Swisher Hygiene — 16th Annual ICR XChange (January 2014)
20 slides from Swisher Hygiene's conference presentation, Jan 13, 2014
Slide 1: Swisher - January 2014 ICR XChange
Ss SWISHER JANUARY 2014 SWISHER 16% Annual ICR XCHANGE
Slide 2: Forward Looking Information
FORWARD LOOKING INFORMATION This presentation includes financial forecasts, projections and other forward- looking statements regarding Swisher Hygiene Inc., its business and prospects. This forward-looking information is based on management assumptions and expectations which, while considered reaso
Slide 3: Who We Are
WHO WE ARE “We Deliver Clean” A leading provider of essential hygiene and sanitation solutions, including cleaning and sanitizing chemicals, restroom hygiene programs and a full range of related products and services. CHEMICALS HYGIENE OTHER »General Cleaning »Restroom care » Water Filtration »Warew
Slide 4: Examples of End Markets
EXAMPLES OF END MARKETS Broad Range of Solutions Across Key Verticals » Foodservice and cleaning chemicals » Dish machines » Warewash, laundry and housekeeping chernicals » Chemical and handcare > Water filtration dispensing equipment » Paper and hand care i. . A » Water filtration » Napkins, bar to
Slide 5: Timeline
: 1986 TIMELINE History — : Founded as: i franchised ? restroom i hygiene : provider } 2011) From Then to Now : 2005 : 2010 : 2012 (Q1) : : Began franchise : Merged with Announced : acquisitions : CoolBrands : plans to : (completed all : and began restate 2011 : but two through } trading on results
Slide 6: Executive Change
EXECUTIVE CHANGE Bill Pierce, President and Chief Executive Officer » Accepted position in September 2013 » Over 40 years of operational and financial experience running service and hospitality businesses successfully in both private and public companies » Previously Chief Operating Officer of two r
Slide 7: First 100+ Days
FIRST 100+ DAYS » Communicated business plan to employees and executive team » Reorganized people and assets to support it » Buy-in from Top 20 internal decision makers » Town hall and individual communications to field-level employees » Met with three largest customers to ensure alignment » Impleme
Slide 8: Challenges
CHALLENGES Where We Must Improve » Execution timeline — significant cash used through 2013 » Integration » Systems platform/technology » Route optimization Fed smsien
Slide 9: Assets
ASSETS Having the Correct Ingredients for Success » People » Manufacturing capability/capacity » Strong regional service network within national platform » Market acceptance Fed smsien
Slide 10: Regional Operating Structure
REGIONAL OPERATING STRUCTURE Branch Locations and Chemical Manufacturing Plants FEF smnsier 0
Slide 11: Strategy
STRATEGY Service, People, Growing Profitably Service and People: Growing Profitably: »On time, all the time »Generate new business , in markets with best »Sales through service service and product delivery »Field-driven management _ »Shed non-core assets and routes ke »Distributor growth in key mark
Slide 12: Revenue
PROGRESS TO DATE Revenue Year-over-Year Comparison Pace 1013 2Q13 313 -5.3% 8.0% -10.5% ES swisher 2
Slide 13: Revenue
PROGRESS TO DATE Revenue » New business outlook » Double-digit growth year-over-year with largest distributor partners » Tests ongoing with multi-unit regional chains » Street selling focused on large independents » Daley brand expansion » Customer retention Fed smsien
Slide 14: Cost of Goods Sold
PROGRESS TO DATE Cost of Goods Sold Inventory level improvements resulting from: » Manufacturing plant consolidations and regional capability » Two of three consolidations (Phoenix, Florida) complete » Freight and direct shipment initiatives » Distributor partners, direct customer shipments, strong
Slide 15: Route Expenses
PROGRESS TO DATE Route Expenses » Chemical and hygiene consolidation » Approximately 40 chemical and hygiene routes consolidated in 2013 » Route revenue optimization » Continuous effort to optimize the number of stops, drop size and miles driven » Completed compensation/commission plan alignment in
Slide 16: SG&A Expenses — Reductions and Efficiencies Year-over-Year
PROGRESS TO DATE SG&A Expenses — Reductions and Efficiencies Year-over-Year Expenses reduced during first nine months of 2013: Payroll Rent & Storage Bad Debt Expense Professional Fees sugs For October-November 2013: » Travel Expense year-over-year reduction of 52.0% Fed smsien
Slide 17: Capital Expenditures
PROGRESS TO DATE Capital Expenditures Monthly expenditures trending down - » Most of the large capital projects have been completed » One regional plant transition left to implement » Additional route technology implementation » Regional equipment refurbishing » Tripled weekly output of dishwashing
Slide 18: Liquidity and Capital Resources
PROGRESS TO DATE Liquidity and Capital Resources » Notes Payable Reduction » $6.2 million paid in fiscal 2013, $2.5 million due in 2014, aggregate payments of $1.9 million thereafter » Non-core asset/route sales » $5.5 million received since September 30, substantive discussions on other non-core as
Slide 19: Conclusion
CONCLUSION Making Progress » Large industry with attractive business characteristics and demand still exists for an alternative chemical provider in this $30 billion+ market » Making progress on our plans to enhance service, reduce expenses and win new business » Focusing on core operations in order
Slide 20: Contact Information
SWISHER CONTACT INFORMATION: SWISHER INVESTOR SERVICES (704) 602-7116 [email protected] TES swishen
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