Investor Presentaiton
(1)
(2)
5
(3)
9.0%
7.7%
Attractive operating, value and leverage metrics vs. peers (1)(2)
2017E-2019E Net Revenues CAGR
Higher growth opportunities in Brazil when
compared to US public peers
2017E-2019E Adj. EBITDA (2) CAGR
Estre also has higher Adj. EBITDA growth
projection arising from operating leverage
2017E Adj. EBITDA (2)(3) margin
2017 Adj. EBITDA margin represents opportunity
for improvement compared to main US players
4.5%
4.0% 3.7 % 3.7 % 3.6 % 3.2%
-2.2%
9.8%
9.3%
8.3 %
5.8% 5.7% 5.3 % 5.0 % 5.0 % 4.7%
31.6 %
28.3 %
28.2%
28.1 %
27.7%
24.1 %
23.6%
21.7 %
15.4 %
Estre WCN ECOL RSG ADSW CLH WM CWST SRCL
Estre WCN CLH ECOL ADSW CWST SRCL RSG WM
3.7%
Comp Median
5.5%
EV / 2017E Adj. EBITDA (2)
Significant valuation discount compared to US
public peers
8.4 x
15.4 x
12.8 x
Comp Median
EV / 2018E Adj. EBITDA (2)
Even higher discount when compared 2018E Adj.
EBITDA, given Estre's higher growth
11.4 X 10.9 x 10.8 x
10.1 x 10.1 x 10.0 x
7.7 x
14.1 x
Estre WCN RSG ADSW WM ECOL SRCL CWST CLH
25.9%
Comp Median
Net Debt / 2017E Adj. EBITDA (2)(4)
Lower pro-forma Net Debt for Estre, providing
strong balance sheet to fund growth
11.8 x
10.8 x
10.4 x 10.2 x
9.6 x 9.3 9.1 x
2.2 x
4.6 x
4.1 x 3.9 x
2.9 x 2.8x2.8 x
2.5 x
2.3 x
Estre
WCN
ECOL
SRCL
WM
RSG
CLH
CWST
ADSW
Estre
WCN
ECOL
SRCL
WM
RSG
CWST
ADSW
CLH
Estre
233
10.8 x
Comp Median
10.3 x
Comp Median
2.9 x
Comp Median
Market data available as of Oct 2, 2017 reflecting the consensus estimates of research analysts covering publicly traded peers. Estre's metrics are based on 2017 and 2018 guidance and illustrative
2019. US$ information is presented using an exchange rate of R$3.19 to US$1.00.
Adjusted EBITDA is a non-IFRS financial measure. For a reconciliation of Estre's Adjusted EBITDA to net income (loss), see the Appendix hereto.
Estre calculates Adjusted EBITDA margin as Adjusted EBITDA divided by Net Revenues. Adjusted EBITDA margin is a non-IFRS financial measure.
(4) Net Debt is a non-IFRS financial measure. Net Debt is calculated as Gross Debt - Cash and Cash Equivalents. For a reconciliation of Estre's indebtedness as reflected in its balance sheet, see Appendix.
estre
LODES COMEÇO
ADSW
SRCL
CWST
ECOL
CLH
RSG
WCN
WMView entire presentation