Reliance Worldwide Corp. Ltd. · ASX:RWC
Reliance Worldwide — Investor Day (September 2022)
49 slides from Reliance Worldwide's investor day presentation, Sep 15, 2022
Slide 1: ASX Announcement: Investor day presentation slides
ASX Announcement 15 September 2022 Investor day presentation slides Reliance Worldwide Corporation Limited (ASX: RWC) advises that members of the investment community will today be meeting with members of RWC’s senior management team in Atlanta, GA, USA. A copy of the presentation to be given at the
Slide 2: Investor Day
Investor Day 15 September 2022
Slide 3: Important notice
Important notice This presentation contains general information about the activities of Reliance Worldwide Corporation Limited and its operating businesses at the date of presentation (15 September 2022). It is information given in summary form and does not purport to be complete. It should be read
Slide 4: Welcome and RWC staff introductions
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Welcome and RWC staff introductions Heath Sharp Andrew Johnson Gillian Chandrasena Phil King Christopher Sandman CEO CFO CPO Investor Relations Director VP Strategy and M&A Will Kilpatr
Slide 5: Agenda
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Agenda
Slide 6: Objectives
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Objectives Key insights that you will acquire today Our growth playbook has delivered years of above market performance and the core tenets of that playbook will carry us well into the
Slide 7: August trading update
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People August trading update Group sales for month of August +45% on pcp, +20% on pcp excluding EZ-Flo1 Sales % change over pcp Region August Commentary (constant currency) July: +33% Americas
Slide 8: Q&A
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Q&A
Slide 9: Plumbing matters. We make it better.
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Plumbing matters. We make it better. Vision Cover all the needs of the professional plumber with a catalogue of the most trusted brands “Everything on the plumber’s truck” Aspiration Co
Slide 10: Strong growth track record
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Strong growth track record Since the IPO in 2016, RWC net sales has grown at a 20% CAGR FY22 EBITDA Margin: 22.9% RWC Net Sales (US$m) 1,200 % 1,000 : 20 GR FY16 ear CA EBITDA 6y 800 Ma
Slide 11: Growth playbook
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Growth playbook Consistent, above-market growth rates driven by a balanced portfolio Market Growth: 3% annual market growth1 Above Market: driven by superior brand and positioning 10% 6
Slide 12: Over 2,800 team members operating as one global team
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Over 2,800 team members Americas Global Operating Europe, Middle East & Africa Asia-Pacific Headquartered operating as one global team Headquarters in Atlanta Headquartered in London in
Slide 13: Delivering smart solutions that are the first choice for plumbers
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Delivering smart solutions that are the first choice for plumbers From the construction of new commercial and residential buildings to the repair and remodel of existing ones, our portf
Slide 14: Delivering smart solutions that are the first choice for plumbers
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Delivering smart solutions that are the first choice for plumbers From the construction of new commercial and residential buildings to the repair and remodel of existing ones, our portf
Slide 15: EMEA business snapshot
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People EMEA business snapshot Exceptionally strong brands in a diverse set of markets and geographies Category mix2 Footprint Brands £219m Net Sales1 FluidTech Managing £74m Adjusted EBITDA1 1
Slide 16: EMEA snapshot: products and customers
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People EMEA snapshot: products and customers RWC’s UK plumbing and heating market benefits from a high presence in wholesale, whereas Continental Europe is focused on OEMs in FluidTech markets
Slide 17: FY22 New product releases: EMEA
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People FY22 New product releases: EMEA Euro TMV
Slide 18: RWC Americas snapshot
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People RWC Americas snapshot Well positioned brands across a diverse product range serving multiple segments Category Mix Channel Mix Other Brands Pipes Valves OEM Other US$791m Fittings Integ
Slide 19: Americas snapshot: products and customers
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Americas snapshot: products and customers RWC’s Americas broad product portfolio is highly penetrated in all key distribution channels Channel Mix1 Example customers Representative prod
Slide 20: Americas snapshot: products and customers
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Americas snapshot: products and customers
Slide 21: Q&A
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Q&A
Slide 22: Creating value through product leadership
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Creating value through product leadership Solutions for Value for the Industry leading the job site distributor execution Smart product solutions that improve Increasing value for the d
Slide 23: Solutions for the job site
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Solutions for the job site Smart product solutions that improve contractor productivity, Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Products 4.0 Our Strategy 5.0 Our Opport
Slide 24: How HoldRite products deliver to the job site
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People How HoldRite products deliver to the job site Like SharkBite established a relationship with the repair plumber, HoldRite’s product differentiation paves the way to commercial jobs Stre
Slide 25: Value for the distributor
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Value for the distributor Increasing value for the distributor while providing broadest 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Products 4.0 Our Strategy 5.0 Our Opportunity 6.0 Our
Slide 26: EZ-Flo Acquisition
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People EZ-Flo Acquisition Increasing value for channel partners and ready access for professional end users opens many new opportunities New Brands ▪ Differentiated brands that matter to profe
Slide 27: Industry leading execution
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Industry leading execution Premium quality products and unrivalled operational undation 3.0 Our Products 4.0 Our Strategy 5.0 Our Opportunity 6.0 Our Impact 7.0 Our People Appendix effi
Slide 28: EZ-Flo enhances capabilities: Ningbo Manufacturing
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People - c22% annual electricity via solar-source EZ-Flo enhances capabilities: Ningbo Manufacturing y - Energy reduction by 18%... In-house manufacturing of water connectors and gas connector
Slide 29: EZ-Flo enhances capabilities: Sourcing and Logistics
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People EZ-Flo enhances capabilities: Sourcing and Logistics Free-Trade-Zone Warehouse with effective tariff management and shipping consolidation Established processes and relationships ▪ Cons
Slide 30: RWC Americas operations
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People RWC Americas operations Investment combined with Lean Manufacturing Principles for Growth and Efficiency Moulding Machining & Assembly Assembly Moulding Output 10.4 Million per annum Ou
Slide 31: RWC EMEA operations
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People RWC EMEA operations Investment to drive efficiency, output and energy savings Moulding Fluid Tech Assembly Moulding Output +50% collet output Automation 15% ► 45% automated 65% ► 75% au
Slide 32: Q&A
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Q&A
Slide 33: Positioned for long term growth
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Positioned for long term growth Large and fragmented landscape Global Market >$20B Few large players Enduring tail winds Labor shortage Ageing homes Sustainability investments Different
Slide 34: US R&R sector is less cyclical than new construction
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People US R&R sector is less cyclical than new construction New housing starts have been more volatile over past quarter century $450 $400 2,000 $350 $300 1,500 $250 $200 1,000 $150 $100 500 $
Slide 35: US repair, maintenance and improvement (RMI) overview
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People US repair, maintenance and improvement (RMI) overview Remodel activity has increased steadily, ageing housing stock underpins repair volumes US RMI highly correlated to home price appre
Slide 36: UK repair, maintenance and improvement (RMI) overview
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People UK repair, maintenance and improvement (RMI) overview RWC highly penetrated in sectors offering strong resilience UK RMI highly correlated to home price appreciation 55% of homes in UK
Slide 37: Americas growth priorities
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Americas growth priorities Leverage innovation, brand strength and product offering across all channels to optimize growth opportunities and share gain Key Enablers Demand Reach Innovat
Slide 38: Americas Gas Connector Market Opportunity
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Americas Gas Connector Market Opportunity Leveraging expanded capacity and RWC sales & distribution strength Channels RWC Capabilities and Opportunities US Market ▪ “Best” level product
Slide 39: EMEA growth priorities
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People EMEA growth priorities Enabling specific initiatives in UK and Europe to accelerate, expand and access Key Enablers Plumbing & Heating Fluid Tech ▪ Leverage strength of UK Continental E
Slide 40: EMEA FluidTech solutions markets
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People EMEA FluidTech solutions markets Push to connect innovation for growing share in growing markets Region Markets End Use Plan Plumbing and Heating Air and Pneumatics Compressed air lines
Slide 41: Q&A
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Q&A
Slide 42: Committed to making a positive, lasting impact
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Committed to making a positive, lasting impact Climate Emissions Recycling Change reduction targets 6 million kg brass to be announced by Aligning our value chain to global reporting en
Slide 43: EMEA environmental actions…significant impact
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People - c22% annual electricity via solar-source EMEA environmental actions…significant impact y - Energy reduction by 18%... Continued focus on greater efficiency & output – delivered sustai
Slide 44: LCL recycles scrap electrical & telco wire
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People LCL recycles scrap electrical & teleco wire 100% of RWC’s Australian manufactured brass products are made with recycled copper Recycling of copper Newly manufactured Processing of recyc
Slide 45: Creating social impact through a safe, secure and inspiring workplace
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Creating social impact through a safe, secure and inspiring workplace -15% Diverse universities & jobs -boards posting for disabled, 74% Overall engagement reduction in reportable safet
Slide 46: Culture and talent powers growth
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Culture and talent powers growth Enhancing our value proposition because of who we are, not just what we do
Slide 47: Introduction 1.0 Our Purpose 2.0 Our Foundation
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People
Slide 48: Objectives
Introduction 1.0 Our Purpose 2.0 Our Foundation 3.0 Our Strategy 4.0 Our Opportunity 5.0 Our Impact 6.0 Our People Objectives Key insights that you will have acquired today Our growth playbook has delivered years of above market performance and the core tenets of that playbook will carry us well int
Slide 49: Plumbing matters. We make it better.
Plumbing matters. We make it better.