Carparts.com, Inc. · NASDAQ:PRTS
Carparts.com — U.S. Auto Parts Network — Investor Presentation (March 2015)
19 slides from Carparts.com's investor presentation, Mar 10, 2015
Slide 1: Investor Presentation
Investor Presentation Exhibit 99.1
Slide 2: Safe Harbor
This presentation may contain certain forward-looking statements and management may make additional forward-looking statements in response to your questions. These statements do not guarantee future performance and speak only as of the date hereof, and qualify for the safe harbor provided by Section
Slide 3: Case for Investment
Large and Growing Online Market Significant Customer Reach Significant Private Label Offering Experienced Leadership Team Case for Investment
Slide 4: Highlights from FY-14
Total revenue $283.4M Sales up 11% for the year Adjusted EBITDA was $8.1M Adjusted EBITDA up 35% from $6.0M in FY-13 Highlights from FY-14 Earnings Call * Revenue includes $3.6M in sales and $0.1M in EBITDA for additional week
Slide 5: Do It Yourself (DIY) Market Size
At 9.7% online market penetration, auto parts still lags industry average in the teens. US Auto Parts is the largest pure-play online retailer of auto parts Company 2013 Est. Rev ² % of total Marketplaces (in million) Wholesale Online Pure Play Brick & Mortar Retailers Total 4,620 100.0% Total DIY M
Slide 6: Online Market is Vibrant and Growing
Booz & Co. estimates by 2018 that Online DIY could reach 17% of the total DIY market The average age of a light vehicle on the road continues to increase each year since 1997 Online Market is Vibrant and Growing Aftermarket e-Commerce Overview DIY Online Penetration Mean Light Vehicle age Source: R.
Slide 7: Do It Yourself (DIY) Projections
Offline $42.6 $43.5 $44.2 $44.8 $45.3 $45.5 Online 4.6 5.5 6.6 8.0 9.5 11.5 Total $47.2 $49.0 $50.9 $52.8 $54.8 $56.9 % Online 9.8% 11.3% 13.0% 15.1% 17.4% 20.1% Do It Yourself (DIY) Projections¹ Projections obtained from AAIA 2014 Digital Automotive Aftermarket Fact Book and March 2014 AASA Digital
Slide 8: Customer Reach is a Competitive Moat
(some overlap of monthly visitors across websites) Competitive sites’ traffic based on Compete December 2014 reports US Auto Parts Dominant Reach- Largest Pure Play Internet Retailer Over 500 man years of hand written unique content Long domain history to help indexing in search Multiple website man
Slide 9: Broad Auto Parts Product Offering
Broad Auto Parts Product Offering US Auto Parts has one of the largest product offerings with over 1.6 million products across body parts, engine parts, and performance & accessories Body Parts Engine Parts Performance & Accessories *Represents USAP online mix 30% 50% 20% Revenue* Broad Auto Parts P
Slide 10: USAP's Supply Chain Creates Pricing Advantage
In-Stock Private Label (Asia Sourced) Branded (U.S. Sourced) Drop Shipped Current Mix Current Mix The breadth of our Private Label products provides a significant competitive moat – Currently over 40,000 Private Label Products. – Adding 6,000 – 7,000 Private Label SKUs this year – The Company source
Slide 11: Growth and Profitability
11% - 14% Revenue 100% Gross Margins 26% - 29% Variable OPEX Costs 15% Fixed Cost 0% Incremental Flow Incremental Flow Thru Growth and Profitability
Slide 12: Slide 12
Slide 13: AutoMD – Repair Lead Generation Site
AutoMD – Repair Lead Generation Site Overview • Repair lead generation site addresses the DIFM market Recent Strategic Investment • $12.5M pre-money valuation • Raised $7.0M in capital • Fed Mogul: $3.0M • Cox Automotive: $2.0M • Insiders: $2.0M • Post-funding valuation of $19.5M • USAP in control w
Slide 14: Case for Investment
Large and Growing Online Market Significant Customer Reach Significant Private Label Offering Experienced Leadership Team Case for Investment
Slide 15: Management team
Shane Evangelist - Chief Executive Officer Chief Executive Officer since October with over years of leading internet businesses Senior Vice President and General Manager of Blockbuster Online Vice President of Strategic Planning for Blockbuster Inc. B.A. degree in Business Administration from the Un
Slide 16: Over $19M of costs have been reduced over a two year period
Over $19M of costs have been reduced over a two year period Adjusted EBITDA (Non-GAAP Financial Measure – in thousands) Fourteen Weeks Ended Fiscal Year Ended January 3 December 28 January 3 December 28 Net loss (2,613) $ (1,325) $ (7,086) $ (15,634) $ Interest expense, net 1,101 Income tax provisio
Slide 17: Consolidated Statements of Comprehensive Operations
Consolidated Statements of Comprehensive Operations (Unaudited, in Thousands, Except Per Share Data) (1) Excludes depreciation and amortization expense which is included in marketing, general and administrative and fulfillment expense. Fourteen Weeks Ended Fiscal Year Ended January 3 December 28 Jan
Slide 18: Consolidated Balance Sheet
Consolidated Balance Sheet (Unaudited, in Thousands, Except Par and Per Share Liquidation value) January 3 December 28 ASSETS Current assets: Cash and cash equivalents 7,653 $ $ Short-term investments Accounts receivable, net of allowances of $41 and $213 at January 3, 2015 and December 28, 2013, re
Slide 19: Sales & Adjusted EBITDA
Consolidated Sales ² ($ In Millions) Consolidated Adjusted EBITDA ³ ($ In Millions) Sales & Adjusted EBITDA 1. Excludes AMD starting in Q4-14 which is funded through capital raised 2. JC Whitney was acquired in Aug adding revenue of $39.1M in and $83.4M in 2011. Amounts not separately disclosed afte
U.S. Auto Parts Network — Investor Presentation (March 2015) on 6ix