Slide 1: Delivering Advanced Solutions for a More Connected, Sustainable World
Delivering Advanced Solutions for a More Connected, Sustainable World Investor Presentation – Water Solutions Webcast September 2018 www.jacobs.com | worldwide
Slide 2: Forward-Looking Statement Disclaimer
Forward-Looking Statement Disclaimer Certain statements contained in this presentation constitute forward-looking statements as such term is defined in Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended, and such statements are i
Slide 3: Introductions
INTRODUCTIONS BOB PRAGADA President, Buildings, Infrastructure and Advanced Facilities GREG MCINTYRE EVP and General Manager, Buildings and Infrastructure Americas (former CH2M Water Business Group President and Board Member) PETER NICOL SVP and Global Water Market Leader (former CH2M Director of Te
Slide 4: Jacobs (JEC): A Global Professional Services Leader
JACOBS (JEC) | A GLOBAL PROFESSIONAL SERVICES LEADER FY18E Revenue >$15B Net Debt $1.5B $8.9 Q3 BACKLOG $7.0 Q3 Gross Margin 18.7% Quarterly Dividend $0.15 FY19E Adj. EPS Outlook $5.00 to $5.402 Q3 U.S./Int’l Mix ~60/40 $27.2B Q3 Share Count 143M Talent Force ~78,000 $11.3 29% 30% Q3 REVENUE LINES O
Slide 5: Buildings, Infrastructure and Advanced Facilities (BIAF)
BUILDINGS, INFRASTRUCTURE AND ADVANCED FACILITIES (BIAF) Q3 BIAF Snapshot Q3 Revenue by End Market Strong Global Infrastructure Demand Population, aging infrastructure & urbanization driving growth U.S./International 58% / 42% U.S., Middle East and Asia showing strong demand Despite U.K. uncer
Slide 6: Agenda
AGENDA Frame the Water Market Market Drivers Jacobs’ Competitive Position Jacobs’ Business Profile Jacobs’ Global Leadership - Technology and Delivery Summary Questions and Answers 6
Slide 7: Frame the Water Market – Users and Utility Spend
FRAME THE WATER MARKET – USERS AND UTILITY SPEND World Developed Countries Utility Spend Water Consumption by Use Water Consumption by Use 3% 11% 15% 16% 37% 19% 41% 44% 70% 44% Agriculture Agriculture Utility CAPEX Industrial Industrial Utility OPEX Municipal Municipal Equipment Chemical Source: FA
Slide 8: Frame the Water Market – Addressable Market
FRAME THE WATER MARKET – ADDRESSABLE MARKET Global Market Jacobs Addressable Addressable Target Country Target Service Market Revenue $600-700B/year Market Share ($, B) (%) Capital: $250-300B/year Consulting/Design 8 8.2 Design/Build 5 4.8 O&M: $350-400B/year U.S. Operations 2 13.0 (non regulated) T
Slide 9: Market Drivers
MARKET DRIVERS Traditional Drivers Accelerator Water scarcity Population growth Urbanization Climate change- Aging infrastructure induced extreme Aging workforce weather events Recent and emerging regulations Water/energy/food nexus 9
Slide 10: Jacobs' Unique Competitive Position
JACOBS’ UNIQUE COMPETITIVE POSITION All water users Services across the entire water cycle Full-service delivery platform INDUSTRY AGRICULTURE POWER ENERGY ECOSYSTEMS URBAN 10
Slide 11: Jacobs' Leadership Position
JACOBS’ LEADERSHIP POSITION Engineering News Record (ENR) Top 500 Design Firms 2018 #1 in Wastewater Treatment #1 in Sanitary and Storm Sewers #2 in Water Treatment, Desal Plants #2 in Water Supply Water Company of the Year 11
Slide 12: Jacobs' Water Business Profile
JACOBS’ WATER BUSINESS PROFILE Client Type Geography Delivery Platform 3% 1% 2% 4% 2% 2% 1% 18% 9% 17% 94% 82% 65% US Federal US Consulting Municipal Europe Design-Build Industrial Canada Operations & Maintenance Agriculture Asia Pacific Middle East Latin America 12
Slide 13: Jacobs' Global Leadership - Technology
JACOBS’ GLOBAL LEADERSHIP - TECHNOLOGY • Long-term investment in technology • Portfolio of technology ‘firsts’ organization • Investment in proprietary processes • Senior technology subject matter and modeling tools experts and icons • Technology career path Thought Leadership Recognition Competit
Slide 14: Jacobs' Benchmark Technology Organization
JACOBS’ BENCHMARK TECHNOLOGY ORGANIZATION Market/Bundle Water Solutions Drinking Water and Wastewater Water Resources Conveyance and Storage Reuse Groundwater Odor Control and Air Ecosystem Restoration Condition Assessment Treatment Quality Engineering and Rehabilitation Desalination Wastewater Trea
Slide 15: Jacobs' Global Leadership - Innovation
Lakeview, Ontario, Canada JACOBS’ GLOBAL LEADERSHIP - INNOVATION Market/Bundle Water Central Pasco County, Florida Solutions Drinking Water and Wastewater Water Resources Conveyance and Storage Reuse Groundwater Odor Control and Air Ecosystem Restoration Condition Assessment Treatment Quality Engine
Slide 16: Jacobs' Global Leadership - Delivery
JACOBS’ GLOBAL LEADERSHIP - DELIVERY Client Project End market Delivery platform segment Thames Water/ Bazalgette Thames Tideway Conveyance Program Management LTD., London, UK Tunnel Singapore PUB Tuas Water Wastewater/Reuse Design/Construction Reclamation Plant Management City of Houston, TX Northe
Slide 17: Thames Tideway Tunnel $7.54B
Total Capital Cost Thames Tideway Tunnel Thames Water/Bazalgette Ltd, $7.54B London, UK Program management of the design and construction ‾ Two 24-foot diameter tunnels totaling approximately 20 miles in length ‾ 11 connection tunnels ‾ 350-feet deep, 413 mgd pump station to store and transfer sto
Slide 18: Tuas Water Reclamation Plant $4.7B
Tuas Water Reclamation Plant Total Capital Cost Tuas Nexus Singapore PUB $4.7B Largest MBR facility in the world - total average treatment capacity of 800,000 m3/d and a footprint 30% smaller than conventional plants Separate industrial and domestic used water streams arrive and are lifted 300 f
Slide 19: Northeast Water Purification Plant $1.4B
Northeast Water Total Capital Cost Purification Plant $1.4B City of Houston, Texas Largest progressive design-build of its kind in North America – 320 mgd Treatment challenges include variable raw water quality and a small facility footprint to minimize cost and construction time Procurement a
Slide 20: Agua Nueva Water Reclamation Facility $172M
Agua Nueva Water Total Capital Cost Reclamation Facility $172M Pima County Regional Wastewater Reclamation Department, Arizona Design, build and operate a nutrient removal facility to meet Arizona Class A+ reclaimed water standards and the surface discharge requirements for discharge to the Santa
Slide 21: Non-Revenue Water Pilot Program Gwinnett County, GA
Non-Revenue Water Pilot Program Gwinnett County, GA (with funding from AT&T, Qualcomm, U.S. EPA) Water for which the utility receives no revenue (leaks, inaccurate meters, theft) Worldwide utilities lose $14B In US utilities lose $8.76B ‾ $1.6M/yr for small utility ‾ $62M/yr for large utility
Slide 22: Summary
SUMMARY Large, global and fragmented market No one has dominant market share Market drivers lead to continued and sustained growth Opportunities to grow • Leverage Jacobs’ industrial client relations • Leverage Jacobs’ global footprint • Diversify delivery platforms outside U.S. • Room for m
Slide 23: Questions and Answers
Questions and Answers © Copyright Jacobs September 15, 2018 www.jacobs.com | worldwide
Slide 24: Thank you!
Thank you! © Copyright Jacobs September 15, 2018 www.jacobs.com | worldwide
Slide 25: Non-US GAAP Financial Measures
Non-US GAAP Financial Measures The following tables reconcile the U.S. GAAP values of net earnings, EPS, operating profit and operating profit margin to the corresponding "adjusted" amounts. For the comparable periods presented below, such adjustments consist of amounts incurred in connection with t
Slide 26: Non-GAAP Financial Measures (cont'd)
Non-GAAP Financial Measures (cont’d) Adjusted net earnings and adjusted EPS are non-GAAP financial measures that are calculated by excluding (i) the after-tax costs related to the 2015 restructuring activities, which included involuntary terminations, the abandonment of certain leased offices, combi
Slide 27: Disclaimer
Disclaimer Important The material in this presentation has been prepared by Jacobs®. Copyright and other intellectual property rights in this presentation vest exclusively with Jacobs. Apart from any use permitted under applicable copyright legislation, no part of this work may in any form or by any