Karman Holdings Inc. · NYSE:KRMN
Karman — Q4 2024 Earnings Presentation
18 slides from Karman's earnings presentation, Apr 8, 2025
Slide 1: Fourth Quarter and Full Fiscal Year 2024 Earnings Presentation
Fourth Quarter and Full Fiscal Year 2024 Earnings Presentation April 8, 2025 Tony Koblinski Mike Willis Jonathan Beaudoin Chief Executive Officer Chief Financial Officer Chief Operating Officer
Slide 2: Forward-Looking Statements
Forward-Looking Statements This presentation may contain “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. We intend all forward-looking statements to be covered by the safe harbor provisions of the Pr
Slide 3: 2025 Highlights
©2025 Karman Space & Defense February IPO raised $173 million in net primary proceeds to support growth Record funded backlog of nearly $580 million as of 12/31/24 Strengthened balance sheet with successful debt refinancing 2025 Highlights Acquired MTI, expanding our capabilities, customers, contrac
Slide 4: Fiscal Year 2024 Key Financial Highlights
Fiscal Year 2024 | Key Financial Highlights Record Revenue Record Gross Profit • $345.3 million • $132 million • +23% YoY • +25% YoY Record Net Income Record Adjusted EBITDA • $12.7 million • $106 million • +191% YoY • +30% YoY RECORD 2024 RESULTS AND WELL-POSITIONED FOR CONTINUED GROWTH IN 2025 ©20
Slide 5: Leading IP-Driven Merchant Supplier to Prime Contractors in Three End Markets
Karman is a Leading IP-Driven Merchant Supplier to Prime Contractors in Three High-Priority End Markets Hypersonics & Strategic Missile Defense Tactical Missile & Integrated Defense Systems Space & Launch END MARKETS Hypersonics, missile deterrent technologies Precision guided, small-diameter rocket
Slide 6: Strong Historical Financial Performance
Strong Historical Financial Performance Revenue ($M) Adj. EBITDA & Margin ($M)1 $345 $106 $281 $115 $82 $226 $95 $60 $80 $116 $86 $74 $100 $115 27% 29% 31% $72 2022 2023 20242 2022 2023 2024 Hypersonics and SMD Tactical Missiles and IDS Space and Launch Total Adjusted EBITDA Adjusted EBITDA Margin
Slide 7: Full Fiscal Year 2024 Selected Financial Results
Full Fiscal Year 2024 Selected Financial Results Change 2024 2023 Item ($ in millions) 2024 2023 from 2023 Margin1 Margin1 Revenue $ 345.3 $ 280.7 23.0% 100% 100% Gross Profit 132.1 105.6 25.2% 38.3% 37.6% Net Operating Income 63.6 48.5 31.1% 18.4% 17.3% Net Income 12.7 4.4 191.3% 3.7% 1.6% Adjusted
Slide 8: Strengthening Our Balance Sheet With Successful Refinancing
Strengthening Our Balance Sheet With Successful Refinancing New Term Loan B • $300 million • SOFR + 3.5% interest rate • Matures April 2032 Lowered interest rates Extended maturity dates New Revolving Credit Facility Positioned Karman for MTI acquisition • $50 million • SOFR + 2.75% to 3.25% i
Slide 9: Highly Diversified Revenue Provides Resiliency
Highly Diversified Revenue Provides Resiliency Significant Diversification Across Programs, Customers, and Markets By End Market By Program Program A 11% Space & Hypersonic Program B Launch & SMD 7% 34% 33% Program C 6% 100+ Other Programs Program D 5% Program E 4% Program F 4% Program G Program H4%
Slide 10: MTI Acquisition Expands Our Capabilities and Market Opportunity
MTI Acquisition Expands Our Capabilities and Market Opportunity Valuable new capabilities in refractory Advancing next generation Highly specialized metals for extremely technology and missile capabilities with high temperature, manufacturing specialized materials vital to the demanding capabilities
Slide 11: Priorities for 2025 and Beyond
Priorities for 2025 and Beyond 1 2 3 4 Leverage our Continue executing Investing in our Fulfilling our Vision growing backlog and on inorganic growth team’s talents, of being ‘…the robust pipeline to opportunities - along with industry’s most deliver controlled, roughly 1 to 2 processes and sought-a
Slide 12: 2025 Guidance
2025 Guidance $423 million to $433 million Revenue 24% year over year increase to midpoint of range Adjusted $132 million to $137 million EBITDA 27% year over year increase to midpoint of range • Supported by +$600 million in funded backlog as of end of March 2025 with +90% visibility for 2025 reven
Slide 13: Financial Tables
Financial Tables
Slide 14: Non-GAAP Financial Measures
Non-GAAP Financial Measures This presentation includes certain non-GAAP financial measures: Adjusted EBITDA and Adjusted EBITDA Margin. We believe the non-GAAP financial measures will help investors understand our financial condition and operating results and assess our future prospects. We believe
Slide 15: Consolidated Balance Sheets - Assets
Consolidated Balance Sheets - Assets As of December 31, 2024 2023 ASSETS Current assets Cash and cash equivalents $ 11,529,770 $ 5,454,710 Accounts receivable, net 55,219,869 50,597,096 Contract assets 107,221,568 89,184,472 Inventory 9,883,376 9,839,569 Prepaid and other current assets 17,855,981 2
Slide 16: Consolidated Balance Sheets – Liabilities and Members' Equity
Consolidated Balance Sheets – Liabilities and Members’ Equity As of December 31, 2024 2023 LIABILITIES AND MEMBERS' EQUITY Current liabilities Accounts payable $ 28,295,681 $ 21,041,638 Accrued payroll and related expenses 11,248,792 6,430,177 Contract liabilities 29,867,692 36,074,449 Short term le
Slide 17: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation For the years ended 2024 2023 Net income (loss) $12,701,039 $4,359,405 Income tax provision (benefit) 1,627,963 (3,168,821) 1 Depreciation and amortization 32,959,115 27,179,214 Interest expense, net 50,732,903 47,867,005 EBITDA 98,021,020 76,236,803 Acquisition relate
Slide 18: investors@karman-sd.com
SON 6“. ARMAN SPACE & DEFENSE investors@karman-sd.com