Expro Group Holdings N.v. · NYSE:XPRO
Expro — Q1 2022 Earnings Presentation
23 slides from Expro's earnings presentation, May 5, 2022
Slide 1: Expro Q1 2022
€3 —ExPRO Q1 | 2022 NYSE: XPRO
Slide 2: Disclaimer
Disclaimer This presentation contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. All statements, other than statements of historical facts, included in this presentation that address activities, e
Slide 3: Expro: A Leading Well Expert
Expro: A Leading Well Expert Capitalizing on our increased scale, broad portfolio of services and solutions, global operating footprint and through-cycle capabilities A diversified Future facing Significant cost Strong financial Delivered offering across technologies and revenue profile with outstan
Slide 4: Q1 2022 Expro Highlights
Q1 2022 Expro Highlights Consolidated Q1 revenue increased 12% year-over-year Adjusted EBITDA increased 54% year-over-year Customer activity levels have continued to improve across almost all segments and geographies Notable Technology Awards and Achievements: Galea™ Wins Spotlight Award on New Tech
Slide 5: Revenue Balanced by Region and Area of Capability
Revenue Balanced by Region and Area of Capability Q1 2022(1) Revenue by Geographical Market ($m) Q1 2022(1) Revenue by Area of Capability ($m) $280 $280 Well Construction Well Management Asia Pacific North & (APAC) Latin America (NLA) $104 $44 $169 $111 $51 Middle East Europe & Sub North Africa Saha
Slide 6: Q1 2022 Regional Highlights
Q1 2022 Regional Highlights Middle East & North Africa Middle East & North Africa Egypt has installed a recycling water Significant contract worth $190m in North East Africa for the provision of production packages, system in the yard. The recycled water including but not limited to early production
Slide 7: Customer and Technology Highlights
Customer and Technology Highlights Acquisition of Distributed Expro’s Galea™ wins 2022 Latest generation CoilHose™ AI-Delivery of field life Downhole fluid capture Fiber Optic Sensing (DFOS) Offshore Technology deployed from a Light Well extension project in Norway. services for a customer using com
Slide 8: Synergies: A Near-term Opportunity for Margin Expansion
Synergies: A Near-term Opportunity for Margin Expansion Integration plan on-track with $80-$100M in merger synergies expected within 24-36 months; +80% of initial $55 million of synergies opportunity identified and actioned by March 31 $70M Cost Synergies $10-$30M Revenue Synergies 1 Cost synergies
Slide 9: Making Significant Progress to Realize Expected Cost Synergies
Making Significant Progress to Realize Expected Cost Synergies Identified and actioned on ~80% of expected $55 million of first 12-month cost savings Total Expected Cost Synergies ($m) Well on track to achieve $55 total expected Expected cost synergies in order savings in first 12 months $70 to driv
Slide 10: Sustainable Solutions for Expro and its Customers
Sustainable Solutions for Expro and its Customers Operational Operational Environmental Carbon Emissions Emissions Efficiencies Capture Well Construction Well Intervention & Integrity Well Flow Management Subsea Well Access and Well Flow Management CoilHose operation Carbon-efficient solution reduce
Slide 11: Our Inaugural ESG Report
Our Inaugural ESG Report Helping to address the critical energy challenges of today and engineering the answers of tomorrow • Commitment to achieve Net Zero Carbon Emissions by 2050 • Supporting Customers’ Carbon Reduction Objectives and playing a leading role in the Energy Transition • Expro’s Tale
Slide 12: Historical Segment EBITDA by Region
Historical Segment EBITDA by Region North & Latin America ($m) Europe & Sub Saharan Africa ($m) $30 25% $30 30% 21% 26% 21% 21% 22% 16% 23% 23% $25 19% $25 25% 20% 21% 15% 15% 15% 15% 19% 18% 18% $20 14% $20 17% 20% 15% 15% 15% 14% 12% 11% 13% $15 $15 15% 8% 10% $10 $10 10% $5 5% $5 5% $21 $24 $20 $
Slide 13: Historical Revenue and Contribution by Areas of Capability
Historical Revenue and Contribution by Areas of Capability Revenue ($m) Well Management ($m) $100 40% 42% 40% 40% 41% 45% Well Construction Well Management $90 38% 38% 38% 35% 36% 37% 40% 35% 33% $80 35% $70 30% $326 $348 $342 $374 $330 $251 $233 $250 $251 $284 $313 $296 $280 $60 25% $50 20% $40 $30
Slide 14: Company Outlook
Company Outlook Q2 2022 2022 • We expect revenue in the • Revenue momentum will be driven by an increase in second quarter of 2022 will be shorter-cycle, faster-return production optimization projects up sequentially by +/- 10%. • Recovering offshore market beyond the next few quarters • We expect t
Slide 15: Appendix
Appendix: For further info, please visit: Investors.Expro.com >> Click here for Downloadable Financials >> Click here to Download our ESG report >> Copyright 2022 Expro. All rights reserved. 15
Slide 16: Expro at a Glance
Expro at a Glance Who We Are Company Snapshot 1 Full-cycle energy services leader with a diverse set of global capabilities in: • Well Construction Operations in Resilient • Well Flow Management over 60 countries; business model • Subsea Well Access best-in-class safety to drive through- • Well Inte
Slide 17: Historical Revenue and Adjusted EBITDA
Historical Revenue and Adjusted EBITDA Revenue ($m) Adjusted EBITDA ($m) $374 Well Management Well Construction Expro Frank’s XPRO $348 $342 $51 Legacy $51 $326 $330 $313 $45 $45 $45 $296 $280 $139 $284 $14 $156 $139 $123 $251 $251 $39 $250 $37 $144 $233 $115 $16 $35 $14 $16 $112 $33 $108 $111 $12 $
Slide 18: Historical Revenue by Region and Product Line
Historical Revenue by Region and Product Line By Region ($m) By Product Line ($m) NLA ESSA MENA APAC Well Construction Well Flow Management Subsea Well Access Well Intervention & Integrity $374 $374 $348 $348 $342 $342 $42 $326 $56 $330 $326 $330 $38 $313 $40 $41 $313 $44 $31 $42 $296 $37 $43 $39 $2
Slide 19: Historical Support Costs
Historical Support Costs Support Costs ($m) Trailing Twelve Months ($m) Research, engineering and development Research, engineering and development Product Line and central costs Product Line and central costs Geography-based support costs Geography-based support costs $101 $103 $102 $101 $303 $6 $6
Slide 20: Historical Adjusted Cash Flow from Operations and Capex
Historical Adjusted Cash Flow from Operations and Capex Adjusted Cash Flow from Operations ($m) Capital Expenditures ($m) Expro Frank’s XPRO Expro Frank's XPRO Legacy Legacy 80 $73 $40 $66 $40 $37 $37 60 $27 $18 $52 $33 $33 $10 $10 $41 $44 $10 $10 $31 $8 $28 40 $9 $5 $32 $28 $26 $22 $22 $48 $46 $17
Slide 21: Non-GAAP Reconciliations
Non-GAAP Reconciliations ($ in millions) Three Months Ended, TTM 31-Mar-19 30-Jun-19 30-Sep-19 31-Dec-19 31-Mar-20 30-Jun-20 30-Sep-20 31-Dec-20 31-Mar-21 30-Jun-21 30-Sep-21 31-Dec-21 31-Mar-22 Adjusted EBITDA 1 $ 33 $ 45 $ 45 $ 51 $ 35 $ 24 $ 24 $ 26 $ 24 $ 39 $ 45 $ 51 $ 37 $ 171 Depreciation, am
Slide 22: Non-GAAP Reconciliations (continued)
Non-GAAP Reconciliations (continued) Three Months Ended TTM Q1 19 Q2 19 Q3 19 Q4 19 Q1 20 Q2 20 Q3 20 Q4 20 Q1 21 Q2 21 Q3 21 Q4 21 Q1 22 Total revenue $ 326 $ 348 $ 342 $ 374 $ 330 $ 251 $ 233 $ 250 $ 251 $ 284 $ 313 $ 296 $ 280 $ 1,173 Cost of revenue, excluding depreciation and amortization (287)
Slide 23: For further info, please visit…
For further info, please visit… @Expro @ExproGroup @ExproGroup @ExproGroup @ExproGroup Expro.com Copyright 2022 Expro. All rights reserved. 23