Reynolds & Reynolds — Non-Deal Roadshow (June 2006)
9 slides from Reynolds & Reynolds's roadshow presentation, Jun 21, 2006
Slide 1: June 20, 22 & 27, 2006
NYSE: REY June 20, 22 & 27, 2006
Slide 2: Safe Harbor
Safe Harbor During the course of this meeting, we will make certain predictive statements in an effort to assist you in understanding Reynolds. Fiscal 2006 results are unaudited and based on current expectations, estimates, forecasts and projections of future company or industry performance based on
Slide 3: REY: NYSE $1B automotive dealer services provider
REY: NYSE $1B automotive dealer services provider #1 DMS market share #1 customer satisfaction according to NADA Award-winning service and support organization Automotive retailing is an attractive market with tremendous opportunity
Slide 4: Market Trends
Market Trends Auto dealers are looking to ... Improve operational efficiency and drive out fixed costs Identify alternatives to mass advertising Make better use of information Grow service and parts operations Reduce compliance and information security exposure
Slide 5: The Market: North America
The Market: North America Estimated market size* 25,000 Dealer locations ~1 million 'users' One trillion dollars revenue $81 billion in dealer spend Market characteristics Mature Market Dealer-lead Emergence of new entrants Growth in value added applications and services *Management estimates
Slide 6: How Are We Going To Grow Reynolds?
How Are We Going To Grow Reynolds? Secure the core DMS business Build penetration in value added applications Build an information services business around consulting Grow internationally Stabilize and grow the forms business Leverage core competence in other dealer-related markets Realign the organ
Slide 7: Cash Return To Shareholders
In millions Cash Return To Shareholders Capital Profile: History of Key Shareholders Actions Shares Outstanding
Slide 8: High Cash Flow Generative Business
High Cash Flow Generative Business Recurring revenue model generates reliable cash flows Limited capital expenditure requirements Low working capital intensity Approximate cash position: $133M at September 30, 2005 $170M at December 31, 2005 $200M at March 31, 2006 $231M at May 31, 2006 $104M set as
Slide 9: Summary
Summary World class brand, reputation and people #1 DMS market share and customer satisfaction Stable and diversified revenue stream High cash flow generative business Multiple avenues for organic and acquisition growth
Reynolds and Reynolds — Non-Deal Roadshow (June 2006) on 6ix