Slide 1: Second Quarter 2025 Earnings Presentation
August 7, 2025 Second Quarter 2025 Earnings Presentation
Slide 2: Forward Looking Statements
Forward Looking Statements This presentation contains forward-looking statements as defined by the Private Securities Litigation Reform Act of 1995. These statements are based on the beliefs and assumptions of management. Although CompoSecure believes that its plans, intentions, and expectations ref
Slide 3: Increased conviction in CompoSecure's ability to drive sustainable long-term value creation
3 Increased conviction in CompoSecure’s ability to drive sustainable long-term value creation for shareholders Accelerating organic growth – for both existing card program updates and new card launches across traditional banks and fintechs. Early impact of CompoSecure Operating System – driving
Slide 4: Strong second quarter driven by accelerating sales and improved profitability
4 Strong second quarter driven by accelerating sales and improved profitability – raising full year guidance Financial results are required to be reported using equity method accounting1 following the completed spin-off of Resolute Holdings Management, Inc. (Nasdaq: RHLD). Non-GAAP Net Sales2 of $11
Slide 5: CMPO is an operating business and RHLD is an asset management firm
5 CMPO is an operating business and RHLD is an asset management firm – Non-GAAP financials capture distinct economics Non-GAAP financials best reflect underlying entity structure and unique earnings streams Relationship Between CMPO & RHLD CompoSecure, Inc. (NASDAQ: CMPO) Resolute Holdings Managemen
Slide 6: Continuing to make investments to meet accelerating customer demand
6 Continuing to make investments to meet accelerating customer demand and scale operational efficiencies Favorable Demand Trends Operational Progress Premium Upgrade Cycles – significant refresh of Chase Sapphire Reserve demonstrates market momentum to expand value proposition of established premium
Slide 7: High-profile customer card programs delivered by CompoSecure
7 Chase Sapphire Reserve Existing Program Upgrade Sapphire Reserve Business New Launch Coinbase One Card New Launch Gemini Card Existing Program Upgrade XP Legacy – Brazil New Launch FNBO – MGM Rewards New Launch Crypto.com – US New Launch High-profile customer card programs delivered by CompoSecure
Slide 8: Metal represents <1% of total payment cards
8 While metal represents <1% of total payment cards, changing consumer trends create opportunity for CompoSecure Y / Y Growth 7.2% 10.3% 8.8% 5.6% 5.8% 4.2% 4.4% 3.9%8.7% Increasing share of metal card issuance while aggregate payment card volumes continue to expand CompoSecure’s Opportunity to Incr
Slide 9: New program launches and refreshes create robust and durable demand
9 Sources: Company filings, earnings transcripts, and investor presentations. New program launches plus existing program refreshes, like Chase Sapphire Reserve, create robust and durable demand JPMorgan Chase American Express Capital One 6.6 12.5 12.5 12.2 13.0 6.7 9.1 10.4 10.9 11.9 2020 2021 2022
Slide 10: Arculus momentum is accelerating
10 Arculus momentum is accelerating as customers seek out future-proof secure authentication and digital asset solutions Multiple Secure Applications Arculus Cold Storage Digital Asset Hardware Wallet Arculus Authenticate® Hardware Passkey Authenticator Authenticates new connected devices Authentica
Slide 11: Financial Overview
@CompoSecure Financial Overview
Slide 12: Equity method accounting change for CompoSecure Holdings
CompoSecure is required to account for its 100% wholly-owned operating subsidiary, CompoSecure Holdings, L.L.C. ("Holdings") and its subsidiaries under the equity method of accounting. A summary of the change in accounting is described below: ̶ Before February 28, 2025, results of our operating bu
Slide 13: Operating Results Summary – 2Q25
13 Significant year-over-year progress across all key reporting metrics Operating Results Summary – 2Q25 Non-GAAP metrics best reflect operating performance and are consistent with historical presentation less management fee 1 Refers to a Non-GAAP Measure; please reference the Appendix for full reco
Slide 14: Holdings Financial Highlights – 2Q25
Holdings Net Sales Holdings Gross Margin Holdings International Net Sales Up $11.0mn Up 588 bps Down $8.1mn ($ in millions) Holdings Domestic Net Sales Up $19.1mn 14 Headlined by strong domestic sales growth and gross margin expansion Holdings Financial Highlights – 2Q25 Strong domestic sales and gr
Slide 15: Non-GAAP Financial Highlights – 2Q25
15 Efficiency unlocks via COS drove improved profitability Non-GAAP Financial Highlights – 2Q25 ($ in millions, except per share data) Pro Forma Adjusted EBITDA Adjusted Diluted EPSAdjusted Net Income Up $9.6mn Up $0.02 per shareUp $4.2mn Pro Forma Adjusted EBITDA Margin Up 492 bps Note: All metrics
Slide 16: Raising Full Year 2025 Guidance
16 Expecting continued commercial and operational momentum into second half while making foundational investments Consolidated Net Sales Pro Forma Adjusted EBITDA1 Note: All figures reflect dollars in millions. 1 Pro Forma Adjusted EBITDA includes the Management Fee anticipated to be paid for FY25,
Slide 17: Appendix
@CompoSecure Appendix
Slide 18: GAAP to Non-GAAP Operating Results Statement of Operations
18 GAAP to Non-GAAP Operating Results Statement of Operations (Unaudited) – 2Q25 GAAP results reflect Holdings under the equity method of accounting for 2Q25 Elimination of equity method investment represents the removal of the net income that we recorded from the equity method investment in Holding
Slide 19: GAAP and Non-GAAP Balance Sheet
GAAP Non-GAAP GAAP GAAP Non-GAAP GAAP June 30, 2025 June 30, 2025 December 31, 2024 June 30, 2025 June 30, 2025 December 31, 2024 ASSETS LIABILITIES AND STOCKHOLDERS' EQUITY CURRENT ASSETS CURRENT LIABILITIES Cash and cash equivalents $4,808 $96,474 $77,461 Accounts payable $2,635 $16,837 $11,544 Ac
Slide 20: Unaudited Statement of Cash Flows (GAAP and Non-GAAP)
20 Unaudited Statement of Cash Flows (GAAP and Non-GAAP) CompoSecure generated robust net cash from operating activities of $52 million through June 30, 2025 Note: The Non-GAAP column represents a consolidation of the Company’s results with those of Holdings, for consistency with prior consolidated
Slide 21: GAAP and Non-GAAP Statement of Operations
GAAP Non-GAAP Three Months Ended June 30, Three Months Ended June 30, 2025 2024 $ Change % Change 2025 2024 $ Change % Change Net sales $ — $ 108,567 $ (108,567) (100.0)% $ 119,592 $ 108,567 $ 11,025 10.2% Cost of sales — 52,495 (52,495) (100.0)% 50,792 52,495 (1,703) (3.2)% Gross profit $ — $ 56,07
Slide 22: Adjusted Net Income and Diluted EPS Reconciliation
Basic Diluted Three Months Ended June 30, Three Months Ended June 30, 2025 2024 2025 2024 ($ in thousands, except per share data) ($ in thousands, except per share data) Net income (loss) $(26,125) $33,597 Adjusted net income $28,391 $22,448 Add (less): Provision (benefit) for income taxes (1,762) 2
Slide 23: Quarterly Management Fee Methodology Comparison
23 Methodology Comparison – Reported by CMPO vs. Defined in Management Agreement Quarterly Management Fee Calculation 1 Periods prior to 1Q25 include the Management Fee that would have been payable had the Management Agreement been executed on January 1, 2024, for comparability; 1Q25 reflects actual
Slide 24: Investor Relations Contact
Investor Relations Contact Sean Mansouri 720-330-2829 ir@composecure.com
Slide 25: @CompoSecure
@CompoSecure