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| 8-K - 8-K - Manitex International, Inc. | d690212d8k.htm |
 Focused
manufacturer of engineered lifting equipment Manitex International, Inc.
Corporate Presentation
(NASDAQ: MNTX)
March 2014
Exhibit 99.1 |
 Focused
manufacturer of engineered lifting equipment 2
Forward Looking Statements & Non-GAAP Measures
Safe Harbor Statement under the U.S. Private Securities Litigation Reform Act of 1995: This
presentation contains statements that are forward-looking in nature which express
the beliefs and expectations of management including statements regarding the
Company’s expected results of operations or liquidity; statements concerning projections,
predictions, expectations, estimates or forecasts as to our business, financial and
operational results and future economic performance; and statements of
management’s goals and objectives and other similar expressions concerning matters
that are not historical facts. In some cases, you can identify forward-looking
statements by terminology such as “anticipate,”
“estimate,”
“plan,”
“project,”
“continuing,”
“ongoing,”
“expect,”
“we believe,”
“we intend,”
“may,”
“will,”
“should,”
“could,”
and similar expressions. Such statements are based on current plans, estimates and
expectations and involve a number of known and unknown risks, uncertainties and other
factors that could cause the Company's future results, performance or achievements to
differ significantly from the results, performance or achievements expressed or
implied
by
such
forward-looking
statements.
These
factors
and
additional
information
are
discussed
in
the
Company's
filings with the Securities and Exchange Commission and statements in this presentation should
be evaluated in light of these important factors. Although we believe that these
statements are based upon reasonable assumptions, we cannot guarantee future results.
Forward-looking statements speak only as of the date on which they are made, and the
Company undertakes no obligation to update publicly or revise any forward-looking
statement, whether as a result of new information, future developments or otherwise.
Non-GAAP
Measures:
Manitex
International
from
time
to
time
refers
to
various
non-GAAP
(generally
accepted
accounting
principles) financial measures in this presentation. Manitex believes that this
information is useful to understanding its operating results without the impact of
special items. See Manitex’s Q4/Full Year 2013 earnings release on the Investor
Relations section of our website www.manitexinternational.com for a description and/or
reconciliation of these measures. Nasdaq: MNTX |
 Focused
manufacturer of engineered lifting equipment Global provider of highly
specialized and custom
configured cranes
Sell materials and
container handling
equipment through
dealerships
Company Snapshot
Manitex
International, Inc.
Niches
Served
Company
Origin
Energy exploration and
field development
(includes Canadian oil
sands and recent oil and
natural gas initiatives
throughout U.S.)
Power line construction
Military
Railroads
Ports
Government/agency
Launched as a private
company in 2003
Publicly traded on
NASDAQ: MNTX
Steady organic growth
Industry consolidator:
acquired seven branded
product lines since going
public in 2006
3
Nasdaq: MNTX |
 Focused
manufacturer of engineered lifting equipment #44 on Forbes Best Small Companies List for
Two Consecutive Years: 2012 & 2013
4
According
to
Forbes,
this
list
compiles
"an
annual
ranking
of
America's
Best
Small
Companies
that
have
experienced
strong
growth
over
the
past
five
years.
The
2013
list
highlights
public
companies
with
sales
under
$1
billion,
which
are
ranked
based
on
return
on
equity,
sales
growth
and
earnings
growth
over
the
past
year
and
the
past
five
years."
Forbes
methodology
factored
in
stock
performance
versus
each
company's
peer
group
during
the
last
12
months.
Nasdaq: MNTX |
 Focused
manufacturer of engineered lifting equipment Financial Summary
$000, except %
2009
2010
2011
2012
2013
Revenues
$55,887
$95,875
$142,291
$205,249
245,072
Gross Margin (%)
20.0%
24.3%
20.6%
19.7%
19.0%
EBITDA
$1,982
$8,676
$11,120
$17,957
21,483
EBITDA Margin (%)
3.5%
9.0%
7.8%
8.7%
8.8%
Net income
$3,639
(1)
$2,109
$2,780
$8,077
$10,178
Backlog
$22,122
$39,905
$83,700
$130,352
$77,281
(1)
2009 GAAP Net Income includes gain on bargain purchase of $3,815
Key Statistics
Stock Price
(at 2/28/14)
$14.99
Market Cap (at
2/28/14) $206.9M
Total Ent. Value
(2/28/14)
$255.0M
2013 Revenue
$245.1M
2013 Net Income
$10.2M
2013 EBITDA
$21.5M
Ticker / Exchange
MNTX/NasdaqCM
Capitalization
Basic Shares O/S (at
3/5/14) 13.8M
Diluted Shares O/S
(at 11/5/13)
13.8M
Total Debt (at
12/31/13) $54.2M
5
Nasdaq: MNTX |
 Focused
manufacturer of engineered lifting equipment •
Engineered lifting equipment
•
Manitex boom trucks
•
SkyCrane aerial platforms
•
Sign cranes
•
RT forklifts
•
Special mission-oriented
vehicles
•
Carriers
•
Heavy material handling
•
Transporters & steel mill
equipment
•
Specialized earthmoving,
railroad and material
handling equipment since
1945
•
Has built ~ 10,000 units
since 1945
•
Manufacturer of container
handling equipment for the
global port & inter-modal
sectors
•
Products: reach stackers,
laden and unladen container
forklifts & straddle carriers
Product Overview
6
Nasdaq: MNTX |
 Focused
manufacturer of engineered lifting equipment New Product Overview: 70 ton Manitex
TC700 7
Nasdaq: MNTX
•
Enters the global truck crane market with competitive price point and benefits
of a commercial chassis
•
CE compliant for international markets
•
Concept developed collaboratively with customers to meet requirements
•
Orders in hand will commence shipping in second half of the year
|
 Acquisition of
Sabre Manufacturing, LLC •
Knox, Indiana-based manufacturer of specialized equipment for liquid
storage and containment solutions with a concentrated client base in the
energy sector
•
$14M consideration consists of $13M cash and $1M stock
•
TTM (3/31/13) revenues of approximately $39.1M, adjusted EBITDA of
approximately $4.5M, and earnings before tax of approximately $4.2M
8 |
 Focused
manufacturer of engineered lifting equipment Valla Acquisition 11/30/2013
•
November 30 completed acquisition of Valla SpA, a Piacenza, Italy-based
manufacturer of comprehensive line of precision pick and carry cranes with
lifting capacities from 2.5 ton to 90 ton. Complements crane offerings and
adds depth to product lines. Includes electric and diesel capabilities. Total
potential purchase consideration of $1.2m principally earn out based.
•
Valla cranes sold through specialized agents and distributors for a variety of
end markets such as petrochemical, construction, aerospace and
automotive.
•
Valla reported 2012 annual revenues of approximately $7.5M and EBITDA of
$0.7M.
20 ton electric
36 ton electric
9
th |
 Focused
manufacturer of engineered lifting equipment Competitive Positioning
10
Core Competencies
Strong brand history
Acknowledged product
development record
International dealers enable us to
follow demand
Focused on specialized equipment
and niche end-markets
Products
Niche markets
Broad end-user base
Highly customized/specialized;
will configure-to-order
Parts and service an important
part of business model
Superior ROI
Lower capital commitment for a boom truck vs.
competitors’
custom cranes of similar lifting capacity
Usually less or no special permitting vs. competitors’
custom cranes of similar lifting capacity
Nasdaq: MNTX |
 Focused
manufacturer of engineered lifting equipment Lifting Equipment Market Overview
Market Overview
Principal products: boom truck cranes that vary in height
& tonnage capacity
Smaller tonnage cranes (<30 tons) more focused on
general construction markets; larger cranes (30+ tons)
focus on power line construction and energy
Larger tonnage cranes in higher demand since economic
downturn
Boom truck cranes typically less expensive than rough
terrain and all terrain cranes
Manitex Market Position
Broader market: ~65% of cranes shipped in the smaller
tonnage range; ~75% of Manitex shipments have been in
larger tonnage
Focus on being a niche player allows specialization tailored
towards customers’
needs
Production distribution skewed toward larger tonnage
machines
First to launch 50-ton crane (May 2007)
Have developed a series of products around the demand
for larger tonnage cranes
11
Nasdaq: MNTX |
 Focused
manufacturer of engineered lifting equipment Replacement Parts & Service
Consistent Recurring Revenue
12
•
Consistent recurring revenue stream throughout the cycle
•
Spares relate to swing drives, rotating components, and booms
among others, many of which are proprietary
–
Serve additional brands
–
Service team for crane equipment
–
Automated proprietary system implemented in principal operations
Nasdaq: MNTX |
 Focused
manufacturer of engineered lifting equipment Revenue Growth Drivers
2009 –
2013
Energy business was less than 10% in 2009, estimated
~ 50% in 2013
R&D budget: up from ~ $1M to ~ $2.5M/year
Pie chart represents the difference /
reconciliation between $55.9M & $245.1M
13
Nasdaq: MNTX |
 Focused
manufacturer of engineered lifting equipment Investment Highlights
14
•
Niche markets with
solid demand
drivers for products
•
Increased
penetration in oil
and gas, power grid
and rail industries
•
Demand in end
markets –
energy,
railroad, and
utilities –
expected
to be consistently
strong
•
Customer focused
design strategy
•
Diversified product
offering
•
Quickly adaptable
to changes in
demand
•
Commitment to
innovation,
research, &
product
development
•
Expected impact
from new product
launches in 2013
•
Nine of last 12
consecutive quarters
of backlog growth
•
Compared to 2011,
2012 revenues
+44%, EBITDA +61%,
and EPS +183%
•
Balance sheet
strength positionned
for growth: Interest
coverage of 7.5
times and debt to
EBITDA ratio of 2.8
times at 6/30/2013
•
End market diversity
offsets weak
demand in segments
•
NA represents ~75%
of revenue,
mitigating concerns
of European
economic climate
•
Existing global
presence (~20K units
worldwide)
•
International dealer
network provides
footprint for on-
going international
growth
•
Seasoned senior
management:
over 70 years of
collective industry
experience
•
Successfully
integrated
multiple
acquisitions
•
Significant
management
ownership
Growth in
End Markets
Flexible
Operating
Model
Broad Industry
& Geographic
Distribution
Growth in
Key Financial
Metrics
Experienced
Management
Nasdaq: MNTX |
 Focused
manufacturer of engineered lifting equipment 15
Financial Overview
Manitex International, Inc.
March 2014
Nasdaq: MNTX |
 Focused
manufacturer of engineered lifting equipment Key Figures -
Quarterly
16
USD thousands except as noted
Q4-2013
Q4-2012
Q3-2013
Net sales
$65,431
$56,524
$57,521
Gross profit
12,779
10,322
11,201
Gross margin %
19.5%
18.3%
19.5%
Operating expenses
7,759
7,046
6,544
Net Income
2,991
2,014
2,621
EBITDA
6,225
4,102
5,624
EBITDA % of Sales
9.5%
7.3%
9.8%
Backlog ($ million)
77.3
130.4
96.7
Nasdaq: MNTX |
 Focused
manufacturer of engineered lifting equipment Summary Balance Sheet
17
$000s
31-Dec-13
31-Dec-12
31-Dec-11
31-Dec-10
31-Dec-09
Current Assets
$122,037
$104,777
$71,209
$54,703
$40,147
Fixed Assets
11,143
10,297
11,017
10,659
11,804
Other Long-Term Assets
49,550
36,430
39,365
40,155
42,734
Total Assets
$182,730
$151,504
$121,591
$105,517
$94,685
Current Liabilities
$48,016
$43,351
$30,177
$23,011
$14,569
Long-Term Liabilities
49,723
48,620
44,620
39,232
39,688
Total Liabilities
97,739
91,971
74,797
62,243
54,257
Shareholders’
Equity
84,991
59,533
46,794
43,274
40,428
Total Liabilities & Shareholders’
Equity
$182,730
$151,504
$121,591
$105,517
$94,685
Nasdaq: MNTX |
 Focused
manufacturer of engineered lifting equipment Working Capital
18
$000
Q4 2013
Q4 2012
Working Capital
$74,021
$61,426
Days Sales Outstanding (DSO)
53
58
Days Payable Outstanding (DPO)
45
51
Inventory Turns
2.9
3.0
Current Ratio
2.5
2.4
Operating Working Capital
$86,916
$74,300
Operating Working Capital % of Annualized LQS
33.2%
32.9%
Working capital increase ($12.6 million) supporting growth with key operating working
capital ratios steady
Operating working capital % of annualized LQS at 33.2%
Nasdaq: MNTX |
 Focused
manufacturer of engineered lifting equipment Debt & Liquidity
19
$000
12/31/2013
12/31/2012
Total Cash
$6,091
$1,889
Total Debt
54,231
49,138
Total Equity
84,991
59,533
Net Capitalization
133,131
106,782
Net Debt / Capitalization
36.2%
44.2%
EBITDA
21,483
17,957
EBITDA % of Sales
8.8%
8.7%
N. American revolver facilities, based on available collateral at 12/31/13 was $46 million.
N. American revolver availability at 12/31/13 of $6.0 million.
Debt / EBITDA ratio of 2.5 times and interest cover of 7.3 times.
Nasdaq: MNTX |
 Focused
manufacturer of engineered lifting equipment Experienced Management Team
20
Name & Title
Experience
David Langevin
Chairman & CEO
20+ years principally with Terex
Andrew Rooke
President & COO
20+ years principally with Rolls Royce, GKN Sinter Metals,
Off-Highway & Auto Divisions
David Gransee
CFO & Treasurer
Formerly with Arthur Andersen, 15+ years with Eon Labs
(formerly listed)
Robert Litchev
President –
Manufacturing Operations
10+ years principally with Terex
Scott Rolston
SVP Strategic Planning
13+ years principally with Manitowoc
Nasdaq: MNTX |
 Focused
manufacturer of engineered lifting equipment Company Timeline
21
Nasdaq: MNTX
July 2013: Acquires
Sabre Manufacturing LLC
December 2009: Acquires
Load King Trailers
July 2009: Acquires
Badger Equipment Co.
November 2006:
Veri-Tek
Acquires LiftKing
July 2007: VCC
acquires Noble
forklift
May 2008: Name changed to Manitex International
and listed on Nasdaq (MNTX)
October 2008:
Crane &
Machinery and
Schaeff Forklift
acquired
July 2006: Manitex
merges into Veri-Tek,
Intl. (VCC)
July 2010: CVS
Operating Agreement
2006
2007
2008
2009
2010
2011
2012
2013
July 2011: Closes
Acquisition of CVS
January
2003:
Manitowoc
divests
Manitex
March 2002:
Manitowoc
(NYSE:MTW)
acquires Grove
November 2013:
Acquires Valla SpA
of Piacenza, Italy |
 Focused
manufacturer of engineered lifting equipment Operating Companies
22
Brand
Products
End Markets
Drivers
•
Boom trucks and cranes
•
Sign cranes
•
Parts
•
Energy exploration
•
Power transmission
•
Industrial projects
•
Infrastructure development
•
Strong end market demand for specialized,
competitively differentiated products for oil, gas,
and energy sectors
•
Product development
•
Rough terrain cranes
•
Specialized construction
equipment
•
Parts
•
Railroad
•
Construction
•
Refineries
•
Municipality
•
Equipment replacement cycle in small tonnage
flexible cranes for refinery market
•
More efficient product offering across end
markets
•
Rough terrain forklifts
•
Special mission-oriented vehicles
•
Custom specialized carriers
•
Parts
•
Military
•
Utility
•
Ship building
•
Commercial
•
Steady, profitable growth from both commercial
and military application of products
•
Custom trailers
•
Hauling systems for heavy
equipment transport
•
Parts
•
Energy
•
Mining
•
Railroad
•
Commercial construction
•
U.S. energy exploration build-out
•
Oil and gas exploration
•
General infrastructure construction
•
Reach stackers
•
Container handling forklifts
•
Parts
•
Global container market
•
International container market and global trade
•
Re-establishing customer relationships and select
product categories
•
Specialized equipment for liquid
storage & containment
•
8,000-21,000 gallon capacities
•
Large client base in energy sector
•
Petrochemical
•
Waste management
•
Oil & gas drilling
•
Reputation for quality & innovation
•
Serves a market of over $1B annually
•
At acquisition, TTM (3/31/13) revenues ~ $39.1M,
adjusted EBITDA ~ $4.5M, EBIT ~ $4.2M
Nasdaq: MNTX |
 Focused
manufacturer of engineered lifting equipment Operating Companies
23
Brand
Products
End Markets
Drivers
•
Precision pick & carry cranes
•
Automotive
•
Chemical / petrochemical
•
Industrial projects
•
Infrastructure development
•
Aerospace
•
Construction
•
Strong end market demand for specialized,
competitively differentiated products
•
Environmental (electric) or hazardous (spark free)
developments
•
Product development
Nasdaq: MNTX |