Dycom Industries, Inc. · NYSE:DY
Dycom Industries — Investor Presentation (December 2009)
26 slides from Dycom Industries's investor presentation, Dec 1, 2009
Slide 1: Investor Conference December 2009
Investor Conference December 2009
Slide 2: Forward-Looking Statements and Non-GAAP Information
Forward-Looking Statements and Non-GAAP Information This presentation contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The words "believe," "expect," "anticipate," "estimate," "intend," "forecast," "may," "should", "could", "project," "o
Slide 3: Dycom Industries Introduction
Dycom Industries Introduction Leading provider of specialty contracting services principally to telephone and cable companies Telecommunications industry dynamics driving growth potential Major participant in a large, but fragmented industry, which offers acquisition opportunities Significant portio
Slide 4: Revenue Mix Quarter Ended October 24, 2009
Revenue Mix Quarter Ended October 24, 2009 - $259.1 million Telecommunications Underground Facility Locating Electric Utilities and Other Construction and Maintenance
Slide 5: Providing End-To-End Services
Providing End-To-End Services Engineering Underground Facility Locating Outside Plant & Equipment Installation Premise Equipment Installation
Slide 6: Dycom Industries At a Glance
Headquartered in Palm Beach Gardens, Florida First quarter fiscal 2010 revenues of $259.1 million Strong financial profile Cash and equivalents $120.5 million at October 24, 2009 Shareholders' equity $395.0 million at October 24, 2009 Operating cash flow of $126.6 million for fiscal year 2009 Commit
Slide 7: Dycom Operating Overview
Strong subsidiaries, broad national footprint Subsidiaries Cable Connectors UtiliQuest Dycom's Nationwide Presence LAMBERTS Dycom Operating Overview
Slide 8: Industry Developments...
Industry Developments... Telephone/cable industry convergence - a reality Competition for customers drives growth Network bandwidth expansion - an imperative Telephone companies expanding network capacity Cable responding to match capabilities and facilitate new products such as VOIP, HDTV, and wide
Slide 9: ....And Opportunities
....And Opportunities Increased capital spending Telephone company deployments of Fiber (FTTx) Cable company bandwidth expansion Customer premise equipment deployments Fiber to the cell site Renewed focus on network reliability and availability as subscribers demand better service levels Continued o
Slide 10: Telecom Capital Spending
Telecom Capital Spending Capex Commentary Continued capital spending in wireline reflects burgeoning demand for voice, data and video transmission RBOCs will continue to constitute the vast majority of U.S. fixed line investment Significant portion of RBOCs' capital budgets are expected to be from f
Slide 11: Cable Capital Spending
Cable Capital Spending Capex Commentary Continued capital expenditures on bandwidth reclamation, VOIP and HDTV product offerings, and cellular backhaul Ongoing plant and network enhancements are critical as cable operators continue to offer services that require greater reliability Network capacity
Slide 12: Underground Facility Locating Services
"Dig Safe" laws in all 50 states require owners of underground utilities to identify and mark their facilities prior to excavation Regulate telephone, cable, power, gas, water & sewer utilities Seek to minimize network outages, protect job-site workers, and safeguard the general public Locates often
Slide 13: Dycom's Competitive Advantages
Dycom's Competitive Advantages Established customer relationships and reputation Broad geographic coverage Scale to satisfy customer time and service requirements Responsive, local decentralized business units Access to capital Senior management operating expertise
Slide 14: Growth Strategy
Dycom employs a deliberate and methodical growth strategy Growth Strategy As Opportunities Expand Build and maintain long-term customer relationships at the local level Position business to capture both recurring maintenance and new capital spending Empower subsidiary management Build relationships
Slide 15: Well Established Customers
Blue-chip, predominantly investment grade clients comprise the vast majority of revenue Other Comcast Charter Cablevision Windstream AT&T CenturyLink Well Established Customers Fiscal Quarter Ended October 24, 2009 Customer Revenue Breakdown Qwest Verizon Time Warner Cable West CarolinaTel
Slide 16: Customer Rotation
Customer Rotation Key long-term relationships help Dycom manage the cyclical nature of telecom and cable capex spending Revenue ($ in millions) $958 $842 $588 $579 $784 $760 Top 5 Customers Other 65% 35% 62% 38% 63% 68% 32% 68% 32% 64% 36% $995 37% 63% $1,138 33% 67% For comparison purposes, when cu
Slide 17: Revenue - Q1 Fiscal 2010
Revenue - Q1 Fiscal 2010 Dycom's revenue stream is primarily generated by long-term contractual agreements Master Service Agreements (MSA's) Multi-year, multi-million dollar arrangements covering thousands of individual work orders Generally exclusive requirement contracts Long-term contracts relate
Slide 18: Senior Management Operating Overview
Senior Management Operating Overview Seasoned management team with several decades of combined industry experience
Slide 19: Financial Update
Financial Update ew Jucont Industries, Inc.
Slide 20: Financial Overview
Centralize activities which yield synergistic benefits Treasury Tax Risk management Capital asset procurement Information technology resources Decentralize financial operations to provide solid support and flexibility at operating unit level Maintain financial resources to support internal growth an
Slide 21: Fiscal Year Results - Revenue and Earnings
Fiscal Year Results - Revenue and Earnings (1) The amounts for EBITDA - Adjusted and Income from continuing operations -Non-GAAP are Non-GAAP financial measures adjusted to exclude certain items. See "Regulation G Disclosure" slide for a reconciliation of Non-GAAP financial measures to GAAP financia
Slide 22: Quarterly Results - Revenue and Earnings
Quarterly Results - Revenue and Earnings Seasonal revenue pattern driven by weather and available work days. Q1-10 year over year revenue decline of 22.4% reflects customer reductions in capital spending. Revenue in Q1-09 included $15.0 million of services for storm work compared to none in Q1-10. E
Slide 23: Fiscal Year Results - Cash Flow and Liquidity
Fiscal Year Results - Cash Flow and Liquidity (1) Capital expenditures net of proceeds from the sale of assets (2) The amounts for EBITDA - Adjusted and Net Debt used in the calculations herein are Non-GAAP financial measures adjusted to exclude certain items. See "Regulation G Disclosure" slide for
Slide 24: Quarterly Results - Cash Flow and Liquidity
Quarterly Results - Cash Flow and Liquidity (1) Capital expenditures net of proceeds from the sale of assets (2) The amounts for EBITDA - Adjusted and Net Debt used in the calculations herein are Non-GAAP financial measures adjusted to exclude certain items. See "Regulation G Disclosure" slide for a
Slide 25: Regulation G Disclosure
Regulation G Disclosure ead Reconctaton of GAAP to Non-GAAP measures a Peace tera te $ BOE MES QDs - $ ref aos 25 ues ces ars aos - sm 5 26) races aagte bBiE Mas ASS De aE aks ES wes che mad aoe oof mo fa) Sea nT SSS oe Sa 8 ESO TES em Fas] [se canto nest petay i) gn en Bi on’ ca an iit is nae penta
Slide 26: Investor Conference December 2009
Investor Conference December 2009
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