WillScot Holdings Corporation · NASDAQ:WSC
WillScot — Q1 2018 Earnings Presentation
22 slides from WillScot's earnings presentation, 2018
Slide 1: Quarterly Investor Presentation First Quarter 2018
Quarterly Investor Presentation First Quarter 2018 1
Slide 2: Safe Harbor
Safe Harbor Forward Looking Statements This presentation contains forward-looking statements (including the earnings guidance contained herein) within the meaning of the US Private Securities Litigation Reform Act of 1995 and Section 21E of the Securities Exchange Act of 1934, as amended. The words
Slide 3: Continued Strong Execution in Q1
Continued Strong Execution in Q1 In Q1 we accelerated our organic growth through strategic acquisitions Modular Segments delivered $35.5 million of Adjusted EBITDA(1) in Q1, a 32.5% year over year increase including contributions from Acton and Tyson acquisitions Reaffirming Adjusted EBITDA(1) gui
Slide 4: Compelling Growth Platform And Leader In Modular Solutions
Compelling Growth Platform And Leader In Modular Solutions Established Brand with Strong Legacy of Innovation Key Williams Scotsman Differentiating Attributes Specialty rental services market leader providing modular space and portable storage solutions to diverse end markets across North 1 America
Slide 5: Strong Underlying Market Fundamentals
Strong Underlying Market Fundamentals Positive Demand Outlook Diversified End Market Exposure(1) ABI >50 ARA Rental Industry Dodge Nonresidential Architectural Billing index Revenue Forecast(2) Construction SqFt Start (ABI) remains above 50 Forecast(3) with highest January ABI since 2007 (US$b) (mil
Slide 6: Core Leasing Fundamentals in the US are Driving Growth
Core Leasing Fundamentals in the US are Driving Growth As Reported Modular Space Modular Space Average UOR AMR / UOR (US$) 70.8% 72.3% 71.8% ▪ Modular space average monthly rental rate increased 3.9% year over year ▪ Pro-forma(1) monthly rental rates increased 9.9% year over year ▪ Average modular s
Slide 7: 2018 Guidance Reflects Compounding Benefit of Strong Organic Growth and M&A
2018 Guidance Reflects Compounding Benefit of Strong Organic Growth and M&A $16 million Organic Adj. EBITDA Growth Plus Accretive Acquisitions Revenue (1) (US$m) Adj. EBITDA (1) (US$m) ▪ 2018 Adj. EBITDA guidance(2) of $165 – 175M represents 33-41% growth over 2017 ▪ $34M contribution in-year from M
Slide 8: Financial Review
WILLIAMS SCOTSMAN Financial Review
Slide 9: Strong Q1 Organic and Inorganic Growth in the Modular Segments
Strong Q1 Organic and Inorganic Growth in the Modular Segments Revenue (1) (US$m) Adj. EBITDA (1) (US$m) ▪ Revenue of $134.8 million is up 35.5% year over year driven by continued strong organic growth of 12% in our Modular - US Segment further accelerated by the Acton and Tyson acquisitions ▪ Q1 Ad
Slide 10: Modular - US Segment Fundamentals Are Accelerating
Modular - US Segment Fundamentals Are Accelerating As Reported Pro-Forma(2) Modular Space(1) Average Units on Rent Modular Space(1) Average Units on Rent 70.8% 72.3% 71.8% 71.5% 73.8% 72.7% 74.7% 73.1% 75.0% 68.4% 69.0% 71.8% 68.6% 70.5% 69.7% 72.1% 70.0% 72.7% % Utilization (%) % Utilization (%) Mo
Slide 11: Modular – US Segment Quarterly Performance
Modular – US Segment Quarterly Performance Revenue (1) (US$m) ▪ Modular - US segment revenue increased 39.7% to $122.1 million as compared to $87.4 million in the prior year quarter ▪ Modular space monthly rental rates increased 3.9% year over year ▪ Modular space units on rent increased 38.7% year
Slide 12: Modular – Other North America Quarterly Performance
Modular – Other North America Quarterly Performance Revenue (1) (US$m) Modular Space AMR / UOR (1) (US$) Adj. EBITDA (1) (US$m) Modular Space Average UOR 58.5% 56.9% 53.5% 50.4% 48.9% 50.0% 54.1% 55.8% 56.6% % Utilization (%) 1 2016 & 2017 converted at actual rates. Amounts exclude the Remote Accomm
Slide 13: Reconciliation of Non-GAAP Measures – Modular Segments Adjusted EBITDA
Reconciliation of Non-GAAP Measures – Modular Segments Adjusted EBITDA 1 Adjusted EBITDA is a non-GAAP measure defined as net income (loss) before income tax expense, net interest expense, depreciation and amortization adjusted for non-cash items considered non-core to business operations including
Slide 14: Market Conditions Support Reinvestment of Operating Free Cash Flow in Growth
Market Conditions Support Reinvestment of Operating Free Cash Flow in Growth Net Capital Expenditures(1) (US$m) ▪ 2018 capital investments in refurbishment of existing fleet, VAPS and new fleet to maintain and drive continued organic growth in 2018 on a larger post-acquisition fleet ▪ 2017 capital i
Slide 15: ABL Facility and Senior Secured Notes
ABL Facility and Senior Secured Notes (1) 1 Carrying value of senior secured notes and US ABL Facility are presented net of $21.7 million and $22.0 million of debt discount and issuance costs as of March 31, 2018 and December 31, 2017, respectively, that will be amortized and included as part of int
Slide 16: Compelling Specialty Rental Growth Platform
Compelling Specialty Rental Growth Platform 16
Slide 17: Appendix
WILLIAMS SCOTSMAN Appendix 17
Slide 18: Balanced and Diverse Exposure
Balanced and Diverse Exposure Specialty Rental Model With Growing Diversified End Market Exposure Contribution From VAPS 1 2 Fragmented Customer Base Revenue Largely Concentrated in the US Top 50 customers represent 17% of total revenue 1 Q1 2018 Revenue by Customer SIC Code for US and CAD only (rep
Slide 19: Summary P&L, Balance Sheet & Cash Flow Items – Modular Segments
Summary P&L, Balance Sheet & Cash Flow Items – Modular Segments 1 Adjusted EBITDA is a non-GAAP measure defined as net income (loss) before income tax expense, net interest expense, depreciation and amortization adjusted for non-cash items considered non-core to business operations including net cur
Slide 20: Reconciliation of Non-GAAP Measures – Adjusted EBITDA
Reconciliation of Non-GAAP Measures – Adjusted EBITDA 20
Slide 21: Reconciliation of Other Non-GAAP Measures for Modular Segments
Reconciliation of Other Non-GAAP Measures for Modular Segments 21
Slide 22: Shares and other Equivalents Outstanding
Shares and other Equivalents Outstanding ▪ Total Potential Outstanding Class A Shares of 127.4M assumes that 69.5M warrants are exercised at $11.50 per whole share, resulting in $400M of cash proceeds to WSC ▪ Share counts above exclude grants to directors and employees under the Company’s long-term