AMETEK, Inc. · NYSE:AME
AMETEK — Investor Presentation (February 2018)
22 slides from AMETEK's investor presentation, February 2018
Slide 1: Investor Presentation
Investor Presentation February 2018
Slide 2: Cautionary Statements
Cautionary Statements Statements in this presentation that are not historical in nature are considered “forward-looking statements” and are subject to change based on various risk factors and uncertainties that may cause actual results to differ significantly from expectations. Those factors are con
Slide 3: AMETEK Overview
AMETEK Overview Global manufacturer of high-technology products Serve a diverse set of niche markets and applications Annualized sales of more than $4.5 billion, with over 50% of sales outside U.S. Component of S&P 500 Index; listed on NYSE (symbol: AME) Long track record of creating significant val
Slide 4: AMETEK Mission Statement
AMETEK Mission Statement Solving our customers’ most complex challenges with differentiated technology solutions 4
Slide 5: Highly Successful Growth Strategy
Highly Successful Growth Strategy AMETEK’s growth strategy has allowed the company to… Transition into higher quality businesses and markets Drive strong and consistent sales and earnings growth Generate cash flow to accelerate growth through niche, differentiated acquisitions Position AMETEK as a p
Slide 6: Proven and Scalable Growth Strategy
Proven and Scalable Growth Strategy Operational Excellence Organic Growth Strategic New Products Acquisitions Global & AMETEK Market Business Expansion System Disciplined Strong Cash Capital Generation Deployment 6
Slide 7: Niche and Diverse Market Focus
Niche and Diverse Market Focus Broad end-market exposure reduces dependence on any single market, technology or customer Target niche markets and applications where we can provide differentiation through our technology Target leadership position within each niche Niche focus provides solid Market Se
Slide 8: Business Segments
Business Segments Electronic Instruments Group Electromechanical Group 8
Slide 9: Electronic Instruments Group
Electronic Instruments Group Worldwide leader in the design and manufacture of advanced monitoring, testing, and measurement instrumentation Markets served include: - Energy, Aerospace & Defense, Power, Research, Medical, and Industrial ~$2.8 billion in annualized sales ~25% operating margin 9
Slide 10: Electromechanical Group
Electromechanical Group A differentiated supplier of automation and precision motion control solutions, electrical interconnects, specialty metals, thermal management systems and electric motors for specialty applications Markets served include: - Aerospace & Defense, Medical, Industrial, Energy, Se
Slide 11: Diverse and Attractive Markets
Diverse and Attractive Markets Process Power & Industrial Aerospace Automation & Engineered Solutions Approximately $2.0 B in sales Approximately $600 M in sales Approximately $600 M in sales Approximately $1.3 B in sales Global leader in process, Leader in power quality monitoring Supplies the aero
Slide 12: Four Growth Strategies
Four Growth Strategies OPERATIONAL EXCELLENCE GLOBAL & MARKET EXPANSION STRATEGIC ACQUISITIONS AMETEK’ 12
Slide 13: Operational Excellence
Operational Excellence Our cornerstone strategy, engrained in our culture Focus on operational efficiency, cost and asset management Utilize traditional tools including LEAN, Six Sigma, Global Sourcing Introduction of Value Analysis/Value Engineering process has created a new stream of cost savings
Slide 14: Global and Market Expansion
Global and Market Expansion More than 50% of AMETEK sales come from outside the U.S. Continued sales and service investment in key growth regions AMETEK Europe and Asia teams facilitate international sales growth Focus on expanding into niche, adjacent market segments Growth Kaizen process driving a
Slide 15: New Product Development
New Product Development Success in our niche markets depend on innovative, differentiated new products which sustains our competitive technology advantage Supports expansion into new, adjacent markets and applications 24% of sales derived from products released in the past 3 years R&D investment is
Slide 16: Strategic Acquisitions
Strategic Acquisitions Disciplined process flawlessly executed over many years Process includes deal sourcing, modeling, diligence, and integration Talent developed over many years of working together Development of attractive growth platforms through acquisition strategy Excellent returns for a hig
Slide 17: Our Adjacency Process Grows the Core
Our Adjacency Process Grows the Core… And Identifies New Acquisition Opportunities New Channels CORE Core New Business 17
Slide 18: Building a Platform: Ultra Precision Technologies
Building a Platform: Ultra Precision Technologies Strategic expansion of Taylor Hobson business around core “Precision Dimensional Technologies” market has created an excellent growth platform Machine tools which manufacture Contact dimensional metrology ultra precise ophthalmic products (>1 Micron)
Slide 19: Strategic Acquisitions
Strategic Acquisitions 25 acquisitions since 2012 $3.3 billion in capital deployed 2012 2014 2016 2018 2013 2015 2017 19
Slide 20: FMH Aerospace Acquisition
FMH Aerospace Acquisition Leading provider of highly-engineered and differentiated components for use in aerospace, defense and space markets FMH products are used to facilitate the transfer of fluids and gases at extreme temperatures and pressures within highly demanding, mission-critical applicati
Slide 21: Arizona Instrument Acquisition
Arizona Instrument Acquisition Develops and manufactures precision measurement instruments for use in high- value applications. Arizona Instrument offers two product lines: - Computrac: High-quality benchtop instruments for advanced moisture analysis used to control and maintain quality in process e
Slide 22: We Are Well Positioned for Future Growth
We Are Well Positioned for Future Growth AMETEK’s foundation is solid Our culture is strong Our growth strategies are proven and scalable We have an excellent set of niche, differentiated businesses Our historical success provides the framework / blueprint for future growth We generate tremendous ca