© 2019 Shiloh Industries...Autonomous and Connected Vehicles Shiloh’s lightweight solutions...
Transcript of © 2019 Shiloh Industries...Autonomous and Connected Vehicles Shiloh’s lightweight solutions...
© 2019 Shiloh Industries 1
© 2019 Shiloh Industries
Shiloh Enables
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SUSTAINABLEMobility and a Safer,
Healthier Environment
© 2019 Shiloh Industries
TRAJECTORY OF GROWTH
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Process and Product Expertise2013 Future
Strategic focus on lightweighting
ShilohCoreacoustic panel laminate
Laser Welding product technology expansion
Expansion into Europe and Mexico
Aluminum casting product technology expansion
Plants achieve landfill free status
China expansion
Increased product depth
Magnesium global presence
Aluminum global presence
Recognized technology leader
VALUE
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UNIQUE VALUEShiloh’s
© 2019 Shiloh Industries
THE VALUE SHILOH DELIVERS
Shiloh’s multi-product, multi-material and multi-process capabilities allow for maximum weight savings without compromising safety, strength, performance or the environment.
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Lightweighting without compromise®
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Reduce weightReduce complexityReduce emissionsReduce overall costReduce fuel and energy consumption
INCREASEVALUE
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Autonomous and Connected Vehicles Shiloh’s lightweight solutions offset
the extra weight from increased technology content
Alternative Propulsion Solutions Shiloh’s lightweight solutions… ‒ enable range extension by reducing
power consumption (EV, HEV) ‒ reduce emissions and increase
fuel economy (ICE)‒ are propulsion agnostic
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INNOVATIVE SOLUTIONS
© 2019 Shiloh Industries
Enhanced Safety and Sustainability Shiloh products… ‒ provide a safe solution without
compromising performance‒ are produced in landfill-free facilities with
focus on green supply chain
Political and Trade Uncertainty Shiloh provides solutions which
offset tariff impacts and commodity uncertainty
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INNOVATIVE SOLUTIONS
© 2019 Shiloh Industries
How Shiloh
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UNIQUELYDELIVERS
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VALUE DELIVERED ACROSS MULTIPLE VEHICLE SYSTEMS
Safe. Silent. Strong. Sustainable. ®
Body Structures & Interiors Chassis Systems Propulsion Systems
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Breadth of product offering creates large addressable market © 2019 Shiloh Industries
© 2019 Shiloh Industries
Transmission valve body covers
Transmission end cover
Transmission fluid pan
Engine oil pan
Engine front covers
Sound deadener pan
Battery Electric Vehicles
Battery Box Rear
Charger Box
Battery Box Bottom
Control Box
Motor Housing
PROPULSION AGNOSTIC
Internal Combustion Engines
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© 2019 Shiloh Industries
INNOVATIVE TECHNOLOGIES
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Reduce interior noise by over 2dB Weight savings up to 4.4 lbs Improves total cost effectiveness by up to 20% 45% mass reduction of damping treatments
resulting in improved vehicle package space Maintains NVH performance for the
life of the vehicle
ShilohCore® Acoustic Panel LaminateAluminum Laser Welded Door Inner
On-vehicle mass savings up to 7.7 lbs
5,200 metric tons of gross raw material saved annually Annual cost savings over $17M 10,000 metric tons of CO2 avoided*
11% scrap reduction Offsets up to 60% of new tariffs on metals
Steel to AI LW: 40.39 lb on-vehicle mass savings*Based on EPA figures of 4.19 lb of CO2 reduced per kg of aluminum produced
© 2019 Shiloh Industries
INDUSTRY PIONEER OF LIGHTWEIGHTING
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Estimated total cost of aluminum housing less than cast iron design with nearly 50% weight reduction
Rear Beam Axle Carrier Rear Node
Redesigned existing aluminum system consolidating three parts into one reducing overall weight by 26%
24lbs
10lbs
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Modular Designs
Adaptable to accommodate numerousvehicle models and options
Common and variable components
LHD / RHD Interchangeability
Combinations of aluminum, magnesium, steel, plastic and carbon fiber
MODULARITY & MULTIPLE MATERIALS
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Cross Car Beams Engine Cradles
Innovative modular design enables flexibility for use across various platforms
Reduces weight while maintaining high strength properties needed for support and safety of subframe component
Easily adaptable to multiple scenarios World-class aluminum weld integrity
© 2019 Shiloh Industries
Shiloh’s
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VALUERESONATES
© 2019 Shiloh Industries
SHILOH TRANSITION
Technology Expansion
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Shiloh’s strategic transformation generates tangible results© 2019 Shiloh Industries 15
Note: Fiscal year ends October 31 Note: Percentages may not total 100% due to rounding
LTM Q2 FY 2019 - $1.1BNFY 2012 - $586MM
StampLight® 34%
BlankLight®30%
CastLight®36%
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BODY & INTERIORS
CHASSISSYSTEMS
PROPULSIONSYSTEMS
POTENTIAL CONTENT PER VEHICLE
$1,500 Content Per Vehicle OpportunityUp to 7X Potential CPV Increase
Revenue Growth
Cross Car BeamsClosures
Dash PanelsFront End Carriers
Seating
CradlesFrames & Suspension
NodesRails
Shock Towers
Axle CasesBattery BoxesInverter Boxes
Oil PansTrans Carriers
+ +EV
$580HYBRID$600
ICE$580
EV$390
HYBRID$425
ICE$430
EV$395
HYBRID$475
ICE$405
© 2019 Shiloh Industries
LAUNCH ACTIVITY
17 Major Launches for 2019
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9 Plants • 5 Countries • 3 Continents
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© 2019 Shiloh Industries
PERFORMANCE
Value-added new business wins and product launches expected to drive longer term profitability
Global expansion with OEMs Key disruptive technologies in Asia, Europe
and North America >$3.9BN booked new business since 2015 2019 Q2 year-to-date new business wins
total >$440MM FY2019: Significant new technology and
product launch activity, Adj EBITDA guide $65-$70MM2
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1 Adjusted EBITDA is a non-GAAP financial measure. Please see the reconciliation to the nearest GAAP measure in the press release for the relevant period available at https://shiloh.com/investors/reports-and-filings2 Increased midpoint of 2019 Adj EBITDA outlook range as discussed in the June 10, 2019 Press Release available at https://shiloh.com/investors/investor-releases/
$57MM
2015 2016 2017 2018
Adjusted EBITDA1
9% CAGR
2019
$74MM
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LIGHTWEIGHTING WITH BENEFITS®
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ProductTechnology
IncreaseContent Per
Vehicle
Sustainability
GlobalMarket
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This presentation is proprietary and confidential and may not be reproduced or distributed to others, in whole or in part, at any time without the prior written consent of Shiloh Industries, Inc. (“Shiloh”,“we” or the “Company”).
The Company makes no express or implied representation or warranty as to the accuracy or completeness of the information contained in this presentation or in any additional evaluation materials,whether written or oral, made available in connection with any further investigation of the Company. This presentation shall neither be deemed an indication of the state of affairs of the Company norconstitute an indication that there has been no change in the business affairs of the Company since the date hereof or since the dates as of which information is given in this presentation. The Companyand its affiliates and representatives expressly disclaim any and all liability that may be based on such information, errors therein or omissions therefrom. In furnishing this presentation, neither theCompany nor its affiliates or representatives makes any obligation to provide the recipient with access to any additional evaluation materials or to update the information contained herein.
This presentation includes “forward-looking statements.” All statements other than statements of historical facts included in this presentation regarding the prospects of our industry and our prospects,plans, financial position and business strategy, may constitute forward-looking statements. These forward-looking statements are based on current expectations, estimates, forecasts and projections aboutthe industries in which we operate as well as beliefs and assumptions made by our management. Although we believe that the expectations reflected in these forward-looking statements are reasonable,these statements, by their nature, involve risks and uncertainties and are not guarantees of future performance. Such statements are also subject to assumptions concerning, among other things, ouranticipated business strategies and anticipated trends in our business. We can give no assurance that these estimates and expectations will prove to be correct. Actual outcomes and results may, and oftendo, differ from what is expressed, implied or projected in such forward-looking statements, and such differences may be material. Except as required by law, we undertake no obligation to update anyinformation contained herein or to publicly release the results of any revisions to any forward-looking statements that may be made to reflect events or circumstances that occur, or that we become awareof, after the date of this presentation.
EBITDA, Adjusted EBITDA, Free Cash Flow and constant currency revenue are not measures calculated in accordance with GAAP. EBITDA, Adjusted EBITDA and Free Cash Flow are measures commonly usedby financial analysts in evaluating a company’s performance and/or ability to service and/or incur indebtedness. Accordingly, we believe that EBITDA, Adjusted EBITDA and Free Cash Flow may be useful forpotential investors in assessing our operating performance and our ability to meet our debt service requirements. EBITDA, Adjusted EBITDA and Free Cash Flow, as used herein, are not necessarilycomparable to similarly titled measures of other companies. The items excluded from EBITDA, Adjusted EBITDA and Free Cash Flow are significant in assessing our operating results and liquidity. EBITDA,Adjusted EBITDA and Free Cash Flow have limitations as analytical tools and should not be considered in isolation from, or as alternatives to, net income, cash flow or other data prepared in accordancewith GAAP. See Appendix for reconciliation of these non-GAAP financial measures to net income.
This presentation includes data based on management estimates and from industry sources as well as forecasts and information that the Company has prepared based, in part, upon data, forecasts andinformation obtained from independent trade associations, industry publications and surveys and other independent sources. These third party publications and surveys generally state that the informationincluded therein is believed to have been obtained from sources believed to be reliable, but that the publications and surveys can give no assurance as to the accuracy or completeness of such information.The Company has not independently verified any of the data from third-party sources nor has it ascertained the underlying economic assumptions on which such data are based.
Any statements contained herein describing documents and agreements are summaries only and are qualified in their entirety by reference to such documents and agreements.
This presentation, including certain forward-looking statements herein, includes information obtained from third party sources that we believe to be reliable. However, we have not independently verifiedthis third party information and cannot assure you of its accuracy or completeness. While we are not aware of any misstatements regarding any third party data contained in this presentation, such datainvolve risks and uncertainties and are subject to change based on various factors, including those discussed in detail in our Annual Report on Form 10-K, Quarterly Reports on Form 10-Q and in our otherfilings with the SEC. We assume no obligation to revise or update this third party information to reflect future events or circumstances.
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IS LIGHTWEIGHTING