Slide 1: Q2 Earnings Presentation August 1, 2024
Q2 EARNINGS PRESENTATION AUGUST 1 , 2024
Slide 2: Forward-Looking Statements
6 February 2023 PAGE 2 Forward - Looking Statements Please note that in this presentation we may use words such as “appears,” “anticipates,” “believes,” “plans,” “expects,” “int end s,” “future,” and similar expressions which constitute forward - looking statements within the meaning of the safe har
Slide 3: Today's Presenters
Warren Kanders EXECUTIVE CHAIRMAN Clarus TODAY’S PRESENTERS Mike Yates CFO Clarus Neil Fiske PRESIDENT Black Diamond Equipment Mat Hayward MANAGING DIRECTOR Adventure
Slide 4: The New Clarus: Q2 2024
6 February 2023 PAGE 4 THE NEW CLARUS: Q2 2024 Positioned for long - term growth as pure - play outdoor business Q2 execution consistent with strategic objectives Black Diamond objective : Simplify and focus on the core Progress rationalizing product lines, continued stabilization of North American
Slide 5: Q2 Results at a Glance
Solid foundation in place, with continued operational progress at Outdoor and Adventure $56 .5m $20.3 m $ 36.2m 37.4 % $( 1.9 ) m Revenue - 3% Y/Y Adventure Revenue + 14% Y/Y Outdoor Revenue - 10% Y/Y Adj. Gross Margin - 160 BPS Y/Y Adj. EBITDA - 300% Y/Y Q2 RESULTS AT A GLANCE Adventure Adj. EBITDA
Slide 6: Adventure - Strategic Priorities: Q2 2024 Highlights
6 February 2023 PAGE 6 ADVENTURE - STRATEGIC PRIORITIES: Q2 2024 HIGHLIGHTS • Focused on primary objective: invest to scale • Strong results in core Australia/New Zealand markets: - Sales growth and margin expansion driven by strong OEM customer demand and specific key accounts - Success driving dow
Slide 7: Outdoor - Strategic Priorities: Q2 2024 Highlights
6 February 2023 PAGE 7 OUTDOOR - STRATEGIC PRIORITIES: Q2 2024 HIGHLIGHTS • Strategic initiatives continuing to yield incremental near - term benefits, driving Q2 results in line with expectations • Market still adjusting to post - pandemic demand levels • Benefitting from rebuilt sales team in Nort
Slide 8: Q2 2024 Financial Results
6 February 2023 PAGE 8 NET SALES Q2 2024 FINANCIAL RESULTS Q2 202 4 Q2 2023 ADJ. GROSS MARGIN ADJ. NET INCOME ADJ. EBITDA ADJ. EBITDA MARGIN (3.4)% ( $ 1.9 M) ($5.5M) 37.4 % $56.5M 1.7% $1.0M ($4.3M) 39.0% $ 57.9 M
Slide 9: 2024 Guidance
6 February 2023 PAGE 9 NET SALES 2024 GUIDANCE ADJ. CORPORATE COSTS ADJ. EBITDA MID - POINT ADJ. EBITDA % CAPEX ADJ. FREE CASH FLOWS $270M - $280M $6M - $7M $11M - $14M 4 .5% $(11.0)M $7M - $ 9 M 2024 • Consistent with historical seasonal pattern, H 2 accelerates versus H 1 • Q 3 guidance : net sale
Slide 10: Appendix
CLARUS i APPENDI
Slide 11: Balance Sheet
6 February 2023 PAGE 11 BALANCE SHEET
Slide 12: Income Statement (Q2)
6 February 2023 PAGE 12 INCOME STATEMENT (Q2)
Slide 13: Income Statement (YTD)
6 February 2023 PAGE 13 INCOME STATEMENT (YTD)
Slide 14: 6 February 2023 PAGE 14 NON - GAAP RECONCILIATION
6 February 2023 PAGE 14 NON - GAAP RECONCILIATION
Slide 15: (Q2)
6 February 2023 PAGE 15 NON - GAAP RECONCILIATION (Q2)
Slide 16: (YTD)
6 February 2023 PAGE 16 NON - GAAP RECONCILIATION (YTD)
Slide 17: (Q2)
6 February 2023 PAGE 17 NON - GAAP RECONCILIATION (Q2)
Slide 18: (YTD)
6 February 2023 PAGE 18 NON - GAAP RECONCILIATION (YTD)
Slide 19: Reconciliation from Operating Loss to Segment EBITDA (Q2)
6 February 2023 PAGE 19 NON - GAAP RECONCILIATION (Q2) Outdoor Segment Adventure Segment Corporate Costs Total Operating loss (2,395)$ (1,267)$ (4,475)$ (8,137)$ Depreciation 661 384 - 1,045 Amortization of intangibles 285 2,166 - 2,451 EBITDA (1,449) 1,283 (4,475) (4,641) Restructuring charges 146
Slide 20: Reconciliation from Operating Loss to Segment EBITDA (YTD)
6 February 2023 PAGE 20 NON - GAAP RECONCILIATION (YTD) Outdoor Segment Adventure Segment Corporate Costs Total Operating loss (4,106)$ (2,037)$ (8,768)$ (14,911)$ Depreciation 1,334 737 - 2,071 Amortization of intangibles 571 4,329 - 4,900 EBITDA (2,201) 3,029 (8,768) (7,940) Restructuring charges