Dexterra Group, Inc. · TSX:DXT
Dexterra — Q3 2023 Earnings Presentation
17 slides from Dexterra's earnings presentation, Nov 8, 2023
Slide 1: Q3 2023 Results
Q3 2023 Results Analyst & Investor Call November 8, 2023
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
Slide 3: Bill McFarland
Bill speaking script: Thanks to everyone for joining and I am pleased to report: • Record EBITDA in Q2 with stronger results in all business units • Management's focus on profitability and execution continues to make a difference and set Dexterra up for future success • On an annualized basis we are
Slide 4: Mark Becker
Mark Becker Chief Executive Officer 4
Slide 5: Q3 Progress on the 2023 Business Plan
Q3 Progress on the 2023 Business Plan Revenue: Record results this quarter for the Corporation IFM ◦ Organic growth ◦ Margin improvement WAFES ◦ Capitalizing on robust market activity ◦ Continued market share capture ◦ Sales focus to capture new major projects Adjusted EBITDA: Modular ◦ Execution of
Slide 6: Integrated Facilities Management
Integrated Facilities Management A growing Support Services business with an expanding footprint and diversified client base Trend ◦ Revenue and EBITDA growth over prior year ◦ New contracts on-boarded in Q3 ◦ Q4 margin uplift ◦ Healthy sales pipeline 6
Slide 7: Workforce Accommodations, Forestry, Energy Services
Workforce Accommodations, Forestry, Energy Services A strong business with a natural resource foundation Trend ◦ Strong revenue and EBITDA growth ◦ $30M revenue in wildfire support in Q3 ◦ Robust natural resource market activity ◦ High occupancy in Kitimat Crossroads Lodge ◦ Mobilization of new majo
Slide 8: Modular Solutions
Modular Solutions A developing modular manufacturing & services business Trend ◦ Continued execution of business improvement plan ◦ $16 million of BC affordable housing projects completed ◦ Strong school portables business ◦ Progress on Ontario AH projects ◦ Building backlog focus 8
Slide 9: Karima Amlani
Karima Amlani Interim Chief Financial Officer 9
Slide 10: Financial Position & Economic Outlook
Financial Position & Economic Outlook ◦ Strong net earnings ◦ Strong financial position and liquidity ◦ New debt facility in place ◦ Reduction in working capital in Q4 ◦ Leverage ratio slightly above 1x forward EBITDA by year end ◦ AFCF conversion target 50% of Adjusted EBITDA ◦ Non-Recurring Items
Slide 11: Path Forward
Path Forward Overall: IFM ◦ Continued focus on execution and profitability 50%-60% ◦ Reduce debt levels absent M&A ◦ Opportunistic on share repurchases Integrated Facilities Management: ◦ Profitable organic growth ◦ Margin improvement in Q4 ◦ Disciplined approach to M&A WAFES: ◦ Capitalize on high n
Slide 12: Question & Answer Period
Question & Answer Period Questions (?) [
Slide 13: APPENDIX I - Supporting Charts
APPENDIX I - Supporting Charts 13
Slide 14: Revenue Reconciliation Q3 2022 vs Q3 2023
Appendix I Revenue Reconciliation Q3 2022 vs Q3 2023 14
Slide 15: Adjusted EBITDA Q3 2022 vs Q3 2023
Appendix I Adjusted EBITDA Q3 2022 vs Q3 2023 15
Slide 16: Revenue Reconciliation Q2 2023 to Q3 2023
Appendix I Revenue Reconciliation Q2 2023 to Q3 2023 16
Slide 17: Adjusted EBITDA Q2 2023 to Q3 2023
Appendix I Adjusted EBITDA Q2 2023 to Q3 2023 17