Slide 1: Earnings Release Presentation Q2 2023
Earnings Release Presentation Q2 2023
Slide 2: Forward Looking Information
Forward Looking Information Q2 2023 This presentation contains forward-looking information within the Additional information on the risks and uncertainties on the meaning of applicable securities laws. Words such as "may", "will", Company’s business can be found in the Company’s current Annual "shou
Slide 3: Highlights Q2 2023
Highlights Q2 2023 Maintaining disciplined capital allocation approach with “all of the above” strategy • Q2 Adjusted EBITDA • Renewed Normal Course Net-debt-to at $67.3M Issuer Bid adjusted Organic EBITDA <1.5x Investment • Completed company • Commenced the ALL OF re-brand to Mattr Southeast Gatewa
Slide 4: Composite Technologies
Composite Technologies Q2 2023 (formerly known as Composite Systems) • 11% increase in revenue vs. Q2-2022 to $150 million, a new record quarter for segment revenue and EBITDA • Strong Flexpipe performance, particularly for large diameter & international • Fuel and water product shipments substantia
Slide 5: Connection Technologies
Connection Technologies Q2 2023 (formerly known as Automotive & Industrial) • Revenue of $89 million marks a 12% increase vs. Q2-2022, with new record quarterly EBITDA • Strong deliveries into North American utilities and European Automotive end markets • The quarter benefitted from significant nucl
Slide 6: Pipeline and Pipe Services
Pipeline and Pipe Services Q2 2023 • Delivered $162 million of revenue, a 73% increase vs. Q2-2022, as several offshore coating projects commenced • Segment EBITDA margins exceeded 10% during second quarter as multi-year offshore pipeline construction up-cycle continued • Western Hemisphere was part
Slide 7: Southeast Gateway Pipeline
Southeast Gateway Pipeline Q2 2023 Coating has commenced on 706km of 36”-diameter pipe from two mobile plants in Altamira Mexico (similar facility was used to execute the Sur de Texas project) Expected Project Revenue >$500M ~5% of project revenue recognized at end Q2. Coating completion now expecte
Slide 8: Backlog, Bid & Budgetary
Backlog, Bid Q2 2023 Q1 2023 & Budgetary Q2 2023 $177 $84 12-month Backlog reduced 12% as offshore pipeline coating activity accelerated & backlog $1,157 $1,309 associated with divested SPS business removed. < 12 months < 12 months > 12 months > 12 months Backlog likely to move down during H2-23 as
Slide 9: Financial Results Q2 2023
Financial Composite Technologies In millions Q2 2023 Q2 2022 Change Results Q2 2023 Revenue 150.4 135.4 11% Adj. EBITDA 34.8 23.2 50% Q2 Consolidated Revenue $400.6M Adj. EBITDA Margin (%) 23.1% 17.1% 600bps Consolidated Adj. EBITDA $67.3M Connection Technologies Adj. EBITDA Margin 16.8% In millions
Slide 10: Cashflow and Debt
Cashflow and Debt Q2 2023 Consolidated Cash & Debt Net Debt $500 $437 $421 $410 $400 $291 $307 $281 $300 $266 $246 $222 $207 -80% $200 $163 $119 $87 $100 $6 $0 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4 Q1 Q2 2020 2021 2022 2023 • Invested in $14.5 million of Working Capital, driven by increased activity i
Slide 11: CAPEX
CAPEX Q2 2023 CAPEX ($CAD MM) $90 Capital spend of $59.7 million in Q2, of which $56.4 million directed $76 $78 to growth capital, the majority of which was customer funded and $80 $3 went to support the SGP project. $70 Capital spending for full year 2023 expected to be $160-$180 million, $60 $54 d
Slide 12: Cumulative Value of Strategic Actions
Cumulative Value of Strategic Actions Q2 2023 Actions taken since the beginning of 2020 resulted in the following, $21.9M as at June 30, 2023: Gross Proceeds secured from TTM EBITDA of Scope 1 & 2 Estimated Fixed transactions all businesses Emissions Assets Removed sold in Reduced $222M ~$90M Non-co
Slide 13: Outlook
Outlook Q2 2023 Macro-economic Operational • Continuing expansion of global • Anticipate substantial step-up in Q3-23, investment in communications, driven primarily by pipe coating activity rise transportation, low emissions • $160-$180M planned capital investment energy and water management in 202
Slide 14: A Global Materials Technology Company Positioned for Growth
A Global Materials Technology Abundant growth Company Positioned for Growth opportunities and established customer base comprised of investment grade counterparts High-quality customers with low concentration and healthy backlog in all segments Portfolio simplification & evolution prioritizing Globa
Slide 15: Thank you.
@ = Thank you. Infrastructure Technologies