Black Diamond Group Limited · TSX:BDI

Black Diamond — Investor Day (September 2023)

23 slides from Black Diamond's investor day presentation, Sep 14, 2023

  1. Slide 1: Investor Day Presentation

    INVESTOR DAY PRESENTATION INVESTOR RELATIONS September 14 2023 © Black Diamond Group Ltd. All Rights Reserved investor@blackdiamondgroup.com

  2. Slide 2: Forward Looking Statements

    Forward Looking Statements This presentation contains forward-looking statements. The use of the words “anticipate”, “continue”, “estimate”, “expect”, “will”, “project”, “should”, “believe”, “intend” and similar expressions identify forward-looking statements. These statements involve known and unkn

  3. Slide 3: Track Record Of Growth – Last Five Years

    Track Record Of Growth – Last Five Years Adjusted EBITDA1, Rental Revenue & Share Price $8.00 120.0 $7.00 100.0 5-Year CAGR $6.00 Adjusted EBITDA1 : 23.4% 80.0 $5.00 Rental Revenue : 17.8% $mm Share Price : 15.1% $4.00 60.0 $3.00 40.0 $2.00 20.0 $1.00 Adjusted EBITDA (LHS) Rental Revenue (LHS) Share

  4. Slide 4: Track Record Of Growth – Capital Allocation

    Track Record Of Growth – Capital Allocation Organic CAPEX & Acquisitions Capital Allocation Framework (2018 - 2022) 120.0 5 Year Total: ~$320 mm 28.0 100.0 80.0 $mm 60.0 169.3 122.8 40.0 20.0 0.0 Organic CAPEX Business Acquisitions Return of Capital 2 Acquisitions Organic Gross Capex  Compounding c

  5. Slide 5: Outlook

    Outlook Modular Space Solutions  Public and private infrastructure activity remains strong in both Canada and the U.S.  Population growth and immigration into key regions driving demand for education and classrooms  Net effect of larger projects with longer terms in MSS Workforce Solutions  Publ

  6. Slide 6: EPS & Return on Assets

    EPS & Return on Assets EPS Return on Assets (ROA) (1) $0.44 $0.45 20% 18% $0.35 $0.34 16% $0.25 14% $0.15 12% $/Share 10% $0.05 8% $(0.05) 6% $(0.06) 4% $(0.15) $(0.14) 2% $(0.21) $(0.25) 0% EPS (Di l uted, con�nui ng ops , LHS)  Improvement in EBITDA and rental revenue also driving marked growth i

  7. Slide 7: Dividend Growth

    Dividend Growth Dividends Per Share Dividends & Funds From Operations1 30% $0.0300 $30.00 Dividends % of Funds from Operations $0.0250 25% $25.00 $0.0200 20% $20.00 $mm $0.0150 15% $15.00 $0.0100 $10.00 10% $0.0050 $5.00 5% $0.0000 $0.00 0% DPS Special Dividend Declared DPS FFO Dividends as a % of F

  8. Slide 8: Significant Asset Coverage Against Debt

    Significant Asset Coverage Against Debt  Highly flexible and low cost ABL facility an attractive financing solution to drive continued growth of the company’s specialty rental platform  Q2/2023 Long-Term Debt of $219.2 mm and Net Debt 1 of $204.1 mm remains well below tangible asset coverage on a

  9. Slide 9: Financial Flexibility

    Financial Flexibility Leverage Ratio Net Debt/EBITDA 3.5 3 2.5 3 2 2.5 1.5 Vanguard acquisi�on Q/4 2020 1 2 0.5 Ontario based 0 1.5 modular rental BDI MSS Comparables WFS Comparables acquisi�on Q/4 2022 Source: CapIQ & Company Documents MSS Comparables: MGRC, WSC 1 WFS Comparables: CVEO, DXT, TH Not

  10. Slide 10: MSS Overview

    MSS Overview MSS - Key Performance Indicators MSS - Average Monthly Rental Rate 25 40% $850 35% 20 $800 30% 25% 15 $750 $mm 20% 10 15% $700 10% 5 $650 5% 0 0% $600 2 3 Avg Rental Rate Reported Avg Rental Rate, Excl Acq'n(1) Rental revenue (LHS) Adjusted EBITDA (LHS) EBITDA Margin (RHS)  Compounding

  11. Slide 11: MSS Overview

    MSS Overview MSS - Fleet Count & Utilization 12,000 100% 90% 10,000 80% 70% 8,000 60% 6,000 50% 40% 4,000 30% 20% 2,000 10% 0 0% MSS - Fleet count MSS - Fleet Utilization  Adjusted EBITDA CAGR of 24.5% over the last five years (2018-2022). Rental revenue CAGR of 19.6% over same time period  11,214

  12. Slide 12: MSS – VAPS Opportunity

    MSS – VAPS Opportunity VAPS 2 14.0% 1.8 12.0% 1.6 1.4 10.0% 1.2 8.0% $ mm 1 6.0% 0.8 0.6 4.0% 0.4 2.0% 0.2 0 0.0% VAPS Revenue VAPS a s % of Renta l , Excl VAPS  Value Added Products & Services (VAPS) revenue as an opportunity to provide additional products and services “inside the BOXX”  Quick pa

  13. Slide 13: WFS Overview

    WFS Overview WFS - Key Performance Indicators WFS - NBV by Geography 16 40% 200 14 35% 180 160 12 30% 140 10 25% 120 $mm $mm 8 20% 100 80 6 15% 60 4 10% 40 2 5% 20 0 0 0% 2 Canada US Australia 1 Rental revenue (LHS) Adjusted EBITDA (LHS) EBITDA Margin (RHS)  Continued improvement in utilization dri

  14. Slide 14: WFS

    WFS WFS - Revenue By Geography WFS Utilization 70.0 100% 60.0 90% 80% 50.0 20.8 70% 60% 3.0 4.8 40.0 13.0 3.4 50% $ mm 9.1 8.9 7.1 3.0 9.1 40% 1.0 5.9 30.0 2.2 6.1 8.2 6.5 30% 7.6 6.5 6.8 6.3 20% 20.0 32.1 10% 28.9 30.9 29.6 24.0 23.5 23.3 25.9 0% 10.0 21.9 19.3 0.0 Consolidated Canada US Australia

  15. Slide 15: WFS – B.C. Housing Case Study

    WFS – B.C. Housing Case Study Project Profile in Vancouver Our WFS business  90 beds between two locations  Residents are individuals who have been impacted by the downtown east-side provides remote decampment accommodation and Why BDI and Modular? related services for  Rapid deployment – set up

  16. Slide 16: LodgeLink – Key Performance Indicators

    LodgeLink – Key Performance Indicators  Product market fit has been proven  Strong momentum into 2023 with strong booking volumes experienced YTD  Over 1 mm room nights sold to date (June 30, 2023)  Q2/23 LodgeLink room nights sold grew 49% to 101,746 from 68,412 in Q2/22  Net Revenue of $2.3 m

  17. Slide 17: Platform Marketplace Gaining Traction

    Platform Marketplace Gaining Traction LodgeLink is a software Multi-sided B2B Platform focused on crew travel solution that supports • Efficiently connect the supply/demand of room and accommodation bookings for companies businesses with end-to- employing field crews end crew travel • Custom-built p

  18. Slide 18: Track Record Of Growth – Last Five Years

    Track Record Of Growth – Last Five Years Adjusted EBITDA1, Rental Revenue & Share Price $8.00 120.0 $7.00 100.0 $6.00 80.0 $5.00 $mm $4.00 60.0 $3.00 40.0 $2.00 20.0 $1.00 Adjusted EBITDA (LHS) Rental Revenue (LHS) Share Price (RHS)  Questions? 1 – Adjusted EBITDA is a non-GAAP financial measure. R

  19. Slide 19: Notes

    Notes 19 © Black Diamond Group Ltd. All Rights Reserved

  20. Slide 20: Notes

    Notes 20 © Black Diamond Group Ltd. All Rights Reserved

  21. Slide 21: Non-GAAP & Supplementary Financial Measures

    Non-GAAP & Supplementary Financial Measures • Adjusted EBITDA is a non-GAAP financial measure, is not a measure recognized under IFRS and does not have standardized meanings prescribed by IFRS. Adjusted EBITDA refers to consolidated earnings before finance costs, tax expense, depreciation, amortizat

  22. Slide 22: Non-GAAP & Supplementary Financial Measures

    Non-GAAP & Supplementary Financial Measures • Net Revenue Margin is calculated by dividing net revenue by Gross Bookings for the period. Management believes this ratio is an important supplemental measure of LodgeLink's performance and profitability and believes this ratio is frequently used by inte

  23. Slide 23: Thank You

    THANK YOU INVESTOR RELATIONS © Black Diamond Group Ltd. All Rights Reserved investor@blackdiamondgroup.com

Black Diamond Group — Investor Day (September 2023) on 6ix