THE EXPLORATION EQUIPMENT SUPPLIER TM JRCO Conference October 1, 2014 1
Forward-Looking Statement Certain statement and information in this presentation may constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. The words believe, expect,…
Company Overview Business: Provides seismic exploration equipment Founded in 1987 Revenue distribution Nasdaq: MIND FYE 1-31-14 Two business segments Other equipment sales 21% land Largest independent lessor leasing 41% of…
Management Team Billy F. Mitcham, Jr. President and CEO Over 35 years in seismic industry Robert P. Capps EVP and CFO Over 35 years financial experience, 8 years with Mitcham Guy Malden EVP Marine Operations Over 35 years in…
Seismic Market Data Seismic M-C Data Data Proc & Equipment Company Leasing Acquisition Crews Library Interp Mfg Mitcham Geokinetics Dawson Tidelands PGS BGP CGG (Sercel) WesternGeco (Schlumberger) Global…
Worlds Largest Equipment Lease Pool Extensive state-of-the-art equipment inventory deployed worldwide addresses market needs quickly and efficiently Land Over 290,000 recording channels Approx. 55,000 stations of 3-component Over…
The Leasing Advantage Why customers lease versus buy Better utilization of capital Lowers prospect of idle equipment between jobs Reduces capital expenditures for new seismic equipment Allows use of capital for equipment that is…
The Mitcham Leasing Model Unique business within seismic industry Leasing seismic equipment provides a cost effective alternative for seismic contractors Volume leverage in the business model at minimal incremental costs Equipment…
Leading Manufacturer of Specialized Marine Seismic Equipment Seamap designs, manufactures and sells a variety of industry-leading products for marine seismic market Dominant market position for energy source controllers with over…
Seamap Recently Expanded Market Position Purchase of marine energy source product lines from ION Geophysical Corporation Digishot energy source controllers Sleeve Gun energy sources Strategic importance New customer relationships…
Extensive Global Footprint Canada U.K. Russia Hungary China (coming soon) United States Colombia Singapore Peru Australia 11
Global Seismic Market Global E&P capital spending continues to be robust, although significant variation geographically Industry currently experiencing down cycle, particularly in specific regions Increasing demand for higher…
Broad Demand for Our Services Exposure to diverse geographic markets North America Latin America Europe North Africa Southeast Asia and Pacific Rim Marine Opportunities Seamap equipment sales Marine rentals Land Activity Periodic…
Mitcham Strategy Position ourselves in key geographic markets Leverage broad geographic footprint Leverage capabilities in marine market Engineering and support resources Manufacturing capabilities Domain knowledge Seismic…
Financial Highlights 15
Total Revenue 16
EBITDA See reconciliation of EBITDA to reported income in appendix. 17
Core Leasing Revenue 18
Seamap Revenue and Gross Profit Seamap acquired July 2005 19
Solid Financial Liquidity July 31, 2014 (in thousands) Cash and short-term investments 9,427 Working capital 48,006 Outstanding line of credit 25,000 Available line of credit 31,000 1 million share repurchase program 306,300…
Investment Highlights Unique opportunity in seismic space Highly profitable manufacturing operation Leasing model provides superior margins compared to other segments of seismic industry World-wide market presence and global…
Appendix 22
Longstanding Customer Relationships International seismic contractors Indigenous seismic contractors State-owned oil and gas companies International service companies 23
Overview of Seismic Industry Mitcham Industries (MIND) Equipment lessor Manufacture & sale of equipment Original Equipment Data Acquisition Contractors Data Processors/Interpreters/ Manufacturers End-Users OEMs Dawson…
Seismic Surveying The First Step in Energy Step 1 - Seismic Step 2 - Drilling Step 3 - Refining Step 4 End User Energy Source Search Receive Data Record Data Process Data Land Marine 25
EBITDA Reconciliation Fiscal Year Ended January 31, (in thousands) 2015 2006 2007 2008 2009 2010 2011 2012 2013 2014 6 months Net income 10,855 9,285 11,439 9,065 520 4,729 24,321 17,051 4,768 390 Interest (422) (836) (479)…
THE EXPLORATION EQUIPMENT SUPPLIER TM JRCO Conference October 1, 2014 27
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