Attached files
| file | filename |
|---|---|
| 8-K - FORM 8-K - Manitex International, Inc. | d94278d8k.htm |
| EX-99.1 - EX-99.1 - Manitex International, Inc. | d94278dex991.htm |
 “Focused manufacturer of engineered lifting equipment” Manitex International, Inc. (NASDAQ:MNTX) Conference Call Third Quarter 2015 November 4th, 2015 Exhibit 99.2 |
 2 Forward Looking Statements & Non GAAP Measures “Focused manufacturer of engineered lifting equipment” 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 Third Quarter 2015 Earnings Release on the Investor Relations section of our website
www.manitexinternational.com
for a description and/or reconciliation of these measures.
|
 3 “Focused manufacturer of engineered lifting equipment” Overview Core straight mast boom truck crane market - impact of energy sector is resulting in reduced new equipment purchases & redeployment of surplus equipment into other growing sectors- market operating at 2009 / 2010 levels. Straight mast crane sales impact and currency impact reduces sales approx. $30 million in the quarter. Manitex diversification actions and benefits. PM Group (acquisition January 15 th 2015) o $23m revenues and 13% EBITDA margins in Q3-2015. o Little exposure to energy or North American markets, where MNTX is strong. Growth in international markets. ASV (51% acquisition December 2014). o $27m revenues and 9.5% EBITDA margins in Q3-2015 o General construction markets N. America & Australasia. Cost and debt reduction and portfolio review. o Cost saving project delivering to plan: approx. 75% of forecast ytd savings delivered in first 9 months for benefit of $3.0 million. o North American crane operations headcount reduced 34% since 1/1/2015. |
 4 “Focused manufacturer of engineered lifting equipment” Commercial Overview Q3 market conditions generally slow. o Oil and gas demand significantly lower impacting core crane products.
o North American general construction demand for our equipment steady in the quarter.
o European and international markets modest improvement and together with benefit from
more competitive Euro.
o Strong US dollar impacting translation of sales / profit as well as adversely impacting demand
eg
in Canada.
Significant activity and interest related to our new
acquisition products o
PM sales strength in Q3-2015 in Middle East, South
America and Europe. o
Assembly / manufacturing project at our Georgetown TX
facility proceeding to plan o
ASV brand well received and gaining momentum.
o
Full range of product for H2-2015 (skid steer and
compact track loaders). ASV branded
product 12% of ASV Q3 shipments.
o New ASV dealer sign-ups accelerating , now approximately 50 locations, plan to double
by 12/31/2015.
9/30/15 Backlog of $88.9 million (12/31/14, $107.3
million; 9/30/14, $102.1 million): o
Broad based order book: ASV 10%, PM 26% both increases
quarter over quarter, Manitex 64%. o
Military orders for Q4-2015 and Q1-2016
shipments included. |
 5 Key Figures - Quarterly “Focused manufacturer of engineered lifting equipment” USD thousands Q3-2015 Q3-2014 Q2-2015* Net sales $96,671 $66,197 $105,604 % change in Q3-2015 to prior period 46.0% (8.5%) Gross profit 18,308 10,915 19,816 Gross margin % 18.9% 16.5% 18.8% Operating expenses 14,636 7,504 14,811 Net Income 209 1,768 351 Earnings Per Share $0.01 $0.13 $0.02 Adjusted Ebitda 6,991 4,519 8,091 Adjusted Ebitda % of Sales 7.2% 6.8% 7.7% Working capital 95,697 84,105 97,548 Current ratio 1.8 2.7 1.8 Backlog 88,946 102,056 97,455 % change in Q3-2015 to prior period (9.2%) (8.7%) *As adjusted. See reconciliation to US GAAP on appendix |
 6 “Focused manufacturer of engineered lifting equipment” Q3-2015 Operating Performance $m Q3-2014 sales $66.2 Currency translation (7.9) Sales from acquisitions 49.7 Volume (11.3) Q3-2015 sales $96.7 $m Q3-2014 Net income $1.8 Increase in gross margin from sales 7.4 Operating expenses from acquisitions (7.2) Reduced SG&A & R&D 0.1 Interest expense (2.5) Other income (expense) (0.3) Tax & other 0.9 Q3-2015 Adjusted net income $0.2 |
 7 Working Capital “Focused manufacturer of engineered lifting equipment” $000 September 30, 2015 December 31, 2014 Working Capital $95,697 $85,627 Days sales outstanding (DSO) 69 83 Days payable outstanding (DPO) 61 60 Inventory turns 2.5 2.2 Current ratio 1.8 2.0 Operating working capital 143,978 121,571 Operating working capital % of annualized last quarters sales (LQS) 37.2% 45.4% Operating working capital increase of $22.4m of which $19.6m from PM acquisition
in January. Improved % to LQS.
Working capital ratios now reflect higher proportion of
international activity. Current ratio
would be 2.2 at September 2015 adjusting for PM working capital facilities of $18.7m that are transactional and therefore current, (compared to North
American term lines of credit that are long
term). |
 8 “Focused manufacturer of engineered lifting equipment” Debt USD millions PM ASV Manitex & CVS Total Increase / (decrease) during Q3- 2015 9/30/15 9/30/15 9/30/15 9/30/15 Working capital borrowings 19.0 16.9 42.2 78.1 (3.4) Bank term debt 35.0 38.5 8.0 81.5 (2.0) Capital leases - - 6.9* 6.9 3.3 Convertible notes - - 21.1 21.1 - Other notes - - 8.0 8.0 0.6 $54.0 $55.4 $86.2 $195.6 $(1.4) Adjusted for new facility lease $(5.0) Note: Non-recourse to Manitex International Inc. $54.0 $55.4 $9.2 $118.6 Availability on working capital lines plus cash $33.3 * Capital leases increased $3.6 million in Q3-2015 from renewal & extension of Georgetown TX facility lease
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 9 “Focused manufacturer of engineered lifting equipment” $000 September 30, 2015 December 31, 2014 Total Cash $4,446 $4,370 Total Debt 195,580 112,294 Total Equity 137,481 128,006 Net capitalization $328,615 $235,930 Net debt / capitalization 58.2% 45.7% Adjusted EBITDA (3 months) $6,991 $5,330 Debt to Pro-forma TTM adjusted EBITDA ratio 5.9 5.4 Repayments of term debt of $2.0m in Q3-2015 and $10.0 million year to date September 30 th . . Cash and availability under working capital lines of $33 million.
Cash
provided
by
operating
activities
in
three
months
ended
September
30
th
2015
was
$2.9
million,
and is $22.0 million year to date, adjusting for ASV
conversion tax payment. Debt & Liquidity
• Net capitalization is the sum of debt plus equity minus cash • Net debt is total debt less cash |
 10 Summary “Focused manufacturer of engineered lifting equipment” Our objectives moving into 2016 Implementation and execution of integration of PM strategy
Cash generation to continue debt reduction
Expand ASV through new distribution
Begin program of strategic rationalization to drive
growth in highest margin products and
operating units |
 11 APPENDIX “Focused manufacturer of engineered lifting equipment” Reconciliation of GAAP Net Income to Adjusted net income and adjusted EPS Nine months ended September 30 2015, Acquisition and other expense Nine Months Ended September 30, 2015 Pre-tax After-tax EPS Deal transaction related $3,031 $2,161 $0.14 Exceptional operating cost $357 $245 $0.02 Change in noncontrolling interest $(451) $(451) $(0.03) Total $2,937 $1,742 $0.13 Three Months Ended Nine Months Ended September 30, 2015 September 30, 2014 September 30, 2015 September 30, 2014 Net income (loss) attributable to Manitex shareholders $209 $1,768 $123 $6,631 Pre – tax acquisition and other expenses - -- 3,388 -- Tax effect based on jurisdictional blend - -- (982) -- Change in net income attributable to noncontrolling interest - -- (451) -- Adjusted Net Income $209 $1,768 $2,078 $6,631 Weighted average diluted shares outstanding 16,039,361 13,873,157 15,973,297 13,862,651 Diluted earnings (loss) per share as reported $0.01 $0.13 $0.01 $0.48 Total EPS Effect - -- $0.13 -- Adjusted Diluted earnings per share $0.01 $0.13 $0.14 $0.48 |