Gfl Environmental Inc · TSX:GFL
Gfl Environmental — Q2 2021 Earnings Presentation
15 slides from Gfl Environmental's earnings presentation, Jul 29, 2021
Slide 1: Q2 2021 Investor Review
Q2 2021 Investor Review July 29, 2021
Slide 2: Disclaimer
Disclaimer Unless otherwise indicated, all references in this presentation to ‘‘GFL,’’ ‘‘we,’’ ‘‘our,’’ ‘‘us,’’ the “Company’’ or similar terms refer to GFL Environmental Inc. and its consolidated subsidiaries. Forward-looking Statements This presentation contains “forward-looking statements” within
Slide 3: Q2 Highlights
Q2 Highlights Q2: Financial Results • Revenue of $1,314.3M, increase of 32.3% • Adjusted EBITDA(1) of $353.0M, increase of 35.0% o Adjusted EBITDA margin(1) of 26.9%, 60 bps increase over prior period • Adjusted Free Cash Flow(1) of $159.8M, inclusive of USD$52.2M proceeds on non-core asset dispos
Slide 4: Q2 Revenue Growth
Q2 Revenue Growth Solid Waste Three months ended June 30, 2021 Contribution Total • 11.2% positive organic growth (610 bps sequential Organic Foreign from Growth Exchange Revenue increase from Q1-21), exceeding expectations Acquisitions Growth Solid waste: o 4.1% net price vs 3.7% in Q2-20 Canada
Slide 5: Operating Segment Breakdown
Operating Segment Breakdown (C$ millions unless otherwise noted) Solid Waste Three months ended June 30, 2021 2020 • 10 bps margin expansion vs Q2-20 Adjusted Adjusted Adjusted Adjusted o Organic margin expansion in both geographies Revenue EBITDA Revenue EBITDA EBITDA(1) EBITDA(1) Margin(2) Margi
Slide 6: Cash Flow Highlights
Cash Flow Highlights (C$ millions unless otherwise noted) Adjusted Free Cash Flow Three months ended June 30, Change • 53% increase in Adjusted Cash Flows from Operating 2021 2020 $ % Activities as compared to Q1-20 Cash flows from operating activities 177.5 132.2 45.3 34.3% • Results inclusive of
Slide 7: Net Leverage
Net Leverage (C$ millions unless otherwise noted) Other Cash Flow and Liquidity Items June 30, December 2021 31, 2020 • Deployed ~$135M for nine tuck-in acquisitions Total long-term debt 6,529.6 6,166.1 • ~$187M net cash position at quarter end Deferred finance costs and other adjustments Total lo
Slide 8: Updated Full Year 2021 Guidance
Updated Full Year 2021 Guidance
Slide 9: Updated Full Year 2021 Guidance – Revenue Bridge
Updated Full Year 2021 Guidance – Revenue Bridge Net Impact from 2021 Solid Waste M&A Increasing revenue Outperformance $100 - $115 $120 - $150 guidance $215M, an Liquid & F/X(2) ($55) incremental 5.1% Infrastructure Underperformance growth over prior ($25) - ($30) year(1) $5,280 - $5,225 - $5,090 5
Slide 10: 2021 Revenue – Potential Run Rate
2021 Revenue – Potential Run Rate Net Impact from Potential Incremental Acquisitions and Net Impact from Redeployment of M&A Roll Over - Capital Potential 2021 Run Completed Rates Inclusive of ~ $150 Terrapure and Upside ~ $350 Opportunities (1) $5,225 – $5,575 – $5,725 – 5,275 5,625 5,775 Revenue $
Slide 11: Appendix
Appendix
Slide 12: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation (C$ millions unless otherwise noted) 1. (Gain) loss on foreign exchange: Consists of (i) non-cash gains and losses on Three months Six months ended foreign exchange and interest rate swaps entered into in connection with our debt ended June 30, June 30, instruments, an
Slide 13: Adjusted Free Cash Flow Reconciliation
Adjusted Free Cash Flow Reconciliation (C$ millions unless otherwise noted) 1. Costs associated with IPO related debt repayments: Consists of costs associated Three months Six months ended with the IPO, such as legal, audit, regulatory and other fees and expenses incurred in ended June 30, June 30,
Slide 14: Adjusted Net Income Reconciliation
Adjusted Net Income Reconciliation (C$ and shares in millions unless otherwise noted) 1. Amortization of intangible assets: This is a non-cash item and consists of the Three months Six months ended amortization of intangible assets such as customer lists, municipal contracts, non- ended June 30, Jun
Slide 15: Definitions
Definitions Adjusted EBITDA: Is calculated by adding and deducting, as applicable, certain expenses, costs, charges or benefits incurred in such period which in management’s view are either not indicative of underlying business performance or impact the ability to assess the operating performance