The document discusses strategic opportunities for The Clorox Company. It analyzes the company's current positioning, the macroeconomic and industry outlook, and provides an overview of four strategic options - maintaining the status quo, selling to a strategic acquirer, a leveraged buyout, or divesting a segment. The team recommends that Clorox divest the Kingsford brand through an auction process at a valuation of 16.0x EV/EBITDA to raise capital for growth opportunities and better align with consumer trends.
This document provides an overview and analysis of a potential leveraged buyout of Cooper-Standard Holdings Inc. by a financial sponsor. Key details include:
- An offer price of $66.8 per share, representing a 20% premium over the current share price of $55.7.
- Total transaction value of $1.615 billion, to be financed with $114 million in cash, a $907 million term loan, $302 million in subordinated debt, and $487 million from the sponsor's equity.
- Projected IRR returns for the sponsor of 15.5-36.5% depending on the EBITDA exit multiple used in 2017-2019.
The document provides an overview of the key differences between US GAAP and IFRS accounting standards. Some of the main differences discussed include financial statement presentation requirements, consolidation approaches, business combination accounting, inventory valuation, impairment testing, financial instrument accounting, foreign currency translation, lease classification, income tax accounting, and revenue recognition. While convergence efforts have reduced many differences, the standards continue to have some divergent requirements.
• Created an operating model, comparable company analysis, and DCF analysis to determine valuation
• Collaborated as a team of three freshman to propose our valuation range via PowerPoint
Martinrea International Inc. is an automotive parts manufacturer that has experienced significant revenue growth through acquisitions and organic growth. The company is well positioned to benefit from increasing auto sales and the trend toward lighter weight vehicles. The analyst values Martinrea using a discounted cash flow model and estimates the stock price could rise 70-105% to a range of $16-19.50 per share based on margin expansion, growth opportunities, and a narrowing of its valuation gap with peers. Key growth drivers include the company's global scale, research capabilities, aluminum expertise, and strong order backlog.
General Mills' annual report summarizes its financial performance in fiscal year 2012. Key points include:
- Net sales grew 12% to $16.7 billion, with international sales up 45% due to the Yoplait yogurt acquisition.
- Segment operating profit rose 2% to over $3 billion.
- Adjusted diluted EPS grew 3% to $2.56, excluding one-time items.
- The company aims to continue balanced growth across core and emerging markets through established and new brands.
The document discusses strategic opportunities for The Clorox Company. It analyzes the company's current positioning, the macroeconomic and industry outlook, and provides an overview of four strategic options - maintaining the status quo, selling to a strategic acquirer, a leveraged buyout, or divesting a segment. The team recommends that Clorox divest the Kingsford brand through an auction process at a valuation of 16.0x EV/EBITDA to raise capital for growth opportunities and better align with consumer trends.
This document provides an overview and analysis of a potential leveraged buyout of Cooper-Standard Holdings Inc. by a financial sponsor. Key details include:
- An offer price of $66.8 per share, representing a 20% premium over the current share price of $55.7.
- Total transaction value of $1.615 billion, to be financed with $114 million in cash, a $907 million term loan, $302 million in subordinated debt, and $487 million from the sponsor's equity.
- Projected IRR returns for the sponsor of 15.5-36.5% depending on the EBITDA exit multiple used in 2017-2019.
The document provides an overview of the key differences between US GAAP and IFRS accounting standards. Some of the main differences discussed include financial statement presentation requirements, consolidation approaches, business combination accounting, inventory valuation, impairment testing, financial instrument accounting, foreign currency translation, lease classification, income tax accounting, and revenue recognition. While convergence efforts have reduced many differences, the standards continue to have some divergent requirements.
• Created an operating model, comparable company analysis, and DCF analysis to determine valuation
• Collaborated as a team of three freshman to propose our valuation range via PowerPoint
Martinrea International Inc. is an automotive parts manufacturer that has experienced significant revenue growth through acquisitions and organic growth. The company is well positioned to benefit from increasing auto sales and the trend toward lighter weight vehicles. The analyst values Martinrea using a discounted cash flow model and estimates the stock price could rise 70-105% to a range of $16-19.50 per share based on margin expansion, growth opportunities, and a narrowing of its valuation gap with peers. Key growth drivers include the company's global scale, research capabilities, aluminum expertise, and strong order backlog.
General Mills' annual report summarizes its financial performance in fiscal year 2012. Key points include:
- Net sales grew 12% to $16.7 billion, with international sales up 45% due to the Yoplait yogurt acquisition.
- Segment operating profit rose 2% to over $3 billion.
- Adjusted diluted EPS grew 3% to $2.56, excluding one-time items.
- The company aims to continue balanced growth across core and emerging markets through established and new brands.
Staples is considering acquiring NetScout Systems to expand into the growing IT services market. The recommendation is for Staples to first repurchase $1 billion of its own shares to increase EPS and share price. Then, Staples would acquire NetScout for $44.01 per share, using 40% stock, 40% debt, and 20% cash. The acquisition would allow Staples to significantly bolster the technology portion of its Business Advantage services and diversify its revenues beyond office supplies.
The document provides an investor briefing for Bemis Company Inc. for December 2014. It summarizes the company's financial performance in 2013 and guidance for 2014. Bemis reported record adjusted EPS of $2.09 in 2013 and expects continuing operations adjusted EPS to be in the range of $2.26 to $2.31 for 2014. The company will focus on accelerating growth through initiatives like expanding in emerging markets, increasing sales of high-barrier packaging and healthcare packaging, and investing in new product technologies. Bemis maintains a disciplined capital allocation approach focused on organic growth, acquisitions, dividends, and share repurchases.
The presentation provides an overview of Hershey's business model and strategies to sustain momentum and deliver shareholder returns. Hershey has a growing portfolio of beloved brands that hold strong US market shares. It has unmatched capabilities connecting it to consumers through customer strategies, data analytics, agile supply chain, and precision consumer messaging. Hershey also has a dynamic workforce and takes a long-term view in its growth, focusing on environmental, social and governance goals. Its strategies are aimed at balanced long-term sales growth and margin expansion to deliver consistent earnings growth and healthy cash flow.
WhiteWave Foods produces plant-based foods and organic dairy products. The document provides an analysis of WhiteWave, including its brands, financial performance, industry growth opportunities, and stock valuation. Key points are that WhiteWave has leading market shares in several categories, the organic and plant-based food industry is poised for high growth, and WhiteWave's stock is undervalued and expected to provide a 21.14% return.
This document summarizes information about Neenah Paper, Inc., which operates in two business segments: Technical Products and Fine Paper. Technical Products produces specialty papers for filtration, industrial backings, and labels, while Fine Paper produces image-oriented papers for premium print communications and packaging. The document discusses Neenah's financial performance, strategies to grow organically and through acquisitions in niche specialty markets, and goals to deliver consistent returns and deploy excess cash to shareholders.
KeyBanc Industrial, Automotive and Transportation Conference Presentation Hillenbrand_IR
Hillenbrand provides an overview of its transformation strategy to become a world-class global diversified industrial company through acquisitions and organic growth. It discusses its two business segments: Process Equipment Group and Batesville. PEG provides highly engineered industrial equipment and has a focus on acquisitions and parts/service growth. Batesville is the market leader in North American burial caskets and is focused on profitably serving that market while expanding in cremation products. Hillenbrand reports Q2 2016 financial results that showed revenue declines driven by Batesville, but growth in adjusted EBITDA and cash flow.
The document summarizes a presentation given at the CAGNY conference by J.P. Bilbrey, President and CEO of The Hershey Company. It discusses the company's strategies to drive predictable, profitable, and sustainable results globally through international expansion, portfolio growth, delivering strong North American performance, innovation, and leveraging knowledge and capabilities. It provides an outlook for 2015 with a focus on net sales growth, adjusted gross and operating margin expansion, and adjusted earnings per share growth.
Laurent Freixe presented on driving sustainable value creation in Zone Americas. Some key points:
1) Zone Americas has a strong footprint across North and Latin America with $37.7 billion in sales and over 90,000 employees.
2) Zone Americas has accelerated organic growth from 3.4% in 2017 to 4.8% in 2020 while reducing structural costs and increasing underlying operating profit margin.
3) Sustainability is at the core of the strategic framework, including initiatives from farm to fork and beyond like regenerative agriculture, renewable energy, and reducing water usage.
The document provides an overview of The Clorox Company's Q3 FY17 investor presentation. Key points include:
- Clorox has an advantaged portfolio with over 80% of sales from #1 or #2 share brands across cleaning, household, lifestyle, and international categories.
- The company is focused on strategies like innovation, digital transformation, and an engaged growth culture to drive sales growth of 3-5% annually.
- For FY17, Clorox expects sales growth of 3-4% and earnings per share growth of 7-9%, supported by factors like innovation, the Renew Life acquisition, and cost savings.
- Long-term, Clorox aims
The document analyzes strategic alternatives for AB InBev to maintain growth and returns. The five alternatives analyzed are: 1) continuing organic growth, 2) acquiring Diageo's brewing business, 3) investing in a Chinese brewery, 4) a joint venture with FEMSA, and 5) a merger with SABMiller. A merger with SABMiller is recommended to create the undisputed global #1 beer company with unparalleled brands, efficiency, and ability to realize significant synergies.
Miami University 2015 William Blair I-Banking Competition WinnerMichael T. Loffredo
Armstrong Foods is a leading food and beverage distributor seeking a potential sale. Valuation analyses value the company between $450-480 million based on comparable company and precedent transaction multiples of 8-10x EBITDA. A sale to a financial sponsor is recommended due to potential synergies, though a strategic buyer could work if they retain management. Key considerations include the fragmented distribution industry and Armstrong's diversified customer and product base.
The document summarizes a sell-side equity research report on WD-40 Company. The report recommends selling WD-40 stock based on its expensive valuation relative to the company's slow growth prospects. Key points include limited revenue growth of 3% annually, intrinsic valuations below the current stock price based on discounted cash flow and dividend discount models, and margin expansion from lower oil prices that is not sustainable long-term. The report also notes that generous stock repurchases have inflated the stock price in recent years.
The document provides a recommendation from a consulting team to The Kroger Co. Board of Directors. It proposes that Kroger acquire Grubhub, the largest online and mobile food ordering company, to expand into food delivery and increase its online presence. It also recommends that Kroger divest its convenience stores and gas stations to Alimentation Couche-Tard to help finance the Grubhub acquisition. The proposal aims to address Kroger's declining same-store sales growth and help it adapt to changing consumer preferences for online shopping and food delivery.
Sprouts Farmers Market operates 326 grocery stores across 21 states specializing in fresh, natural, and organic products. A discounted cash flow analysis assuming a 4% discount rate and 2% perpetual growth rate values Sprouts at $20.11 per share, indicating it is fairly valued. A comparable companies analysis using median and average enterprise value/EBITDA multiples also suggests Sprouts is fairly valued. While precedent grocery industry transactions point to potential overvaluation, consolidation is ongoing as companies seek inorganic growth in the competitive, low growth industry.
This document provides an analysis of WD-40 Company (WDFC) by students participating in the CFA Institute Research Challenge. They initiate coverage of WDFC with a SELL recommendation and 12-month price target of $91, representing a 16% downside. Key points of their analysis include: limited top-line growth of 3% annually, intrinsic values below current market values based on DCF and dividend discount models, margin expansion from lower oil prices is unsustainable, and the stock price has been inflated by share repurchases funded with increased debt.
The biotechnology industry had an unprecedented year in 2014, reaching new highs in revenues, R&D spending, profits, financing amounts, and market capitalization. Strong product sales and approvals helped boost investor sentiment and company valuations. A surge in IPOs and follow-on financings provided the industry with historic levels of capital to fund innovation.
1) Campbell Soup Company's President and CEO outlined changes underway at the company including reorganizing into three new business divisions and implementing a cost-reduction program.
2) The company is reorganizing into the Americas Simple Meals and Beverages division, Global Biscuits and Snacks division, and Packaged Fresh division to better align with growth strategies.
3) Campbell aims to reduce costs by $200 million annually over three years through initiatives like zero-based budgeting, headcount reductions, and examining all spending categories.
KPIT Cummins declares Q4 and Annual FY12 Results KPIT
KPIT Cummins reports strong financial results for FY2012, with 52% revenue growth to over INR 1,500 Crore. Q4 revenue grew 26.7% quarter-over-quarter to INR 4,800 Crore. Net profits grew 54% year-over-year for FY2012. Key management comments note industry-leading growth performance and profitability improvements. Significant deals were signed, including one over USD 20 million. The company is well positioned for continued growth with opportunities in focus industries like automotive, manufacturing and utilities.
The document discusses Hillenbrand's strategy to transform into a global diversified industrial company through acquisitions and organic growth. It highlights how Hillenbrand has strengthened its portfolio and financial results over the past 5 years. The presentation also outlines Hillenbrand's strategic priorities going forward to continue driving profitable growth, including strengthening leadership positions, leveraging the Hillenbrand Operating Model, and making additional acquisitions.
Staples is considering acquiring NetScout Systems to expand into the growing IT services market. The recommendation is for Staples to first repurchase $1 billion of its own shares to increase EPS and share price. Then, Staples would acquire NetScout for $44.01 per share, using 40% stock, 40% debt, and 20% cash. The acquisition would allow Staples to significantly bolster the technology portion of its Business Advantage services and diversify its revenues beyond office supplies.
The document provides an investor briefing for Bemis Company Inc. for December 2014. It summarizes the company's financial performance in 2013 and guidance for 2014. Bemis reported record adjusted EPS of $2.09 in 2013 and expects continuing operations adjusted EPS to be in the range of $2.26 to $2.31 for 2014. The company will focus on accelerating growth through initiatives like expanding in emerging markets, increasing sales of high-barrier packaging and healthcare packaging, and investing in new product technologies. Bemis maintains a disciplined capital allocation approach focused on organic growth, acquisitions, dividends, and share repurchases.
The presentation provides an overview of Hershey's business model and strategies to sustain momentum and deliver shareholder returns. Hershey has a growing portfolio of beloved brands that hold strong US market shares. It has unmatched capabilities connecting it to consumers through customer strategies, data analytics, agile supply chain, and precision consumer messaging. Hershey also has a dynamic workforce and takes a long-term view in its growth, focusing on environmental, social and governance goals. Its strategies are aimed at balanced long-term sales growth and margin expansion to deliver consistent earnings growth and healthy cash flow.
WhiteWave Foods produces plant-based foods and organic dairy products. The document provides an analysis of WhiteWave, including its brands, financial performance, industry growth opportunities, and stock valuation. Key points are that WhiteWave has leading market shares in several categories, the organic and plant-based food industry is poised for high growth, and WhiteWave's stock is undervalued and expected to provide a 21.14% return.
This document summarizes information about Neenah Paper, Inc., which operates in two business segments: Technical Products and Fine Paper. Technical Products produces specialty papers for filtration, industrial backings, and labels, while Fine Paper produces image-oriented papers for premium print communications and packaging. The document discusses Neenah's financial performance, strategies to grow organically and through acquisitions in niche specialty markets, and goals to deliver consistent returns and deploy excess cash to shareholders.
KeyBanc Industrial, Automotive and Transportation Conference Presentation Hillenbrand_IR
Hillenbrand provides an overview of its transformation strategy to become a world-class global diversified industrial company through acquisitions and organic growth. It discusses its two business segments: Process Equipment Group and Batesville. PEG provides highly engineered industrial equipment and has a focus on acquisitions and parts/service growth. Batesville is the market leader in North American burial caskets and is focused on profitably serving that market while expanding in cremation products. Hillenbrand reports Q2 2016 financial results that showed revenue declines driven by Batesville, but growth in adjusted EBITDA and cash flow.
The document summarizes a presentation given at the CAGNY conference by J.P. Bilbrey, President and CEO of The Hershey Company. It discusses the company's strategies to drive predictable, profitable, and sustainable results globally through international expansion, portfolio growth, delivering strong North American performance, innovation, and leveraging knowledge and capabilities. It provides an outlook for 2015 with a focus on net sales growth, adjusted gross and operating margin expansion, and adjusted earnings per share growth.
Laurent Freixe presented on driving sustainable value creation in Zone Americas. Some key points:
1) Zone Americas has a strong footprint across North and Latin America with $37.7 billion in sales and over 90,000 employees.
2) Zone Americas has accelerated organic growth from 3.4% in 2017 to 4.8% in 2020 while reducing structural costs and increasing underlying operating profit margin.
3) Sustainability is at the core of the strategic framework, including initiatives from farm to fork and beyond like regenerative agriculture, renewable energy, and reducing water usage.
The document provides an overview of The Clorox Company's Q3 FY17 investor presentation. Key points include:
- Clorox has an advantaged portfolio with over 80% of sales from #1 or #2 share brands across cleaning, household, lifestyle, and international categories.
- The company is focused on strategies like innovation, digital transformation, and an engaged growth culture to drive sales growth of 3-5% annually.
- For FY17, Clorox expects sales growth of 3-4% and earnings per share growth of 7-9%, supported by factors like innovation, the Renew Life acquisition, and cost savings.
- Long-term, Clorox aims
The document analyzes strategic alternatives for AB InBev to maintain growth and returns. The five alternatives analyzed are: 1) continuing organic growth, 2) acquiring Diageo's brewing business, 3) investing in a Chinese brewery, 4) a joint venture with FEMSA, and 5) a merger with SABMiller. A merger with SABMiller is recommended to create the undisputed global #1 beer company with unparalleled brands, efficiency, and ability to realize significant synergies.
Miami University 2015 William Blair I-Banking Competition WinnerMichael T. Loffredo
Armstrong Foods is a leading food and beverage distributor seeking a potential sale. Valuation analyses value the company between $450-480 million based on comparable company and precedent transaction multiples of 8-10x EBITDA. A sale to a financial sponsor is recommended due to potential synergies, though a strategic buyer could work if they retain management. Key considerations include the fragmented distribution industry and Armstrong's diversified customer and product base.
The document summarizes a sell-side equity research report on WD-40 Company. The report recommends selling WD-40 stock based on its expensive valuation relative to the company's slow growth prospects. Key points include limited revenue growth of 3% annually, intrinsic valuations below the current stock price based on discounted cash flow and dividend discount models, and margin expansion from lower oil prices that is not sustainable long-term. The report also notes that generous stock repurchases have inflated the stock price in recent years.
The document provides a recommendation from a consulting team to The Kroger Co. Board of Directors. It proposes that Kroger acquire Grubhub, the largest online and mobile food ordering company, to expand into food delivery and increase its online presence. It also recommends that Kroger divest its convenience stores and gas stations to Alimentation Couche-Tard to help finance the Grubhub acquisition. The proposal aims to address Kroger's declining same-store sales growth and help it adapt to changing consumer preferences for online shopping and food delivery.
Sprouts Farmers Market operates 326 grocery stores across 21 states specializing in fresh, natural, and organic products. A discounted cash flow analysis assuming a 4% discount rate and 2% perpetual growth rate values Sprouts at $20.11 per share, indicating it is fairly valued. A comparable companies analysis using median and average enterprise value/EBITDA multiples also suggests Sprouts is fairly valued. While precedent grocery industry transactions point to potential overvaluation, consolidation is ongoing as companies seek inorganic growth in the competitive, low growth industry.
This document provides an analysis of WD-40 Company (WDFC) by students participating in the CFA Institute Research Challenge. They initiate coverage of WDFC with a SELL recommendation and 12-month price target of $91, representing a 16% downside. Key points of their analysis include: limited top-line growth of 3% annually, intrinsic values below current market values based on DCF and dividend discount models, margin expansion from lower oil prices is unsustainable, and the stock price has been inflated by share repurchases funded with increased debt.
The biotechnology industry had an unprecedented year in 2014, reaching new highs in revenues, R&D spending, profits, financing amounts, and market capitalization. Strong product sales and approvals helped boost investor sentiment and company valuations. A surge in IPOs and follow-on financings provided the industry with historic levels of capital to fund innovation.
1) Campbell Soup Company's President and CEO outlined changes underway at the company including reorganizing into three new business divisions and implementing a cost-reduction program.
2) The company is reorganizing into the Americas Simple Meals and Beverages division, Global Biscuits and Snacks division, and Packaged Fresh division to better align with growth strategies.
3) Campbell aims to reduce costs by $200 million annually over three years through initiatives like zero-based budgeting, headcount reductions, and examining all spending categories.
KPIT Cummins declares Q4 and Annual FY12 Results KPIT
KPIT Cummins reports strong financial results for FY2012, with 52% revenue growth to over INR 1,500 Crore. Q4 revenue grew 26.7% quarter-over-quarter to INR 4,800 Crore. Net profits grew 54% year-over-year for FY2012. Key management comments note industry-leading growth performance and profitability improvements. Significant deals were signed, including one over USD 20 million. The company is well positioned for continued growth with opportunities in focus industries like automotive, manufacturing and utilities.
The document discusses Hillenbrand's strategy to transform into a global diversified industrial company through acquisitions and organic growth. It highlights how Hillenbrand has strengthened its portfolio and financial results over the past 5 years. The presentation also outlines Hillenbrand's strategic priorities going forward to continue driving profitable growth, including strengthening leadership positions, leveraging the Hillenbrand Operating Model, and making additional acquisitions.
Hi investor presentation 19_mar18 - final for printHillenbrand_IR
The document discusses Hillenbrand's strategy to continue transforming into a global diversified industrial company through organic growth, acquisitions, leveraging their operating model to drive profitability, and deploying strong free cash flow. They have made progress growing revenue and margins across their Process Equipment Group and Batesville segments. Hillenbrand is now focused on building leadership positions and platforms to accelerate profitable growth.
3i Infotech is an Indian IT company that provides software products and IT services. According to its financial statements:
- Revenue has grown significantly over the past 4 years at a CAGR of 61% through both organic growth and acquisitions.
- Profits have also increased substantially, with net profit margin growing from 0.14 to 0.22 between 2007-2008.
- However, debt levels have also risen considerably to finance growth, with total debt increasing from Rs. 546 crores to Rs. 1225 crores.
- While growth has been strong, the company needs to improve its cash flows and working capital management to support further expansion in a sustainable manner. Tighter
Hi investor presentation sidoti ndr_final for print_23_may18Hillenbrand_IR
Hillenbrand provides a summary of its transformation into a global diversified industrial company through acquisitions and portfolio changes over the past five years. It is now focused on building leadership positions in key markets like plastics and chemicals through organic growth and strategic M&A. The Hillenbrand Operating Model is a competitive advantage that has driven margin expansion and cash flow generation, and will be leveraged to accelerate profitable growth. Hillenbrand has a strong balance sheet to support its strategic priorities and further transformation.
This document discusses how industrial goods companies can boost growth through expanding their service businesses. It finds that while services currently generate 20% of revenues on average for these companies and 50% of profits, the potential is much greater as most companies currently achieve only 10-25% of the total potential revenue from services. The document advocates developing a comprehensive service strategy using a framework to identify priority customer segments and services, standardize service offerings, improve sales processes, and transform company culture and organization to focus more on services. It argues this can boost profits substantially and provide a major new source of long-term growth for these companies.
This document provides an overview of Greif's 2016 Investor Day. It begins with safety briefings and forward-looking statements. The agenda then summarizes presentations on Greif's strategy, the Paper Packaging & Services division, and the Flexible Products & Services division. Financial results and Q&A sessions are also included. The document aims to update investors on Greif's transformation process and reaffirm its 2017 commitments around sales, profits, expenses, and cash flow.
This investor presentation summarizes an investor presentation from Ingersoll Rand given in May 2018. The key points are:
1) Ingersoll Rand is a global leader in energy efficiency and productivity with two segments - Industrial and Climate - and leading brands in various markets.
2) The company has a robust financial model that delivers powerful cash flow through diversified end markets, market leading positions, focus on margin expansion, and balanced capital deployment.
3) Ingersoll Rand's strategy of sustained growth, operational excellence, and dynamic capital allocation is driving profitable growth and margin improvement towards 2020 targets of 4-4.5% revenue CAGR, 14.5-15% operating margins, and 11-
2018 UBS Global Industrials and Transportation Conference Presentationingersollrand2016
UBS Global Industrials & Transportation Conference presentation discusses Ingersoll Rand's business segments, financial performance, growth targets, and opportunities. It highlights Ingersoll Rand's leading market positions, focus on operational excellence and margin expansion, powerful cash flow generation, and balanced capital allocation strategy, which has delivered consistent growth and shareholder returns. The presentation also emphasizes Ingersoll Rand's commitment to sustainability, innovation, and high employee engagement.
While security servicing providers have performed well in recent years, they face anemic core growth, shifting client expectations, rising pressure on fees, and the potential for disruption. The COVID-19 pandemic and associated recession will put further pressure on the industry. In response, they must be bold in their planning and approach to service delivery.
BeWise'i loeng: Ivo Vaks "Performance Management ja laienemine Microsofti näi...JCI Tallinn BeWise
Ivo Vaks viis läbi BeWise'i projekti raames loengu "Performance Management ja laienemine Microsofti näitel".
Ivo Vaks, Westen Europe Area Segment Finance Lead (Mature/developed markets) Microsoftis, käsitles oma loengus neid teemasid:
• hetketrendid äris
• innovatsiooni koostisosad
• eduka äri mõttelaad
• väljakutsed uutel turgudel
• seigad (äri)kultuuri erinevustest
• õppetunnid elust enesest
• Q&A jpm
Ivo Vaks on omandanud majandusmagistrikraadi Tallinna Tehnikaülikoolis ja praeguseks on ta juba üheksa aastat töötanud Microsoftis nii finantsjuhi kui uute turgude värbajana, seda nii Eestis, Saksamaal kui ka praegu Microsoft Netherlands´s. Ivole meeldivad muuhulgas mootorrattasõit, reisimine ja uute asjade avastamine.
http://bewise.jcitallinn.ee/
http://www.facebook.com/jci.bewise
http://youtu.be/a-LLAIb65VI
This investor presentation covers Ingersoll Rand's business, financial performance, growth opportunities, and outlook. Some key points:
- Ingersoll Rand is a global leader in energy efficiency and productivity with two segments - Industrial and Climate - that have diversified end markets and recurring revenue streams.
- The company has delivered strong financial performance through revenue growth, margin expansion, and powerful free cash flow generation. Targets include 4-4.5% revenue CAGR through 2020.
- Ongoing business investments in new products, technology, and capabilities support continued growth and profitability opportunities across segments.
- Ingersoll Rand pursues a balanced capital allocation strategy of reinvestment, dividends
The second year MBA team from Rollins College assumed the role of the Investment Bank “MBA Investment Bankers,” consulting on strategic alternatives for a public company with a 550 mUSD market capitalization. The work included a market and industry overview, range of market and discounted cash flow (DCF) valuations, scenario analyses, bidding strategies, and appropriate deal structures. The team additionally developed a term sheet, letter of engagement, and a timeline of the M&A process including post transaction investor relation strategy.
The final recommendation represented an acquisition strategy for a private fashion company with a comprehensive bidding plan to increase value for shareholders, accelerate growth, improve margins, boost public confidence, maintain the legacy of the company’s founders, and benefit from the current economic conditions.
Presented to the "Board of Directors" consisting of 10 professionals from a variety of backgrounds including Investment Banking, Corporate Law, and Wealth Management.
2nd Place Overall
Ibm bis 2014 m. rolfe cfo insights from ibm global c suite studyIBM Switzerland
Performance Accelerators outperform other CFOs by perfecting financial efficiency, capitalizing on business insight, and creating profitable growth. They have mastered core finance duties and use analytics to develop deep insights from integrated internal and external data. This enables them to excel at scenario planning, risk management, and identifying growth opportunities. Performance Accelerators represent 7% of CFOs and are pushing the boundaries of the CFO role through their focus on analytics, profitable growth initiatives, and willingness to enter new areas beyond core finance.
Annual Report - Tata Technologies 2015 (Full size)Shaffwan Ahmed
The annual report summarizes Tata Technologies' performance in fiscal year 2015-2016. Some key highlights include surpassing Rs. 2,700 crore in consolidated revenue. On a standalone basis, the company achieved 8% growth in revenue, EBITDA, and 10% growth in PAT. The company also generated strong cash flow of Rs. 179 crore. Looking ahead, the CEO is optimistic about the company's strategic focus on lightweighting and full-vehicle development capabilities to drive continued growth.
Delivering more value to the business through
performance measurement and improved decision
support is the top priority for the finance function
through 2020. Among senior finance professionals
participating in the 2014 EY Global Insurance CFO
Survey, 71% indicated that “being a better business
partner” ranked among their top three priorities,
with 35% placing this as number one.
Process engineering economics i industrial engineering managementLuis Cabrera
The document discusses process engineering economics and the balanced scorecard approach. It provides an example of a 3PL logistics company's balanced scorecard for fiscal year 2020. The scorecard outlines objectives, initiatives, metrics and critical success factors. It also identifies opportunities, threats and support needed from management. Key business metrics included turnover of 138 million and targets for new business from Volkswagen and a joint venture. EBITDA, a key financial metric, is also explained as earnings before interest, taxes, depreciation and amortization.
- Prolonged recession has impacted businesses, causing tight budgets and forcing leaders to leverage technology more efficiently at lower costs. IT consulting is emerging as a powerful model to rapidly implement customized solutions.
- The IT consulting market will see rapid growth, not in spite of macroeconomic issues but because of them, as companies optimize technology ROI. SaaS adoption will explode over the next five years.
- Consulting is becoming more prominent and is changing traditional business metrics, focusing on time-to-value and customer satisfaction over long-term contracts. Recommendations include demonstrating value to buyers and expanding service offerings.
Conducted numerous valuation methodologies and thorough research for Steinkeller Solutions, a highly specialized staffing firm focused on Life Sciences, Technologies, Healthcare IT, and Energy. Assessed Bloomberg data, company financials, and company strategy to make an informed strategic sale recommendation to a sponsor to William Blair bankers.
The document provides an overview of trends in the investment management industry in the first quarter of 2015 based on conversations with clients and candidates. Some of the key topics discussed include the impact of new regulations like AIFMD, positive bonuses and compensation, concerns around external market influences, growth in new product offerings and digital/data strategies. In operations, demand is high for candidates with broad experience, while technology and data management are focused on regulatory reporting, data governance, and implementing integrated reference data platforms. The year overall remains optimistic but cautious.
Similar to Fall 2015 Credit Suisse Pitch Competition (20)
IMPACT Silver is a pure silver zinc producer with over $260 million in revenue since 2008 and a large 100% owned 210km Mexico land package - 2024 catalysts includes new 14% grade zinc Plomosas mine and 20,000m of fully funded exploration drilling.
The 10 Most Influential Leaders Guiding Corporate Evolution, 2024.pdfthesiliconleaders
In the recent edition, The 10 Most Influential Leaders Guiding Corporate Evolution, 2024, The Silicon Leaders magazine gladly features Dejan Štancer, President of the Global Chamber of Business Leaders (GCBL), along with other leaders.
Recruiting in the Digital Age: A Social Media MasterclassLuanWise
In this masterclass, presented at the Global HR Summit on 5th June 2024, Luan Wise explored the essential features of social media platforms that support talent acquisition, including LinkedIn, Facebook, Instagram, X (formerly Twitter) and TikTok.
Top mailing list providers in the USA.pptxJeremyPeirce1
Discover the top mailing list providers in the USA, offering targeted lists, segmentation, and analytics to optimize your marketing campaigns and drive engagement.
Tata Group Dials Taiwan for Its Chipmaking Ambition in Gujarat’s DholeraAvirahi City Dholera
The Tata Group, a titan of Indian industry, is making waves with its advanced talks with Taiwanese chipmakers Powerchip Semiconductor Manufacturing Corporation (PSMC) and UMC Group. The goal? Establishing a cutting-edge semiconductor fabrication unit (fab) in Dholera, Gujarat. This isn’t just any project; it’s a potential game changer for India’s chipmaking aspirations and a boon for investors seeking promising residential projects in dholera sir.
Visit : https://www.avirahi.com/blog/tata-group-dials-taiwan-for-its-chipmaking-ambition-in-gujarats-dholera/
Understanding User Needs and Satisfying ThemAggregage
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1. Credit Suisse Private Equity
Discussion Materials October 23, 2015 Paragon Financial Group
2. OUR TEAM
Kelley School of Business, 2017
Majors: Finance & Accounting
Investment Banking Workshop ’17
Kelley School of Business, 2017
Majors: Finance & Accounting
Investment Banking Workshop ‘17
Kelley School of Business, 2018
Majors: Finance & Accounting
Investment Banking Workshop ‘18
Kelley School of Business, 2017
Majors: Finance & Accounting
Investment Banking Workshop ‘17
Flat
Organizational
Structure
World-wide
Firm with
International
Reach
Diverse Senior
Banker
Background
Committed to
Maximizing
Your Value
Coverage in
Numerous
Industry
Verticals
Unbiased, Pure
Advisory Focus
Jamey Dorman Mitchell Morris
Neil Davé Jon Tripp
3. TABLE OF CONTENTS
I. EXECUTIVE SUMMARY……………………………………………………….......
II. STRATEGIC RECOMMENDATION…………………………………….………...
III. ABM COMPANY OVERVIEW……………………………………….…………….
IV. INVESTMENT THESIS………………………………………………….…………..
i. DIVERSE INDUSTRY EXPOSURE..………………………….………………..
ii. 2020 VISION: A SUSTAINABLE MODEL FOR GROWTH….…………..........
iii. ORGANIC GROWTH WILL BE DRIVEN BY MARGIN EXPANSION………
iv. BOLT-ON STRATEGY WILL DEVELOP A MORE DIVERSE COMPANY…..
v. STRONG MANAGEMENT TEAM…..………………………………………..
vi. EXIT OPPORTUNITIES ……………………………………………………….
V. VALUATION METRICS…………………………………………………………….
VI. APPENDIX…………………………………………………………………………...
4
5
6
7
8
9
10
11
13
14
15
20
4. Overview
Credit Suisse is seeking an anchor investment to begin its private equity fund
Objective: Select a company to act as a foundation for the fund to build upon through a bolt-on strategy
Create a plan to maximize value of current company with operational improvements
Evaluate potential candidates for a post-purchase bolt-on strategy
Recommendation
Paragon Financial Group recommends purchasing ABM Industries as a bolt-on platform company
Industry Analysis
The facility services industry is extremely fragmented with over 80,000 companies with only 2% of those
companies having more than 10 employees
Revenue trends have consistently exceeded expectations and outpaced the overall market
Total US revenue for other administrative and support services rose 7.7% in Q2 of 2015
Spending on commercial construction has increased year over year driving sales of facility maintenance
services and providing growth prospects for well positioned companies in the industry
Company Assessment
ABM Industries leads the market in janitorial services, holding a 5% market share
ABM has completed numerous acquisitions with intentions of expanding into new markets, optimizing
margins and growing its current market share
The new CEO is implementing a 2020 plan which will eliminate less profitable areas of the business as
well as create a new strategic alignment plan
Bolt-on Strategy
After evaluating the company’s current acquisition plan we believe there are 13 companies that should be
considered for future bolt-on acquisitions
EXECUTIVE SUMMARY
4Executive Summary │
5. 0
10
20
30
40
50
2006 2007 2008 2009 2010
TTEC BID ABM
Range of
mature to new
industries and
companies
Two highly
cyclical
companies
with ABM
proving to be
more recession
stable
• Revenue: $5,207.2
• LTM EBITDA: 194.6
• Debt: 305.1
• Revenue: $933
• LTM EBITDA: 247
• Debt: 512.1
• Revenue: $1,280
• LTM EBITDA: 168
• Debt: 115
ABM is a facility maintenance provider
Holds a 5% market share in the Janitorial
Industry, largest in industry
ABM is a service provider for more than half
of the Fortune 500 companies
Sotheby’s is a high-end auction house
specializing in art, wine and diamonds
World’s largest art business
Very cyclical company with most revenue
occurring during October
TeleTech is a global business process
outsourcing company
TeleTech’s top 5 customers account for 36% of
their revenue
Stock Performance 2006 – 2010
5
STRATEGIC RECOMENDATION
18.64
33.21
51.29
Volatility
Recommendation │
6. Middle-market
company
focused on
steady growth
through
acquisition
Strategic
transformation
initiative that
will create 40-
50M in run-
rate EBITDA
6
ABM COMPANY OVERVIEW
FY15 Financial Highlights
FY15 Revenue: $5,032.8
Consistent dividend repayment ($35m)
Adjusted LTM EBITDA of $194.60
Revenue growth of roughly 8% average over the
last 5 years
Building & Energy Solutions grew over 14%
Healthcare Support Services grew 24%
Strategic Realignment
Company Highlights
Headquarters: New York, New York
Five segments: Janitorial, Parking, Facility
Services, Security and Building & Energy
Largest player in the Janitorial Services Industry
with roughly 5% market share
Consistent growth seen through targeted
acquisitions in a wide breadth of industries and
geographical locations
Diverse customer base with less than 2%
dependency on any customer
Cross Selling at an all-time high due to Solve One
More initiative aimed at creating collaboration
between ABM service lines
Recent change in leadership with an Executive
Vice President, Scott Salmirs, taking over as CEO
Salmirs proposed extensive operational changes
and set comprehensive goals for the year 2020
Business model will be centered around
end-market clients
Share repurchase program
Adopting best practices in account and
labor management
Cost optimization and internal
development
Continued emphasis on cross-selling across
industry verticals
Recent Activity
5/5/15: Acquisition of CTS Services, LLC
10/2/14: Acquisition of GBM Support Services
8/7/14: Acquisition of Airco Commercial Services
3/6/14: Acquisition of Alpha Mechanical, Inc.
52%
12%
12%
8%
9%
7%
Product Segment Breakdown
Jantiorial
Facility
Parking
Security
Building & Energy
Other
Company Overview │
7. ABM’s diverse service offering
creates stability and minimizes
shareholder risk
2020 vision aims to transition
ABM into a period of both
organic and inorganic growth
Wide variety of industry
verticals puts ABM in a unique
position to make acquisitions
Strong management with a
proven M&A track record and
several recent acquisitions
Below average EBITDA
margins provide multiple
avenues for internal growth
The company competes in
stable industries that have
withstood multiple periods of
cyclicality
7
INVESTMENT THESIS
Investment Thesis │
8. 8
Facility/Janitorial Services
High competition and globalization
Top 3 players control 25% market share
Revenue growth expected to be consistent
with US economy
High cost of technological advancements
will drive consolidation
Security Services
Revenue trends continue to exceed
expectations
Minimal M&A activity leaving industry
unconsolidated
ABM leads the market with ~5% market
share, next largest has 1.2% market share
Parking Services
Increasing number of vehicles registered
worldwide creating a need for the industry
Diverse product offering including
transportation, parking solutions,
managing services, etc.
Industry growth CAGR of 12.1% expected
Jani-King International Inc
Other
Companies
92.1%
ABM IndustriesInc.
4.9%
1.2%
DTZ
<1.0%
ServiceMaster
<1.0%
Building & Energy Solutions
Services intended to reduce energy consumption and
minimize carbon footprint
Increasing energy costs, changing legislature/regulations,
environmental pressures and aging buildings/facilities
causing an increase in demand for energy management
Data driven analytics to push eco-friendly best practices
Janitorial Services Market Share
Spending on Nonresidential Construction Increasing YoY
100
200
300
400
500
Jan
Feb
Mar
Apr
May
Jun
Jul
Aug
Sep
Oct
Nov
Dec
2011
2012
2013
2014
2015r
($ in billions)
Exposure to a
wide range of
industries
Opportunity
to grow and
shrink in
certain more
favorable
industries
DIVERSE INDUSTRY EXPOSURE
Investment Thesis │
9. Streamlined
company
operations will
drive profit
margins higher
Diverse end
market provides
sufficient
growth
opportunities
9
Strategic realignment
Focus on end-markets to improve client
satisfaction
Emphasize high growth verticals
Aviation, Healthcare, Tech
Optimize account and labor management in
order to realize long term cost savings
Costs, Benefits, and Initiatives
$45-60M pre-tax outlay expected to be fully
incurred by Q3 2016
Generation of $40-50M run-rate EBITDA by
second half of F2017
Authorization of $200M share repurchase
Phase I
2015 - 2016
Phase II
2016- 2017
Phase III
2017- 2020+
KeyInitiativesGoals
Realign
Organization
Leverage Shared
services and
procurement
Pursue strategic
alternatives for
Security
Invest in key
capabilities
Develop vertical
acceleration plans
Develop account
planning and labor
management
programs
Vertical business
plans well
underway
Higher
penetration of
high margin
technical services
across the
enterprise
Position company
for focused growth
Create foundation
for a more efficient
organization
Provide
management with
best in class tools
Improve margin
profile
Achieve vertical
growth trajectory
Accelerate margin
growth
Janitorial
Security
Parking
Building & Energy
2020 VISION: A SUSTAINABLE MODEL FOR GROWTH
Investment Thesis │
10. With a lower
than average
operating
margin there
is more
growth
opportunities
Evaluation of
current
operating
segments to
determine
which should
garner more
focus
10
Operating Margin by Segment
Janitorial
Facility
Services
Parking Security
Building &
Energy
Solutions
Other
4.9% 4.1% 4.8% 3.0% 5.4% 4.0%
Current operating margins are among
the lowest in the industry providing
margin expansion opportunities
Minimize unprofitable
segments and focus growth on
higher margin segments
Invest in technology to enhance
product offerings and manage
operational expenses
Parking and Building & Energy
Solutions are heavily reliant on
technological advancements
Continual alignment of infrastructure
between segments to increase margins
and realize increased synergies from
future acquisitions
Move towards a focus on industry
verticals to provide the opportunity of
cross-selling products
Sell-off low margin segments to a
bigger player to allow for more cash
flow and focus on ABM’s successful
pieces
0.0% 10.0% 20.0%
ServiceMaster Hldgs.
Rollins Inc.
CBRE Group, Inc.
SP Plus Corporation
Aramark
MITIE Group
Healthcare Services Group
EMCOR Group
ABM Industries
Operating Margins
EBIT EBITDA
ORGANIC GROWTH WILL BE DRIVEN BY MARGIN EXPANSION
Investment Thesis │
11. Janitorial Facility Parking Healthcare
11
B & E
BOLT-ON STRATEGY WILL DEVELOP A MORE DIVERSE COMPANY
Investment Thesis │
12. 12
Tier 1
Tier 2
Healthcare Services Group is an American based
company focused on primary care for hospitals and
senior living facilities. In the senior living facilities
they provide facility management, housekeeping &
laundry services as well as dining & nutrition
services. In hospitals HSG focuses on the
environmental services and dining & nutrition
services. Healthcare, one of the targeted growth
segments for ABM’s 2020 plan, would help to expand
a key segment for ABM.
Coverall provides both janitorial and service
maintenance to a variety of verticals. They focus
specifically on office facilities, healthcare, fitness
centers and gyms, retail and restaurant and more. The
growth potential with Coverall and ABM is going to
be in the verticals that ABM is has not yet penetrated.
Both fitness centers and retail/restaurants are gigantic
markets that ABM does not currently cover.
Expanding into these markets with ABM’s current
service offering may provide extreme revenue
growth.
SP+ Corporation provides professional parking,
ground transportation, facility maintenance, security,
and event logistics to a wide range of markets. It is
rated among the highest in quality of business in their
industry, and their management team is rated above
average in relation to their industry. The current focus
of the management team is reaching into
underpenetrated markets with an expectation of 5-7%
growth in gross profit. This business will provide an
increase in ABM’s existing operating margins.
Ameresco, Inc. provides comprehensive energy
efficiency and renewable energy solutions for facilities
throughout North America and the UK. Its $301
million market cap makes the acquisition feasible for
ABM, and its core competency aligns well with
ABM’s recent initiatives in the Building & Energy
sector. Amersco’s founder, a visionary, built a
product-neutral business model that goes beyond
conservation and tackles the entire energy stream for
its clients.
ABM has
voiced interest
in focusing
growth efforts
on Aviation,
Healthcare, and
Tech sectors
These suggested
acquisitions
will help
achieve higher
overall
operating
margins
BOLT-ON STRATEGY WILL DEVELOP A MORE DIVERSE COMPANY
Investment Thesis │
13. 13
Experienced
management
team with an
acquisition
heavy
background
Management
team has
experience
working with
merger and
acquisitions
Board of Directors & C-Suite
Maryellen C. Herringer
Non-Executive Chairman of the
Board, ABM Industries
Incorporated
Linda Chavez
President, Becoming American
Institute
J. Philip Ferguson
Former Vice Chairman,
University of Texas Investment
Management Company
Anthony G. Fernandes
Former Chairman, Chief
Executive Office and President of
Philip Services Company
Luke S. Helms
Managing Director, Sonata
Capital Group
Sudhakar Kesvan
Chairman and Chief Executive
Officer, ICF International
Scott Salmirs
President and CEO, ABM
Industries Incorporated
William W. Steele
Former President and Chief
Executive Officer, ABM
Industries
ABM MANAGEMENT TEAM
Wendy M. Webb
Chief Executive Officer, Kestrel
Corporate Advisors
Investment Thesis │
14. 14
There are many
large strategic
buyers that are
growing into
the facility
management
space.
With facility
management
being a very
consistent cash
flow company
there are many
funds with
similar
companies in
their portfolio.
Strategic Buyers
Financial Buyers
TPG Capital is an
American private equity
firm that focuses on
larger deal sizes in C&R,
Industrials, technology
and health care. In 2014
TPG bought DTZ a
facility company for 1.142
billion at a 10.7x and have
since bought Cushman &
Wakefield to roll up the
two companies.
Apollo Global
Management is an
American based private
equity firm that has made
a name for itself doing
premier transactions. In
early 2015 Apollo bought
protection 1, Inc. A
facility company for 1.5
billion as well as ASG
Security to use as a roll
up.
Revenue: $14,731 M
EBITDA: $1,170 M
Revenue: $39,409 M
EBITDA: $3,354 M
Aramark is an American
based food service
company focusing on
facility care as well as
healthcare service
provisions. Aramark has
had a strong history of
acquisitions, most recently
purchasing Lotus Facilities
Management for
additional market share.
Johnson Controls is a
Fortune 500 diversified
conglomerate. Its
products include
automobile interior
design, car seats,
batteries, climate control
or facility management.
Recently news has
circulated for a potential
acquisition of EnerSys,
Inc.
Total Assets under
Management: $163 B
Total Assets Under
Management: $74.3 B
EXIT OPPORTUNITIES
Investment Thesis │
15. $24.00 $26.00 $28.00 $30.00 $32.00 $34.00 $36.00 $38.00 $40.00
Leveraged Buyout
Precedent Transactions
Comparable Companies
Discounted Cash Flow
($ in millions)
15
EBITDA:
Adjusted LTM
EBITDA
$194.60
We are
suggesting a
price range of
$28.50 - $31.00
per share
VALUATION BREAKDOWN
Valuation │
DCF Comps Precedents LBO Recommended Valuation Range
$33.06 - $38.23 $29.43 - $32.81 $31.46 - $34.84 $29.43 - $32.81 $31.00 - $33.50
Implied Share Price
Discounted Cash Flow:
Implied EV/EBITDA of 11.0x – 12.5x
Precedent Transactions:
Implied EV/EBITDA of 10.6x – 11.6x
Leveraged Buyout
Implied EV/EBITDA of 10.0x – 11.0x
Comparable Companies:
Implied EV/EBITDA of 10.0x - 11.0x
21. High office vacancy rates could diminish
need or desire for facility management
and janitorial services
Decreases in office rent which could
harm ABM profit margins
Execution of 2020 restructuring plan is
integral to the growth of ABM and poor
implementation could hurt margins
Integration of latest acquisitions may
impede 2020 plan progress or disrupt
realization of synergies
21
POTENTIAL RISKS
2020 Plan
allows for
reduced risk
with
optimistic
projections
ABM is
directly
influenced by
both the rent
and vacancy of
office spaces
Mitigated Risk
Lowered but apparent risk of
bankruptcy if levered too high without
sustainable cash flow plan
High debt servicing costs if over-levered
Diminished but apparent risk of
economic downturn affecting 2020 plan
implementation
Cost-Reduction Risk
Potential for security divestiture
removing significant revenue stream
from core businesses
Operational/Market Risk
Vacancy Rates – By Largest Metropolitan City
2020 Plan Key Priorities
0. 5. 10. 15. 20.
Manhattan
San Jose
Houston
Washington D.C.
Orange County
Boston
Portland
Baltimore
New Jersey
Chicago
Philadelphia
Miami
Vacancy by %
Profitable
Growth
Organizational
Realignment
Cost
Optimization
Capital
Allocation
Focus
Direct focus
on industries
and solutions
where ABM
can
distinguish
itself
Organize
around target
industries by
moving to an
integrated
end-market
vertical focus
Leverage
scale to
manage costs
and allow for
increase
margins
Efficiently
return capital
to
shareholders
and bolster
investor
confidence
Appendix │
22. Facility/Janitorial Services
Dominant market position
Established industry presence and strong brand reputation
Contracts within key markets, strong supplier relationships
Ability to expand both organically and inorganically
Access to niche markets
Experienced management team
Revenue trends continue to exceed expectations with over 85% of
companies beating their projections
Revenue from existing accounts continue to hold very steady
M&A trends continue to stay minimal with little consolidation over
the past 4 years
Key Factors of Success
Industry Trends
Revenue: $31 billion
ABM Revenue: $383 million (1.2% share)
Top 3 Players control 25% market share
Average Operating Margins – 4.5%
High competition and globalization
Security Services
Requirement-focused, customized solutions
Competitive edge from cost leadership strategy
Sophisticated electronic systems
Comprehensive service offering
Entry/exit protection, background checks and investigation,
crowd control, ushering, patrol, etc.
Revenue growth expected to keep pace with US Economy
Rapid incorporation of technology in security systems
High cost of technology will sustain trend in consolidation
Competition from high-tech systems is putting pressure on
labor-intensive security systems to grow and adapt
Reduced reliance on manned guards will drive down wage costs
Key Factors of Success
Industry Trends
Clean 1+ billion square feet of buildings
daily across multiple industries
More than 50% of the Fortune 500 are ABM
clients
ABM offers environmentally friendly
cleaning services to LEED Certified
buildings
Maintain government facilities in 30
countries and over 20 military medical
facilities worldwide
10.4% stock growth 6/30/14 - 6/30/15
22
Middle-market
company
focused on
steady growth
and expansion
Highly
developed
supplier and
dealer
networks, and
strong brand
recognition
INDUSTRY OVERVIEW
Appendix │
23. ABM
Healthcare
Support
Services is a
fully
integrated
service
provider
ABM provides
parking
services for
many of our
different
product
groups
allowing for
cross selling
ABM Healthcare Support Services works to
provide everything from gurney
transportation to dietary plans for
hospitals across the country
ABM Healthcare has seen a 24% sales
increase in 2014 making it the fastest
growing portion of ABM
ABM Healthcare is focused around the
acquisition they made in 2012 of HHA
Services for $33.7 million
ABM currently services over 300 hospitals
as well as over 700 medical facilities
Healthcare Services
Ability to provide a full suite of products allowing the hospital to
use the company as a one stop shop
Strong reputation and market brand
Continued development of new products
Highly rated customer satisfaction as many of the services have
direct client interaction and reflect on the hospital.
Key connections with the hospital management teams
With the APA healthcare act the number of patients at hospitals
has been steadily rising increasing hospital spending
Hospitals have been looking for ways to cut costs after the APA
act increased operational expenses for many companies
M&A trends in Healthcare have been steadily increasing
Key Factors of Success
Industry Trends
Parking Services Key Factors of Success
Industry Trends
Three types of arrangements for parking
services: managed locations, leased
locations and allowance locations
Provide valet/shuttle services, revenue
generating parking solutions and electronic
vehicle charging stations
Largest competitors: LAZ Parking LLC and
SP Plus Corporation
Companies compete at local, regional and
national levels
Current Revenue: $616 million
Park 22.8+ million cars annually at
hospitals across the country
Increase in strategic use of technology: mobile parking app
Efficiency for parking lot users – especially stadiums/arenas
Honored by JFK, EWR and LGA airports for best performance
Most revenue coming from managed locations which is the most
profitable type of service
CAGR between 2013 and 2018 of 12.1%
High growth rate in number of vehicles registered worldwide –
causing higher demand for parking management systems
Smart City trends causing demand for more efficient parking
arrangements
23
INDUSTRY OVERVIEW (Cont.)
Appendix │