Slide 1: Q1 2024 Investor Presentation
Q1 2024 Investor Presentation May 15, 2024 Bird Construction Inc. (TSX:BDT)
Slide 2: Disclaimer
Disclaimer This presentation contains forward-looking statements and information (“forward-looking statements”) within the meaning of applicable Canadian securities laws. The forward-looking statements contained in this presentation are based on the expectations, estimates and projections of managem
Slide 3: Disclaimer: Terminology and Non-GAAP & Other Financial Measures
“Backlog” is a term representing the total value of all contracts awarded to the Company, less the total value of work completed on these Disclaimer contracts as of the date of the most recently completed quarter. The Company’s Backlog equates to the Company’s remaining performance obligations as di
Slide 4: Unlocking Shareholder Value
TSX: TSX: BDT BDT Unlocking Team of over Shareholder Value 5,000 Led by an experienced management team Bird is positioned for A healthy and safe work environment with a collaborative, inclusive team culture Strong growth and profitability Disciplined growth strategy driving margin operational improv
Slide 5: Positioned for the Future
Positioned for the Future Our Foundation Our Team Our Strategy Purpose and Values Experienced 2024 Strategic Priorities Multidisciplinary Team (2025-2027 Strategic Planning underway) Strong Team of Constructors WE PUT - Highly engaged, high-performance team - Be a top employer in Canada with a SAFET
Slide 6: Operations Overview
Operations Overview Over the past six years, Bird has diversified its revenue and transitioned to a highly collaborative and risk-balanced mix of projects, enhancing profitability and Adjusted EBITDA margins through its specialized services and delivery of complex projects across industrial, infrast
Slide 7: Bird delivers its capabilities, services and innovative solutions across a range of sectors
Bird delivers its capabilities, services and innovative solutions across a range of sectors. Q1 2024 Investor Presentation 6
Slide 8: Business Strategy: Profitability. Discipline. Diversification and Growth.
Business Strategy Profitability. Discipline. Diversification and Growth. The Company plans to retain in excess of two-thirds of net income to support continued growth beyond 2024. Profitability Margin Accretion Strategy Diversification and Growth The Company remains focused on margin accretion by le
Slide 9: Q1 2024 Financial Highlights
Q1 2024 Financial Highlights Key Performance Drivers Growth Profitability +22% +50% +94% Developing and attracting +28% Top Talent 3.5% $0.19 Adj. EBITDA EPS $2,951 $24 Margin(2) $10 Track record of accretive M&A, $2,430 $16 $537 $688 $5 four in past four years (1) Revenue ($M) Revenue TTM ($M) Adj.
Slide 10: Risk Balanced, Highly Collaborative, Diverse Backlog Mix
Risk Balanced, Highly Collaborative, Diverse Backlog Mix 9 Future performance visibility supported by the robust combined backlog, characterized by accretive embedded margins and significant multi-year recurring revenue MSAs Backlog expected Collaborative delivery 62% to convert into Revenue over th
Slide 11: Project Pursuits and Recent Project Awards
Positioned for growth with a significant pipeline of projects Project Pursuits and with accretive embedded EBITDA margins and a robust bidding environment for disciplined pursuit of new work. Recent Project Awards Industrial: Bird bolsters capabilities, capacity, and Bird continues to pursue new rec
Slide 12: Canada's Energy Transition and Electrification Partner
Canada’s Energy Transition and Electrification Partner Clean Power Power Distribution & Low Carbon & Green Critical, Rare & Transportation, Generation Electrified Systems Infrastructure Solutions Battery Minerals Manufacturing & Logistics • Wind and solar projects • Energization & startup services •
Slide 13: Longer Cycle, Significant Demand Trends Public and Private
+ Major Renewed/growing interest in Canadian LNG as a green-er global Longer Cycle, Significant Industrial fuel source driving continued investment in LNG Projects – Woodfibre LNG and potential for LNGC Phase 2. Projects Demand Trends + Modular Modular emerging as a more recognized solution for Cana
Slide 14: Environmental, Social, Governance
Environmental, Social, Governance The four pillars of the Bird ESG program embed sustainability Bird’s Environmental, Social, and Governance (ESG) program within the business to optimize our positive social and remains aligned to business, client, and industry demands. environmental impact by utiliz
Slide 15: Three Months Ended March 31, 2024 Financial Highlights
Three Months Ended March 31, 2024 Financial Highlights Three Months Ended Y/Y Change March 31, 2024 $ Millions (except per share amounts) Revenue $688.2 28.3% Gross Profit $55.1 38.4% 8.0% of Revenue (1) General and Administrative $40.1 27.1% 5.8% of Revenue (1) Adjusted EBITDA(2) $24.2 50.4% 3.5% o
Slide 16: Sustained, Strong Financial Foundation with Flexibility for Continued Growth
Sustained, Strong Financial Foundation Operating Cash Flow(3) in millions of Canadian dollars with Flexibility for March 31, 2024 160 Continued Growth Accessible cash $ 21 18% Held in joint operations accounts $ 86 140 CAGR Restricted cash $ 26 Very positive return and Cash and cash equivalents $ 13
Slide 17: 2024 Capital Allocation Priorities
2024 Capital Allocation Strong cash flows and significant liquidity to support a balanced approach to capital allocation, investing in excess of two thirds of Net Income to support Priorities profitable long-term growth and enhancing shareholder value. Balanced Approach to Capital Allocation Shareho
Slide 18: 2024 Outlook: Sustained Profitable Growth Momentum
2024 Outlook: Sustained Profitable Growth Momentum • Bird's focus on higher margin sectors, growing self-perform, disciplined project selection and collaborative contracting continues to drive higher embedded margins in the Company’s combined backlog. • Bird’s pipeline of work provides significant v
Slide 19: Appendix
Appendix
Slide 20: What Sets Us Apart
What Sets Us Apart +11% Growth in + Operating Cashflows Track Record for Robust Backlog of Q1 2024 Revenue Q1 2024 Adj. Combined Backlog Commensurate with Strong Integration Sustainability-related +28% Y/Y EBITDA 3.5% from year end Growth and Retention Projects Disciplined and Continued focus Growin
Slide 21: Revenue, Net Income, and Adjusted Earnings
Revenue, Net Income, and Adjusted Earnings Revenue Net Income Adjusted Earnings(1) $80 $1.38 $1.40 $3,000 $80 $1.40 +18% $1.33 $70 $70 $1.20 $2,500 $1.20 $60 $60 $0.96 $1.00 $1.00 $0.86 $0.93 $2,000 $50 $50 $0.80 $0.80 $0.80 $1,500 $40 $40 $2,799 $74 $72 $0.60 $0.60 $2,369 $30 $2,220 $30 $1,000 $51
Slide 22: Risk Balanced Business Model Generating Growth and Profitability
Risk Balanced Business Model Generating Growth and Profitability Growing revenue and EBITDA 5-Year Revenue and Adjusted EBITDA(1) in millions of Canadian dollars $3,500 $300 $2,951 $3,000 $250 $2,430 $2,500 $2,251 $200 $2,000 $147 $1,627 $150 $1,436 $1,500 5.0% $105 $99 $95 $100 4.7% $1,000 5.9% 4.1
Slide 23: Core Markets
Core Markets 100% 90% Today, Bird is known for 80% 49% 51% 48% delivering complex and 70% sophisticated projects across the industrial, buildings and 60% 2023 infrastructure markets. 50% 12% 13% 15% We continue to grow across all 40% markets as we have been able to 30% achieve sustainable profitabil
Slide 24: Quote from Wayne Gingrich, Chief Financial Officer
“ Over the past six years, Bird has strategically diversified its revenue sources while shifting to a risk-balanced mix of work. Throughout this transition, Bird has enhanced its profitability and adjusted EBITDA margins. - Wayne Gingrich, Chief Financial Officer Q1 2024 Investor Presentation
Slide 25: Diversifying Risk - Revenue by Contract Type
Diversifying Risk - Revenue by Contract Type in millions of Canadian dollars $29 $15 • Public Private Partnership $102 $59 $55 $123 (PPP) $135 $101 $121 $150 Higher risk $177 $179 • Design-Build-Finance • Complex Design-Build $1,236 $1,276 $1,334 $943 $792 • Stipulated Sum $806 • Unit Price • Specif
Slide 26: Capital Markets Overview
$20.55 ~2.75% ~$1.1 B Capital Markets Share Price(1) Dividend Market Overview Yield(2) Capitalization (1) $8.01/$20.61 53,891,909 52 Week Low / High (1) Shares Outstanding (1) Organic and M&A Firm Analyst Contact Revenue Growth ATB Capital Chris Murray 416.520.0267 cmurray@atb.com Canaccord Genuity
Slide 27: Q1 2024 Investor Presentation
Q1 2024 Investor Presentation Bird Construction Inc. (TSX:BDT) Q1 2024 Investor Presentation 26