Atkore Inc. · NYSE:ATKR
Atkore — Investor Presentation (February 2021)
24 slides from Atkore's investor presentation, Feb 17, 2021
Slide 1: Investor Presentation & Company Overview February 2021
© Atkore Inc. Investor Presentation & Company Overview February 2021
Slide 2: Cautionary Statements
2© Atkore Inc. Cautionary Statements This presentation contains forward-looking statements that are subject to known and unknown risks and uncertainties, many of which are beyond our control. All statements other than statements of historical fact included in this presentation are forward-looking st
Slide 3: Atkore: a Compelling Investment
3© Atkore Inc. Disciplined Operational Focus Values-based organization driven by the Atkore Business System Track Record of Success Strong track record of earnings growth, increasing free cash flow and excellent return on capital Market Leadership Leading market share in key product categories with
Slide 4: Our Foundation is the Atkore Business System
4© Atkore Inc. Our Foundation is the Atkore Business System
Slide 5: Atkore at a Glance
5© Atkore Inc. Atkore at a Glance 1. See non-GAAP reconciliation in appendix 2. As of September 30, 2020. A leading manufacturer of electrical, mechanical, and safety infrastructure solutions 1959 Founded 2016 IPO (NYSE: ATKR) Harvey, IL Headquarters ~3,700 Employees2 FY 2020 Financial Highlights $
Slide 6: Record Quarterly Earnings in Q1 2021
6© Atkore Inc. Record Quarterly Earnings in Q1 2021 1. See non-GAAP reconciliation in appendix. Q1 Review • Outstanding results in Q1 supported by leading position in PVC electrical conduit and strength of key end-markets such as residential • Achieved 26.8% adjusted EBITDA margins on a consolidated
Slide 7: Our Products Are All Around You Everyday
7© Atkore Inc. PVC Electrical Conduit & Fittings Wire Basket Cable Tray & Fittings PVC Trunking Cable Tray, Ladder & Fittings Metal Electrical Conduit Conduit & Cable Fittings Specialty Electrical Conduit: Stainless Steel, PVC-Coated & Aluminum Electrical Prefabrication Flexible Electrical Conduit &
Slide 8: Outstanding Track Record of Growth
8© Atkore Inc. Outstanding Track Record of Growth 1. See non-GAAP reconciliation in appendix Adjusted EBITDA1, $M Return on Capital1 (ROC), % 164 235 228 272 324 327 FY2016FY2015 FY2017 FY2018 FY2019 FY2020 +15% CAGR 114 140 97 107 175 215 FY2016FY2015 FY2017 FY2019FY2018 FY2020 +13% CAGR 2.7 10.7 1
Slide 9: Electrical Segment Quick Facts
9© Atkore Inc. Quick Facts: Key Brands: Electrical Segment: Manufacture high quality products used in the construction of electrical power systems across various end-use applications Atkore products are a staple for electrical distributors, and our focus on service has helped us establish strong rel
Slide 10: Safety & Infrastructure Segment Quick Facts
10© Atkore Inc. Quick Facts: Key Brands: Safety & Infrastructure Segment: Design and manufacture solutions for the protection and reliability of critical infrastructure; solutions marketed to contractors, OEMs and end-users Global distribution capabilities for our security focused products and metal
Slide 11: Organic Growth Drivers
11© Atkore Inc. Organic Growth New Product Innovation Focused Product Categories Global Category Expansion Digital Capabilities & Resources Improving Customer Experience Levers to Drive Organic Growth Recent Example & Highlights Broad range of innovative and new products introduced in the past few y
Slide 12: M&A Strategy Focused on Profitable Growth
12© Atkore Inc. Quick Facts: Spent over $290 million of cash on acquisitions since FY2017 Added over $400 million in profitable revenue through M&A activities since 2012 Exited over $400 million in breakeven proforma revenue since 2012 M&A Strategy Focused on Profitable Growth Successful Track Recor
Slide 13: Strong Financial Profile Ready for the Future
13© Atkore Inc. Debt Structure, $M As of 12/25/20 Cash and Cash Equivalents $280.4 Senior Secured 1st Term Loan Matures 2023 $764.4 Total Debt $764.4 Total Net Debt $484.0 2.9x 2.8x 2.6x 2.2x 2.1x 2.1x 1.9x 1.6x 1.3x Q4 2020 Q1 2019 Q2 2020 Q2 2019 Q3 2019 Q4 2019 Q1 2020 Q3 2020 Q1 2021 Manage Leve
Slide 14: Focused on Environment, Social & Governance
14© Atkore Inc. Focused on Environment, Social & Governance We seek to utilize sustainable business principles and processes that achieve a balance between profitability and protection of all stakeholders, while reducing our impact on the environment and climate. Our Focus People and Community: We s
Slide 15: Atkore: a Compelling Investment
15© Atkore Inc. Disciplined Operational Focus Values-based organization driven by the Atkore Business System Track Record of Success Strong track record of earnings growth, increasing free cash flow and excellent return on capital Market Leadership Leading market share in key product categories with
Slide 16: Appendix
16© Atkore Inc. APPENDIX
Slide 17: Segment Information
17© Atkore Inc. Segment Information Three months ended December 25, 2020 December 27, 2019 (in thousands) Net sales Adjusted EBITDA Adjusted EBITDA Margin Net sales Adjusted EBITDA Adjusted EBITDA Margin Electrical $ 387,145 $ 133,273 34.4 % $ 324,547 $ 68,119 21.0 % Safety & Infrastructure 124,765
Slide 18: Adjusted Earnings Per Share Reconciliation
18© Atkore Inc. Adjusted Earnings Per Share Reconciliation Consolidated Atkore International Group Inc. Three months ended Fiscal Year Ended (in thousands, except per share data) December 25, 2020 December 27, 2019 September 30, 2020 September 30, 2019 Net income $ 85,066 $ 34,790 $ 152,302 $ 139,05
Slide 19: Net Income to Adjusted EBITDA Reconciliation
19© Atkore Inc. Net Income to Adjusted EBITDA Reconciliation Consolidated Atkore International Group Inc. Three months ended Fiscal Year Ended (in thousands) December 25, 2020 December 27, 2019 September 30, 2020 September 30, 2019 Net income $ 85,066 $ 34,790 $ 152,302 $ 139,051 Income tax expense
Slide 20: Trailing Twelve Month Adjusted EBITDA
20© Atkore Inc. Trailing Twelve Month Adjusted EBITDA Consolidated Atkore International Group Inc. TTM Three months ended (in thousands) December 25, 2020 December 25, 2020 September 30, 2020 June 26, 2020 March 27, 2020 Net income $ 202,578 $ 85,066 $ 54,241 $ 24,078 $ 39,193 Interest expense, net
Slide 21: Net Debt to Total Debt and Leverage Ratio
21© Atkore Inc. Net Debt to Total Debt and Leverage Ratio Consolidated Atkore International Group Inc. Leverage ratio and TTM Adjusted EBITDA reconciliations for all periods above can be found either in the appendix, or in Exhibit 99.1 to form 8-K filed on February 2, 2021, November 19, 2020, August
Slide 22: Free Cash Flow Reconciliation
22© Atkore Inc. Free Cash Flow Reconciliation Consolidated Atkore International Group Inc. Fiscal Year Ended (in thousands) September 30, 2020 September 30, 2019 September 30, 2018 September 30, 2017 September 30, 2016 September 30, 2015 Net cash provided by operating activities $ 248,762 $ 209,694
Slide 23: Return on Capital Calculation
23© Atkore Inc. Return on Capital Calculation Consolidated Atkore International Group Inc. Fiscal Year Ended (in thousands) September 30, 2020 September 30, 2019 September 30, 2018 September 30, 2017 September 30, 2016 September 30, 2015 Income (Loss) Before Taxes $ 201,998 $ 184,669 $ 166,352 $ 126
Slide 24: Thank You!
24© Atkore Inc. 16100 South Lathrop Avenue, Harvey, IL 60426 atkore.com Thank You!