Miller Industries (MLR) 15th Annual Midwest IDEAS Investor Conference summary

Company overview and operations

• Founded in 1990, operates six manufacturing facilities globally, with a strong North American presence and exports to 60 countries.

• Manufactures a full line of towing and recovery equipment under several leading brands, focusing on innovation, quality, and safety.

• Vertically integrated operations include steel fabrication, welding, painting, and assembly, with ongoing investments in automation and capacity.

• Largest North American distribution network, with exclusive distributors and a significant presence in military and rental/salvage sectors.

• Emphasizes employee development, safety, and engagement, including internal training programs and a highly experienced management team.

Market dynamics and industry trends

• Towing and recovery is a multibillion-dollar global industry, with key segments in commercial, rental, salvage, government, and military.

• Industry drivers include increased miles driven, aging vehicle fleets, infrastructure projects, natural disasters, and global conflicts.

• Emission regulation changes in 2026 are expected to accelerate pre-purchases of commercial vehicles.

• Trade cycles are emerging, with medium/light-duty chassis replaced every 42 months and heavy-duty every 5–7 years.

• Military contracts are opportunistic, not a consistent revenue stream, but the company is open to expanding military product lines.

Financial performance and strategy

• Achieved record revenue of $1.15 billion in the last year, with low double-digit growth expected to continue.

• Gross margin reached 13.2%, up 84% year-over-year; net income was $58.3 million, up 286% year-over-year.

• EPS for the trailing twelve months was $6.22, ranking second among peers; total shareholder return was 57.3% for the year.

• Maintains a conservative capital structure with low debt (debt/equity 0.19), and a focus on flexibility for future opportunities.

• Capital expenditures align with depreciation (~$14 million/year), with potential for capacity expansion if military contracts increase.