Why Invest

Leading position within critical areas of the industrial supply-chain

• Secular trends tied to aging customer labor force, plant floor optimization, regulations
• Technical products and service capabilities support share gains and competitive moat
• Unique position to capture emerging growth around next generation automation and smart technologies

Strong and consistent cash generation

• Free cash generation averaging over 130% of adjusted net income the past five years
• Provides mechanism to self-fund growth, support balance sheet, and drive shareholder returns
• Self-help margin expansion and working capital opportunities provide upside long-term

History of consistent margin improvement and cost discipline

• Investing and growing in higher margin verticals
• Leveraging systems investments and inherent cost focus
• Supports stronger earnings power and free cash generation long-term

Proven acquirer in large, fragmented market

• $70+ billion addressable market with “Acquirer of Choice” status given leading/technical position
• 24 acquisitions since 2012 representing over $1 billion in annual sales
• Target $100M (~3%) of annual sales growth from acquisitions

Demonstrated Commitment to ESG Practices

• Actively advising customers on how to save energy in their operations and reduce their overall environmental impact
• Implementing greener practices in our operations
• Promoting diversity and continuous learning across our organization, as well as supporting the well-being of our associates and our communities