Slide 1: Verra Mobility Q1 2024 Earnings Presentation
Earnings Overview Verra Mobility Q1 2024 Earnings Presentation For the Quarter Ended March 31, 2024
Slide 2: Forward-Looking Statements
FORWARD-LOOKING STATEMENTS This presentation includes “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 may be identified by the use of words such as “forecast,” “intend,”
Slide 3: Q1 2024 Financial Highlights Executive Summary
Q1 2024 Financial Highlights Executive Summary Total Revenue • Strong first quarter top-line performance across all business segments $210 million; 9% YoY growth - Commercial Services: 12% Y-o-Y growth driven by strong travel demand - Government Solutions: 8% Y-o-Y service revenue growth driven by c
Slide 4: Strong top-line growth driven by travel & speed enforcement trends
Strong top-line growth driven by travel & speed enforcement trends Consolidated – Q1 Results Total Revenue ($M) Adjusted EBITDA ($M) ARR Product Total $210 $192 +9% $7 $7 Total $93 Service $203 $88 +6% $185 +10% Q1 2023 Q1 2024 Q1 2023 Q1 2024 Adjusted EPS Adjusted Free Cash Flow ($M) 1 $42 $0.26 4%
Slide 5: Core Businesses Drive Strong Growth and FCF Conversion
Core Businesses Drive Strong Growth and FCF Conversion Total Revenue Breakdown ($M) Adjusted EBITDA & Margins ($M) Service Total Revenue Product CAGR 26% Adj EBITDA CAGR 25% Service Revenue CAGR 31% 45% 45% $835 46% $817 $742 $34 $34 $46 49% $551 $58 $376 $394 $372 $802 $339 $784 46% $57 $695 $271 $
Slide 6: Robust travel demand driving strong performance
Robust travel demand driving strong performance Commercial Services – Q1 Results Total Revenue & YoY Growth Adjusted EBITDA & YoY Growth Adj. EBITDA $61 $96 $54 +14% +12% $86 Q1 2023 Q1 2024 Q1 2023 Q1 2024 Q1 – Key Highlights • First quarter Revenue up 12% over Q1 2023 due to strength in RAC tollin
Slide 7: Revenue fueled by core market acceleration
Revenue fueled by core market acceleration Government Services – Q1 Results Total Revenue & YoY Growth Adjusted EBITDA & YoY Growth ARR Product Revenue Total Rev $94 $86 +10% $4 $3 Adj. Srvc Rev $90 $83 +8% $31 EBITDA $29 -7% Q1 2023 Q1 2024 Q1 2023 Q1 2024 Q1 – Key Highlights • Service Revenue grow
Slide 8: Revenue driven by Recurring SaaS and Services Growth
Revenue driven by Recurring SaaS and Services Growth T2 Systems – Q1 Results Total Revenue & YoY Growth Adjusted EBITDA & YoY Growth SaaS & Service Revenue Product Revenue Total Rev $20 -3% $20 $5 $3 Srvc Rev $17 $16 +5% Adj. $3 EBITDA $3 -2% Q1 2023 Q1 2024 Q1 2023 Q1 2024 Q1 – Key Highlights • Rec
Slide 9: Strong, Flexible Balance Sheet + Robust Cash Flow
2 0 2 1 I N V E S T O R D A Y – © B U I L D E R9 S F I R S T S O U R C E Strong, Flexible Balance Sheet + Robust Cash Flow Capital Summary & Financial Highlights ($M) Net Leverage Improvement ($M) $1,107 March 31, 2024 $949 $942 $918 $903 Cash & Cash Equivalents $150 3.2x 2.7x 2.6x 2.5x 2.4x Debt $1
Slide 10: Increasing 2024 Financial Guidance
Increasing 2024 Financial Guidance In millions, except per share data & net leverage Previous Guidance Updated Guidance Total Revenue growth of ~8% Total Revenue $865 - $880 Upper end of range CS driven by strong travel demand plus increased adoption 1 GS driven by strong backlog and sales pipeline
Slide 11: Additional 2024 Guidance Assumptions
Additional 2024 Guidance Assumptions 2024 fully diluted share count of approximately 169 million shares (weighted average for the year) Effective tax rate of 30% including State taxes; approximately $55 million in 2024 total cash taxes 2024 depreciation and amortization expected to be approximately
Slide 12: Appendix
Appendix 12
Slide 13: Verra Mobility Quarterly Results
Verra Mobility Quarterly Results 2021 - 2024 Unaudited ($ in millions) Full Year 2021 Full Year 2022 Q1 2023 Q2 2023 Q3 2023 Q4 2023 Full Year 2023 Q1 2024 Service revenue $492.8 $695.2 $184.7 $196.0 $201.0 $201.8 $783.6 $202.7 Product sales 57.7 46.4 7.2 $8.4 8.9 9.2 33.7 7.0 Total revenue $550.6 $
Slide 14: Verra Mobility Quarterly Results: Segment Results of Operations
Verra Mobility Quarterly Results Segment Results of Operations Commercial Services Unaudited ($ in millions) Full Year Full Year Full Year Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 2021 2022 2023 Total Revenue Commercial Services $260.9 $326.0 $85.6 $94.5 $98.1 $94.5 $372.8 $95.9 Segment Adj EBITDA Co
Slide 15: Adj. Net Income and Adj. Diluted EPS Reconciliations
Verra Mobility Adj. Net Income and Adj. Diluted EPS Reconciliations (in $MM, except per share data) Q1 2023 Q2 2023 Q3 2023 Q4 2023 Q1 2024 Net Income $4.6 $19.1 $30.3 $3.0 $29.1 Amortization of intangibles 22.0 20.0 18.9 16.7 16.7 Transaction and other related expenses 0.3 0.1 0.2 0.1 1.5 Transform
Slide 16: Thank You
Thank You http://ir.verramobility.com/