Slide 1: Q2 Financial Results Fiscal 2025
Q2 Financial Results Fiscal 2025 Lee D. Rudow President and CEO Michael West Chief Operating Officer m L. Barbato Chief Financial Officer TRANSCAT Trust in every measure
Slide 2: Safe Harbor Statement
TRANSCAT rustic nse Safe Harbor Statement + This news release contains forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Forward-looking statements are not statements of historical fact and thus are subject to risks, uncertainties and assumptions.
Slide 3: Q2 FY25 Summary
TRANSAT trust overy measure Q2 FY25 Summary Consolidated Results Q2 revenue grew 8% vs prior year to $67.8M Gross profit grew 5% vs prior year to $21.2M Net Income of $3.3M or $0.35 per diluted share compared to $0.06 last year Service Segment Q2 Service revenue of $44.1M grew 6% vs prior year, the
Slide 4: Revenue
TRANSCAT rst ren ess Revenue (Sin millions) Service Segment Distribution Segment Consolidated $41.4 $44.1 $21.4 S287 sox $67.8 a2 FY24 Q2 FY25 a2 FY24 Q2 FY25 Q2 FY24 Q2 FY25 Q2 Consolidated revenue grew 8% Service total revenue growth of 6% driven by core Calibration Service organic growth of 4%, 9
Slide 5: Gross Profit and Margin
TRANSCAT nats wr nase Gross Profit and Margin (Sin millions) Service Segment Distribution Segment Consolidated $6.0 $6.6 28.3% 9% 32.0% 31.3% Q2 FY24 Q2 FY25 Q2 FY24 Q2 FY25 Consolidated gross profit of $21.2M increased 5% vs prior year Service gross profit of $14.6M grew 4%, but margins primarily i
Slide 6: Net Income, Diluted EPS, Adjusted Diluted EPS
TRANSCAT rustic nse Net Income, Diluted EPS, Adjusted Diluted EPS* (5 in millions, except EPS) Net Income Diluted EPS Adjusted EPS* eee $0.35 $0.60 3052 $0.5 $0.06 [usm Q2 Fy24 Q2 FY25 Q2 FY24 Q2 FY25 Q2 FY24 Q2 FY25 Q2 Net Income of $3.3M grew 614% from prior year (Q2 of last year included a $2.8 m
Slide 7: Adjusted EBITDA and Margin
Adjusted EBITDA* and Margin (Sin millions) Service Segment $6.8 $6.6 $2.5 $22 16.4%] 15.0%] aaa 9.4% a2 FY24 Q2 FY25 a2 FY24 Q2 FY25 Consolidated adjusted EBITDA down 5% TRANSCAT tustn ory mossure Consolidated 9.3 $8.9 14.9%} 13.1%] a2 FY24 Q2 FY25 Service segment adjusted EBITDA down 3% negatively
Slide 8: Operating Free Cash Flow
Operating Free Cash Flow (5 in millions) Six Months Ended ote: Components may not ad to totals September 28, [September 23, vet rounding 2024 2023 Net cash provided by os men operations Capital expenditures (CapEx) (7.6) (5.4) Operating free cash flow (Fcr)** $8.1 $10.5 TRANSAT trust overy measure C
Slide 9: Balance Sheet Supports Growth Strategy
TRANSAT trust overy measure Balance Sheet Supports Growth Strategy (5 in millions) Capitalization See. due to rounding 2024 2023 0.08x leverage ratio at quarter-end Cash, cash equivalents, & marketable securities euze Total debt 3.0 Total net debt ($20.8) Shareholders’ equity 2688 Total capitalizati
Slide 10: Outlook
Outlook* TRANSCAT rustinovey mesure 2025 Expectations Service segment: For Fiscal 2025, expect Service organic revenue growth to be in the mid- single digits when normalized for the extra week in fiscal 2024 and Service gross margin expansion. Total Transcat: We expect the fiscal 2025 income tax rat
Slide 11: Conference Call and Webcast Playback
Conference Call and Webcast Playback * Replay Number: 412-317-6671 passcode: 13749365 Telephone replay available through Tuesday, November 5th, 2024 * Webcast / Presentation / Replay available at https://www.transcat.com/investor-relations 1
Slide 12: Supplemental Information
Supplemental Information TRANSCAT Trust in every measure
Slide 13: Adjusted EBITDA Reconciliation
Adjusted EBITDA Reconciliation [Sm thousands) Fy2024 | FY2025 FY 2025 Q2 Q2 Q2Tm™ INet Income $460 | $ 3286 $17,932 + Interest Expense / (Income), net 890 (210) (1,147) + Other Expense / (Income) (49) 232 663 +Tax Provision 342 427 4,884 Operating Income $1643 | $ 3,735 $22,332 + Depreciation & Amor
Slide 14: Segment Adjusted EBITDA Reconciliation
Segment Adjusted EBITDA Reconciliation [Sn thousands) Fy2024Q2 | FY 202502 Service Operating Income $742 | § 3,701 + Depreciation & Amortization 2,325 2,455 + Transaction Expense 76 + Acquisition Earn-Out Adjustment 2,800 + Other (Expense) / Income 29 (164) + Noncash Stock Compensation 826 629 Servi
Slide 15: Adjusted Diluted EPS Reconciliation
Adjusted Diluted EPS Reconciliation (Sin thousands) [Sin thousands except per share data) FY2502 FY24 02 GAAP Net Income $3286 $ 460 ‘Add back (deduct) $ 1541 $ 1528 Amortization of Intangibles 1988 (1416 Acquisition deal costs, 3300328 ‘Acq Stock Expense 1300274 Acquisition Amortization of backlog