September 2016
Disclaimer Forward-Looking Statements This presentation contains “forward - looking statements” within the meaning of the Federal Private Securities Litigation Reform Act of 1995. Forward - looking statements may include, but are not limited to, statements relating to our 2016 Adjusted EBITDA outlook. Some of the forward-looking statements can be identified by the use of terms such as “may,” “intend,” “might,” “will,” “should,” “could,” “would,” “expect,” “believe,” “estimate,” “anticipate,” “predict,” “project,” “potential,” or the negative of these terms, and similar expressions. You should be aware that these forward-looking statements are subject to risks and uncertainties that are beyond our control. Further, any forward-looking statement speaks only as of the date on which it is made, and we undertake no obligation to update any forward-looking statement to reflect events or circumstances after the date on which it is made or to reflect the occurrence of anticipated or unanticipated events or circumstances. New factors emerge from time to time that may cause our business not to develop as we expect, and it is not possible for us to predict all of them. Factors that may cause actual results to differ materially from those expressed or implied by the forward-looking statements include, but are not limited to, the following: cyclicality in residential and commercial construction markets; general economic and financial conditions; weather conditions, seasonality and availability of water to end-users; laws and government regulations applicable to our business that could negatively impact demand for our products; public perceptions that our products and services are not environmentally friendly; competitive industry pressures; product shortages and the loss of key suppliers; product price fluctuations; inventory management risks; ability to implement our business strategies and achieve our growth objectives; acquisition and integration risks; increased operating costs; and other risks, as indicated in our final prospectus filed pursuant to Rule 424(b)(4) under the Securities Act of 1933, as amended, filed with the U.S. Securities and Exchange Commission on May 12, 2016 (Registration No. 333-206444). Non-GAAP Financial Information This presentation includes certain financial information, not prepared in accordance with U.S. GAAP. Because not all companies calculate non-GAAP financial information identically (or at all), the presentations herein may not be comparable to other similarly titled measures used by other companies. Further, these measures should not be considered substitutes for the information contained in the historical financial information of the Company prepared in accordance with U.S. GAAP that is set forth herein. We present Adjusted EBITDA in order to evaluate the operating performance and efficiency of our business. Adjusted EBITDA represents EBITDA as further adjusted for items permitted under the covenants of our credit facilities. EBITDA represents our net income (loss) plus the sum of interest expense, net of interest income and excluding amortization of debt discount, income tax expense (benefit), depreciation, and amortization. Adjusted EBITDA is further adjusted for stock-based compensation expense, related party advisory fees, loss (gain) on sale of assets and other non-cash items, other non-recurring (income) and loss. Adjusted EBITDA does not include pre-acquisition Adjusted EBITDA. Adjusted EBITDA is not a measure of our liquidity or financial performance under GAAP and should not be considered as an alternative to net income, operating income or any other performance measures derived in accordance with GAAP, or as an alternative to cash flow from operating activities as a measure of our liquidity. The use of Adjusted EBITDA instead of net income has limitations as an analytical tool. Because not all companies use identical calculations, our presentation of Adjusted EBITDA may not be comparable to other similarly titled measures of other companies, limiting its usefulness as a comparative measure. Net debt and capital leases is defined as long-term debt and capital lease obligations less cash and cash-equivalents. 2
Company and Industry Overview ■ Largest and only national wholesale distributor of landscape supplies ■ Approximately four times the size of next competitor and only 10% market share (1) ■ Large $16 billion highly fragmented market ■ Serving residential and commercial landscape professionals ■ Complementary value-added services Balanced end markets (FY15) and product support Repair & Upgrade Maintenance 18% 45% ■ Approximately 100,000 SKUs ■ 468 stores in 45 states and five New provinces Construction 37% (1) Source: Management estimates, Company data 3
SiteOne Plays a Critical Role in the Professional Landscape Supply Value Chain Hundreds of Thousands thousands of suppliers of customers Critical business partner Small: ~17% of revenue ■ <$10K in avg. annual purchases SiteOne provides: SiteOne provides: Broadest Coast-to-coast product national network offering Extensive Superior sales & Medium: ~54% of revenue technical marketing expertise ■ $10K – 200K in avg. Rapid annual purchases Customer product loyalty launches program Fewer and larger Trade credit, shipments sales leads and training Large: ~28% of revenue ■ >$200K in avg. annual One-stop shop purchases Source: Management estimates 4
We are the Only National One-stop Shop Provider of Landscape Supplies Fertilizer Control Landscape Outdoor Irrigation & Other Products Nursery Accessories Hardscapes Lighting % of 2015 31% 24% 12% 16% 8% 5% 4% Sales 1 Key Products Key Suppliers Market #1 #1 #1 #1 #1 #1 #1 Position 2 (1) Excludes Retail & Other (<1% of sales) (2) Source: Management estimates, Company data; Wholesale outlets only 5
Growth is enhanced by sustainable industry trends Outdoor living Water and energy efficiency ■ Desire to increase usable living space, driving ■ Drought driving demand for water-efficient demand for: products – Precision irrigation – Concrete pavers – Bricks and stones ■ Regulation driving increased drainage – Trellises and pergolas requirements – Outdoor lighting ■ Demand for “smart” water systems driven by: – Conservation regulations ■ Restaurants, coffee shops, bars adding and – Water conservation awareness enhancing outdoor areas – Green movement ■ LED lighting fixtures save energy and reduce costs Source: Freedonia 6
Accelerating performance and growth led by recent transformation 2013 (Q4) 2015 CD&R acquired Acquired 2005 ■ Shemin 60% of JDL Acquired UGM ■ AMC ■ Green Resource ■ Tieco Strategy & Brand 2001 2007 Development Acquired McGinnis Farms Acquired & Century RainAid LESCO 2014 2016 New Management Acquired ■ Hydro-Scape Acquired: ■ Blue Max ■ Eljay ■ Bissett ■ Diamond Head ■ Stockyard ■ BISCO Deere strategy Right-sizing Transformation SiteOne ■ ■ CD&R acquired ~60% of JDL New brand ■ Deere combined irrigation, nursery and agronomic product lines under ■ ■ New leadership Execution a single distributor as John Deere ■ ■ Strategy & brand development Performance and growth Landscapes ■ Commercial & operational initiatives ■ Created a national footprint ■ Acceleration of small / mid size acquisitions Source: Company data 7
SiteOne is poised for long-term growth and margin enhancement Current Strategy Leverage strengths of both large and local company Superior value propositions to our customers Fully exploit our scale Develop and execute local market strategies Close and integrate high value-added acquisitions Entrepreneurial local area teams supported by world-class leadership and functional support Early innings of operational and commercial excellence Pricing Category management Supply chain Salesforce performance Marketing 8
Our financial performance is accelerating Net sales 1 Gross profit 1 1,549 472 1,600 500 33 1,452 429 1,177 400 ($ in millions) 1,200 1,078 30 ($ in millions) 1,027 311 30.4% 982 290 260 300 243 29.6% 800 27 200 26.4% 27.0% 25.3% 400 24 24.8% 100 0 0 21 2011 2012 2013 2014 2015 TTM 2011 2012 2013 2014 2015 TTM (7/3/2016) (7/3/2016) Net Sales Gross profit % margin Adjusted EBITDA 1, 2 Adjusted EBITDA less CapEx 3 113 150 15 120 12 125 96 100 120 107 ($ in millions) ($ in millions) 10 80 70 8 64 90 74 68 7.3% 60 8.1% 60 37 5.9% 42 6.6% 5 40 4 7.3% 6.0% 23 25 6.3% 6.3% 30 3.6% 20 2.4% 4.1% 2.5% 0 0 0 0 2011 2012 2013 2014 2015 TTM 2011 2012 2013 2014 2015 TTM (7/3/2016) (7/3/2016) Adjusted EBITDA % margin Adjusted EBITDA - CapEx % margin Denotes performance since new management TTM period 1 Financial results exclude the impact of a variable interest entity (VIE) reported in the consolidated results for 2011 and 2012 (if VIE is included: net sales were $1,015M and $1,062M, gross profit was $304M 9 and $317M, and Pre-acquisition Adjusted EBITDA was $36M and $51M for 2011 and 2012, respectively) 2 Represents pre-acquisition Adjusted EBITDA 3 CapEx was $2M and $5M in 2011 and 2012, respectively
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