Franklin Electric Co., Inc. · NASDAQ:FELE
Franklin Electric — Baird Investor Conference 2019
17 slides from Franklin Electric's conference presentation, Nov 4, 2019
Slide 1: Baird Investor Conference
Baird Investor Conference Gregg Sengstack, Chairman and CEO John J. Haines, VP — Chief Financial Officer (is Franklin Electric November 2019
Slide 2: Safe Harbor Statement
—— — a « ge \ “AL se. DN aa ye I ae — @ Franklin Electric SAFE HARBOR STATEMENT: “Safe Harbor” Statement under the Private Securities Litigation Reform Act of 1995. Any forward-looking statements contained herein, including those relating to market conditions or the Company’s financial results, cost
Slide 3: First 9 Months of 2019 Results
< A } Franklin Electric 4 $1,000 $800 $600 $400 $200 $o First 9 Months of 2019 Results (Amounts in millions except share data) Sales 994.5 : $981.5 $ 50 $1.50 $1.00 $0.50 S$ YTD 2018 YTD 2019 E.P.S. (before restructuring) $100 1.74 $s " $1.64 $80 $60 $40 $20 $o YTD 2018 YTD 2019 Operating Cash Flow
Slide 4: Strategic Focus
M.tho o bhaise «6 STRATEGIC FOCUS: To grow as a global provider of water and fuel systems, through geographic expansion and product line extensions, leveraging our global platform and competency in system design. ® Franklin Electric
Slide 5: Strategic Focus
@ Franklin Electric Strategic Focus Residential, Agricultural, Commercial Water Systems a en » Strong Brand Franchise #1 or #2 in Addressable Markets ; ee <Growing Global Footprint Fragmented Customer Base Fragmented Supply Base () Current Franklin management estimates Complete Fueling Systems Missi
Slide 6: Franklin Electric — Revenue Sources
@ Franklin Electric Franklin Electric — Revenue Sources WATER SYSTEMS FUELING SYSTEMS DISTRIBUTION $800M (60%) $285M (20%) $270M (20%)
Slide 7: Global Footprint
——— = Obal Footprint : i @ Locations with 50+ employees Image Source: NASA’ Earth Observatory 7
Slide 8: Sales in Developing Regions
®& Franklin Electric 4 Sales in Developing Regions Constant Currency §550 x) $553 $500 $533 WI = $500 481 3420 $459 $400 $413 2 $350 2 ° $356 E $300 $335 2 $250 $286 $246 $200 $150 $100 $50 $0 2010 2011 2012 2013 2014 2015 2016 2017 2018 TTM 2019
Slide 9: Extend our position in groundwater
@ Franklin Electric Extend our position in groundwater Move closer to contractor Optimize supply chain Opportunities to move into adjacencies: * Filtration * Treatment * Irrigation * Commercial @ im ILAN SUPPLY COMPANY *Acquired in 2019
Slide 10: Product Line Extensions
@ Franklin Electric Product Line Extensions Water Systems Fueling Systems 10
Slide 11: Innovations in Water Systems
®& Franklin Electric 4 Innovations in Water Systems Inline Delta Pressure High-Efficiency Permanent —_— Variable Frequency Drives High-Efficiency Booster Magnet Motors with Bluetooth-Enabled Mobile Apps Submersible Pumps High-Rise Buildings & Light 4 & 6G inch encapsulated Residential/Commercial HVA
Slide 12: Innovations in Fueling Systems
@ Franklin Electric Innovations in Fueling Systems EVO 200/400 FFS PRO Verify Corrosion Control Fuel Management Installation Assurance In-Tank & In-Sump Highly accurate Automated Cloud service that provides Mitigates corrosion and Tank Gauges for small to remote installation quality protects sites f
Slide 13: Organic Sales Growth
@ Franklin Electric Organic Sales Growthe @Water Fueling m™ Distribution 20.0% 15.0% 15.0% 10.0% 8.2% 5.1% 5.2% 5.0% 2.1% 20% 00% = -5.0% 7.2% -10.0% 2015 2016 2017 2018 YTD 2019 (a) Distribution first measured in 2018. Excludes acquisitions for one year and impact of Foreign Currency translation. a
Slide 14: Sales & EPS
($ in millions) $1,400 $1,200 $1,000 $800 $600 $925 2015 Sales & EPS Consolidated Sales $1,298 $1,125 995 $950 $ 2016 2017 2018 YTD 2019 $2.50 $2.00 $1.50 $1.00 $0.50 EPS (before restructuring) $2.26 $1.92 $1.64 $1.64 . 2015 2016 2017* 2018 YTD 2019 *2017: EPS (Before Restructuring and the US Tax la
Slide 15: Cash Flow
(Sin millions) $120 $100 $80 $60 $40 Cash Flow $106 $107 $82 $79 78 $73 $76 $ $76 $75 | | 2015 2016 2017 2018 YTD 2019 @ Net Income @ FCF (Cash Flow from Operations less net Capital Expenditures) 15
Slide 16: Dividends
Dividends Dividends (S$ per Share) $0.60 $0.50 $0.40 $0.30 yt $0.20 Tall 1998 1994 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018 YTD 2019 16
Slide 17: Baird Investor Conference
Baird Investor Conference Gregg Sengstack, Chairman and CEO (is Franklin Electric John J. Haines, VP — Chief Financial Officer November 2019