EX-99.1 2 dex991.htm AZZ INCORPORATED PRESENTATION AZZ Incorporated Presentation
October 2007
NYSE: AZZ
Exhibit 99.1

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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

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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

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Galvanizing
42%
Galvanizing
42%
Electrical
and
Industrial
58%
Electrical
and
Industrial
58%
FY2007
$260.3
(in millions)
Projected
FY2008
$315 to $325
(in millions)
Total Company
Sales By Segment

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66%
6%
28%
59%
12%
29%
Industrial
Transmission
& Distribution
Power
Generation
FY2007
$260.3
(in millions)
Projected
FY2008
$315 to $325
(in millions)
Total Company
Sales By Market Segment

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
80.7
73
74
75
76
77
78
79
80
81
82
Quarter Ending
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Electrical and Industrial Products
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Electrical and Industrial Products
40%
11%
49%
32%
20%
48%
Industrial
Transmission
& Distribution
Power
Generation
FY2007
$150.3
(in millions)
Projected
FY2008
$185 to $190
(in millions)

Power Generation
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Power Transmission
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Power Distribution
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Industrial / Commercial
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$0
$20
$40
$60
$80
$100
$120
$140
$160
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Backlog
($ In Millions)
13

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132%
$144.8
$75.4
$99.5
$120.7
1st
Qtr
2008
105%
$149.2
$81.6
$86.0
$144.8
2
nd
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)

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Galvanizing Services

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

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

October 2007
NYSE: AZZ

Consolidated Net Sales
($ In Millions)
$152.4
$187.2
$260.3
$315 to $325
$0.0
$50.0
$100.0
$150.0
$200.0
$250.0
$300.0
$350.0
2005
2006
2007
2008
Fiscal Year
Actual
Projected
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Consolidated Net Sales
First Six Months FY08
($ In Millions)
$115.3
$157.0
$0.0
$20.0
$40.0
$60.0
$80.0
$100.0
$120.0
$140.0
$160.0
$180.0
YTD 8/31/06
YTD 8/31/07
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$0.44
$0.69
$1.83
$1.95 to
$2.05
$0.00
$0.50
$1.00
$1.50
$2.00
2005
2006
2007
2008
Fiscal year
Actual
Projected
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Earnings Per Share
(Fully Diluted)
21

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Earnings Per Share
First Six Months FY08
(Fully Diluted)
$0.80
$1.01
$0.00
$0.25
$0.50
$0.75
$1.00
$1.25
YTD 8/31/06
YTD 8/31/07
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Electrical and Industrial
Products
9.2%
14.2%
16.0%
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
Actual
Projected
Galvanizing Services
20%
29%
23.0%
18.4%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
2005
2006
2007
2008
Actual
Projected
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Operating Margins
23

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Operating Margins
First Six Months FY08
Electrical and Industrial
Products
13.6%
16.6%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
YTD 8/31/06
YTD 8/31/07
Galvanizing Services
31.8%
25.1%
0.0%
5.0%
10.0%
15.0%
20.0%
25.0%
30.0%
35.0%
YTD 8/31/06
YTD 8/31/07
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Cash Provided By Operations/
EBITDA/Free Cash Flow
($ In Millions)
($5.0)
$5.0
$15.0
$25.0
$35.0
$45.0
$55.0
2003
2004
2005
2006
2007
2008
Fiscal Year
Cash Pro.  By Oper.
Free Cash Flow
EBITDA
Projected
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Total Bank Debt/Long Term
Debt to Equity
($ 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
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Projected
Fiscal Year

Capital Expenditures/
Depreciation
$6.6
$6.6
$11.4
$10.0
$5.7
$5.6
$6.7
$8.0
$0.0
$2.0
$4.0
$6.0
$8.0
$10.0
$12.0
2005
2006
2007
Projected
2008
Capital Expenditures
Depreciation
Projected CE
Projected Depr.
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($ In Millions)

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
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NYSE: AZZ