General Finance — Q2 FY2021 Earnings Presentation
22 slides from General Finance's earnings presentation, Feb 8, 2021
Slide 1: Investor Presentation Through Second Quarter Ended December 31, 2020
EXHIBIT 99.2 Investor Presentation Through Second Quarter Ended December 31, 2020 NASDAQ: GFN
Slide 2: Safe Harbor Statement
2 Safe Harbor Statement Statements in this presentation that are not historical facts are forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Such forward-looking statements involv
Slide 3: General Finance at a Glance
3 General Finance at a Glance ▪ Leading provider of specialty rental solutions in the portable (or mobile) storage, liquid containment and modular space industries (portable services) ▪ Broad and expanding geographic presence with 106 primary branch locations across North America and Asia-Pacific wi
Slide 4: Our Specialty Rental Services Fleet Categories
4 Our Specialty Rental Services Fleet Categories Portable Storage Fleet Units Liquid Containment Fleet Units Storage Containers Freight Containers Liquid Containment Tanks Fleet Units (12/31/20): 68,955 Fleet Units (12/31/20): 9,105 Fleet Units (12/31/20): 4,190 Modular Space Fleet Units Office Cont
Slide 5: Investment Highlights
5 Investment Highlights ▪ Senior management drives disciplined growth strategies, operational guidance and capital markets support Human Capital ▪ Most experienced and industry leading acquisitions team ▪ Top five market leader in North America with ample geographic Expansion Platform development an
Slide 6: Experienced Senior and Field Level Management Team
6 Experienced Senior and Field Level Management Team ■ Dedicated senior executive management team with an average of over 20 years of industry experience ■ Regional management personnel have specific product expertise and an average of over 15 years of industry experience Name Title Prior Experience
Slide 7: Leadership Position in North America with Extensive Branch Network
7 Leadership Position in North America with Extensive Branch Network ▪ Top 4 recognized provider on national, North American Branch Network regional and local level l Edmonton, AB, CA ▪ 63 primary branches in the United States Calgary, AB, CA l Vancouver, BC, CA l - presence in 52 of top 100 MSAs Se
Slide 8: #1 Market Share Leader in Asia-Pacific
8 #1 Market Share Leader in Asia-Pacific ▪ Leadership position with 35% Asia-Pacific Branch Network market share(1) in Australia and 50% market share(1) in New Zealand l ▪ Only container leasing and sales company with Darwin Cairns a nationally integrated infrastructure/workforce l Townsville l ▪ La
Slide 9: Diversified Customer Base
9 Diversified Customer Base Combined Leasing Operations North America Leasing Operations Asia-Pacific Leasing Operations TTM (12/31/20) TTM (12/31/20) TTM (12/31/20) ▪ Approximately 50,000 customers in over 20 industries ▪ Largest customer in each geographic venue accounted for less than 6% of venue
Slide 10: Compelling Unit Economics
10 Compelling Unit Economics Best Rental Asset Minimal Maintenance Typical Cost: Expense $2,500 - $3,000 Typical Rent: Long Economic Life ~$100/Month Attractive Tax Avg. Rental Duration Attributes over 15 months High Incremental Typical Utilization EBITDA Margin Rate: 80%
Slide 11: Historical Financial Summary
11 Historical Financial Summary Revenue Leasing Revenue $300 $420 ($ in millions) ($ in millions) $378 $347 $356 $346 $250 $241 $228 $230 $350 $304 $215 $287 $286 $200 $277 $200 $176 $280 $246 $168 $151 $212 $150 $123 $210 $104 $140 $100 $70 $50 $0 $0 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017 FY2018
Slide 12: Disciplined Balance Sheet Management and Capital Allocation
12 Disciplined Balance Sheet Management and Capital Allocation ■ Proven track record of organic and acquisition growth ■ Fleet capital investment is discretionary and has been a significant component of our total investment spending ■ Minimal maintenance capital expenditure requirements creates abil
Slide 13: Capital Structure as of 12/31/20
13 Capital Structure as of 12/31/20 North America Leasing Asia-Pacific Leasing Corporate and Manufacturing Operations Operations Consolidated cash • $11.8 million Debt • $66.0 million 7.875% Senior • $122.0 million • $172.4 million outstanding on Notes1 outstanding on $167.3 $285.0 million Senior Cr
Slide 14: Appendix
Appendix BI Generel FINAN CE
Slide 15: General Finance Organizational Structure
A-1 General Finance Organizational Structure (1) (2) General Finance Corporation North America Operations Asia-Pacific Operations 66.4% of 33.6% of Consolidated Revenue Consolidated Revenue Leasing Operations Manufacturing Leasing Operations 65.1% of 1.3% of 33.6% of Consolidated Revenue Consolidate
Slide 16: Reconciliation of non-GAAP Measures
A-2 Reconciliation of non-GAAP Measures Adjusted EBITDA is a non-U.S. GAAP measure. We calculate adjusted EBITDA to eliminate the impact of certain items we do not consider to be indicative of the performance of our ongoing operations. In addition, in evaluating adjusted EBITDA, you should be aware
Slide 17: Reconciliation of Consolidated Adjusted EBITDA
A-3 Reconciliation of Consolidated Adjusted EBITDA Year Ended June 30, Six Months Ended TTM December 31, December 31, 2012 2013 2014* 2015 2016 2017 2018 2019 2020 2019 2020 2020 Net income (loss) $8,742 $11,413 $15,149 $13,045 ($3,286) ($847) ($9,107) ($7,466) $7,954 $16,392 $13,339 $4,901 Add (Ded
Slide 18: Reconciliation of Operating Unit Adjusted EBITDA – Pac-Van
A-4 Reconciliation of Operating Unit Adjusted EBITDA – Pac-Van (in thousands) Six Months Ended TTM Year Ended June 30, December 31, December 31, 2014 2015 2016 2017 2018 2019 2020 2019 2020 2020 Operating income $13,323 $18,425 $17,984 $19,551 $28,689 $39,497 $45,430 $25,190 $25,007 $45,247 Add -- D
Slide 19: Reconciliation of Operating Unit Adjusted EBITDA – Lone Star Tank Rental
A-5 Reconciliation of Operating Unit Adjusted EBITDA – Lone Star Tank Rental (in thousands) Year Ended Six Months Ended TTM June 30, December 31, December 31, 2015 2016 2017 2018 2019 2020 2019 2020 2020 Operating income (loss) $8,233 ($1,541) ($3,916) $8,798 $14,236 ($11,284) $2,541 ($3,421) ($17,2
Slide 20: Reconciliation of Operating Unit Adjusted EBITDA – Royal Wolf
A-6 Reconciliation of Operating Unit Adjusted EBITDA – Royal Wolf (in thousands) Six Months Ended TTM TTM Year Ended June 30, December 31, December 31, December 31, 2015 2016 2017 2018 2019 2020 2019 2020 2020 2020 Operating income A$25,672 A$17,637 A$14,340 A$17,207 A$18,998 A$25,586 A$10,717 A$12,
Slide 21: Reconciliation of Consolidated Free Cash Flow
A-7 Reconciliation of Consolidated Free Cash Flow ($ in millions) TTM FY12 FY13 FY14 FY15 FY16 FY17 FY18 FY19 FY20 (12/31/20) Cash From Operations $15.2 $34.9 $51.5 $38.2 $48.8 $35.3 $58.8 $52.1 $76.6 $68.9 Add-back Changes in Fleet 10.4 (4.8) (12.4) 3.2 (3.0) (4.0) (3.6) 5.3 (7.2) (11.4) Inventory
Slide 22: NASDAQ: GFN
General FINANCE (oe) NASDAQ: GFN