Slide 1: Wajax Corporation Financial Results Q2 2023
WAJAX CORPORATION FINANCIAL RESULTS Q2 2023 August 11, 2023 1 Together We Get More Done.™
Slide 2: Cautionary Statement Regarding Forward-Looking Information
CAUTIONARY STATEMENT REGARDING FORWARD-LOOKING INFORMATION This presentation contains certain forward-looking statements and forward-looking information, as defined in applicable securities laws (collectively, “forward-looking statements”). These forward-looking statements relate to future events or
Slide 3: Non-GAAP and Other Financial Measures
NON-GAAP AND OTHER FINANCIAL MEASURES This presentation contains certain non-GAAP and other financial measures that do not have a standardized meaning prescribed by generally accepted accounting principles ("GAAP"). Therefore, these financial measures may not be comparable to similar measures presen
Slide 4: Wajax At-A-Glance
WAJAX AT-A-GLANCE NATIONAL FOOTPRINT 165-year operating history 121 branches coast-to-coast A broad range of industrial products and services Diverse market and sector experience REVENUE SOURCES Q2 2023 ($ millions) Industrial Parts and Engineered Repair Services (ERS) 42% $586.2M IN REVENUE IN Q2 2
Slide 5: Highlights – Second Quarter
HIGHLIGHTS – SECOND QUARTER Strong performance across key financial metrics REVENUE EBIT1 ADJUSTED ADJUSTED YTD TRIF3 EBITDA BASIC EPS1 $586.2 $45.3 $57.2 $1.26 million million million per share 1.12 • Increased • Higher sales • Adjusted to • Adjusted to • Eight industrial parts, volumes, offset exc
Slide 6: Revenue by Region
REVENUE BY REGION Strong revenue growth in all regions Q2 2023 ($ millions) YTD 2023 ($ millions) 19% 23% 13% 6% 19% 17% Note: Totals may not add due to rounding. Together We Get More Done.™ 6 Wajax Financial Results - Q2 2023 (August 11, 2023)
Slide 7: Heavy Equipment and Product Support Revenue
HEAVY EQUIPMENT AND PRODUCT SUPPORT REVENUE Equipment YoY Change 22.0% 30.7% 68.8% 12.8% 10.6% • Increase from Q1 2023 due primarily to higher construction and forestry revenue in all regions and higher mining revenue in western Canada • Increase from Q2 2022 was due primarily to strong mining sales
Slide 8: Industrial Parts & Engineered Repair Services Revenue
INDUSTRIAL PARTS & ENGINEERED REPAIR SERVICES REVENUE Industrial Parts YoY Change 17.2% 21.3% 26.9% 18.6% 15.7% • Increase from Q1 2023 was due mainly to higher sales in eastern and central Canada offset partially by lower sales in western Canada • Increase from Q2 2022 was due to higher sales in al
Slide 9: Revenue by Category
REVENUE BY CATEGORY Wajax’s heavy equipment and industrial parts and services businesses experienced strong growth in most categories in Q2 2023 YTD* CATEGORY4 Q2 2023 Q2 2022 CHANGE YTD 2023 YTD 2022 CHANGE W C E HEAVY EQUIPMENT $ 342.4 $ 304.3 $ 38.1 $ 620.1 $ 554.8 $ 65.4 ↑ ↑ ↑ Construction and F
Slide 10: Backlog and Inventory
Backlog 2 1 BACKLOG1 1. Backlog increased by $20.5 million (3.9%) from Q1 2023 to $551.2 million 2. Backlog increased by $16.4 million (3.1%) compared to Q2 2022 Inventory 2 1 INVENTORY 1. Total inventory of $625.1 million increased $40.7 million compared to Q1 2023 2. Total inventory increased $211
Slide 11: Cash Flow, Leverage, and Balance Sheet
CASH FLOW, LEVERAGE, AND BALANCE SHEET Cash Flow from Operating Activities Working Capital Efficiency1 Leverage1 Total committed credit facilities 1.74x 1.76x 1.28x 1.10x 1.13x Working capital efficiency has decreased from Q1 2023 due to the higher trailing four quarter average working capital. Inve
Slide 12: 2023 Outlook
2023 OUTLOOK • Solid fundamentals in many of the markets Wajax serves – particularly mining, energy and construction, supported by relatively elevated key commodity prices and sustained customer budgeting for capital projects • In addition to expected heavy equipment growth, further strong demand ex
Slide 13: Appendix
APPENDIX 1 Together We Get More Done.™
Slide 14: Endnotes
ENDNOTES 1. This measure does not have a standardized meaning prescribed by GAAP. Please see Wajax’s Management’s Discussion and Analysis for the three and six months ended June 30, 2023 under the heading “Non-GAAP and Other Financial Measures”, which is available on SEDAR at www.sedar.com, for defi
Slide 15: wajax.com
w a ja x.co m Together We Get More Done.™