Trimble Inc. · NASDAQ:TRMB
Trimble — Investor Day (May 2018)
44 slides from Trimble's investor day presentation, May 30, 2018
Slide 1: 2018 Investor Day: Geospatial Reporting Segment
2018 Investor Day Geospatial Reporting Segment Ron Bisio 1
Slide 2: Trimble differentiation in Geospatial
Trimble differentiation in Geospatial • Transforms the full lifecycle • Creating the digital model of the physical earth • Software enables an ecosystem that creates customer value and builds competitive moats • Built around end-users • Diverse end market exposure • Driving replacement cycle of surv
Slide 3: Geospatial reporting segment overview
Geospatial reporting segment overview Market size Revenue mix (2017) Business mix Geography • Total addressable market: $5 billion • Global penetration <50% OEM Rest of World Autonomy Asia- North Pacific America Segment financials (2017) Surveying Europe • Revenue: $659 million • Revenue growth rate
Slide 4: Geospatial context is transforming industries
Geospatial context is transforming industries Industry challenges Physical to digital • Market leading, highly accurate solutions for the • Increasing demand for decision making with a measurement and digitization of our 3D world by geospatial context focusing on an ecosystem tailored to the needs o
Slide 5: Trimble integrates physical to digital workflows
Trimble integrates physical to digital workflows Terrestrial Aerial Mobile mapping 5
Slide 6: Growth through focus on end market needs
Growth through focus on end market needs Driving innovation across the Geospatial Ecosystem • Technology extension PRODUCTS / TECHNOLOGIES New • Humility and caution • Leverage domain, channel, brand Expanding into under penetrated emerging markets • Emerging businesses Existing • Penetration/share
Slide 7: Innovating to drive technology replacement cycle
Innovating to drive technology replacement cycle Integrated surveying • Enabling surveyors to diversify by offering scanning and image collection services to their customers • Driving innovation increases the replacement cycle and the addressable market • Integrated surveying and scanning solutions
Slide 8: Geospatial field & office software ecosystem builds competitive moats
Geospatial field & office software ecosystem builds competitive moats Growing software revenue and evolving to the cloud • Customers benefit from integrated field and office software, positioning services and industry-leading GNSS • Domain-rich software, positioning services and a global distributio
Slide 9: Innovation in autonomy: opportunity spans road corridor capture to enabling technologies
Innovation in autonomy: opportunity spans from capture of road corridor infrastructure to critical enabling technologies Trimble solution range maps to Autonomy opportunity commercialization stage of autonomy efforts • Mobile mapping solutions to precisely capture road infrastructure • Inertial, OEM
Slide 10: Growth example: emerging markets provide significant potential
Growth example: emerging markets provide significant potential Emerging markets • Higher addressable market growth rates as new technology is adopted • Pursuing opportunities with fit- for-market solutions, pricing and distribution network • Leveraging dual brand strategy as a gateway to the Trimble
Slide 11: Case study: large surveying & engineering company leveraging Trimble cloud solutions
Case study: one of North America’s largest surveying & engineering companies is leveraging Trimble cloud solutions to optimize surveying operations Customer requirements Trimble value delivery • Drive consistency across • Cloud-based transfer of data hundreds of field crews across between field and
Slide 12: The addressable market opportunity in Geospatial is compelling
The addressable market opportunity in Geospatial is compelling Large and global addressable markets… Surveying & mapping + Autonomy + OEM = Geospatial $4B <$1B $1B $5B • Technology penetration • Account management …with attractive set • Geographic expansion • Recurring/subscription SW model expansio
Slide 13: Significant penetration opportunity in Geospatial
Significant penetration opportunity in Geospatial Network effect Surveying Autonomy OEM opportunities Low New product categories Optical, Inertial Embedded technology (e.g., SX10) GNSS Receivers, GIS technologies technologies penetration <25% <75% <33% <50% <50% + New product categories • Software:h
Slide 14: Market reach: unmatched scale and scope
Market reach: unmatched scale and scope Joint ventures & ~200 dealer partnerships Distribution partners Direct sales & e-commerce Interoperability 14
Slide 15: Trimble differentiation in Geospatial
Trimble differentiation in Geospatial • Transforms the full lifecycle • Creating the digital model of the physical earth • Software enables an ecosystem that creates customer value and builds competitive moats • Built around end-users • Diverse end market exposure • Driving replacement cycle of surv
Slide 16: 2018 Investor Day: Buildings & Infrastructure
2018 Investor Day Buildings & Infrastructure Roz Buick, Ph.D. 16
Slide 17: Trimble differentiation in Buildings and Infrastructure
Trimble differentiation in Buildings and Infrastructure • Transforms the full lifecycle • Plan design engineer estimate construct operate • Uniquely connecting digital and physical worlds • Impacting hundreds of billions in capital projects and millions of users • Built around end-users •
Slide 18: Buildings and Infrastructure reporting segment overview
Buildings and Infrastructure reporting segment overview Market size Revenue mix (2017) Business mix Geography • Total addressable market: $17 billion • Global penetration <33% Rest of World Asia- Civil Pacific Building North Engineering & Construction America Segment financials (2017) Construction E
Slide 19: The construction industry is transforming
The construction industry is transforming Large, siloed and inefficient Skilled labor shortages Poor communication, planning Increasing technology, and collaboration acceptance and ubiquity 19
Slide 20: Connected construction integrates workflow and stakeholders
Connected construction integrates workflow and stakeholders Mixed fleet & Customer ROI interoperability • Machines & vehicles CONNECTED • Task productivity • Tools • System productivity • Labor • Quality • Interoperable models CONSTRUCTION • Safety • Visibility • Sustainability 20
Slide 21: To connect construction we serve the entire lifecycle
To connect construction we serve the entire lifecycle Plan & feasibility analysis Own, operate & maintain Design & engineering Fabricate & Estimate, bid & construct award Procure & deliver Schedule & project manage 21
Slide 22: Trimble constructible models transform workflow
Trimble constructible models transform workflow 22
Slide 23: Field workflows — do the work & capture progress
Field workflows — do the work & capture progress Machine control Labor, equipment and materials management Accurate layout Production tracking Inspection Quality assurance 23
Slide 24: Project management and controls for owners & contractors
Project management and controls for owners & contractors Owner solutions Construction management systems “Serial Owners” and enterprise General Contractors One-Stop-Shop for General Contractors, Civil demanding dedicated project management software and Sub-Contractors Office PM CFO Planning Sub. Ope
Slide 25: Trimble connected construction delivers system productivity
Trimble connected construction delivers system productivity by optimizing project delivery Between stakeholders In the office In the field Owner ⇔ architect-engineer ⇔ Business ⇔ project/team ⇔ field Scope ⇔ actual ⇔ handover General contractors ⇔ sub-contractors Between departments Labor ⇔ equipmen
Slide 26: Trimble Connect streamlines coordination
Trimble connect streamlines coordination Transforms task / system productivity while enabling a project performance ecosystem > 1 million users > 60 integrations Trimble Connect Detailed Structural AE model model Mechanical Electrical model model Conceptual plan Design & engineering Estimate & procu
Slide 27: Our value is transformative to the client's business
Our value is transformative to the client’s business Improving productivity “The system worked great from the first day. It is amazing for what it “With this system, you can do all around.” don’t have to slow down [to hit grade]. It will make our operators Rock Structures Utility & Excavating at lea
Slide 28: Our value is transformative to the client's business
Our value is transformative to the client’s business Improving productivity ”There is a real need for ”Partnering with intelligent, fabrication- Trimble is instrumental ready models that have the in helping us achieve actual system components our efficiency goals.” Over 90% fabricated offside includ
Slide 29: Our value is transformative to the client's business
Our value is transformative to the client’s business Efficiency through integrated workflows “e-Builder has made it much ”Trimble software has easier to coordinate schedule enabled us to reduce and manage the program. In concrete waste short, everything is handled by 33%.” through e-Builder on this
Slide 30: The addressable market opportunity in Buildings & Infrastructure is compelling
The addressable market opportunity in Buildings & Infrastructure is compelling Building Civil Program / Project Large and global addressable markets… Construction + Construction + Management = Construction $8B $4B $5B $17B • Technology penetration • Account management …with attractive set • Geograph
Slide 31: Low penetration in Buildings and Infrastructure provides upside
Low penetration in Buildings and Infrastructure provides upside Building Civil construction / Building and civil Network effect construction machine control construction opportunities Low Dozers / Program / project • Software:hardware technology Constructible model Excavator graders management • Con
Slide 32: Technology innovation in Buildings & Infrastructure
Technology innovation in Buildings & Infrastructure 32
Slide 33: Market reach: unmatched scale and scope
Market reach: unmatched scale and scope Direct sales & ~500 ~50% e-commerce Direct sales personnel Revenues by e-commerce B2B +B2C Joint ventures & dealer partnerships ~120 Dealer partnerships OEM relationships for mixed fleet Interoperability 33
Slide 34: Connected construction network effect opportunity: unmatched ecosystem coverage
Connected construction network effect opportunity : unmatched ecosystem coverage Trimble can connect: • Physical & digital worlds • Construction supply chain from owner to general contractor to specialty contractor $300 billion and 250,000 capital • Automate payments & progress measurement from owne
Slide 35: Trimble differentiation in Buildings and Infrastructure
Trimble differentiation in Buildings and Infrastructure • Transforms the full lifecycle • Plan design engineer estimate construct operate • Uniquely connecting digital and physical worlds • Impacting hundreds of billions in capital projects and millions of users • Built around end-users •
Slide 36: 2018 Investor Day: e-Builder Overview
2018 Investor Day e-Builder Overview Ron Antevy 36
Slide 37: e-Builder company overview
e-Builder company overview Capital program management improves project outcomes through better visibility and process control Common business challenges Business results Optimized productivity & Cost & schedule overruns efficiency Process inconsistency Enhanced collaboration & communication Uninform
Slide 38: e-Builder company history & business profile
e-Builder company history & business profile $2.2M $53M Early yrs. (‘95–‘05) FY 2005A Growth (‘06–’17) FY 2017A 2017 Business profile (Pre-Trimble) Revenue Revenue ~$53M >25% 2017 5 Yr. revenue Revenue CAGR >25% 105% 2017: North 2017 Net 2002: Focus shifts to owners America leading EBITDA retention
Slide 39: Compelling growth opportunities
Compelling growth opportunities • International markets, large general contractors, State Departments of Extend customer reach Transportation with Trimble • Owner influence on contractor technology selection • Accelerate payments and reduce change order risk Richer value proposition with Trimble con
Slide 40: Viewpoint Overview
ae pays, 2016 La Ss VIEWPOINT siBe; - OVERVIEW a ci Rly ii < ~ MANOLIS. eee = CEO amt eA VW | VIEWPOINT
Slide 41: Construction productivity through office, team and field integration
Construction productivity through office, team and field Integration Emails PM to request Key issues PM update for Sub Super Sub. × Distributed & complex workflows create inefficiencies, Calls subcontractor on resulting in project delays BEFORE Sends change order via email to owner change order requ
Slide 42: Viewpoint at a glance
Viewpoint at a glance Company overview Key business highlights ▪ 40+ year history exclusively focused on construction software ≈$200M >$50M ▪ Provides the industry's only construction management 2019P non-GAAP revenue1 2019P Operating cash flow solution for multiple verticals that links pre-construc
Slide 43: Compelling growth opportunities
Compelling growth opportunities International expansion Extend customer reach Share of wallet from integrated solutions that connect Trimble field activities to financial tracking of with Trimble contracts, resources and costs in Viewpoint Interoperability: Trimble estimating and content-enabl
Slide 44: Why Trimble?
Why Trimble? accelerates vision ideal cultural fit 44