Mullen Group Ltd. · TSX:MTL
Mullen — Q2 2026 Earnings Presentation
63 slides from Mullen's earnings presentation, Jul 23, 2026
Slide 1: Interim Report Quarter Two
INTERIM REPORT QUARTER TWO FOR THE PERIOD ENDED JUNE 30, 2026 STABLE DIVERSE RELIABLE SUSTAINABLE
Slide 2: Table of Contents
MANAGEMENT'S DISCUSSION AND ANALYSIS ("MD&A") ................................................... 1 HIGHLIGHTS ..............................................................................................................................................................2 MULLEN GROUP OVERVIEW .......
Slide 3: Management's Discussion and Analysis
INTERIM FINANCIAL REPORT FOR THE SIX MONTHS ENDED JUNE 30, 2026 MANAGEMENT'S DISCUSSION AND ANALYSIS ("MD&A") This MD&A, dated July 22, 2026, has been prepared by management of Mullen Group Ltd. ("Mullen Group" and/or the "Corporation") for the three and six month periods ended June 30, 2026, and sh
Slide 4: Highlights
HIGHLIGHTS FINANCIAL PERFORMANCE: Three months ended Six months ended June 30 June 30 (unaudited) ($ millions, except share price and per share amounts) 2026 2025 % Change 2026 2025 % Change Revenue Less-Than-Truckload 214.3 201.1 6.6 397.8 392.6 1.3 Logistics & Warehousing 223.1 173.6 28.5 423.1 32
Slide 5: Financial Position
FINANCIAL POSITION: As at June 30 (unaudited) ($ millions) 2026 2025 % Change Cash and cash equivalents 171.0 (30.7) (657.0) Working capital 338.0 133.0 154.1 Private Placement Debt – non-current portion 798.0 635.4 25.6 Convertible debentures – debt component — 121.7 (100.0) Lease liabilities – non
Slide 6: Mullen Group Overview
MULLEN GROUP OVERVIEW Corporate Profile Mullen Group is a public company with a long history of acquiring companies in the transportation and logistics industries. Today, we have one of the largest portfolios of logistics companies in North America, providing a wide range of transportation, WE ACQUI
Slide 7: U.S. & International Logistics
U.S. & International Logistics The transportation and movement of goods throughout the supply chain is critical to every company and an important component of the global economy, representing approximately 10.0 percent of total GDP. 3PL, which is typically defined as providing non- asset based value
Slide 8: Allocation of Capital
ALLOCATION OF CAPITAL 2026 PERFORMANCE VERSUS PLAN One of the key responsibilities of the Board is the allocation of capital. Our four priorities are: (i) acquisitions that improve our business and generate growth; (ii) capital expenditures to replace older inefficient equipment and to capture new g
Slide 9: Normal Course Issuer Bid – Common Shares
NORMAL COURSE ISSUER BID – COMMON SHARES 2026 PLAN On March 9, 2026, the TSX approved the renewal of the NCIB, to purchase for cancellation up to 8,929,176 Common Shares in the open market on or before March 10, 2027. 2026 REPURCHASES • During the second quarter of 2026 no Common Shares were repurch
Slide 10: 2026 Q2 Results
2026 Q2 RESULTS CONSOLIDATED FINANCIAL RESULTS THREE AND SIX MONTHS ENDED JUNE 30, 2026 Executive Summary During the second quarter we: (i) evaluated several potential investments and acquisition opportunities; (ii) established a joint venture partnership with one of the largest trucking companies i
Slide 11: Revenue
Revenue Revenue is generated by the Business Units owned by the Corporation. "COMPANY" is revenue generated by using a combination of company assets that are either owned or leased by the Business Units, as well as revenue generated by Business Unit employees. "CONTRACTORS" refers to revenue generat
Slide 12: Direct Operating Expenses
Direct Operating Expenses Direct operating expenses ("DOE") include two main categories of expenses: direct costs associated with generating Company revenue and costs incurred to hire Contractors, namely owner operators or subcontractors. Consolidated Three months ended June 30 Six months ended June
Slide 13: Selling and Administrative Expenses
Selling and Administrative Expenses Selling and administrative ("S&A") are expenses incurred to support the operations of Mullen Group and its Business Units. Consolidated Three months ended June 30 Six months ended June 30 (unaudited) ($ millions) 2026 2025 Change 2026 2025 Change $ %* $ %* $ % $ %
Slide 14: Depreciation and Amortization
YTD: OIBDA increased by $35.3 million, or 24.4 percent, to $179.9 million from $144.6 million in 2025 due to $16.4 million of incremental OIBDA from acquisitions, a $14.9 million positive variance in foreign exchange and a $4.0 million increase at our existing Business Units (excluding acquisitions)
Slide 15: Finance Costs
Finance Costs Finance costs mainly consist of interest expense on financial liabilities, including: the Private Placement Debt (as hereafter defined on page 31; the convertible unsecured subordinated debentures (the "Debentures"); lease liabilities; and borrowings on the Bank Credit Facilities (as h
Slide 16: Income Taxes
Income Taxes Three months ended June 30 Six months ended June 30 (unaudited) ($ millions) 2026 2025 Change 2026 2025 Change Income before income taxes 48.7 31.8 16.9 76.4 56.5 19.9 Combined statutory tax rate 25% 25% — 25% 25% — Expected income tax 12.2 7.9 4.3 19.1 14.1 5.0 Add (deduct): Non-deduct
Slide 17: Net Income and EPS
Six months ended June 30, 2026 Year Over Year Change (unaudited) ($ millions) 2.4 0.6 0.5 0.2 14.3 4.6 6.2 4.8 2.7 1.6 35.3 0.3 57.0 43.3 Basic earnings per share increased to $0.37 (YTD – $0.59) in the second quarter of 2026 as compared to $0.29 (YTD – $0.49) in 2025. This increase resulted from th
Slide 18: Segmented Financial Results
SEGMENTED FINANCIAL RESULTS THREE MONTHS ENDED Three months ended June 30, 2026 Corporate and (unaudited) intersegment ($ millions) LTL L&W S&I US 3PL eliminations Total Revenue 214.3 223.1 109.3 65.2 (2.6) 609.3 Direct operating expenses 140.8 153.3 75.4 56.0 (3.2) 422.3 Selling and administrative
Slide 19: Consolidated Revenue by Segment
CONSOLIDATED REVENUE BY SEGMENT Three months ended June 30 Six months ended June 30 ($ millions) 2026 2025 Change 2026 2025 Change $ % $ % $ % $ % $ % $ % LTL 214.3 35.0 201.1 36.9 13.2 6.6 397.8 34.2 392.6 37.6 5.2 1.3 L&W 223.1 36.5 173.6 31.9 49.5 28.5 423.1 36.4 325.4 31.1 97.7 30.0 S&I 109.3 17
Slide 20: Less-Than-Truckload Highlights
LESS-THAN-TRUCKLOAD Highlights for the Quarter The LTL segment remains a core focus for Mullen Group, based upon our belief that this segment of the supply chain has favourable long-term potential, is generally quite steady, and pricing is more stable than many segments of the freight industry. Ther
Slide 21: LTL Direct Operating Expenses
YTD: Segment revenues were $397.8 million, an increase of 1.3 percent, or $5.2 million as compared to $392.6 million in 2025, due to the following: • Fuel surcharge revenue increased by $16.2 million to $84.6 million due to higher diesel fuel prices. • Revenue from our Business Units (excluding fuel
Slide 22: LTL Selling and Administrative Expenses
Selling and Administrative Expenses LTL Three months ended June 30 Six months ended June 30 (unaudited) ($ millions) 2026 2025 Change 2026 2025 Change $ %* $ %* $ % $ %* $ %* $ % Wages and benefits 17.6 8.2 17.9 8.9 (0.3) (1.7) 34.8 8.7 35.5 9.0 (0.7) (2.0) Communications, utilities and general supp
Slide 23: Capital Expenditures
Capital Expenditures LTL Three months ended June 30 Six months ended June 30 (unaudited) ($ millions) 2026 2025 Change 2026 2025 Change Purchase of property, plant and equipment 10.9 8.1 2.8 18.3 16.8 1.5 Proceeds on sale of property, plant and equipment (0.6) (0.6) — (1.3) (0.7) (0.6) Net capital e
Slide 24: Logistics & Warehousing Revenue
Revenue L&W Three months ended June 30 Six months ended June 30 (unaudited) ($ millions) 2026 2025 Change 2026 2025 Change $ % $ % $ % $ % $ % $ % Company 118.7 53.2 93.6 53.9 25.1 26.8 226.5 53.5 182.1 56.0 44.4 24.4 Contractors 102.9 46.1 78.9 45.4 24.0 30.4 193.7 45.8 140.9 43.3 52.8 37.5 Other 1
Slide 25: L&W Expenses
QTD: DOE increased by $38.0 million to $153.3 million as compared to $115.3 million in 2025, primarily due to the $49.5 million increase in segment revenue. As a percentage of segment revenue, DOE increased by 2.3 percent to 68.7 percent from 66.4 percent in 2025. • Company costs increased by $18.1
Slide 26: OIBDA and Capital Expenditures
OIBDA QTD: Segment OIBDA was $40.4 million, an increase of $8.5 million, or 26.6 percent, as compared to $31.9 million in 2025 due to $4.2 million of incremental OIBDA from acquisitions. OIBDA from our existing Business Units (excluding acquisitions) increased as compared to the same period in the p
Slide 27: Specialized & Industrial Services Highlights
SPECIALIZED & INDUSTRIAL SERVICES Highlights for the Quarter The S&I segment recorded operating results that were largely in line with the prior year. The gains made in our drilling related businesses, which includes acquisitions made earlier in the year, correlated to increased drilling activity in
Slide 28: S&I Revenue and Direct Operating Expenses
• Revenues generated by our specialized services Business Units increased by $4.2 million mainly due to higher demand for pipeline hauling and stringing services at Premay Pipeline Hauling L.P. and higher demand for water management services at Canadian Dewatering L.P. ("Canadian Dewatering"). YTD:
Slide 29: Selling and Administrative Expenses
• Contractors costs decreased by $4.9 million to $25.5 million due to the $4.9 million decrease in Contractors revenue. Contractors costs as a percentage of Contractors revenue decreased by 2.6 percent to 80.2 percent from 82.8 percent in 2025 due to the greater availability of Contractors in certai
Slide 30: Capital Expenditures
Capital Expenditures S&I Three months ended June 30 Six months ended June 30 (unaudited) ($ millions) 2026 2025 Change 2026 2025 Change Purchase of property, plant and equipment 3.6 6.4 (2.8) 7.8 9.7 (1.9) Proceeds on sale of property, plant and equipment (3.5) (6.3) 2.8 (6.1) (9.2) 3.1 1 Net capita
Slide 31: U.S. & International Logistics Highlights
• Revenue from our Business Units (excluding acquisitions) increased as HAUListic has seen an increase in demand for its services as the U.S. freight market continues to tighten. This was somewhat offset by a decline in revenue from Cole USA due to recognizing $13.9 million of one-time non-recurring
Slide 32: Corporate Results
QTD: S&A expenses decreased by $0.6 million to $4.1 million as compared to $4.7 million in 2025. • The decrease of $0.6 million was due to a $1.3 million positive variance in foreign exchange being somewhat offset by $1.1 million of incremental S&A expenses from acquisitions. • As a percentage of se
Slide 33: Balance Sheet and Liquidity
BALANCE SHEET AND LIQUIDITY DEBT AND CONTRACTUAL OBLIGATIONS Private Placement Debt Our long-term debt is comprised of CDN. $300.0 million of Series M Notes at 5.93 percent per annum, U.S. $75.0 million of Series N Notes at 6.50 percent per annum, CDN. $325.0 million of Series O Notes at 6.04 percen
Slide 34: Capital Resources and Liquidity
CAPITAL RESOURCES AND LIQUIDITY Consolidated Cash Flow Summary Six months ended June 30 (unaudited) ($ millions) 2026 2025 Net cash from operating activities 126.0 117.7 Net cash used in financing activities (61.7) 115.5 Net cash used in investing activities (32.6) (191.3) Change in cash and cash eq
Slide 35: Working Capital
The following charts present the sources and uses of cash for comparative purposes. Six months ended June 30, 2026 (unaudited) ($ millions) 12.8 40.3 26.4 28.8 25.2 20.8 126.0 18.3 5.4 171.0 144.6 Six months ended June 30, 2025 (unaudited) ($ millions) 13.2 168.8 117.7 36.8 26.1 25.0 207.4 23.8 5.6
Slide 36: Share Capital
SHARE CAPITAL The authorized share capital of the Corporation consists of an unlimited number of Common Shares and an unlimited number of Preferred Shares, issuable in series. The number of, and the specific rights, privileges, restrictions and conditions attaching to any series of Preferred Shares
Slide 37: Governance
GOVERNANCE PRINCIPAL RISKS AND UNCERTAINTIES A description of principal risks and uncertainties can be found on page 46 of the 2025 MD&A. As at June 30, 2026, these risks and uncertainties, identified as strategic, financial, operational, human resources and information technology risks have not cha
Slide 38: Judgements
JUDGEMENTS CRITICAL ACCOUNTING ESTIMATES This MD&A summarizes Mullen Group's financial condition and results of operations and is based upon our Interim Financial Statements, which have been prepared in accordance with IFRS Accounting Standards and comply with IAS 34 Interim Financial Reporting. The
Slide 39: Consolidated Revenue and Net Income
Consolidated revenue in the second quarter of 2026 increased by $68.4 million to $609.3 million as compared to $540.9 million in 2025. This increase was mainly due to $44.7 million of incremental revenue from acquisitions and higher fuel surcharge revenue being somewhat offset by a decrease in reven
Slide 40: Appendices: Forward-Looking Information Statements
APPENDICES FORWARD-LOOKING INFORMATION STATEMENTS This MD&A contains forward-looking statements within the meaning of applicable Canadian Securities laws. Readers are cautioned that expectations, estimates, projections and assumptions used in the preparation of such information, although considered
Slide 41: Forward-Looking Views
• Mullen Group's view that drilling activity in western Canada is expected to remain consistent with current levels for the remainder of the year; that facility maintenance and turnaround work appears to be subdued for the balance of the year; that demand for water management services in support of
Slide 42: Non-IFRS Financial Measures
NON-IFRS FINANCIAL MEASURES The Interim Financial Statements attached and referred to in this MD&A were prepared according to IFRS Accounting Standards. References to net income – adjusted, earnings per share – adjusted, net revenue, and OIBDA – adjusted are not measures recognized by IFRS Accountin
Slide 43: Other Financial Measures
OIBDA – Adjusted OIBDA – adjusted is calculated by subtracting foreign exchange gains and losses recognized on U.S. denominated cash held with the Corporate Office from OIBDA. Management relies on OIBDA – adjusted as a measurement since it provides an indication of Mullen Group's ability to generate
Slide 44: Operating Margin Measures
Operating Margin as a Percentage of Net Revenue1 Operating margin as a percentage of net revenue 1 is a supplementary financial measure and is defined as OIBDA divided by net revenue1. Management relies on operating margin as a percentage of net revenue 1 as a measurement since it provides an indica
Slide 45: Capital Management Measures
Return On Equity Return on equity is a supplementary financial measure and is defined as net income divided by average equity during the period. Management relies on return on equity to assist in capital allocation and to ensure we generate an appropriate return as compared to the associated risk. T
Slide 46: June 30, 2026 Interim Financial Report
JUNE 30, 2026 INTERIM FINANCIAL REPORT
Slide 47: Statement of Financial Position
CONDENSED CONSOLIDATED STATEMENT OF FINANCIAL POSITION (unaudited) ($ thousands) Note June 30, 2026 December 31, 2025 Assets Current assets: Cash and cash equivalents 171,021 144,638 Trade and other receivables 6 363,201 301,611 Inventory 47,258 45,085 Derivative financial instruments – current port
Slide 48: Statements of Income
CONDENSED CONSOLIDATED STATEMENT OF INCOME Three months ended June 30 Six months ended June 30 (unaudited) ($ thousands, except share and per share amounts) Note 2026 2025 2026 2025 Revenue 14 609,301 540,899 1,156,997 1,038,042 Direct operating expenses 422,248 376,574 812,582 731,955 Selling and a
Slide 49: Statement of Changes in Equity
CONDENSED CONSOLIDATED STATEMENT OF CHANGES IN EQUITY Convertible Accumulated debentures Other (unaudited) Share – equity Contributed Comprehensive Retained ($ thousands) Note capital component surplus Income earnings Total Balance at January 1, 2026 908,970 — 30,748 3,046 197,697 1,140,461 Net inco
Slide 50: Statement of Cash Flows
CONDENSED CONSOLIDATED STATEMENT OF CASH FLOWS Six months ended June 30 (unaudited) ($ thousands) Note 2026 2025 Cash provided by (used in): Cash flows from operating activities: Net income 56,993 43,296 Adjustments for: Depreciation and amortization 75,855 69,611 Finance costs 26,777 24,127 Stock-b
Slide 51: Notes to Interim Financial Statements
NOTES TO THE CONDENSED INTERIM FINANCIAL STATEMENTS Three and six months ended June 30, 2026 and 2025 (unaudited) (Tabular amounts in thousands of Canadian dollars, except share and per share amounts) 1. Reporting Entity Mullen Group Ltd. ("Mullen Group" and/or the "Corporation") was incorporated pu
Slide 52: Lac La Biche Transport Acquisition
NOTES TO THE CONDENSED INTERIM FINANCIAL STATEMENTS Three and six months ended June 30, 2026 and 2025 (unaudited) (Tabular amounts in thousands of Canadian dollars, except share and per share amounts) Lac La Biche Transport Ltd. – Effective January 1, 2026, we acquired all of the shares of Lac La Bi
Slide 53: Foreign Exchange Loss and Gain
NOTES TO THE CONDENSED INTERIM FINANCIAL STATEMENTS Three and six months ended June 30, 2026 and 2025 (unaudited) (Tabular amounts in thousands of Canadian dollars, except share and per share amounts) For the six month period ended June 30, 2026, Mullen Group has recorded a net foreign exchange loss
Slide 54: Long-Term Debt and Bank Credit Facilities
NOTES TO THE CONDENSED INTERIM FINANCIAL STATEMENTS Three and six months ended June 30, 2026 and 2025 (unaudited) (Tabular amounts in thousands of Canadian dollars, except share and per share amounts) 10. Long-Term Debt and Bank Credit Facilities As at June 30, 2026, Mullen Group had four credit fac
Slide 55: Debt and Lease Liabilities
NOTES TO THE CONDENSED INTERIM FINANCIAL STATEMENTS Three and six months ended June 30, 2026 and 2025 (unaudited) (Tabular amounts in thousands of Canadian dollars, except share and per share amounts) The following table summarizes the Corporation's long-term debt, lease liabilities and Bank Credit
Slide 56: Earnings per Share
NOTES TO THE CONDENSED INTERIM FINANCIAL STATEMENTS Three and six months ended June 30, 2026 and 2025 (unaudited) (Tabular amounts in thousands of Canadian dollars, except share and per share amounts) 12. Earnings per Share (a) Basic Earnings per Share Basic earnings per share is calculated as net i
Slide 57: Revenue by Segment
NOTES TO THE CONDENSED INTERIM FINANCIAL STATEMENTS Three and six months ended June 30, 2026 and 2025 (unaudited) (Tabular amounts in thousands of Canadian dollars, except share and per share amounts) 14. Revenue The business of Mullen Group is operated through its Business Units, which are divided
Slide 58: Revenue Disaggregation
NOTES TO THE CONDENSED INTERIM FINANCIAL STATEMENTS Three and six months ended June 30, 2026 and 2025 (unaudited) (Tabular amounts in thousands of Canadian dollars, except share and per share amounts) Disaggregation of revenue: The following tables detail Mullen Group's revenue by type of service an
Slide 59: Other Expense and Working Capital
NOTES TO THE CONDENSED INTERIM FINANCIAL STATEMENTS Three and six months ended June 30, 2026 and 2025 (unaudited) (Tabular amounts in thousands of Canadian dollars, except share and per share amounts) 15. Other Expense (Income) Three months ended June 30 Six months ended June 30 2026 2025 2026 2025
Slide 60: Financial Results by Segment
NOTES TO THE CONDENSED INTERIM FINANCIAL STATEMENTS Three and six months ended June 30, 2026 and 2025 (unaudited) (Tabular amounts in thousands of Canadian dollars, except share and per share amounts) The following tables provide financial results by segment: Intersegment eliminations Three months S
Slide 61: Segment Income Before Tax
NOTES TO THE CONDENSED INTERIM FINANCIAL STATEMENTS Three and six months ended June 30, 2026 and 2025 (unaudited) (Tabular amounts in thousands of Canadian dollars, except share and per share amounts) Intersegment eliminations Specialized U.S. & Specialized U.S. & Six months ended Less-Than- Logisti
Slide 62: Geographical Information
NOTES TO THE CONDENSED INTERIM FINANCIAL STATEMENTS Three and six months ended June 30, 2026 and 2025 (unaudited) (Tabular amounts in thousands of Canadian dollars, except share and per share amounts) The following geographical information is based upon the Business Unit's head office location for t
Slide 63: Corporate Information
CORPORATE INFORMATION DIRECTORS | OFFICERS CORPORATE OFFICE Murray Mullen Mullen Group Ltd. Chair of the Board, Senior Executive Officer and Chimney Rock Centre Director 121A, 31 Southridge Drive Okotoks, Alberta T1S 2N3 Sonia Tibbatts, MBA Telephone: 403-995-5200 Lead Director Canada/U.S.: 1-866-99