Terravest Industries, Inc. · TSX:TVK
Terravest Industries — Investor Presentation (February 2019)
17 slides from Terravest Industries's investor presentation, Feb 1, 2019
Slide 1: Investor Presentation 2019
Investor Presentation 2019 TSX: TVK
Slide 2: Forward Looking Statement
Forward Looking Statement This presentation contains “forward-looking statements” within the meaning of applicable Canadian securities laws, including (but not limited to) statements about the EBITDA projection, future performance of TerraVest Industries Inc. (“TerraVest” or the “Company”) and simil
Slide 3: Our Company
Our Company • TerraVest Industries Inc. (“TerraVest” or the “Company”) is a leading provider of products and services to niche infrastructure markets #1 manufacturer of home heating oil products in North America #1 manufacturer of propane, anhydrous ammonia (“NH3”) and natural gas liquids (“NGL”) tr
Slide 4: Market Leader in Home Heating Products
Market Leader in Home Heating Products • Our Home Heating Products division is the #1 player in home heating oil tanks and related accessories in North America, while also producing furnaces and commercial fuel tanks • Strong brand reputation with +65 years of operating history • We are a critical s
Slide 5: Market Leader in LPG/NH3/NGL Storage & Transport Equipment
Market Leader in LPG/NH3/NGL Storage & Transport Equipment • We are the only manufacturer of LPG/NH3/NGL storage and transport equipment with a national footprint in Canada • Strategically located to service mid- west and north-east markets in U.S. • Broadest scope of product offering among all Nort
Slide 6: LPG/NH3/NGL Storage & Transport Equipment (cont’d)
LPG/NH3/NGL Storage & Transport Equipment (cont’d) Product Lines Bulk Storage Bobtails Service Trucks B-Trains Trailers Domestic Tanks Refurb Dispensers Nurse Wagons Field Service/Installation Select Customers 6
Slide 7: Market Leader in Energy Processing Equipment
Market Leader in Energy Processing Equipment • Our Energy Process Equipment division is the #1 player in wellhead processing equipment in Canada • Strong brand reputation with +50 years of operating history • We are a critical supplier to many of the largest oil and gas producers in North America •
Slide 8: Expansive Operational Footprint
Expansive Operational Footprint • TerraVest is the largest Propane/NH3/NGL equipment provider in Canada with coast to coast operations – U.S. operations reside in Michigan, the largest state for propane consumption, and products are sold regionally and nationally • Home Heating products are manufact
Slide 9: Participating in the Entire Fuel Infrastructure Supply Chain
Participating in the Entire Fuel Infrastructure Supply Chain • TerraVest is involved in all aspects of manufacturing products for the fuel infrastructure supply chain – Products consist of storage vessels at gas plants/refiners through to transport vehicles and domestic tanks at the retail home Nat
Slide 10: Strategy and Highlights
Strategy and Highlights • Operate market leading and reputable businesses in all of our segments • Offer full scale product suites to become critical suppliers in each of our segments – Add to existing product offering via acquisitions of well-known and reputable businesses – Add to existing product
Slide 11: Strong Financial Performance and High Cash Flow Generation
Strong Financial Performance and High Cash Flow Generation Strong Cash Flow Generation EBITDA Cash Flow Available for Distribution HISTORICAL EBITDA ($MM) $50.0 2013 – 2018A EBITDA CAGR 28.1% $41.6 2015 Peak Oil $40.0 & Gas Market $35.4 Diversification of Cash Flows through Acquisitions $30.0 $24.8
Slide 12: History of Successful Acquisitions
History of Successful Acquisitions 2014 2014 2015 2015 2016 Manufacturer of home Manufacturer of oil and Manufacturer of propane Manufacturer of patented Provider of patented sand heating and propane gas processing service trucks, delivery storage tank products for separation equipment to storage pr
Slide 13: History of Organic Growth
History of Organic Growth 2015 2016 2016 2017 2017 Added 25,000 square feet Added 10,000 square feet Added automatic CNC Added new automated Added brand new of manufacturing capacity of manufacturing capacity pipe profiler to expand domestic tank automated domestic tank to existing Pro-Par facility
Slide 14: Successful Return for Shareholders
Successful Return for Shareholders Share Price Performance June 2014 Current Dividend $0.40 Implied Yield 3.7% $10.75 Acquisitions $20,000,000 Equity Bought Deal $4.53 $6.10 Per Share Jan-14 Jan-15 Jan-16 Jan-17 Jan-18 Jan-19 Total Return Performance April 2015 TerraVest 214.9% S&P TSX Composite Ind
Slide 15: Meaningful Insider Ownership and Conservative Capital Structure
Meaningful Insider Ownership and Conservative Capital Structure Insider Ownership TerraVest Capital Structure • TerraVest is a public company with majority Share Price $10.75 control by 3 major shareholders Basic Shares Outstanding 17,054,496 Shares Outstanding with Converts 18,700,920 Clarke Inc. 5
Slide 16: Summary of TerraVest Key Investment Highlights
Summary of TerraVest Key Investment Highlights Sound Management Team Focused Strong Free on Cost Cash Flow Competitivenes, Generation Growth and Product and Technology Geographical Diversification, Reducing Barriers to Entry Exposure to Economic Cycles Market Leader Market Leader in Canada for in Re
Slide 17: TerraVest Value Proposition
TerraVest Value Proposition Proven Ability to Grow Through Acquisitions and Organically Organic and Acquisition Growth Opportunities Driven by Operational Streamlining between Segments, Enhanced Sales Strategy and Moving into New Geographic Territories Substantial Retained Interest by Management and
TerraVest Industries — Investor Presentation (February 2019) on 6ix