DOCSLIB.ORG

Investor Presentation Safe Harbor Statement & Disclosure This Presentation Includes Forward-Looking Comments Subject to Important Risks and Uncertainties

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Investor Presentation Safe Harbor Statement & Disclosure This Presentation Includes Forward-Looking Comments Subject to Important Risks and Uncertainties Investor Presentation Safe Harbor Statement & Disclosure This presentation includes forward-looking comments subject to important risks and uncertainties. It may also contain financial measures that are not in conformance with accounting principles generally accepted in the United States of America (GAAP). Refer to NACCO’s reports filed on Forms 8-K (current), 10-Q (quarterly), and 10-K (annual) for information on factors that could cause actual results to differ materially from information in this presentation and for information reconciling financial measures to GAAP. Past performance may not be representative of future results. Guidance noted in the following slides was effective as of the company’s most recent earnings release and conference call (March 3, 2016). Nothing in this presentation should be construed as reaffirming or disaffirming such guidance. This presentation is not an offer to sell or a solicitation of offers to buy any of NACCO’s securities. 2 NACCO Industries Overview 3 NACCO Industries at a Glance NACCO Industries, Inc. (NYSE: NC) 2015 full year highlights: Operating holding company with subsidiaries in the . Revenue – $915.9 million mining, small appliances and specialty retail . Adjusted Revenue - $881.3 million(1)(2) industries . Net income – $22.0 million Headquartered in Cleveland, Ohio . Adjusted Income - $43.7 million(1)(2) Approximately 3,600 employees globally . Cash flow from operations – $108.0 million . EBITDA – $54.9 million(1) . Net debt – $117.5 million NACCO’s strategy is to increase shareholder value by implementing strategic initiatives designed to achieve long-term profit growth _____________________ (1) Adjusted Revenue, Adjusted Income and EBITDA are non-GAAP measures and should not be considered in isolation or as a substitute for GAAP measures. The discussion of non-GAAP items and the related reconciliations to GAAP measures start on page 49. (2) Adjusted Revenue and Adjusted Income are measures of income that differ from Revenues and Net Income measured in accordance with GAAP. Adjusted Revenue and Adjusted Income are adjusted to exclude the results of Centennial Natural Resources (“Centennial”), including the 2014 asset impairment charge and the 2015 charges associated with the decision to cease mining operations at Centennial. Management believes that Adjusted Revenue and Adjusted Income assist the investor in understanding the results of operations of NACCO Industries, Inc. and North American Coal throughout this document and aid in understanding comparability of results. In addition, management evaluates results using these non-GAAP financial measures. 4 NACCO Industries Overview . Headquartered in Dallas, Texas . Headquartered in Richmond, Virginia . Headquartered in Chillicothe, Ohio . 2015 full year highlights: . 2015 full year highlights: . 2015 full year highlights: . Revenue – $148.0 million . Revenue – $621.0 million . Revenue – $151.0 million . Adjusted Revenue – $113.4 million(1) . Net income – $19.7 million . Net loss – $0.4 million . Net income – $5.6 million . Cash flow from operations – $13.9 million . Cash flow from operations – $12.5 million (1) . Adjusted Income – $27.3 million . EBITDA – $38.0 million(1) . EBITDA – $1.6 million(1) . Cash flow from operations – $95.9 million . Employees – 600 . Employees – 1,100 . EBITDA – $19.3 million(1) . Employees – 1,900(2) _____________________ (1) Adjusted Revenue, Adjusted Income and EBITDA are non-GAAP measures and should not be considered in isolation or as a substitute for GAAP measures. The discussion of non-GAAP items and the related reconciliations to GAAP measures start on page 49. (2) Includes employees of the unconsolidated mines 5 NACCO Industries Overview (continued) NACCO has significant strengths in its principal businesses: – Strong collective earnings and cash flow generation capability – Cash flow sustainability and low earnings volatility – Significant management expertise in operating each business across a range of economic conditions – Substantial overall cash generation to support growth strategies and objectives and cash returns to shareholders 6 NACCO’s Priorities for Use of Cash Investments in Core Subsidiary Businesses Investments in Individual Subsidiary Strategic Initiatives Ensure debt is at prudent levels Support strategic initiatives to accelerate growth or enhance margins Reduction of Debt Pursue complementary growth opportunities that play to Company strengths Prudent Investments in Complementary Ventures 2013 2014 2015 $8.1m $7.8m $7.3m Annual Dividends (1) $1.00/share $1.0225/share $1.045/share Return Cash to Stockholders 2011 to 2015 Stock Repurchase $95.6m / approximately 1,746,900 shares of Class A common Programs stock (1) Dollars represent total dividends paid during calendar year, while dividend per share represents the annualized dividend rate after each May increase. 7 Experienced Management Team Alfred M. Rankin Jr. Chairman, President and CEO of Chairman, President and NACCO Industries since 1994 Chief Executive Officer of . Former Vice Chairman, Chief NACCO Operating Officer and Director of Eaton Corporation J.C. Butler, Jr. President and Chief John Neumann . VP, General Counsel Elizabeth Loveman . Previously Director of SVP – Finance, Executive Officer – VP, General and Secretary of VP and Controller Financial Reporting Treasurer and Chief NACoal since 2015 Counsel and NACoal for NACCO Administrative Officer . Joined NACCO in Secretary of . Former Jones Day . Joined NACCO in of NACCO 1995 NACCO attorney 2012 . Joined NACCO in 2009 J.C. Butler, Jr. President and CEO of Gregory Trepp . President and CEO of Robert O. Strenski . President of Kitchen President and Chief North American Coal President and CEO Hamilton Beach President of Kitchen Collection since 2015 Executive Officer- since 2015 of Hamilton Beach Brands since 2010 Collection . Previously General The North American . Previously SVP- Brands . Previously VP of Merchandising Coal Corporation Project Development, CEO of Kitchen Global Marketing Manager of Kitchen Administration and Collection . Joined Hamilton Collection since 2013 Mississippi Operations Beach Brands in 1996 8 The History of NACCO Industries, Inc. and Subsidiaries 1913 Cleveland & Western Coal Company is founded 1925 Name changed to The North American Coal Corporation (NACoal) 1956 NACoal stock begins publicly trading over-the-counter 1961 NACoal is listed on NYSE 1985 NACoal buys controlling interest in Yale Materials Handling from Eaton Corporation 1986 NACCO Industries, Inc. is formed as a new public holding company 1988 NACCO purchases Proctor-Silex, along with Kitchen Collection chain of company outlet stores 1989 NACCO acquires Hyster Company and, together with Yale, forms NACCO Materials Handling Group 1990 NACCO acquires controlling interest of Hamilton Beach, Inc. and merges with Proctor-Silex 2012 NACCO spins off its materials handling business as Hyster-Yale Materials Handling (NYSE:HY) 9 North American Coal Overview 10 North American Coal (“NACoal”) Overview Mines coal primarily for use in power generation and provides selected value-added mining services for other natural resource companies Mines located in North Dakota, Texas, Mississippi, Louisiana and the Navajo Nation (New Mexico) Largest producer of limerock in Florida One of the largest producers of lignite coal in the U.S. and among the ten largest coal producers in the U.S. 2.0 billion tons of lignite coal reserves with 1.1 billion tons committed to current customers Known for outstanding operational and technical mining skills Highly efficient heavy equipment utilization rates Excellent record of employee safety and environmental responsibility Unique business model with largely long-term cost-plus contracts structured to eliminate exposure to market fluctuations of coal prices Provides steady income and cash flow with minimal capital investment Power plants served are generally well positioned to compete within current environmental regulations 11 NACoal’s ExcellentSafety Record incident rates one below by number ofemp hours workedbyall by 200,000divided multiplied and illnesses number of injuries Total Rate = Incident *OSHA 2015 Total Incident Rate* NACoal Cloud 2015 NationalMiningAssociation (“NMA”) Top 7 Coal Producers Ranked byIncident 7 CoalProducers Top 0.73 0.91 Peak Arch Peabody Alliance Alpha Murray 0.96 Rate 1.48 3.47 3.67 5.91 2015 Total Incident Rate* 12 2015 NMA Top 20 Surface Coal Producers Ranked 2015 NMA 20 SurfaceCoal Producers Top 0.55 0.61 0.73 0.91 0.96 1.34 1.39 by IncidentRate 1.48 loyees. The math described can loyees. lead to 1.53 2.73 3.47 3.62 3.67 4.09 4.49 4.53 5.15 5.15 5.91 6.58 Environmental Responsibility North American Coal has received over 75 federal and state awards for successful and innovative reclamation projects 13 NACoal Operations 14 Bisti Fuels Company . In December 2015, Bisti Fuels Company, LLC, a subsidiary of NACoal, entered into a 15-year, cost-plus Contract Mining Agreement with the Navajo Transitional Energy Company, LLC ("NTEC") . Bisti will act as NTEC's contract miner at NTEC's Navajo Mine, a surface coal mine located within the Navajo Nation near Fruitland, New Mexico . Bisti anticipates it will replace an existing contract miner during the second half of 2016 . Annual coal deliveries are expected to be between 5.0 to 6.0 million tons . NTEC provides coal to the third-party owners of the nearby Four Corners Generating Station 15 Unconsolidated Mines These mines produce strong cash flow with minimal
Load more

Recommended publications
  • Hamilton Beach Brands Holding Company | 2020 Annual Report Hamilton Beach Brands Holding Company | Annual 2020 Report HAMILTON BEACH BRANDS HOLDING COMPANY
    Hamilton Beach Brands Holding Company | 2020 Annual Report Hamilton Beach Brands Holding Company | 2020 Annual Report 2020 Annual | Company Holding Brands Beach Hamilton HAMILTON BEACH BRANDS HOLDING COMPANY About the Company Hamilton Beach Brands Holding Company is an operating holding company for Hamilton Beach Brands, Inc., a leading designer, marketer and distributor of a wide range of branded small electric household and specialty housewares appliances, as well as commercial products for restaurants, fast food chains, bars and hotels. Our brands include Hamilton Beach®, Hamilton Beach Professional®, Hamilton Beach Commercial®, Proctor Silex®, Proctor Silex Commercial®, Weston® field-to-table and farm-to-table food preparation equipment, TrueAir® air purifiers, and Brightline™ personal care products. We license the brands for Wolf Gourmet® countertop appliances and for CHI® premium garment care products. We market the Bartesian® premium cocktail delivery system through an exclusive multiyear agreement. Our leading portfolio of iconic consumer brands ranges from value to luxury products, across a wide range of price points. We participate in more than 50 product categories. The Hamilton Beach® brand continues to hold the number one position in the US small kitchen appliance industry for brand units sold in both the brick-and-mortar and ecommerce channels. Our brands have a strong presence in all the retail channels where consumers want to buy small kitchen appliances, including the fast-growing ecommerce channel. The principal market for our consumer products is North America, including the United States, Canada, Mexico, and Latin America. Our commercial products are sold globally, serving food service and hospitality customers around the world.
    [Show full text]
  • 11012 Nacco 09Ar
    NACCO Industries, Inc. 2009 Annual Report NACCO Industries, Inc. at a Glance Principal Businesses 2009 Financial Results Market Positions NACCO Materials Handling Group (“NMHG”) NMHG: NMHG: Headquarters: Cleveland, Ohio Revenues: NMHG is a world leader in NMHG designs, engineers, manufactures, sells, $1.5 billion the lift truck industry with an services and leases a comprehensive line of lift Operating loss: estimated 8 percent market trucks and aftermarket parts marketed globally $31.2 million share worldwide, including under the Hyster® and Yale® brand names. Lift trucks *Net loss: a 21.5 percent market share and component parts are manufactured in the $43.1 million in the Americas market. United States, Northern Ireland, The Netherlands, China, Italy, Japan, Mexico, the Philippines, Vietnam Lift trucks are distributed and Brazil. through a worldwide network of independent Hyster and Yale dealers and a limited number of wholly owned dealers. Hamilton Beach Brands (“HBB”) HBB: HBB: Headquarters: Richmond, Virginia Revenues: HBB is one of the leading $497.0 million companies in retail and HBB is a leading designer, marketer and distributor Operating profit: commercial small appliances, of small electric household appliances, as well as $50.4 million with strong share positions commercial products for restaurants, bars and hotels. *Net income: in many of the categories in $26.1 million which it competes. HBB has a broad portfolio of some of the most recognized and respected brands in the small electric HBB products are primarily appliance industry, including Hamilton Beach®, distributed through mass Proctor Silex®, eclectrics®, Traditions®, TrueAir® merchants, national depart- and Hamilton Beach® Commercial. ment stores, wholesale distributors and other retail sales outlets.
    [Show full text]
  • NACCO INDUSTRIES, INC. (Exact Name of Registrant As Specified in Its Charter)
    UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-K (Mark One) þ ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2015 or ¨ TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File No. 1-9172 NACCO INDUSTRIES, INC. (Exact name of registrant as specified in its charter) Delaware 34-1505819 (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification No.) 5875 Landerbrook Drive, Suite 220, Cleveland, Ohio 44124-4069 (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (440) 229-5151 Securities registered pursuant to Section 12(b) of the Act: Title of each class Name of each exchange on which registered Class A Common Stock, Par Value $1.00 Per Share New York Stock Exchange Securities registered pursuant to Section 12(g) of the Act: Class B Common Stock, Par Value $1.00 Per Share (Title of class) Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. YES ¨ NO þ Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act. YES ¨ NO þ Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
    [Show full text]
  • NACCO INDUSTRIES, INC. (Exact Name of Registrant As Specified in Its Charter)
    UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-K (Mark One) ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2016 or TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File No. 1-9172 NACCO INDUSTRIES, INC. (Exact name of registrant as specified in its charter) Delaware 34-1505819 (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification No.) 5875 Landerbrook Drive, Suite 220, Cleveland, Ohio 44124-4069 (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (440) 229-5151 Securities registered pursuant to Section 12(b) of the Act: Title of each class Name of each exchange on which registered Class A Common Stock, Par Value $1.00 Per Share New York Stock Exchange Securities registered pursuant to Section 12(g) of the Act: Class B Common Stock, Par Value $1.00 Per Share (Title of class) Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. YES NO Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act. YES NO Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
    [Show full text]
  • NACCO Industries, Inc. 2012 Annual Report
    NACCO Industries, Inc. 2012 Annual Report Founder, Frank E. Taplin, Sr. The First 100 Yea rs On February 18, 2013, The North American Coal Corporation, the predecessor company to NACCO Industries, Inc., marked the centennial of its founding and joined an elite group of American companies that have been in business for 100 years or more. The achievement of this milestone is worthy of celebration. Most business start-ups fail, typically within their first five years. Established in 1913 as a regional coal sales brokerage based in Cleveland, Ohio, North American Coal is one of the country’s top 10 coal producers. It has nimbly reinvented its business model several times in response to changing market conditions. Within a decade of its incorporation the one-man brokerage had evolved into a vertically integrated corporation with coal mining, dockyard and railroad subsidiaries. Produced in underground mines in Ohio, Pennsylvania and West Virginia, the company’s bituminous coal fueled trains and stoked industrial and residential furnaces. During the postwar years, North American Coal refocused its energies on providing steam coal to the skyrocketing electrical power industry. With increasingly complex regulations, in the 1970s the company began to withdraw from underground mining in the East and broaden its involvement with surface mining in the West and Southwest. North American Coal moved its corporate headquarters to Dallas, Texas, in 1988. Today North American Coal mines and markets lignite coal primarily as fuel for electrical power generation. In 2012, North American Coal returned to its historic roots with the acquisition of three bituminous coal mines in central Alabama that produce steam coal and metallurgical coal for the steel industry.
    [Show full text]
  • NACCO INDUSTRIES, INC. (Exact Name of Registrant As Specified in Its Charter)
    UNITED STATES SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-K (Mark One) ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2014 or TRANSITION REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 Commission File No. 1-9172 NACCO INDUSTRIES, INC. (Exact name of registrant as specified in its charter) Delaware 34-1505819 (State or other jurisdiction of incorporation or organization) (I.R.S. Employer Identification No.) 5875 Landerbrook Drive, Suite 220, Cleveland, Ohio 44124-4069 (Address of principal executive offices) (Zip Code) Registrant's telephone number, including area code: (440) 229-5151 Securities registered pursuant to Section 12(b) of the Act: Title of each class Name of each exchange on which registered Class A Common Stock, Par Value $1.00 Per Share New York Stock Exchange Securities registered pursuant to Section 12(g) of the Act: Class B Common Stock, Par Value $1.00 Per Share (Title of class) Indicate by check mark if the registrant is a well-known seasoned issuer, as defined in Rule 405 of the Securities Act. YES NO Indicate by check mark if the registrant is not required to file reports pursuant to Section 13 or Section 15(d) of the Act. YES NO Indicate by check mark whether the registrant (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months (or for such shorter period that the registrant was required to file such reports), and (2) has been subject to such filing requirements for the past 90 days.
    [Show full text]
  • NACCO INDUSTRIES, INC. (Exact Name of Registrant As Specified in Its Charter)
    SECURITIES AND EXCHANGE COMMISSION WASHINGTON, DC 20549 FORM 10-K [x] ANNUAL REPORT PURSUANT TO SECTION 13 OR 15(d) OF THE SECURITIES EXCHANGE ACT OF 1934 For the fiscal year ended December 31, 2003 Commission File No. 1-9172 NACCO INDUSTRIES, INC. (Exact name of registrant as specified in its charter) Delaware 34-1505819 (State or Other Jurisdiction of (I.R.S. Employer Incorporation or Organization) Identification No.) 5875 Landerbrook Drive Mayfield Heights, Ohio 44124-4017 (Address of Principal Executive Offices) (Zip Code) Registrant's telephone number, including area code: (440) 449-9600 Securities registered pursuant to Section 12(b) of the Act: Name of Each Exchange Title of Each Class on Which Registered Class A Common Stock, New York Stock Exchange Par Value $1.00 Per Share Securities registered pursuant to Section 12(g) of the Act: Class B Common Stock, Par Value $1.00 Per Share Indicate by check mark whether the registrant: (1) has filed all reports required to be filed by Section 13 or 15(d) of the Securities Exchange Act of 1934 during the preceding 12 months and (2) has been subject to such filing requirement for the past 90 days. YES [X] NO [ ] Indicate by check mark if disclosure of delinquent filers pursuant to Item 405 of Regulation S-K is not contained herein, and will not be contained, to the best of the registrant's knowledge, in definitive proxy or information statements incorporated by reference in Part III of this Form 10-K or any amendment to this Form 10-K. [ ] Indicate by check mark whether the registrant is
    [Show full text]
  • NACCO Materials Handling Group
    NACCO INDUSTRIES, INC. Managing for long-term profit growth 2007 Annual Report NACCO Industries, Inc. at a Glance 2007 Principal Businesses Financial Results NACCO Materials Handling Group (“NMHG”) NMHG Wholesale: Headquarters: Portland, Oregon Revenues: $2.6 billion NMHG Wholesale designs, engineers, manufactures and sells a comprehensive line Operating profit: of lift trucks and aftermarket parts marketed globally under the Hyster® and Yale® $66.3 million brand names. Lift trucks and component parts are manufactured in the United States, Net income: Northern Ireland, Scotland, The Netherlands, China, Italy, Japan, Mexico, the $48.2 million Philippines and Brazil. NMHG Retail: Revenues: $137.8 million NMHG Retail operates a small number of wholly owned dealers, which sell, lease Operating loss: and service Hyster® and Yale® lift trucks, including sales of related service parts. $9.0 million Net loss: $8.9 million NACCO Housewares Group HBB: Hamilton Beach Brands (“HBB”) Revenues: Headquarters: Richmond, Virginia $540.7 million Operating profit: HBB is a leading designer, marketer and distributor of small electric household $40.3 million appliances, as well as commercial products for restaurants, bars and hotels. Net income: $18.4 million Kitchen Collection Kitchen Collection: Headquarters: Chillicothe, Ohio Revenues: Kitchen Collection is a national specialty retailer of kitchenware and gourmet $210.0 million foods operating under the Kitchen Collection® and Le Gourmet Chef® store Operating profit: names in outlet and traditional malls throughout the United States. $0.5 million Net loss: $0.9 million North American Coal (”NACoal“) North American Headquarters: Dallas, Texas Coal: Revenues: North American Coal mines and markets lignite coal primarily as fuel for power $137.1 million generation and provides selected value-added mining services for other natural Operating profit: resources companies in the United States.
    [Show full text]
  • Nacco Industries, Inc. North American Coal Corporation
    NACCO INDUSTRIES, INC. NORTH AMERICAN COAL CORPORATION 2018 ANNUAL REPORT TRUSTED PARTNERS. INTEGRATED SOLUTIONS. Operating in the early morning sunshine, the Marion 8400 dragline at North American Coal’s Coyote Creek Mine near Beulah, North Dakota, removes overburden before the coal below is mined for delivery to the Coyote Station power plant. Contents North American Coal Operations . 1 Selected Financial and Operating Data . 2 Letter to Stockholders . 4 Form 10-K . 11 Directors and Officers . 106 Corporate Information . Inside Back Cover NACCO Industries, Inc.. OUR OPERATIONS We operate 9 surface coal mines and 18 aggregates quarries . We delivered 38 .5 million tons of coal and 35 .4 million cubic yards of limestone in 2018 . We operate more draglines than anyone else in the U .S . (over 40), and we have recently launched Mitigation Resources of North America to create and sell stream, wetland and species habitat credits . Cover, clockwise from top left: A Wirtgen© surface miner is used to extract coal at Camino Real Fuels’ Eagle Pass mine in Texas. u North American Mining operates a Bucyrus-Erie 8200 dragline for White Rock Quarries in Miami-Dade County, Florida, to extract limestone aggregates for Florida construction projects. u North American Coal Royalty Company leases Ohio Utica reserves to Ascent Resources, which uses a drill rig to extract natural gas and oil. u Mature hardwoods flourish along a tributary of the Big Black River at Mitigation Resources of North America’s Tobaksákola mitigation site in Webster County, Mississippi. 1 SELECTED FINANCIAL AND OPERATING DATA NACCO Industries, Inc. and Subsidiaries Year Ended December 31 2018 2017(1) 2016(1) 2015 2014(1) (In thousands, except per share data and share amounts) Operating Statement Data: Revenues .
    [Show full text]