Slide 1: Q3 2023 Investor Presentation
Q3 2023 Investor Presentation November 8, 2023 Bird Construction Inc. (TSX:BDT) BIRD CONSTRUCTION INC. INVESTOR PRESENTATION 1
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
Disclaimer TERMINOLOGY AND NON-GAAP & OTHER FINANCIAL MEASURES Throughout this presentation, management uses certain terminology and financial measures that do not have standard meanings under IFRS and are considered specified financial measures. These include non-GAAP financial measures, non-GAAP f
Slide 4: Disclaimer: Terminology and Non-GAAP Measures (continued)
Disclaimer TERMINOLOGY AND NON-GAAP & OTHER FINANCIAL MEASURES (continued) • “Current Ratio” is a supplementary financial measure representing the percentage derived by dividing total current assets by total current liabilities. • “General and Administrative expenses as a percentage of revenue” is a
Slide 5: Positioned For Growth on Strong Business Foundation
Positioned For Growth on Strong Business Foundation A healthy and safe Significant revenue work environment growth is non-negotiable Bird Construction | TSX: BDT Organic and Bird (TSX:BDT) is a diversified Canadian ~75% of combined backlog acquisitive growth, and pending backlog has a construction a
Slide 6: Constructing a Strong Foundation
Constructing a Strong Foundation Created a Strong Key Near-Term Foundation Strategic Priorities Improved geographic and end market diversification Enhance cross-selling opportunities Increased recurring revenue Continue to improve margins Reduced risk profile of backlog Maintain financial flexibilit
Slide 7: Values
VAUES Experienced – Leveraging our talent leadership team Multidisciplinary Team – Deep bench strength and recruiting for the future Strong Team of Constructors – Robust people programs supporting continuous learning and development – Continuous improvement and innovation focus – Committed to Divers
Slide 8: Values
Values WE PUT SAFETY WE LEAD WE ARE WE ARE DRIVEN WE CREATE FIRST WITH HONESTY STRONGER TOGETHER TO DO GREAT WORK OPPORTUNITY A healthy and safe work We speak and act with Success is a team effort. We built our name on quality. Rooted in a solid environment is non- integrity, clarity and care Our in
Slide 9: Revenue Growth, Record Combined Backlog, Developing and Attracting Talent
Revenue Growth, Record Combined Backlog, Developing and Attracting Talent A foundation for continued revenue growth and margin accretion in 2024 Significant third-quarter revenue and Q3 2023 Highlights earnings growth. $783.8M 17.3% $28.8M $0.54 Future performance visibility Q3 2023 Revenue Year-ove
Slide 10: What Sets Us Apart
What Sets Us Apart Q3 2023 Working Track Record for Growing Presence in Q3 2023 Revenue Q3 2023 TTM Adj. +20% YTD Growth in Capital +7% from Strong Integration Canada’s Nuclear +17.3% Y/Y EBITDA 4.7% Combined Backlog Dec. 31, 2022 and Retention Sector Disciplined and Continued Significant Strong bal
Slide 11: Risk Balance, Highly Collaborative, Diverse Backlog Mix
Risk Balance, Highly Collaborative, Diverse Backlog Mix Future performance visibility supported by the robust combined backlog, characterized by accretive embedded margins and significant multi-year recurring revenue MSAs Backlog expected to Collaborative Growing Portfolio of Recurring Revenue deliv
Slide 12: Expanded Capabilities Aligned to High Growth Sectors
Expanded Capabilities Aligned to High Growth Sectors Executing Well on Strategic Pillars Positioned for growth with a significant pipeline of projects with accretive embedded EBITDA margins and a robust TEAM bidding environment for disciplined pursuit of new work. • World class safety program • High
Slide 13: Budgets support significant growth in infrastructure
Significant Demand Trends – Public and Private Clients Budgets support significant growth in infrastructure FEDERAL INFRASTRUCTURE INVESTMENT PROGRAMS & BUDGET 2023 Canada Infrastructure Bank: Budget 2023 announced an investment of at least $3.0B over 13 years to support a more sustainable, secure,
Slide 14: Positioned to Capture Growth in Key Sectors
Positioned to Buildings Construction Future Energy Services Horizontal Civil Works Structural Civil Works Services Capture Growth in Key Sectors Diverse range of services and self- Electrical and One Pass Trenching / perform scopes Heavy Civil Services Powerline & Telecoms Instrumentation Utilities
Slide 15: Permanent Modular Construction: Achieving New Heights
Permanent Modular Construction: Achieving New Heights Increasing awareness of the benefits of modular construction Bird has a growing portfolio of permanent modular projects. The modular approach provides cost savings and enhanced cost predictability, as well as a substantially reduced construction
Slide 16: Energy Transition Partner
Energy Transition Partner Delivering critical energy solutions The evolving energy landscape demands significant investment in electrical infrastructure to achieve decarbonization goals. Bird has been a key long-term partner for many clients constructing and maintaining the energy systems that power
Slide 17: Leveraging Innovation and Technology
Leveraging Innovation and Technology Building Information Modelling & Maintenance, Repair, Leveraging Smart Building Virtual Design and Construction and Operation Management Innovative Solutions Performance Technology Utilizing integrated multi-disciplinary Multi-year maintenance and turnaround Leve
Slide 18: Stack Modular
Stack Modular Integrated solution bridging the gap between site and modular construction. Structural steel modular buildings up to 40-storeys for multi- family, hospitality, senior (long-term care) and student housing, and resource clients. Rapid Delivery Across Canada & The USA Opportunities Market
Slide 19: Mass Timber
Mass Timber Bird is a North American leader in wood construction with unmatched expertise, experience, and supply chain knowledge. ~1.2B ~$460M 26 Completed 10 Projects Under Projects Construction in Canada >$3B Targeted Mass Timber Pursuits www.bird.ca Updated as of September 2023. BIRD CONSTRUCTIO
Slide 20: Environmental, Social, Governance
Environmental, Social, Governance o Sustainable Construction o Future Energy BUILD GREEN o Stack Modular o Prefabrication o Digital Construction o Centre for Building WORK GREEN Performance o Supply Chain Management o Waste Management o Health, Safety & Environment o Indigenous Relations o Community
Slide 21: 2022 ESG Highlights
2022 ESG Highlights BOARD WOMEN New Employee Resource Groups >$800,000 >$132,000 Total community investment Indigenous community investment spend BIRD CONSTRUCTION INC. INVESTOR PRESENTATION 21
Slide 22: Q3 2023 Financial Highlights
Q3 2023 Financial Highlights Three Months Ended Nine Months Ended Y/Y Change Y/Y Change September 30, 2023 September 30, 2023 $ Millions (except per share amounts) Revenue $783.8 17.3% $2,006.7 16.6% Gross Profit $73.0 24.5% $167.3 16.5% 9.3% of Revenue (1) 8.3% of Revenue (1) General and Administra
Slide 23: Sustained, Strong Financial Position
Sustained, Strong Financial Position Q3 2023 in millions of Canadian dollars September 30, 2023 21.1% 1.22 0.24x Accessible cash $ 56 Long-term Loans & Current Adjusted Net Debt/ Borrowings to Equity(1) Ratio(1) TTM Adjusted EBITDA(1) Held in joint operations accounts $ 26 Restricted cash $ 22 Syndi
Slide 24: Capital Allocation Highlights
Capital Allocation Highlights Balancing profitable growth, significant financial strength, investments in the business and M&A Cash Generation Dividends M&A Operating Cashflow(1) Positioned to execute on the right $140 – Well-covered dividend M&A opportunities. $120 important part of total $100 shar
Slide 25: Growth and Margin Trends Support Positive Full Year 2023 and 2024 Outlook
Growth and Margin Trends Support Positive Full Year 2023 and 2024 Outlook 2023 2024 – Expect solid Q4 results, consistent with prior – Risk-balanced and diversified combined backlog with expectations; full-year results are expected to higher embedded margins provides good visibility into reflect the
Slide 26: Appendix
We bring life to vision Creating great things with you Appendix
Slide 27: Revenue, Net Income, and Adjusted Earnings
Revenue, Net Income, and Adjusted Earnings REVENUE NET INCOME ADJUSTED EARNINGS(1) $0.96 $2,500 $60 $1.00 $60 $1.00 $0.93 $0.92 $0.93 $0.89 $0.86 $0.90 $0.90 +17% $0.80 $0.80 $50 $50 $2,000 $0.80 $0.80 $0.65 $0.70 $0.70 $40 $40 $0.57 $1,500 $0.60 $0.54 $0.54 $0.60 $30 $0.50 $30 $0.50 $2,378 $2,220 $
Slide 28: Risk Balanced Business Model Generating Growth and Profitability
Risk Balanced Business Model Generating Growth and Profitability Growing revenue and healthy EBITDA margin 5-Year Revenue and Adjusted EBITDA Margin(1) in millions of Canadian dollars $3,000 10% $2,664 9% $2,500 $2,378 8% $2,220 7% $2,000 $1,504 6% $1,376 4.9% 4.7% 5% $1,500 5.5% 4.3% $1,382 4% $1,0
Slide 29: Sector Volume Diversification
Sector Volume Diversification Balanced work programs 2022 between commercial and Balanced Sector institutional work, while largely Diversification maintaining Industrial work to drive stronger growth. 100% 20.0% 90% 26% 24% 34% 0.0% 80% 37% 37% 43% 44% 43% 56% 53% 70% 19% 66% -20.0 60% 15% The curre
Slide 30: Diversifying Risk - Revenue by Contract Type
Diversifying Risk - Revenue by Contract Type in millions of Canadian dollars $29 $15 $55 • Public Private Partnership $59 $135 $102 $101 $121 (PPP) Higher risk $177 $179 • Design-Build-Finance • Complex Design-Build $1,236 $1,342 $943 $792 • Stipulated Sum $806 • Unit Price • Specified Design-Build
Slide 31: Capital Markets Overview
Capital Markets Overview $11.17 ~3.8% ~$600M Price as of November 3, BDT.TSX Dividend Yield Market Capitalization 2023 $6.01/$11.32 53,774,639 52 Week Low / High Shares Outstanding ANALYST COVERAGE Firm Analyst Contact Firm Analyst Contact ATB Capital Chris Murray 416.520.0267 National Bank Maxim Sy
Slide 32: Q4 & Full Year 2022 Results Presentation
Q4 & Full Year 2022 Results Presentation March 8th, 2023 Bird Construction Inc. (TSX:BDT) Q3 2023 Investor Presentation Bird Construction Inc. (TSX:BDT) 32