Company Profile
• Leading niche-oriented global provider of solutions and products
for difficult product recovery, pollution control, and fluid handling
applications
for difficult product recovery, pollution control, and fluid handling
applications
• Diverse, synergistic product offering
• Strong global brand recognition
• Approximately 40% of revenues derived from recurring parts and
consumables sales
consumables sales
Met-Pro: Protecting our environment while serving
business and industry around the world
NYSE: MPR
business and industry around the world
NYSE: MPR
This presentation includes forward-looking statements which reflect
the Company’s current views with respect to future events and
financial performance, but involve uncertainties that could
significantly impact results. The Private Securities Litigation Reform
Act of 1995 provides a “safe harbor” for such forward-looking
statements.
the Company’s current views with respect to future events and
financial performance, but involve uncertainties that could
significantly impact results. The Private Securities Litigation Reform
Act of 1995 provides a “safe harbor” for such forward-looking
statements.
Overview
• FY 2008 was the best year in the Company’s history despite a weak
economic environment
economic environment
• Record high sales and earnings
• Strong results continued into the first half of FY 2009
• Expanding operating margins
• Strong momentum, pace of business activity
• Recognized for second consecutive year as one of America’s “200
Best Small Companies” by Forbes Magazine
Best Small Companies” by Forbes Magazine
• Recognized for second consecutive year as one of America’s “Top
Small to Midsize Manufacturers” by Start-It Magazine
Small to Midsize Manufacturers” by Start-It Magazine
Investment Highlights
• Three consecutive years of increased sales
• Brand recognition driving rapid global growth
• Growing base of installed equipment creating recurring demand for parts
and consumables ~ 40% of sales
and consumables ~ 40% of sales
• Improved efficiencies, product mix, scale economies driving margin
expansion
expansion
• Outsourcing minimizes growth constraints and reduces risks during down
turns
turns
• Experienced Management/Independent Board of Directors
• Strong balance sheet
• Dividend paid for 33 consecutive years
Product Recovery/
Pollution Control
Pollution Control
46.6%
Filtration/
Purification
Purification
12.4%
Fluid Handling
29.2%
Mefiag
Filtration
Filtration
11.8%
Businesses
International
• Growth in international
markets remained strong
markets remained strong
• Countries around the globe
continue to invest in
expanding their industrial
infrastructure
continue to invest in
expanding their industrial
infrastructure
• First half International Sales
up 55% from FY 2008
up 55% from FY 2008
FY 2008
H1 2009
31.6%
International
Sales
Sales
68.4%
U.S. Sales
75.9%
U.S. Sales
24.1%
International
Sales
Sales
International Net Sales
Central
America
2.2%
America
2.2%
Other
1.4%
1.4%
Caribbean
4.7%
4.7%
Southeast
Asia
4.9%
Asia
4.9%
Africa &
Middle East
7.2%
Middle East
7.2%
North
Pacific
11.6%
Pacific
11.6%
Canada
19.2%
19.2%
South
America
19.7%
America
19.7%
Europe
29.2%
29.2%
Customers & Major Markets
• Over 8,000 active customers
- Well-diversified cross-section
of industries including
Fortune 1000 companies
of industries including
Fortune 1000 companies
• Major markets include
- Pharmaceutical
- Chemical/petrochemical
- Food processing
- Metal finishing
- Saltwater aquariums
- Refinery
- Semiconductor/electronics
- Municipalities
- Universities
- Hospitals/public health
- Government facilities
No One Customer Accounts for More
Than 10% of Met-Pro’s Business
Than 10% of Met-Pro’s Business
Products from Single Units…
Mefiag Filter System
Flex-Kleen Pulse-Jet
Cartridge Dust
Collector
Cartridge Dust
Collector
Fybroc FRP Pumps
Strobic Air Patented
Tri-Stack™ Fan
Tri-Stack™ Fan
Dean
Metallic Pumps
Metallic Pumps
Sethco
Thermoplastic
Pumps
Thermoplastic
Pumps
Keystone
Custom Filter
Cartridges
Cartridges
Duall AroBIOS™ Bioscrubber
Pristine Water
Treatment
Chemicals
Treatment
Chemicals
…to Large, Complex Systems
Dean High
Temperature Pumps
Temperature Pumps
Fybroc FRP Pumps
Mefiag Filter Systems
Duall Multi Component
Hot Gas Scrubber System
Hot Gas Scrubber System
Flex-Kleen
Bag Houses
Bag Houses
Systems Rotary
Concentrator and
Recuperative
Concentrator and
Recuperative
Thermal Oxidizer
Strobic Air Patented
Tri-Stack™ Fans
Tri-Stack™ Fans
Growth Drivers
§ Global growth of “green”
manufacturing processes
manufacturing processes
– Reduce costs
– Reduce energy
– Improve manufacturing performance
– Meet increasing
regulatory requirements
regulatory requirements
§ Focus on niche markets
– Limited competition
– International brand recognition
§ MRO, upgrade and retro-fit opportunities
from expanding installed base
from expanding installed base
§ New markets
– Geographic expansion
– New product introductions
– Acquisitions and/or
technology licensing
technology licensing
New Products
• New Duall Hydro-Lance® wet particulate collector
• Successfully commissioned and started-up a thermal oxidizer revamp at an
ethanol plant that is the first known facility to recover water from the flue
gas
ethanol plant that is the first known facility to recover water from the flue
gas
• Introduced a unique, new patented Keystone GIANT® filter housing and a
new line of sub-micronic filter cartridges
new line of sub-micronic filter cartridges
• New 4x6x13 FRP magnetic drive pump, largest in industry
• Introduced a high capacity, high temperature Mefiag filter line
• Introduced a 75 horsepower Strobic Air Tri-Stack™ fan designed for high
pressure and high flow
pressure and high flow
Growth Strategies
• Increase penetration in existing markets
• Expand geographic reach
• Globally penetrate new markets
• New product development
• Strategic acquisitions and technology
licensing agreements
licensing agreements
• Global sourcing
• Strong customer focus
Margin Improvement Strategies
• Expand operating margin through:
– Pricing power
– Single source solutions
– Global sourcing
– Volume discounts
– Consolidation
– Improved project execution
– Leverage operating expenses
– Higher margin international sales
$50.8
Sales
• Improved execution, better product mix leading to widening margins
Gross Margins
*
16.5%
13.2% Excluding Gain On Sale Of Building
*
*
Operating Margin
Cash Flow From Operations
*
*
Excludes Gain On Sale Of Building
*
Diluted EPS
LTD
07/31/08
Total
Assets
Assets
Shareholders
Equity
Equity
Cash
$3.8
$109.4
$86.7
$22.7
( $ Millions )
Quarterly Dividend Rate $0.055/share
$1.47 per
share
Strong Financial Condition
Summary
• Record sales and earnings
• Three consecutive years of rising sales ~
exceeded $100 million for first time in history
exceeded $100 million for first time in history
• International brand recognition driving rapid global
growth
growth
• Growing base of installed equipment creates recurring
demand for parts and consumables ~ 40% of sales
demand for parts and consumables ~ 40% of sales
• Improved efficiencies, product mix, scale economies
driving margin expansion
driving margin expansion
• Strong momentum
• Strong pace of business activity
• Strong balance sheet