Slide 1: First Quarter 2025 Financial Results Call
First Quarter 2025 Financial Results Call 1
Slide 2: Disclaimer
Disclaimer Certain statements in this presentation may be considered “forward-looking statements” within the meaning of the “safe harbor” provisions of the United States Private Securities Litigation Reform Act of 1995. Forward-looking statements generally relate to future events or Holley’s future
Slide 3: Agenda
Agenda Presenter: Anthony Rozmus Investor Relations Introductions & Forward-Looking Statements Matthew Stevenson Results and Highlights President & CEO Jesse Weaver Q1 Financial Results CFO Group Q&A Matthew Stevenson Outlook President & CEO 3
Slide 4: Results and Highlights
Results and Highlights Matthew Stevenson President and CEO 4 4
Slide 5: Highlights for Q1
Highlights for Q1 ▪ Achieved meaningful revenue growth of 3.3% in the business across all divisions. ▪ Gross Margin improvements driven by labor and overhead efficiency and reduced warranty. ▪ Delivered results through key growth initiatives within our strategic framework. ▪ Expanded growth across 2
Slide 6: Q1 Financial Results & Ongoing Business Highlights
Q1 Financial Results & Ongoing Business Highlights 2025 Q1 Results Business Highlights Gross New Products Launched in Q1 Across Divisions Net Sales Margin Along with many more! $153.0M 41.9% Sniper 2 EFI HyperSpark Bundles Truck Performance Packages Dinan BMW S58 In-line Tuning HANS IV & NOS Octane
Slide 7: Q1 Growth in Divisions and Key Brands
Q1 Growth in Divisions and Key Brands 3% 2% 17% 3% Focusing resources & accountability is driving growth in power brands across divisions 1) Net Sales Growth rates compared to the first quarter of 2024 after excluding approximately $10.5 million of divestiture and strategic product rationalization s
Slide 8: Framework for 2025 and Beyond
Framework for 2025 and Beyond GREAT Place to Work Premier CONSUMER DELIVER Results Journey FUND the Growth Trailblazing Trusted PARTNER Product INNOVATION Transformational M&A & Portfolio Management GLOBAL Expansion & NEW Markets 8
Slide 9: Strategic Initiative Tracker | Q1 Wins
Strategic Initiative Tracker | Q1 Wins Pillar Key Metric Details • Continuing to see growth with efforts targeted at National Retailers Trailblazing Trusted • R&R relationship yielding results with improvement in data quality and increases in PARTNER +$2.5M Top 50 Accounts • Launched Holley Pros ini
Slide 10: Proactively Managing Costs to Offset Tariff Headwind
Proactively Managing Costs to Offset Tariff Headwind Focus Area Tactics Description Eliminate Discretionary Spend Reduce non-essential expenses such as travel, off-site meetings, etc. Spend Prioritize Key Projects (OPEX/CAPEX) Review and prioritize major growth initiatives, analyze associated expend
Slide 11: Mitigate The Tariff Impacts As Effectively As Possible
Mitigate The Tariff Impacts As Effectively As Possible Within The Shortest Feasible Timeframe 5 Major workstreams have been established – with daily meetings Product Focus Steerco Established, Outside PMO Support + Contractor On Board, Daily & 01. Governance Weekly Reporting, Burndown Chart Establis
Slide 12: Examples of Product Innovations in Q2
Examples of Product Innovations in Q2 Domestic Muscle Modern Truck & Off-Road Bluetooth Module Euro & Import Safety & Racing Outlaw Bandit 3.0 FIA Club Seats & Airspeed Colorways Race Wear Collection Continued Momentum with New Product Launches in Q2! 12
Slide 13: Q1 Financial Results
Q1 Financial Results Jesse Weaver Chief Financial Officer 13
Slide 14: Financial Priorities
Financial Priorities Proactively Leading in Uncertain Environment to Drive Shareholder Value RESTORE OPTIMIZE HISTORICAL PROFITABILITY WORKING CAPITAL Target 40% GM & >20% Adj EBITDA Actively managing portfolio to reduce inventory Improving Manufacturing efficiency and asset levels on non-working WI
Slide 15: 1Q25 Key Metric Recap
1Q25 KEY METRIC RECAP $ millions (except per share) 1Q25 1Q24 B/(W) Net Sales1 $153.0 $158.6 (3.5%) | 3.3%2 Gross Margin 41.9% 32.8% 910 bps SG&A (incl. R&D) $40.8 $37.8 $(3.0) Net Income $2.8 $3.7 $(0.9) Adj. EBITDA3 $27.3 $21.0 $6.3 Adj. EBITDA Margin3 17.8% 13.2% 460 bps Interest Expense $15.7 $1
Slide 16: Free Cash Flow Generation
Free Cash Flow1 Generation Free Cash Flow Pre-M&A ($M) $30 $29 $24 $22 $18 $9.7M excluding AP $13 headwind of $7.9M $3.8M excluding AP headwind of $3 $5.9M $2 ($1) ($1) ($2) ($8) ($11) ($11) 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 Meaningful Sales in the last month gene
Slide 17: Net Debt to EBITDA Leverage Ratio
Net Debt to EBITDA Leverage Ratio1 Net Leverage Ratio (Net Debt/TTM Covenant EBITDA) 4.89 x 5.0x 4.21 x 4.16 x 4.25 x 4.17 x 4.32 x 4.02 x 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 $ millions 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 Revolver Drawn $0 $0 $0 $0 $0 $0 $0 Net Debt $584.4 $553.4 $536.0 $515.3 $515.1
Slide 18: Financial Guidance – Full Year 2025
FINANCIAL GUIDANCE – FULL YEAR 2025 Outlook ($ millions) FY25 (excluding impact from tariffs) Net Sales $580 – $600 YOY Growth%1 0.8% - 4.3% Adjusted EBITDA2 $113 – $130 Capital Expenditures $12 – $16 Depreciation and Amortization $22 – $24 Interest Expense $47 – $52 (excluding Mark-to-Market on Col
Slide 19: Q&A
Q&A Matt Stevenson Jesse Weaver Chief Executive Officer Chief Financial Officer 19 19
Slide 20: Working Together to Drive Financial Success
Working Together to Drive Financial Success Large base of passionate and highly engaged enthusiast consumers with attractive demographics Mid-Single Digit Massive $39B U.S. market with decades of uninterrupted growth1 Organic Top Line Growth Powerhouse of product innovation with iconic brands ~40% G
Slide 21: Appendix
Appendix Holley
Slide 22: Interest Rate Collar #1 Feb 2023 to Feb 2026 Summary
Interest Rate Collar #1 Feb 2023 to Feb 2026 Summary Key Terms Effective Date 2/18/2023 Maturity Date 2/18/2026 Holley Inc. Buys a Cap 5.000% Holley Inc. Sells a Floor 2.811% Index 3 Month Term SOFR Premium Zero With the collar in place, YTD effective cash interest rate of ~8.0% 22
Slide 23: Interest Rate Collar #2 Feb 2026 to Nov 2028 Summary
Interest Rate Collar #2 Feb 2026 to Nov 2028 Summary Key Terms Effective Date 2/18/2026 Maturity Date 11/18/2028 Holley Inc. Buys a Cap 4.990% Holley Inc. Sells a Floor 3.350% Index 3 Month Term SOFR Premium Zero 23
Slide 24: TTM EBITDA and Adjusted EBITDA Reconciliation
TTM EBITDA and Adjusted EBITDA Reconciliation HOLLEY INC. and SUBSIDIARIES USE AND RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (In millions) (Unaudited) TTM 2Q24 3Q24 4Q24 1Q25 Net Income $ 22.8 $ 15.7 $ (23.2) $ (24.1) Adjustments: Interest Expense 56.7 58.0 50.7 55.4 Income Taxes 3.9 0.3 (3.0) (
Slide 25: EBITDA, Adjusted EBITDA and Adjusted EBITDA Margin Reconciliation
EBITDA, Adjusted EBITDA and Adjusted EBITDA Margin Reconciliation HOLLEY INC. and SUBSIDIARIES USE AND RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (In millions) (Unaudited) For the thirteen weeks ended March 30, 2025 March 31, 2024 Net Income $ 2.8 $ 3.7 Adjustments: Interest Expense 15.7 11.0 Inc
Slide 26: Quarterly Free Cash Flow Reconciliation
Quarterly Free Cash Flow Reconciliation HOLLEY INC. and SUBSIDIARIES USE AND RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (In millions) (Unaudited) 1Q20 2Q20 3Q20 4Q20 1Q21 2Q21 3Q21 4Q21 1Q22 2Q22 3Q22 4Q22 1Q23 2Q23 3Q23 4Q23 1Q24 2Q24 3Q24 4Q24 1Q25 Net cash provided by (used in) operating activ
Slide 27: Adjusted Net Income and Adjusted Diluted EPS Reconciliation
Adjusted Net income and Adjusted diluted EPS Reconciliation HOLLEY INC. and SUBSIDIARIES USE AND RECONCILIATION OF NON-GAAP FINANCIAL MEASURES (In millions, except per share data) (Unaudited) For the thirteen weeks ended March 30, 2025 March 31, 2025 Net Income $ 2.8 $ 3.7 Special items: Adjust for: