Franchise Brands Plc · LSE:FRAN
Franchise Brands — Investor Day (2025)
85 slides from Franchise Brands's investor day presentation, 2025
Slide 1: 2025 Capital Markets Day
B FRANCHISE BRANDS. FRANCHISE BRANDS ay Hydraulic Service > 0800 38 24-38 One Franchise Brands eal a tale san 2025 Capital Markets Day y Franchise Brands plc
Slide 2: Disclaimer
Disclaimer The information contained in this document (“Presentation”) and the presentation made to you verbally has been prepared by Franchise Brands ple (the “Company”, Franchise Brands plc is a UK company quoted on AIM, a market operated by London Stock Exchange ple. This Presentation has not bee
Slide 3: Agenda
Agenda Strategic developments and priorities Stephen Hemsley, Executive Chairman ee reseen ond co an Vision and strategy 2.40 - 3.05pm Asttnt SS etree Se mal One Marketing 3.25 — 3.35pm Robin Auld, Group Marketing Director One Franchise Brands: Strategy in action 3.45pm — 4.45pm Pirtek Europe Harald
Slide 4: Strategic developments and priorities
* 7 , = ( > Saw =o 3 — FRANCHISE ay BRANDS ye Strategic developments and priorities Stephen Hemsley Executive Chairman
Slide 5: Presenter: Stephen Hemsley
Presenter Stephen Hemsley Executive Chairman, Franchise Brands plc Stephen co-founded Franchise Brands with Nigel Wray in 2008 and has led the development of the business, including the IPO and external growth. He is a Chartered Accountant by training and spent nearly ten years at 3i as an Investmen
Slide 6: Our purpose: As they grow, we grow
Our purpose: “As they grow, we grow” We are focused on acquiring, developing and growing organically market-leading franchise businesses. Build We build market-leading franchise businesses primarily via a franchise model. Develop We support our franchisees to successfully develop their businesses an
Slide 7: Overview of Franchise Brands plc
Overview of Franchise Brands plc “orM 25 SAE J1784/B Anti Abrasion 7 franchise brands across 10 countries in UK, US and Europe. System sales of c£420m. Over 600 franchisees. A clear focus: B2B van-based essential reactive and planned services - with resilient underlying demand. A strong track record
Slide 8: The Group's strategic priorities over the next years
The Group’s strategic priorities over the next 3 years Gr To deliver One Franchise Brands. (Ayr Integrate the group into one business to: enhance “J sales, increase operational efficiency, reduce debt. No material acquisitions. Disposals of non-core businesses considered. cover option dilution. ro)
Slide 9: Two key developments in management and corporate governance
Two key developments in management and corporate governance O1. Separation of responsibilities of Executive Chairman and CEO roles: Executive Chairman: strategic and corporate development of the Group, including finance and future acquisitions. CEO: day-to-day leadership of the Group across its four
Slide 10: One Franchise Brands: Vision and strategy
DRA : 7 =3 am: BRANDS One Franchise Brands: Vision and strategy | ‘ 24/7 Hydraulic Service jue i | | Fe TI | wurwpirtekcouk -* 0800 38 24 38 || Peter Molloy CEO
Slide 11: Peter Molloy, CEO
Peter Molloy CEO Peter was appointed CEO in October 2024. Between 2022 and 2024 he was CEO of the Water & Waste Services Division which includes Metro Rod, Metro Plumb, Willow Pumps and Filta UK. Peter joined Metro Rod in 2003 and was Commercial Director between 2005 and 2017. In 2017, following the
Slide 12: Introduction
Introduction 3 My background, journey, experience and track record with the Group New CEO role Realising our significant potential — our principal brands have small shares of large markets What’s not going to change. What is going to change Delivering for our key stakeholders: customers, franchisees
Slide 13: Overview of Franchise Brands plc
Overview of Franchise Brands plc (fr) 3s Who we are Plumb provide essential services on a mostly reactive k Filta provides a planned d for our mostly esilient. Franchise Brands Countries: UK, Europe, US 12024€ corporat m sales analyst foreco arkets of France and den.22024E Adj System sales of £418m!
Slide 14: At a glance: 2024
At a glance: 2024' Our leading brands Pirtek Leading European provider of on-site hydraulic hose replacement services. £19.6m Adjusted EBITDA 72 Total franchisees UK Water & Waste Services Drainage, plumbing, pumps maintenance and repair services and FOG services to commercial kitchens in the UK. £1
Slide 15: A strong track record of delivery
A strong track record of delivery — System sales! (£m) ty 53% £418m CAGR £350m £186m £76m £94m 2020 2021 2022 2023 2024E — Adjusted earnings per share? (p) 17% 8.3 8.4 CAGR iP iP 8.2p 5.6p 7 L | | 2020 2021 2022 2023 2024E 1 2024 System sales is analyst forecast (Stife) 2 2024 Adjusted EBITDA, adjus
Slide 16: My vision for One Franchise Brands
My vision for “One Franchise Brands” A truly connected group operating under shared values and common systems and platforms, deployed locally.” @) Enhancing sales Opportunities to work smartly Share best practice, learn from each other, leverage shared services and specialist expertise. Leverage cus
Slide 17: 2024 performance and context
2024 performance and context 2024 System Sales growth’ % Pirtek Wwéews 16% oo Ee LJ Local Currency Metro Rod Metro Plumb Macro context: — Resilient underlying demand for the Group's essential services. — Challenging macro environment in UK, Germany, France. Supportive macro backdrop in US. — Continu
Slide 18: Our total addressable market
Our total addressable market As illustrated by the maximum potential model is £2.ibn Filta International Pirtek Metro Rod Other Total 2024 System Sales (£m) 95 183 79 61 418 Maximum Potential System Sales (£m) 2,139 We have small shares of large, fragmented markets. Our total addressable market has
Slide 19: Developing group-wide sales opportunities
Developing group-wide sales opportunities Target sectors: Pirtek Waste & Recycling Maritime Tr port and Log House build Student accommodation Manufacturing Food & Beverage Social housing Care Food All of our businesses have sectors with overweight representation. Reducing sector dependency builds mo
Slide 20: Resilient and diversified network
Resilient and diversified network. Longstanding franchisees “Use it or lose it” — natural and “encouraged” churn Strong pipeline of new franchisees Growth tools and incentives Opportunities in unserviced territories
Slide 21: My management team
My management team Je} &8 People — Highly experienced team, many with long-standing service. — Appointment of Mark Boxall as COO in 2024. — Newly promoted members of the team, new members of the Management Board. — Very international. Y Principles — Flat/delayered structure. — No more intermediate l
Slide 22: My management team
My management team ik Lu a wi 4. SS Andrew Mallows CFO, 9 years with the Group Mark Boxall COO, 7 months with the Group Julia Choudhury Corporate Development Director, 16 years with the Group Rob Bellhouse Company Secretary, 9 years with the Group Beth Peace Group Finance Director, 8 years with the
Slide 23: Key takeaways
Key takeaways A resilient, well positioned and growing business with substantial growth opportunities (total addressable market £2.1bn) One Franchise Brands: Clear opportunity to enhance sales, create an efficient overhead structure and drive operational gearing. Opportunities to reduce our sector d
Slide 24: A digital approach to integration
A digital approach to e e integration Mark Boxall Beth Peace COO Group Finance Director
Slide 25: Presenters
Presenters Mark Boxall Beth Peace coo Group Finance Director Mark was previously COO of D4t4Solutions, an AIM listing IT provider, Beth was appointed to her current role in February 2025, having specializing in data solutions. He has considerable operational, sales previously been Finance Director o
Slide 26: One Franchise Brands: Integration opportunities and strategy
One Franchise Brands Integration opportunities and strategy Creating an efficient Driving operational overhead structure gearing Enhancing sales Bex w 02 © See One One One One One One Finance Reporting CRM Sales HR Procurement t————— Focus of today’s presentation 1 | Focus for 2026 ———————__1
Slide 27: Integration approach
One Franchise Brands Integration approach O1 Process Design procedures O02 Software Tools rex ee ; ; ; " Releases | Product configuration/build Testing . & Support 03 Target Operating Model Service delivery gs . Owners & Roles Organisational design _ catalogue
Slide 28: Using global templates
One Franchise Brands Using global templates Processes are harmonised across the Group. Standardisation. Pre-defined software configuration. Operational efficiencies. Reduce duplication. Data: “enter once, use many times.” Greater return on investment. Materially improves leadership’s ability to chan
Slide 29: Integration benefits
One Franchise Brands Integration benefits Integration programme will align the group around common corporate processes and technologies / \ Making a positive impact Increases the potential to the relationship between for synergies that will our sales growth and result in cost reduction operational g
Slide 30: Spotlight on: One Finance, One Reporting
Spotlight on: i One Finance One Reporting More than just technology projects. Opportunities to improve & harmonise processes and work more smartly.
Slide 31: One Finance
«) One Finance [= 10 systems into one global system Features @) Benefits 01 . Single, visible, unified view of the business = <¢) Faster decision making O?. Single data source, integrated modules © . Accurate reporting 03. Best features shared throughout the group C) @B Efficiencies O4. True cloud r
Slide 32: One Works Management System
One Works Management System Six systems into two Features vi 01 . Competitive advantage, own IP (Azura) () @) Benefits O?. Designed for franchise business Time to market Improved user experience i ; O3. Imp p C) ®B Increased efficiencies O04 Enhanced customer experience, it Data driven decisions “ac
Slide 33: Power BI drives management information
One Works Management System 2 Power BI drives management information Features @) Benefits Ol. Faster, informed decision making G Right information in front of the right people at the O?2. Helps grow sales, insights into what is working right time 03 Improved user experience for Support Informs decis
Slide 34: One IT benefits
sc, One IT benefits Sillbe all New global structure Features @) Benefits Ol. Cost efficiency and resource optimisation ® (03) Consistenc Re y Standardisation and consistenc O2. 9 Efficiency 03. Enhanced security and compliance C) Security OA. Strategy alignment Joh, Platform for future = technologie
Slide 35: Integration Program: timeline and costs
One Franchise Brands Integration Program: timeline and costs 2024 Actual cost: c.£8m 2024 achievements Q1 2024 20 Q3 2024 iS) IT Centralisation CRM Works Management One Finance One Finance (Single brand) (Plan my day + Updates) (Select + enhance) (Global IT expense) 2025 Budget cost: c.£8m 2025 targ
Slide 36: Integration as an enabler for AI
One Franchise Brands Integration as an enabler for Ai The technology and data standardisation — creates a platform for the application of Ai... Integration simplifies and standardizes the processes, which materially increases the possibility of deploying Ai. Example of Ai that we would more easily b
Slide 37: Key takeaways
One Franchise Brands Key takeaways Synergies and efficiencies identified through Integration Digital transformation will support our growth aspirations IT centralisation will drive cost efficiencies and resource optimisation Focus on value creation initiatives Supporting growth and future acquisitio
Slide 38: One Marketing
One Marketing | Robin Auld Group Marketing Director
Slide 39: Presenter: Robin Auld
Presenter ‘. Robin Auld Group Marketing Director Robin Auld is Group Marketing Director. He joined Franchise Brands shortly after the business was founded to lead the team responsible for all our consumer, trade and franchise recruitment marketing activity. Robin has a successful track record of mar
Slide 40: One Marketing: Core values
One Marketing Core values ® a One KPI - driving high quality sales leads as effectively as possible re Start-up mentality — working smarter (not harder) and embracing Al “ay BB Lean: maximum 2-3 people per team (& freelance support) Execute swiftly, learn quickly, reframe failure allo Fully empowere
Slide 41: One Marketing: Integration
One Marketing Integration Marketing is vertically integrated with every business Connect horizontally through the weekly report, and occasional shared emails. Vital links with key stakeholders, CEO / MD, sales, operations, franchisee community etc Cross sharing of new and innov: marketing tech for e
Slide 42: One Marketing: The customer
One Marketing The customer age A> @) tg 1) The customer is at the Excellent customer Abad customer heart of everything experience is our key experience can destroy we do point of differentiation all Marketing efforts ¥ Al - targeting: Al - content creation: Using Al to target Using Al to improve cos
Slide 43: Pirtek Europe
rh /draulic Service =) FRANCHISE Pirtek Europe Harald Overwater Adam Burrows MD Pirtek Benelux MD, Pirtek UK & Ireland
Slide 44: Presenters
Presenters Harald Overwater Adam Burrows Managing Director, Pirtek Belgium & Netherlands Managing Director, Pirtek UK & Ireland Harald Overwater has a background in engineering, sales and Adam has been a key member of the management team since joining management, particularly in the aerospace and in
Slide 45: Pirtek's range of services
Pirtek’s range of services Reactive Services — Emergency on-site hydraulic repair and — Preventive Maintenance — Ram Repairs releasing — Reducing total cost of operation — Hose flushing, testing, fluid analysis. ~ BIA iinteuy, restating unseinselU tse) eon — New customer base & evolution from — Syst
Slide 46: Why do customers buy?
Why do customers buy? National accounts As % total sales 60% 40% . . a 45% Speed of Nationwide Quality 20% =| response service of repair 0% “ UK & Ireland Germany & Austria. Belgium & Netherlands @ . amazon ( Gntinental’s Health Customer First Reduce eed and safety service time fix downtime UEBHERR
Slide 47: Pirtek: at a glance
Pirtek: at a glance UK& Germany Ireland & Austria System sales! £82m Franchisees SS) Centres 86 Mobile Service Units SEB 12024€ system sales is Company estimate, unaudited £67m 22 99 363 Belgium & Netherlands £24m 11 France £8m Sweden £3m TOTAL £184m 72 PIRTEK Market-leading European provider of hos
Slide 48: Franchisee profile
Franchisee profile Country / region UK & Ireland Austria Benelux Number of franchisees 39 19 3 "1 Average franchisee 21 40 10 20 . turnover (£m) d : d ® Expand range of services (7 (planned, THM) Highest franchisee turnover £9.8m $12.2m 16m 52.9m (£m) Number of franchisees 31 19 1 10 Franchise netwo
Slide 49: Developing Group-wide sales opportunities
Developing Group-wide sales opportunities Ww 01. 02. 03. 04. 05. Growth levers Leverage existing specialist sales expertise and relationships. Develop cross-Europe (and international) transit opportunities and international THM opportunities. Single point of contact for pan-European customers. Use m
Slide 50: Diversifying to reduce sector dependency
Diversifying to reduce sector dependency Target sectors Water & Recycling 2024E system sales’ Manufacturing Maritime Logistics Maximum potential Food & Beverage system sales 12024 s
Slide 51: Leveraging One Franchise Brands
Leveraging One Franchise Brands O1. Leveraging One Pirtek! 04. Numerous opportunities to buy more smartly Enhancing sales Q2. Being part of an expanded senior management team O5. Joint initiatives and programmes Creating an efficient overhead structure jal Markets Day 202 03. Sales sector specialist
Slide 52: Key takeaways
Key takeaways Resilient established business with growth potential Ambitious franchisee partners Large, loyal customer base Opportunity to grow & diversify into new markets Maximum Potential Model Leveraging One Franchise Brands, knowledge share & best practice
Slide 53: Water & Waste Services
5 FRANCHISE BRANDS \ Drain Repair ¢ Drain Surveys & Sewer Inspectic /] Clearing Blocked Drains ¢ Planned Maintenanc Tt Weed Water & Waste Services Steve Chambers Beth Peace O, Me dé o Plumb Group Fin e
Slide 54: Presenters
Presenters Steve Chambers COO, Metro Rod & Metro Plumb Steve has over 12 years of experience with Metro Rod, having joined the company in 2013 as a contact centre agent. Over the years, Steve has developed extensive management experience and a deep understanding of franchising and the drainage and p
Slide 55: Water & Waste Services: at a glance
Water & Waste Services: at a glance METRO Drain Clearance Drain Repair Tanker Services Wastewater Pumps Asset Mapping Sewage Treatment Plants No. of Franchisees 45 Tankers in network 82 “Standalone Metro Plumb franch 5. A further 18 Metro METRQ PLUMB Emergency Plumbing Gas Boiler Services Commercial
Slide 56: Why do customers buy?
Why do customers buy? Wo | Speed National Real time coverage updates 24/7 m7 | O Expertise Value for Expanding money range of services * Metro Rod cS One stop solutions Health & Safety National sales @ mitie Capi fal Markets Day 2025 Local sales NHS} Property Services Bromford. vi Noi
Slide 57: Water & Waste Services: at a glance
Water & Waste Services: at a glance 3% Kemac Services (5%) 16% Willow Pumps (4%) —— Metro Plumb (16%) **2024E System Sales is Company estimate, unaudited. Percentage changes reflect -o-y increases. ‘= gs €110m W&WS System sales 2024* (+3%) sales. 1% Corporate Franchise (-46%) 62% Metro Rod (5%) ¥ a
Slide 58: Diversifying to reduce sector dependence
Diversifying to reduce sector dependence and increase share of growth sectors 3% Utilities (0.3%) 8% Retail (11%) 10% Public services (0.4%) 3% Intercompany sales MR & Filta (1.1%) 8% Construction ¢0.2%) 3% Domestic (0.1%) 15% Hospitality (0.1%) €110m W&WS System sales split 2024* (#3%) sales 10% Ho
Slide 59: Developing group-wide sales opportunities
Developing group-wide sales opportunities METRO N WILLQW | P Surveys, land Sewers from drainage, asset adoption. mapping. metror.uve (aa Fresh water pipe work, Hydraulic hose plumbing first fix. repair and Renewables. replacement. Leverage group One stop Additional service & US relationships solutio
Slide 60: Franchisee profile
Franchisee profile Country / region Number of franchisees Average franchisee turnover Highest franchisee turnover Number of franchisees with turnover of >£1m Number of franchisees with turnover of > £2m Average tenure (years) Franchisees in growth over 15% Franchisee sales 2024 Metro Rod 45 £1.6m £4
Slide 61: Divisional efficiencies with One Franchise Brands
Divisional efficiencies with One Franchise Brands Finance Pump De Shared Service Centre People recruited across Metro Rod, Human Resource —Accounts Payable Willow Pumps and franchise network through internal recruiter. —Contact Centre Sales and Marketing — Gest Central 37k Customer contacts handled
Slide 62: A connected division
A connected division & BAFTA Grease trap servicing M ETRO THE NATION'S LOCAL PLUMBER Commercial gas boilers, plumbing services METR@ ROD Drainage services
Slide 63: Summary
Summary Resilient growth business Continued opportunities into new and expanding sectors Breadth of services. Multiple cross selling opportunities Franchisee engagement and shared ambition Improved service delivery through franchising model Multi franchise opportunities
Slide 64: Filta International
5 FRANCHISE BRANDS International Jason Sayers | Tom Dunn John Michals Jer & CEO COO
Slide 65: Presenters
Presenters Jason Sayers Chairman, Filta International Jason Sayers founded Filta in 1996 and took the business to the US in 2003. Prior to the merger with Franchise Brands, he was Group CEO. He is now Chief Executive Officer of Filta International with responsibility for growing the Filta businesses
Slide 66: Filta International: at a glance
Filta International: at a glance filta Oil removed from fryer into mobile filtration unit (“MFU”) — Total of 550 MFUs Oil micro filtered to remove impurities Fryer cleaned and clean oil returned to fryer Customers serviced per week > 9,000 % System sales 62% Oil services filta Oil removed from fryer
Slide 67: Customers
Customers Why they buy Blue chip brands 25 National Customer Agreements 4) Ge eS sodexo aramark yr Safety, Reduced oil Reduced Environment WHOLE a cleanliness, purchases labour FOODS * COMPASS GROUP hygiene requirement Carnegie >) fff fil Nee ity LL j aon ZN Convenience National Food tastes No oil b
Slide 68: A diversified portfolio of customers
A diversified portfolio of customers % Customer count by sector % Revenue by sector 3% I Education establishments BB Hotels, recreation Hl Healthcare establishments BB others Il Eating establishments 1) Civic establishments BB Grocery stores I Stadiums & amusement parks wvo
Slide 69: Franchise network
Franchise network 125 Franchisees 38 (30 Franchisees with revenue of >$1m 12 (109 Franchisees with revenue of >$2m 2/3rds of the US by geography piltaliry franchiscesiinigrowth of over 10% Highest franchisee revenue Average tenure* Network development 2024 “0-year franchise agreement
Slide 70: Filta Maximum Potential: now $1.4bn
Filta Maximum Potential: now $1.4bn Measure Highest market penetration Highest average revenue per site Number of sites Maximum potential 2023 3.9% $21,973 119m $1bn 2025 468% $24,846 145m $1.4bn % increase 20% 13% 22% 40% Maximum Potential Model re-run for Filta International, original analysis car
Slide 71: FiltaMax: the plan to $500m in system sales
FiltaMax: the plan to $500m in system sales WwW Growth levers 01 Scaling of 55 Metro Markets across the US - — Strategic alignment in high potential areas. Upgrading franchisees and replicating success of largest O2 franchisees. Encourage buy outs and attract new ambitious * franchisees. 03 Expandin
Slide 72: Upgrading franchisees
Upgrading franchisees Boston, MA Two newer franchise owners acquiring neighbouring under- performing business. Consolidate six mediocre operations into two high impact groups. Jacksonville, FL Franchise resale redesigned the market. Seasoned franchisee sold his business for $2m. Mobile, AL Top-tier
Slide 73: A strong track record of growth
A strong track record of growth CAGR System Sales $130m 2022 to 2024 $120m System sales ($) 1 7% $110m 2024 (ex UCO) & $100m System sales (£) 8 e fe) g 14 % BQ $90m 2024 (ex UCO) System sales ($) $80m 9 12% $70m 2024 total System sales (£) $60m 9% 2024 total Note: 2024E system sales is Company estim
Slide 74: Used cooking oil
Used cooking oil Controlling the controllables Volume $60m $0.70 9 ft 1 s) % 52m Ibs 2024 $50m $0.60 Price $0.50 fe) $40m {23% 2024 $0.40 $30m $0.36 Revenue 29m Ibs cnEM O $21.6m $21.4m { 1% $20m $19.1m $0.20 2024 $11.9m $10m $0.10 $2.1m caen $3.7m $3.0m $0m 2021 2022 2023 2024 mmm System Sales ($m)
Slide 75: How we are using AI in the business
How we are using Al in the business Al in action — MFU Reliable, realtime feedback for franchisees on equipment. Reduces the need for manual oversight and costly travel. Fewer visits from Support Centre: saving time and cost. filtafry_sticker f 30) Provides high quality feedback for Support Centre t
Slide 76: Key takeaways
Key takeaways A business of scale with a track record of growth. Significant growth potential: <1% share of $1.4bn market. Focusing on delivering the key levers of growth in FiltaMax: medium-term plan to $500m. Franchise territory development: “Use it or lose it”. FiltaMax franchisee optimisation in
Slide 77: Strategic model
a 7) = = Ay 7h Spgs: i) ; a a = am omg) - etm Strategic model Stephen Hemsley Andrew Mallows Executive Chairman CFO)
Slide 78: Presenters
Presenters Stephen Hemsley Executive Chairman, Franchise Brands plc Stephen co-founded Franchise Brands with Nigel Wray in 2008 and has. led the development of the business, including the IPO and external growth. He is a Chartered Accountant by training and spent nearly ten years at 3i as an Investm
Slide 79: 2024 performance: review
2024 performance: review System Sales £m Adjusted EBITDA £m Operating Margin (%) 2023 actual 350.1 30.1 8.60% 2024 CMD 430.0 38.0 8.84% Analyst’s forecast for 2024' 418.3 Analyst's consensus forecast for 2024 35.0 Adjust for: Used oil price 0.9 Foreign exchange 0.5 Restated Adjusted EBITDA 2024 36.4
Slide 80: Strategic model assumptions
Strategic model assumptions A simplified model based on a range of different scenarios System sales Adjusted EBITDA Net debt/cash ~ The growth rate in system sales is — Adjusted EBITDA is calculated as a presented as a range, as follows: percentage of System Sales. ~ Minimum: the underlying growth ~
Slide 81: Strategic model projections under different scenarios
Slide 82: Net debt profile
Slide 83: The investment case
Slide 84: The investment case
Slide 85: Slide 85