet spend ~$100 million 2.2 2.1 2.0 Well positioned to make strategi
Slide 9: Sustainability – Performance Highlights
Sustainability – Performance Highlights ENVIRONMENT PEOPLE & COMMUNITIES Finning Absolute GHG Emissions 120,000 108,708 104,756 Electronic job hazard 100,560 100,000 assessment (eJHA) tool 79,884 supported by satellite- Tonnes of CO2e 80,000 enabled communication 60,000 devices in remote locations 4
Slide 10: Disclosures
Disclosures Forward-looking information This presentation includes “forward-looking information” (as defined in applicable Canadian securities legislation) that is based on expectations, estimates and projections that we believe are reasonable as of the date of this presentation, but may ultimately
Slide 11: Disclosures
Disclosures Currency Monetary amounts referred to in this presentation are in Canadian dollars unless noted otherwise. All variances and ratios in this presentation are based on the functional currency of each operation (Canada: CAD, South America: USD, UK & Ireland: GBP). Non-GAAP financial measure
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