Dexterra Group, Inc. · TSX:DXT

Dexterra — Q2 2022 Earnings Presentation

20 slides from Dexterra's earnings presentation, Aug 10, 2022

  1. Slide 1: Q2 2022 Results Analyst & Investor Call

    Q2 2022 Results Analyst & Investor Call August 10, 2022

  2. Slide 2: Cautionary Statement

    Cautionary Statement In this presentation, all amounts are in Canadian dollars, unless otherwise indicated. Any graphs, tables or other information in this presentation demonstrating the historical performance of Dexterra Group Inc. (“Dexterra Group”) or of any of its business units contained in thi

  3. Slide 3: Bill McFarland, Board of Directors Chair

    Bill McFarland Board of Directors Chair 3

  4. Slide 4: John MacCuish, Chief Executive Officer

    John MacCuish Chief Executive Officer 4

  5. Slide 5: Q2 2022 Dexterra Group Progress

    Q2 2022 Dexterra Group Progress ◦ Q2 revenue $234 million and Adjusted EBITDA $13.6 million ◦ Revenue boost through IFM acquisitions and WAFES ◦ Modular recovery plan progressing and return to profitability in Q3 2022 ◦ Managing supply chain, inflation and labour shortages across portfolio ◦ EBITDA

  6. Slide 6: Integrated Facilities Management

    Integrated Facilities Management A growing Support Services business with an expanding footprint and diversified client base. Revenue by End-Market - 2022 YTD ◦ New president hired – Sanjay Gomes ◦ Dana Hospitality and TRICOM acquisitions: Others 3% ◦ Margin growth will improve with autumn Hotel, Le

  7. Slide 7: Workforce Accommodations, Forestry, Energy Services

    Workforce Accommodations, Forestry, Energy Services A foundational Support Services business driven by natural resources fundamentals ◦ New President - Jeff Litchfield ◦ Q2 revenue growth of $32 million vs Q2 2021 and Revenue by service type - 2022 YTD $4 million vs Q1 2022 ◦ Strong camp occupancy a

  8. Slide 8: Modular Solutions

    Modular Solutions An developing manufacturing & services business positioned for growth & long-term profitability ◦ Q2 Profitability hurt by cost inflation of over 10% on Revenue by End-Market - 2022 YTD fixed priced contracts ◦ Return to profitability starting in Q3 2022 Education 12% ◦ EBITDA for

  9. Slide 9: Drew Knight, Chief Financial Officer

    Drew Knight Chief Financial Officer 9

  10. Slide 10: Q2 2022 Overall Results

    Q2 2022 Overall Results Revenue Adjusted EBITDA (ex CEWS) $234 million $224 million $18 million $14 million $17 million 65.2 3.3 64.2 $174 million 4.0 4.0 14.8 Adjusted EBITDA ($M) 119.1 38.8 16.3 16.0 115.1 Revenue ($M) 87.5 49.6 48.2 0.4 4.4 43.3 (3.0) (3.4) 1.4 (0.9) (4.3) (3.6) Q2 2022 Q1 2022 Q

  11. Slide 11: Q2 2022 Results by Segment

    Q2 2022 Results Q2 IFM Q2 WAFES Q2 MODULAR SOLUTIONS 9.2% 65.2 64.2 119.1 48.2 Revenue and Adjusted EBITDA ($M) Revenue and Adjusted EBITDA ($M) Revenue and Adjusted EBITDA ($M) 115.1 49.6 17.0% 43.3 87.5 8.6% 1.0% 38.8 13.7% 13.9% 6.1% 6.2% (6.1)% 0.4 4.4 (3.0) 16.3 16.0 14.8 4.0 4.0 3.3 Q2 2022 Q1

  12. Slide 12: Financial Leverage & Liquidity

    Financial Leverage & Liquidity • Financial Position and liquidity are strong with $61.2 unused capacity on bank lines • Working capital investment lowered with reduction in negotiated Holdbacks • Conversion of EBITDA to Free Cash Flow expected to exceed 50% for 2022 • Leverage expected to be approx.

  13. Slide 13: John MacCuish, Chief Executive Officer

    John MacCuish Chief Executive Officer 13

  14. Slide 14: Path Forward

    Path Forward: Back half of 2022: IFM o Sales to approximate $1 billion revenue on an annualized basis 50%-60% o EBITDA strong growth with a return to Modular profitability and continued strong growth in IFM and WAFES o Strong dividend and conversion of EBITDA to free cash flow WAFES 25%-30% Integrat

  15. Slide 15: Question & Answer Period

    Question & Answer Period Questions (?) Lo

  16. Slide 16: APPENDIX I - Supporting Charts

    APPENDIX I - Supporting Charts 16

  17. Slide 17: Revenue Reconciliation vs Q2 2021

    Appendix I Revenue Reconciliation vs Q2 2021 Consolidated Revenue (in millions) 250.0 31.6 1.4 0.9 233.9 26.4 200.0 173.6 150.0 100.0 50.0 — Q2 2021 IFM WAFES Modular Solutions Corporate Q2 2022 17

  18. Slide 18: Adjusted EBITDA (excluding CEWS) vs Q2 2021

    Appendix I Adjusted EBITDA (excluding CEWS) vs Q2 2021 Consolidated EBITDA (in millions) 25.0 1.4 20.0 0.7 18.3 15.0 0.7 13.6 (7.5) 10.0 5.0 — Q1 2021 IFM WAFES Modular Solutions Corporate and Inter- Q1 2022 segment eliminations 18

  19. Slide 19: Revenue Reconciliation vs Q1 2022

    Appendix I Revenue Reconciliation vs Q1 2022 Consolidated Revenue (in millions) 250.0 6.4 233.9 0.9 4.0 224.0 (1.4) 200.0 150.0 100.0 50.0 — Q1 2022 IFM WAFES Modular Solutions Corporate Q2 2022 19

  20. Slide 20: Adjusted EBITDA vs Q1 2022

    Appendix I Adjusted EBITDA vs Q1 2022 Consolidated EBITDA (in millions) 20.0 17.0 — 0.3 15.0 13.6 (3.5) (0.2) 10.0 5.0 — Q1 2022 IFM WAFES Modular Solutions Corporate and Inter- Q2 2022 segment eliminations 20

Dexterra Group — Q2 2022 Earnings Presentation on 6ix