Moelis
Moelis
Moelis
[1]
Notes:
1.
2.
[3]
2008 - 2009
2010 2011
2012 2013
2014 - 2016
[4]
LONDON, UK
CHICAGO, US
PALO ALTO, US
LOS ANGELES, US
FRANKFURT, DE
PARIS, FR
BOSTON, US
NEW YORK, US
WASHINGTON, DC, US
HOUSTON, US
BEIJING, CN
DUBAI, UAE
MUMBAI, IN
JAPAN
Strategic Alliance with
SMBC / SMBC Nikko
HONG KONG, CN
SO PAULO, BR
MELBOURNE, AUS
Joint Venture
SYDNEY, AUS
Joint Venture
[5]
As of 6/30/2016
$67.0bn
$28bn
Acquisition of
EMC Corporation
Sale to
Berkshire Hathaway
and 3G Capital
15.0bn
$13.3bn
$127.0bn
A$8.2bn
$10.4bn
$4.2bn
$3.6bn
15.4bn
Restructuring
$7.7bn(1)
asset value
3.1bn
Consortiums Acquisition of GE
Capital Australia & New
Zealand Consumer Finance
Chapter 11
Reorganization
Acquisition of Grohe
Group S.a.r.l.
$3.5bn
$2.4bn
$2.3bn
$1.2bn
Sale to
Algonquin Power &
Utilities Corp.
Acquisition of Hostess
Brands, LLC
20%
17%
15%
15%
10%
8%
6%
5%
4%
15%
9%
8%
8%
16%
9%
9%
7%
5%
0%
2009
2010
2011
2012
2013
2014
2015
Moelis / Independents 2
Source: Dealogic
Notes:
1.
Global completed M&A transactions greater than $100 million
2:
Independents consist of Evercore, Greenhill, Houlihan, Lazard, Moelis and PJT. PJTs data represents Blackstone M&A from 1/1/2013 to 9/30/2015; PJT M&A from
10/1/15 12/31/15
[7]
Institutional Franchise
Best in Class
Bankers
Client Loyalty
Talent
Development /
Recruitment
Leading
Global
Independent
Investment
Bank
Differentiated
Brand / Higher
Productivity
Integrated
Global
Capabilities
Quality Client
Relationships
Develop
Consistent
Performance
Profitability and
Shareholder Returns
Financial Flexibility
[8]
CAPITAL
MARKETS
RECAPITALIZATION
& RESTRUCTURING
In todays markets
Clients are considering varying alternatives
Need holistic advice and global connectivity
Want a leader in ALL Products
Clients need unconflicted advice
No balance sheet loans hindering advice
Clients need advisors who are not distracted by their own financial health
[9]
ATTRACTIVE
FREE CASH FLOW
PROFILE AND
STRONG BALANCE
SHEET
ROBUST
EARNINGS
GROWTH
$600
$519
$552
$585
$500
$386
$411
2011
2012
2013
2014
2015
LTM Q2 2016
M&A Y-o-Y
Change 1
13.7%
(3.0)%
(4.0)%
11.9%
(4.5)%
(23.4)%
Default Rates 2
1.9%
2.6%
2.8%
2.1%
2.5%
3.4%
$400
$300
$268
$200
$100
Market Metrics
[ 12 ]
Notes:
1.
2.
As of 6/30/2016
Cash EPS consists of fully converted EPS plus non-cash equity charge. Includes dividends and limited share buybacks with respect to the 2015 performance year
[ 13 ]
Recent MD Additions
SENIOR ADDITIONS
Name
Lawrence Chu
David Cunningham
Tim Fitzsimmons
Adrian Goodisman
Brian Jinks
Costas Kalisperas
Dan Motulsky
Stefan Mueller
Jan-Philipp Pfander
Ben Reitzes
Zach Righellis
Chris Shaw
Greg Starkins
Office Location
New York
Houston
New York
Houston
Houston
London
New York
Frankfurt
London
New York
San Francisco
London
New York
Focus
Media and Technology
Oil & Gas
Private Funds Advisory
Oil & Gas
Oil & Gas
Consumer & Retail
Consumer & Retail
Regional
Chemicals
Technology
Technology
Oil & Gas
Industrials
Name
Erick Alberti
Azad Badakhsh
Apurva Mazumder
Notes:
1.
2.
Office Location
So Paulo
New York
Mumbai
Focus
Brazil Coverage / TMT
Aerospace & Defense
India Coverage
[ 15 ]
Growth Strategy
ORGANIC GROWTH
1
2
GLOBAL MARKET
MATURATION &
ENVIRONMENT & MARKET
MANAGEMENT OF
SHARE GROWTH
FRANCHISE & TALENT BASE
EXTERNAL GROWTH
3
TARGETED HIRING
TO EXPAND
COVERAGE
[ 17 ]
Appendix
Reconciliation of GAAP to
Adjusted (non-GAAP) Financials
Six Months Ended June 30, 2016
($ in thousands)
Revenues
GAAP
$258,089
Adjusted
(non-GAAP)
Adjustments
-
$258,089
Expenses
Compensation and Benefits
Non Compensation Expenses
Total Operating Expenses
$152,866
$(3,236)1
45,773
$149,630
-
$45,773
$198,639
$(3,236)
$195,403
Operating Income
$59,450
$3,236
$62,686
Compensation Ratio
59.2 %
58.0 %
Non-Compensation Ratio
17.7 %
17.7 %
23.0 %
24.3 %
The Adjusted results included herein remove the impact of compensation expenses specifically related to the Firms IPO awards, and apply the
corporate tax rate to all earnings under the assumption that all outstanding Class A partnership units of Moelis & Company Group LP have been
exchanged into Class A common stock of Moelis & Company. We believe the Adjusted results, when presented together with comparable GAAP
results, are useful to investors to compare our performance across periods and to better understand our operating results.
Source: Company filings
Notes:
1.
Includes amortization of equity awards granted to employees and MDs in connection with the IPO
[ 19 ]
100%
80%
60%
27.3%
18.0%
21.8%
28.1%
35.9%
39.7%
42.6%
15.8%
20.2%
19.5%
19.1%
12.8%
40%
54.7%
51.7%
Moelis
Evercore
20%
62.4%
44.6%
44.6%
Houlihan
Lazard
PJT1
$500mm - $1.0bn
>$1.0bn
41.2%
0%
Greenhill
$100mm - $500mm
Source:
Note:
1.
Thomson Reuters
Represents percent of total company deal count; based on completed M&A transactions from 1/1/2013 to 12/31/2015; excludes transactions less than $100 million and
those with no transaction value disclosed
PJTs data represents Blackstone M&A from 1/1/2013 to 9/30/2015; PJT M&A from 10/1/15 12/31/15
[ 20 ]
$174.8
$180.0
$154.3
$151.8
$143.9
$131.7$128.7
$114.5
$135.0
$98.5 $98.7
$125.9
$126.4 $131.7
$99.4
$90.0
$59.8
$45.0
$0.0
Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2
2013 2013 2013 2013 2014 2014 2014 2014 2015 2015 2015 2015 2016 2016
% of Full Year
15% 24% 24% 38% 22% 25% 25% 28% 18% 23% 28% 32% N/A N/A
Revenue 1
Source: Company filings
Notes: Management primarily focuses on annual revenue measures as revenues in any quarter may not be indicative of full year results and the results of any period may vary
significantly from quarter to quarter and year to year. For the purpose of understanding the Companys historical experience for the 6-year period of 2010-2015, revenues on
average were distributed over the four calendar quarters as follows: Q1: 18%; Q2: 24%; Q3: 26%; Q4: 32%. The quarterly revenue data for Q1 2013 through Q2 2016 was
derived from our unaudited financial statements included in our Form 10-Qs. The quarterly revenue data for 2010, 2011 and 2012 was prepared on substantially the same
basis as the unaudited financial statements in our Form 10-Qs and include all normal and recurring adjustments that we consider necessary for a fair presentation of revenue
for these periods
1.
Sum of four quarters may not add up to 100% due to rounding
[ 21 ]
At IPO
15.3 million
20.7 million
Exchangeable Class A
Partnership Units
39.0 million
33.8 million
54.3 million
54.5 million
54.3 million
57.4 million 2
Notes:
1.
2.
[ 22 ]
Lock-Up Summary
Holders
Class A Shares /
Exchangeable Units
33.5 million
2.6 million
18.0 million
54.1 million
Notes:
1.
2.
Lock-Up Terms
None
[ 23 ]