Allegion Plc · NYSE:ALLE
Allegion — 2014 Imperial Capital Security Investor Conference
14 slides from Allegion's conference presentation, Dec 11, 2014
Slide 1: Allegion: Pioneering safety around the world
2014 Imperial Capital Security Investor Conference Allegion: Pioneering safety around the world David D. Petratis, Chairman, President and CEO December 11, 2014
Slide 2: Safe Harbor
Safe Harbor This material contains "forward-looking statements" within the meaning of the Private Securities Litigation Reform Act of 1995, including statements that relate to the mix of our products, the Company's growth strategy, the Company’s tax rate strategies and the Company’s capital allocati
Slide 3: Our vision and purpose
Our vision is to make the world safer as a company of experts, securing the places where people thrive Our purpose is to create peace of mind by pioneering safety and security 3
Slide 4: Who We Are
Who We Are Our Scope Our Team Global provider of security products & Over 8,000 total employees solutions Approximately 700 sales people $2 billion in annual revenue, $410 million in adjusted EBITDA Including 170+ specification writers Sales in more than120 countries 19 production faci
Slide 5: Our Brands
Our Brands ALLEGION awry? m= VONDUPRIN. P LCN. = @cISA = 4 interflex aptiQ. m Becom System @j @@DerICARD sm Briton =m = =6COVELS" oye = OSG 6 FALCON = <FSHS® oo A» locking.com. FUSION HARDWARE GROUP GLYNNJOHNSON. mi [\/SaiS2) : <> rT IVES. 8s KRYPTONITE fecce) = NORMBAU m= [ESetred om STeELCRAFT mm
Slide 6: What We Sell
What We Sell Products Systems1 Secure the Door Control the Door Protect the Door Project Management Exit devices Door closers Kick plates Mechanical locks Automatic Door pulls Installation Key systems operators Edge guards System Design Electronic locks Coordinators Access cont
Slide 7: Key Strategies
Key Strategies Innovation in Existing & New Expand in Core Markets Growth in Emerging Markets Product Categories Operational Excellence Opportunistic Acquisitions 7
Slide 8: Engage Platform
Engage Platform This quarter we introduced ENGAGE™ technology to the market: This technology streamlines the transition from mechanical keys to electronic credentials Easy to install, manage and use Easily accommodates future expansion and reconfiguration. Provides the opportunity for a glob
Slide 9: Capital Allocation Strategy
Capital Allocation Strategy Leverage Leverage Management Management Target 2.75-3.25x of gross debt/EBITDA Amendment of existing credit facility in October; lowers cost of capital, continues to provide liquidity and flexibility to grow business Organic Growth Shareholder M&A Investment Distribut
Slide 10: Allegion Revenue Snapshot
Allegion Revenue Snapshot Revenue Mix - Geography Revenue Mix - Product Category Revenue Mix - Sales Type Revenue Mix - End-use Application 10 Note: This information excludes the impact of the Q3 UK Door divestment and restatement to discontinued operations
Slide 11: Historical Adjusted EBITDA Margins
Historical Adjusted EBITDA Margins 30.0% $500 $480 $484 $443 $431 $425 $421 $405 $410 $400 $375 25.0% $340 $327 $307 $298 $300 21.7% $260 21.8% 21.2% 21.3% 20.0% 20.3% 20.3% 20.6% 20.7% 19.8% 20.1% 18.9% 19.4% 19.1% $200 18.4% 15.0% $100 $0 10.0% 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 201
Slide 12: Wrap Up
Wrap Up • In 2014, we were unlocking our potential as a new stand alone company. • Our focus in 2015, will be redefining security by: Convergence of mechanical and electronic products Profitable growth Strengthening our channels Balanced and flexible capital allocation 12
Slide 13: Appendix
ALLEGION’ PIONEERING SAFETY™
Slide 14: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation ($mm) Adjusted EBITDA Reconciliation ($mm) 2008 2009 2010 2011 2012 2013 Revenue $ 2,413.9 $ 2,038.8 $ 1,967.7 $ 2,021.2 $ 2,046.6 $ 2,093.5 Asia Joint Venture Revenue $ (65.3) $ (64.5) $ (68.9) $ (58.6) $ (78.0) $ (52.0) Adjusted Revenue $ 2,348.6 $ 1,974.3 $ 1,898.8
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