EX-99.1 2 dex991.htm AZZ INCORPORATED PRESENTATION AZZ incorporated Presentation
March 2008
NYSE: AZZ
Exhibit 99.1

BUILDING ON SUCCESS
2
Except for the statements of historical fact, this presentation may
contain forward-looking statements that involve risks and uncertainties
some of which are detailed from time to time in documents filed by the
Company with the SEC.  Those risks and uncertainties include, but are
not limited to: changes in demand, prices and raw material costs,
including zinc and natural gas which are used in the hot dip galvanizing
process; changes in the economic conditions of the various markets the
Company serves, foreign and domestic, customer requested delays of
shipments, acquisition opportunities, adequacy of financing, and
availability of experienced management employees to implement the
Company’s growth strategy; and customer demand and response to
products and services offered by the Company.  The Company can give
no assurance that such forward-looking statements will prove to be
correct.  We undertake no obligation to affirm, publicly update or revise
any forward-looking statements, whether as a result of new information,
future events or otherwise.
Forward Looking Statement

BUILDING ON SUCCESS
3
AZZ is a specialty electrical
equipment manufacturer serving the
global markets of power generation,
transmission, distribution and
industrial as well as a leading
provider of hot dip galvanizing
services to the steel fabrication
market nationwide.
Company Overview

Total Company
Sales By Segment
Galvanizing
42%
Galvanizing
43%
Electrical
and
Industrial
58%
Electrical
and
Industrial
57%
FY2007
$260.3
(in millions)
Projected
FY2008
$315 to $325
(in millions)
Projected
FY2009
$320 to $330
(in millions)
Galvanizing
37%
Electrical
and
Industrial
63%
4

Total Company
Sales By Market Segment
66%
6%
28%
28%
13%
59%
Industrial
Transmission & Distribution
Power Generation
FY2007
$260.3
(in millions)
Projected
FY2008
$315 to $325
(in millions)
55%
14%
31%
Projected
FY2009
$320 to $330
(in millions)
5

Industrial Utilization
Federal Reserve Statistical Release
76.0
76.6
77.2
77.4
78.6
78.7
79.0
79.7
79.9
80.3
81.1
79.8
79.6
80.1
80.4
79.9
73
74
75
76
77
78
79
80
81
82
Quarter Ending
BUILDING ON SUCCESS
6

Electrical and Industrial Products
BUILDING ON SUCCESS
7

Electrical and Industrial
Products
40%
11%
49%
42%
20%
37%
Industrial
Transmission & Distribution
Power Generation
FY2007
$150.3
(in millions)
Projected
FY2008
$180 to $185
(in millions)
44%
20%
36%
Projected
FY2009
$205 to $210
(in millions)
8

Power Generation
BUILDING ON SUCCESS
9

Power Transmission
BUILDING ON SUCCESS
10

Power Distribution
BUILDING ON SUCCESS
11

Industrial / Commercial
BUILDING ON SUCCESS
12

$0
$20
$40
$60
$80
$100
$120
$140
$160
BUILDING ON SUCCESS
Backlog
($ In Millions)
13

BUILDING ON SUCCESS
14
105%
$149.2
$81.6
$86.0
$144.8
2
nd
Qtr
2008
98%
$147.1
$86.6
$84.5
$149.2
3
rd
Qtr
2008
132%
$144.8
$75.4
$99.5
$120.7
1st
Qtr
2008
118%
$120.7
$260.3
$307.2
$73.8
Fiscal
2007
105%
$73.8
$187.2
$196.2
$64.8
Fiscal
2006
Book to
Ship Ratio
Ending
Backlog
Shipments
Bookings
Beginning
Backlog
Backlog
($ In Millions)

BUILDING ON SUCCESS
15
Galvanizing Services

Application:
“After-fabrication”
steel corrosion protection
Locations:
11 14 facilities
in 6 8 states
BUILDING ON SUCCESS
Galvanizing Services
16

BUILDING ON SUCCESS
17
9%
34%
19%
17%
21%
Electrical &
Telecommunications
OEM's
Industrial
Bridge & Highway
Petrochemical
Galvanizing Services

March 2008
NYSE: AZZ
18

Consolidated Net Sales
($ In Millions)
$152.4
$187.2
$260.3
$0.0
$50.0
$100.0
$150.0
$200.0
$250.0
$300.0
$350.0
2005
2006
2007
2008
2009
Fiscal Year
Actual
Projected
BUILDING ON SUCCESS
19
$315
to $325
$320
to $330

BUILDING ON SUCCESS
20
Consolidated Net Sales
First Nine Months FY08
($ In Millions)
$180.7
$243.6
$0.0
$50.0
$100.0
$150.0
$200.0
$250.0
$300.0
YTD 11/30/06
YTD 11/30/07
BUILDING ON SUCCESS

$0.44
$0.69
$1.83
$2.20 to
$2.30
$2.12 to
$2.22
$0.00
$0.50
$1.00
$1.50
$2.00
$2.50
2005
2006
2007
2008
2009
Fiscal year
Actual
Projected
BUILDING ON SUCCESS
Earnings Per Share
(Fully Diluted)
21

BUILDING ON SUCCESS
22
Earnings Per Share
First Nine Months FY08
(Fully Diluted)
$1.24
$1.67
$0.00
$0.25
$0.50
$0.75
$1.00
$1.25
$1.50
$1.75
YTD 11/30/06
YTD 11/30/07
BUILDING ON SUCCESS

Electrical and Industrial
Products
9.2%
14.2%
16%
16%
7.2%
0.0%
2.0%
4.0%
6.0%
8.0%
10.0%
12.0%
14.0%
16.0%
18.0%
2005
2006
2007
2008
2009
Actual
Projected
Galvanizing Services
20%
29%
24.0%
20.5%
18.4%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
2005
2006
2007
2008
2009
Actual
Projected
BUILDING ON SUCCESS
Operating Margins
23

BUILDING ON SUCCESS
24
Operating Margins
First Nine Months FY08
13.8%
16.2%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
YTD 11/30/06
YTD 11/30/07
Galvanizing Services
30.8%
24.7%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
YTD 11/30/06
YTD 11/30/07
BUILDING ON SUCCESS
Electrical and Industrial
Products

Cash Provided By Operations/
EBITDA/Free Cash Flow
($ In Millions)
($5.0)
$5.0
$15.0
$25.0
$35.0
$45.0
$55.0
2003
2004
2005
2006
2007
2008
Fiscal Year
Cash Pro.  By Oper.
Free Cash Flow
EBITDA
Projected
BUILDING ON SUCCESS
25

Total Bank Debt/Long Term
Debt to Equity
($ In Millions)
$0.0
$10.0
$20.0
$30.0
$40.0
$50.0
$60.0
$70.0
2002
2003
2004
2005
2006
2007
2008
0
0.2
0.4
0.6
0.8
1
1.2
Debt
Debt to Equity Ratio
BUILDING ON SUCCESS
26
Projected
Fiscal Year

Capital Expenditures/
Depreciation
$6.6
$6.6
$11.4
$10.0
$10.3
$6.7
$5.6
$5.7
$8.5
$0.0
$2.0
$4.0
$6.0
$8.0
$10.0
$12.0
2005
2006
2007
Projected
2008
Projected
2009
Capital Expenditures
Depreciation
Projected CE
Projected Depr.
BUILDING ON SUCCESS
($ In Millions)
27
$8.7

Return On Assets
Electrical and Industrial
Products
9%
14%
22%
0%
5%
10%
15%
20%
25%
2005
2006
2007
Galvanizing Services
21.0%
27%
49%
0.0%
10.0%
20.0%
30.0%
40.0%
50.0%
2005
2006
2007
BUILDING ON SUCCESS
28

NYSE: AZZ