Advanced Drainage Systems, Inc. · NYSE:WMS
Advanced Drainage Systems — Q3 2026 Earnings Presentation
14 slides from Advanced Drainage Systems's earnings presentation, Feb 5, 2026
Slide 1: Q3 Fiscal 2026 Financial Results
Q3 Fiscal 2026 Financial Results February 5, 2026
Slide 2: Management Presenters
Management Presenters Scott Barbour President and Chief Executive Officer Scott Cottrill Executive Vice President, Chief Financial Officer Craig Taylor President, Infiltrator Mike Higgins Vice President, Corporate Strategy & Investor Relations 2
Slide 3: Forward Looking Statements and Non-GAAP Financial Metrics
Forward Looking Statements and Non - GAAP Financial Metrics Forward Looking Statements Certain statements in this press release may be deemed to be forward - looking statements. These statements are not historical fac ts but rather are based on the Company’s current expectations, estimates and proje
Slide 4: CEO Highlights
CEO Highlights Q3 Fiscal 2026 Revenue Q3 Fiscal 2026 Profitability Sales • Allied product revenue increased 9% Adjusted EBITDA Margin Flat driven by growth of key products: +240 bps • Continued favorable volume $541 $540 StormTech chambers, Nyloplast basins, 30.2% and price/cost performance. Water Q
Slide 5: Advanced Drainage Systems Investor Day - Save the Date
Save the Date Advanced Drainage Systems Investor Day June 18, 2026 ADS Engineering and Technology Center Hilliard, OH 5
Slide 6: Q3 Fiscal 2026 Financial Performance
Q3 Fiscal 2026 Financial Performance Revenue Revenue Performance (USD, in millions) Flat By Business Domestic Markets + ADS Legacy +0% + Construction +1% $691 $693 - Pipe (3%) + Non - Residential +5% + Allied Products +8% - Residential (2%) - Infrastructure (9%) + Infiltrator +2% Q3 FY25 Q3 FY26 + A
Slide 7: Free Cash Flow and Capital Structure
Free Cash Flow and Capital Structure Free Cash Flow ( ¹) FY 2026 YTD FY 2025 YTD ∆ Consolidated Adjusted EBITDA $775 $713 $62 Working capital (2) 99 14 85 Cash tax (83) (111) 28 Cash interest (34) (36) 2 Transaction costs (3) (17) (9) (8) Other 39 (31) 70 Consolidated cash flow from operations $779
Slide 8: Disciplined Capital Allocation Framework
Disciplined Capital Allocation Framework >$5B in Capital Allocated Commitment to Invest in the ADS Platform… FY20 – FY26* Capital Expenditures Strategic Acquisitions (in $ millions) Sep A leader in Stormwater Capital NDS 2025 management Repurchases 23% Expenditures 22% 4x River Valley May Agricultur
Slide 9: Updated Fiscal Year 2026 Guidance
Updated Fiscal Year 2026 Guidance Fiscal 2026 Expectations Key Metric FY 2025 FY 2026* Y - o- Y Change $2,990 - $3,040 +3% to +5% Net Sales $2,904 (in Millions) Previous: $2,900 - $2,990 Previous: +0 to +3% $930 - $960 +5% to +8% Adj. EBITDA $889 (in Millions) Previous: $900 - $940 Previous: +1% to
Slide 10: Q&A
Q&A
Slide 11: Appendix
Appendix IPDS
Slide 12: YTD Fiscal 2026 Financial Performance
YTD Fiscal 2026 Financial Performance Revenue Revenue Performance (USD, in millions) +4% By Business Domestic Markets $2,374 + ADS Legacy +1% + Construction +5% $2,289 - Pipe (2%) + Non - Residential +9% + Allied Products +7% + Residential +4% - Infrastructure (10%) + Infiltrator +16% YTD FY25 YTD F
Slide 13: Reconciliations
Reconciliations Three Months Ended December 31, 2025 December 31, 2024(a) Net Sales from Net Sales from Intersegment Net External Intersegment Net External (In thousands) Net Sales Sales Customers Net Sales Sales Customers Pipe $ 339,175 $ (12,462) $ 326,713 $ 352,236 $ (12,607) $ 339,629 Infiltrato
Slide 14: Reconciliations
Reconciliations Three Months Ended December 31, Nine Months Ended December 31, (Amounts in thousands) 2025 2024(a) 2025 2024(a) Segment adjusted gross profit Pipe $ 97,100 $ 89,220 $ 366,510 $ 342,792 Infiltrator 89,778 83,813 300,228 268,714 International 11,629 12,071 43,108 49,179 Allied Products
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