Slide 1: Second Quarter 2023 Results
Second Quarter 2023 Results TRUSTED WHEREVER THE MISSION LEADS August 8, 2023 1
Slide 2: Call Participants
Call Participants Chuck Prow Susan Lynch President and Chief Senior Vice President and Executive Officer Chief Financial Officer 2
Slide 3: Disclaimers
Disclaimers FORWARD-LOOKING STATEMENTS This presentation contains forward-looking statements within the meaning of Section 21E of the Securities Exchange Act of 1934, as amended (the Exchange Act), and Section 27A of the Securities Act of 1933, as amended (the Securities Act), and the Private Securi
Slide 4: V2X for Everyone
V2X for Everyone Integrity, Professionalism, Respect, Responsibility At V2X we harness our diversity to positively impact business outcomes Total global Millennial: *Global Women *Global Women employees: 38% representation in representation in approximately leadership roles: technical roles: Gen X:
Slide 5: Q2'23 Highlights
Q2’23 Highlights • Strong Q2’23 results; Revenue of $977.9M; up 10% y/y on a pro forma basis 1 1 1 • Adjusted EBITDA of $76.4M with a margin of 7.8% ; Adjusted diluted EPS of $1.01 2 • Net debt to EBITDA Leverage Ratio improved ~0.4x sequentially to 3.48x • Pacific revenue increased 41% y/y, driven
Slide 6: Differentiated Capabilities Yielding Awards and Notable Future Opportunities
Differentiated Capabilities Yielding Awards and Notable Future Opportunities V2X Engineering, Manufacturing, Growing existing programs, securing recompetes & winning new Modernization and Sustainment business — Awarded over $500M in recompetes; Won new business by leveraging core capabilities and di
Slide 7: Modernization & Sustainment Supporting Future Needs
Modernization & Sustainment Supporting Future Needs V2X Gateway Mission Router-1000 Our Gateway Mission Router 1000 (GMR-1000) provides breakthrough situational awareness via an integrated technical network — The solution was originally created to provide enhanced situational awareness for helicopte
Slide 8: Modernization & Sustainment Enhancing Legacy Platforms
Modernization & Sustainment Enhancing Legacy Platforms V2X F-16 Center Display Unit V2X has a rich history of developing solutions that enhance the Upgrades capabilities of legacy platforms with minimal retrofitting Today, we are further modernizing and improving the effectiveness of the F-16 Fighti
Slide 9: Q2'23 Financial Results
Q2’23 Financial Results Revenue ($M) Adjusted EBITDA1 ($M) Adj. Diluted EPS1 $1.42 $76.4 $977.9 $1.01 $498.1 $24.7 Q2'22 Q2'23 Q2'22 Q2'23 Q2'22 Q2'23 Q2’23 Adj. Diluted EPS impacted y/y by: • ($0.70) higher cash interest expense 9 1 See appendix for reconciliation of non-GAAP measures.
Slide 10: Cash Flow and Liquidity
Cash Flow and Liquidity Q2’23 Debt & Net Debt Net Debt Improvement ($M) ($M) • Lowered net debt by $112 million in Q2’23 • Net leverage ratio1 at 3.48x, expected to show further improvements in 2023 $1,246.9 $1,176.6 $1,288.6 • Q2’23 Adjusted operating cash flow2 of $1,176.6 $10.9 million, in line w
Slide 11: Updating 2023 Guidance
Updating 2023 Guidance 2023 2023 ($M, except per share data) Guidance Guidance (Previous) (Updated) Revenue $3,800 – $3,900 $3,850 - $3,950 Adjusted EBITDA1 $290 – $310 $295 - $310 Adjusted Diluted Earnings Per Share1 $3.80 - $4.30 $3.85 - $4.30 Adjusted Net Cash Provided by Operating Activities1 $1
Slide 12: Key Takeaways… Investing with V2X
Key Takeaways… Investing with V2X 1 Well-Aligned with U.S. Federal Budget Priorities in Growing End Markets 2 Long-Standing Relationships with Diverse Client Base 3 Significant Contract Backlog Drives Highly Visible Revenue Profile 4 Scaled Platform Providing Full Life Cycle of Mission Critical Solu
Slide 13: Appendix
Appendix TRUSTED WHEREVER THE MISSION LEADS 13
Slide 14: Reconciliation Of Non-GAAP Measures/Non-GAAP Definitions
Reconciliation Of Non-GAAP Measures/Non-GAAP Definitions This presentation includes certain non-GAAP financial measures, including adjusted net income, adjusted diluted earnings per share, adjusted operating income, adjusted EBITDA, adjusted EBITDA margin, pro forma revenue and adjusted operating ca
Slide 15: Reconciliation Of Non-GAAP Measures
Reconciliation Of Non-GAAP Measures ($K, except per share data) Three Months Ended Six Months Ended July 1, 2022 June 30, 2023 July 1, 2022 June 30, 2023 Revenue $ 498,066 $ 977,852 $ 954,537 $ 1,921,312 Operating income $ 15,021 $ 34,270 $ 20,257 $ 64,849 Plus: Depreciation expense 1,647 5,914 3,23
Slide 16: Trusted Wherever the Mission Leads
TRUSTED WHEREVER THE MISSION LEADS 16