Schneider National, Inc. · NYSE:SNDR
Schneider National — Q3 2022 Earnings Presentation
18 slides from Schneider National's earnings presentation, Oct 27, 2022
Slide 1: Investor presentation Third quarter 2022
Investor presentation Third quarter 2022
Slide 2: Disclaimer and forward-looking statements
Investor relations Steve Bindas, Director 920-357-SNDR contact information investor@schneider.com Disclaimer and forward- Special Note Regarding Forward-Looking Statements This presentation, and certain information that management may looking statements discuss in connection with this presentation,
Slide 3: Current quarter and the path forward
Current quarter “In the third quarter, shifting freight fundamentals resulted in a more balanced supply and demand condition,” said Mark Rourke, Chief Executive Officer and President of Schneider. “The enterprise grew revenues 8% over the prior year, representing the highest third quarter in our his
Slide 4: Leading North American transportation services company
Leading North American Iconic Orange Brand transportation services › A $5.6 billion company founded in 1935 in Green Bay, WI with a long-standing history of service, reliability, and supply-chain company value creation. › Comprehensive North American footprint with industry leading safety, culture,
Slide 5: Schneider overview
over 9,300,000 freight miles per day Schneider overview 87 years in business (founded in 1935) $5.6 billion annual operating revenues drivers who’ve driven over 6,416 one million miles safely current drivers who’ve driven over 938 one million miles safely number of times Schneider loads over 378 cir
Slide 6: Third quarter 2022 Key Takeaways
Third quarter 2022 Key Takeaways › Truckload revenues increased 18% compared to 3Q21 due to Midwest Logistics Systems’ revenues, effective yield management, and dedicated new business growth, partially offset by lower network miles. Truckload operating ratio was 85.4% in 3Q22 compared to 82.4% in 3Q
Slide 7: Diversity of customers and end-markets served supports resiliency and growth
Diversity of customers and end-markets served supports resiliency and growth through business cycles Diverse end-market footprint: 2021 Revenues (xFSC)1 Broadening customer base: change in customer concentration1 Food and Retail 22% Beverage 13% 28% 51% 10% Consumer Products 9% 11% 62% 38% Home Impr
Slide 8: Multi-modal provider of significant size and scale
Multi-modal provider of $5,164 significant size and scale $4,454 277 $4,281 $4,235 $3,997 209 Enterprise revenues (xFSC) 1,2 262 280 196 1,809 1,024 935 1,129 834 956 780 1,008 1,143 975 2,187 2,265 2,077 1,851 1,935 2017 2018 2019 2020 2021 Truckload Intermodal Logistics Other3 $533 Adjusted income
Slide 9: April 2022 marked five years since the IPO
April 2022 marked five years since the IPO (In millions, except per share amounts) Adjusted income Revenues (xFSC)* from operations* Free cash flow* $5,839 $646 $404 $3,901 $271 $146 LTM 3Q17 LTM 3Q22 LTM 3Q17 LTM 3Q22 LTM 3Q17 LTM 3Q22 LTM Adjusted diluted earnings per share* $3.00 $2.50 $2.00 $1.5
Slide 10: April 2022 marked five years since the IPO
April 2022 marked five Mission: to build a leading multi-modal transportation platform years since the IPO that operates at scale and is resilient through business cycles. Our meaningful progress towards our strategic objectives provides momentum and excitement for the future. Enterprise LTM 3Q22 LT
Slide 11: ESG: a shared commitment to a sustainable future
ESG: a shared commitment We are committed to operating one of the most energy-efficient fleets in North America. to a sustainable future › Utilizing diverse modes of transportation. › Collaborating with the most energy-efficient railroads and third-party carriers. › Relentlessly working to improve M
Slide 12: Schneider: technology is in our DNA
Schneider: technology Every day, our freight technology and innovation for shippers, carriers, and drivers automates processes, enables visibility, and delivers is in our DNA powerful insights to maximize efficiency on every shipment. Company drivers In-cab tablet Order Execution Financials Shippers
Slide 13: Appendix
SCHNEIDER Appendix
Slide 14: Non-GAAP reconciliation – revenues excluding fuel surcharge
Non-GAAP reconciliation – revenues excluding fuel surcharge1 ($M) FY2017 FY2018 FY2019 FY2020 FY2021 3Q22 3Q21 LTM 3Q22* LTM 3Q17* Operating $4,384 $4,977 $4,747 $4,553 $5,609 $1,675 $1,445 $6,618 $4,262 revenues Less: Fuel surcharge 386 523 466 318 445 234 114 779 361 revenues Revenues (excluding $
Slide 15: Non-GAAP reconciliation – adjusted income from operations
Non-GAAP reconciliation – adjusted income from operations1 ($M) FY2017 FY2018 FY2019 FY2020 FY2021 3Q22 3Q21 LTM 3Q22* LTM 3Q17* Income from $280 $376 $208 $287 $534 $145 $154 $635 $275 operations Litigation and audit - 6 - 13 (14) - - 49 - assessments2 Goodwill - 2 35 - 11 - - 11 - impairment3 Dupl
Slide 16: Non-GAAP reconciliation – adjusted net income
Non-GAAP reconciliation – adjusted net income1 ($M) FY2017 FY2018 FY2019 FY2020 FY2021 3Q22 3Q21 Net income $390 $269 $147 $212 $405 $126 $110 Litigation and audit assessments - 6 - 13 (14) - - Goodwill impairment - 2 35 - 11 - - Duplicate chassis costs 15 - - - - - - WSL contingent (14) - - - - - -
Slide 17: Non-GAAP reconciliation – adjusted EBITDA
Non-GAAP reconciliation – adjusted EBITDA1 ($M) FY2017 FY2018 FY2019 FY2020 FY2021 3Q22 3Q21 Net income $390 $269 $147 $212 $405 $126 $110 Provision for (benefit from) (127) 96 51 71 137 42 37 income taxes Interest expense – net 17 13 8 10 10 1 3 Depreciation and amortization 279 291 293 291 296 88
Slide 18: Non-GAAP reconciliation – free cash flow and adjusted diluted EPS
Non-GAAP reconciliation – free cash flow1 ($M) FY2017 FY2018 FY2019 FY2020 FY2021 3Q22 3Q21 LTM 3Q22* LTM 3Q17* Net cash provided by $461 $567 $636 $618 $566 $225 $141 $748 $454 operating activities Purchases of transportation (389) (385) (335) (275) (399) (162) (143) (424) (337) equipment Purchases