Slide 1: Bird Construction Inc Quarterly Earnings Call 2020 Q2
Bird Construction Inc Quarterly Earnings Call 2020 Q2 Aug 12, 2020 Teri McKibbon President & Chief Executive Officer Wayne Gingrich Chief Financial Officer
Slide 2: Disclaimer
DISCLAIMER This presentation contains forward-looking statements and information ("forward-looking statements") within the meaning of applicable Canadian securities laws. The forward- looking statements contained in this presentation are based on the expectations, estimates and projections of manage
Slide 3: Disclaimer Continued
DISCLAIMER CONTINUED Since forward-looking statements address future events and conditions, by their very nature they involve inherent risks and uncertainties. Actual results could differ materially from those currently anticipated due to a number of factors and risks. These include, but are not lim
Slide 4: Disclaimer Continued: Non-GAAP Measures and Terminology
DISCLAIMER CONTINUED Non-GAAP Measures and Terminology Throughout this presentation, management uses the following terms which have no standardized meaning prescribed by GAAP and are considered non-GAAP measures. Therefore, these terms may not be comparable with similar terms presented by other comp
Slide 5: Build Bird Strategy
BUILD BIRD STRATEGY Build the Build Business Relationships Diversification Customer First Profitable Growth Approach Efficient Processes & ESG Cost Structure Integrated Safe Production Bird Teams Build the Team National Builder Grow Our Talent 2021 – 2023 Strategic Employer of Planning un
Slide 6: COVID-19 Response
COVID-19 RESPONSE Employee Initiated a pandemic response plan combined with a rigorous COVID-19 health and safety program Best practices developed and implemented for managers and site teams - self-assessment tools, Health and enhanced cleaning protocols and hygiene measures, physical distancing p
Slide 7: Quarterly Highlights 2020 Q2
BIRD - BDT 2020 Q2 QUARTERLY HIGHLIGHTS $5.6M net income or $0.13 basic and diluted earnings per share $282.8M Improving $6.6M Adjusted Earnings on revenue of $282.8M Revenue Financial $12.3M Adjusted EBITDA (4.36% Adjusted EBITDA Margin) Performance Seven sequential quarters of TTM Adjusted EBITDA
Slide 8: Adjusted EBITDA 2020 Q2
ADJUSTED EBITDA 2020 Q2 Trailing Twelve Month (TTM) Adjusted EBITDA in millions of Canadian dollars $1,800M 5.50% 3.55% $1,565M $1,600M $1,419M $1,376M $1,404M 4.50% $1,382M $1,400M TTM Adjusted 3.55% $1,200M 3.50% EBITDA Q2 2020 $1,000M 2.35% 2.11% 7 2.50% $800M 1.81% $600M 1.50% Sequential quarter
Slide 9: Profitable Growth: Revenue, Adjusted EBITDA and Adjusted Earnings
Profitable Growth Revenue, Adjusted EBITDA and Adjusted Earnings in millions of Canadian dollars except per share amounts Revenue Adjusted EBITDA Adjusted Earnings $1,440 $60.0 3.55% 4.00% $25.0 $0.53 $0.60 $1,420 3.50% $50.0 $20.0 $0.50 $1,400 3.00% $40.0 2.35% $0.40 $1,380 2.50% $15.0 1.81% 1.71%
Slide 10: Strong Balance Sheet and Cash Position
STRONG BALANCE SHEET June 30, 2020 AND CASH POSITION Strong year-over-year improvement in operating cash flow Balance sheet enables investment in long-term growth 26.1% 1.12X through organic and acquisitions/mergers LT Debt to equity Current ratio Well-positioned to navigate through the uncert
Slide 11: Cash and Equivalents Leverage
CASH AND EQUIVALENTS LEVERAGE Cash and Cash equivalents Jun 30, Dec 31, Jun 30, Non-restricted cash position improved in millions of Canadian dollars 2020 2019 2019 at Q2’20 vs both December 31, 2019 Non-restricted cash and year-over-year $ 56.1 $ 36.1 $ 37.0 Restricted cash 28.3 10.2 8.2 Available
Slide 12: Cash Flows
CASH FLOWS in millions of Canadian dollars Operating Cash Flow (Before Non-Cash WC)(1) CAPEX(2) $35.0 $16.0 $30.0 $14.0 $25.0 $12.0 $20.0 $10.0 $8.0 $15.0 $30.2 $14.6 $14.4 $26.9 $6.0 $10.0 $16.0 $4.0 $7.2 $7.7 $5.0 $12.3 $5.6 $0.8 $2.0 $- $- 2017A 2018A 2019A 2019YTD 2020YTD 2017A 2018A 2019A 2019Y
Slide 13: Diversifying Risk by Contract Type Supporting Resilience
DIVERSIFYING RISK BY CONTRACT TYPE SUPPORTING RESILIENCE in millions of Canadian dollars 100% 21.3 5.9 134.6 102.1 49.5 23.2 262.5 64.5 28.3 90% 176.9 46.5 179.5 88.5 80% 118.8 70% 60% 50% 40% 30% 20% 10% 0% 2017A 2018A 2019A 2019 Q2 YTD 2020 Q2 YTD 2019 Q2 2020 Q2 CM/CP/IPD Stip Sum, Unit Price & S
Slide 14: Strong Backlog and Pending Backlog
STRONG BACKLOG 2,500 AND PENDING BACKLOG June 30, 2020 in millions of Canadian dollars 2,000 575 Backlog 11.2% higher y/y 625 750 600 625 Seven sequential quarters of improving TTM Adjusted 1,500 500 300 225 EBITDA % 2020 Contracts 1,000 1,645 1,547 1,380 1,441 1,427 1,347 1,297 1,296 1,283 1,24
Slide 15: Transaction Summary BDT:SOX
TRANSACTION SUMMARY BDT:SOX Bird will acquire all of the issued and outstanding common shares of Stuart Olson (TSX: The SOX) for an aggregate consideration of $96.5 million. Agreement The aggregate consideration of $96.5 million will consist of $30.0 million cash and $66.5 Targeting an million of th
Slide 16: Transaction Summary: Creating a Premium Mid-Cap Construction Company
TRANSACTION SUMMARY Creating a Premium Mid-Cap Construction Company Emerging as a leading mid-cap construction company, conveying broader public markets appeal and enhanced Pro forma revenue of approximately $2.5 billion, with a greater portion earned from recurring business Aggregate Backlog of gre
Slide 17: Questions
QUESTIONS 17
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Slide 19: Appendix
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Slide 20: Proudly Marking 100 Years of Building Canada
PROUDLY MARKING 100 YEARS 2010s: Acquisition of OF BUILDING CANADA HJ O’Connell Nason and Stack Modular 1990s: Bird plays major role in Walmart’s Canadian roll-out 2020s: Diverse 1970s: Bird begins foray portfolio of into Alberta oilsands projects across construction 2000s: Acquisition Canada 1950s:
Slide 21: Bringing value to the communities where we live, work and build
Bringing value to the communities where we live, work and build Environmental Stewardship Social Responsibility Corporate Governance LEED certified projects and Support for health care foundations, A strong culture of ethical professionals food and clothing banks, community conduct First Zer
Slide 22: Diverse Expertise
DIVERSE EXPERTISE BUILDINGS LIGHT INDUSTRIAL NATURAL RESOURCES A leading builder with offices from coast-to-coast serving a broad scope of end- MODULAR POWER TRANSPORTATION markets. ENVIRONMENTAL UTILITIES INDUSTRIAL MAINTENANCE 22
Slide 23: Thank you
Thank you 23