Art's-Way Manufacturing Co., Inc. · NASDAQ:ARTW

Art's-Way Manufacturing — Sidoti Micro-Cap Conference 2012

22 slides from Art's-Way Manufacturing's conference presentation, Jan 9, 2012

  1. Slide 1: Art's Way Mfg. Co., Inc.

    Art’s Way Mfg. Co., Inc. NASDAQ: ARTW J. Ward McConnell, Jr., Chairman Marc H. McConnell, Vice-Chairman Sidoti Micro-Cap Conference 1/9/2012

  2. Slide 2: Forward-Looking Statements

    Forward-Looking Statements The statements in this Presentation are "forward-looking" and made pursuant to the safe harbor provisions as outlined in the Private Securities Litigation Reform Act of 1995. Forward-looking statements involve known and unknown risks and uncertainties, which may cause Art’

  3. Slide 3: Who is Art's Way?

    Who is Art’s Way?  Armstrong, Iowa-based manufacturing company  Employs 200 people  Consists of 3 operating segments  Art’s Way Mfg.: Agricultural Equipment (71% of 2010 Revenue)  Art’s Way Scientific: Modular Research Facilities (23.5%)  Art’s Way Vessels: Tanks and Pressure Vessels (5.5%) 

  4. Slide 4: Who is Art's Way? (continued)

    Who is Art’s Way? (continued) Net Income $3,000,000 $2,000,000 $1,000,000 $- 2002 2003 2004 2005 2006 2007 2008 2009 2010  Current management in place since 2002  Recognition  2008: #54 on Forbes 200 Best Small Companies  2008: #57 on Fortune Small Business 100 1/9/12 Sidoti Micro-Cap Conference

  5. Slide 5: History in Brief

    History in Brief  Founded in 1956 upon invention of Grinder-Mixer  1970’s: Volume grew to 10,000 units/year  Went public at inception of NASDAQ in 1971.  1980’s: Diversified into other machinery as changing farming methods impacted Grinder-Mixer demand  Struggled in late 1990’s, culminating in

  6. Slide 6: History in Brief (continued)

    History in Brief (continued)  2005: Strategic diversification outside of agriculture via acquisitions.  2005: Asset purchase of failing vessel business resulted in Vessels subsidiary  2006: Asset purchase of failing modular building business in resulted in the Scientific subsidiary  2007-08: Gro

  7. Slide 7: History in Brief (continued)

    History in Brief (continued)  2009-10: Further Expansion  2009: Development of Grain Auger Line  2010: Purchase of 190,000 sq. ft. building in West Union, IA for additional capacity and accommodation of future growth. 1/9/12 Sidoti Micro-Cap Conference

  8. Slide 8: AW Mfg: Agricultural Division

    AW Mfg: Agricultural Division  430,000 sq. ft. of mfg. space in 2 plants  Brands: Art’s Way, Miller Pro, Badger, Roda  Nationwide network of 300 dealers  Exports to UK, Australia, Ukraine, France, Brazil, etc.  18 product lines of equipment for:  Livestock Feeding  Sugar Beet Harvesting  Hay

  9. Slide 9: 1/9/12 Sidoti Micro-Cap Conference

    1/9/12 Sidoti Micro-Cap Conference

  10. Slide 10: 1/9/12 Sidoti Micro-Cap Conference

    1/9/12 Sidoti Micro-Cap Conference

  11. Slide 11: Art's Way Scientific: modular research facilities

     Based in Monona, IA in new 50,000 sq. ft. facility constructed in 2007  Product: Design-built research facilities of modular construction and other modular buildings  Sales cycle typically 1-2 years  Largely dependent on university endowments and federal funding  Customers  Government Researc

  12. Slide 12: 1/9/12 Sidoti Micro-Cap Conference

    1/9/12 Sidoti Micro-Cap Conference

  13. Slide 13: Art's Way Vessels: tanks and pressure vessels

     Based in Dubuque, IA in new 35,000 sq. ft. facility constructed in 2008  ASME Certified  Products: fabricated steel tanks and pressure vessels serving water and chemical containment and/or treatment.  Customers  Water Treatment Equipment Companies  Chemical Companies  Industrial 1/9/12 Sidot

  14. Slide 14: 1/9/12 Sidoti Micro-Cap Conference

    1/9/12 Sidoti Micro-Cap Conference

  15. Slide 15: Consolidated 2011 Performance

    Consolidated 2011 Performance  Thru Q3 (8/31): Revenue down 5%, Earnings down 6.8%  AW Mfg: Revenue up 13.6%  AW Scientific: Revenue down 54.2%,  AW Vessels: Revenue up 10%  4th Quarter: Anticipate consistent finish in all 3 segments  Summary: the Agricultural Equip. segment carried the busine

  16. Slide 16: 2012 Outlook and Opportunities

    2012 Outlook and Opportunities… 1/9/12 Sidoti Micro-Cap Conference

  17. Slide 17: AW Mfg 2012: Year of Organic Growth

    AW Mfg 2012: Year of Organic Growth  Farmers got rich in 2011 after a good 5-year run, 22 months of expansion  Industry consensus: another robust year awaits, very bullish  Backlog very strong 1/9/12 Sidoti Micro-Cap Conference

  18. Slide 18: AW Scientific 2012: Excellent Forecast

    AW Scientific 2012: Excellent Forecast  Recently announced $7 million contract for an elite university client to be completed by Q3 with additional contract pending.  Funding cycle seems to be improving  Interest for new projects is strong  Growing interest in leases  Investments made during do

  19. Slide 19: AW Vessels 2012: Return to Profitability

    AW Vessels 2012: Return to Profitability  Gains in revenue and income, backlog up 150%  Growing inquiry from targeted clients  Pursuing new markets  Achieving vast gains in efficiency, productivity, and cost control 1/9/12 Sidoti Micro-Cap Conference

  20. Slide 20: 2012 Consolidated

    2012 Consolidated  Significant top-line growth  Backlog up 47% to $21.8m  Gain in earnings due to contribution from all 3 segments 1/9/12 Sidoti Micro-Cap Conference

  21. Slide 21: Stock Data (ARTW)

    Stock Data (ARTW)  4.02 million shares outstanding  Price as of 1/6/12: $8.29/share  52-week range: $4.80-$15.95  Market Cap: $33 million  P/E: 34.17 1/9/12 Sidoti Micro-Cap Conference

  22. Slide 22: Why Invest in Art's Way?

    Why Invest in Art’s Way?  Company is Growing  Company is Profitable  Company is Undervalued  Company Services Attractive and Growing Market Segments  Very Few Other Small-Cap Opportunities in Ag Sector  Very Few Firms Design and Build Custom-Designed Labs for Nationwide Installation  Company

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