Mattr Corp · TSX:MATR
Mattr — Investor Presentation (August 2024)
22 slides from Mattr's investor presentation, August 2024
Slide 1: Mattr Investor Presentation
Mattr Investor Presentation August 2024
Slide 2: Forward Looking Information
Forward Looking Information This presentation contains forward-looking information within the Additional information on the risks and uncertainties on the meaning of applicable securities laws. Words such as "may", "will", Company’s business can be found in the Company’s current Annual "should", "an
Slide 3: Mattr in Brief
Mattr in Brief Mattr Is A Materials Technology Company Enabling Renewal & Expansion of Critical Infrastructure • Mattr is a growth-oriented, global materials technology company $0.9B Q2 2024 TTM Revenue 1,500+ Employees Worldwide • Serves critical infrastructure markets, including electrification, t
Slide 4: A Materials Technology Company Enabling Renewal & Expansion of Critical Infrastructure
A Materials Technology Company Enabling Renewal & Expansion of Critical Infrastructure Leading Player in Every Target Market Our Brands are Trusted to Deliver: BUSINESSES Extreme capability & reliability in Composite Technologies Connection Technologies Manufacturer of flexible and environmentally
Slide 5: Positioned to Benefit from Long-Cycle Macro Themes
Positioned to Benefit from Long-Cycle Macro Themes Aging Population Resource Climate Infrastructure Movement Scarcity Change Replacements needed for New infrastructure needed Infrastructure needed for High quality products needed to infrastructure at end of life to support population growth & water
Slide 6: High-Value Materials Based Technology Offerings
Expertise in extrusion High-Value Materials technology and complex manufacturing Based Technology Offerings Composite Technologies Manufacturer of flexible and composite solutions for severe environments and applications – extending lifespan and lowering risk Premium Quality Heat/Cold Shrink Premium
Slide 7: Fuel Stations are Modernizing and Expanding
Composite Technologies Fuel Stations are Modernizing and Expanding Manufacturer of flexible composite solutions for severe environments and applications – extending Liquid fueling networks continue to lifespan and lowering risk modernize and expand Roadside fuel stations shifting to larger footprint
Slide 8: Xerxes HydroChain – Enabling Long-Life Water Management Solutions
Composite Xerxes HydroChain – Enabling Long-Life Technologies Manufacturer of flexible Water Management Solutions composite solutions for severe environments and applications – extending Capture and Conveyance lifespan and lowering risk o Site-specific designs with highly engineered products that pr
Slide 9: Flexpipe Technology Advancement Dramatically Expands Addressable Market
Flexpipe Technology Advancement Dramatically Composite Technologies Expands Addressable Market EMEA Manufacturer of flexible composite solutions for severe environments and Canada applications – extending lifespan and lowering risk United States APAC o Larger diameter (up to 6”) products released si
Slide 10: Built to Operate in Extreme Environments with Uncompromising Reliability
Connection Built to Operate in Extreme Environments with Technologies Supporting global Uncompromising Reliability electrification by providing specialty wire, cable and integrated heat shrink solutions for severe environments and applications – extending lifespan and lowering risk COMMUNICATION AER
Slide 11: Shawflex US Geographic Expansion Opportunity
Connection Technologies Shawflex US Geographic Expansion Opportunity Supporting global electrification by providing specialty wire, cable and integrated heat shrink solutions for severe >70% environments and applications – extending of US Electrical Utility lifespan and lowering risk US addressable
Slide 12: DSG Growth in Industrial & Infrastructure Markets
Connection Technologies Supporting global DSG Growth in Industrial & Infrastructure Markets electrification by providing specialty wire, cable and integrated heat shrink solutions for severe Automotive 1998 2023 environments and applications – extending lifespan and lowering risk Industrial & Infras
Slide 13: Proceeds from Strategic Actions to be Deployed for Growth
Proceeds from Strategic Actions to Maintaining disciplined be Deployed for Growth capital allocation approach with “all of the above” strategy Net-debt-to adjusted EBITDA <2x Organic Investment $479M Total gross proceeds from sales* Given reduced operational volatility, expecting to generally Substa
Slide 14: Multi-Year, High-Return, Low-Risk Capital Growth Plans
Multi-Year, High-Return, Low-Risk Supporting high return organic growth opportunities with appropriate Capital Growth Plans CAPEX and working capital 120 o Annual maintenance CAPEX need is $10-15M $90-100 100 $90 o Remaining spend is growth CAPEX o Hurdle Rate IRR > 20% after tax 80 o Investments in
Slide 15: Investing Organically in Capacity and Efficiency While Optimizing Footprint
Investing Organically in Capacity and Efficiency While Optimizing Footprint $83M of capex deployed in 2023 with $80- Anaheim, CA, USA Fuel Tanks Manufacturing 90M additional deployment anticipated in Production stopped, full exit by Vaughan, ON, Canada 2024 Wire & Cable Manufacturing end 2024 Expect
Slide 16: Debt Journey
Debt Journey Total Net Debt1 Net Debt/Adj. EBITDA $1,000 3.2x $900 Leases Other Net Debt $800 2019 0.2x $700 $600 2024 YTD $500 437 421 410 $400 348 291 331 327 307 281 $300 266 246 222 $200 219 239 219 207 193 207 163 119 152 79 Mattr targets Net-debt-to- 168 163 87 $100 89 90 83 72 68 62 59 105 8
Slide 17: Returning Capital to Shareholders
Returning Capital to Shareholders o On June 26, 2024, the Company announced that the TSX had approved the Company’s notice of intention to renew Normal Course Issuer Bid (NCIB) its NCIB for common shares of the Company. The company exhausted the o The NCIB commenced on June 28, 2024 and will capacit
Slide 18: Contemplating Strategic M&A
Contemplating Strategic M&A Potential Criteria: Expand reach into US market, particularly where “Buy America” precludes participation today Potential for tuck-in or larger deals Ideal target would provide Meaningful US footprint and established customer base Access to new markets, certific
Slide 19: Mattr – Levering Materials Technology to Grow Profit Faster than Revenue
Mattr – Levering Materials Technology to Grow Profit Faster than Revenue Adjusted EBITDA REVENUE Adjusted EBITDA Margin 94 17.9% 339 COMPOSITE 375 524 40% 54 74% 14.5% bps TECHNOLOGIES 2021 2024 Q2 TTM 2021 2024 Q2 TTM 2021 2024 Q2 TTM 340 63 18.7% 145 263 29% 41% CONNECTION 45 bps 17.2% TECHNOLOGIE
Slide 20: Strong Growth Momentum & Powerful Balance Sheet, Trading Below Peer Group Average
Strong Growth Momentum & Powerful Balance Sheet, Trading Significantly Below Peer Group Average Our Peers are Premium Industrial Net Debt/Adj. EBITDA Product Manufacturers 2021 - Q2 24 TTM Adj EBITDA CAGR Ticker Company EV/EBITDA 33% 2019 3.2x Multiple* Q2 2024 0.2x TTM AIN-USQ Albany International
Slide 21: Organically Doubling Revenue by 2030
Organically Doubling Revenue by 2030… >10% growth Revenue 2030 Organic Ambitions 20%+ Adjusted EBITDA Margin 70%+ Free Cash Flow Conversion 2023 $925M 17.8 % 2019 … with clear opportunity to $626M 15.8 % accelerate ambition achievement through targeted M&A August 2024 Investor Presentation 21
Slide 22: Thank you.
O Thank you. Infrastructure Technologies