Slide 1: Safe Harbor and Basis of Presentation
Safe Harbor and Basis of Presentation Forward-Looking Statement Safe Harbor - This presentation includes "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995. All of these forward-looking statements are based on estimates and assumptions made by our
Slide 2: Q4 2017 Highlights
Q4 2017 Highlights Net sales increased 16.7% to $615.0 million Base business net sales up 5.6% (9.0% on a per day basis) Wallboard unit volume grew 11.1% to 906 million square feet Above-Market Growth Net income significantly increased 59.6% to $14.3 million Gross profit increased 15.4% to $201.0 mi
Slide 3: Multiple Levers to Drive Growth
Multiple Levers to Drive Growth Continued Market Share Gains Greenfield Branch Openings Capitalize on “Other Products” Category Growth Opportunities $198 Strategic Acquisition Opportunities in Highly Fragmented Market Expanding in New and Existing Markets to Enhance Strategic Capabilities FY-12 FY-1
Slide 4: Attractive Acquirer with Significant Consolidation Opportunity
Attractive Acquirer with Significant Consolidation Opportunity Acquisition Quarter Rationale Industry Structure: Large, highly fragmented industry comprised of hundreds of competitors Similar business operations enable efficient integration Limited number of scaled players One branch with LTM sales
Slide 5: Profitable Sales Expansion in Fiscal Q4 2017
Profitable Sales Expansion in Fiscal Q4 2017 Adj. EBITDA ($ mm) $60 Base Business (1) ($ in millions) Fiscal Q4 YOY Grow th Per Day (2) FY16 FY17 Actual $50 $40 $30 $20 $10 $0 WB Volume (MSF) WB Price ($ / MSF) 816 305 906 311 11.1% 2.0% 1.5% 4.7% $ $ Net Sales Wallboard Ceilings Steel Framing Other
Slide 6: Profitable Sales Expansion in Fiscal 2017
Profitable Sales Expansion in Fiscal 2017 Adj. EBITDA ($ mm) $200 Base Business (1) ($ in millions) Fiscal YOY Grow th Per Day (2) FY16 FY17 Actual WB Volume (MSF) WB Price ($ / MSF) 2,843 306 3,457 306 21.6% (0.1%) 8.5% 8.9% $150 $ $ $100 Net Sales Wallboard Ceilings Steel Framing Other Products To
Slide 7: One-Stop-Shop Outsized Impact on Other Products Sales
One-Stop-Shop Outsized Impact on Other Products Sales Net Sales ($ mm) $145.1 150.0 100.0 Steel Framing Fasteners 50.0 Joint Compound Wallboard - Fiscal Q4 2016 Fiscal Q4 2017 Acquisitions Base Business Net Sales ($ mm) 600.0 $545.6 500.0 400.0 300.0 200.0 100.0 - Ceilings Tools Safety Products Insu
Slide 8: Strong Gross Margin Profile
Strong Gross Margin Profile $2,319 $1,353 FY-12 FY-13 FY-14 FY-15 FY-16 FY-17 Net Sales Gross Margin $308 $306 $306 $289 $253 $219 leverage on rising sales FY-12 FY-13 FY-14 FY-15 FY-16 FY-17 Wallboard Price/MSF Gross Margin Note: Fiscal year end April 30th. (1) Gross margin represents the total gro
Slide 9: Attractive Capital Structure
Attractive Capital Structure Leverage of 2.9x FY 2017 Net Debt / Pro Forma Adj. EBITDA as of 4/30/17, down from 4.3x Net Debt / Pro Forma Adj. EBITDA as of 4/30/16 Substantial liquidity, with $15 million of cash and an additional $231 million undrawn on the ABL facility, as of 4/30/17 In Q2 2017, in
Slide 10: Leading Specialty Distributor Poised for Continued Growth
Leading Specialty Distributor Poised for Continued Growth Market Leader with Significant Scale Advantages – #1 North American Distributor of Wallboard and Ceilings Differentiated Service Model Drives Market Leadership Multiple Levers to Drive Above-Market Growth – Market Share, Greenfields, M&A, Ope
Slide 11: Appendix
Appendix 5 :4 2 / 4 1 0 /2 /6 2/ tn e m D oc u d ve
Slide 12: Summary Quarterly Financials
Summary Quarterly Financials Note: Fiscal year end April 30. 13 (In millions, except per share data) 1Q16 2Q16 3Q16 4Q16 (Unaudited) Wallboard Volume (MSF) 681 700 646 816 Wallboard Price ($ / '000 Sq. Ft.) $ 310 $ 306 $ 305 $ 305 Wallboard $ 211 $ 214 $ 197 $ 249 Ceilings 79 75 65 78 Steel framing
Slide 13: Quarterly Net Sales
Quarterly Net Sales ($ in millions) (Unaudited) Base Business (1) (2) Acquisitions (2) Total Net Sales Business Days (3) Net Sales by Business Day Base Business Branches (4) (5) Acquired Branches (5) Total Branches Note: Fiscal year end April 30. (1) When calculating our “base business” results, we
Slide 14: Quarterly Net Income to Adjusted EBITDA
Quarterly Net Income to Adjusted EBITDA Commentary A. Represents non-cash compensation expenses related to stock appreciation rights agreements B. Represents non-cash compensation expense related to changes in the fair values of noncontrolling interests C. Represents non-cash equity-based compensati
Slide 15: Net Income to Adjusted EBITDA
Net Income to Adjusted EBITDA Commentary ($ in 000s) (Unaudited) A. Represents compensation paid to certain executives who were majority owners prior to the AEA acquisition of GMS. Following the acquisition, these executives’ compensation agreements were amended and, going forward, GMS does not anti
Slide 16: Quarterly Cash Flows
Quarterly Cash Flows ($ in millions) (Unaudited) Historical 1Q16 2Q16 3Q16 4Q16 FY16 1Q17 2Q17 3Q17 4Q17 FY17 Net income (loss) Non-cash changes Changes in primary working capital components: Trade accounts and notes receivable Inventories Accounts payable Cash provided by (used in) operating activi
Slide 17: SG&A Adjustments Table
SG&A Adjustments Table Commentary A. Represents non-cash compensation expenses related to stock appreciation rights agreements (Unaudited) ($ in millions) SG&A - Reported Adjustments Stock appreciation rights expense (benefit) Redeemable noncontrolling interests Equity-based compensation Severance a
Slide 18: www.gms.com
www.gms.com Unsaved Document / 2/6/2014 / 22:45
Slide 19: www.gms.com