Slide 1: Q4 2024 Earnings Presentation
Q4 2024 Earnings Presentation March 5, 2025
Slide 2: Disclaimers
Disclaimers Forward Looking Statements This presentation contains forward-looking statement a defined by the Private Secure Ligation Reform Act of 1996. Theae statements are based onthe bets and assumptions of management. ‘Although CompoSecure believes that its plans, reflected in or by these for ‘c
Slide 3: Executive Summary
Executive Summary For FY 2025, CompoSecure expects mid - single digit growth in both Net Sales and Adjusted EBITDA, with sales momentum building through the year and includes payment of the new Resolute Holdings management fee in 2025 and 2024 (on a pro forma basis) Foundational year: High - single
Slide 4: Key Highlights – New Metal Card Programs
Key Highlights – New Metal Card Programs 4 High - profile metal payment card launches across the globe including both traditional banks and fintechs Citibank & American Airlines Barclays (Europe) JetBlue (Premier) HSBC - Taj (Asia) Capital on Tap (Europe)
Slide 5: Recent Trends across Payment Cards
Recent Trends across Payment Cards 1 American Express & JP Morgan Chase Earnings Presentations 2 American Express Earnings Presentations 5 CompoSecure’s largest customers reported purchase volume growth vs prior year while American Express acquired 3mm new cards behind robust investments. Year over
Slide 6: Card Issuer and Payment Network Sentiment
Card Issuer and Payment Network Sentiment Source: Q4 ‘24 Earnings Transcripts “I n the U.S., fee - based consumer premium cards are the fastest - growing part of the industry, and we have about 25% of those cards, indicating a continued upside opportunity. Across the industry, the number of millenni
Slide 7: Metal cards: benefits for cardholders and issuers
Cardholders Issuers Elevated, Premium Experience • Metal cards instill feelings of quality, durability, exclusivity, and status Consumers Prefer Metal Cards Over Plastic • Superior tactile experience • Global surveys indicate consumer preference for metal Entrenched Preference for Physical Payment C
Slide 8: Arculus Capabilities
Arculus Capabilities Hardware - bound PassKey authenticator • Secure login on any iPhone, Android phone, or platform enabled with FIDO2 technology • New device authentication (on - boarding new phone) • Customer support authentication to call center • Step - up authentication for high - risk transac
Slide 9: Financial Overview
() Financial Overview
Slide 10: Q4 2024 Net Sales and Gross Profit
Q4 2024 Q2 YTD ‘22 Total Net Sales Gross Margin International Net Sales Gross Profit Up $1.0mm +1% vs prior year Down 86bps vs. prior year Up $1.0mm +7% vs prior year $ Millions 10 Domestic Net Sales Flat vs. prior year Flat vs. prior year Fourth quarter results mostly flat to prior year
Slide 11: Q4 2024 Adjusted EBITDA and Net Income
Q4 2024 Q2 YTD ‘22 Adjusted EBITDA Adjusted EBITDA Margin Adjusted Net Income Adjusted Diluted EPS Down $3.6mm - 10% vs prior year Down 390 bps vs prior year Up $1.8mm +8% vs prior year Down $(0.04) vs prior year $ Millions 1Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Net income, and Adjusted
Slide 12: Full Year 2024 Net Sales and Gross Profit
Full Year 2024 Q2 YTD ‘22 Total Net Sales Gross Profit Domestic Net Sales Gross Margin Up $29.9mm +8% vs prior year Up $22.0mm +7% vs prior year Up $10.1mm +5% vs prior year Down 140 bps vs prior year $ Millions International Net Sales Up $7.9mm +11% vs prior year 12 High - single digit Net Sales gr
Slide 13: Full Year 2024 Adjusted EBITDA and Net Income
Q2 YTD ‘22 Adjusted EBITDA 1 Adjusted EBITDA Margin 1 Adjusted Net Income 1,2 Adjusted Diluted EPS 1 Up $6.3mm +4% vs prior year Down 114 bps vs prior year Up $10.1mm +11% vs prior year Up $0.03 vs prior year $ Millions 1Adjusted EBITDA, Adjusted EBITDA Margin, Adjusted Net income, and Adjusted Dilu
Slide 14: Balance Sheet (Unaudited)
Balance Sheet (Unaudited) Source: Company financials Note: Financial position has been derived from CompoSecure’s consolidated financial statements for the year ended December 31, 2024 and December 31, 2023, respectively Q4 2023 Q4 2024 ($ mm) Assets Current Assets $ 41 $ 77 Cash and cash equivalent
Slide 15: Statement of Cash Flows (Unaudited)
Statement of Cash Flows (Unaudited) Source: Company financials Note: Cash flows have been derived from CompoSecure’s consolidated financial statements for twelve months ended December 31, 202 4 and 2023 respectively YTD Q4'23 YTD Q4'24 ($mm) Cash flows from operating activity: $ 113 $ (83) Net (loss
Slide 16: 2025 Guidance
2025 Guidance Planted seeds to drive organic and inorganic growth; CompoSecure Operating System (COS) Growing global political and economic tensions (including tariffs) Metal card competitors/digital wallets Growth opportunities for authentication & cryptocurrency Rising labor costs and competition
Slide 17: 2025 Company Objectives
2025 Company Objectives Deliver Accretive M&A
Slide 18: Investor Relations Contact
Investor Relations Contact ir.composecure.com Sean Mansouri 720 - 330 - 2829 ir@composecure.com 18
Slide 19: Appendix
() A ppendix
Slide 20: Summary Equity Capitalization Table
CompoSecure, Inc. (Nasdaq: CMPO) Summary Equity Capitalization Table (with net exercise model) As of December 31, 2024 # of Shares Issued & Outstanding # of Shares Issued & Outstanding Holders 100.5mm 100.5mm Public Shareholders # of Shares Reserved for Immediately Exercisable In - The - Money Optio
Slide 21: Statement of Operations (Unaudited)
Statement of Operations (Unaudited) Source: Company financials Note: Operating results have been derived from CompoSecure’s consolidated financial statements for the three and twelve months ended December 31, 2024 and 2023 . Note: Totals may not sum due to rounding 1 Includes other income (expense)
Slide 22: Non-GAAP Adjusted EBITDA Reconciliation (Unaudited)
Non - GAAP Adjusted EBITDA Reconciliation (Unaudited) YTD Q4 '23 YTD Q4 '24 Q4 2023 Q4 2024 in millions $ 112.5 $ (83.2) $ 31.0 $ (48.4) Net Income 24.2 16.8 5.8 (0.1) Interest expense 8.4 9.2 2.1 2.2 Depreciation and amortization 4.6 2.2 3.9 2.1 Taxes $ 149.6 $ (55.0) $ 42.9 $ (44.2) Unadjusted EBI
Slide 23: Q4 Earnings per Share: GAAP
Q4 Earnings per Share: GAAP 91.4mm 3 Basic Q2 YTD ‘22 GAAP Net Income (Loss) $(48.4)mm $(0.53) $(48.4)mm 1 Three months ended December 31, 2024 Three months ended December 31, 2023 $(48.4)mm $(48.4)mm 2 91.4mm 4 $(0.53) $31.0mm $31.0mm $3.3mm $3.3mm 19.4mm 19.4mm $0.17 $0.17 Net Income (Loss) used i
Slide 24: Q4 Adjusted Earnings per Share
Q4 Adjusted Earnings per Share 91.4mm 3 Basic Q2 YTD ‘22 GAAP Net Income (Loss) $(48.4)mm $0.27 $24.7mm Three months ended December 31, 2024 Three months ended December 31, 2023 $(48.4)mm $22.6mm 1 110.2mm 4 $0.20 $31.0mm $31.0mm $22.8mm $24.6mm 2 79.3mm 103.4mm 5 $0.29 $0.24 Adjusted Net Income Tot
Slide 25: YTD Earnings per Share: GAAP
YTD Earnings per Share: GAAP 44.0mm 3 Basic Q2 YTD ‘22 GAAP Net Income (Loss) $(83.2)mm $(1.22) $(53.7)mm 1 Year ended December 31, 2024 Year ended December 31, 2023 $(83.2)mm $(53.7)mm 2 44.0mm 4 $(1.22) $112.5mm $112.5mm $19.2mm $34.1mm 18.7mm 35.3mm $1.03 $0.96 Net Income (Loss) used in EPS Total
Slide 26: YTD Adjusted Earnings per Share
YTD Adjusted Earnings per Share 83.8mm 3 Basic Q2 YTD ‘22 GAAP Net Income (Loss) $(83.2)mm $1.17 $98.2mm Twelve months ended December 31, 2024 Twelve months ended December 31, 2023 $(83.2)mm $101.4mm 1 107.0mm 4 $0.95 $112.5mm $112.5mm $88.1mm 2 $95.2mm 2 78.6mm 3 103.4mm 5 $1.12 $0.92 Adjusted Net
Slide 27: Q4 Non-GAAP EPS Reconciliation (Unaudited)
Q4 Non - GAAP EPS Reconciliation (Unaudited) Source: Company financials 1 Assumes treasury stock method, valuation at assumed FMV of $18.00 2 Includes options, RSUs, and ESPP shares Three Months Ended December 31, 2023 Three Months Ended December 31, 2024 DILUTED BASIC DILUTED BASIC in millions $ 31
Slide 28: YTD Dec Non-GAAP EPS Reconciliation (Unaudited)
YTD Dec Non - GAAP EPS Reconciliation (Unaudited) Source: Company financials 1 Assumes treasury stock method, valuation at assumed FMV of $18.00 2 Includes options, RSUs, and ESPP shares 3The convertible notes were included through the application of the "if - converted" method. Interest related to