BWX TECHNOLOGIES, INC. INVESTOR DAY
02.28.2024
Welcome
Chase Jacobson
Vice President, Investor Relations
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Forward-Looking Statements Disclaimer
BWX Technologies, Inc. ("BWXT") cautions that statements in this presentation that are forward-looking and provide other than historical information involve risks and uncertainties that may impact actual results and any future performance suggested in the forward-looking statements. The forward-looking statements in this presentation include, but are not limited to, statements relating to our 2024 and future strategic priorities, including U.S. Navy procurement, microreactors, advanced nuclear fuels, medical radioisotope industrialization, small modular reactor components and organic growth opportunities; bookings and backlog, to the extent they may be viewed as an indicator of future revenues; the expected U.S. Navy long-term procurement schedules and forecasts; estimated pension costs; expected future capital expenditure levels; the expected Canadian nuclear power forecast for services, refurbishment timelines and opportunities; disruptions to our supply chain and/or operations; changes in government regulations; our outlook, priorities, growth opportunities in our businesses; and guidance for 2024 and beyond. These forward-looking statements are based on current management expectations and involve a number of risks and uncertainties, including, among other things, federal budget uncertainty, the risk of future budget cuts, the impact of continuing resolution mechanisms and the debt ceiling, the potential for government shutdowns and changing funding and acquisition priorities; our ability to win new project awards; the receipt and/or timing of government approvals; capital spending of power generating utilities; the timing of technology development and automation of production; the potential recurrence or subsequent waves or strains of COVID-19 or similar diseases; the actions to contain the impact of such diseases and potential employee unrest; adverse changes in the industries in which we operate; labor market challenges, including employee retention and recruitment; termination, delays and other difficulties executing on contracts in backlog; and adverse changes in the demand for or competitiveness of nuclear products and services. If one or more of these or other risks materialize, actual results may vary materially from those expressed. For a more complete discussion of these and other risks, please see BWXT's filings with the Securities and Exchange Commission, including our most recent annual report on Form 10-K and subsequent quarterly reports on Form 10-Q. BWXT cautions not to place undue reliance on these forward-looking statements, which speak only as of the date of this presentation, and undertakes no obligation to update or revise any forward-looking statement, except to the extent required by applicable law.
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Agenda and Speakers
WELCOME
8:30 AM | Chase Jacobson |
Vice President, Investor Relations |
OVERVIEW AND STRATEGY
Rex Geveden
President and CEO
GOVERNMENT OPERATIONS
Kevin McCoy
President, Government Operations
COMMERCIAL OPERATIONS
John MacQuarrie
President, Commercial Operations
BWXT MEDICAL
Dr. Jonathan Cirtain
Senior Vice President, Chief
Development Officer and President
and CEO, BWXT Medical
FINANCIAL STRATEGY | |
Robb LeMasters | |
Senior Vice President and CFO | |
CLOSING REMARKS | |
Rex Geveden | |
President and CEO | |
10:30 AM | BREAK |
10:45 AM | Q&A SESSION |
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Overview and Strategy
Rex Geveden
President and Chief Executive Officer
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BWX Technologies Employs
Nuclear Technology to
Solve Some of the World's
Most Important Problems
OUR MISSION
We provide safe and effective solutions for global security, clean energy, environmental restoration, nuclear medicine and space exploration.
We maintain a commitment to innovation, operational excellence, safety and the highest ESG standards.
>$2.6B
Estimated
2024 Revenue
$4.0B
2023
Backlog
~$500M
Estimated 2024 Adj. EBITDA(1)
~7,800
Employees
(1) Non-GAAP figures exclude any mark-to-market adjustment for pension and postretirement benefits recognized and other one-time items. A reconciliation and definition | 7 |
of GAAP to adjusted, non-GAAP measures can be found in the Appendix section of this presentation. | |
Company Overview
2023 Revenue
by Operating Segment
Government Operations (GO)
Global Security | Special Materials | |
Manufacturing of highly engineered naval | Uranium & national security materials, | |
nuclear propulsion components | including downblending, conversion and | |
purification |
Space and Defense Microreactors | Technical Services | |
Including design, prototype and production | Nuclear Environmental Management (EM) | |
and Management & Operations (M&O) | ||
services |
Commercial Operations (CO)
Clean Energy | Nuclear Medicine | |
Manufacturing and field service of highly | Radioisotopes used in diagnostic and | |
engineered commercial nuclear | therapeutic radiopharmaceutical products | |
components and uranium fuel |
~21%
Adjusted EBITDA
Margin(1)
$3.2B
Backlog
5,800+
Employees
~13%
Adjusted EBITDA
Margin(1)
$781M
Backlog
1,400+
Employees
* Adjusted EBITDA margin, Backlog,and Employees are as of December 31, 2023. | 8 |
(1) See Appendix for reconciliation of GAAP to adjusted non-GAAP measures. | |
Creating Value Through Continuous Innovation and Operations
2015 | 2021 | 2023 | 2024 and Beyond |
Pre-Spin
- Hidden within larger company
- Focused on delivering core growth and less on expansion
- Experienced lower commercial nuclear power market growth
Expansion as a
Standalone Company
- Implemented initial independent public company systems and processes
- Identified adjacent, promising nuclear growth markets
Hone the Business and
Clarify Strategic Intention
- Completed major capex campaigns
- Prioritized key strategic initiatives
- Focused on operational excellence
- Invested significantly in human capital
BWXT's Future State
Growth
- Terrestrial and space microreactors
- Special materials & isotopes
- Nuclear fuels, including TRISO
- SMRs and new large reactors
- Strategic M&A
Innovation & Expansion
- Explore and enter new markets
- Differentiate through R&D
- Enter new domains
Commercialization
- Strengthen core capabilities
- Exit unfavorable markets & contracts
- Allocate capital with discipline
Operational Excellence
- Control costs
- Drive equipment utilization
- Deploy AI/machine learning
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Unparalleled Assets
and Strong Market
Positioning Across
the Portfolio
DECADES
of nuclear operations experience
WORLD CLASS
nuclear manufacturing facilities serving defense, clean energy and nuclear medicine markets
PEOPLE
~95% of Government Operations workforce hold U.S. Government clearances
ONLY COMPANY
to possess NRC Category 1 licenses
SOLE SOURCE
position on mission-critical programs
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Attachments
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Disclaimer
BWX Technologies Inc. published this content on 06 May 2024 and is solely responsible for the information contained therein. Distributed by Public, unedited and unaltered, on 06 May 2024 20:43:58 UTC.
