Emcor Group, Inc. · NYSE:EME

Emcor — Q1 2014 Earnings Presentation

15 slides from Emcor's earnings presentation, Apr 29, 2014

  1. Slide 1: Quarter One 2014

    QUARTER ONE 2014 Quarter One 2014 April 29, 2014 1

  2. Slide 2: EMCOR Participants

    QUARTER ONE 2014 EMCOR Participants  Tony Guzzi President & Chief Executive Officer  Mark Pompa EVP & Chief Financial Officer  Mava Heffler VP, Marketing & Communications  Sheldon Cammaker EVP & General Counsel  Kevin Matz EVP, Shared Services 2

  3. Slide 3: 2014 Qtr. 1 Executive Summary

    QUARTER ONE 2014 2014 Qtr. 1 Executive Summary  Nice start, good overall performance in “continued” choppy environment – Overall - most end markets continue to improve slowly – Quarter 1 proforma diluted EPS of $0.64 – Revenues increased 2.0% to $1.60 billion  All segments profitable with overall

  4. Slide 4: 2014 Qtr. 1 Executive Summary

    QUARTER ONE 2014 2014 Qtr. 1 Executive Summary  Building Services segment operating margins at 4.5% vs. 2.8% in Qtr. 1 2013 – Increased performance in mobile mechanical services and government services – Increased performance in commercial site-based services based on weather / snow removal  Indus

  5. Slide 5: 2014 Qtr. 1 Executive Summary

    QUARTER ONE 2014 2014 Qtr. 1 Executive Summary  Diverse backlog of $3.37 billion, relatively flat with Qtr. 1 2013 – U.S. backlog up $19 million  Domestic construction segments up $68 million or 3%  U.S. Building Services down as expected due to portfolio reshaping, but mix improved – UK backlog

  6. Slide 6: 2014 Qtr. 1 Financial Results Highlights

    QUARTER ONE 2014 2014 – Qtr. 1 Financial Results Highlights  Revenues increased 2.0% quarter-over-quarter to $1.60 billion Change from Qtr. 1 2013 Qtr. 1 ($ Millions) (Unaudited) 2014 $ % U.S. Electrical Construction & Facilities Services $ 308.1 $ 0.5 0.2% U.S. Mechanical Construction & Facilities

  7. Slide 7: 2014 Qtr. 1 Financial Results Highlights

    QUARTER ONE 2014 2014 – Qtr. 1 Financial Results Highlights  SG&A expenses increased to $144.9 million or 9.1% of revenues vs. $138.5 million or 8.8% of revenues for Qtr. 1 2013  Operating income of $69.4 million or 4.3% of revenues includes: For the Three Months Ended March 31, 2014 2013 – U.S. E

  8. Slide 8: 2014 Qtr. 1 Financial Results Highlights

    QUARTER ONE 2014 2014 – Qtr. 1 Financial Results Highlights Operating Income Reconciliation For the Three Months Ended (In thousands) (Unaudited) March 31, 2014 2013 GAAP Operating Income $ 69,374 $ 51,265 EMCOR UK Construction Losses 2,065 3,887 EMCOR UK Restructuring Expenses 685 1,325 Non-GAAP Op

  9. Slide 9: Key Financial Data – Income Statement

    QUARTER ONE 2014 Key Financial Data – Income Statement ($ Thousands, except per share information) (Unaudited) For the Three Months Ended March 31, Variance 2014 2013 $ % Revenues $ 1,599,385 $ 1,568,401 $ 30,984 2.0% Gross Profit 215,211 191,138 24,073 12.6% Selling, General and Administrative Expe

  10. Slide 10: Key Financial Data – Balance Sheet

    QUARTER ONE 2014 Key Financial Data – Balance Sheet ($ Thousands) (Unaudited) 03/31/14 12/31/13 Cash $ 406,668 $ 439,813 Working Capital $ 678,766 $ 631,362 Goodwill $ 834,102 $ 834,825 Identifiable Intangible Assets, Net $ 531,994 $ 541,497 Total Debt $ 349,866 $ 354,663 Equity $ 1,526,514 $ 1,479,

  11. Slide 11: Backlog by Segment

    QUARTER ONE 2014 Backlog by Segment ($ Millions) $5,000 $4,240 $3,742 $4,000 $3,328 $3,374 $3,361 $3,374 $2,974 $3,106 $3,000 $2,000 $1,000 $0 2007 2008 2009 2010 2011 2012 2013 2014 - Qtr. 1 Mechanical Electrical US Building Services Mechanical Electrical US Building Services US Industrial Services

  12. Slide 12: Backlog by Market Sector

    QUARTER ONE 2014 Backlog by Market Sector ($ Millions) $5,000 $4,240 $4,000 $3,742 $3,328 $3,374 $3,361 $3,374 $2,974 $3,106 $3,000 $2,000 $1,000 $0 2007 2008 2009 2010 2011 2012 2013 2014 - Qtr. 1 Commercial Hospitality / Gaming Industrial CommercialHealthcare Hospitality Industrial Institutional H

  13. Slide 13: 2014 Outlook

    QUARTER ONE 2014 2014 Outlook  Private non-residential construction market has incremental improvement, but still not broad-based ̶ 2014 expected to be better than 2013  Domestic Mechanical Construction segment expected to return to historical operating margins  RepconStrickland fully integrated

  14. Slide 14: 2014 Guidance

    QUARTER ONE 2014 2014 Guidance Revenues ~ $6.8 Billion Diluted EPS * $2.45 - $2.70 * Proforma excluding restructuring and other costs associated with the withdrawal from the UK construction market 14

  15. Slide 15: Build. Power. Service. Protect.

    BUILD. POWER. SERVICE. PROTECT.

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