Slide 1: World Fuel Services Corporation 2016 Second Quarter Earnings Call
World Fuel Services Corporation 2016 Second Quarter Earnings Call July 27, 2016 Copyright © 2016 World Fuel Services Corporation. Proprietary & Confidential. All Rights Reserved.
Slide 2: Safe Harbor Statement
Safe Harbor Statement Caution Concerning Forward Looking Statements Certain statements made today, including comments about World Fuel's expectations regarding future plans, performance and acquisitions are forward- looking statements that are subject to a range of uncertainties and risks that could
Slide 3: Business Overview
Business Overview Michael Kasbar Chairman and Chief Executive Officer Copyright © 2016 World Fuel Services Corporation. Proprietary & Confidential. All Rights Reserved.
Slide 4: Second Quarter Overview
Second Quarter Overview • Second quarter adjusted diluted earnings per share of $0.50 • We continued to expand our market share and grew our full services energy management platform to a 21 billion gallon runrate • Aviation achieved a 7 billion gallon runrate by outpacing market growth and leveragin
Slide 5: Financial Overview
Financial Overview Ira Birns Executive Vice President and Chief Financial Officer Copyright © 2016 World Fuel Services Corporation. Proprietary & Confidential. All Rights Reserved.
Slide 6: Volume by Segment
Volume by Segment Aviation Marine Land (Gallons in millions) (Metric tons in millions) (Gallons in millions) Copyright © 2016 World Fuel Services Corporation. Proprietary & Confidential. All Rights Reserved.
Slide 7: Consolidated Gross Profit
Consolidated Gross Profit ($ in millions) Copyright © 2016 World Fuel Services Corporation. Proprietary & Confidential. All Rights Reserved.
Slide 8: Gross Profit by Segment
Gross Profit by Segment ($ in millions) Aviation Marine Land Copyright © 2016 World Fuel Services Corporation. Proprietary & Confidential. All Rights Reserved.
Slide 9: Consolidated Operating Expenses (excluding bad debt provision)
Consolidated Operating Expenses (excluding bad debt provision) ($ in millions) Q3’16E: $175 – $179 Copyright © 2016 World Fuel Services Corporation. Proprietary & Confidential. All Rights Reserved.
Slide 10: Reconciliation of Non-Recurring Items
Reconciliation of Non-Recurring Items ($ in millions) Unallocated corporate expense $ 2.9 Aviation segment $ 2.2 Land segment $ 0.6 Marine segment $ 0.2 Total non-recurring items $ 5.9 Copyright © 2016 World Fuel Services Corporation. Proprietary & Confidential. All Rights Reserved.
Slide 11: Consolidated Income From Operations
Consolidated Income From Operations ($ in millions) Copyright © 2016 World Fuel Services Corporation. Proprietary & Confidential. All Rights Reserved.
Slide 12: Non-Operating Expense
Non-Operating Expense ($ in millions) Q3’16E: $9 – $11 Copyright © 2016 World Fuel Services Corporation. Proprietary & Confidential. All Rights Reserved.
Slide 13: Effective Tax Rate
Effective Tax Rate Copyright © 2016 World Fuel Services Corporation. Proprietary & Confidential. All Rights Reserved.
Slide 14: Net Income
Net Income ($ in millions) Adjusted Net Income Non-GAAP Net Income Copyright © 2016 World Fuel Services Corporation. Proprietary & Confidential. All Rights Reserved.
Slide 15: Diluted Earnings Per Share
Diluted Earnings Per Share Adjusted EPS Non-GAAP EPS Copyright © 2016 World Fuel Services Corporation. Proprietary & Confidential. All Rights Reserved.
Slide 16: Balance Sheet Management
Balance Sheet Management • Total accounts receivable was $2 billion at quarter end o Down more than $350 million year-over-year • Net working capital was $880 million o Net working capital declined $30 million year-over-year • Generated $63 million of operating cash flow during quarter o Positive op
Slide 17: In Closing
In Closing • Our balance sheet remains strong and liquid benefitting from consistent cash flow generation • We continue to identify further organic growth initiatives and additional strategic investment opportunities • The ExxonMobil transaction is expected to be completed over the next several mont
Slide 18: Questions & Answers
Questions & Answers Copyright © 2016 World Fuel Services Corporation. Proprietary & Confidential. All Rights Reserved.
Slide 19: Earnings Reconciliation ($ in millions, except per share data)
Earnings Reconciliation ($ in millions, except per share data) Q2 2015 Q2 2016 Revenue, as reported $ 8,496.4 $ 6,633.0 Gross profit, as reported $ 190.4 $ 218.5 Operating expenses, as reported $ 148.8 $ 173.0 Expenses related to the acquisitions and other non-recurring charges - (5.9) Operating exp