Zebra Technologies Corporation · NASDAQ:ZBRA
Zebra Technologies — Investor Presentation (June 2014)
24 slides from Zebra Technologies's investor presentation, June 2014
Slide 1: Investor Presentation
INVESTOR PRESENTATION ZEBRA TECHNOLOGIES CORPORATION JUNE 2014
Slide 2: Forward-Looking Statement
FORWARD-LOOKING STATEMENT Statements made in this presentation which are not statements of historical fact are forward-looking statements and are subject to the safe harbor provisions created by the Private Securities Litigation Reform Act of 1995. Actual results may differ from those expressed or i
Slide 3: Zebra Positioned for Growth
ZEBRA POSITIONED FOR GROWTH • More than 40 years of technology expertise, innovation and industry leadership • Sales of $1 billion in a high-margin business • Diverse customer base, products and solutions, and geographies • Diverse, growing channels that are expanding opportunities 3 Enterprise Asse
Slide 4: Foundational Strengths
FOUNDATIONAL STRENGTHS • Leading global brand • Broadest product line • Global reach • Large, diversified customer base • Technology leadership • Business scale • Financial strength 4 Enterprise Asset Intelligence for the Connected Age
Slide 5: Solutions that give assets a digital voice
Zebra improves customer business performance through solutions that give their assets a digital voice Enable visibility into the Identify, track and manage extended supply chain. assets, transactions and people. 5 Enterprise Asset Intelligence for the Connected Age
Slide 6: Zebra Sits at the Intersection of the Physical and the Digital
ZEBRA SITS AT THE INTERSECTION OF THE PHYSICAL AND THE DIGITAL Customer Experience Patient Safety Asset Tracking 6 Enterprise Asset Intelligence for the Connected Age
Slide 7: Evolving Business Focus
EVOLVING BUSINESS FOCUS Innovator of solutions for Engineering company more powerful business focused on hardware intelligence Revenue 27-Dec-1991 to 31-Dec-2013 (Yearly) Connectivity, Software, 1,200 Device Management, Motion Management 1,000 800 Active RFID 600 Kiosk 400 High-performance MotionWor
Slide 8: Enterprise Business Acquisition
ENTERPRISE BUSINESS ACQUISITION
Slide 9: Acquisition Highlights
ACQUISITION HIGHLIGHTS • Acquisition of the Enterprise Business of Motorola Solutions • Excludes iDEN, the professional commercial radio product line • Includes ~3,700 issued and pending patents • Includes ~4,500 employees • Attractive financial proposition for shareholders 9 Enterprise Asset Intell
Slide 10: Acquisition Rationale
ACQUISITION RATIONALE • #1 in enterprise asset intelligence • High growth trends: mobility, cloud and data analytics • Leading technology and product/solution portfolio • Global provider serving key verticals and end customers • Extensive channel partners • Diversified, high margin, strong cash flow
Slide 11: Transaction Details
TRANSACTION DETAILS • All-cash transaction of • Efficient use of off-shore cash $3.45 billion • Accretive in first full year on a • Multiple of 10.9x on last 12 cash EPS basis, post closing month EBITDA; 8.3x with synergies • Deal ROIC exceeds cost of capital by year three • Fund with $3.25 billion
Slide 12: Transaction Details
TRANSACTION DETAILS • Debt to adjusted EBITDA ratio of approximately 5x at closing • Rapid debt pay-down strategy • Target: leverage of less than 3x by year three • Significant free cash flow generation • Long-term expectations – 4-5% sales growth, before sales synergies – 18-20% EBITDA margin 12 En
Slide 13: Four Segments to the Enterprise Business
FOUR SEGMENTS TO THE ENTERPRISE BUSINESS 2013 Revenues of $2.5 billion Mobile Computing Data Capture Wireless Services LAN • Industrial Mobility • RFID • Transit, Public Safety, • Support Services Metro Wi-Fi • Customer Facing • Hands free • Managed Services • Power over • Field Mobility • Handheld
Slide 14: We Are Uniting Leaders in Six Key Technologies
WE ARE UNITING LEADERS IN SIX KEY TECHNOLOGIES Mobile Barcode & Card Data Capture and Computing Printing Scanning RFID Location and Cloud-Based Device Motion Sensing Management 14 Enterprise Asset Intelligence for the Connected Age
Slide 15: Creating the Global Leader in Enterprise Asset Intelligence
CREATING THE GLOBAL LEADER IN ENTERPRISE ASSET INTELLIGENCE Motorola Solutions Enterprise Business • Established leader in • Global leader in mobile enterprise specialty printing, CIO’s first call for computing, data capture RFID and location enterprise asset and RFID & motion tracking intelligence
Slide 16: Synergies
SYNERGIES • Capture $100 million in cost synergies – Sales and marketing – Supply chain – General and administrative • Opportunities for revenue synergies – Leverage strength across targeted industries – Leverage strength with channel partners – A platform to expand services – Tighter product integr
Slide 17: Clearly Defined Roadmap to Integration
CLEARLY DEFINED ROADMAP TO INTEGRATION • Mike Terzich heading Integration Management Office – Senior leader with 25 years of industry experience • Execution plan and calendar in place to ensure Day One readiness • Complete transaction by end of 2014 • Driving to close by end of third quarter 17 Ente
Slide 18: We Make Retail Work
WE MAKE RETAIL WORK Used by retailers with over 70,000 retail stores in the US Customer Engagement Solutions Access ID Solutions RFID Tag Solutions Self Service Solutions Mobile Payment Solutions 18 Enterprise Asset Intelligence for the Connected Age
Slide 19: Modern Manufacturing and T&L Enterprises
MODERN MANUFACTURING AND T&L ENTERPRISES In facilities for all top 10 global manufacturers Over 9 billion packages delivered in 2013 Cycle Counting Put Away Solutions Solutions Picking Shipping/Receiving Solutions Solutions 19 Enterprise Asset Intelligence for the Connected Age
Slide 20: Today's Healthcare Workspace
… AS WELL AS TODAY’S HEALTHCARE WORKSPACE Providers using our devices handle over 300 million patient visits per year Bedside Medication Specimen Label Administration Solutions Solutions Positive Patient ID Solutions Personnel ID Solutions Blood Labeling Solutions 20 Enterprise Asset Intelligence fo
Slide 21: Solutions to 95% of Fortune 500 Companies
SOLUTIONS TO 95% OF FORTUNE 500 COMPANIES 21 Enterprise Asset Intelligence for the Connected Age
Slide 22: Overwhelmingly Positive Customer Response
OVERWHELMINGLY POSITIVE CUSTOMER RESPONSE “It’s the best news I’ve heard in years.” “Everyone on my team is smiling.” “This should have happened years ago.” 22 Enterprise Asset Intelligence for the Connected Age
Slide 23: A Strong, Defensible Moat
A STRONG, DEFENSIBLE MOAT • Leading global brand across all major product lines • Largest installed base • Strongest global channels • Robust product engineering • Broadest, most comprehensive line of products 23 Enterprise Asset Intelligence for the Connected Age
Slide 24: See More. Do More.
SEE MORE. DO MORE.
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