Mccoy Global Inc. · TSX:MCB
Mccoy Global — Investor Presentation (October 2010)
24 slides from Mccoy Global's investor presentation, October 2010
Slide 1: McCoy Investor Presentation October 2010
McCoy Investor Presentation October 2010 1
Slide 2: Forward-Looking Information
Forward-Looking Information This presentation contains forward-looking statements and forward-looking information within the meaning of applicable securities laws. The use of any of the words "expect“, "anticipate", "continue", "estimate", "objective", "ongoing", "may", "will", "project", "should",
Slide 3: One Brand, Clear Structure
One Brand, Clear Structure MCCOY MOVING GLOBAL ENERGY FORWARD NCCOY | 8S scuices | NACEOY | 8835 NACCOY | iweletions NCCEOY >| reatiers MOVING GLOBAL ENERGY FORWARD MOVING GLOBAL ENERGY FORWARD FARR PEERLESS PRECISION DIE TECHNOLOGIES SUPERIOR MANUFACTURING & HYDRAULICS MCCOY | Ae MCCOY | siivice HY
Slide 4: Understanding McCoy
Understanding McCoy / Trusted provider of innovative energy products and services globally / Operations based in Western Canadian Sedimentary Basin (WCSB) and US Gulf Coast / International revenue generation through direct sales and distributors / Biggest clients are service companies, drilling comp
Slide 5: Recent News
Recent News / Ron Roling appointed as Vice President, Sales and Marketing for Drilling & Completions division / McCoy sales office opening in Houston, TX / Strong second quarter results with similar results anticipated for the third quarter 5
Slide 6: McCoy's Key Investment Attributes
McCoy’s Key Investment Attributes Financial Global Focused Strength Reach Growth 6
Slide 7: Financial Strength
FINANCIAL STRENGTH 7
Slide 8: Shareholder Breakdown
Shareholder TSX: MCB Breakdown As at October 4, 2010 unless noted Share price $2.60 Shares outstanding ~26.5 million Options ~1.3 million Public Float Foundation Equity Corp. 41% Market capitalization ~$69 million 43% Net debt ~$1.1 million (as at June 30, 2010) Northern Plains Enterprise value Capi
Slide 9: Quarterly Financial Trends
Quarterly Financial Trends 4 40 EBITDAS & Op Earnings 3 30 Revenue ($million) 2 20 ($million) 1 10 0 0 -1 -10 -2 -20 Q1 Q2 Q3 Q4 Q1 Q2 2009 2009 2009 2009 2010 2010 EBITDAS Operating Earnings Revenue EBITDAS, a non-GAAP measurement, is defined by the Corporation as “Earnings before interest, taxes,
Slide 10: Adding to our Financial Strength
Adding to our Financial Strength Increased Reduced market activity cost structure • Rebuilding the backlog • Benefiting from and increased quoting headcount reductions, • Providing more cost controls and specialized solutions consolidations for multi-stage frac jobs 10
Slide 11: Global Reach
GLOBAL REACH 11
Slide 12: Why 'Global' Matters
Why ‘Global’ Matters 2,000 Rig Counts (Daily Average) 1,500 Global Rig Counts Canada 1,000 US International 500 0 2002 2003 2004 2005 2006 2007 2008 2009 2010 TO DATE Source: Baker Hughes 12
Slide 13: Growing Global Reach
Growing Global Reach Global Reach 2006 2009 2014 Sales Sales Goal 10% US 5% 20% 28% Other 39% US Canada International Canada 35% US 84% 45% Canada 33% Other Other International International 13
Slide 14: McCoy's Growing Global Reach
McCoy’s Growing Global Reach McCoy sales footprint to-date 14
Slide 15: McCoy's Global Clients
/ McCoy’s Global Clients By «a, = BJ Services Company wv Weatherford Syncrude ‘TIONAL OILWELL DIAMOND wanco mn ODFJELL WELL SERVICES mmrCAL RACE ce i X—————— an SE NERFLOW INDUSTRIES INC. Y cov MOVING GLOBAL ENERGY FORWARD
Slide 16: Focused Growth
FOCUSED GROWTH 16
Slide 17: Mobile Solutions Growth
Mobile Solutions Growth / Longer horizontal wells and more multi-stage frac jobs means greater horsepower required / A 50,000 horsepower increase in fracturing capacity typically results in an order for 25 custom chassis / McCoy’s current run rate is two chassis / day 17
Slide 18: Energy Products & Services Growth
Energy Products & Services Growth McCoy has made it a priority to develop or acquire a full drilling and completions equipment line. Slim Tong Verteco Handling Tool Clincher RP Make-Break Unit 18
Slide 19: Drilling and Completions Tools and Equipment
Drilling and Completions Tools and Equipment 19
Slide 20: Drilling/Workover Equipment
Drilling/Workover Equipment Market: $3-6 billion annually Tubular Drilling Top Handling Pipe Power Running Equipment Drives Tools Handling Systems Equipment Parts • Hydraulic • 150 ton • Offshore Elevators • Pick-up/Lay- • Hydraulic • Spare Parts Tongs Hydraulic (Verteco) down Equip. Power • Dies •
Slide 21: Financial Strength, Global Reach, Focused Growth
Financial Global Focused Strength Reach Growth Jim Rakievich, President & Chief Executive Officer Milica Stolic, Chief Financial Officer & Corporate Secretary Edmonton, Alberta, Canada (780) 453-8451 info@mccoyglobal.com www.mccoyglobal.com 21
Slide 22: Appendix – Management Team
Appendix – Management Team Jim Rakievich President and Chief Executive Officer Milica Stolic, CMA Chief Financial Officer and Corporate Secretary Andy McEachern, P. Eng Vice President, Trailers Shawn Johns Vice President, Parts and Service Tom Watts Vice President, Human Resources 22
Slide 23: Appendix – Board of Directors
Appendix – Board of Directors Chairperson, Kerry Brown, CA President and CEO of CMW Management Inc. Frank Burdzy President and CEO of Champion Petfoods Terry Chalupa President and CEO of Abalone Construction Terry Freeman, CA Managing Director of Northern Plains Capital Ltd. John Howard, CA Managing
Slide 24: Appendix – Analyst Coverage
Appendix – Analyst Coverage Paradigm Capital John Bereznicki, CFA Calgary, Alberta Raymond James Ben Cherniavsky Vancouver, British Columbia 24