American Vanguard Corporation · NYSE:AVD
American Vanguard — Investor Presentation (September 2022)
20 slides from American Vanguard's investor presentation, September 2022
Slide 1: Investor Presentation September 2022
Investor Presentation September, 2022 1
Slide 2: Safe Harbor
Safe Harbor The Company, from time to time, may discuss forward-looking information. Except for the historical information contained in this release, all forward-looking statements are estimates by the Company’s management and are subject to various risks and uncertainties that may cause results to
Slide 3: AVD Strategic Overview
AVD Strategic Overview Strong Core Business ➢ Favorable Global Ag Sector Tailwinds ➢ New Product Innovation ➢ Expansion of Global Market Access ➢ Crop Diversification ➢ Enhanced Penetration in International Regions ➢ Comprehensive Domestic Manufacturing Capabilities Green Solutions Initiative ➢ Exis
Slide 4: Core, New Product Pipeline, Acquisitions
Core New Product Pipeline Acquisitions Revenue $M $694 100 $597 116 60 93 67 30 2026 2027 527 527 527 507 2023 2025 Projected Acquisitions New Product Pipeline through Innovation Current Portfolio 4
Slide 5: More diverse geographic footprint enabling greater market access
More diverse geographic footprint enabling greater market access American Vanguard Geographic Positioning Over Time 2012 2021 Non-U.S. 19% Non-U.S. Other 39% Other 10% 12% Latin America 9% Latin America 27% United States 61% United States 81% Net revenue: Net revenue: $366.2m $556.9m ▪ Historical AV
Slide 6: American Vanguard Crop Diversification
American Vanguard Crop Diversification (Creates Opportunities & Reduces Risks) Specialty Biologicals Sugar Crop Peanuts Sugar Crop Peanuts Specialty Corn Fruit & Vegetables Cotton Soybean Potatoes Cotton 2013 2021 Potato & Rice Fruit & Corn Vegetables 6
Slide 7: Where Solutions are Made
Where Solutions are Made A M VA C O W N E D & O P E R AT E D M A N U FA C T U R I N G FA C I L I T I E S CLACKAMUS, OR Fermentation Plant HANNIBAL, MO Manufacturers Counter and Thimet MARSING, ID Manufacturers Navigator, Oximus, Impact and AbbA Ultra AXIS, AL Manufacturers Bidrin, LOS ANGELES, CA Az
Slide 8: Green Solutions Growth Plan
Green Solutions Growth Plan 160 Revenue $M $140M Growth Opportunities 140 • R&D pipeline • Licensing & Distribution 120 • SIMPAS channel • M&A 100 • Tolling pipeline $ Millions 80 $70M Base Business 60 • Growth Rate – 20% $40M CAGR from 2023-2025 40 20 - 2020 2021 2022 2023 2024 2025 Base Business G
Slide 9: Green Solutions
Green Solutions AVD Markets 120+ Products Biofertilizers (11) Biostimulants (28) Biopesticides (32) Specialty Nutrition (35) Other (14) • Microbials to enhance • Seaweed extracts • Biochemical or • Essential minerals • Solar Protection nutrient uptake • Microbials that aid in Microbial • Trace eleme
Slide 10: AMVAC Green Solutions Global Footprint
AMVAC Green Solutions Global Footprint AMVAC Headquarters AMVAC operating companies sell direct AMVAC sells through distribution Research Center Manufacturing Facility 10
Slide 11: Current and Future Market Focus
Current and Future Market Focus $30B+ Global Market Opportunity Prior Market Focus Current Market Focus Consumer Animal Health Professional Agricultural Insect Control Insect/Parasite Insect Control Insect Control Control > Household > T&O > Crop protection > Repellents > Pet health > Vector Control
Slide 12: American Vanguard
AMERICAN VANGUARD WSS 12
Slide 13: SIMPAS: US Value Capture Target (4 Crops)
SIMPAS: US Value Capture Target (4 Crops) $120.00 $113M $100.00 $80.00 $63M $ Millions $60.00 $40.00 $28M $20.00 $- 2023 2024 2025 Increase 13
Slide 14: SIMPAS 2022 New Systems in Use
SIMPAS 2022 81 New Systems in Use Target 150-200 New Systems in Operation for 2023 On Path to Achieve 2023 and 2025 Revenue Projections 14
Slide 15: Maximize Harvest Yield, Minimize Input Costs, Optimize Financial Return
Crop Protection Plant Nutrition Defenses Stimulants Soil Health Carbon Sequestration Enhancement Documentation Maximize Harvest Yield Minimize Input Costs Optimize Financial Return Benefit Environmental Objectives 15
Slide 16: Earning Carbon Credits Just Got Easier
AMERICAN VANGUARD SIMPAS fj © Trimble S207) Earning Carbon Credits Just Got Easier 16
Slide 17: American Vanguard
we AMERICAN x | VANGUARD
Slide 18: SIMPAS-applied Solutions
SIMPAS-applied Solutions Portfolio Pipeline Candidate Crop View Crop 2021 2022 2023 Aztec® HC iNvigorate® Liquid fungicide Counter® 20G Micronutrient Enhancer N-fixing microbe Force® 10G HL PGR Zinc Nematicide Seed-attacking pest insecticide Force liquid INDEX® liquid Zinc iNvigorate Liquid fungicid
Slide 19: Strategic Growth Targets
Strategic Growth Targets $947 Revenue $M $113 $805 $140 $695 $28 $70 $694 $ Millions $597 2023 2024 2025 Core Business Green Initiatives SIMPAS Performance EBITDA Target 2025 $155 Million 19
Slide 20: 2022 Performance Target
2022 Performance Target 1st Half Revenue Growth . . . . . . . . 8% - 11% +19% Gross Profit Margin . . . . . . 38-40% 41% Operating Expenses . . . . . . OPEX as % of Sales (31-33%) 32% Interest Expense . . . . . . . . . Similar to 2021 $1,170 vs $1,959 (Down 40%) Tax Rate . . . . . . . . . . . . . .
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