Remy International — Q3 2012 Earnings Presentation
14 slides from Remy International's earnings presentation, Nov 8, 2012
Slide 1: Remy International Q3 2012 Earnings Conference Call
Remy International Q3 2012 Earnings Conference Call November 8, 2012 1
Slide 2: Forward-Looking Information Safe Harbor Statement
2 Forward-Looking Information This presentation may contain forecasts, projections, expectations, or opportunities regarding Remy that are "forward-looking statements" as defined in the Private Securities Litigation Act of 1995. Such forward- looking statements involve risks and uncertainties that c
Slide 3: Financial Summary
Financial Summary 3 Q3 Financials ($millions) Q3 2011 Q3 2012 Net Sales 300$ 277$ Adjusted EBITDA 30$ 36$ Net income 2$ 97$ Q3YTD Financials ($millions) 2011YTD 2012YTD Net Sales 910$ 865$ Adjusted EBITDA 137$ 114$ Net income 63$ 125$
Slide 4: Q3 2012 Business Highlights
• Strong quarter for new business • Asia OE • LD: GM Small Gas Engine (SGE) starter and SsangYong Motor Company starter wins in Korea; Alternator awards with Dongfeng Peugeot, Shanghai GM Wuling • HD: alternator awards with Perkins and Weichai in China • North America OE • LD: Kia Motors Georgia sta
Slide 5: Q3 2012 Business Highlights
• Appointed Ed Neiheisel as Chairman of Remy China • Initiatives driving operational performance Consolidation of Matehuala, Mexico operation into Piedras Negras and San Luis Potosi Closure of Mezokovesd, Hungary plant • Recognized with several quality and service awards 5 Q3 2012 Business Highlig
Slide 6: Q3 2012 Financial Highlights
• Net Sales: $277 million, down 8% compared to Q3 of 2011 • OE Sales: $162 million, down 13% compared to Q3 of 2011 • Aftermarket Sales: $115 million, up 1% compared to Q3 2011 • Hybrid Sales: $6.1 million compared to $4.5 million in Q3 2011 • Adjusted EBITDA: $36 million compared to $30 million in
Slide 7: Q3 2011 to Q3 2012 EBITDA Bridge
30.2 35.7 40.8 4.5 4.2 6.3 4.3 2.5 1.3 Q3 2011 Adj. EBITDA SG&A Commodities Warranty FX / Other Operations Volume/Mix/Price Q3 2012 Adj. EBITDA 7 Q3 Financial Highlights Q3 2011 to Q3 2012 EBITDA Bridge 10.1% of sales 12.9% of sales
Slide 8: Financial Summary
Financial Summary 8 Q3 Financials ($millions) Q3 2011 Q3 2012 Net Sales 300$ 277$ SG&A 37$ 30$ Adjusted EBITDA 30$ 36$ Capital Spending 6$ 5$ Cash Flow from Operations 31$ 35$ Working Capital Turns (WCT) 6.2x 5.8x Net Debt 227$ 203$
Slide 9: Concluding Remarks
Posted strong margins in the quarter and remain focused on driving profitable growth On August 14th, Fidelity National Financial, Inc. increased their ownership position of Remy to approximately 51% On October 30th, the Board declared a $0.10 per share dividend On November 2nd, our S-1 regis
Slide 10: Questions
Questions This presentation can be downloaded on our investor site at remyinc.com 10
Slide 11: Appendix
Appendix 11
Slide 12: Adjusted EBITDA definition
Adjusted EBITDA is defined by the Company as net income before (i) interest expense, (ii) tax expense, (iii) depreciation and amortization expense (excluding OID and DFC amortization), (iv) stock based compensation expense, (v) net income attributable to noncontrolling interest and restructuring a
Slide 13: Working Capital Turns (WCT) Calculation
Working Capital Turns: A measurement comparing the depletion of working capital to the generation of sales over a given period. This provides useful information as to how effectively a company is using its working capital to generate sales Working Capital Turns Definition: (a) Quarterly Net Sale
Slide 14: Net Debt Calculation
Net Debt is calculated as: Short-term debt Plus: Current maturities of long-term debt Plus: Long-term debt, net of current maturities Less: Cash and cash equivalents Net Debt Calculation 14