Gibraltar Industries, Inc. · NASDAQ:ROCK
Gibraltar Industries — Q1 2011 Earnings Presentation
13 slides from Gibraltar Industries's earnings presentation, May 5, 2011
Slide 1: First Quarter 2011 Investor Review
First Quarter 2011 Investor Review May 5, 2011
Slide 2: Forward Looking Statements
2 FORWARD LOOKING STATEMENTS Certain information set forth in this presentation, other than historical statements, contains “forward-looking statements” within the meaning of the Private Securities Litigation Reform Act of 1995 that are based, in whole or in part, on current expectations, estimates,
Slide 3: Q1 Overview
Q1 Overview 3 • Net sales up 12% • Continued improvements in operating efficiency • Lower days of net working capital • Divested USP on March 10 • Cash position up $44 million • Acquired D.S. Brown Company in early Q2
Slide 4: End Market Update
End Market Update 4 • Nonresidential – growth fueled by industrial construction • Residential repair & remodeling – growth expected in 1H 2011 • Single family housing starts – forecast 650,000 in 2011 vs. 590,000 in 2010 • Multifamily housing starts – Q4 rebound expected to continue into 2011 • Cont
Slide 5: Operations Update
Operations Update 5 • Establishing Gibraltar as low-cost supplier • Inventory down to 58 days of sales • Effectively managing raw material costs • Focused on outstanding customer service and competitive pricing • Well-leveraged to continue sales growth in 2011
Slide 6: Q1 Highlights
Q1 Highlights 6 Revenue up 12%… pricing and volume Profitability up… operating margin before special charges rises 430 bps on sales leverage and lower SG&A expense Stronger net working capital… down to 56 days Net debt reduction continued… 18% net debt-to-cap; no draws on revolver Increased and ampl
Slide 7: Q1 Sequential Improvement
Q1 Sequential Improvement 7 Q1 „11 Q4 „10 * $163.6 Revenues Revenues $144.1 • Increase primarily from non-residential markets 14% • Volume and price improvements Operating Operating Income Income $9.4 • Gross profit rose $10M; and gross margin up 400 (Loss)** bps to 19% on volume & net improveme
Slide 8: YOY Profit Improvement
YOY Profit Improvement 8 Q1 „11 Q1 „10 * Revenues Revenues $163.6 $146.7 • Rise primarily from non-residential markets 12% • Volume and price improvements Operating Income Operating $9.4 • Volume & price increases offset the higher raw Income** $2.1 material costs 348% • SG&A decreased due to $2
Slide 9: Net Income / EPS
Net Income / EPS 9 Q1 '11 Q1 '10 * Var Operating income ** $ 9.4 $ 2.1 $ 7.3 Net interest expense (4.5) (5.1) 0.6 Other (expense) income - - - Income tax (expense) benefit ** (1.7) 1.4 (3.1) Net (loss) - continuing ops ** $ 3.2 $ (1.6) $ 4.8 EPS - continuing ops ** $ 0.11 $ (0.05) $ 0.16 * 2010 cont
Slide 10: Cash Flow
Cash Flow 10 Q1 '11 Q1 '10 Net income (loss) from continuing operations $ 1.4 $ (2.4) Depreciation and amortization 5.9 6.1 Compensation expense of stock-based plans 2.3 1.7 Non-cash charges to interest expense 0.6 2.4 Working capital & other balance sheet accounts (19.9) (4.0) Other 0.5 (0.4) Disco
Slide 11: Net Debt Reduction Continued
Net Debt Reduction Continued 11 Mar'11 Dec '10 Dec '09 Short-Term Debt $ 0.4 $ 0.4 $ 0.4 Long-Term Debt 206.9 206.8 256.9 Total Debt 207.3 207.2 257.3 Cash & Cash Equivalents 104.5 60.9 23.6 Net Debt $ 102.8 $ 146.3 $ 233.7 Total Debt / Capitalization 31% 32% 33% Net Debt / Net Capitalization 18% 25
Slide 12: Summary
Summary 12 • Ample liquidity to support organic and acquisition-driven growth • Recoveries in nonresidential markets; residential repair and remodeling • Efficient operational footprint • Strong customer service capabilities • Positioned for improved profitability
Slide 13: Q&A Session
Q&A Session First Quarter Earnings INDUSTRIES